CTR055977_Amendment__13_-_Bilateral_Rate_Increase.pdf

Form approved by CPO, Rev. 12-18-2018

CONTRACT AMENDMENT

CONTRACT NO.:

AMENDMENT NO.:

TITLE:

CONTRACTOR:

CTR055977

NO. 13

Statewide Assessment and Remediation of Hazardous or Regulated Substances or Materials Matrix New World Engineering

ADEQ PROCUREMENT

1110 W. Washington Street Phoenix, AZ 85007 602-771-4776

THE PURPOSE OF THIS AMENDMENT IS TO:

1. New Contract Rates as of August 26, 2024.

(*Subcontract Out)

2. All other Terms and Conditions remain unchanged.

Matrix New World Engineering ARIZONA DEPARTMENT OF ENVIRONMENTAL QUALITY

The Contractor hereby acknowledges receipt and understanding of the above Amendment.

The above referenced contract Amendment is hereby executed this day at Phoenix, Arizona.

Day of 2024 Signature of Authorized Individual Date

Typed or Printed Name and Title Vanessa Mendoza, Procurement Officer

Available online at Arizona Procurement Portal (APP) eProcurement System https://app.az.gov Page 1

09/15/24

Vice President - Hydrogeological Services

16th September https://app.az.gov/

Matrix New World Engineering

3033 N. 44 Street, Ste 270

Phoenix, AZ 85018

602.955.5547 973.240.1800 mnwe.com

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August 26, 2024

Ms. Vanessa Mendoza, MPA, CPPB Senior Procurement Specialist Arizona Department of Environmental Quality 1110 W. Washington Street Phoenix, Arizona 85007

Electronically Submitted to: mendoza.vanessa@azdeq.gov P21-419

SUBJECT: Request for Rate Increase Counteroffer – ADEQ Statewide Assessment and

Remediation of Hazardous or Regulated Substances or Materials Contract No.

CTR055977, Matrix New World Engineering

Dear Ms. Mendoza:

Matrix New World Engineering, Land Surveying and Landscape Architecture, PC (Matrix) has received your email response dated August 17, 2024 to our request for a rate increase for Arizona Department of Environmental Quality (ADEQ) Contract No. CTR055977 to perform Statewide Assessment and Remediation of Hazardous or Regulated Substances or Materials. In our Request for Rate Increase Consideration dated July 18, 2024 (Attachment I), Matrix requested and demonstrated the need for a 11.45% increase in our rates as shown in Chart 1 below (blue column). In your email counteroffer, ADEQ offered an overall 10% rate increase as shown in Chart 1 (orange columns).

Chart 1 Rate Increase Counteroffer – Matrix CTR055977 for Statewide Assessment and

Remediation of Hazardous or Regulated Substances or Materials

Support Services

Initial

Base

Hourly

Rate

Matrix Proposed

Base Hourly Rate

(11.45% increase, roundup to nearest 0.10)

ADEQ

Counteroffer

(% increase)

ADEQ

Counteroffer

($/hr)

Matrix

Counteroffer

(% increase)

Matrix

Counteroffer

($/hr)

Support Level I 20 22.30 11.45 22.30 8.00 21.60

Support Level II 30 33.50 11.65 33.50 8.00 32.40

Support Level III 60 66.90 11.45 66.90 11.45 66.90

Field Services

Field Services Level I 20 22.30 11.45 22.30 8.00 21.60

Field Services Level II 30 33.50 11.65 33.50 8.00 32.40

Field Services Level III 75 83.60 6.55 80.00 11.45 83.60

Field Services Manager 95 105.90 5.20 100.00 11.45 105.90

Field Services Staff

(Archaeologist) 20 22.30 11.45 22.30 8.00 21.60

Professional Personnel

Professional Level I 65 72.50 11.45 72.50 11.45 72.50

Professional Level II 85 94.80 11.45 94.80 11.45 94.80

Professional Level III 105 117.10 9.50 115.00 11.45 117.10

Professional Level IV 125 139.40 5.55 132.00 11.45 139.40

Professional Level V 135 150.50 11.45 150.50 11.45 150.50

Professional Level VI 145 161.70 11.45 161.70 11.45 161.70

10 10 mailto:mendoza.vanessa@azdeq.gov

Request for Rate Increase Counterof fer ADEQ Statewide Assessment and Remediation of Hazardous or Regulated Substances or Materials Contract #CTR055977 August 26, 2024

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Matrix agrees to the overall 10% rate increase threshold, but respectfully asks that the rates be distributed as shown in the green columns (Chart 1) with the goal of enabling Matrix to pay our highly qualif ied staff competitive salaries and benefits and thereby retain the talent necessary to continue provide the State with the degree of excellence you expect and deserve on Statewide Assessment and Remediation of Hazardous or Regulated Substances or Materials contract CTR055977.

