Subject: EXTENSION OF CONSULTANT AGREEMENT – FINANCIAL
EASIBILITY CONSULTANT
COUNCIL DISTRICT: City-Wide
1. Exercise the first option to extend the term of the Agreement for Consultant Services between the City of San José and Landrum & Brown, Inc. for one year at no additional compensation.
2. Adoption of a resolution authorizing the City Manager to exercise the remaining two one-year options to extend, at no additional compensation.
BACKGROUND
The airport financial feasibility consultant is a financing team member who is involved in the planning of the permanent financing program for the Norman Y. Mineta San Jose International Airport’s Master Plan projects. On October 31, 2000, the City Council adopted a resolution authorizing the negotiation and execution of an agreement with Landrum & Brown to serve as airport financial feasibility consultant for the Airport Master Plan.
The original agreement with
Landrum & Brown was for a term from October 16, 2000, to June 30, 2002, in
an amount not to exceed $500,000.
Landrum & Brown’s scope of services includes tasks such as financial
analyses of Master Plan projects, the completion of a 10-year financial plan,
the preparation of feasibility studies to support specific bond issues, and
preliminary financial planning for the consolidated rental car garage. Subject to available funding, under the agreement,
the Director of Aviation may request additional services as needed during the
term of the agreement.
The agreement allows the
City the exclusive right to extend the contract with three one-year
extensions. The fee structure for the
years in which the contract may be extended will be the same as the fee
structure in the original term of the agreement. Exercising the first one-year option to extend the term of the
agreement will allow the continuation of the contract. No additional funding is needed at this
time. It is recommended that the City
Manager be authorized to exercise the remaining two one-year options to extend,
so long as no additional compensation is being added. Staff will return to the City Council to obtain approval at such
time that additional compensation is being requested.
Not applicable.
This memorandum has been prepared in coordination with the City Attorney’s Office.
BUDGET
REFERENCE
This is an extension to the
term of the agreement at no additional compensation.
RALPH G. TONSETH
Director of Aviation
Airport Department