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HomeMy WebLinkAboutContracts & Agreements_60-2008_CCv0001.pdf AGREEMENT TO FURNISH ENGINEERING CONSULTING SERVICES FOR STREET LIGHTING AND LANDSCAPE MAINTENANCE DISTRICTS This agreement for the performance of assessment district engineering services ("Agreement") is made and entered into this 6th day of May, 2008 by and between the City of Redlands,a municipal corporation("City"),and Willdan Financial Services("Consultant")who are sometimes individually referred to herein as a"Party"and, together, as the"Parties." In consideration of the mutual promises,covenants and conditions hereinafter set forth,City and Consultant agree as follows: ARTICLE I - ENGAGEMENT OF CONSULTANT 1.1 City hereby engages Consultant to perform assessment district engineering services for City's Street Lighting District No. I and Landscape Maintenance District No. I (the "Services")- 1.2 The Services shall be performed by Consultant in a professional manner, and Consultant represents that it has the skill and the professional expertise necessary to provide the Services to City at a level of competency presently maintained by other practicing professional consultants in the industry providing like and similar types of services. ARTICLE 2,- SERVICES OF CONSULTANT 2.1 The Services which Consultant shall perform are more particularly described in Exhibit"A," entitled "Scope of Services," which is attached hereto and incorporated herein by this reference. 2,2 Consultant shall comply with all applicable Federal, State and local laws and regulations in the performance of this Agreement including, but not limited to, the Americans with Disabilities Act and the Fair Employment and Housing Act. ARTICLE 1-RESPONSIBILITIESOFCITY 3.1 City shall make available to Consultant information in its possession that is pertinent to the performance of Services. 3.2 City will make provision for Consultant to enter upon City-owned property, as reasonably required by Consultant, to perform the Services. 3.3 City designates Tom T. Fujiwara to act as its representative with respect to the Services to be performed under this Agreement. DJ1 M A W ARTICLE 4 - PERIOD OF SERVICE 4.1 Consultant shall perform the Services in a prompt and diligent manner and in accordance with the schedule established by City. ARTICLE 5 - PAYMENTS TO THE CONSULTANT 5.1 The total compensation for Consultant's performance of the Services shall not exceed the amount of Twenty Eight Thousand Dollars($28,000.00). City shall pay Consultant on a time and materials basis up to the not to exceed amount, based upon the hourly rates shown in Exhibit"B,"entitled "Rate Schedule." 5.2 Consultant shall bill City within ten days following the close of each month by submitting an invoice indicating the portion of the Services performed,who performed the Services and the detailed cost of all Services, including backup documentation. Payments by City to Consultant shall be made within thirty (30) days after receipt and approval of Consultant's invoice, by warrant payable to Consultant. 5.3 All notices shall be made in writing and may be given by personal delivery or by mail. Notices, sent by mail shall be addressed as follows: City Consultant Tom T. Fujiwara, P.E. Mark J. Risco City of Redlands Willdan Financial Services Municipal Utilities and c/o MuniFinancial Engineering Department 27368 Via Industria, Suite 110 PO Box 3005 Temecula, CA 92590 Redlands, CA 92373 When so addressed, such notices shall be deemed given upon deposit in the United States Mail. Changes may be made in the names and addresses of the person to whom notices and payments are to be given by giving notice pursuant to this section. ARTICLE 6 -INSURANCE AND INDEMNIFICATION 6.1 Ali insurance required by this Agreement shall be maintained by Consultant for the duration of this Agreement and shall be primary with respect to City and non-contributing to any insurance or self-insurance maintained by City. Consultant shall not perform any Services pursuant to this Agreement unless and until all required insurance listed below is obtained by Consultant. Consultant shall provide City with Certificates of Insurance and endorsements evidencing such insurance prior to commencement of the Services. All insurance policies shall include a provision prohibiting cancellation of the policy except upon thirty (3)0)days prior written notice to City. 6.2 A. Consultant shall secure and maintain Workers'Compensation and Employer's Liability insurance throughout the duration of this Agreement in amounts which meet statutory requirements with an insurance carrier acceptable to City. B. Consultant expressly waives all rights to subrogation against City, its elected officials, employees and volunteers for losses arising from work performed by Consultant for City by expressly waiving Consultant's immunity for injuries to Consultant's employees and agrees that the obligation to indemnify,defend and hold harmless provided for in this Agreement extends to any claim brought by or on behalf of any employee of Consultant. This waiver is mutually negotiated by the Parties. This waiver shall not apply to any damage resulting from the negligence of City, its agents and employees. To the extent any of the damages referenced herein were caused by or resulted from the concurrent negligence of City, its agents or employees,the obligations provided herein to indemnify,defend and hold harmless is valid and enforceable only to the extent of the negligence of Consultant,its officers,agents and employees. 