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Agenda Packet City Council - 12/20/2016
Corpus Christi 1201 Leopard Street f' Corpus Christi,TX 78401 cctexas.com Meeting Agenda - Final City Council Tuesday, December 20,2016 2:00 PM Council Chambers Public Notice - - THE USE OF CELLULAR PHONES AND SOUND ACTIVATED PAGERS ARE PROHIBITED IN THE CITY COUNCIL CHAMBERS DURING MEETINGS OF THE CITY COUNCIL. MEMBERS OF THE AUDIENCE WILL BE PROVIDED AN OPPORTUNITY TO ADDRESS THE COUNCIL AT APPROXIMATELY 5:30 P.M. ON CITY-RELATED MATTERS THAT ARE NOT SCHEDULED ON THE AGENDA. PUBLIC COMMENT ON AGENDA ACTION ITEMS WILL BE HEARD AT THE TIME THE COUNCIL CONSIDERS THE AGENDA ITEM. CITIZEN COMMENTS WILL BE LIMITED TO THREE MINUTES. Please speak into the microphone located at the podium and state your name and address. If you have a petition or other information pertaining to your subject, please present it to the City Secretary. Any electronic media (e.g. CD, DVD, flash drive) that the Public would like to use while they speak to the City Council MUST be submitted a minimum of 24 hours prior to the meeting. Please contact the Public Communications department at 361-826-3211 to coordinate. Si Usted desea dirigirse al Concilio y cree que su ingles es limitado, habra un interprete ingles-espano/en todas las juntas del Concilio para ayudarle. Persons with disabilities who plan to attend this meeting and who may need auxiliary aids or services are requested to contact the City Secretary's office(at 361-826-3105) at least 48 hours in advance so that appropriate arrangements can be made. A. Mayor Dan McQueen to call the meeting to order. B. Invocation to be given by Elder Henry Williams, Corpus Christi Christian Fellowship. C. Pledge of Allegiance to the Flag of the United States to be led by Billy Delgado, Emergency Management Coordinator/ Fire Department. D. City Secretary Rebecca Huerta to call the roll of the required Charter Officers. E. Proclamations / Commendations - (NONE) F. CITY MANAGER'S COMMENTS / UPDATE ON CITY OPERATIONS: a. OTHER Corpus Christi Page 1 Printed on 12/16/2016 City Council Meeting Agenda-Final December 20,2016 G. MINUTES: 1. 16-1441 Special and Regular Meetings of December 13, 2016. H. BOARD &COMMITTEE APPOINTMENTS: 2. 16-1434 Coastal Bend Council of Governments North Padre Island Development Corporation Reinvestment Zone No.2 Board Reinvestment Zone No.3 Board I. EXPLANATION OF COUNCIL ACTION: For administrative convenience, certain of the agenda items are listed as motions, resolutions, or ordinances. If deemed appropriate, the City Council will use a different method of adoption from the one listed, may finally pass an ordinance by adopting it as an emergency measure rather than a two reading ordinance,or may modify the action specified. A motion to reconsider may be made at this meeting of a vote at the last regular, or a subsequent special meeting,such agendas are incorporated herein for reconsideration and action on any reconsidered item. J. CONSENT AGENDA: (ITEMS 3 -26) NOTICE TO THE PUBLIC: The following items are consent motions, resolutions, and ordinances of a routine or administrative nature. The Council has been furnished with background and support material on each item, and/or it has been discussed at a previous meeting. All items will be acted upon by one vote without being discussed separately unless requested by a Council Member or a citizen, in which event the item or items will immediately be withdrawn for individual consideration in its normal sequence after the items not requiring separate discussion have been acted upon. The remaining items will be adopted by one vote. 3. 16-1398 Appointing Board Members to the Corpus Christi Housing Finance Corporation and the Corpus Christi Industrial Development Corporation Motion appointing Council Members Dan McQueen, Michael T. Hunter, Joe McComb, Paulette Guajardo, Carolyn Vaughn, Ben Molina, Lucy Rubio, Greg Smith, and Rudy Garza as Board Members to the Corpus Christi Housing Finance Corporation and the Corpus Christi Industrial Development Corporation. Sponsors: City Secretary's Office 4. 16-1397 Appointing Board Members to the Coastal Bend Health Facilities Development Corporation and the Coastal Bend Cultural Education Facilities Finance Corporation Motion appointing Council Members Dan McQueen, Michael T. Hunter, Joe McComb, Paulette Guajardo, Carolyn Vaughn, Ben Molina, Lucy Rubio, Greg Smith, and Rudy Garza as Board Members to the Coastal Bend Health Facilities Development Corporation and the Coastal Bend Corpus Christi Page 2 Printed on 12116/2016 City Council Meeting Agenda-Final December 20,2016 Cultural Education Facilities Finance Corporation. Sponsors: City Secretary's Office 5. 16-1233 Approval of an antenna space Lease Agreement for rooftop space for Public Safety Radio Communications System Motion authorizing the City Manager or designee to renew a Lease Agreement with One Shoreline Plaza, LLC, for ten years with an optional extended term of ten years and approving monthly lease payments of$13,040 per month with annual rent increase of 3% for rooftop space and equipment room necessary to support the Public Safety Communications System. Sponsors: Police Department 6. 16-1366 Resolution authorizing an Interlocal Agreement with Department of Health Services (DSHS) for analysis of bay water samples and ratifying acceptance of agreement to begin September 1, 2016 Resolution authorizing the City Manager or designee to execute an Interlocal Cooperation Agreement with the Department of State Health Services (DSHS), in an amount not to exceed $56,000.00, to provide laboratory services for the analysis of bay water samples for the contract period of September 1, 2016, through August 31, 2018; and to ratify acceptance of the agreement to begin as of September 1, 2016. Sponsors: Health Department 7. 16-1265 Resolution approving Service Agreements for mowing and ground maintenance for various parks and all Wastewater plants across the City Resolution finding the lowest responsive, responsible bidder for ground maintenance services by group in response to Bid Nos. 138, 139, 140, 141, 142, 143, 144, 145, and 146; awarding a one-year service agreement, with two one-year renewals, to the lowest responsible bidder per bid number; and authorizing the City Manager or designee to execute the service agreements. Cut Masters Lawn Service Dorame General Repair Corpus Christi, Texas Corpus Christi, Texas Group 1, 11, 12, 13, 14, 16 Group 9, 10, 15 $167,349.66 $66,172.04 Grand Total $233,521.70 Sponsors: Parks and Recreation Department and Purchasing Division 8. 16-1102 Resolution approving Type A Grant for Texas A&M University - Corpus Christi (TAMU-CC) Internship Program Corpus Christi Page 3 Printed on 12/16/2016 City Council Meeting Agenda-Final December 20,2016 Resolution approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Texas A&M University - Corpus Christi (TAMU-CC) to provide grant up to $150,000 for their internship program to assist small businesses. Sponsors: Economic Development 9. 16-1103 Resolution approving Type A Grant for Del Mar College Internship Program Resolution approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Del Mar College (Del Mar) to provide grant up to $150,000 for their internship program to assist small businesses. Sponsors: Economic Development 10. 16-0888 Resolution approving Type A Grant for Del Mar Procurement Technical Assistance Center(PTAC) Program Resolution approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Del Mar College (Del Mar) to provide a grant up to $48,490 for their Procurement Technical Assistance Center (PTAC) to assist small businesses. Sponsors: Economic Development 11. 16-1364 Resolution adopting Amended Type A Business Incentive Guidelines Resolution adopting Amended Corpus Christi Business and Job Development Corporation Guidelines and Criteria for Granting Business Incentives. Sponsors: Economic Development 12. 16-1370 Approval of a Supply Agreement for purchasing Water Meters Motion approving a supply agreement with Neptune Technology Group, Inc., of Houston, Texas for water meters for a total amount of $743,691.19, of which $557,769 has been budgeted in the Water Fund for FY2016-17, and which award is based on the cooperative purchasing agreement with the Houston-Galveston Area Council for a term of one year with an option to extend for up to one additional eight-month period. Sponsors: Water Utilities Department and Purchasing Division 13. 16-1372 Engineering Construction Contract for Tuloso Road from Leopard Street to IH 37 (Rebid) (Bond 2012, Proposition 1) Corpus Christi Page 4 Printed on 12/16/2016 City Council Meeting Agenda-Final December 20,2016 Motion authorizing the City Manager, or designee, to execute a construction contract with Bay, LTD. of Corpus Christi, Texas in the amount of$2,181,527.42 for Tuloso Road from Leopard Street to IH 37 Re-bid for the total base bid. (Bond 2012, Proposition 1) Sponsors: Street Department and Engineering Services 14. 16-1379 Engineering Construction Contract for North Padre Island Beach Access Road 3A (Bond 2014, Proposition 2) Motion authorizing the City Manager, or designee, to execute a construction contract with JE Construction Services of Corpus Christi, Texas in the amount of$340,389.04 for North Padre Island Beach Access Road 3A for total base bid and additive alternate No.1. (Bond 2014, Proposition 2) Sponsors: Engineering Services and Street Department 15. 16-1375 Engineering Construction and Design Amendment Contracts for O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase 1 (Capital Improvement Program) Motion authorizing the City Manager or designee to execute Amendment No. 1 to the engineering design contract with LNV, Inc. of Corpus Christi, Texas in the amount of$91,480 for a total restated fee of$186,947 for the O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase I for design, bid and construction phase services. The motion also authorizes execution of a construction contract with American Process Group, Inc. of Tacoma, Washington in the amount of$3,750,000 for the Base Year with an additional $3,750,000 Option Year for a total not to exceed amount of$7,500,000 for the O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase I. (Capital Improvement Program) Sponsors: Water Utilities Department and Engineering Services 16. 16-1371 Change order for additional Professional Services in support of Infor Public Sector (IPS) - Utility Billing Project Motion authorizing the City Manager, or designee, to execute a change order to the original scope of work in support of the implementation of the Infor Public Sector (IPS) for Utility Billing in the amount of$275,000. Sponsors: Information Technology Services and Financial Services Department 17. 16-1303 Service Agreement for the Comprehensive Annual Financial Report (CAFR) and Budget Book Software and Implementation Motion authorizing the City Manager or designee to execute a five-year service agreement with Gray CPA Consulting, PC, of Magnolia, Texas, for the purchase and implementation of Comprehensive Annual Financial Report (CAFR) and Budget Book software licenses for a total Corpus Christi Page 5 Printed on 12/16/2016 City Council Meeting Agenda-Final December 20,2016 amount of up to $337,310, of which $182,650 will be paid in Fiscal Year 2017, and providing for a contingency amount of up to $10,000 each for the Finance Department and Budget Office related to this software procurement. Sponsors: Financial Services Department and Office of Management and Budget 18. 16-1312 Resolution approving the City's Investment Policy and Investment Strategies Resolution reaffirming the City of Corpus Christi's Investment Policy and Investment Strategies for Fiscal Year 2016-2017. Sponsors: Financial Services Department 19. 16-1393 Appointment of Financial Advisor for Issuance of Utility System Revenue Refunding Bonds to be purchased by the Texas Water Development Board Motion authorizing the appointment of and approving the contract for M. E. Allison, & Co., as Financial Advisor for the issuance of the "City of Corpus Christi, Texas Utility System Junior Lien Revenue Refunding Bonds, Series 2017", in an amount not to exceed $51,300,000. Sponsors: Financial Services Department 20. 16-1382 Resolution to submit application for Financial Assistance from the Texas Water Development Board for refunding expenses incurred from improvements to the City's Utility System Resolution requesting financial assistance from the Texas Water Development Board for the refunding of City obligations previously issued to pay certain costs of designing and constructing improvements to the City's Utility System; authorizing City staff and consultants to coordinate the submission of the application to the Texas Water Development Board for funding from its Drinking Water State Revolving Fund; and other matters in connection therewith. Sponsors: Water Utilities Department and Financial Services Department 21. 16-1381 Second Reading Ordinance - Substantial Amendment to the FY2015-2016 Consolidated Annual Action Plan (1st Reading 12/13/16) Ordinance amending the fiscal year (FY) 2015-2016 Consolidated Annual Action Plan (CAAP), previously adopted by Ordinance Number 030544, for the Community Development Block Grant (CDBG), the Emergency Solutions Grant (ESG), and the HOME Investment Partnerships (HOME) Programs; to authorize the City Manager or designee to execute and submit all necessary documents with the U.S. Department of Housing and Urban Development (HUD) for the following Substantial Amendment to the FY2015-2016 CAAP: 1. Cancellation of Corpus Christi Page 6 Printed on 12/16/2016 City Council Meeting Agenda-Final December 20,2016 a Fy 15 Community Development Block Grant (CDBG) project; 2. Addition of a CDBG project; and 3. Addition of an Emergency Solutions Grant (ESG) project; and further to authorize the City Manager or designee to execute funding agreements and all other documents necessary to implement the Substantial Amendment to the FY2015-2016 CAAP with organizations for approved projects. Sponsors: Housing and Community Development 22. 16-1378 Second Reading Ordinance - Rezoning for property located at 2310, 2314, 2316, 2318 Dempsey Street (1st Reading 12/13/16) Case No. 1116-01 Scott Electric Co.: A change of zoning from the "RS-6" Single-Family 6 District and "RS-6/SP" Single-Family 6 District with a Special Permit to the "IL" Light Industrial District. The property to be rezoned is described as four lots composed of Shoreline Park, Block 8, consisting of Southeast 40' of Lot 9; Northwest 10' of Lot 9, all of Lot 10, and Southeast 20' of Lot 11; West 30' of Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; located on Dempsey Street between Lexington Avenue and North Port Avenue. Planninq Commission and Staff Recommendation (November 2, 2016): Denial of the change of zoning from the "RS-6" Single-Family 6 District and "RS-6/SP" Single-Family 6 District with a Special Permit to the "IL" Light Industrial District, and in lieu thereof, staff recommends extending the "RS-6/SP" Single-Family 6 District with a Special Permit to all four lots subject to special conditions. Ordinance: Ordinance amending the Unified Development Code ("UDC"), upon application by Scott Electric Co. ("Owner"), by changing the UDC Zoning Map in reference to a 0.5847 acre tract of land composed of four lots in Shoreline Park, Block 8, Southeast 40' of Lot 9; Northwest 10' of Lot 9, all of Lot 10, and Southeast 20' of Lot 11; West 30' of Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; from the "RS-6" Single-Family 6 District and "RS-6/SP" Single-Family 6 District with a Special Permit to the "RS-6/SP" Single-Family 6 District with a Special Permit for all four lots; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. Sponsors: Development Services 23. 16-1368 Second Reading Ordinance -Accepting and appropriating the Nutrition Services Section/Women, Infants and Children (WIC) grant and ratifying acceptance to begin October 1, 2016 (1st Reading 12/13/16) Ordinance authorizing the City Manager or designee to execute all documents necessary to accept, amend, and appropriate a grant contract for the Women, Infant and Children's Nutrition Program (WIC) Corpus Christi Page 7 Printed on 12/16/2016 City Council Meeting Agenda-Final December 20,2016 grant in the amount of$1,012,631.00, from the Texas Department of State Health Services in the Health Grants Fund No. 1066, to provide funds for the WIC program for the contract period October 1, 2016, through September 30, 2017; and ratifying acceptance of the grant agreement to begin October 1, 2016. Sponsors: Health Department 24. 16-1356 Second Reading Ordinance - Lease Agreement for hangar, office and parking space at Corpus Christi International Airport (CCIA) (1st Reading 12/13/16) Ordinance authorizing the City Manager or designee to execute a lease agreement with Driscoll Children's Hospital for hangar, office and parking space at the Corpus Christi International Airport for a lease term of three years, with an option to renew for two additional one-year periods. Sponsors: Aviation Department 25. 16-1358 Second Reading Ordinance -Adjusting Water rates for Public Agency Customers (1st Reading 12/13/16) Ordinance amending the Code of Ordinances, City of Corpus Christi, Chapter 55, Utilities, Section 55-50 (a)(2)e regarding Resale Treated Water Rates and Section 55-50 (b) regarding debt service component of raw water cost adjustment; providing for publication and effective date of January 1, 2017. Sponsors: Water Utilities Department, Legal Department, Office of Management and Budget and Financial Services Department 26. 16-1363 Second Reading Ordinance -Approving Agreement and appropriating funds to reimburse developer for the construction of water arterial transmission and grid main line located east of Ennis Joslin Road, south of Holly Road, and north of Wooldridge Road (1st Reading 12/13/16) Ordinance authorizing City Manager or designee to execute a water arterial transmission and grid main construction and reimbursement agreement ("Agreement") with MPM Development, L.P. ("Developer"), for the construction of a water arterial transmission and grid main line and appropriating $7,324.00 from the No. 4030 Arterial Transmission and Grid Main Trust Fund to reimburse the Developer in accordance with the Agreement. Sponsors: Development Services K. PUBLIC HEARINGS: (NONE) Corpus Christi Page 8 Printed on 12/16/2016 City Council Meeting Agenda-Final December 20,2016 L. REGULAR AGENDA: (ITEMS 27 - 29) The following items are motions, resolutions and ordinances that will be considered and voted on individually. 27. 16-1384 One-Reading Action Item - Resolution of support for 2019 Texas Recreation and Park Society (TRAPS) Annual Institute Bid with event to be held February 26, 2019 through March 1, 2019 Resolution of the City of Corpus Christi, Texas dedicating resources to support the bid for the 2019 Texas Recreation and Park Society Institute and Expo. Sponsors: Parks and Recreation Department 28. 16-1444 Emergency Ordinance -Approving the Intergovernmental Transfer (IGT) and appropriation of subsequent award for the Texas Medicaid Managed Care Initiative 1115 Waiver-Childhood Obesity Project Ordinance authorizing the advance of up to $482,992.80 from the No. 1046 Health Medicaid Waiver Fund to the Texas Health and Human Services Commission (TXHHSC) and in turn the Centers for Medicare and Medicaid Services (CMS) for the City's local match for City projects under the Corpus Christi - Nueces County Public Health District's (CCNCPHD) 1115 Transformation Waiver; funds to be repaid from the CMS by January 31, 2017; Additionally, authorizing the City Manager, or designee, to execute all documents necessary to accept and appropriate the award fund upon receipt in the amount of approximately $1,102,220.00 from CMS and the TXHHSC to implement a program to reduce and prevent obesity in children and adolescents for the period of October 1, 2015 through September 30, 2016; to ratify acceptance of the award fund to begin as of October 1, 2015; and declaring an emergency. Sponsors: Health Department 29. 16-1269 Second Reading Ordinance - Street Closure for a portion of Airline Road, located south of Lipes Boulevard and north of President's Drive and west of Rodd Field Road (1st Reading 12/13/16) Ordinance closing, vacating, and abandoning a previously developed and surfaced 67,693-square foot (1.55 acres) portion of a public right-of-way, as shown on the recorded plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68, Pages 392 and 393, Map Records of Nueces County, Texas, and requiring the abutting owners to comply with specified conditions; and providing an effective date. Sponsors: Development Services Corpus Christi Page 9 Printed on 12/16/2016 City Council Meeting Agenda-Final December 20,2016 M. FIRST READING ORDINANCES: (ITEMS 30 -31) 30. 16-1386 First Reading Ordinance -Accepting and appropriating Regional Grant to support delivery of emergency medical services Ordinance authorizing the City Manager or designee to accept a grant from the Coastal Bend Regional Advisory Council in the amount of $2,831; and appropriating $2,831 from the Coastal Bend Regional Advisory Council into the No. 1056 Ambulance Grant Fund to purchase supplies to support the delivery of emergency medical services for the Corpus Christi Fire Department. Sponsors: Fire Department 31. 16-1389 First Reading Ordinance -Accepting and appropriating a Helping Heroes grant for the Fire Department Ordinance authorizing the City Manager or designee to accept a grant from Koch Companies Public Sector, LLC 2016 Helping Heroes Grant Program in the amount of$10,000.00 to be used to purchase a hydrofluoric acid monitor, a hazmat training simulator and a MagPatch system; and appropriating $10,000.00 from Koch Companies Public Sector; LLC into the Fire Grant Fund No. 1062. Sponsors: Fire Department N. FUTURE AGENDA ITEMS: (ITEMS 32 - 36) The following items are for Council's informational purposes only. No action will be taken and no public comment will be solicited. 32. 16-1241 Resolution Adopting the City of Corpus Christi's State Legislative Agenda for the 85th Texas Legislature and the Federal Legislative Agenda for the 115th United States Congress Resolution adopting the City of Corpus Christi's State Legislative Priorities for the 85th Texas Legislature and Federal Legislative Priorities for the 115h U.S. Congress. Sponsors: Intergovernmental Relations 33. 16-1362 Resolution authorizing the City Manager or designee to enter into an Outside City Limit Water Contract for property located at 6917 Jurica Road Resolution authorizing the City Manager or designee to enter into an outside city limits water contract with John C. Avila to provide public water to property located outside the city limits described as Robertson William J. Farm Tracts, 1 Acre out of Lot 5-A Tract 20; also commonly known by its street address as 6917 Jurica Road under Section 55-111, Code of Ordinances. Corpus Christi Page 10 Printed on 12/16/2016 City Council Meeting Agenda-Final December 20,2016 Sponsors: Development Services 34. 