Effective upon your written approval, this adjustment will help Matrix offset inflationary impacts to our business operations and ensure we can maintain the quality and reliability of our services. Please note that we are only requesting an increase of our labor rates and will continue to hold our equipment rates as originally proposed.

Thank you for your understanding and continued trust in Matrix. We greatly value our relationship and are dedicated to supporting ADEQ’s needs. If you have any questions or would like to discuss this matter further, please do not hesitate to contact Mr. Harry Brenton at 480.322.1474, hbrenton@mnwe.com or Ms. Georgia Waters at 602.955.5547, gwaters@mnwe.com .

Sincerely, Harry S. Brenton, RG Georgia L. Waters, RG Vice President, Hydrogeological Services Senior Project Hydrogeologist cc: Sharon Stecker, Vice President, National Environmental Services

Attachment I Request for Rate Increase Consideration, Matrix letter DTD July 18, 2024 mailto:hbrenton@mnwe.com mailto:gwaters@mnwe.com

Request for Rate Increase Counterof fer or Regulated Substances or Materials Contract #CTR055977 August 26, 2024

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ATTACHMENT I

Request for Rate Increase Consideration, Matrix letter DTD July 18, 2024

3033 N. 44 Street, Ste 270 Phoenix, AZ 85018

602.955.5547 973.240.1800 mnwe.com

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July 18, 2024

Ms. Patricia Lorenzen, Procurement Officer Arizona Department of Environmental Quality 1110 W. Washington Street Phoenix, Arizona 85007

Electronically Submitted to: lorenzen.patricia@azdeq.gov P21-419

SUBJECT: Request for Rate Increase Consideration – ADEQ Statewide Assessment and

Remediation of Hazardous or Regulated Substances or Materials Contract No.

CTR055977, Matrix New World Engineering

Dear Ms. Lorenzen:

Matrix New World Engineering, Land Surveying and Landscape Architecture, PC (Matrix) currently holds Contract No. CTR055977 with the Arizona Department of Environmental Quality (ADEQ) to perform Statewide Assessment and Remediation of Hazardous or Regulated Substances or Materials. Matrix has continued to work under terms of the original Agreement created July 1, 2021. Per Section 2.3 of the Agreement, we agreed that our billing rates would be fixed for the first year of the contract (July 2021 – July 2022) and would be reviewed periodically.

Over the past few years, Matrix has experienced significant inflationary pressures impacting various aspects of our operations. These include increased costs for materials, insurance, labor, and other essential resources critical to delivering our services. Despite our best efforts to absorb these costs and implement efficiencies wherever possible, the cumulative impact from July 2021 to present has been substantial, at well over 15%.

As a basis to justify an increase in our labor rates; according to data from the Bureau of Labor Statistics, the Consumer Price Index (CPI), the CPI for July 2021 was approximately 273.003 (Bureau of Labor Statistics), (Bureau of Labor Statistics). As of the most recent data, the CPI for May 2024 is around 304.3, and while the exact CPI for July 2024 is not yet released, it's reasonable to use the latest available figure for a close approximation.

Using these values, we calculate the percentage increase as approximately 11.45%.

To continue providing the exceptional service ADEQ expects and deserves, we find it necessary to adjust our rates accordingly. Therefore, Matrix proposes a rate increase of 11.45%, rounded up to the nearest ten cents as noted in the revised / comparison pricing sheet included as Attachment I. Effective upon your written approval, this adjustment will help us offset the inflationary impacts and ensure we can maintain the quality and reliability of our services. Please note that we are only requesting an increase of our labor rates and will continue to hold our equipment rates as originally proposed.

We are confident that Matrix and ADEQ have mutually benefited from our strong working relationship and this modest rate increase is commensurate with the high quality of service, excellent talent and ultimate value Matrix has consistently provided. Furthermore, we are confident that our rates will remain highly competitive with other firms serving ADEQ under the Statewide Assessment and Remediation of Hazardous or Regulated Substances or Materials contract.

