A Resolution of the City of Sunrise, Florida, approving a “Third Amendment to Continuing Services Agreement between the City of Sunrise, Florida and Carollo Engineers, Inc.” for Water, Wastewater, Wastewater Reuse, and Natural Gas Utilities Projects Consultant Services; and providing an effective date. City Manager Mark Lubelski. Rodrigo de Castro, Director of Utilities.

Not to exceed budgeted funds for FY 2025/2026

Subsequent years' expenditures subject to budget approval

On May 7, 2021, the City of Sunrise and Carollo Engineers, Inc. entered into a Continuing Services Agreement (CSA)  approved via Resolution 21-45 for Water, Wastewater, Wastewater Reuse, and Natural Gas Utilities Projects Engineering Consultant Services. On September 29, 2022, a First Amendment to the CSA was approved and executed to add mandatory statutory provisions in accordance with Florida Statutes as authorized and delegated to the Procurement Manager via Resolution 19-137. On December 20, 2023, a Second Amendment to the CSA was approved and executed to add additional mandatory statutory provisions in accordance with Florida Statutes as authorized and delegated to the Procurement Manager via Resolution 19-137.

Carollo Engineers Inc. has submitted a request for a rate adjustment, as permitted under the terms and conditions of the CSA per Exhibit B of the Agreement:

• Hourly rates may be adjusted annually after the first full year of this Agreement, if authorized by the City. In no instance may any adjustment exceed 5% in any one year. The adjusted rates shall not be used to adjust previously authorized Project Agreements. Such adjustment shall be authorized through a written amendment to this Agreement.

Additionally, Section 2.5 of the Agreement requires that Amendments be approved by the City Commission.  As such, Staff is requesting the City Commission approve a "Third Amendment between the City of Sunrise and Carollo Engineers, Inc." to increase hourly rates by 2.7% and authorize the Procurement Manager or designee to execute the Third Amendment.

Since the CSA's original execution in May of 2021, Carollo Engineers Inc. has not requested a prior rate increase and the Consumer Price Increase (CPI) has increased by approximately 25%. Carollo Engineers Inc.  has been the Engineer of Record for several City of Sunrise projects, and Staff is satisfied with the performance under this Continuing Services Agreement.

Commission approval is requested to allow the Third Amendment to the CSA to be executed by the Procurement Manager or authorized designee.