16-1377 Engineering Construction Contract for O.N. Stevens Water Treatment Plant Fluoride Feed System Improvements (Capital Improvement Program) Motion authorizing the City Manager, or designee, to execute a construction contract with J.S. Haren Company of Athens, Tennessee in the amount of$1,073,000 for the O.N. Stevens Water Treatment Plant Fluoride Feed System Improvements for the Total Base Bid, Additive Alternate No.1, and Allowance. (Capital Improvement Program) Sponsors: Engineering Services and Water Utilities Department 35. 16-1391 Engineering Construction Contract for Staples Street Pump Station Improvements (Capital Improvement Program) Motion authorizing the City Manager, or designee, to execute a construction contract with Associated Construction Partners, Ltd. of Boerne, Texas in the amount of$1,923,430 for the Staples Street Pump Station Improvements for the Total Base Bid. (Capital Improvement Program) Sponsors: Engineering Services and Water Utilities Department 36. 16-1392 Engineering Design Contract for Lift Station Repairs Citywide 2017-2018 (Capital Improvement Program) Motion authorizing the City Manager, or designee, to execute an engineering design contract with Urban Engineering of Corpus Christi, Texas in the amount of$145,500 for the Lift Station Repairs Citywide 2017-2018 for design, bid and construction phase services. (Capital Improvement Program) Sponsors: Engineering Services and Water Utilities Department O. BRIEFINGS: (ITEM 37) Briefing information will be provided to the City Council during the Council meeting. Briefings are for Council information only. Council may give direction to the City Manager, but no other action will be taken and no public comment will be solicited. 37. 16-1445 Water Service Interruption Issues Corpus Christi Page 11 Printed on 12116/2016 City Council Meeting Agenda-Final December 20,2016 P. PUBLIC COMMENT FROM THE AUDIENCE ON MATTERS NOT SCHEDULED ON THE AGENDA WILL BE HEARD AT APPROXIMATELY 5:30 P.M A recording is made of the meeting; therefore, please speak into the microphone located at the podium and state your name and address. This Public Comment period is for items that are NOT on the Agenda. Your presentation will be limited to three minutes. If you have a petition or other information pertaining to your subject, please present it to the City Secretary. Any electronic media (e.g. CD, DVD, flash drive)that the Public would like to use while they speak MUST be submitted a minimum of 24 hours prior to the Meeting. Please contact the Public Communications department at 361-826-3211 to coordinate. PLEASE BE ADVISED THAT THE OPEN MEETINGS ACT PROHIBITS THE CITY COUNCIL FROM RESPONDING AND DISCUSSING YOUR COMMENTS AT LENGTH. THE LAW ONLY AUTHORIZES THEM TO DO THE FOLLOWING: 1. MAKE A STATEMENT OF FACTUAL INFORMATION. 2. RECITE AN EXISTING POLICY IN RESPONSE TO THE INQUIRY. 3. ADVISE THE CITIZEN THAT THIS SUBJECT WILL BE PLACED ON AN AGENDA AT A LATER DATE. PER CITY COUNCIL POLICY, NO COUNCIL MEMBER, STAFF PERSON, OR MEMBERS OF THE AUDIENCE SHALL BERATE, EMBARRASS, ACCUSE, OR SHOW ANY PERSONAL DISRESPECT FOR ANY MEMBER OF THE STAFF, COUNCIL MEMBERS, OR THE PUBLIC AT ANY COUNCIL MEETING. THIS POLICY IS NOT MEANT TO RESTRAIN A CITIZEN'S FIRST AMENDMENT RIGHTS. Q. EXECUTIVE SESSION: (ITEMS 38 -40) PUBLIC NOTICE is given that the City Council may elect to go into executive session at any time during the meeting in order to discuss any matters listed on the agenda, when authorized by the provisions of the Open Meeting Act, Chapter 551 of the Texas Government Code, and that the City Council specifically expects to go into executive session on the following matters. If the Council elects to go into executive session regarding an agenda item, the section or sections of the Open Meetings Act authorizing the executive session will be publicly announced by the presiding officer. The City Council may deliberate and take action in open session on any issue that may be discussed in executive session. The description of an item in "Executive Sessions" constitutes the written interpretation by the City Attorney of Chapter 551 of the Texas Government Code and his determination that said item may be legally discussed in Closed Meeting in compliance with Chapter 551 the Texas Government Code. 38. 16-1439 Executive Session pursuant to Texas Government Code § 551.071 and Texas Disciplinary Rules of Professional Conduct Rule 1.05 to consult with attorneys concerning legal issues related to annexation, disannexation, apportionment of extra-territorial jurisdiction between municipalities, interlocal agreements with water districts and neighboring municipalities, contracts for the potential economic development agreement(s) with entities that are considering the construction, expansion, and/or ownership of industrial facilities that will be consumers of water and wastewater services and pursuant to Texas Corpus Christi Page 12 Printed on 12/16/2016 City Council Meeting Agenda-Final December 20,2016 Government Code § 551.087 to discuss confidential commercial or financial information pertaining to the aforesaid business prospect(s) that the City seeks to have locate, stay or expand in or near the territory of the City and with which the City may conduct economic development negotiations and/or deliberate possible economic development issues concerning said business prospect(s). 39. 16-1440 Executive Session pursuant to Section Texas Government Code § 551.071 and Texas Disciplinary Rules of Professional Conduct Rule 1.05 to consult with attorneys concerning legal issues related to annexation, the provision of utility services in newly annexed areas, municipal authority in the City's extraterritorial jurisdiction, and wind farms, and other legal matters related to the annexation and provision of municipal services in areas annexed by the City in 2014. 40. 16-1446 Executive Session pursuant to Section Texas Government Code § 551.071 and Texas Disciplinary Rules of Professional Conduct Rule 1.05 to consult with attorneys concerning confidential legal issues related to the interruption of water service, Rules of the Texas Commission on Environmental Quality and U.S. Environmental Protection Agency, the U.S. Clean Water Act, federal, state and local regulations and laws related to the interruption of water service, and potential claims against third parties related to the aforementioned interruption. R. ADJOURNMENT Corpus Christi Page 13 Printed on 12/16/2016 CorCorpus Christi 1201 Leopard Street F' Corpus Christi,TX 78401 r& cctexas.com Meeting Minutes City Council Tuesday, December 13,2016 10:00 AM Council Chambers SPECIAL CITY COUNCIL MEETING Public Notice - - THE USE OF CELLULAR PHONES AND SOUND ACTIVATED PAGERS ARE PROHIBITED IN THE CITY COUNCIL CHAMBERS DURING MEETINGS OF THE CITY COUNCIL. A. City Secretary Rebecca Huerta to call the meeting to order. City Secretary Rebecca Huerta called the meeting to order at 10:07 a.m. B. Invocation to be given by The Most Reverend William Michael Mulvey, STL, DD, Bishop of Corpus Christi. The Most Reverend William Michael Mulvey, STL, DD, Bishop of Corpus Christi gave the invocation. C. Swearing-in Ceremony for New Mayor and City Council Members, to be conducted by The Honorable Janis Graham Jack, Senior U.S. District Judge for the Southern District of Texas. City Secretary Huerta referred to Item C, Swearing-in Ceremony for New Mayor and City Council Members. The Honorable Janis Graham Jack, Senior U.S. District Judge for the Southern District of Texas, conducted the swearing-in ceremony of the Mayor and Council Members. D. Incoming Mayor and Council Member Speeches The Mayor and each Council Member thanked their family,friends, and supporters for their assistance and support during the election process. E. Adjournment Mayor Dan McQueen invited the public to a reception in the City Council Foyer area outside City Council Chambers before the new City Council began their first regular meeting. The meeting was adjourned at 10:42 a.m. Corpus Christi Page 1 Printed on 12/16/2016 CorCorpus Christi 1201 Leopard Street F' Corpus Christi,TX 78401 r& cctexas.com Meeting Minutes City Council Tuesday, December 13,2016 11:30 AM Council Chambers Public Notice - - THE USE OF CELLULAR PHONES AND SOUND ACTIVATED PAGERS ARE PROHIBITED IN THE CITY COUNCIL CHAMBERS DURING MEETINGS OF THE CITY COUNCIL. A. Mayor Dan McQueen to call the meeting to order. Mayor McQueen called the meeting to order. B. Invocation to be given by Pastor Ely Perez, First Family Church. Pastor Ely Perez gave the invocation. C. Pledge of Allegiance to the Flag of the United States to be led by Jeffrey Edmonds - Director of Engineering Services. Director of Engineering Services Jeffrey Edmonds led the Pledge of Allegiance. D. City Secretary Rebecca Huerta to call the roll of the required Charter Officers. City Secretary Huerta called the roll and verified that a quorum of the City Council and the required Charter Officers were present to conduct the meeting. Charter Officers: City Manager Margie C. Rose, City Attorney Miles K. Risley, and City Secretary Rebecca Huerta. Present: 9- Council Member Rudy Garza,Council Member Michael Hunter,Council Member Lucy Rubio,Council Member Carolyn Vaughn,Council Member Paulette Guajardo,Council Member Joe McComb,Council Member Greg Smith,Mayor Dan McQueen, and Council Member Ben Molina E. Proclamations /Commendations 1. Farewell to Nelda Martinez from Colonel Allan Lanceta, Commander of Corpus Christi Army Depot (CCAD). Mayor McQueen introduced Colonel Allan Lanceta, Commander of the Corpus Christi Army Depot(CCAD)to make a special presentation to Nelda Martinez, former Mayor of Corpus Christi. Colonel Lanceta presented former Mayor Martinez with the Knights of Honorable Order of St. Michael Award. F. Mayoral Appointments Corpus Christi Page 1 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 2. Appointment of Mayor Pro Terns Motion to approve the Mayor Pro Tem service schedule for 2016-18. Mayor McQueen referred to Item 2, approval of the Mayor Pro Tem service schedule. Mayor McQueen recommended the following Mayor Pro Tem service schedule: Carolyn Vaughn 12/13/16—3/10/17 Lucy Rubio 3/11/17—6/06/17 Joe McComb 6/07/17—9/02/17 Michael Hunter 9/03/17—11/29/17 Ben Molina 11/30/17—2/25/18 Paulette Guajardo 2/26/18—5/24/18 Greg Smith 5/25/18—8/20/18 Rudy Garza 8/21/18—End of Term Council Member Garza made a motion to approve the recommended schedule, seconded by Council Member Rubio. This Motion was passed and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: M2016-152 3. City Council Committee Assignments Mayor McQueen referred to Item 3, Mayoral City Council Committee appointments. Mayor McQueen made the following appointments: Audit Committee Chair: Greg Smith Members: Carolyn Vaughn, Michael Hunter, and Joe McComb Municipal Court Committee Chair: Lucy Rubio Members: Rudy Garza, Ben Molina, and Paulette Guajardo H. CITY MANAGER'S COMMENTS / UPDATE ON CITY OPERATIONS: Mayor McQueen referred to City Manager's Comments. City Manager Margie C. Rose reported on the following topics: a. OTHER 1) City Manager Rose stated that the North Beach Waterline Replacement Project is complete. The original estimated cost for the project was $4.2 million. Instead of issuing a contract for construction services,the City's Corpus Christi Page 2 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 in-house utility crews were able to install 19,000 linear feet of water lines and 52 fire hydrants. The final const of the project was $1.3 million,which saved the ratepayers $2.6 million as compared to the initial estimated cost.2)The Solid Waste Services Guide will be issued in the January 2017 utility bill. The insert provides valuable information regarding trash and recycling services throughout the year and includes information on the Dos and Don'ts of recycling. I. MINUTES: 4. Regular Meeting of November 15, 2016 and Special Meeting of November 21, 2016. Mayor McQueen referred to approval of the minutes. A motion was made by Council Member Rudy Garza,seconded by Council Member Lucy Rubio, that the Minutes be passed. The motion carried by a unanimous vote. J. BOARD &COMMITTEE APPOINTMENTS: (NONE) K. CONSENT AGENDA: (ITEMS 5 - 18) Approval of the Consent Agenda Mayor McQueen referred to the Consent Agenda. City Manager Margie C. Rose stated that staff pulling all of the consent agenda items for discussion and individual consideration with the exception of Items 6,9, 13, 14, and 16.A council member requested that Item 13 be pulled for individual consideration. There were no comments from the Council or the public on Items 6, 9, 14, and 16. A motion was made by Council Member Garza, seconded by Council Member Smith, to approve the Consent Agenda. The consent agenda items were approved by one vote as follows: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 6. Resolution ratifying the submission of a grant application for the Assistance to Firefighters Grant Program Resolution ratifying the submission of a grant application in the amount of$391,200 to the US Department of Homeland Security, Federal Emergency Management Agency for the Assistance to Firefighters Grant Program. This Resolution was passed on the Consent Agenda. Corpus Christi Page 3 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Enactment No: 031008 9. Resolution authorizing Advance Funding Agreement for 2014 Highway Safety Improvements Program (Bond 2014, Proposition 2) Resolution authorizing the City Manager, or designee, to execute an Advance Funding Agreement with the Texas Department of Transportation (TXDOT) for 2014 Highway Safety Improvements Program with the City's local participation in the amount of $779,877.60 from the Bond 2012 and Bond 2014 programs. This Resolution was passed on the Consent Agenda. Enactment No: 031009 14. Second Reading Ordinance - Rezoning property located at 5151 McArdle Road Case No. 1016-05 The City of Corpus Christi: A change of zoning from the "RS-6" Single-Family 6 District to the "CG-2" General Commercial District. The property is described as being a 6.36 acre tract, out of a 7.245 acre public park, Mt. Vernon Subdivision Unit 3, located on the southeast corner of McArdle Road and Holmes Drive. Planning Commission and Staff Recommendation (November 2, 2016): Tract 1: Approval of the change of zoning from the "RS-6" Single-Family 6 District to the "CG-2" General Commercial District except for that portion of the tract abutting Holmes Drive and extending to a depth of 50 feet measured from the Holmes Drive right-of-way line. (See Tract Exhibit) Tract 2: Denial of the change of zoning from the "RS-6" Single-Family 6 District to the "CG-2" General Commercial District and in lieu thereof approval of the "CN-1" Neighborhood Commercial District for that portion of the property abutting Homes Drive to a depth of 50 feet measured from the Homes Drive right-of-way line. (See Tract Exhibit). Ordinance: Ordinance amending the Unified Development Code ("UDC"), upon application by Corpus Christi Retail Venture, LP and Corpus Christi Area Council for the Deaf, Inc., on behalf of The City of Corpus Christi ("Owner"), by changing the UDC Zoning Map in reference to a 6.36 acre tract, out of a 7.245 acre public park, Mt. Vernon Subdivision Unit 3, from the "RS-6" Single-Family 6 District to the "CG-2" General Commercial District on Tract 1, and to the "CN-1" Neighborhood Commercial District on Tract 2; amending the Comprehensive Plan to Corpus Christi Page 4 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 account for any deviations; and providing for a repealer clause and publication. This Ordinance was passed on second reading on the Consent Agenda. Enactment No: 031010 16. Second Reading Ordinance -Accepting and appropriating a grant amendment for the Health Promotions and Chronic Disease Prevention/Texas Healthy Communities grant and ratifying acceptance to begin October 1, 2016 Ordinance authorizing the City Manager or designee to execute all documents necessary to accept an amendment to a grant contract for the Health Promotions and Chronic Disease Prevention/Texas Healthy Communities (HPCDP/TXHC) grant in the amount of$50,000.00, increasing the total amount to $100,000.00, from the Texas Department of State Health Services in the No. 1066 Health Grants Fund to provide funds to implement systems and strategies that address one or more Texas Healthy Communities priority indicators for the amended contract period October 1, 2015, through September 30, 2017; appropriating the increased grant amount; and ratifying acceptance of the amended grant agreement to begin October 1, 2016. This Ordinance was passed on second reading on the Consent Agenda. Enactment No: 031012 5. Lease Agreement for 150 parking spaces for Police Department and Municipal Court Facilities Motion authorizing the City Manager or designee to renew a five-year Parking Space Lease Agreement with 101 Shoreline Limited for 150 parking spaces located at 221 South Water Street, necessary to support the Police Department and Municipal Court facilities, and approving monthly lease payments of$6,620 per month inclusive of the City's share of utilities, property taxes, mowing, and parking lot maintenance. Mayor McQueen referred to Item 5. Police Chief Mike Markle stated that the purpose of this item is to renew a five-year Parking Space Lease Agreement with 101 Shoreline Limited for 150 parking spaces located at 221 South Water Street, necessary to support the Police Department and Municipal Court. Council members spoke regarding the following topics:the City leasing the parking spaces since 1990;whether staff has looked for alternate parking lots; whether a feasibility study has been conducted on the construction of a parking garage; the lease being a triple-net lease;the City paying property taxes on the leased property; that parking is in high demand in the area;the zoning requirements for parking spaces;the parking lot at Mann and Mesquite Corpus Christi Page 5 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Streets that the City turned over to another building that is now leasing that parking lot; the comprehensive study of downtown parking; consideration to swap this property, currently owned by the Durrill family,with another property near Brewster Street;whether the City has to maintain the parking lot; the termination clause; and the impact on Police and Municipal Court if the contract is not approved. Mayor McQueen called for comments from the public.Jack Gordy,4118 Bray, spoke on the following:the value of the property;the cost to the City to lease the property; and that the City consider purchasing the parking lot. Council Member Garza made a motion to approve the motion, seconded by Council Member Hunter. This Motion was passed and approved with the following vote: Aye: 8- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith and Council Member Molina Nay: 1 - Mayor McQueen Abstained: 0 Enactment No: M2016-153 7. Service Agreement for Elevator Maintenance and Repairs for 17 elevators Motion authorizing the City Manager, or designee, to approve a Service Agreement with Schindler Elevator Corporation, of Morristown, New Jersey, to perform maintenance and repairs to 17 elevators for an amount of$95,324.84. In addition to Contractor's repair cost, this motion also included a 10% contingency of$9,532.48 to address unforeseen conditions. The award is based on the cooperative purchasing agreement with the State of Texas Multiple Award Schedule (TxMas). Mayor McQueen referred to Item 7. Director of Facilities and Property Management Edgar Leonard stated that the purpose of this item is to approve a service agreement in the amount of$95,324.84 with Schindler Elevator Corporation to perform maintenance and repairs on 17 elevators at five properties. There were no comments from the public. Council members spoke regarding the following topics:the majority of the elevators being located at the American Bank Center; contractual obligations relating to maintenance at the American Bank Center; and a report on the American Bank Center operations, and their cost to the City; and the role of SMG. Council Member Rubio made a motion to approve the motion, seconded by Council Member Garza. This Motion was passed and approved with the following vote: Corpus Christi Page 6 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: M2016-154 G. PUBLIC COMMENT FROM THE AUDIENCE ON MATTERS NOT SCHEDULED ON THE AGENDA WILL BE HEARD AT APPROXIMATELY 12:00 P.M. PLEASE LIMIT PRESENTATIONS TO THREE MINUTES. A recording is made of the meeting; therefore, please speak into the microphone located at the podium and state your name and address. If you choose to speak during this public comment period regarding an item on the agenda, you may do so. You will not be allowed to speak again, however, when the Council is considering the item. If you have a petition or other information pertaining to your subject, please present it to the City Secretary. Mayor McQueen deviated from the agenda and referred to public comment. Linda Gibeaut,410 Southern, announced that Corpus Christi Animal Care Services will be holding their 2nd Annual Clear the Kennels event on Saturday, December 17,2016 from 1:00 p.m. to 6:00 p.m. Sheri Sells, 5014 Wingfoot Lane, spoke regarding the City ensuring that buildings have permits that are compliant with the Americans with Disabilities Act(ADA) regulations. Kelly Sells, 5014 Wingfoot Lane,spoke regarding police officers using discretion regarding enforcement of ADA accessibility violations.Jack Gordy,4118 Bray, spoke regarding the palm trees on Airline Road. Margareta Fratila, 3606 Tripoli, requested that the City Council repeal the ordinance regarding the civil penality for red light camera violations.Joan Veith, 5701 Cain Drive,stated that she would like for citizens to speak positively during public comment. Abel Alonzo, 1701 Thames,spoke regarding the savings on the North Beach Waterline Project and asked the City Council to make decisions based on the best interest of the majority of the citizens. Ofelia Chavez,4409 Mount Vernon, spoke regarding Code Enforcement's removal of a vehicle from her property and her pursuit of compensation related thereto. K. CONSENT AGENDA: (ITEMS 5 - 18) 8. Construction Contract for the Sharpsburg Lift Station Upgrade and Up River Road Force Main Rehabilitation (Capital Improvement Project) Motion authorizing the City Manager, or designee, to execute a construction contract with Associated Construction Partners, Ltd. of Boerne, Texas in the amount of$3,042,665 for the Sharpsburg Lift Station Upgrade and Up River Road Force Main Rehabilitation for the Total Base Bid. Mayor McQueen deviated from the agenda and referred to Item 8. Interim Director of Water and Utilities Dan Grimsbo stated that the purpose of this item is to execute a construction contract with Associated Construction Partners, Corpus