6.3 Consultant shall secure and maintain in force throughout the duration of this Agreement comprehensive general liability insurance with carriers acceptable to City. Minimum coverage of One Million Dollars ($1,000,000) per occurrence and Two Million Dollars ($2,000,000)aggregate for public liability,property damage and personal injury is required. Consultant shall obtain an endorsement that City shall be named as an additional insured. 6.4 Consultant,shall secure and maintain professional liability insurance throughout the duration of this Agreement in the amount of One Million Dollars ($1,000,000)per occurrence and Two Million Dollars ($2,000,000)annual aggregate. 6.5 Consultant shall have business auto liability coverage,with minimum limits of One Million Dollars ($1,000,000) per occurrence, combined single limit for bodily injury liability and property damage liability. This coverage shall include all Consultant-owned vehicles used in connection with the Services,hired and non-owned vehicles,and employee non-ownership vehicles. Consultant shall obtain an endorsement that City shall be named as an additional insured. 6.6 Consultant is expressly prohibited from assigning any of the Services covered by this Agreement without the express prior written consent of City. In the event of mutual agreement between Parties to assign a portion of the Services, Consultant shall add the assignee as an additional insured and provide City with the insurance endorsements prior to any Services being performed by the assignee, Assignment does not include printing or other customary reimbursable expenses that may be provided for in this Agreement, Awcm�rqs 6.7 Consultant shall defend, indemnify and hold harmless City, its elected officials, officers, employees and agents, from and against any and all actions, claims, demands, lawsuits, losses and liability for damages to persons or property, including costs and attorneys! fees, that may be asserted or claimed by any person,firm,entity,corporation,political subdivision or other organization arising out of or in connection with Consultant's negligent and/or intentionally wrongful acts or omissions under this Agreement; but excluding such actions, claims,demands, lawsuits and liability for damages to persons or property arising from the negligence or intentionally wrongful acts of City, its officials, employees or agents. ARTICLE 7-CONFLICTS OF INTEREST 7.1 Consultant covenants and represents that it does not have any investment or interest in real property and shall not acquire any interest,direct or indirect,in the geographical area covered by this Agreement or any other source of income, interest in real property or investment which would be affected in any manner or degree by the performance of Consultant's Services. Consultant further covenants and represents that in the performance of its duties hereunder, no person having any such interest shall perform any Services under this Agreement. 7.2 Consultant agrees it is not a designated employee within the meaning of the Political Reform Act because Consultant: A. Does not make or participate in: (1) the making or any governmental decisions regarding approval of a rate, rule or regulation, or the adoption or enforcement of laws; (ii) the issuance, denial, suspension or revocation of permits, licenses, applications, certifications, approvals, orders or similar authorizations or entitlements; (iii) authorizing City to enter into, modify or renew a contract; (iv) granting City approval to a contract that requires City approval and to which City is a party, or to the specifications for such a contract; (v) granting City approval to a plan, design, report, study or similar item; (vi) adopting, or granting City approval of, policies, standards or guidelines for City or for any subdivision thereof. B. Does not serve in a staff capacity with City and in that capacity participate in making a governmental decision or otherwise perform the same or substantially all the same duties for City that would otherwise be performed by an individual holding a position specified in Ciry,S Conflict of Interest Code under Govemment Code section 87302. AAA Aztmcw�W--tHb, 7.3 In the event City officially determines that Consultant must disclose its financial interests by completing and filing a Fair Political Practices Commission Form 700. Statement of Economic Interests, Consultant shall file the subject Form 700 with the City Clerk's office pursuant to the written instructions provided by the Office of the City Clerk. ARTICLE 8 - GENERAL ( nXTQT---- 9.1 In the event any action is commenced to enforce or interpret any of the terms or conditions of this Agreement the prevailing Party shall, in addition to any costs and other relief, be entitled to the recovery of its reasonable attorneys' fees, including fees for use of in-house counsel by a party. 