mailto:lorenzen.patricia@azdeq.gov https://www.bls.gov/news.release/archives/cpi_08112021.pdf#:~:text=URL%3A%20https%3A%2F%2Fwww.bls.gov%2Fnews.release%2Farchives%2Fcpi_08112021.pdf%0AVisible%3A%200%25%20 https://www.bls.gov/news.release/archives/cpi_08112021.pdf#:~:text=URL%3A%20https%3A%2F%2Fwww.bls.gov%2Fnews.release%2Farchives%2Fcpi_08112021.pdf%0AVisible%3A%200%25%20 https://www.bls.gov/opub/ted/2021/consumer-prices-up-5-4-percent-in-12-months-ended-july-2021.htm

Request for Rate Increase Consideration or Regulated Substances or Materials Contract #CTR055977 July 18, 2024

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Thank you for your understanding and continued trust in Matrix. We greatly value our relationship and are dedicated to supporting ADEQ’s needs. If you have any questions or would like to discuss this matter further, please do not hesitate to contact Mr. Harry Brenton at 480.322.1474, hbrenton@mnwe.com or Ms. Georgia Waters at 602.955.5547, gwaters@mnwe.com .

Sincerely, Harry S. Brenton, RG Georgia L. Waters, RG Vice President, Hydrogeological Services Senior Project Hydrogeologist cc: Sharon Stecker, Vice President, National Environmental Services

Attachment I Pricing Comparison Form mailto:hbrenton@mnwe.com mailto:gwaters@mnwe.com

Request for Rate Increase Consideration or Regulated Substances or Materials Contract #CTR055977 July 18, 2024

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ATTACHMENT I

Pricing Comparison Form

Request for Proposal Solicitation No. BPM003359

Description:

Statewide Assessment and Remediation of Hazardous or Regulated Substances or

Materials

Arizona Department of Environmental Quality

1110 W. Washington Street Phoenix, AZ 85007

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EXHIBIT D – PRICING SHEET (RATE INCREASE REQUEST FOR MATRIX NEW WORLD ENGINEERING – CTR055977, July 18, 2024) (11.45% Rate Increase)

Support Services Minimum Responsibilities, Qualifications and Education Base Hourly Rate Proposed New Base

Hourly Rate

Support Level I

Responsibilities: Clerical, word processing, filing, general administration.

$ _____20.00 $ 22.30 Qualifications: Entry level, no experience restriction.

Education: No education restriction.

Support Level II

Responsibilities: Drafting, project manager’s assistant, graphics.

$ _____30.00 $ 33.50 Qualifications: 1 - 2 years experience.

Education: No education restriction.

Support Level III

Responsibilities:

Drafting supervisor, administrator supervisor, Senior Word

Processor.

$ _____60.00 $ 66.90 Qualifications: 3 - 5 years experience.

Education: No education restriction.

Field Services Minimum Responsibilities, Qualifications and Education Base Hourly Rate

Field Services Level I

Responsibilities: Closely supervised; conducts routine heavy labor during equipment installations; sampling/gauging, equipment maintenance. $ _____20.00 $ 22.30 Qualifications: Entry level, 1 - 2 years of experience.

Education: No education restriction.

Field Services Level II

Responsibilities: Limited supervision; occasional heavy labor;

sampling/gauging, equipment installations, operations, troubleshooting. $ _____30.00 $ 33.50 Qualifications: 3 – 5 years of experience.

Education: No education restriction.

Field Services Level III

Responsibilities: Supervises on-site tasks such as system installations and operations, trouble shooting; technical advisor.

$ _____75.00 $ 83.60 Qualifications: 6 – 8 years of experience.

Education: No education restriction.

Field Services Manager

Responsibilities: Overall supervision of field services staff; works with Project

Managers on scheduling and coordination.

$ _____95.00 $ 105.90 Qualifications: 9 or more years of experience.

Education: No education restriction.

Field Services Staff ǂ (Cultural resource surveys or archaeological studies and data recovery only)

Responsibilities: Limited supervision; experience in historic and prehistoric archaeological investigations, reconnaissance and intensive surveys. ǂ Subcontractor $ _____20.00 $ 22.30

Qualifications:

3 - 5 years experience/knowledge of the history and prehistory of Arizona.

Education: Bachelor’s degree in archeology required.

Professional Personnel * Minimum Responsibilities, Qualifications and Education Base Hourly Rate

Professional Level I

Responsibilities: Close supervision, routine tasks associated with environmental projects.

$ _____65.00 $ 72.50 Qualifications No 1:

Qualifications No 2:

1 - 2 years of experience.

8 or more years experience

Education No 1:

Education No 2:

Bachelor of Science (BS) degree.

Associate degree.

Professional Level II

Responsibilities: Collects and interprets data, report writing, provides project input.

$ _____85.00 $ 94.80 Qualifications No 1:

Qualifications No 2:

3 - 5 years of experience

8 or more years experience

Education No 1:

Education No 2:

Bachelor of Science (BS) degree.