Christi Page 7 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Ltd. in the amount of$3,042,665 for the Sharpsburg Lift Station Upgrade and Up River Road Force Main Rehabilitation. There were no comments from the public. Council members spoke regarding the following topics:the use of consultant engineers and the work they perform;staff augmentation contracts; how the projects apply to the wastewater master plan;the status of the comprehensive report on the wastewater master plan; whether the expenditure is necessary without the wastewater master plan; and whether the item can be postponed. Council Member Garza made a motion to approve the ordinance,seconded by Council Member Rubio. This Motion was passed and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: M2016-155 10. Construction Contract for the Choke Canyon Dam Sluice Gate Stem Repairs Motion authorizing the City Manager, or designee, to execute a construction contract with Huffman Contractors, LLC of Nederland, Texas in the amount of$189,999 for the Choke Canyon Dam Sluice Gate Stem Repairs for the Total Base Bid. Mayor McQueen referred to Item 10. Interim Director of Water and Utilities Dan Grimsbo stated that the purpose of this item is to execute a construction contract with Huffman Contractors, LLC in the amount of$189,999 for the Choke Canyon Dam Slice Gate Stem Repairs. There were no comments from the Council or the public. Council Member Garza made a motion to approve the motion, seconded by Council Member Rubio. This Motion was passed and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: M2016-156 11. Engineering Construction Contract for Alternative Capacity Power Generation Staples and Navigation Water Pump Station (Capital Improvement Project) Motion authorizing the City Manager, or designee, to execute a Corpus Christi Page 8 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 construction contract with McDonald Municipal & Industrial of Houston, Texas in the amount of$868,869 for the Alternative Capacity Power Generation - Staples and Navigation Water Pump Station for the Total Base Bid. Mayor McQueen referred to Item 11. Interim Director of Water and Utilities Dan Grimsbo stated that the purpose of this item is to execute a construction contract with McDonald Municipal &Industrial in the amount of$868,869 for the Alternative Capacity Power Generation -Staples and Navigation Water Pump Station. Council members spoke regarding the following topics:the price difference of $300,000 between the top two bidders and the cause for discrepancy; the timeline of the project;the mechanisms in place to facility the back up solution;whether use of diesel generators is the most cost effect method; the importance for approving the item today;the system pressure;the Texas Commission on Environmental Quality(TCEQ) requirements to evaluate the pumps; and the use of local engineering firms. Mayor McQueen called for comments from the public.Abel Alonzo, 1701 Thames,spoke regarding the difference in bid prices and cautioned the use of low bids. Council Member Smith made a motion to approve the motion, seconded by Council Member Hunter. This Motion was passed and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: M2016-157 12. Approving Cellular Services for Phones, Wireless Devices, and Connectivity Motion authorizing the City Manager or designee to execute a contract with T-Mobile USA, Inc., of Bellevue, Washington, based on a cooperative purchasing agreement with the Texas Department of Information Resources (DIR), for a total estimated expenditure of $1,650,348 for three years, of which $412,587 is funded in FY2016-2017, with options to extend for up to one additional one-year period subject to renewals of the State's DIR contract (DIR-TSO-3416) with T-Mobile, sufficient annual appropriations, and mutual consent of the vendor and City Manager. Mayor McQueen referred to Item 12. Director of Information Technology Belinda Mercado stated that the purpose of this item is to approve a contract with T-Mobile for City-wide cellular service for phones,wireless devices and connectivity,through the Texas Department of Information Resources (DIR). The agreement is for three years for a total expenditure of$1,650,348 with Corpus Christi Page 9 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 annual costs estimated at$550,116. This agreement will transition cellular services to a single provider and will allow the City to achieve efficiencies and cost savings. Council Members spoke regarding the following topics:the process and stipulations relating to the use of cellular phones;the 2% administration cost; the consolidation of services for cost savings and improved customer services;the annual savings; a comprehensive communications plan;whether the devices are used by salaried employees; personal utilization of devices and consideration of cellphone allowances; and whether there were termination fees associated with prematurely terminating the contracts with the City's other exisiting providers. Mayor McQueen called for comments from the public.Abel Alonzo, 1701 Thames,spoke regarding the cost savings and monitoring the use of ceullar devices. Council Member Garza made a motion to approve the motion, seconded by Council Member Hunter. This Motion was passed and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: M2016-158 13. Establishing Waste Acceptance Contract with Killian Calderon Disposal LLC Motion authorizing the City Manager or designee to execute an 11-year contract with Killian Calderon Disposal, LLC, guaranteeing the delivery of specific tonnage of acceptable waste collected within the boundaries of the Coastal Bend Council of Governments region to the City's Cefe Valenzuela Municipal Landfill, with a termination date of November 12, 2027. Mayor McQueen referred to Item 13. Director of Solid Waste Operations Lawrence Mikolajczyk stated that the purpose of this item is to execute an 11-year contract with Killian Calderon Disposal, LLC, guaranteeing the delivery of specific tonnage of acceptable waste collected within the boundaries of the Coastal Bend Council of Governments. There were no comments from the public. Council members spoke regarding the following topics:the reason for the long-term contract; a termination clause in the contract; the push-and-pack contract terms and conditions that would allow the City to renegotiate a contract;future options for solid waste; and the City's mission regarding the disposal of solid waste. Council Member Garza made a motion to table this item until the December 20, 2016 Council meeting to allow staff to discuss the inclusion of an out-clause in Corpus Christi Page 10 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 the contract,seconded by Council Member Vaughn. Discussion on the motion included:the contract assuring that solid waste would be brought to the City and is a guaranteed revenue source; the contributions that Solid Waste brings to the General Fund; and existing certificate of obligation-related issues.. Council Member Garza withdrew his motion. Council Member Vaughn withdrew her second. Council Member Garza made a motion to approve the motion, seconded by Council Member Hunter. This Motion was passed and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: M2016-159 15. Second Reading Ordinance - Final Reimbursement of Election Services Overbilling Ordinance accepting payment from Nueces County in the amount of $73,616.52 as the final reimbursement for election services overbilling and appropriating in the No. 1020 General Fund; changing the FY2016-2017 operating budget adopted by Ordinance 030965 to increase revenues by $73,616.52. Mayor McQueen referred to Item 15. City Secretary Rebecca Huerta stated that the purpose of this item is to accept and appropriate the second of two $73,616.52 reimbursements from Nueces County for overbilling of election services. In November 2015, Nueces County Clerk Kara Sands advised the City that Nueces County had completed an audit of election costs between October 2012 through December 2014. The audit revealed that the City had been overbilled $147,233.04 which the Nueces County Commissioners Court approved to be reimbursed. Council members discussed the following topics: a recommendation to appropriate the funding in Fund No. 1042 Residential and Local Street Fund; the difference between Fund Nos. 1041 Street Fund and 1042 Residential and Local Street Fund;the amount of funding in No. 1042 Residential and Local Street Fund;the recently approved City Charter amendment regarding Residential Streets; and providing better identification in the City's budget of the Residential and Local Street Fund. Council Member McComb made a motion to amend the ordinance to appropriate $73,616.52 in the No. 1042 Residential and Local Street Fund, seconded by Council Member Rubio and passed unanimously. Mayor McQueen called for comments from the public.Abel Alonzo, 1701 Thames,thanked the City Council for the amendment. Corpus Christi Page 11 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Council Member Garza made a motion to approve the ordinance,seconded by Council Member McComb. This Ordinance was passed on second reading as amended and approved with the following vote: Aye: 8- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith and Mayor McQueen Absent: 1 - Council Member Molina Abstained: 0 Enactment No: 031011 17. Second Reading Ordinance -Appropriating funds and approving Engineering Design Contracts for Residential Reconstruction Test Projects - Ralston Avenue and Rogerson Drive Ordinance appropriating $2,500,000 from the Unreserved Fund Balance in No. 1042 Residential and Local Street Fund for the Residential Reconstruction Test Projects - Ralston Avenue and Rogerson Drive; amending the FY 2017 Operating Budget adopted by Ordinance No. 030965; authorizing the City Manager, or designee, to execute a contract for engineering design services with Urban Engineering of Corpus Christi, Texas in the amount of$88,420 for design of Ralston Avenue and Freese & Nichols, Inc. of Corpus Christi, Texas in the amount of$97,764 for the design of Rogerson Drive. Mayor McQueen referred to Item 17. Executive Director of Public Works Valerie Gray stated that the purpose of this item is to appropriate $2.5 million from the Residential and Local Street Fund for the Residential Reconstruction Test Projects -Ralston Avenue and Rogerson Drive and to execute two design contracts, one with Urban Engineering for the design of Ralston Avenue from Staples Street to Alameda, and one with Freese and Nichols for the design of Rogerson Drive from McArdle to Sunnybrook. Staff will use these two projects to provide better pricing information and data to further develop the program. Projects are planned to go out for bid in the May/June 2017 timeframe with construction projected for July 2017. Council members spoke regarding the following topics:the use of internal staff or consultants to monitor the program; Ralston Avenue and Rogerson Drive being two good candidates for the program; bidding both asphalt and concrete;what other cities are doing on residential streets;the reason the engineering fees are different for the two projects; a future discussion of the use of concrete when developing new neighborhoods;the budgeted amount for residential and local streets;the initial intent of staff to design both streets using asphalt;the pothole repairs on both streets; public notification for residents regarding construction on the streets; a lifecycle cost analysis for concrete and asphalt;the current cost for concrete; whether the funding will include curb and gutter;the cost matrix used to determine the difference in cost between pothole repair and reconstruction; options for cost-plus contracts;the percentage that these test projects are of all residential streets Corpus Christi Page 12 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 that require repairs; the opportunity to manufacture our own materials; creation of a council committee for residential streets;financing for residential streets; and the test projects providing better pricing information and data. Mayor McQueen called for comments from the public.Abel Alonzo, 1701 Thames,spoke in support of the use of concrete for residential streets. Sir Frederick von USA King VII, 1442 Arlington Drive,spoke in support of the use of asphalt. MOTION OF DIRECTION Council Member Vaughn made a motion directing the City Manager to bid the projects in both concrete and asphalt, seconded by Council Member Guajardo. This Motion of Direction was passed with the following vote: McQueen, Garza, Hunter, Guajardo, McComb, Molina, Rubio, and Vaughn,voting "Aye", Smith voting "No". Council Member Garza made a motion to approve the ordinance,seconded by Council Member Rubio. This Ordinance was passed on second reading and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: 031013 18. Second Reading Ordinance - Continuing Texas Municipal Retirement System (TMRS) Updated Service Credits for Current Participants and Increases for Prior and Current Annuities Ordinance authorizing and allowing, under the Act governing the Texas Municipal Retirement System, "Updated Service Credits" in said system for service performed by qualifying members of such system who presently are members of the City of Corpus Christi; providing for increased prior and current service annuities for retirees and beneficiaries of deceased retirees of the City; establishing an effective date for such actions; and providing for severance. Mayor McQueen referred to Item 18. Interim Director of Human Resources Steven Viera stated that the purpose of this item is to continue the Texas Municipal Retirement System (TMRS) updated service credits for current participants and increases for current and prior annuities. These provisions adhere to the terms of the collective bargaining agreement with the Corpus Christi Police Officers'Association. Mr.Viera explained that unlike most public retirement systems, TMRS is a hybrid design instead of a defined benefit plan based on the percentage of salaries such as the City of Dallas. The TMRS plan is cash balanced in nature, meaning it is based on the contributions made by the employee,the matching amount by the City and interest income credited to the employee's account over the employee's career. Mr. Viera provided Corpus Christi Page 13 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 background regarding the City's TMRS implementation plan and stated that in October 2016,the City increased its contribution to 19.46%to address the liability and will continue increasing this amount by 2%every year to get back to annual repeating status by 2019. Council members discussed the following topics:the unfunded actual liability; the retirement system not including firefighters; there being no alternative options for consideration;the situation occuring in the City of Dallas regarding that city's retirement system; a request for a presentation on the current status of the retirement program; and considerations for alternative options for future employees. Mayor McQueen called for comments from the public. Scott Leeton, 3122 Leopard,spoke in support of the TMRS retirement system. Sir Frederick von USA King VII, 1442 Arlington Drive, asked questions regarding the TMRS plan. Council Member Garza made a motion to approve the ordinance,seconded by Council Member Vaughn. This Ordinance was passed on second reading and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: 031014 L. EXECUTIVE SESSION: (ITEMS 19 - 21) Mayor McQueen referred to the day's executive session. The Council went into executive session at 2:44 p.m. The Council returned from executive session at 5:24 p.m. 19. Executive Session pursuant to Texas Government Code § 551.071 and Texas Disciplinary Rules of Professional Conduct Rule 1.05 to consult with attorneys concerning legal issues related to negotiations with the U.S. Environmental Protection Agency concerning the City's sanitary sewer system. This Item was discussed in Executive Session. 20. Executive Session pursuant to Texas Government Code § 551.071 and Texas Disciplinary Rules of Professional Conduct Rule 1.05 to consult with attorneys concerning legal issues related to Railroad Commission Applications of Petro Waste Environmental, LP to operate a commercial disposal facility in McMullen County, Texas on a 1500 acre tract located approximately four miles north of Tilden, Texas. This Item was discussed in Executive Session. 21. Executive Session pursuant to Section Texas Government Code § 551.071 and Texas Disciplinary Rules of Professional Conduct Rule Corpus Christi Page 14 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 1.05 to consult with attorneys concerning legal issues related to annexation, the provision of water and wastewater services in newly annexed and unincorporated areas, and the development of properties owned by the City and pursuant to Texas Government Code § 551.072 to discuss and deliberate the purchase, exchange, lease, and value of real property owned by the City when deliberation in open meeting would have a detrimental effect on the position of the governmental body in negotiations with a third person. This Item was discussed in Executive Session. M. PUBLIC HEARINGS: (ITEMS 22 -24) 22. Public Hearing and First Reading Ordinance -Substantial Amendment to the FY2015-2016 Consolidated Annual Action Plan Ordinance amending the fiscal year (FY) 2015-2016 Consolidated Annual Action Plan (CAAP), previously adopted by Ordinance Number 030544, for the Community Development Block Grant (CDBG), the Emergency Solutions Grant (ESG), and the HOME Investment Partnerships (HOME) Programs; to authorize the City Manager or designee to execute and submit all necessary documents with the U.S. Department of Housing and Urban Development (HUD) for the following Substantial Amendment to the FY2015-2016 CAAP: 1. Cancellation of a Fy 15 Community Development Block Grant (CDBG) project; 2. Addition of a CDBG project; and 3. Addition of an Emergency Solutions Grant (ESG) project; and further to authorize the City Manager or designee to execute funding agreements and all other documents necessary to implement the Substantial Amendment to the FY2015-2016 CAAP with organizations for approved projects. Mayor McQueen referred to Item 22. Director of Housing and Community Development Rudy Bentancourt stated that the purpose of this item is to make a substantial amendment to the FY2015-2016 Consolidated Annual Action Plan. The amendment includes:the cancellation of a Community Development Block Grant(CDBG) project for land acquisition and or homeless facility rehabilitation;the addition of a CDBG project for Ben Garza Park Ball Field Improvements; and the addition of an Emergency Solutions Grant(ESG) project for The Salvation Army Rapid Re-housing for homeless veterans. Mayor McQueen opened the public hearing. There were no comments from the public. Mayor McQueen closed the public hearing. Council members discussed the following topics:the adopted projects previously approved by the City Council and the project scope for the Ben Garza Park Ball Field Improvements. Council Member Vaughn made a motion to approve the ordinance,seconded by Council Member Rubio. This Ordinance was passed on first reading and approved with the following vote: Corpus Christi Page 15 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 23. Public Hearing and First Reading Ordinance - Rezoning for property located at 2310, 2314, 2316, 2318 Dempsey Street. Case No. 1116-01 Scott Electric Co.: A change of zoning from the "RS-6" Single-Family 6 District and "RS-6/SP" Single-Family 6 District with a Special Permit to the "IL" Light Industrial District. The property to be rezoned is described as four lots composed of Shoreline Park, Block 8, consisting of Southeast 40' of Lot 9; Northwest 10' of Lot 9, all of Lot 10, and Southeast 20' of Lot 11; West 30' of Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; located on Dempsey Street between Lexington Avenue and North Port Avenue. Planning Commission and Staff Recommendation (November 2, 2016): Denial of the change of zoning from the "RS-6" Single-Family 6 District and "RS-6/SP" Single-Family 6 District with a Special Permit to the "IL" Light Industrial District, and in lieu thereof, staff recommends extending the "RS-6/SP" Single-Family 6 District with a Special Permit to all four lots subject to special conditions. Ordinance: Ordinance amending the Unified Development Code ("UDC"), upon application by Scott Electric Co. ("Owner"), by changing the UDC Zoning Map in reference to a 0.5847 acre tract of land composed of four lots in Shoreline Park, Block 8, Southeast 40' of Lot 9; Northwest 10' of Lot 9, all of Lot 10, and Southeast 20' of Lot 11; West 30' of Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; from the "RS-6" Single-Family 6 District and "RS-6/SP" Single-Family 6 District with a Special Permit to the "RS-6/SP" Single-Family 6 District with a Special Permit for all four lots; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. Mayor McQueen referred to Item 23. City Secretary Rebecca Huerta announced that Council Member Molina was abstaining from this item. Interim Director of Development Services Julio Dimas stated that the purpose of this item is to rezone the subject property to allow for the construction of a 4,000 square foot storage building to store electrical and air conditioning parts and material. Mr. Dimas stated that the Planning Commission and staff recommend denial of the change of zoning to the"IL" Light Industrial District, and in lieu thereof,staff recommends extending the"RS-6/SP" Single-Family 6 District with a Special Permit to all four lots subject to six conditions. Mayor McQueen opened the public hearing. There were no comments from the Corpus Christi Page 16 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Council or the public. Mayor McQueen closed the public hearing. Council Member Garza made a motion to approve the ordinance,seconded by Council Member Hunter. This Ordinance was passed on first reading and approved with the following vote: Aye: 8- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith and Mayor McQueen Abstained: 1 - Council Member Molina 24. Public Hearing and First Reading Ordinance -Street Closure for a portion of Airline Road, located south of Lipes Boulevard and north of President's Drive and west of Rodd Field Road Ordinance closing, vacating, and abandoning a previously developed and surfaced 67,693-square foot (1.55 acres) portion of a public right-of-way, as shown on the recorded plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68, Pages 392 and 393, Map Records of Nueces County, Texas, and requiring the abutting owners to comply with specified conditions; and providing an effective date. Mayor McQueen referred to Item 24. Interim Director of Development Services Julio Dimas stated that the purpose of this item is to close,vacate and abandon approximately 1.5 acres of public