HomeMy WebLinkAboutCED Massage Inspection Services Agreement Amendment____________________________________________________________________________________ FOR CITY CLERK ONLY Meeting Date: 03/03/2025 Disposition: Adopted Resolution 15374 Agenda Item No: 4.d Meeting Date: March 3, 2025 SAN RAFAEL CITY COUNCIL AGENDA REPORT Department: Community & Economic Development Department Prepared by: Don Jeppson, Community & Economic Development Assistant Director and Chief Building Official City Manager Approval: ______________ TOPIC: MASSAGE INSPECTION SERVICES AGREEMENT AMENDMENT SUBJECT: RESOLUTION AUTHORIZING THE CITY MANAGER TO AMEND A PROFESSIONAL SERVICES AGREEMENT WITH CSG CONSULTANTS, INC. FOR MASSAGE INSPECTION SERVICES IN AN AMOUNT OF $25,000 FOR A TOTAL CONTRACT AMOUNT NOT TO EXCEED $100,000. RECOMMENDATION: Staff recommends that the City Council adopt a resolution authorizing the City Manager to execute a second amendment to the professional services agreement with CSG Consultants, Inc. for additional massage inspection services in an amount of $25,000, for a total contract amount not to exceed $100,000. BACKGROUND: The City of San Rafael (City) regulates massage establishments under San Rafael Municipal Code (SRMC) 10.90. The purpose of SRMC 10.90 is to provide for the orderly regulation of massage establishments and to prevent the misuse of massage therapy as a front for prostitution and related activities. Over the past decade, the City has effectively utilized specialized consulting service providers to support the massage inspection program. The massage inspection program involves specialized skills, experience, and certifications. On May 1, 2024, the City Manager approved and authorized a Professional Services Agreement with CSG Consultants, Inc. (CSG) for massage inspection services in an amount not to exceed $75,000. On December 8, 2024, the City Manager approved and authorized an amendment to the Professional Services Agreement with CSG to extend the term of the agreement to June 30, 2025. SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 2 CSG provides code enforcement and inspection services for many local jurisdictions. Since 1991, CSG has exclusively served public agencies, sharing their commitments to the members of their communities and seamlessly providing a wide range of municipal services. ANALYSIS: The City has exhausted the City’s existing $75,000 contract with CSG to implement the massage inspection program. CSG’s service charges are approximately $3,000 a month, meaning the City’s current contract with CSG will not allow them to provide ongoing massage inspection services through the end of Fiscal Year (FY) 2024-25. In order to provide CSG with sufficient resources to continue the massage inspection program for the remainder of FY 2024-25, staff recommends amending the amount of CSG’s contract from a not to exceed amount of $75,000 to a total contract amount not to exceed $100,000. This will cover existing commitments for services and allow code enforcement staff to focus on other high priority enforcement activities. A copy of the draft Second Amendment to the Professional Services Agreement is attached to this report (Attachment 2). To facilitate massage inspection program services beyond FY 2024 -25, staff will release a Request for Proposals (RFP) this spring to select a consultant to provide these services after July 1, 2025. FISCAL IMPACT: The proposed second amendment to the professional services agreement with CSG increases the contract amount by $25,000, from a not-to-exceed amount of $75,000 to $100,000. The Community Economic & Development Department’s existing professional services budget for the massage program (general ledger code 001-16-37002-9270) has sufficient funding available to fund this increase to CSG’s contract. In addition, the City receives massage inspection program permitting fees and penalties from non-compliant massage establishments that can contribute towards the cost of the proposed contract amendment. OPTIONS: The City Council has