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Exhibit 1 - Agenda Information Sheet Amend 2City of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Procurement ACM: Cassey Ogden DATE: December 5, 2023 SUBJECT Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the approval of a second amendment to a Professional Services Agreement between the City of Denton and HR Green, Inc., amending the contract approved by the City Council on September 1, 2020, in the not-to-exceed amount of $4,973,027.00; amended by Amendment 1 approved by City Council; said second amendment to provide additional review of development construction projects for the City of Denton and the Development Services Department; providing for the expenditure of funds therefor; and providing an effective date (RFQ 7192 – providing for an additional second amendment expenditure amount not-to-exceed $800,000.00, with the total contract amount not-to-exceed $7,573,027.00). INFORMATION/BACKGROUND The Engineering Development Review is a division of the Development Services Department focused on the review of private development construction plans reviewing the impact that proposed developments will have on the City of Denton’s public infrastructure (i.e., water, wastewater, drainage, streets, sidewalks, parks, etc.). Due to demands on City Engineering staff to manage the increasing volume of City-funded capital projects, the City conducted a solicitation in 2018 for a third-party review team to manage engineering review for private development projects. In October 2018, HR Green, Inc. was selected as the most qualified vendor to provide private development engineering review services for the City of Denton. Since the initial contract went into effect, HR Green staff have received extensive training on the Denton Development Code, pertinent state regulations, and the City of Denton’s design criteria, specifications, and construction details. An additional request for qualifications was issued in 2020 and, again, HR Green was selected as the most qualified vendor to provide this service. The Engineering Development Services contract provides up to three onsite facilitators and offsite technical plan review services to the City of Denton. The agreement is scalable based on application volume and will be evaluated annually as development activity is monitored. The current contract had a termination date of August 31, 2023, with an optional 6-month extension executed that extended the contract through February 2024. City Council approved a first amendment to the contract in December 2022 with an amount staff believed would provide enough expenditure authority through the end of the contract term, but due to increased workloads staff anticipates exceeding expenditure authority for this contract by December 2023 and are requesting an increase to the contract amount to provide enough spending authority through the original contract termination date and 6-month extension period. A request for qualifications has been issued. Following the solicitation, the responses will be City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com reviewed and a new contract will be negotiated with the selected vendor before the end of the current contract period. The City of Denton recovers fees related to the project reviews completed by HR Green based on a cost recovery model. The increase in spending authority for this contract will be recovered through fees charged back to applicants for the development projects. PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) On September 1, 2020, City Council approved a contract with HR Green, Inc., in the not-to-exceed amount of $4,973,027 (Ordinance 20-751). On December 13, 2022, City Council approved Amendment No. 1 with HR Green, Inc., in the not-to-exceed amount of $1,800,000, for a total not-to-exceed amount of $6,773,027 (Ordinance 22-2501). RECOMMENDATION Award Amendment No. 2 with HR Green, Inc., to provide additional review of development construction projects for the City of Denton and the Development Services Department, in a not-to-exceed $800,000, for a total amended contract amount of $7,573,027. PRINCIPAL PLACE OF BUSINESS HR Green, Inc. Cedar Rapids, IA ESTIMATED SCHEDULE OF PROJECT This contract will expire on February 28, 2024. FISCAL INFORMATION These services will be funded from Engineering Development Review Operating Account 840300.7854 and Purchase Order #205248 will be amended as needed. Fees will be charged to applicants through the development review process to recover costs associated with this contract. The budgeted amount for this item is $7,573,027. EXHIBITS Exhibit 1: Agenda Information Sheet Exhibit 2: Original Ordinance, Contract, Contract Extension, Ordinance, and Amendment 1 Exhibit 3: Ordinance and Amendment 2 Respectfully submitted: Lori Hewell, 940-349-7100 Purchasing Manager For information concerning this acquisition, contact: Charlie Rosendahl, 940-349-8452. Legal point of contact: Marcella Lunn at 940-349-8333.