Associate degree.

Professional Level III

Responsibilities: Limited supervision, independent fieldwork, oversees

Professional Levels I and II.

$ ____105.00 $ 117.10 Qualifications No. 1:

6 - 8 years of experience with Bachelor of Science (BS) degree.

Qualifications No. 2: 5 - 7 years of experience with Masters degree.

Professional Level IV

Responsibilities: Manages projects of moderate scope, prepares cost estimates, supervises others.

$ ____125.00 $ 139.40 Qualifications No. 1:

9 – 12 years experience with Bachelor of Science (BS) degree or registration (PE or RG).

Qualifications No. 2: 8 – 11 years of experience with Masters degree.

Professional Level V

Responsibilities: Senior technical leader for environmental projects, QA of

Project Plans, report review.

$ ____135.00 $ 150.50

Qualifications: 13 or more years of experience.

Education: Advanced degree in field or registration (PE or RG).

** Must meet both the experience & education requirements **

Request for Proposal Solicitation No. BPM003359

Description:

Statewide Assessment and Remediation of Hazardous or Regulated Substances or

Materials

Arizona Department of Environmental Quality

1110 W. Washington Street Phoenix, AZ 85007

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Professional Level VI

Responsibilities: Recognized registered professional, resident expert, expert testimony, QA of Project Plans and report review and/or

Oversees and coordinates all levels of personnel, senior technical leader and is an Office manager that has signature authority.

$ ____145.00 $ 161.70 Qualifications No. 1:

10 or more years in field project formulation, site characterization, remediation system design and construction and technical reporting experience.

Education No. 1: Doctorate degree in field and registration (PE or RG).

Qualifications No. 2:

20 or more years in field project formulation, site characterization remediation system design and construction, technical reporting experience and current Office Manager.

Education No. 2: Advanced degree in field and registration (PE or RG).

** Must meet both the experience & education requirements **

* There will be multiple technical disciplines that will fall under the descriptions of each professional level. (i.e.) A geologist, engineer, public involvement specialist, or environmental scientist with one year environmental experience would each fall under a Professional Level I.

Equipment Name Per Day Per Week Per Month

Vehicle $ 175. 00 $ 900. 00 $ 2,500. 00

Generator $_______120. 00 $ 360. 00 $ 1,080. 00

Interface Probe $ 100. 00 $ 300. 00 $ 900. 00

Organic Vapor Meter (OVM) $ 100. 00 $ 300. 00 $ 900. 00 pH / EC / Temp Meter $ 65. 00 $ 195. 00 $ 585. 00

PID $ 100. 00 $ 300. 00 $ 900. 00

FID $ 185. 00 $ 555. 00 $ 1,665. 00

CGI (Combustible Gas Indicator) $ 100. 00 $ 300. 00 $ 900. 00

Bladder Pump $ 185. 00 $ 555. 00 $ 1,665. 00

Centrifugal Pump $ 100. 00 $ 350. 00 $ 700. 00

Peristaltic Pump $ 75. 00 $ 225. 00 $ 675. 00

Water Level Indicator $ 75. 00 $ 225. 00 $ 675. 00

Metal Detector $ 60. 00 $ 180. 00 $ 540. 00

Steam Cleaner $ 300. 00 $ 1,025. 00 $ 2,000. 00

Air Compressor $ 75. 00 $ 225. 00 $ 675. 00

Dissolved Oxygen Meter $ 85. 00 $ 255. 00 $ 765. 00

Submersible Pump $ 250. 00 $ 750. 00 $ 2,250. 00

X-ray Fluorescent (XRF) $ 450. 00 $ 1,800. 00 $ 4,500. 00

Mini Ram $ 95. 00 $ 300. 00 $ 900. 00

Bailer (reusable) $ 30. 00 $ 90. 00 $ 150. 00

Hand Auger $ 100. 00 $ 300. 00 $ 900. 00

Impact Sampler $ 35. 00 $ 65. 00 $ 180. 00

GPS Equipment $ 45. 00 $ 135. 00 $ 405. 00

Flow Meter $ 100. 00 $ 300. 00 $ 900. 00

Discrete Interval Sampler $ 45. 00 $ 135. 00 $ 405. 00

Flow Through Cell $ 50. 00 $ 150. 00 $ 450. 00

Pressure Transducer, Cable and Data Logger $ 110. 00 $ 330. 00 $ 990. 00

Level C Field Work $ 300. 00 $ 1,200. 00 $ 4,000. 00