the following options to consider on this matter: 1.Adopt a resolution to authorize the City Manager to execute the contract amendment as proposed; 2.Direct staff to return with more information; or 3.Take no action. RECOMMENDED ACTION: Staff recommends that the City Council adopt a resolution authorizing the City Manager to execute a second amendment to the professional services agreement with CSG Consultants, Inc. for additional massage inspection services in an amount of $25,000, for a total contract amount not to exceed $100,000. ATTACHMENTS: 1.Resolution 2.Second Amendment Professional Services Agreement with CSG Consultants, Inc. RESOLUTION NO. 15374 RESOLUTION AUTHORIZING THE CITY MANAGER TO AMEND A PROFESSIONAL SERVICES AGREEMENT WITH CSG CONSULTANTS, INC. FOR MASSAGE INSPECTION SERVICES IN AN AMOUNT OF $25,000 FOR A TOTAL CONTRACT AMOUNT NOT TO EXCEED $100,000 WHEREAS, the City of San Rafael (City) regulates massage establishments under San Rafael Municipal Code (SRMC) 10.90; and WHEREAS, the purpose of SRMC 10.90 is to provide for the orderly regulation of massage establishments and to prevent the misuse of massage therapy as a front for prostitution and related activities; and WHEREAS, over the past decade, the City has effectively utilized specialized consulting service providers to support the massage inspection program; and WHEREAS, the massage inspection program involves specialized skills, experience, and certifications; and WHEREAS, on May 1, 2024, the City Manager approved and authorized a Professional Services Agreement with CSG Consultants, Inc. (CSG) for massage inspection services in an amount not to exceed $75,000; and WHEREAS, On December 8, 2024, the City Manager approved and authorized an amendment to the Professional Services Agreement with CSG to extend the term of the agreement to June 30, 2025; and WHEREAS, the City has exhausted the City’s existing $75,000 contract with CSG to implement the massage inspection program; and WHEREAS, CSG’s services charges are approximately $3,000 a month, meaning the City’s current contract with CSG will not allow CSG to provide ongoing massage inspection services through the end of Fiscal Year (FY) 2024-25; and WHEREAS, in order to provide CSG with sufficient resources to continue the massage inspection program for the remainder of FY 2024-25, staff recommends that the City Council authorize amending the amount of CSG’s contract from a not to exceed amount of $75,000 to a total contract amount not to exceed $100,000; and WHEREAS, the Community Economic Development Department’s existing professional services budget for the massage program, (general ledger code 001-16-37002-9270) has sufficient funding available to fund this increase to CSG’s contract; NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of San Rafael hereby authorizes the City Manager to amend the Professional Services between the City and CSG Consultants, Inc., for additional massage inspection services in an amount of $25,000, for a total contract amount not to exceed $100,000. I, LINDSAY LARA, Clerk of the City of San Rafael, hereby certify that the foregoing Resolution was duly and regularly introduced and adopted at a regular meeting of the City Council of the City of San Rafael, held on Monday, the 3rd day of March 2025, by the following vote, to wit: AYES: NOES: ABSENT: Councilmembers: Bushey, Hill, Kertz, Llorens Gulati & Mayor Kate Councilmembers: None Councilmembers: None _____________________ Lindsay Lara, City Clerk 1 SECOND AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT WITH CSG CONSULTANTS, INC FOR PROFESSIONAL CODE ENFORCEMENT SERVICES THIS SECOND AMENDMENT to the Professional Services Agreement by and between the CITY OF SAN RAFAEL (hereinafter “CITY”), and CSG CONSULTANTS, INC (hereinafter “CONSULTANT”), is made and entered into as of _________________________. RECITALS WHEREAS, the CITY and CONSULTANT entered into a Professional Services Agreement dated May 1, 2024 to perform professional services in connection with CITY’S massage