right-of-way. This portion of Airline Road is no longer needed by the City of Corpus Christi and the property to be vacated would be returned to the abutting owners. Staff recommends that payment of the fair market value be waived since the City initiated the abandonment. Mayor McQueen opened the public hearing. Frank Manning, 3535 S. Staples, stated that he is an abutting property owner and was interested in the street closure. Mayor McQueen closed the public hearing. Council members spoke regarding the following topics:the fair market value of the property and the cost to maintain the property;the abandoning of the utility easement;the process to determine that the property is no longer needed by the City; responsibility for the utility easement; options for the property owners to purchase the property; the right-of-way being a liability to the City;the property reverting to the abutting property owners; and how the City would address continued maintenance and risk associated with not closing the street. Council Member McComb made a motion to approve the ordinance,seconded by Council Member Vaughn. This Ordinance was passed on first reading and approved with the following vote: Aye: 8- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Mayor McQueen and Council Member Molina Nay: 1 - Council Member Smith Abstained: 0 Corpus Christi Page 17 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 N. REGULAR AGENDA: (ITEMS 25 -27) 25. Changing the Start Time of the City Council Meetings Motion changing the start time of the regular City Council Meetings from 11:30 a.m. to 2:00 p.m. beginning on December 20, 2016. Mayor McQueen referred to Item 25. City Secretary Rebecca Huerta stated that Mayor McQueen is requesting to change the start time of the regular City Council Meeting from 11:30 a.m.to 2:00 p.m. beginning with the council meeting of December 20, 2016. City Council policies require that City Council approve a change to the regular meeting time. Mayor McQueen requested to restructure the City Council agenda to begin the meeting at 2:00 p.m.; move public comment to 5:30 p.m.; and move executive sessions to the end of the meeting. There were no comments from the public. Council members discussed the following topics: concern with moving public comment to 5:30 p.m. because items that the public would like to address on the agenda would have already been discussed; consideration to start council meeting at 9:00 a.m. and have executive sessions at that time;support to move executive sessions to the beginning or end of the meeting; concern regarding City staff's time; previous complaints from the public that they could not get to City Hall in time for an afternoon public comment; public comment at 12:00 p.m. allows citizens to come during their lunch break;support for Mayor McQueen's recommendation; consideration to impose a time for public comments on agenda items; and concern regarding Council fatigue relating to a 2:00 p.m. start time for Council meetings. Council Member McComb made a motion to change the start time of the regular City Council meeting to 2:00 p.m. beginning with the December 20, 2016 Council meeting,seconded by Council Member Guajardo. This Motion was passed and approved with the following vote: Aye: 7- Council Member Garza, Council Member Hunter, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Mayor McQueen and Council Member Molina Nay: 2- Council Member Rubio and Council Member Smith Abstained: 0 Enactment No: M2016-160 26. Setting the date for the 2017 City Council Retreat Discussion and possible action to set the date for the 2017 City Council Retreat. Mayor McQueen referred to Item 26. City Secretary Rebecca Huerta stated that the purpose of this item is to discuss possible action relating to setting the date for the 2017 City Council Retreat. Staff is proposing the following dates for City Council's consideration: Friday, January 13,2017; Monday, January 16, 2017; and Monday,January 30,2017. There were no comments from the public. Corpus Christi Page 18 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Council members discussed the recommended dates and the use of a facilitator for the retreat. Council Member Smith made a motion to set the date for the 2017 City Council Retreat for Friday,January 13,2017,seconded by Council Member Vaughn. This Motion was passed and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: M2016-161 27. One Reading Action Item -Accepting and appropriating grant funds for overtime DWI enforcement Ordinance authorizing the City Manager or designee to execute all documents necessary to accept a grant from the Texas Department of Transportation (TXDOT) in the amount of$7,837.02 for the 2017 Impaired Driving Mobilization grant within the Police Department, for overtime DWI enforcement, with a City cash match of$3,327.89, for a total project cost of$11,164.91 and appropriating $7,837.02 in the No. 1061 Police Grants Fund; and declaring an emergency. Mayor McQueen referred to Item 27. Police Chief Mike Markle stated that the purpose of this item is to accept a grant from the Texas Department of Transportation (TxDOT)in the amount of$7,837.02 with a City match of $3,327.89 for the DWI Mobilization grant. There were no comments from the Council or the public. Council Member McComb made a motion to approve the ordinance,seconded by Council Member Hunter. This Ordinance was passed on emergency reading and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 Enactment No: 031015 O. FIRST READING ORDINANCES: (ITEMS 28 -31) 28. First Reading Ordinance -Accepting and appropriating the Nutrition Services Section/Women, Infants and Children (WIC) grant and ratifying acceptance to begin October 1, 2016 Ordinance authorizing the City Manager or designee to execute all Corpus Christi Page 19 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 documents necessary to accept, amend, and appropriate a grant contract for the Women, Infant and Children's Nutrition Program (WIC) grant in the amount of$1,012,631.00, from the Texas Department of State Health Services in the Health Grants Fund No. 1066, to provide funds for the WIC program for the contract period October 1, 2016, through September 30, 2017; and ratifying acceptance of the grant agreement to begin October 1, 2016. Mayor McQueen referred to Item 28. Director of Public Health Annette Rodriguez stated that the purpose of this item is to accept a grant contract for the Women, Infant and Children's Nutrition Program(WIC)grant in the amount of$1,012,631 from the Texas Department of State Health Services for the contract period October 1,2016 through September 30,2017. There were no comments from the Council or the public. Council Member Hunter made a motion to approve the ordinance, seconded by Council Member Rubio. This Ordinance was passed on first reading and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 29. First Reading Ordinance - Lease Agreement for hangar, office and parking space at Corpus Christi International Airport (CCIA) Ordinance authorizing the City Manager or designee to execute a lease agreement with Driscoll Children's Hospital for hangar, office and parking space at the Corpus Christi International Airport for a lease term of three years, with an option to renew for two additional one-year periods. Mayor McQueen referred to Item 29. Director of Aviation Fred Segundo stated that the purpose of this item is to execute a lease agreement with Driscoll Children's Hospital for hangar, office and parking space. The lease is for three years with two one-year options. The agreement will allow Driscoll Children's Hospital to provide 24-hour ground ambulance services for pediatric patients in support of the air ambulance operations being conducted at the Airport. The relocation of the Driscoll Children's Hospital's ground ambulance team will provide operating efficiencies and better response times. Driscoll Children's Hospital will pay a fair market monthly rate and will make improvements of up to$200,000 which will offset Driscoll Children's Hospital's monthly rent. Mayor McQueen called for comments from the public. Dorothy Weatherford, Coordinator of the Critical Care Transport Team for Driscoll Children's Hospital, requested support for the agreement. Council members and staff discussed the following topics:the lease amount that was previously paid on this property;the appraised value of the property; concern regarding a monthly rental amount of$915.50;the up to$200,000 in Corpus Christi Page 20 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 improvements that will be made by Driscoll Children's Hospital,which will offset the rent;the improvements to the property; approval by the Airport Board on July 20,2016; and the amount of money received from the property in the last five years. Council Member Rubio made a motion to approve the ordinance,seconded by Council Member Hunter. This Ordinance was passed on first reading and approved with the following vote: Aye: 8- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith and Council Member Molina Nay: 1 - Mayor McQueen Abstained: 0 30. First Reading Ordinance -Adjusting Water rates for Public Agency Customers Ordinance amending the Code of Ordinances, City of Corpus Christi, Chapter 55, Utilities, Section 55-50 (a)(2)e regarding Resale Treated Water Rates and Section 55-50 (b) regarding debt service component of raw water cost adjustment; providing for publication and effective date of January 1, 2017. Mayor McQueen referred to Item 30. Interim Director of Water Utilities Dan Grimsbo stated that the purpose of this item is to amend the Code of Ordinances for the revision of treated and raw water rates for public agency customers that are under contract for one-year rate adjustments. Mr. Grimsbo provided a list of the public agency water customers and information on the water supply contracts. There were no comments from the public. Council members spoke regarding the following topics:the cost of water charged to raw water customers;whether raw water rates decreased due to an increase in volume; clarification on the increased fees when the rates are being reduced;the current two-year cycle;wholesale treated water customer rate adjustments made annually;the reason that citizens'rates would not be adjusted prior to public agency rates; an explanation of customer rate calculations;the debt service for Mary Rhodes Pipeline Phase 2; whether the public agency contracts are a revenue source for the City;whether there is an option to hold the price at which the City is selling raw water; a future discussion on the water rates and water contracts; protractive litigation related to water fees;whether emergency repairs are distributed evenly to all customers; whether there are alternative water sources for public agency customers; and concerns with the rate model. Council Member Smith made a motion to approve the ordinance,seconded by Council Member Vaughn. This Ordinance was passed on first reading and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Corpus Christi Page 21 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Abstained: 0 31. First Reading Ordinance -Approving Agreement and appropriating funds to reimburse developer for the construction of water arterial transmission and grid main line located east of Ennis Joslin Road, south of Holly Road, and north of Wooldridge Road Ordinance authorizing City Manager or designee to execute a water arterial transmission and grid main construction and reimbursement agreement ("Agreement") with MPM Development, L.P. ("Developer"), for the construction of a water arterial transmission and grid main line and appropriating $7,324.00 from the No. 4030 Arterial Transmission and Grid Main Trust Fund to reimburse the Developer in accordance with the Agreement. Mayor McQueen referred to Item 31. Interim Director of Development Services Julio Dimas stated that the purpose of this item is to execute a water arterial transmission and grid main construction and reimbursement agreement with MPM Development for the construction of a water arterial transmission and grid main line in the amount of$7,324.00. The developer is required to install 255 linear feet of 12-inch water grid main to extend service to the subdivision that is located east of Ennis Joslin Road,south of Holly Road and north of Wooldridge Road. There were no comments from the Council or the public. Council Member Garza made a motion to approve the ordinance,seconded by Council Member Vaughn. This Ordinance was passed on first reading and approved with the following vote: Aye: 9- Council Member Garza, Council Member Hunter, Council Member Rubio, Council Member Vaughn, Council Member Guajardo, Council Member McComb, Council Member Smith, Mayor McQueen and Council Member Molina Abstained: 0 P. FUTURE AGENDA ITEMS: (ITEMS 32 -49) Mayor McQueen referred to Future Agenda Items. City Manager Margie C. Rose stated that staff had planned presentations on Items 36, 37-40,44,45,48 and 49. Council members requested information on Items 34 and 41. 32. Appointing Board Members to the Corpus Christi Housing Finance Corporation and the Corpus Christi Industrial Development Corporation Motion appointing Council Members Dan McQueen, Michael T. Hunter, Joe McComb, Paulette Guajardo, Carolyn Vaughn, Ben Molina, Lucy Rubio, Greg Smith, and Rudy Garza as Board Members to the Corpus Christi Housing Finance Corporation and the Corpus Christi Industrial Development Corporation. Corpus Christi Page 22 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 This Motion was recommended to the consent agenda. 33. Appointing Board Members to the Coastal Bend Health Facilities Development Corporation and the Coastal Bend Cultural Education Facilities Finance Corporation Motion appointing Council Members Dan McQueen, Michael T. Hunter, Joe McComb, Paulette Guajardo, Carolyn Vaughn, Ben Molina, Lucy Rubio, Greg Smith, and Rudy Garza as Board Members to the Coastal Bend Health Facilities Development Corporation and the Coastal Bend Cultural Education Facilities Finance Corporation. This Motion was recommended to the consent agenda. 34. Approval of an antenna space Lease Agreement for rooftop space for Public Safety Radio Communications System Motion authorizing the City Manager or designee to renew a Lease Agreement with One Shoreline Plaza, LLC, for ten years with an optional extended term of ten years and approving monthly lease payments of$13,040 per month with annual rent increase of 3% for rooftop space and equipment room necessary to support the Public Safety Communications System. This Motion was recommeded to the consent agenda. 35. Resolution authorizing an Interlocal Agreement with Department of Health Services (DSHS)for analysis of bay water samples and ratifying acceptance of agreement to begin September 1, 2016 Resolution authorizing the City Manager or designee to execute an Interlocal Cooperation Agreement with the Department of State Health Services (DSHS), in an amount not to exceed $56,000.00, to provide laboratory services for the analysis of bay water samples for the contract period of September 1, 2016, through August 31, 2018; and to ratify acceptance of the agreement to begin as of September 1, 2016. This Resolution was recommended to the consent agenda. 36. Resolution approving Service Agreements for mowing and ground maintenance for various parks and all Wastewater plants across the City Resolution finding the lowest responsive, responsible bidder for ground maintenance services by group in response to Bid Nos. 138, 139, 140, 141, 142, 143, 144, 145, and 146; awarding a one-year service agreement, with two one-year renewals, to the lowest responsible bidder per bid number; and authorizing the City Manager Corpus Christi Page 23 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 or designee to execute the service agreements. Cut Masters Lawn Service Dorame General Repair Corpus Christi, Texas Corpus Christi, Texas Group 1, 11, 12, 13, 14, 16 Group 9, 10, 15 $167,349.66 $66,172.04 Grand Total $233,521.70 This Resolution was recommended to the regular agenda. 37. Resolution approving Type A Grant for Texas A&M University - Corpus Christi (TAMU-CC) Internship Program Resolution approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Texas A&M University - Corpus Christi (TAMU-CC) to provide grant up to $150,000 for their internship program to assist small businesses. This Resolution was recommended to the consent agenda. 38. Resolution approving Type A Grant for Del Mar College Internship Program Resolution approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Del Mar College (Del Mar) to provide grant up to $150,000 for their internship program to assist small businesses. This Resolution was recommended to the consent agenda. 39. Resolution approving Type A Grant for Del Mar Procurement Technical Assistance Center(PTAC) Program Resolution approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Del Mar College (Del Mar) to provide a grant up to $48,490 for their Procurement Technical Assistance Center (PTAC) to assist small businesses. This Resolution was recommended to the consent agenda. 40. Resolution adopting Amended Type A Business Incentive Guidelines Resolution adopting Amended Corpus Christi Business and Job Development Corporation Guidelines and Criteria for Granting Business Incentives. Corpus Christi Page 24 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 This Resolution was recommended to the consent agenda. 41. Approval of a Supply Agreement for purchasing Water Meters Motion approving a supply agreement with Neptune Technology Group, Inc., of Houston, Texas for water meters for a total amount of $743,691.19, of which $557,769 has been budgeted in the Water Fund for FY2016-17, and which award is based on the cooperative purchasing agreement with the Houston-Galveston Area Council for a term of one year with an option to extend for up to one additional eight-month period. This Motion was recommended to the consent agenda. 42. Engineering Construction Contract for Tuloso Road from Leopard Street to IH 37 (Rebid) (Bond 2012, Proposition 1) Motion authorizing the City Manager, or designee, to execute a construction contract with Bay, LTD. of Corpus Christi, Texas in the amount of$2,181,527.42 for Tuloso Road from Leopard Street to 1H 37 Re-bid for the total base bid. (Bond 2012, Proposition 1) This Motion was recommended to the consent agenda. 43. Engineering Construction Contract for North Padre Island Beach Access Road 3A (Bond 2014, Proposition 2) Motion authorizing the City Manager, or designee, to execute a construction contract with JE Construction Services of Corpus Christi, Texas in the amount of$340,389.04 for North Padre Island Beach Access Road 3A for total base bid and additive alternate No.1. (Bond 2014, Proposition 2) This Motion was recommended to the consent agenda. 44. Engineering Construction and Design Amendment Contracts for O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase 1 (Capital Improvement Program) Motion authorizing the City Manager or designee to execute Amendment No. 1 to the engineering design contract with LNV, Inc. of Corpus Christi, Texas in the amount of$91,480 for a total restated fee of$186,947 for the O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase I for design, bid and construction phase services. The motion also authorizes execution of a construction contract with American Process Group, Inc. of Tacoma, Washington in the amount of$3,750,000 for the Base Year with an additional $3,750,000 Option Year for a total not to exceed amount of $7,500,000 for the O.N. Stevens Water Treatment Plant Intermediate Corpus Christi Page 25 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Sludge Removal Phase I. (Capital Improvement Program) This Motion was recommended to the regular agenda. 45. Change order for additional Professional Services in support of Infor Public Sector (IPS) - Utility Billing Project Motion authorizing the City Manager, or designee, to execute a change order to the original scope of work in support of the implementation of the Infor Public Sector (IPS) for Utility Billing in the amount of $275,000. This Motion was recommended to the consent agenda. 46. Service Agreement for the Comprehensive Annual Financial Report (CAFR) and Budget Book Software and Implementation Motion authorizing the City Manager or designee to execute a five-year service agreement with Gray CPA Consulting, PC, of Magnolia, Texas, for the purchase and implementation of Comprehensive Annual Financial Report (CAFR) and Budget Book software licenses for a total amount of up to $337,310, of which $182,650 will be paid in Fiscal Year 2017, and providing for a contingency amount of up to $10,000 each for the Finance Department and Budget Office related to this software procurement. This Motion was recommended to the consent agenda. 47. Resolution approving the City's Investment Policy and Investment Strategies Resolution reaffirming the City of Corpus Christi's Investment Policy and Investment Strategies for Fiscal Year 2016-2017. This Resolution was recommended to the consent agenda. 48. Appointment of Financial Advisor for Issuance of Utility System Revenue Refunding Bonds to be purchased by the Texas Water Development Board Motion authorizing the appointment of and approving the contract for M. E. Allison, & Co., as Financial Advisor for the issuance of the "City of Corpus Christi, Texas Utility System Junior Lien Revenue Refunding Bonds, Series 2017", in an amount not to exceed $51,300,000. This Motion was recommended to the consent agenda. 