8.2 All documents,records,drawings,designs,cost estimates,electronic data files,databases and other documents developed by Consultant pursuant to this Agreement, and any copyright interest in such documents,shall become the property of City and shall be delivered to City upon completion of the Services,or upon the request of City. Any reuse of such documents and any use of incomplete documents will be at City's sole risk. 8.3 Consultant is for all purposes an independent contractor. Consultant shall supply all tools and instrumentalities required to perform the Services described in this Agreement. All personnel employed by Consultant are for its account only,and in no event shall Consultant or any personnel retained by it be deemed to have been employed by City or engaged by City for the account of, or on behalf of City. 8.4 Unless earlier terminated as provided for herein, this Agreement shall terminate upon completion and acceptance of the Services by City. 8.5 This Agreement may be terminated by the City,without cause,by providing five(5)business days prior written notice to the Consultant (delivered by certified mail, return receipt requested) of intent to terminate. 8.6 If this Agreement is terminated by City, an adjustment to Consultant's compensation shall be made,but(1)no amount shall be allowed for anticipated profit or unperformed services, and(2)any payment due Consultant at the time of termination may be adjusted to the extent" of any additional costs to City occasioned by any default by Consultant. 8.7 Upon receipt of a termination notice, Consultant shall (1) immediately discontinue all services affected,and(2)within five(5)days of the date of said termination notice,deliver or otherwise make available to City, copies (in both hard copy and electronic form, where applicable) of any data, design calculations, drawings, specifications, reports, estimates, summaries and such other information and materials as may have been accumulated by Consultant in performing the Services required by this Agreement. Consultant shall be compensated on a pro-rata basis for work completed up until notice of termination, kl Aa­nPts tit h 8.8 Consultant shall maintain books and accounts of all payroll costs and expenses related to the Services. Such books shall be available at all reasonable times for examination by City at the office of Consultant. 8.9 This Agreement, including the Exhibits incorporated herein by reference, represents the entire agreement and understanding between the Parties as to the matters contained herein, and any prior negotiations,written proposals or oral agreements relating to such matters are superseded by this Agreement. Any amendment to this Agreement shall be in writing, approved by City and signed by City and Consultant. 8.10 This Agreement shall be governed by and construed in accordance with the laws of the State of California. IN WITNESS Wf IEREOF,duly authorized representatives of the City and Consultant have signed in confirmation of this Agreement. City of Redlands Willdan Financial Ser By: By: JoJ J Har"rison- W —; yor o Harrison Mark J. 'sco layor Vice President Attest: City Clerk, City o!ye-la)ds EXHIBIT"A" SCOPE OF SERVICES ,MA�qeernc:�s ik cl-4)"oo- SCOPE OF SERVICES LANDSCAPING AND LIGHTING DISTRICT ADMINISTRATION As a part of this proposal for the City of Redlands, MuniFinancial offers to perform the following services for fiscal year 2008/09. MuniFinancial will: 1. Schedule an annual kick-off meeting with City staff to review the existing district information. Identify and discuss possible changes to the district for the upcoming fiscal year, including budget issues, annexations, modification, or expansion of district improvements, as well as legislative changes that may impact the districts. O 2. Prepare an annual levy timeline identifying key dates and timeframes for pertinent tasks throughout the levy process. This timeline will be reviewed and discussed with City staff. As needed, the timeline will also be adjusted to address the City's scheduling requirements or proposed district changes. 3. Utilizing the districts' fiscal year 2007/08 budgets, prepare the fiscal year 2008/09 budget for each respective district. MuniFinancial will use the updated parcel databases for the districts to provide estimates of the assessment revenue for the upcoming fiscal year. These revenue estimates will be incorporated into the fiscal year budgets for the districts,which will be analyzed to determine required changes in the level of assessment or funding from other sources. 