inspection program, for an amount not to exceed $75,000 (the Agreement); and WHEREAS, the CITY and CONSULTANT entered into a First Amendment to the Professional Services Agreement dated December 8, 2024, to extend the Term of the Agreement by one year, through June 30, 2025; and WHEREAS, the CITY and CONSULTANT wish to amend the Agreement to modify the total compensation payable to CONSULTANT so as to authorize CONSULTANT to provide additional code enforcement services. AMENDMENT TO AGREEMENT NOW, THEREFORE, the parties hereby agree to amend the Agreement as follows: 1. Article II of the Agreement, entitled “COMPENSATION” is hereby amended to include additional compensation payable to CONSULTANT, on a time and materials basis in accordance with the rates listed in the First Amendment to the Agreement, in a not-to-exceed amount of $25,000 and to change the total not-to-exceed amount under the Agreement to $100,000. pr B v A ? A D 2 2. Except as specifically amended herein, all of the other provisions, terms and obligations of the Agreement between the parties shall remain valid and shall be in full force. IN WITNESS WHEREOF, the parties have executed this Second Amendment on the day, month, and year first above written. CITY OF SAN RAFAEL CONSULTANT ______________________________ By:______________________________ CRISTINE ALILOVICH, City Manager Name:____________________________ Title:_____________________________ ATTEST: [If Consultant is a corporation, add signature of second corporate officer] ______________________________ LINDSAY LARA, City Clerk By:______________________________ APPROVED AS TO FORM: Name:____________________________ Title:_____________________________ ______________________________ ANDREA VISVESHWARA, Chief Assistant City Attorney * 0 - $ ) # 4 / — - E v A ? A D @ ? w B F ˜ 4 R X U G L Q 1 K D \ D W D Nourdin Khayata Cyrus Kianpour President Secretary ndrea is1es#2ara җpr тѶ спсф рпѷут PҘ Andrea Visveshwara Cristine 'i'o1ic# җpr тѶ спсф рфѷст PҘ indsay ara җpr тѶ спсф рфѷтр PҘ 2indsa\ 2ara Contract Amendment Final Audit Report 2025-03-07 Created:2025-03-06 By:Ariel Gutierrez (ariel.gutierrez@cityofsanrafael.org) Status:Signed Transaction ID:CBJCHBCAABAA54zgW5RCm2Y_74auuzsNQh2wJSabMDbB "Contract Amendment" History Document created by Ariel Gutierrez (ariel.gutierrez@cityofsanrafael.org) 2025-03-06 - 5:55:08 PM GMT- IP address: 199.88.113.8 Document emailed to Cyrus Kianpour (cyrus@csgengr.com) for signature 2025-03-06 - 5:55:13 PM GMT Document emailed to Nourdin Khayata (nourdin@csgengr.com) for signature 2025-03-06 - 5:55:13 PM GMT Email viewed by Nourdin Khayata (nourdin@csgengr.com) 2025-03-06 - 6:36:19 PM GMT- IP address: 198.189.159.82 Document e-signed by Nourdin Khayata (nourdin@csgengr.com) Signature Date: 2025-03-06 - 6:37:26 PM GMT - Time Source: server- IP address: 198.189.159.82 Email viewed by Cyrus Kianpour (cyrus@csgengr.com) 2025-03-07 - 9:27:08 PM GMT- IP address: 107.1.231.154 Document e-signed by Cyrus Kianpour (cyrus@csgengr.com) Signature Date: 2025-03-07 - 9:28:36 PM GMT - Time Source: server- IP address: 107.1.231.154 Agreement completed. 2025-03-07 - 9:28:36 PM GMT CONTRACT ROUTING FORM INSTRUCTIONS: Use this cover sheet to circulate all contracts for review and approval in the order shown below. Step RESPONSIBLE DEPARTMENT DESCRIPTION COMPLETED DATE REVIEWER Check/Initial 1 Project Manager a. Email PINS Introductory Notice to Contractor b. Email contract (in Word) and attachments to City Attorney c/o Laraine.Gittens@cityofsanrafael.org Click here to enter a date. 2/23/2025 ☐ ☒ 2 City Attorney a. Review, revise, and comment on draft agreement and return to Project Manager b. Confirm insurance requirements, create Job on PINS, send PINS insurance notice to contractor 2/24/2025 2/24/2025 ☒ NT ☒ NT 3 Department Director Approval of final agreement form to send to contractor 3/6/2025 ☒ ___AG_ 4 Project Manager Forward three (3) originals of final agreement to contractor for their signature 3/6/2025 ☒ 5 Project Manager When necessary, contractor-signed