49. Resolution to submit application for Financial Assistance from the Texas Water Development Board for refunding expenses incurred from improvements to the City's Utility System Corpus Christi Page 26 Printed on 12/16/2016 City Council Meeting Minutes December 13,2016 Resolution requesting financial assistance from the Texas Water Development Board for the refunding of City obligations previously issued to pay certain costs of designing and constructing improvements to the City's Utility System; authorizing City staff and consultants to coordinate the submission of the application to the Texas Water Development Board for funding from its Drinking Water State Revolving Fund; and other matters in connection therewith. This Resolution was recommended to the consent agenda. Q. BRIEFINGS: (ITEM 50) 50. Bayshore Park Update Mayor McQueen referred to Item 50. Interim Director of Parks and Recreation Stacie Talbert Anaya stated that the purpose of this item is to provide an update on the Bayshore Park Project. Ms.Anaya presented the following information: a location map;the master site plan;the project activities; potential actions and outcomes; and the project schedule. Council members spoke regarding the following topics: Bayshore Park being a Bond 2008 project;the realignment of Shoreline Boulevard; operational plans for the privately-funded dog park and the City's liability exposure; concern with the palms trees that are currently planned for the middle of Shoreline Boulevard; the option to re-open or utilize Shoreline Boulevard in the future; the maintenance of Bayshore Park; consideration to rename the park Bayfront Memorial Park; investing in the downtown area; the citizens voting in support of the park; the cease and desist request submitted by then-Council Member-Elect McComb,to City Manager Rose;whether council members or council members-elect have the authority to request a"cease and desist" on projects;the ability for food trucks and vendors to access Shoreline Boulevard; concern that palm trees are not economically feasible and do not provide shade;the proposed shade structures; and moving forward with the plans,with the exception of the eastern most plantings by moving 20 feet to the west. MOTION OF DIRECTION -WITHDRAWN Council Member McComb directed the City Manager to meet with the contractor to discuss whether planting of the palm trees could be moved out of Shoreline Boulevard, at no additional cost, in order to preserve Shoreline Bouelvard, seconded by Council Member Garza. Mayor McQueen spoke regarding the need to move forward with the project; plam trees being a problem and not providing shade; preserving Shoreline Boulvard; not having a motion of direction; and asked City Manager Rose to bring back to the Council and update on the best solution moving forward. Council Member McComb withdrew his motion. Council Member Garza withdrew his second. R. ADJOURNMENT The meeting was adjourned at 9:35 p.m. Corpus Christi Page 27 Printed on 12/16/2016 City Of Corpus Christi COASTAL BEND COUNCIL OF GOVERNMENTS BOARD DETAILS SIZE 13 Seats The Coastal Bend Council of Governments shall prepare and TERM LENGTH 2 Years recommend to participating local OVERVIEW TERM LIMIT N/A governments urban, metropolitan, and rural area plans, looking to the present and future needs of the Region. Such plans may include recommendations for land use, traffic circulation, major streets and highways, general location of public works, the development of major educational facilities, and related problems of development. _................................................................................................................................................................................................................................................................................................................................................................................ COMPOSITION City shall appoint nine(9) members for two years(but terms shall be at the F-�'kcomplete discretion of the City Council),at least four(4)being elected officials. DETAILS CREATION/AUTHORITY Ordinance No.8246, Motion M83-0391 -7/20/83.Ch.391,Texas Local Government Code _.............................................................................................................................................................................................................................................................................................................................. MEETS 4th Friday,2:00 p.m.;Council of Government(COG). _.............................................................................................................................................................................................................................................................................................................................. TERM DETAILS Two-year terms. ..................................................................................................................................................................................................................................................... DEPARTMENT Coastal Bend Council of Governments COMMITTEE/SUBCOMMITEE AGENDAS OTHER INFORMATION COASTAL BEND COUNCIL OF GOVERNMENTS Page 1 of 1 Coastal Bend Council of Governments Members December 20, 2016 Three(3)vacancies with terms to 4-30-17. (Note: New City Council Members were sworn-in on December 13,2016.) :.. . - . Colleen McIntyre COASTAL BEND COUNCIL OF GOVERNMENTS Outgoing Council Member 2 04/30/17 Member Nelda Martinez COASTAL BEND COUNCIL OF GOVERNMENTS Outgoing Council Member 2 04/30/17 Member Mark Scott COASTAL BEND COUNCIL OF GOVERNMENTS Outgoing Council Member 3 04/30/17 Member Michael T. Hunter COASTAL BEND COUNCIL OF GOVERNMENTS Active Partial 04/30/17 Member Jay Ellington COASTAL BEND COUNCIL OF GOVERNMENTS Active Partial 04/30/17 Member Pat Veteto COASTAL BEND COUNCIL OF GOVERNMENTS Active Partial 04/30/17 Member Richie Quintero COASTAL BEND COUNCIL OF GOVERNMENTS Active 2 04/30/17 Member Rebecca Huerta COASTAL BEND COUNCIL OF GOVERNMENTS Active 1 04/30/17 Alternate Tom Tagliabue COASTAL BEND COUNCIL OF GOVERNMENTS Active 2 04/30/17 Member Lawrence Mikolajczyk COASTAL BEND COUNCIL OF GOVERNMENTS Active 2 04/30/17 Alternate Pat Eldridge COASTAL BEND COUNCIL OF GOVERNMENTS Active 2 04/30/17 Alternate Margie Rose COASTAL BEND COUNCIL OF GOVERNMENTS Active 2 04/30/17 Member Mark Van Vleck COASTAL BEND COUNCIL OF GOVERNMENTS Active Partial 04/30/17 Alternate City Of Corpus Christi NORTH PADRE ISLAND DEVELOPMENT CORPORATION BOARD DETAILS SIZE 9 Seats The North Padre Island Development Corporation manages the Reinvestment TERM LENGTH 2 Years Zone No. 2 and implements the project OVERVIEW TERM LIMIT N/A and financing plan. _................................................................................................................................................................................................................................................................................................................................................................................ COMPOSITION Not less than five(5)nor more than nine(9)directors,appointed by the City F-�'k Council. Each initial Director shall serve a term that expires on December 31, 2002;thereafter,terms are two-years. Each director must be a resident and qualified elector of the city. Each Director shall serve until a successor is appointed.Any director may be removed from office at any time,with or without DETAILS cause, by the City Council. _.............................................................................................................................................................................................................................................................................................................................. CREATION/AUTHORITY Tax Increment Financing Act,Tax Code Section 311.010(f); Chapter 431, Subchapter D of the Texas Transportation Code; Resolution No.025040; M2003- 001. _.............................................................................................................................................................................................................................................................................................................................. MEETS To be determined ............................................................................................................................................................................................................................................................................................................................... TERM DETAILS Each initial Director shall serve a term that expires on December 31,2002; thereafter,terms are two-years. ............................................................................................................................................................................................................................................................................................................................. DEPARTMENT General Government and Operations Support .............................................................................................................................................................................................................................................. COMMITTEE/SUBCOMMITEE N/A AGENDAS _.............................................................................................................................................................................................................................................................................................................................. OTHER INFORMATION ........................................................................................................ NORTH PADRE ISLAND DEVELOPMENT CORPORATION Page 1 of 1 North Padre Island Development Corporation Members December 20, 2016 Six(6)vacancies with terms to 12-31-17 and 12-31-18. (Note: New City Council Members were sworn-in on December 13,2016.) Colleen McIntyre NORTH PADRE ISLAND DEVELOPMENT CORPORATION Outgoing Council Member 2 12/31/2017 President Chad Magill NORTH PADRE ISLAND DEVELOPMENT CORPORATION Outgoing Council Member 2 12/31/2016 Nelda Martinez NORTH PADRE ISLAND DEVELOPMENT CORPORATION Outgoing Council Member 4 12/31/2016 Vice-President Mark Scott NORTH PADRE ISLAND DEVELOPMENT CORPORATION Outgoing Council Member 3 12/31/2016 Brian Rosas NORTH PADRE ISLAND DEVELOPMENT CORPORATION Outgoing Council Member 2 12/31/2017 Lucy Rubio NORTH PADRE ISLAND DEVELOPMENT CORPORATION Incoming Council Member 1 12/31/2016 Rudy Garza NORTH PADRE ISLAND DEVELOPMENT CORPORATION Active 2 12/31/2017 Carolyn Vaughn NORTH PADRE ISLAND DEVELOPMENT CORPORATION Active 2 12/31/2017 Michael T.Hunter NORTH PADRE ISLAND DEVELOPMENT CORPORATION Active Partial 12/31/2017 City Of Corpus Christi REINVESTMENT ZONE NO. 2 BOARD BOARD DETAILS The Reinvestment Zone No. 2 Board shall SIZE 13 Seats make recommendations to the City Council TERM LENGTH 2 Years concerning the administration of the zone. The OVERVIEW TERM LIMIT N/A Board shall prepare and adopt a project plan and reinvestment zone financing plan for the zone and submit such plans to the City Council for its approval in accordance with Section 311 .011, Texas Tax Code. The Board shall exercise other powers and responsibilities with respect to the zone only to the extent expressly granted by the City Council by ordinance or resolution. ................................................................................................................................................................................................................................................................................................................................................................................. COMPOSITION The Board shall consist of at least five and not more than fifteen (15) members. F-�'k The members shall be appointed as follows: Pursuant to Sec.311.009(a),Tax Code,the respective governing bodies of each taxing unit other than the City each may appoint one(1)member of the board. A taxing unit may waive its right to appoint a Director.The remaining members of the board are appointed by the City DETAILS Council.The City Council shall have the right to appoint up to ten (10)members, and the board shall exceed fifteen (15)members if necessary for the City Council to make said ten (10)appointments.To be eligible for appointment an individual must be a qualified voter of the City or be at least 18 years of age or older and own real property in the zone. Each year the governing body of the municipality or county that created the zone shall appoint one member of the board to serve as Chairman for a term of one-year that begins on January 1 of the following year. The Board of Directors may elect a Vice-Chairman to preside in the absence of the Chairman or when there is a vacancy in the office of the Chairman.The board may elect other officers as it considers appropriate. CREATION/AUTHORITY Motion No.2000-396, 11/14/00;Ordinance No.024270, 11/14/00; Motion No. 2000-408; Motion No.2000-409, 11/21/00; Motion No.2009-259,9/15/09. ......................................... ............................................................. ................................... .. MEETS On call,Council Chambers TERM DETAILS Two-year staggered terms. DEPARTMENT General Government and Operations Support ............................................................................................................................................................................................................................................................................................................................... REINVESTMENT ZONE NO. 2 BOARD Page 1 of 2 COMMITTEE/SUBCOMMITEE AGENDAS OTHER INFORMATION REINVESTMENT ZONE NO. 2 BOARD Page 2 of 2 Reinvestment Zone No. 2 Board Members December 20, 2016 Five(5)vacancies with terms to 11/1/17 appointed by the City Council. (Note: New City Council Members were sworn-in on December 13, 2016. Historically,Council Members have been appointed to serve on this board.) Appointment of Chairman for a term of one-year beginning 1-1-17. Colleen McIntyre REINVESTMENT ZONE NO.2 BOARD Outgoing Council Member 2 11/1/2017 City Chair Chad Magill REINVESTMENT ZONE NO.2 BOARD Outgoing Council Member 2 11/1/2017 City Member Nelda Martinez REINVESTMENT ZONE NO.2 BOARD Outgoing Council Member 4 11/1/2017 City Member Brian Rosas REINVESTMENT ZONE NO.2 BOARD Outgoing Council Member 1 11/1/2017 City Member Mark Scott REINVESTMENT ZONE NO.2 BOARD Outgoing Council Member 4 11/1/2017 City Member Rudy Garza REINVESTMENT ZONE NO.2 BOARD Active 2 11/1/2017 City Member Carolyn Vaughn REINVESTMENT ZONE NO.2 BOARD Active 1 11/1/2017 City Member Lucy Rubio REINVESTMENT ZONE NO.2 BOARD Active 1 11/1/2017 City Member Michael T.Hunter REINVESTMENT ZONE NO.2 BOARD Active Partia 11/1/2017 City Member Gabriel Rivas REINVESTMENT ZONE NO.2 BOARD Active 2 11/1/2018 Del Mar College Member Steve Ellis REINVESTMENT ZONE NO.2 BOARD Active 2 11/1/2018 Flour Bluff Independent School District Member Samuel Neal Jr. REINVESTMENT ZONE NO.2 BOARD Active 2 11/1/2018 Nueces County Member Cal Jennings REINVESTMENT ZONE NO.2 BOARD Active 1 11/1/2016 Nueces County Hospital District Member City Of Corpus Christi REINVESTMENT ZONE NO. 3 BOARD BOARD DETAILS The Reinvestment Zone No. 3 Board shall make SIZE 12 Seats recommendations to the City Council concerning the TERM LENGTH 2 Years administration of the zone. (The zone area includes approximately 856 acres encompassing the City's SEA- OVERVIEW Downtown area along the Bayfront from the Town complex at the north end, south to Morgan Avenue adjacent to the Christus Spohn Shoreline Hospital, and west to Tancahua Street.) The Board shall prepare and adopt a project plan and reinvestment zone financing plan for the zone and submit such plans to the City Council for its approval in accordance with Section 311.011, Texas Tax Code. The Board shall exercise other powers and responsibilities with respect to the zone only to the extent expressly granted by the City Council by ordinance or resolution. _................................................................................................................................................................................................................................................................................................................................................................................ COMPOSITION The Board shall consist of twelve (12) members.The members shall be appointed F-Elk as follows: Pursuant to Sec.311.009(a),Tax Code,the respective governing bodies of each taxing unit other than the City that levies taxes on real property in the zone,if the taxing unit has approved the payment of all or part of the tax increment produced by the unit into the tax increment fund for the zone,may DETAILS appoint one (1)member of the Board.These entities include: Del Mar College and Nueces County. Each governing body may waive its right to appoint a Director. The remaining members of the board are appointed by the City Council. The City Council shall have the right to appoint at least ten (10) members,with one reserved for a representative from the Downtown Management District,and the board may exceed twelve(12) members if necessary for the City Council to make said ten (10)appointments.To be eligible for appointment an individual must be a qualified voter of the City;or be at least 18 years of age or older and own real property in the zone.Terms of Board members are for two years.Terms must be staggered with half of the Board members appointed every year.Officers must be appointed as provided in the Act. Each year the governing body of the municipality or county that created the zone shall appoint one member of the board to serve as Chairman for a term of one-year that begins on January 1 of the following year. The Board of Directors may elect a Vice-Chairman to preside in the absence of the Chairman or when there is a vacancy in the office of the Chairman.The board may elect other officers as it considers appropriate. _.............................................................................................................................................................................................................................................................................................................................. CREATION/AUTHORITY Ord. No. 027996, 12/16/08;Ord. No.028136,04/28/09;Ord. No.029403,3/2/12; and Ord. No. 030286,9/16/14. ............................................................................................................................................................................................................................................................................................................................... MEETS On call,Council Chambers. REINVESTMENT ZONE NO. 3 BOARD Page 1 of 2 TERM DETAILS Two-year staggered terms. ............................................................................................................................................................................................................................................................................................................................. DEPARTMENT City Manager's Office .............................................................................................................................................................................................................................................................................................................................. COMMITTEE/SUBCOMMITEE AGENDAS ............ OTHER INFORMATION .............................................................................................................................................................................................................................................................................................................................. REINVESTMENT ZONE NO. 3 BOARD Page 2 of 2 Reinvestment Zone No. 3 Board Members December 20, 2016 Five(5)vacancies with terms to 2-28-17 and 2-28-18. (Note: New City Council Members were sworn-in on December 13,2016. Historically,Council Members have been appointed to serve on this board.) Appointment of Chairmanfora term of one-year that begins 1-1-17. Colleen McIntyre REINVESTMENT ZONE NO.3 BOARD Active 2 2/28/2017 City Member Chad Magill REINVESTMENT ZONE NO.3 BOARD Active 2 2/28/2018 City Member Nelda Martinez REINVESTMENT ZONE NO.3 BOARD Active 2 2/28/2017 City Member Brian Rosas REINVESTMENT ZONE NO.3 BOARD Active 2 2/28/2018 City Member Mark Scott REINVESTMENT ZONE NO.3 BOARD Active 2 2/28/2017 City Member Rudy Garza REINVESTMENT ZONE NO.3 BOARD Active 2 2/28/2017 City Member Lucy Rubio REINVESTMENT ZONE NO.3 BOARD Active 1 2/28/2017 City Member Carolyn Vaughn REINVESTMENT ZONE NO.3 BOARD Active 1 2/28/2017 City Chair Claudia Jackson REINVESTMENT ZONE NO.3 BOARD Active 3 2/28/2018 Del Mar College Member Mike Pusley REINVESTMENT ZONE NO.3 BOARD Active 2 2/28/2018 Nueces County Vice-Chair Stefany Schade REINVESTMENT ZONE NO.3 BOARD Active 2 2/28/2018 Downtown Management District Member Michael T.Hunter REINVESTMENT ZONE NO.3 BOARD Active Partial 2/28/2018 City Member SC o� Va. v AGENDA MEMORANDUM NORROPp�EO Future Item for the City Council Meeting of December 13, 2016 1852 Action Item for the City Council Meeting of December 20, 2016 DATE: December 5, 2016 TO: Mayor and Council FROM: Rebecca Huerta, City Secretary rebeccah@cctexas.com (361) 826-3105 Appointing Board Members to the Corpus Christi Housing Finance Corporation and the Corpus Christi Industrial Development Corporation CAPTION: Motion appointing Council Members Dan McQueen, Michael T. Hunter, Joe McComb, Paulette Guajardo, Carolyn Vaughn, Ben Molina, Lucy Rubio, Greg Smith, and Rudy Garza as Board Members to the Corpus Christi Housing Finance Corporation and the Corpus Christi Industrial Development Corporation. PURPOSE: The purpose of the item is to appoint Council Members Dan McQueen, Michael T. Hunter, Joe McComb, Paulette Guajardo, Carolyn Vaughn, Ben Molina, Lucy Rubio, Greg Smith, and Rudy Garza as board members to the Corpus Christi Housing Finance Corporation and the Corpus Christi Industrial Development Corporation. BACKGROUND AND FINDINGS: The City has three corporations for which the City Council serves as the Board of Directors. These corporations are the Corpus Christi Community Improvement Corporations (CCCIC), the Corpus Christi Housing Finance Corporation (CCHFC), and the Corpus Christi Industrial Development Corporation (CCIDC). Of the three corporations, the Corpus Christi Community Improvement Corporation (CCCIC) is incorporated under the Texas Nonprofit Corporations Act and therefore appoints its own membership. The other two corporations, the CCHFC and CCIDC, require that the City Council make the appointments. ALTERNATIVES: Not applicable. OTHER CONSIDERATIONS: Not Applicable. CONFORMITY TO CITY POLICY: Not Applicable. DEPARTMENTAL CLEARANCES: Legal Housing and Community Development FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital Q Not applicable Project to Date Fiscal Year: 2016- Expenditures 2017 (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE Fund(s): Comments: Not Applicable RECOMMENDATION: Staff is recommending approval of the Motion as presented. LIST OF SUPPORTING DOCUMENTS: Board detail sheets: CCHFC and CCIDC City Of Corpus Christi CORPUS CHRISTI HOUSING FINANCE CORPORATION BOARD DETAILS IF- The Corpus Christi Housing Finance 1in M TERM LENGTH 2 Years Corporation manages the property and 07 business of the Corporation; to issue tax OVERVIEW TERM LIMIT 2 Years exempt housing bonds; to approve L 4M interest reduction payments for housing development according to approved guidelines. ................................................................................................................................................................................................................................................................................................................................................................................. COMPOSITION