4. Maintain and update a parcel levy database by using the parcel information from various sources. As new data becomes available, update the database and enhance the data through parcel research using current secured roll information, County Assessor maps, various third-party resources, and specific information provided by the City (e.g., up-to-date map approval status, building permits or certificate of occupancy data). Updates to the database will include those necessitated by the addition and/or removal of parcels,land subdivisions and merges, ownership and mailing address changes, and adjusted benefit unit information. This database will then become the source for the calculation of the annual district assessments. Based upon their assigned benefit, our MuniMagic software will be used to calculate the annual assessments for the parcels within the districts. This software is capable of handling complex assessment methodologies and formulas, calculating the annual assessments, and producing files in the required format for submittal to the County Auditor/Controller's Office. The same data can then be used to reproduce databases of assessed parcels in hardcopy, CD-ROM, or other electronic formats. The County secured roll, Assessor's parcel maps, or any other necessary or required data sources for the calculation of the annual assessments will then be purchased by MuniFM' ancial; and the cost will be passed onto the City. a. Draft necessary resolutions to be adopted in conjunction with the annual levy of assessments by utilizing resolutions previously adopted by the City for the annual levy process. If requested, MuniFinancial staff will prepare the necessary staff reports. By applying current Iegislation, MuniFinancial will identify and discuss recommended changes to the resolutions with the City. The City acknowledges that the City attorney will review all resolutions for form and content, as is intended. MuniFinancial 6. Attend, up to three (3) City meetings, public hearings and/or staff meetings. MuniFinancial will also be available to answer any questions requested by staff. MuniFinancial staff time for these meetings is included in our fee proposal, while travel expenses will be billed separately from actual costs incurred. 7. Prepare the districts'annual Engineer's Report in accordance with the Landscaping and Lighting Act of 1972,and the provisions of California Constitution Article 1IIID (Proposition 218). This report will include the following required items: • A general description of the district, which may include key historical facts, zone designations and discussion of district benefits; A description of the plans and improvement specifications (this may apply to documents to obtain details on file at the City); An estimate of the costs of the improvements (budget); • A description of the Method of Apportionment(assessment calculation); = A diagrams of the district (provided by the City); = An assessment of the estimated cost to each parcel;and • An affidavit stating that a professional engineer has been prepared the report 8. Provide the City with bound copies of the full Engineer's Report, including the collection roll, and one (1) unbound copy of the Engineer's Report for staff to reproduce,as needed. 9. Provide assessment amounts for each parcel by Assessor's Parcel Number to the County Auditor/Controller's Office in the media, format, and configuration required by the County for placement on the annual property tax roll. 10. Provide resolutions ordering the levy, collection of assessments, and any other necessary information to the County Auditor/Controller's Office. 11. Research the exceptions upon receipt of a parcel exceptions list from the County; and update parcel number changes, as well as report the revised parcels and updated levy amounts to the County. As necessary, MuniFinancial will prepare for City staff additional County-required correspondences relating to the submittal, correction, or removal of assessments to the County tax roll. 12. Provide the City with a levy summary report comparing budget amounts to the actual applied t levy. This levy summary will include a description of the reasons for any significant variances between the amounts budgeted, and the amounts actually applied to the County tax roll. 13. Act as primary contact (at the discretion of the City) to answer property owner questions regarding the districts and assessments. MuniFinancial typically provides the County our toll-free telephone number for inclusion on the tax bills for property owners to call with questions. 14. (Optional): Prepare and mail invoices (handbills) to all property owners whose proposed annual assessment for their parcel could not be applied to the County tax roll (parcels for which the County does not generate a tax bill). These invoices would be providedin two (2) installments, similar to the County tax bills, and would be payable directly to the City. This is an optional service, and the cost associated with this service is i1QI included in the annual fee; but magi be provided at our then-current hourly consulting rates (see `Additional Services" section), plus �tpri�se> MuniFinancial C` SCOPE OF SERVICES PROPOSITION 2 1 B BALLOTING SERVICES Below we present our proposed work plan by task for Proposition 218 noticing and balloting services for the City of Redlands. Our approach can be modified to fit the City's unique situations. MuniF'inancial will perform the following tasks: Detailed Analysis of Districts, Re-engineering, and Assessment Balloting Task 1 -Document Revia wand Initial Action Plan Q Objectives: The objectives for this phase is to gather and review available documents and information related to the annual levy of assessments