16 - Approve Addenda III and IV with Resource Management for third party administration of equipment and project purchases using ARPA FundingItem No. 16
TO: Mayor, Mayor Pro Tem & City Council
FROM: Grayson Path, City Manager
SUBJECT: American Rescue Plan Act Coronavirus Local and State Fiscal Recovery Fund
Third Party Administrator Services
Amendments III and IV
DATE: December 13, 2021
BACKGROUND:
In March 2021, Congress passed the ARP Act which included funding for local governments in
response to the CoVid-19 pandemic. This is a follow up program to the CARES Act that was
passed in 2020 which gave the City approximately $1.5 million last year. With the ARP Act, the
City received $3 million in August 2021 and will receive another $3 million in 2022.
On September 27, 2021, the City entered in to a Third Party Administrator Agreement with
Resource Management and Consulting. This agreement is to be amended from time to time as the
City develops new projects for the ARPA Funding. The City has therefore approved Amendments
I (Ground Storage Facility Generator) and II (Pat Mayse Intake Generator).
To utilize this money, we must follow all Federal rules and guidelines for procurement, reporting,
documentation, administration, etc. This is a very cumbersome and specialized task. The City of
Paris typically contracts out for third party administrator services as we do not have the time or
resources to perform these tasks internally. To make mistakes using this funding could bring
serious consequences to the City of Paris including jeopardizing our ability to receive funding in
the future.
STATUS OF ISSUE:
In the FY21/22 Budget, the City identified a series of items and equipment to purchase using
CARES Funding and ARPA Funding. The City originally planned to purchase the following items
using CARES Funding:
1. Police Department CAD Server
2. Fire Department SCBA Regulators
3. Fire Department Emergency Generator — Station #3
4. EMS Department TechGen Rescue Pants
5. EMS Department LifePak DOT Rated Mounts
6. EMS Department Stryker Siderails and Powerloads
7. Public Works Department Combination Vacuum / Jet Truck
In addition, the City had originally planned to purchase the following items using ARPA Funding:
1. Semi Truck
2. Low Boy Trailer
3. Excavator
4. Backhoe
5. Asphalt Grinder Machine
6. Asphalt Paving Machine
7. Water Line Extension and Redundancy Project (Gene Stallings Park / Lionshead
Project)
8. Ground Storage Facility Backup Generator
We were still learning more about the ARPA Funding when the FY21/22 Budget was being written
and approved. Afterwards, it was learned that items #1-6 would not qualify for ARPA Funding.
However, we learned that of those items planned for our CARES Funding, items #1-7 of the
CARES list above, would in fact qualify for the ARPA Funding. Therefore, the City Manager
made the decision to swap those items in the CARES Funding with what could be afforded in the
ARPA Funding. ARPA Items #1-6 were more expensive than CARES Items #1-7, so only the
Semi Truck, Low Boy Trailer, and Excavator are being considered for funding now as CARES
Funding, while CARES items #1-7 are being swapped over to ARPA Funding. Whichever items
ended up in ARPA Funding, Third Party Administration would be necessary. At this time, the
Backhoe, Asphalt Grinder Machine, and Asphalt Paving Machine will not be pursued in the
FY21/22 Budget for lack of eligible funding.
It must also be noted that CARES Item #7 was originally planned to be just a Jet Truck. However,
ARPA would only pay for a Combination Vacuum / Jet Truck. This is a much larger truck, and
will cost nearly $100k more, but after consulting with staff, the Combination Trucks we currently
have will very soon be on the list of needing to be replaced and given a Combination Truck is more
versatile than just a Jet Truck, we will be pursuing the Combination Truck instead of a Jet Truck,
using the ARPA Funding. The Jet Truck is a smaller truck and therefore easier to maneuver and
work with, but given the ARPA Funding is available to us, it is available only for Combination
Trucks, Combination Trucks are more versatile than Jet Trucks, and there is no foreseeable revenue
source in the near future to replace the aging Combination Trucks we currently have, we believe
it wise to pursue the Combination Truck rather than the Jet Truck even though it is more expensive.
Our water and sewer maintenance service highly depends on a functional vacuum and jet truck
capability.