Board of Directors-Bylaws specify that 9 Council Members shall serve,terms to ■ be concurrent with terms of City Council Members;officers chosen by Board of 'Eo_lk Directors. ■ DETAILS CREATION/AUTHORITY Organized in accordance with Texas Housing Finance Corporation Act,Article 1291-7,V.A.T.C.S. ............................................................................................................................................................................................................................................................. MEETS Regular meetings on call;Special meetings may be called by the President, Secretary or on written request of 2 directors.Annual meeting of the Board of Directors held during a City Council meeting in February of each year. . .. .. .. .. .. .. .. ............................................................................................................................................................................................................................................................................................... TERM DETAILS Two-year terms. ............................................................................................................................................................................................................................................................................................................................... DEPARTMENT Housing and Community Development ............................................................................................................................................................................................................................................................................................................................... COMMITTEE/SUBCOMMITEE N/A AGENDAS 1 OTHER INFORMATION ............................................................................................................................................................................................................................................................................................................................... CORPUS CHRISTI HOUSING FINANCE CORPORATION Page 1 of 1 City Of Corpus Christi CORPUS CHRISTI INDUSTRIAL DEVELOPMENT CORPORATION BOARD DETAILS IF- The Corpus Christi Industrial in M TERM LENGTH 2 Years Development Corporation manages the Or property and business of the corporation; OVERVIEW TERM LIMIT 2 Years to promote development of commercial, industrial, manufacturing, etc., by assisting in project financing by issuing tax-exempt revenue bonds. ................................................................................................................................................................................................................................................................................................................................................................................. COMPOSITION Board of Directors-Bylaws specify that 9 Council Members shall serve;term to F-Eo_lk be concurrent with terms of the City Council Members;officers chosen by Board of Directors. DETAILS CREATION/AUTHORITY Charter No.525742,July 18, 1980,Secretary of State, in accordance with Development Corporation Act of 1979. Bylaws amended on 8-11-72 to delete Section 2.02; Bylaws amended 9-14-83,to increase number of Directors from 7 to 9 members. ............................................................................................................................................................................................................................................................................................................................... MEETS Regular meetings on call;Special meetings-may be called by President on 3 days notice to each Director.Annual meeting of the Board of Directors held during a City Council meeting in February of each year. ............................................................................................................................................................................................................................................................................................................................... TERM DETAILS Two-year terms. ............................................................................................................................................................................................................................................................................................................................... DEPARTMENT Neighborhood Services ............................................................................................................................................................................................................................................................ COMMITTEE/SUBCOMMITEE N/A AGENDAS ............................................................................................................................................................................................................................................................................................................................... OTHER INFORMATION CORPUS CHRISTI INDUSTRIAL DEVELOPMENT CORPORATION Page 1 of 1 SC o� Va. v AGENDA MEMORANDUM NCORP08 IEO Future Item for the City Council Meeting of December 13, 2016 1852 Action Item for the City Council Meeting of December 20, 2016 DATE: December 5, 2016 TO: Mayor and Council FROM: Rebecca Huerta, City Secretary rebeccah@cctexas.com (361) 826-3105 Appointing Board Members to the Coastal Bend Health Facilities Development Corporation and the Coastal Bend Cultural Education Facilities Finance Corporation CAPTION: Motion appointing Council Members Dan McQueen, Michael T. Hunter, Joe McComb, Paulette Guajardo, Carolyn Vaughn, Ben Molina, Lucy Rubio, Greg Smith, and Rudy Garza as Board Members to the Coastal Bend Health Facilities Development Corporation and the Coastal Bend Cultural Education Facilities Finance Corporation. PURPOSE: The Coastal Bend Health Facilities Development Corporation was formed in 1984 to facilitate the financing of health care facilities through the issuance of tax-exempt revenue bonds as authorized by federal tax laws. The Coastal Bend Cultural Education Facilities Finance Corporation was created in 2009 to replace the Coastal Bend Health Facilities Development Corporation. Since the Coastal Bend Health Facilities Development Corporation still has bonds outstanding from earlier financing, it cannot be dissolved until those bonds are either retired or refunded. Council Members are appointed to serve on both of these corporations in order to maintain continuity for both organizations until the Health Facilities Development Corporation can be dissolved. BACKGROUND AND FINDINGS: Not Applicable. ALTERNATIVES: Not applicable. OTHER CONSIDERATIONS: Not Applicable. CONFORMITY TO CITY POLICY: Not Applicable. DEPARTMENTAL CLEARANCES: Housing and Community Development Legal FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital ❑ Not applicable Project to Date Fiscal Year: 2016- Expenditures 2017 (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE Fund(s): Comments: Not Applicable RECOMMENDATION: Staff is recommending approval of the Motion as presented. LIST OF SUPPORTING DOCUMENTS: None. se o� Va. AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 NCORPOP PIES 1852 DATE: October 10, 2016 TO: Margie C. Rose, City Manager FROM: Mike Markle, Chief of Police mikema@cctexas.com 886-2603 Approval of an antenna space lease agreement with One Shoreline Plaza, LLC, for rooftop space for public safety radio communications system CAPTION: Motion authorizing the City Manager or designee to renew a lease agreement with One Shoreline Plaza, LLC, for ten years with an optional extended term of ten years and approving monthly lease payments of$13,040 per month with annual rent increase of 3% for rooftop space and equipment room necessary to support the public safety communications system. PURPOSE: The current lease expired May, 2010 and needs to be renewed. It has continued on a month to month basis since that date. BACKGROUND AND FINDINGS: The City of Corpus Christi public safety communications system operates with two radio towers on top of One Shoreline Plaza and near Robstown on the KRIS Tower. Two sites are necessary to give the 98% coverage required through the original purchase of the system. Both towers were originally selected because of stringent RFP requirements regarding radio signal coverage and overall system range. This site has proven to be an effective location for the Public Safety Radio System currently in use by the City, the RTA, Nueces County and various other Public Safety entities. The City has had an agreement with One Shoreline Plaza since 1990. This agreement is for ten years from March 1, 2016 with an option to extend for ten years (5 options of two years each). The monthly cost has increased by 3% annually as in previous contracts. ALTERNATIVES: None OTHER CONSIDERATIONS: None CONFORMITY TO CITY POLICY: Conforms to all city policies EMERGENCY / NON-EMERGENCY: Non-emergency DEPARTMENTALCLEARANCES: Finance Legal FINANCIAL IMPACT: X Operating ❑ Revenue ❑ Capital ❑ Not applicable Project to Date Fiscal Year: Expenditures 2016-2017 (CIP) only Current Year Future Years TOTALS Line Item Budget $224,117 $1,317,040 $1,541,157 Encumbered / Expended Amount $30,952 $30,952 This item $156,480 $1,317,040 $1,473,520 BALANCE $36,685 0 $36,685 Fund(s): Police General Fund Comments: RECOMMENDATION: Staff recommends entering into the contract. LIST OF SUPPORTING DOCUMENTS: Lease agreement ANTENNA SPAQE LEASE AGREEMENT This Lease Agreement (the "Lease") is made and entered into effective as of the first (1s) day of November 2016 by and between ONE SHORELINE PLAZA, LLC, a Delaware limited liability company having its principal office at 800 N. Shoreline Blvd., Suite 1950, South Tower, Corpus Christi, Texas 78401, hereinafter referred to as "Lessor", and THE CITY OF CORPUS CHRISTI, having its principal office at 1201 Leopard Street, Corpus Christi, Texas 78401, hereinafter referred to as "Lessee". 1. Leased Premises. Lessor grants a non-exclusive lease to Lessee for a portion of the roof of the South Tower of One Shoreline Plaza Building (the "Building"), as shown on Exhibit "A", which is attached hereto and incorporated herein by this reference (the "Roof Space") and an exclusive lease to an equipment room (the "Equipment Room") described on Exhibit "D" attached hereto and incorporated herein by this reference, which Lease shall include the right to place transmitters, receivers and antennas, along with other necessary ancillary equipment, as described on Exhibit "B", which is attached hereto and incorporated herein by this reference, on the Roof Space for purposes of operating a radio transmission system for police, fire, ambulance and other public operations for itself and other authorized governmental agencies. Lessee shall solely and continuously use the Roof Space for such purposes during the entire term of this Lease. The exact location for the placement of the antennas, transmitters and receivers is shown on Exhibit"A". The legal description for the land underlying the Building is set forth in Exhibit "C" attached hereto and incorporated herein by this reference. Lessee shall have the responsibility for all costs, fees and expenses associated with the placement, installation, repair, maintenance and removal of its equipment on the Roof Space, in the Equipment Room, or elsewhere, as shall have been agreed upon in advance ad in writing by Lessor, in and around the Building (other than tenant spaces) and/or its common areas. 2. Term. The term of this Lease shall be for Ten (10) years (the "Original Term") beginning on the 18'day of March 2016 (the"Commencement Date") and, unless sooner terminated pursuant to this Lease, continue for a period of ten (10) years plus the period, if any, between the Commencement Date, if it falls on a day other than the first day of the month, and the first day of the first full calendar month in the Original Term. 2A. Options to Extend. Lessee shall have the option to extend the term of this Lease for five (5) options (each, an "Option," and collectively, the "Options") of two (2) years each (individually, the"First Option Term,"the "Second Option Term,"the "Third Option Term," the "Fourth Option Term," and the "Fifth Option Term," and collectively referred to as the "Option Terms"), subject to the following terms and conditions: (a) in order to exercise an Option, Lessee (through its City Manager) must give written notice (the "Exercise Notice") of such election to Lessor no later than one hundred and twenty (120) days prior to the expiration of the Original Term the First Option Term, the Second Option Term, the Third Option Term or the Fourth Option Term, as applicable. If timely notification of exercise of an Option is not given, then such Option (and any remaining unexercised Option(s)) shall automatically expire and be rendered void and of no further force or effect; (b) no default by Lessee under this Lease, beyond any applicable notice and cure period, shall have occurred and be continuing on the date Lessor receives an Exercise Notice; (c) except for the provisions hereof granting the Options and except for the amount of Rental payable during the Option Terms, all of the terms and conditions of this Lease shall apply during the Option Terms; (d) except for the Options, Lessee shall have no further right or option to extend the term of this Lease; (e) a later Option cannot be exercised unless an earlier Option has been timely exercised; (f)the amount of Rental payable during each of the Option Terms shall be as set forth in Section 3 hereof. 3. Rent. Lessee agrees to pay Lessor, in advance and without prior notice, demand, deduction or offset, at Lessor's place of business on or before the first day of each and every month of the term of the Lease, as may be extended, a monthly rental (the "Rental") rate fee as set forth below: Base rental fee will be$515.00 per month per cabinet. A"cabinet" is defined as that piece of equipment that transmits a two- way radio signal along with its receiver counterpart or that piece of equipment that combines transmitters and its receiver multicoupler counterpart. The base rooftop two-way antenna rental fee will be $685.00 per month per antenna and antenna mount. The base rooftop microwave dish antenna rental fee will be $1,715.00 per month for each six (6) foot diameter microwave dish and $2,060.00 per month for each eight (8) foot diameter microwave dish. The current installation will consist of the following items resulting in the following monthly rental fee: 10—800 MHz. cabinets or repeaters consisting of a transmitter and receiver X $515.00 per cabinet per month: $5,150.00lmonth 2 - Microwave cabinets consisting of a transmitter, receiver and ancillary multiplex equipment X $515.00 per cabinet per month: $1,030.00lmonth 2- Cabinets consisting of two - 5 channel transmitter combiners and one - 16 channel receiver multicoupler X $515.00 per cabinet per month: $1,030.00Imonth 3 - Antennas consisting of two antennas for the transmit system and one antenna for the receive system X $685.00 per two-way antenna per month: $2,055 00/month 1 - Six foot diameter microwave dish antenna at$1,715.00 per dish antenna per month: $1,715/month 1 Eight foot diameter microwave dish antenna at $2,060.00 per dish per month $2,060.00Imonth TOTAL INITIAL INSTALLATION MONTHLY RENTAL FEE $13,040.00Imonth Lessee will, in writing, notify Lessor of any new equipment that will be installed by Lessee on the Roof Space or in the Equipment Room. With such written notification, Lessee will inform Lessor when the new equipment will be installed, its calculation of the increased monthly rental fee and the date such increased monthly rental fee will take effect. Lessor, its agents and representatives will, upon no less than one (1) business day prior notice to Lessee, have the right to audit the equipment. In the event Lessor disagrees with Lessee's calculation of the increased monthly rental fee, it shall notify Lessee of same and Lessor's calculation thereof; provided, however, pending resolution of any dispute between Lessor and Lessee concerning such increased monthly rental fee, Lessee shall be required to pay the Nigher amount until such dispute is resolved and any overpayment or underpayment resulting from such resolution shall be reconciled by Lessor and Lessee within ten (10) business days after the date of such resolution. At Lessee's sole cost and expense, a watt-hour meter will be installed to the primary power input to the Equipment Room. Power consumption will be read on a monthly basis and Lessor will, as additional rent, invoice Lessee (separately from any other rooftop or antenna lease fee rates)for the power consumed; each such invoice shall be paid by Lessee without deduction or offset within ten (10) days after Lessees receipt of each such invoice. Lessee's obligation to pay each such invoice by Lessee is in addition to its obligation to pay monthly rental fees. Lessor shall not permit subsequent lessees to attach any equipment on the load side of Lessee's watt-hour meter. Except to the extent caused by the gross negligence or willful misconduct of Lessor, no interruption in the power provided hereunder shall render Lessor liable in any respect for damages to either person or property nor relieve Lessee from fulfillment of any covenant or agreement in this Lease. If any of Lessee's equipment fails because of a loss of electrical power, Lessee shall have no claim for damages on account of any interruption in electrical service occasioned thereby or resulting therefrom. Notwithstanding the foregoing, Lessor shall have the right to shut down electrical service to the Building (including to Lessee's equipment) in connection with any repair, upgrade or maintenance operation conducted for the Building without liability to Lessee for damages provided that Lessor shall, except in the event of an emergency, give Lessee five (5) days' written notice and further provided that any such shut down, to the extent feasible, will be performed outside of normal Building business hours. Lessor shall have no responsibility to provide emergency or "backup" power to Lessee, it being understood and agreed that the provision of any emergency or "backup" power shall be the sole responsibility of Lessee. Lessee hereby acknowledges that late payment by Lessee of Rental will cause Lessor to incur costs not contemplated by this Lease, the exact amount of which will be extremely difficult to ascertain. Late payments will be subject to the Texas Prompt Payment Act 3A. Rental Adjustment. The monthly rental fee from the anniversary date of this Lease to December 31st of such calendar year shall be as set forth in Section 3 of this Lease. Effective on the first (18t) day of January of the calendar year immediately following the anniversary year of the execution of this Lease and each January first (15t) of each year during the term of this Lease, as may be extended, the monthly rental tee shall be increased, on a compounded and cumulative basis, by three percent (3%) per annum . 4 Security Deposit. The sum of Five Thousand and no/100 Dollars ($5,000.00) previously deposited by Lessee with Lessor as a security deposit shall be retained by Lessor upon execution of this Lease for the faithful and diligent performance of Lessee's covenants and obligations hereunder. Such security deposit may not be used by Lessee as a credit against Rentals due under the Lease. In the event Lessor must draw from Lessee's security deposit in order to perform for Lessee, Lessee shall replenish such amount within ten (10) days after receipt of written demand by Lessor. No part of the security deposit shall be considered to be held in trust, to bear interest or to be prepayment for any monies to be paid by Lessee under this Lease.. Further, Lessor shall not be required to keep the security deposit separate from its general accounts. 5. Number of Antenna Structures. Lessor grants permission to Lessee to install and operate on the Roof Space the antenna structures listed on Exhibit"B". Lessee is responsible for providing all equipment and modification of the equipment to be placed upon the Roof Space that is necessary to its operation. Lessor is only responsible to provide the Roof Space and one (1) equipment room as depicted on Exhibit "D". Lessee is expressly and solely responsible for all costs, fees and expenses relating to any modification (including electrical), installation, or maintenance of the Roof Space and Equipment Room related to this Lease. Lessee shall, at its sole cost and expense, install and maintain all air conditioning and heating equipment required by it in the Equipment Room. All manner and type of installations shall first be approved in writing by Lessor. As an inducement by Lessee to Lessor, it is expressly understood by Lessee and Lessor that the Roof Space and the Equipment Room is leased to Lessee under this Lease in their current"AS IS"and "WHERE IS" condition and "WITH ALL FAULTS"and that Lessor expressly disclaims all warranties, express or implied (except for title), including but not limited to habitability, suitability and fitness for a particular purpose. Lessor agrees to place, and require subsequent lessees to place any additional antennas on the roof of the Building in a manner such that their placement will not materially interfere with the operation and performance of the Lessee's e. Lessee, however, will not unreasonably withhold concurrence of antenna system placement upon the Roof Space. 6. Frequencies. Lessee agrees that it shall not change the initial frequencies as specified on Exhibit "B" attached hereto without Lessor's prior written approval, which shall not be unreasonably withheld, and which purpose is to avoid a conflict with the operations of existing or subsequent lessees of the Building. 7. Attachments to Roof by Lessee. Lessee shall, at its sole cost and expense, maintain any equipment on/in or attached to the Roof Space in a safe condition and in good order, repair and condition, and in a manner suitable to Lessor so as not to conflict with the use of the roof of the Building by Lessor, or by any other company using the roof of the Building and so as not to interfere with the working use of facilities currently thereon or may hereafter be placed thereon. Lessee covenants that it will use only industry standard light-weight mesh microwave dishes and Class A hurricane mounting, for all exterior installations, which Lessor must first approve in writing. Further, Lessee covenants that it shall coordinate the color of all exterior equipment with the Lessor, which shall be subject to Lessor's prior written approval. 