and formation of the districts, develop a better understanding of each district's purpose and history, identify any obvious benefit issues or inconsistencies, evaluate compliance with the laws governing the assessments, and develop an initial action plan and recommendations for potential approaches. Description: Conduct a conference call with City staff to discuss the goals and objectives of the project, City organizational structure, its general policies and procedures, and points of contact. Provide the City with an initial list of documents and/or data needed for our preliminary review. This will include, but not be limited to, prior Engineer's Reports and staff reports, formation documents and proceedings, boundary diagrams and maps, a detailed listing of improvements and/or services for each district, cost estimates for the districts, assessment history,resolutions and opinions from your City's legal counsel and significant or notable changes to the districts. Review available documentation and data for the districts to identify areas of concern or incomplete information including: Compliance with the California Constitution article XIIID (Proposition 218) or possible exemption status; Methods of apportionment; Assessment history and identification of maximum assessment rates; Identification and clarity of the improvements and services provided, and relationship to assessed properties (reasonable benefit nexus); and General review of district budgets (expenditures and revenues). Deliverables: None. Meetings: Initial kick-off conference call to go over goals and objectives with City staff. MuniF'Inancial Task2 -Maintenance District Improvement/Service Review Objectives: To provide clarity to the Engineer's Report; and ensure the City's ability to effectively communicate the need for continuing annual assessments, and the benefits property owners receive. Evaluate both the current expenses associated with the improvements, as well as long-term considerations (e.g., rehabilitation and replacement costs). Descrlprion. Utilizing a detailed improvement inventory list of all district improvements, services and associated amenities provided by the City, MuniFinancial will: 1. Organize a detailed listing and description of district improvements. 2. Review the location of the improvements and their relationship to properties within the district, as well as surrounding properties outside the district. This review is the first step in establishing a defendable special benefit nexus for possible increases to district assessments, but may also provide insight to the efforts required for public outreach and communication. 3. Perform a preliminary cost recovery analysis to identify costs and expenses associated with the improvements and services, which the City may not be identifying and recovering through the annual assessments or costs that provide a general benefit,rather than special benefits. 4. Review findings with the City to determine what changes or what further actions may be required. Deliverables: Based on location and type that can be incorporated into the Engineer's Report, a detailed listing and description of district improvements. Meetings: None. Task 3 -Benefit and Methodology Analysis Objective: Analyze the assessment methodology used for the district(s) to determine if the current methodology could withstand the higher scrutiny of benefit (as defined by Proposition 218) and if there is a clear definition of benefit. Description: Evaluate the existing district structures, the improvements within the district(s), the benefit nexus the improvements provide to properties 'Within the districts, and alternatives to the current Method of Apportionment. MuniFinancial will perform the following tasks: 1. Evaluate and prepare a list of special benefits that properties derive from the improvements and services that is based on the type of improvements and services provided by the district. 2. Prepare a special/general benefit analysis of the district to ensure chat both benefit factors are separate and distinct and that the general benefit portion is not included in the assessments. 3. Based on common assessment engineering pracnces and our access to a broad range of methodologies, we will idennfv an appropmre and reasonable \fcthod of .App,,rn,)nrncnr rhar provides an cgwubic .pread 4 isrricr o ,rs darn cid :rtJn� inch parccl > inIxidllal hcncf2r Cr u,;c; n,rr „".cr1F C,,I?ipflCire the (mgoing admirusrranon est rhe arse �rnenrs j. MuniFinancial Deliverables: None. Mee6ws: Conduct a conference call to discuss findings and our recommended modifications (if any) to the district Method of apportionment with City staff. This discussion will include the pros and cons of implementing any recommended changes. Task 4-Implementation of Re-engineering and Assessment Increases Objective: MuniFinancial and City staff will review and discuss specific strategies necessary to implement any proposed re-engineering or assessment increases. Description: The following outlines several tasks and considerations for implementing a re-engineering of a district and proposed assessment increase. Included are tasks that are required by Proposition 218 and education sessions for the public. Our approach can be modified to fit the City's unique situations. a. Required Proposition 218 Tasks 1. Prepare an updated Engineer's Report for the district(s) to be presented to the City Council. The report(s) will include the findings of the special/general benefit analysis, an updated budget incorporating the proposed assessment increase, a clear description of the improvements and services provided, and related background information. The report(s) will be clearly written in a format that is easy for the general public to understand. 