To: MAYOR AND CITY COUNCIL
From: ANDREW WINJE, PUBLIC WORKS DIRECTOR
TITLE
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APPROVE A CONSENT TO ASSIGNMENT AGREEMENT BETWEEN THE CITY OF REDONDO BEACH, WALLACE & ASSOCIATES CONSULTING, LLC, AND ACCENTURE INFRASTRUCTURE & CAPITAL PROJECTS, LLC; AND
APPROVE THE SECOND AMENDMENT TO THE AGREEMENT WITH ACCENTURE INFRASTRUCTURE AND CAPITAL PROJECTS, LLC FOR CONSTRUCTION MANAGEMENT AND INSPECTION SERVICES FOR THE PORTOFINO WAY AND YACHT CLUB WAY SEWER PUMP STATION PROJECTS (JOB NOS. 50210 & 50260), INCREASING THE CONTRACT AMOUNT BY $469,924, FOR A REVISED NOT-TO-EXCEED TOTAL OF $1,491,400, AND EXTENDING THE TERM THROUGH MAY 18, 2027
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EXECUTIVE SUMMARY
The City entered into an agreement with Wallace & Associates Consulting, LLC (W&A) in 2021 for construction management services for the Alta Vista Sewer Pump Station Project. In 2023, the agreement scope was expanded to include similar services for the Portofino Way and Yacht Club Way projects.
Following a series of corporate acquisitions, W&A is now operating as Accenture Infrastructure & Capital Projects, LLC (Accenture). The proposed Consent to Assignment Agreement retroactively approves the company transitions and formally recognizes Accenture as the successor consultant.
To continue supporting construction efforts, City staff also recommends approval of a second amendment to the agreement to increase the not to exceed total by $469,924, and extend the term to March 18, 2027. The additional funding and term will allow Accenture to address unforeseen construction and contractual issues, claims by the contractor, project extensions, and increased coordination needs. All other terms, including hourly rates and reimbursable expense policies, remain unchanged. Funding for this amendment is available in Capital Improvement Projects Nos. 50210 and 50260.
BACKGROUND
On November 16, 2021, the City entered into a professional services agreement with W&A to provide construction management and inspection services for the Alta Vista Sewer Pump Station Project. W&A’s role included oversight of field activities, contractor coordination, and documentation.
On May 16, 2023, the City approved a first amendment to the Agreement, expanding the scope to include the Portofino Way and Yacht Club Way Sewer Pump Station Projects and increasing the not to exceed compensation amount to $1,021,476.
At the time, the City was not aware that W&A had undergone a series of corporate changes. On October 4, 2021, W&A was acquired by Anser Advisory, LLC, and on August 7, 2023, Anser was acquired by Accenture Inc., which later became Accenture Infrastructure & Capital Projects, LLC. These transactions constituted assignments under the Agreement, requiring City consent. The proposed Consent to Assignment, effective June 3, 2025, retroactively authorizes these transfers and formally recognizes Accenture as the responsible party under the Agreement.
Also, a second amendment is being proposed to addresses the continued need for consultant support as construction progresses on the Portofino Way and Yacht Club Way Sewer Pump Station projects. Due to unforeseen construction and contractual issues, claims by the contractor, schedule extensions have necessitated additional inspection and management support to complete the Portofino Way pump station. Work on the Yacht Club Way pump station has been suspended pending resolution of disputes over the remaining work.
If approved, the second amendment would increase the contract compensation by $469,924 to provide capacity for continuing services under the assumption the Yacht Club Way project will continue. Approval would increase the revised not to exceed amount to $1,491,400, and extended the Agreement term to March 18, 2027. The second amendment would provide for uninterrupted oversight through project completion and closeout. All other terms of the Agreement, including hourly rates and reimbursable expense policies, remain unchanged. The continued involvement of Accenture, which has consistently demonstrated professional performance and responsiveness since assuming the Agreement, is essential to the success of these high-priority infrastructure improvements.
COORDINATION
The City Attorney’s Office has reviewed and approved the Consent to Assignment Agreement, as well as the proposed second amendment.
FISCAL IMPACT
Funding for this amendment is available in Capital Improvement Projects Nos. 50210 and 50260.
Funding: Expenditures:
Portofino PS, 50210 &
Yacht Club PS, 50260 $ 469,924 Amendment #2 $469,924
TOTAL $469,924 TOTAL $469,924
APPROVED BY:
Mike Witzansky, City Manager
ATTACHMENTS
• Consent to Assignment of the Agreement
• Agmt - Second Amendment to the Agreement
• Insurance - Accenture Infrastructure and Capital Projects, LLC