Working with RMC, we have bid out for the Water Line Extension and Redundancy Project
materials (it is expected that this will also be on your agenda tonight to award a bid). The City
Public Works Department will be performing its own labor to install these water lines which will
save many hundreds of thousands of dollars in contracted labor. The City then plans to submit its
time spent on this project, as well as eligible EMS, Police and Fire payroll, back to the ARPA for
reimbursement, which will help free up ARPA Funding (similar to what we did with the CARES
Funding) which can then be applied to the various RMC Amendments we have approved. The
RMC Amendments are not being directly funded by ARPA, but rather through the General Fund,
thus ARPA funding for staff time will be used to reimburse the General Fund.
Tonight, the City Council has Amendments III and IV for the following ARPA purchases and
projects:
1. Police Department CAD Server
2. Fire Department SCBA Regulators
3. Fire Department Emergency Generator — Station #3
4. EMS Department TechGen Rescue Pants
5. EMS Department LifePak DOT Rated Mounts
6. EMS Department Stryker Siderails and Powerloads
7. Public Works Department Combination Vacuum / Jet Truck
8. Water Line Extension and Redundancy Project (Gene Stallings Park / Lionshead
Project)
BUDGET:
For Addenda III to provide project -specific administrator services for the equipment purchase and
necessary installation as applicable, RMC has proposed a $14,700.00 addenda. This is roughly
2.5% of the estimated $588,870.00 in equipment purchases.
For Addenda IV to provide project -specific administrator services for the Water Line Extension
and Redundancy Project (Gene Stallings Park), RMC has proposed a $35,000.00 addenda. The
total cost of this project is not yet fully known as materials are currently in bid phase, but it was
estimated at $540,000.00 in FY21/22, thus the addenda is roughly 6.5% of the estimated material
cost (not including our own labor for the project).
We feel these are very reasonable given the administration requirements under ARPA.
The RMC Third Party Administrator Expenses were not included in the General Fund FY21/22
Budget, but as was stated in the Background and Status sections above, these services are necessary
for seeking and using ARPA Funding, and the City will be seeking ARPA Funding reimbursement
for its own payroll expenses that it can then use to reimburse the General Fund for RMC Third
Party Administrator expenses. This will be done later in FY21/22.
OPTIONS:
1. Approve the Professional Service Agreement Amendments III and IV for Third Party
Administrator Services at $14,700.00 and $35,000.00 respectively and authorize the City
Manager to sign.
2. Approve Amendment III or Amendment IV.
3. Request additional information and/or reject the Amendments.
RECOMMENDATION:
1. Approve the Professional Service Agreement Amendments III and IV for Third Party
Administrator Services at $14,700.00 and $35,000.00 respectively and authorize the City
Manager to sign.
THE STATE OF TEXAS
COUNTY OF LAMAR
Professional Services Contract — Addenda III
THIS ADDENDA is entered into on this IP day of December, 2021, by and between the
CITY OF PARIS, TEXAS, a municipal corporation located in Lamar County, Texas, (hereinafter
referred to as "CITY"), acting by and through its City Manager or his designee, and Resource
Management and Consulting ("hereinafter referred to as "CONSULTANT") whose address is 3729
Lamar Ave., Paris, TX 75460.
WITNESSETH:
WHEREAS, The CITY entered in to a professional services agreement with CONSULTANT on
September 27, 2021 to assist in the general administration of the CITY's awarded ARP
Act Coronavirus Local and State Fiscal Recovery Fund (CLFRF) Program Funding;
and
WHEREAS, The CITY wishes to add additional services to CONSULTANT by means of this
Addenda III;
NOW, THEREFORE,
THAT IN CONSIDERATION of the covenants and agreements provided in the Professional Services
Agreement and the terms and conditions hereinafter stated, the parties hereto do mutually agree to add the
following Scope of Services:
The Consultant shall provide administrative services to the City for the purpose of remaining in compliance with
and to fulfill the requirements of the Terms and Conditions of the Coronavirus Local and State Fiscal Relief
Fund (CLFRF) through the U.S Department of Treasury. Services related to equipment purchases for the EMS,
Police, Public Works and Fire Departments consisting of but are not limited to:
1. General project administration
a. Establish and maintain recordkeeping systems related to the equipment.
b. Serve as a liaison between City and U.S. Department of Treasury/Texas Department of Emergency
Management as related to the equipment purchases.
c. Provide guidance on program compliance.
d. Prepare for submission of project closeout.