2. Prepare the resolutions to be adopted by the City Council,as part of the annual levy process and proposed assessment increase. The resolutions will be presented to City staff, including the City's legal counsel, prior to the City's agenda deadlines. 3. Prepare notices and ballots regarding any proposed assessment increase. We will ensure that the language of the notices and ballots complies with the requirements of Proposition 218, but also ensure that it is easy to understand for the average homeowner. We will submit the notice and ballot template to City staff for review and comment. 4. Assist the City Clerk with the tabulation of the ballots returned upon conclusion of the public hearing. Our standard ballots include bar-code information that allows us to electronically tabulate the ballots. 5. Provide results to the City Clerk upon completion of the ballot tabulation for confirmation and presentation to the City Council. 6. Provide fiscal year 2009/10 assessment amounts for each parcel by :assessor's Parcel Number to the County ;auditor/Controller's Office in the media, format, and configuration required by the County for placement on the annual property tax roll. b. Community Outreach Services A well-orchestrated community outreach program may vary for each district and can have many, facets, including community workshops, involvement and use of activist groups and volunteers, citizen advisory committees, informanonal brochures, newspaper articles, and other public-relations tctirtriel_ The rtmin.i� and implcfrcnt.m,)n ,t thc,r c�mtrnur.�can�m rcxl; dvpctldS ',n rfic CoTrnple`iry ,rt Che t,�tK'�, thc IM,, llr ,t rht' np,p,„cd 1f1k 1(%1u', Al; wed as the ',17c of the distnct. Ms MuniFinancial MuniFinancial can provide certain elements of a focused community outreach program to garner property-owner support for assessment increases,including. 1. Establish a timeline of events for the ballot process, and coordinate the scheduling and implementation of the public outreach strategy. 2. Prior to the mailing of ballots, assist City staff with one (1) public outreach workshop for targeted propertyowners or areas within the district(s). The primary objectives of a pre-ballot public workshop are to: (a) Open communication and dialogue between the City and the property owners being assessed; and (b) Gain support, and gauge the level of assessment increase the property owners will support. 3. Assist City staff with one (1) property owner workshop scheduled after the notices and ballots have been mailed. At this point, the proposed assessment increase is set for balloting purposes. These workshops are more informational in nature and emphasize the importance of the assessments and the improvements they fund. Although MuniFinancial can facilitate these meetings, it is our experience that the public is often more receptive to City staff taking the lead with MuniFinancial providing technical support. Mee6vs. Two (2) meetings may be scheduled, and one (1) property owner workshop with affected property owners within each of the two (2) districts. Deliverables: Re-engineered report, resolutions, ballot template, and fiscal year 2009/10 applied levy report. CLIENT RESPONSIBILITIES MuniFinancial will rely on being able to obtain the following information from the City of Redlands: Electronic or hardcopy diagram with original district boundaries. Electronic or hardcopy of the City of Redlands boundary map with street identification information that will be necessary to identify and correlate to County assessor's parcel maps. Electronic or hardcopy landscape improvement diagrams and landscape plans. A detailed improvement inventory list of all district improvements. Zoning or land use information (as needed) for areas within the boundaries of the district. Availability of City staff to discuss city boundaries and land use information for situations where a parcel's location or land use is questionable using County data. 'Fhe City of Redlands acknowledges that MuniFinancial shall be relying upon the accuracy of the information provided by the City and its designees, and agrees that MuniFinancial shall not be liable for anv inaccuracies contained therein. MuniFinancial EXHIBIT`B" RATE SCHEDULE r� ADDITIONAL SERVICES HOURLY RATES Additional services may be authorized by the City and will be billed at our then-current hourly consulting rates. Our current hourly rates are: F v rood Man8 125 Project Manager 195 Senior Project Analyst 95 Senior Analyst 85 Analyst 75 Analyst Assistant 65 Property Owner Services Representative 50 Support Staffs { MuniFinancial