REPORT TO THE CITY COUNCIL FROM: PAUL AMICO, PE, Director Department of Public Utilities BY: JILLIAN GAYTAN, Business Manager Department of Public Utilities - Administration CHRISTINA L. SEMONIOUS, Management Analyst II Department of Public Utilities - Administration SUBJECT ..Title Approve the First Amendment to the Consultant Services Agreement with Blais and Associates, LLC for Grant Application and Administration Services for the Department of Public Utilities to extend the term by one year to December 31, 2026, with no increase in compensation. (Citywide) ..Body RECOMMENDATIONS Staff recommends that City Council approve the First Amendment to the Consultant Services Agreement with Blais and Associates, LLC (B&A) for Grant Application and Administration Services for the Department of Public Utilities (Project) to extend the term of the Agreement from December 31, 2025 to December 31, 2026 with no increase in compensation, and authorize the City Manager to sign the amendment on behalf of the City of Fresno (City). EXECUTIVE SUMMARY The Department of Public Utilities (DPU) continues to seek outside funding to fully or partially fund certain drinking water, wastewater, recycled water, and solid waste management projects. Without outside funding, the City would either transfer the financial burden for these projects to water, wastewater, or solid waste ratepayers, or defer the projects further into the future. The City entered into an agreement with Blais and Associates, LLC (B&A) to provide grant research, review, evaluation, application preparation, and grant administration services for a three-year term. This First Amendment extends the term of the Agreement to December 31, 2026, with no increase in the total fee amount of $450,000. BACKGROUND DPU is comprised of the Water Division, Wastewater Division, and Solid Waste Management Division. Due to expansion of the utilities, the need to replace aging or failing infrastructure, and changes to current operations brought on by new regulations, DPU creates Capital Improvement Plans (CIPs) for each division that detail the planned projects and required funding. The budgets for the CIPs are generally entirely funded by ratepayers paying for water, wastewater, or solid waste management services. The City pursues external funding for certain qualifying projects to reduce the financial burden on the ratepayers, primarily through State and Federal funding opportunities. Due to the breadth and diversity of potential funding opportunities DPU has utilized B&A as a qualified consultant to monitor and research grants relevant to ongoing need, develop grant proposals for various DPU projects, and provide grant administration and reporting services following a grant award. These services are requested on an as-needed basis as specific grant or loan funding opportunities arise for drinking water, wastewater, recycled water, and solid waste management projects. Additional time is required to complete the grant support services supported by the total contract amount. The First Amendment would extend the term of the Agreement from December 31, 2025 to December 31, 2026, with no increase to the total contract amount of $450,000. ENVIRONMENTAL FINDINGS By the definition provided in the California Environmental Quality Act (CEQA) Guidelines Section 15378, the award of this agreement is not a "project" as defined by CEQA. LOCAL PREFERENCE Local preference was not implemented as this is an amendment to an existing Consultant Services Agreement. FISCAL IMPACT There is no impact to the General Fund. Funding for the services is included in the Water Division's five-year CIP budget within the Water Enterprise Fund 40101 and the Wastewater Division's five-year CIP budget within the Wastewater Enterprise Fund 40501. Attachments: First Amendment to the Agreement Consultant Services Agreement