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ITEM #17 <br />CITY OF COLTON <br />AGENDA REPORT <br />FOR COUNCIL MEETING OF JULY 18, 2006 <br />TO: Honorable Mayor and City Council <br />FROM: Jeannette Olko, Electric Utility General Manager <br />SUBJECT: Request approval of First Amendment to Professional Services Agreement <br />with AC Electric Systems <br />DATE: July 12, 2006 <br />BACKGROUND: <br />The City of Colton Electric Utility Department requires the services of an electrical engineer for a wide <br />range of projects. These engineering services are essential for adequate and reliable system operations and <br />improvements. The Electric Department has been without an "in-house" engineer since the resignation of <br />the Electrical Systems Engineer in September 2005. <br />DISCUSSION/ANALYSIS: <br />At the February 7, 2006 Council meeting, the City Council approved the Professional Services <br />Agreement with AC Electric Systems at a rate of fifty dollars per hours for 20 hours per week for a term <br />of one year, with an option to renew for two additional one-year terms. Since that time, AC Electric <br />Systems has been working diligently with staff to resolve various power quality issues, perform analysis <br />on underground cable for certain circuits in the City, create an electric standards manual, and work on the <br />Department's 10 -year Master Plan for the electric system. <br />The increasing work load has necessitated the need to amend the current agreement to 40 hours per week. <br />The rate of pay will remain the same at fifty dollars per hour, as will the term of the contract at one year <br />with the option to renew for two additional one-year terms. The increase in hours will result in an <br />additional $30,000 for the remainder of the initial contract period, thus bringing the total contract price <br />from $52,000 to $82,000. <br />FINANCIAL IMPACT: <br />Funds are budgeted and available in account number 520-8000-8002-2350-0923-000, Professional <br />Services, Engineering Division. <br />ALTERNATIVES: <br />Do not approve the amendment, which would prevent tasks from being completed in a timely manner. <br />ENVIRONMENTAL IMPACT: <br />None <br />CONFLICT OF INTEREST: <br />