2. Assist with procurement through small purchase, cooperative purchasing, or sole source for items and
equipment identified below (Specifications provided by City):
a. Police Department
i. CAD Server
b. Fire Department
i. SCBA Regulators
ii. Emergency Generator — Station #3
c. EMS Department
i. TechGen Rescue Pants
ii. LifePak DOT Rated Mounts
iii. Stryker Siderails and Powerloads
d. Public Works Department
i. Combination Vacuum / Jet Truck
3. Assist with procurement of contractor for installation (server and generator)
4. Monitor project for prevailing wage rates (server and generator)
5. Process associated change orders
6. Process COCC and other related closeout documents
7. Assure compliance with Terms and Conditions of Program
8. Assure compliance with Federal and State Assurances, Laws, Acts, Regulations, and Executive Orders
The contract fee for services described in "Addenda III" shall be a sum not to exceed Fourteen
Thousand Seven Hundred and no/100 Dollars ($14,700.00).
APPROVED AS TO FORM:
Stephanie Harris, City Attorney
Date Signed:
Grayson Path, City Manager
Date Signed:
Resource Management and Consulting
(Consultant)
By-----------------------------------------
Charles Edwards, Vice President
Date Signed:
[Remainder of page left blank intentionally.]
THE STATE OF TEXAS
Professional Services Contract — Addenda IV
COUNTY OF LAMAR
THIS ADDENDA is entered into on this 1311 day of December, 2021, by and between the
CITY OF PARIS, TEXAS, a municipal corporation located in Lamar County, Texas, (hereinafter
referred to as "CITY"), acting by and through its City Manager or his designee, and Resource
Management and Consulting ("hereinafter referred to as "CONSULTANT") whose address is 3729
Lamar Ave., Paris, TX 75460.
WITNESSETH:
WHEREAS, The CITY entered in to a professional services agreement with CONSULTANT on
September 27, 2021 to assist in the general administration of the CITY's awarded ARP
Act Coronavirus Local and State Fiscal Recovery Fund (CLFRF) Program Funding;
and
WHEREAS, The CITY wishes to add additional services to CONSULTANT by means of this
Addenda IV;
NOW, THEREFORE,
THAT IN CONSIDERATION of the covenants and agreements provided in the Professional Services
Agreement and the terms and conditions hereinafter stated, the parties hereto do mutually agree to add the
following Scope of Services:
The Consultant shall provide administrative services to the City for the purpose of remaining in compliance with
and to fulfill the requirements of the Terms and Conditions of the Coronavirus Local and State Fiscal Relief
Fund (CLFRF) through the U.S Department of Treasury. Services related to Phase I water line extension and
redundancy project consisting of but are not limited to:
1. General project administration
a. Establish and maintain recordkeeping systems related to the project.
b. Serve as a liaison between City and U.S. Department of Treasury/Texas Department of Emergency
Management as related to the project.
c. Provide guidance on program compliance.
d. Prepare for submission of project closeout.
2. Assist with procurement through small purchase, cooperative purchasing, or sealed bid for items related to
Phase I water line extension and redundancy project
3. Assist with record-keeping associated with force account personnel and equipment use.
4. Process associated change orders
5. Process COCC and other related closeout documents
6. Assure compliance with Terms and Conditions of Program
7. Assure compliance with Federal and State Assurances, Laws, Acts, Regulations, and Executive Orders
These services are based upon a timeline of four (4) months for construction completion after
receipt of materials. In the case of additional construction time required, the City and Consultant
may amend this agreement.
The contract fee for services described in "Addenda IV" shall be a sum not to exceed Thirty -Five
Thousand and no/100 Dollars ($35,000.00).
----------------------SIGNATURE PAGE FOLLOWS----------------------
APPROVED AS TO FORM:
Stephanie Harris, City Attorney
Date Signed:
Grayson Path, City Manager
Date Signed:
Resource Management and Consulting
(Consultant)
By-----------------------------------------
Charles Edwards, Vice President
Date Signed:
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