agreement agendized for City Council approval * *City Council approval required for Professional Services Agreements and purchases of goods and services that exceed $75,000; and for Public Works Contracts that exceed $175,000 Date of City Council approval ☐ N/A Or 3/3/2025 ☒ PRINT CONTINUE ROUTING PROCESS WITH HARD COPY 6 Project Manager Forward signed original agreements to City Attorney with printed copy of this routing form 7 City Attorney Review and approve hard copy of signed agreement 8 City Attorney Review and approve insurance in PINS , and bonds (for Public Works Contracts) 9 City Manager / Mayor Agreement executed by City Council authorized official 10 City Clerk Attest signatures, retains original agreement and forwards copies to Project Manager TO BE COMPLETED BY INITIATING DEPARTMENT PROJECT MANAGER: Contracting Department: Community & Economic Development Project Manager: Don Jeppson Extension: Click here to enter text. Contractor Name: CSG Consultants, Inc. Contractor’s Contact: Cyrus Kianpour Contact’s Email: cyrus@csgengr.com ☐ FPPC: Check if Contractor/Consultant must file Form 700 2nd Amendment - CSG Consultants - Professional Code Enforcement Services Final Audit Report 2025-04-03 Created:2025-04-03 By:Nataly Torres (nataly.torres@cityofsanrafael.org) Status:Signed Transaction ID:CBJCHBCAABAAjRVXHOAQbyDZ9L1_s35OiwGXubeQSYjX "2nd Amendment - CSG Consultants - Professional Code Enforc ement Services" History Document created by Nataly Torres (nataly.torres@cityofsanrafael.org) 2025-04-03 - 5:03:01 PM GMT- IP address: 199.88.113.8 Document emailed to Laraine Gittens (laraine.gittens@cityofsanrafael.org) for approval 2025-04-03 - 5:09:23 PM GMT Email viewed by Laraine Gittens (laraine.gittens@cityofsanrafael.org) 2025-04-03 - 5:29:38 PM GMT- IP address: 104.47.65.254 Document approved by Laraine Gittens (laraine.gittens@cityofsanrafael.org) Approval Date: 2025-04-03 - 5:33:58 PM GMT - Time Source: server- IP address: 199.88.113.8 Document emailed to andrea.visveshwara@cityofsanrafael.org for signature 2025-04-03 - 5:34:00 PM GMT Email viewed by andrea.visveshwara@cityofsanrafael.org 2025-04-03 - 5:34:31 PM GMT- IP address: 104.47.64.254 Signer andrea.visveshwara@cityofsanrafael.org entered name at signing as Andrea Visveshwara 2025-04-03 - 5:43:11 PM GMT- IP address: 199.88.113.8 Document e-signed by Andrea Visveshwara (andrea.visveshwara@cityofsanrafael.org) Signature Date: 2025-04-03 - 5:43:13 PM GMT - Time Source: server- IP address: 199.88.113.8 Document emailed to city.clerk@cityofsanrafael.org for approval 2025-04-03 - 5:43:15 PM GMT Email viewed by city.clerk@cityofsanrafael.org 2025-04-03 - 9:04:19 PM GMT- IP address: 199.88.113.8 Signer city.clerk@cityofsanrafael.org entered name at signing as Lindsay Lara 2025-04-03 - 9:04:57 PM GMT- IP address: 199.88.113.8 Document approved by Lindsay Lara (city.clerk@cityofsanrafael.org) Approval Date: 2025-04-03 - 9:04:59 PM GMT - Time Source: server- IP address: 199.88.113.8 Document emailed to cristine.alilovich@cityofsanrafael.org for signature 2025-04-03 - 9:05:01 PM GMT Email viewed by cristine.alilovich@cityofsanrafael.org 2025-04-03 - 10:22:13 PM GMT- IP address: 174.249.144.164 Signer cristine.alilovich@cityofsanrafael.org entered name at signing as Cristine Alilovich 2025-04-03 - 10:23:13 PM GMT- IP address: 174.249.144.164 Document e-signed by Cristine Alilovich (cristine.alilovich@cityofsanrafael.org) Signature Date: 2025-04-03 - 10:23:15 PM GMT - Time Source: server- IP address: 174.249.144.164 Document emailed to city.clerk@cityofsanrafael.org for signature 2025-04-03 - 10:23:17 PM GMT Email viewed by city.clerk@cityofsanrafael.org 2025-04-03 - 10:31:10 PM GMT- IP address: 199.88.113.8 Signer city.clerk@cityofsanrafael.org entered name at signing as Lindsay Lara 2025-04-03 - 10:31:30 PM GMT- IP address: 199.88.113.8 Document e-signed by Lindsay Lara (city.clerk@cityofsanrafael.org) Signature Date: 2025-04-03 - 10:31:32 PM GMT - Time Source: server- IP address: 199.88.113.8 Agreement completed. 2025-04-03 - 10:31:32 PM GMT