REPORT TO COUNCIL
SUBJECT
Title
Amend an Existing Contract with BSI America Professional Services, Inc. for Safety and Loss Control Related Services (F27-003)
Report
STAFF RECOMMENDATION
Recommendation
Take the following actions:
- Approve a Third Amendment to the existing contract with BSI America Professional Services, Inc. for safety and loss control related services, increasing the contract amount by $257,314, from $528,714 to a new not-to-exceed amount of $786,028, including ratifying two previously executed project authorization orders totaling $98,200 and extending the contract term through July 11, 2027; and
- Authorize the City Manager to execute the amendment when all conditions have been met.
Report
BASIS FOR RECOMMENDATION
The Safety and Loss Control Program provides environmental health and safety services that support workplace safety, employee training, and regulatory compliance throughout the City.
In 2022, the City conducted a Request for Proposals (RFP) to procure Safety and Loss Control Consulting Services from qualified consultants with expertise in public sector safety, regulatory compliance, and program administration. The objective was to partner with a consultant that promotes a proactive approach to managing the City's Safety and Loss Control Program in compliance with applicable California laws and Cal/OSHA regulations.
Following the RFP process, BSI America Professional Services Inc. (BSI) was awarded a three-year contract with the option to renew for two additional one-year terms. The contract is now approaching expiration. Because BSI is currently completing several significant regulatory compliance initiatives, staff determined that transitioning these services to a new consultant at this time would delay required compliance efforts, require significant knowledge transfer, and increase overall project costs. Therefore, staff recommends extending the existing agreement for one additional year to complete these ongoing initiatives before conducting a competitive procurement.
Since assuming responsibility for the City's Safety and Loss Control Program in 2022, BSI has identified and addressed numerous areas requiring significant updates to ensure continued compliance with evolving Cal/OSHA regulations and legislative requirements. This has included substantial revisions to the City's Injury and Illness Prevention Plan, as well as the development and implementation of several required safety programs. As part of this work, BSI has developed extensive institutional knowledge of City facilities, operational practices, department-specific hazards, existing safety documentation, and compliance priorities.
In May and June 2026, two project authorization orders totaling $98,200 were executed for additional BSI services: $72,000 for Fire and Hazardous Materials Regulatory Compliance Support and $26,200 for Emergency Evacuation/Egress Readiness. The orders were executed in error and were outside the previously approved scope and compensation of the agreement.
Therefore, staff is additionally requesting City Council ratify these previous orders as part of this action. The proposed Third Amendment incorporates the additional services and compensation into the agreement.
Completion of safety programs such as updated emergency evacuation plan, hazardous materials plans, and hazard communication, among others, is critical to maintaining compliance with applicable federal and state occupational safety regulations and to reducing the City's operational and liability risks.
ENVIRONMENTAL REVIEW
This project is exempt under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15378(b)(5) in that it is a governmental organizational or administrative activity that will not result in direct or indirect changes in the environment.
FISCAL IMPACT
Budgeted funds for safety and loss control consulting services are available in the operating budget in the General Fund under Program 11400 - Human Resources
PUBLIC CONTACT
Public contact was made by posting the Council meeting agenda on the City's official-notice bulletin board at City Hall, at the Sunnyvale Public Library and in the Department of Public Safety Lobby. In addition, the agenda and this report are available at the City Hall reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours), and on the City's website.
Levine Act
LEVINE ACT
The Levine Act (Gov. Code Section 84308) prohibits city officials from participating in certain decisions regarding licenses, permits, and other entitlements for use if the official has received a campaign contribution of more than $500 from a party, participant, or agent of a party or participant in the previous 12 months. The Levine Act is intended to prevent financial influence on decisions that affect specific, identifiable persons or participants. For more information see the Fair Political Practices Commission website: www.fppc.ca.gov/learn/pay-to-play-limits-and-prohibitions.html
An “X” in the checklist below indicates that the action being considered falls under a Levine Act category or exemption:
SUBJECT TO THE LEVINE ACT
___ Land development entitlements
___ Other permit, license, or entitlement for use
_X_ Contract or franchise
EXEMPT FROM THE LEVINE ACT
___ Competitively bid contract*
___ Labor or personal employment contract
___ Contract under $50,000 or non-fiscal
___ Contract between public agencies
___ General policy and legislative actions
* "Competitively bid" means a contract that must be awarded to the lowest responsive and responsible bidder.
Staff
Prepared by: David Battaglia, Purchasing Officer
Reviewed by: Matthew Paulin, Director of Finance
Reviewed by: Heather Ruiz, Director of Human Resources
Reviewed by: Sarah Johnson-Rios, Assistant City Manager
Approved by: Tim Kirby, City Manager
ATTACHMENTS
1. Draft Third Amendment to Consultant Services Agreement