Adopt Resolution #19-056 Approving Contract with WSB Associates for General Planning Services

The purpose of this case is to approve an extension to a contract with WSB Associates for general planning services to supplement City Staff and address current workload. The City Council previously authorized Staff to extend this contract via Resolution #19-032 part of a broader contract extension case for the Community Development Department. While the other contracts (Building Inspections/Electrical Inspections) had auto-renewable clauses built into existing contracts, a new contract with WSB Associates is required.

Notification is not required.

The City currently contracts with WSB Associates for planning, zoning, and code enforcement. WSB generally provides two (2) days of daily planning support plus various special projects. Ramsey's primary project manager bills at approximately $104/hour. Ramsey receives backup as needed during peak periods from an entry level planner with a billable rate of approximately $70 to $80. These are competitive rates and WSB has provided an excellent service. Additionally, the City is able to tap into other areas of expertise and service such as environmental planning, economic development, etc. There are other firms with a lower hourly rate; however, Staff would be concerned about quality of work, depth of backup, and additional services provided.

Review of Land Use Applications is charged to an escrow established by the Developer/Applicant. The costs of Land Use Applications are the responsibility of the Applicant and are not charged to the City's General Fund. Review of Building Permits is funded through Permit Fees. Administration of Code Enforcement Cases is funded by the General Fund, but is slightly offset by Administrative Citation revenue.

The hourly rate for contracted services is higher than hiring a planner directly. However, this arrangement allows the City more flexibility if activity levels drop. Activity levels can swing significantly in a 5-10 year period. Market Indicators are reflecting another strong year in 2019 and continue growth expansion beyond 2019, but a slight slowdown after 2019. The base contract is for 16 hours per week, and is for a term of three (3) years. Please note that the City can adjust number of hours at any point, as there is no minimum contract amount. This is truly based on service need. Additionally, the contract includes a 30 day termination notice. In other words, the City can cancel the contract at anytime without cause, and choose to move in a different direction.

At some point, Staff would like to discuss hiring an Assistant Planner for entry level projects such as permit review and code enforcement. However, Staff would like to monitor recent changes to the City's Code Enforcement Program to better understand workload before discussing this further.

WSB also provides some economic development policy and marketing assistance on a project by project basis.

Planning Alternatives

• Continue with Existing Contract with WSB
• Authorize Requests for Proposals for Other Interested Firms
• Hire an Assistant Planner directly

These expenses have been included in the 2019 General Fund Budget. Revenue for these activities are generally supported by Application Revenue.

Staff recommends approval of the contract. Direction to extend the contract has already been provided; this step is to approve the legal document executing this direction. Minutes from the January 22, 2019 City Council Meeting are attached for reference.

Motion to adopt Resolution #19-056 approving contract with WSB Associates for general planning services.