8. Interference. Lessor agrees to, in all future leases of the roof of the Building similar to this Lease, require other lessees to perform intermod studies to determine if there will be any material interference with Lessee's use of the Roof Space, and if any such study determined that potential for such material interference exists, Lessor will require the subsequent lessee(s) to provide adequate protection against such material interference. Lessee agrees to install equipment of types and frequencies which will not cause interference to Lessor or other lessees or Lessor's property, antenna site and/or equipment room. In the event Lessee's equipment causes such interference through improper functioning of equipment or any other cause within the reasonable control of Lessee, Lessee will make best efforts to eliminate the interference. Further, Lessee will take such action as deemed appropriate to minimize the effect of interference until such time as interference can be eliminated, including, if necessary, ceasing operation of such equipment until it can be made to function properly and not cause any such interference. Further, Lessee agrees, upon report of interference to other equipment located within the Building or upon the exterior of the Building, to verity within forty-eight (48) hours of the report that all of Lessee's equipment is operating within FCC guidelines and rules as set forth herein. Notification in writing of spectral impurity beyond herein imposed limits will also constitute interference, and the Lessee will immediately take all steps necessary to correct the problem. If the problem cannot be corrected within the limits specified herein, the Lessee agrees to remove its equipment from the Building. Further, Lessee will take such action as deemed appropriate to minimize the effect of interference until such time as interference can be eliminated. Spectral impurity is defined by the following: All transmitting and receiving equipment shall, at a minimum, meet or exceed applicable FCC Rules and Regulations and all appropriate EIA standards, including the most current revisions at the time of installation of RS-152 and RS-204 All transmitter-generated third-order intermodulation products shall be attenuated at least 70 dB, relative to the level of the extraneous mixing signal. The transmitter side-band spectrum shall be attenuated to a level no greater than: (1) -100 dBc at +1- 25 kHz from the carrier (2) -110dBc at+1--1 MHz and beyond from the carrier (dBc denotes decibel level below carrier amplitude level) The Antenna Site Technical standard will be adhered too without any exceptions. Exhibit "D", attached hereto, is the Antenna Site Technical Standards. 9. Access. Lessor agrees that Lessee shall have access to the Roof Space and/or equipment located thereon for the sole and limited purpose of installing, maintaining, operating and removal of Lessee's equipment, and Lessor further agrees to grant Lessee ingress and egress to the Roof Space during normal business hours of the Building during the Original Term and any extensions thereof. Lessee shall further have emergency access to the Roof Space at all times, provided, however, oral notification is first given to Lessor or any security personnel of the Building.All access to the Roof Space shall be coordinated through Lessor's security personnel. It is agreed, however, that only authorized engineers, employees, contractors, sub-contractors, and agents of Lessee, FCC inspectors, or persons under their direct supervision of Lessee, will be permitted access to the Roof Space. 10. Compliance with Statutes and Regulations. Antennas, wires, appliances and equipment of Lessee shall be erected and maintained in accordance with the requirements and specifications of the safety codes of the State of Texas, including any amendments or revisions thereof, and in compliance with any rules or orders now in effect, or that hereafter may be issued by the Federal Communications Commission, or any other governmental or municipal entity having authority over the same. 11. Maintenance and Operating of Roof. Lessor reserves to itself, its successors, and assigns, the right to maintain the roof of the Building, including the Roof Space, and to operate its facilities in such manner as will best enable it to fulfill its own services to lessees of the Building. 12. Rights to Equipment. Any and all machinery, equipment and trade fixtures installed by Lessee shall remain personalty notwithstanding the fact that it may be affixed or attached to the realty, and shall, during the term of this Lease or any extension or renewal thereof, belong to and be removable by Lessee. Lessee may, at its election, remove said equipment on or before the expiration of the term of this Lease. Upon expiration or termination of this Lease, Lessee shall remove said equipment and related cabling and wiring within fifteen (15) days thereafter and Lessee shall repair any and all damage caused by said removal (within fifteen (15)days of such expiration or termination. Any of Lessee's property remaining on the Roof Space fifteen (15) days after the expiration or termination of this Lease, which Lessor does not require Lessee to remove, shall become the property of Lessor, free of any claim by Lessee or any person claiming through Lessee. If Lessee fails to remove equipment after receipt of written notice from Lessor, Lessor has the right to have such equipment removed and charge back the actual cost of removal to Lessee plus fifteen percent (15%) for Lessor's overhead costs to do such work. Lessee's obligations under this Section 12 shall survive the expiration or earlier termination of this Lease. 13. Lessor Lien. Lessor shall have at all times, a lien for all rentals and other sums of money becoming due hereunder from Lessee upon all goods, wares, equipment fixtures, furniture and other personal property of Lessee situated on the above described premises, and such property shall not be removed therefrom without consent of Lessor until all arrearages and rent as well as any and all other sums of money then due to Lessor hereunder shall first have been paid and discharged, Upon the occurrence of any default and the lapse at any applicable cure periods as hereinafter set forth, Lessor shall have the option, in addition to any other remedies provided herein or by law, to enter upon the Equipment Room with or without the permission of Lessee and take possession of any and all goods, wares, equipment, fixtures, furniture, and other personal property of Lessee situated therein and upon the Roof Space without liability or trespass or conversion, to sell the same with or without notice at private or public sale, with or without having such property at the sale, at which Lessor or its assigns may purchase, and to apply the taking or possession and sales of the property as a credit against any sums due by Lessee to Lessor. Any surplus shall be paid to Lessee, and Lessee agrees to pay any deficiency forthwith. Alternatively, the lien hereby granted may be enforced by Lessor in any other manner provided by law. The statutory lien for rent is not hereby waived, the express contractual lien herein granted being in addition and supplementary thereto. 14. Default. In the event Lessee fails to comply with any of the provisions of this Lease, including the specifications herein mentioned, or default in any of its obligations under this Lease, including its monetary obligations, Lessor may, after written notice and ten (10) days opportunity to cure monetary default and thirty(30) days opportunity to cure non-monetary default, at its option, either terminate Lessee's right to possession of the Roof Space and the Equipment Room or terminate the Lease and accelerate the balance of payment due under this Lease for the then remaining balance of the term of this Lease. In the event that Lessor is required to act on behalf of Lessee in event of default, Lessee shall remain responsible for all costs, fees and expenses to cure said default. Lessee shall be obligated to pay all costs, fees and expenses incurred by Lessor as a result of Lessee's default, including the cost of removing equipment, restoring the Roof Space and the Equipment Room to its prior condition, costs of collection, and reasonable attorney's fees for enforcing the Lessor's rights under this Lease. In addition, Lessor shall have the right to pursue all other remedies available to Lessor under applicable law by reason of Lessee's default under this Lease. 15. Manner of Giving Notice. Any notice to be given under this Lease shall be mailed to the party to be notified at the address set forth herein, by registered or certified mail with postage prepaid, via overnight mail or by personal delivery, and shall be deemed given when so mailed or shall be hand-delivered to the party to be notified. Any demand or notice to either party may be given to the other party by addressing the written notice to: LESSOR: One Shoreline Plaza, LLC 800 N. Shoreline Boulevard Suite 1950 South Corpus Christi, Texas 78401 LESSEE: City of Corpus Christi 321 John Sartain Corpus Christi, Texas 78401 Attention: Chief of Police 16. Quiet Enioyment. Lessor covenants and agrees with Lessee that upon Lessee paying the Rentals and observing and performing all of the terms, covenants and conditions on Lessee's part to be observed and performed under this Lease, Lessee may peacefully and quietly enjoy the non-exclusive use of the Roof Space for the use permitted herein and the use of the Equipment Room, subject nevertheless to the terms and conditions of this Lease. 17. Entire Agreement, Severability. This Lease, inclusive of the exhibits, embodies the entire agreement between the parties concerning the subject matter hereof. If any provision herein is determined invalid by a court with proper jurisdiction, it shall be considered deleted from this Lease, and shall not invalidate the remaining provisions of this Lease. 18. Parties Bound by Agreement. Subject to the provisions hereof, this Lease shall be extended to and bind the successors and assigns of the parties hereto (but this reference to assigns shall not be deemed to act as a consent to an assignment of this Lease by Lessee). 19. Construction. Should any provision of this Lease require judicial interpretation, the Court shall not apply the presumption that the terms hereof shall be more strictly construed against the party who drafted the Lease, it being understood that both parties hereto have participated in the preparation of the Lease. 20. Casualty Loss. In the event the roof of the Building is damaged or destroyed by fire, earthquake, hurricane, rain, wind or other casualty, then, to the extent of, and conditioned upon the receipt of, insurance proceeds that Lessor actually receives, Lessor shall use commercially reasonable efforts to restore the roof of the Building; however, in the event Lessor is unable to restore the roof of the Building within six (6) months after the damage is sustained, then Lessor or Lessee shall have the option to terminate this Lease by giving the other party written notice of termination. Rentals shall proportionately abate during the period that Lessee is unable to use the Roof Space for the purposes described and permitted in this Lease. 21. Appropriations. Lessee's obligations under this Lease beyond its current budget year are subject to appropriations by the Corpus Christi City Council; however, in the event that appropriations for future years are not approved, Lessor and Lessee hereby agree that Lessee may, upon no less than ten (10) business days' prior written notice to Lessor, elect to terminate this Lease, provided, however,. as consideration for such early termination, Lessee shall, concurrently with its election to terminate this Lease hereunder, pay to Lessor as liquidated damages, one (1)year's Rental as is then currently due under this Lease. The parties hereto expressly agree and acknowledge that Lessor's actual damages in the event of such termination by Lessee would be extremely difficult or impracticable to ascertain and that the above-stated amount of the represents the parties' reasonable estimate of such damages. The payment of such amount as liquidated damages is not intended as a forfeiture or penalty. Lessee's obligations hereunder shall survive the termination of this Lease. 22. Care of Premises. Lessee agrees to pay Lessor, in addition to all other amounts payable by Lessee under this Lease, the cost of repair or damage caused to the Building and its common areas or any contents therein during the installation, maintenance, repair, or removal of Lessee's equipment. Lessee agrees to cover the elevator floor area of the 28th floor upon installation, repair or removal of Lessee's equipment and to take other precautionary measures within the Building as Lessor shall notify Lessee to take during the installation, maintenance and removal of equipment. Lessee's obligations under this Section 22 shall survive the expiration or earlier termination of this Lease. 23. Transfers by Lessor. Lessor shall have the right to transfer and assign, in whole or in part, all its rights and obligations hereunder and in the Building, in such event and upon such transfer, Lessor shall be released from any further obligations under this Lease, and Lessee agrees to look solely to such successor in interest of Lessor for the performance of such obligations. 24. Transfers by Lessee. Lessee shall not transfer, convey, mortgage, pledge, hypothecate, or encumber Lessee's interest under this Lease or grant any license, concession, or other right to occupancy of any portion of the Roof Space or the Equipment Room without the prior written consent of Lessor, which may be granted or withheld in Lessor's sole discretion. The prohibitions specified in this Section 24 shall be in addition to, and independent of, any other provisions of this Lease and shall be construed to include, without limitation, any such prohibited transfers occurring by operation of law. Any attempt by Lessee to accomplish a transfer prohibited by the provisions of this Lease, without having obtained the prior written consent of Lessor thereto, shall be void and of no force or effect and may, at the option of Lessor, constitute a material default hereunder. 25. Environmental. Lessee will be responsible for all obligations of compliance with any and all environmental and industrial hygiene laws, including any regulations, guidelines, standards, or policies of any governmental authorities regulating or imposing standards of liability or standards of conduct with regard to any environmental or industrial hygiene conditions or concerns as may now or at any time hereafter be in effect, to the extent resulting from Lessee's activities now conducted upon the Roof Space and the Equipment Room. 26. Subordination. This Lease and any extension or renewal hereof are expressly made subject and subordinate to any mortgage, deed of trust, ground lease, underlying lease or like encumbrance affecting any part of the Building or any interest of Licensor therein which is now existing or hereafter executed or recorded, any present or future modification, amendment or supplement to any of the foregoing, and to any advances made there under (any of the foregoing being a "Superior Interest") without the necessity of any further documentation evidencing such subordination; provided, however, that the holder of any such Superior Interest shall agree not to disturb Lessee's rights under this Lease upon foreclosure or other transfer of interest. Subject to the foregoing, Lessee shall, upon Lessor's request, execute and deliver to Lessor a document evidencing the subordination of this Lease to a particular Superior Interest. If the interest of Lessor in the Building is transferred to any person ("Purchaser") pursuant to or in lieu of proceedings for enforcement of any encumbrance, Lessee shall, at the Purchaser's election, attorn to the Purchaser and this Lease shall continue in full force and effect as a direct agreement between the Purchaser and Lessee on the terms and conditions set forth herein. 27. Limitation of Liability. Lessee shall neither assert nor seek to enforce any claim for breach of this Lease, or otherwise, against any of Lessor's assets or against the assets of Lessor's members or managers, other than the equity interest of Lessor in the Building, and Lessee agrees to look solely to such interest for the satisfaction of any liability of Lessor under this Lease, it being specifically agreed that in no event shall Lessor, any affiliate of Lessor or any member or manager (which terms shall include, without limitation, any of the officers, trustees, partners, beneficiaries, joint ventures, members, managers, or other principals or representatives thereof, disclosed or undisclosed) ever be personally liable for any such liability. 28. Damages. Notwithstanding anything to the contrary contained in this Lease, in no event shall Lessor be liable to Lessee for any special, incidental, consequential or punitive damages, all such damages being hereby fully waived by Lessee. 29. Condemnation. If the whole or substantially the whole of the Building or should be taken for any public or quasi-public use, by right of eminent domain or otherwise or should be sold in lieu of condemnation, then this Lease shall terminate as of the date when physical possession of the Building is taken by the condemning authority. If less than the whole or substantially the whole of the Building are thus taken or sold, Lessor (whether or not the Roof Space is affected thereby) may terminate this Lease by giving written notice thereof to Lessee; in which event this Lease shall terminate as of the date when physical possession of such portion of the Building are taken by the condemning authority. All amounts awarded upon a taking of any part or all of the Building shall belong to Lessor and Lessee shall not be entitled to and expressly waives all claims to any such compensation. 30. No Implied Waiver. Failure of a party to insist at any time on strict performance of any of the conditions, covenants, terms or provisions of this Lease or to exercise any option, right, power or remedy contained herein shall not be construed as a waiver or a relinquishment thereof for the future. No payment by Lessee or receipt by Lessor of a lesser amount than the monthly rental fee due under this Lease shall be deemed to be other than on account of the earliest monthly rental fee due hereunder, nor shall any endorsement or statement on any check or any letter accompanying any check or payment as monthly rental fee be deemed an accord and satisfaction, and Lessor may accept such check or payment without prejudice to Lessor's right to recover the balance of such monthly rental fee or pursue any other remedy available to Lessor under this Lease and applicable law. 31. Governing Law. This Lease and the rights and obligations of the parties hereto shall be interpreted, construed, and enforced in accordance with the internal laws of the State of Texas. 32. Disclosure Of Interests. In compliance with Section 2-349 of the Corpus Christi Code of Ordinances, Lessor shall complete the City's Disclosure of Interests form, which is attached to this Lease as Exhibit E, the contents of which, as a completed form, are incorporated into this Lease by reference as if fully set out in this Lease. (For corporate businesses whose shares are publicly traded and listed on recognized national or regional stock exchanges or over-the-counter markets, it shall be sufficient if a current Securities and Exchange Commission Form 10-K is filed in lieu of the City's Disclosure of Interests form.) 33. Certificate of Interested Parties. Lessor agrees to comply with Texas Government Code section 2252.908 and complete Form 1295 Certificate of Interested Parties as part of this Lease. Form 1295 requires disclosure of "interested parties" with respect to entities that enter contracts with cities. These interested parties include: (a) persons with a "controlling interest" in the entity, which includes: (i) an ownership interest or participating interest in a business entity by virtue of units, percentage, shares, stock or otherwise that exceeds ten percent (10%); (ii) membership on the board of directors or other governing body of a business entity of which the board or other governing body is composed of not more than ten (10) members; or (iii) service as an officer of a business entity that has four (4) or fewer officers, or service as one of the four (4) officers most highly compensated by a business entity that has more than four officers; and (b) a person who actively participates in facilitating a contract or negotiating the terms of a contract with a governmental entity or state agency, including a broker, intermediary, adviser or attorney for the business entity. Form 1295 must be electronically filed with the Texas Ethics Commission at https://www.ethics.state.tx.us/whatsnew/elf info form1295.htm. The form must then be printed, signed, notarized and filed with the City. (For more information, please review the Texas Ethics Commission Rules at https:/fwww.ethics.state.tx.usllegal/ch46.html.) 34. Conflict of Interest. Lessor agrees to comply with Chapter 176 of the Texas Local Government Code and file Form CIQ with the City Secretary's Office, if required. (For more information and to determine if you need to file a Form CIQ, please review the information on the City Secretary's website at http:llwww.cctexas.com/governmenticity- secretary/conflict-d isclosurelindex.) 35. Estoppel. Each party to this Lease shall, upon twenty (20) days' prior notice from the other party issued not more than two (2) times in any period of twelve (12) consecutive months, execute, acknowledge, and deliver to the requesting party a statement in writing (a) certifying that this Lease is unmodified and in full force and effect (or, if modified, stating the nature of such modification and certifying that this Lease, as so modified, is in full force and effect) and the date to which the Rental and other fees and charges are paid, if any, and (b) acknowledging that there are not, to the certifying party's knowledge without any obligation to investigate, any uncured defaults on the part of the requesting party, or specifying such defaults if any are claimed. IN WITNESS WHEREOF, the parties have executed this agreement on the date and year first above written. LESSOR: LESSEE: ONE SHORELINE PLAZA, LLC, THE CITY OF CORPUS CHRISTI a Delaware I'mited liability company By: Margie C. Rose City Manager ATTEST: Rebecca Huerta City Secretary Date APPROVED AS TO LEGAL FORM: Buck Brice Assistant City Attorney For City Attorney (Date) r Ridabit A 144i r r � Ana= Mims, 1pe asPoUtiria Weraelisar Pa a Lairnmair11a' mum -rte Dig 1114:44144121 exhibit n Paye 2 Il _...••••y-,r,,,.•y••••••yr • 0 0 /O;Ii/ Mr0152110E MALI APIA IMTaati Priuxuarr _.+�. Pit Wok = wows'? raft4.4Cro £ nl+eN ram Uinta f�fu` 101Io fI +flUhff gwir 1.l ll INV 11 r'1 rowan Jim KA Mal AisliVikor Pillaana• Mfr ferrliwnwp �fr 1 I ---I APTLY Litlfael Y ..w Triir iia YR1�'�' 119 hM WILL pi -fl 1+[ W aqy M lfpyys�rr tm'����iy�R��0. isikdefirifi gfer -wrieval i g .fwd[ a1+csT 1t.wrelMtfei Iwq, Ii wa_pc�Aea x111).'MUM rErimixirt ma LA's Yrl! EXHIBIT MB" TO LEASE AGREMENT BETWEEN SHORELINE VENTURE, LTD., AS LESSEE AND THE CITY OF CORPUS CHRISTI, AS LESSOR EQAUIPMENT AND FREQUENCIES Lessee shall operate 15 transceivers on the following frequencies: Transmit 1 811.4375 Mhz Receiver 1 856.4375 Mhz Transmit 2 811.9375 Mhz Receiver 2 856.9375 Mhz Transmit 3 812.4375 Mhz Receiver 3 857.4375 Mhz Transmit 4 812.9375 Mhz Receiver 4 857.9375 Mhz Transmit 5 813.4375 Mhz Receiver 5 858.4375 Mhz Transmit 6 813.9375 Mhz Receiver 6 858.9375 Mhz Transmit 7 814.4375 Mhz Receiver 7 859.4375 Mhz Transmit 8 814.9375 Mhz Receiver 8 859.9375 Mhz Transmit 9 809.1125 Mhz Receiver 9 854.1125 Mhz EXHIBIT "B" PAGE 2 Transmit 10 809.3875 Mhz Receiver 10 854.3875 Mhz Transmit 11 809.9625 Mhz Receiver 11 854.9625 Mhz Transmit 12 810.2125 Mhz Receiver 12 855.2125 Mhz Transmit 13 810.4625 Mhz Receiver 13 855.4625 Mhz Transmit 14 813.7625 Mhz Receiver 14 858.7625 Mhz Transmit 15 814.7625 Mhz Receiver 15 859.7625 Mhz Additional equipment: From Shoreline to Violet Microwave Transmit Microwave Receive From Shoreline to PD 2426 2474 Microwave Transmit 2421.0 Microwave Receive 2462.5 EXHIBIT "C" TO LEASE AGREEMENT BETWEEN ONE SHORELINE PLAZA, LLC, AS LESSOR AND THE CITY OF CORPUS CHRISTI, AS LESSEE LEGAL DESCRIPTION Water Block Eight A (8A), Beach Portion of the City of Corpus Christi, Texas, according to the map or plat thereof recorded in Volume 50, Page 68 of the Map Records of Nueces County, Texas. "EXHIBIT "D" ANTENNA SITE TECHNICAL STANDARDS 1. All transmitters operating in the range of 20 to 1300 MHz must have a ferrite isolator with a minimum of 35dB rejection in the reverse direction. This will be installed between the transmitter and single bandpass cavity or bandpass, band -reject type of duplexer combiner. 2. For those stations without bandpass, band -reject duplexer, a low pass filter or single -stage bandpass cavity must be placed between the isolator and the antenna system 3. The transmission cable must be jacketed Heliax type cable only, and secured by either stainless steel clamps or approved equal. Excess transmission line must be removed. 4. Each transmission line shall be identified in three places with a stainless steel tag that identifies the user/tenant and the antenna position: (1) at the cabinet, (2) as it enters the roof area and (3) at the antenna. 5. Cabling between the main antenna feedline, isolators, dupiexers, cavities, and the transmitter all must be double shielded RG -213 coaxial cable or Heliax type cable. 6. All radio equipment, excluding microwave, multiplex, transmitter combiners, receiver multicouplers and ancillary equipment, must be housed in RF tight metal enclosures, and securely bonded to the common grounding system with #6 AWG stranded conductor cable with 600 volt jacket. The cable shall be terminated with a compression type lug and securely fastened to the cabinet with a 5116" diameter machine bolt and lockwasher. 7. All antennas will be fiberglass enclosed "pole type" antennas. No bi-metallic loop antennas will be allowed. Only Celwave "Station Master" fiberglass type antennas or Decibel Products, Inc., #DB- 258, Bogner BMR 12 or approved equals may be used. 8. All antennas and their associated support mounting structures must be capable of surviving 112 mph winds. 9. The location and mounting of all antennas will be designated by the site coordinator. This location will be shown on the Lease. Changes must be approved in writing from the site coordinator. Any antenna or cable failing to meet the above standards will be removed from the Tower and/or building at the Lessee's expense. "EXHIBIT "D" PAGE 2 10. All transmission lines must be secured to structure members or walls using stainless steel coaxial clamps. All cabling will be installed plumb and true in a good and workmanlike manner. 11. On a 48-hour notice, stations will be made available for inspection by the site coordinator to assure compliance with the above standards. 12. The following information is essential for RF site coordination, and must be provided. Anv and all changes must have prior approval and be reported to the site coordinator. A. Frequency of all transmitters and receivers. B. All transmitter powers and powers to antenna system. c. Manufacturer and model number of the antenna. D. Type and length of cable. Type and model number of all RF devices used on the transmission path to the transmitter and receiver. This will include combiners, duplexers, cavities, isolators, circulators, crystal filters, receiver multi -couplers, etc. The name, address and phone number of the person or group directly responsible for the day-to-day maintenance of the station. The name, address, and phone number of the person or group directly responsible for the Lease agreement. Items F. and G. along with the current FCC license will be posted in a clear plastic holder on the cabinet of the equipment. The plastic holder will be supplied by site coordinator if requested. ggl SUPPLIER NUMBER TO BE ASSIGNED BY Crl Y PURCIIASING DIVISION City of Corpus Chnsti EXHIBIT E CITY OF CORPUS CHRISTI DISCLOSURE OF INTEREST Corpus Christi Code 5 2-349, as amended, requires all persons or firms seeking to do business with the City to provide the following information. Every question must be answered. If the question is not applicable, answer with "NA". See next page for Filing Requirements, Certification and Definitions. COMPANY NAME: STREET ADDRESS: CITY: STATE: P.O. BOX: ZIP: FIRM IS: 1. Corporation ❑ 2. Partnership ❑ 3. Sole Owner ❑ 4. Association ❑ 5. Other ❑ If additional space is necessary, please use the reverse side of this page or attach separate sheet. 1. State the names of each "employee" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name Job Title and City Department (if known) 2. State the names of each "official" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name Title 3. State the names of each "board member" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name Board, Commission or Committee 4. State the names of each employee or officer of a "consultant" for the City of Corpus Christi who worked on any matter related to the subject of this contract and has an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name Consultant FILING REQUIREMENTS If a person who requests official action on a matter knows that the requested action will confer an economic benefit on any City official or employee that is distinguishable from the effect that the action will have on members of the public in general or a substantial segment thereof, you shall disclose that fact in a signed writing to the City official, employee or body that has been requested to act in the matter, unless the interest of the City official or employee in the matter is apparent. The disclosure shall also be made in a signed writing filed with the City Secretary. [Ethics Ordinance Section 2-349 (d)]. CERTIFICATION I certify that all information provided is true and correct as of the date of this statement, that I have not knowingly withheld disclosure of any information requested, and that supplemental statements will be promptly submitted to the City of Corpus Christi, Texas, as changes occur. Certifying Person: Title: Signature of Date: Certifying Person: DEFINITIONS a. "Board member." A member of any board, commission, or committee of the city, including the board of any corporation created by the city. b. "Economic benefit". An action that is likely to affect an economic interest if it is likely to have an effect on that interest that is distinguishable from its effect on members of the public in general or a substantial segment thereof. c. "Employee." Any person employed by the city, whether under civil service or not, including part-time employees and employees of any corporation created by the city. d. "Firm." Any entity operated for economic gain, whether professional, industrial or commercial, and whether established to produce or deal with a product or service, including but not limited to, entities operated in the form of sole proprietorship, as self-employed person, partnership, corporation, joint stock company, joint venture, receivership or trust, and entities which for purposes of taxation are treated as non-profit organizations. e. "Official." The Mayor, members of the City Council, City Manager, Deputy City Manager, Assistant City Managers, Department and Division Heads, and Municipal Court Judges of the City of Corpus Christi, Texas. f. "Ownership Interest." Legal or equitable interest, whether actually or constructively held, in a firm, including when such interest is held through an agent, trust, estate, or holding entity. "Constructively held" refers to holdings or control established through voting trusts, proxies, or special terms of venture or partnership agreements. 9. "Consultant." Any person or firm, such as engineers and architects, hired by the City of Corpus Christi for the purpose of professional consultation and recommendation. Attach Form 1295 Certificate of Interested Parties CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1 - 4 and 6 if there are interested parties. Complete Nos, 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-131756 Date Filed: 11/0212016 Date Acknowledged: 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. One Shoreline Plaza, LLC Corpus Christi, TX United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being tiled, City of Corpus Christi 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to he provided under the contract. PD100716 rooftop space for antenna equipment 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary Tubbs, Laura Corpus Christi, TX United States X One Shoreline, LLC Corpus Christi, TX United States X 5 Check only if there is NO Interested Party. 6 AFFIDAVIT I sweat, or affirm, under penalty of perjury, that the above disclosure is true and correct. • w ii,n,. .:';A P, �,, ANDREA CRISTINA PERE °•` .. r Notary Public, State of Texas My Commission Expires w`fe ' August 13, 2018 ! i.--((....L_ Ley 6 Signature of authorized agent of contracting business entity AFFIX NOTARY STAMP i SEAL ABOVE Swornlto and subscribed before me, by the said Ur � 1 1� this the day of I�JVT e k i hCd 20 l `,1 to certify which, witness my hand and seal of office. [0410- Aift( Andy.o,k cl.A.,)Iikuk_Ruz.- noma.o._ f ote/ Signature of officer administering oath Printed name of officer administering oath Title of officer administering oath Forrns provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.277 1862 MEMORANDUM To: Margie C. Rose, City Manager r - From: Mike Markle, Chief of Police Date: September 15, 2016 Subject: Rooftop space antenna space lease agreement with One Shoreline Plaza Brief Description: Motion authorizing the City Manager or his designee to renew a lease agreement with One Shoreline Plaza, LLC, for ten years with an optional extended term of ten years and approving monthly lease payments of 513,040 per month with annual rent increase of 3%, for rooftop space and equipment room necessary to support the public safety communications system. Background: The 800 Mhz public safety radio system was engineered, designed, and purchased in 1988:`1989 under the 1986 bond program at a purchase price of 81.5 million. 1t was implemented in December 1990. At the time it was engineered with the capability of supporting all of the mobile communication requirements of the City as well as other agencies who would like to participate. In March 1992, the City entered into an interlocal agreement with the Regional Transportation Authority to share administration, maintenance, and expansion of the radio system. In January I994, the City entered into an interlocal agreement with Nueces County to participate in the administration, maintenance, and expansion of the radio system. Since these original agreements, 9 other regional agencies have chosen to participate bringing the total number of radios to over 3,000 on the system. Each of these agencies share in the infrastructure cost of the system (tower rental for two towers, utility usage at the sites, software maintenance/upgrades) and radio maintenance based on the number of radios they are using on the system. They are billed quarterly from City Finance and this is returned as a revenue to support the system. The City of Corpus Christi public safety communications system operates with two radio towers, on top of One Shoreline Plaza and near Robstown on the KRIS Tower. Two sites are necessary to give the 98% coverage that was determined through engineering studies and thus required of the vendors who responded to the original bid proposals in 1988. This site has proven to be an effective location for the Public Safety Radio System currently in use by the City, the RTA, Nueces County and various other Public Safety entities. The City has had an agreement with One Shoreline Plaza since 1990. This agreement is for ten years from March I, 20I6 with an option to extend for ten years (5 options of two years each). Since 1990 implementation, the City has completed numerous upgrades including the establishment of interoperability allowing our department to communicate with the other regional agencies on the system. The -1- majority of this funding has been provided by the Federal Department of Homeland Security in their effort to establish Project 25 (P25) compliance with enables interoperability among digital two-way land mobile radio communications products. Plans for the radio system in the future entail complete replacement of the analog backbone system to an upgraded P25 digital enhanced system. The cost will be shared among the owners of the radio system via their quarterly billing based on the number of radios they are using on the system. Additionally, alI public safety radios will be replaced. We have a regional Radio System Advisory Committee that has been working on this project for the past 2 years as we must ensure the rural users have the correct equipment for the changeover. -z- AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: TO: Margie C. Rose, City Manager November 16, 2016 THRU: Annette Rodriguez, M.P.H., Director of Public Health Annetter©cctexas.com 361.826.7205 FROM: William Milan Uhlarik, M.B.A., A.R.M., Assistant Director of Public Health Williamu2@cctexas.com 361.826.1348 Resolution authorizing an Interlocal Agreement with Department of Health Services (DSHS) for analysis of bay water samples and ratifying acceptance of agreement to begin September 1, 2016 CAPTION: Resolution authorizing the City Manager or designee to execute an Interlocal Cooperation Agreement with the Department of State Health Services (DSHS), in an amount not to exceed $56,000.00, to provide laboratory services for the analysis of bay water samples for the contract period of September 1, 2016, through August 31, 2018; and to ratify acceptance of the agreement to begin as of September 1, 2016. PURPOSE: To be used to pay for expenses of the Corpus Christi-Nueces County Public Health District (City) to test and analyze for seafood safety bay water samples collected by the TDSHS and sent to the Corpus Christi-Nueces County Public Health District (County) for the period September 1, 2016 through August 31, 2018. BACKGROUND AND FINDINGS: The Texas Department of State Health Services (DSHS) has awarded a contract in the amount of up to a limit of $56,000.00 ($35.00 per water sample) to provide for expenses of the Corpus Christi-Nueces County Public Health District to test and analyze for seafood safety bay water samples collected by TDSHS and sent to the Corpus Christi-Nueces County Public Health District (City). ALTERNATIVES: Disapprove the contract and discontinue providing water testing and analysis for seafood safety for the TDSHS. OTHER CONSIDERATIONS: None CONFORMITY TO CITY POLICY: Council approval needed for Interlocal Agreement. EMERGENCY / NON -EMERGENCY: Non -Emergency. This item requires ratification of the Interlocal Agreement to begin September 1, 2016. DEPARTMENTAL CLEARANCES: Corpus Christi-Nueces County Public Health District Legal Department Finance - Federal Grants and Office of Management and Budget. FINANCIAL IMPACT: X Operating X Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016-2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item $56,000.00 $56,000.00 BALANCE $56,000.00 $56,000.00 Fund(s): Grant Comments: The contract does not require a cash or in-kind match by the City. RECOMMENDATION: Staff recommends approval of this agenda item LIST OF SUPPORTING DOCUMENTS: Resolution Contract No. 2017-0149413-001 Resolution authorizing the City Manager or designee to execute an Interlocal Cooperation Agreement with the Department of State Health Services (DSHS), in an amount not to exceed $56,000.00, to provide laboratory services for the analysis of bay water samples for the contract period of September 1, 2016, through August 31, 2018; and to ratify acceptance of the agreement to begin as of September 1, 2016. Now, therefore be it resolved by the City Council of the City of Corpus Christi, Texas, as follows: Section 1. That the City Manager or designee is authorized to execute an Interlocal Agreement with DSHS, in an amount to exceed $56,000.00, to provide laboratory services for the analysis of bay water samples for the contract period of September 1, 2016, through August 31, 2018. Section 2. Further, the City Council ratifies acceptance of the Interlocal Agreement to begin as of September 1, 2016. A copy of the executed agreement shall be filed in the office of the City Secretary. ATTEST: CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary Dan McQueen Mayor Corpus Christi, Texas of The above resolution was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn INTERLOCAL COOPERATION CONTRACT DEPARTMENT OF STATE HEALTH SERVICES CONTRACT NO. 2017-049413-001 THE DEPARTMENT OF STATE HEALTH SERVICES ("System Agency" or "DSHS") and Corpus Christi- Nueces County Public Health District (City) ("Local Government"), each a "Party" and collectively the "Parties;" enter into the following contract for laboratory services for the analysis of bay water samples collected by the System Agency (the "Contract") pursuant to the provisions of the "Interlocal Cooperation Act," Chapter 791 of the Texas Government Code. L PARTIES System Agency Name: Department of State Health Services Address: P.O. Box 149347 City and Zip: Austin, Texas 78714-9347 Contact Person: Gary Heideman Telephone: 512-834-6757 x2503 Fax number: 512-834-6762 E -Mail Address: Gary.Heideman@dshs.state.tx.us Agency Number: 537 II. STATEMENT OF SERVICES TO BE PROVIDED Local Government Name: Corpus Christi-Nueces County Public Health District (City) Address: 1702 Horne Road City and Zip: Corpus Christi, Texas 78416 Contact Person: Angela Flores, BS, M (ASCP) CM Telephone: 361-826-7213 Fax number: E -Mail Address: Angelaf@cctexas.com Agency Number: The Parties agree to cooperate to provide necessary and authorized services and resources in accordance with the terms of this Contract. Specific services provided are described in Attachment A — Statement of Work. III. CONTRACT PERIOD AND RENEWAL The Contract is effective on September 1, 2016 and terminates on August 31, 2018, unless renewed or terminated pursuant to the terms and conditions of the Contract. The Parties may extend this Contract subject to mutually agreeable terms and conditions. IV. AMENDMENT The Parties to this Contract may modify this contract only through the execution ofa written amendment signed by both parties. V. CONTRACT AMOUNT AND PAYMENT FOR SERVICES The total amount of this Contract, including all Work Orders issued under it, shall not exceed FIFTY SIX THOUSAND DOLLARS ($56,000.00), as provided for in Attachment A — Statement of Work. v. 02.01.2016 System Agency Contract No. 2017-049413-001 Page 1 o13 VI. LEGAL NOTICES For Legal Notices under this Contract shall be deemed delivered when deposited either in the United States mail, postage paid, certified, return receipt requested; or with a common carrier, overnight, signature required, to the appropriate address below: System Agency Department of State Health Services Attention: Lisa Hernandez 1100 W. 49th Street, MC 1911 Austin, TX 78756 Local Government Corpus Christi-Nueces County Public Health District (City) 1702 Horne Road Corpus Christi, Texas 78416 Attention: Angela Flores, BS, M (ASCP) CM Angelaf@cctexas.com Notice given in any other manner shall be deemed effective only if and when received by the Party to be notified. Either Party may change its address for receiving legal notice by notifying the other Party in writing. VII. CERTIFICATIONS The undersigned contracting parties certify that: (1) the services specified above are necessary and essential for activities that are properly within the statutory functions and programs of the affected agencies of state government; (2) Each Party executing this Contract on its behalf has full power and authority to enter into this Contract. the proposed arrangements serve the interest of efficient and economical administration of state government; and (4) the services contracted for are not required by Section 21, Article XVI of the Constitution of Texas to be supplied under a contract awarded to the lowest responsible bidder. The System Agency further certifies that it has statutory authority to contract for the services described in this contract under DSHS Contracting Authority, which is Texas Health and Safety Code Chapters 12 and 1001 and Texas Government Code Chapter 531, Subchapter D, to the extent applicable. (3) The Local Government further certifies that it has statutory authority to contract for the services described in this contract under Texas Government Code Chapter 791. v. 02.01.2016 SIGNATURE PAGE FOLLOWS System Agency Contract No. 2017-049413-001 Page 2 ata SIGNATURE PAGE FOR SYSTEM AGENCY CONTRACT No. 2017-049413-001 DEPARTMENT OF STATE HEALTH SERVICES LOCAL GOVERNMENT Signature Signature Kathryn C. Perkins, RN. MBA Margie C. Rose Printed Name Printed Name Associate Commissioner City Manager Division for Regulatory Services Title Title Date Date THE FOLLOWING ATTACHMENTS TO ENTERPRISE AGENCY CONTRACT NO. 2017- 049413-001 ARE HEREBY INCORPORATED BY REFERENCE: ATTACHMENT A - ATTACHMENT B - ATTACHMENT C - ATTACHMENT D - ATTACHMENT E - v.02.011016 STATEMENT OF WORK UNIFORM TERMS AND CONDITIONS SUPPLEMENTAL & SPECIAL CONDITIONS FEDERAL ASSURANCES FEDERAL LOBBYING CERTIFICATIONS Approved as to form: 1L &ke System Agency Contract No. 2017-049413-001 Page 3 of 3 ATTACHMENT A STATEMENT OF WORK I. LOCAL GOVERNMENT RESPONSIBILITIES Local Government will; A. Provide System Agency with laboratory services for the analysis of bay water samples collected by the Department of State Health Services (DSHS). Tests shall be performed in a laboratory certified to meet United States (U.S.) Food and Drug Administration requirements for shellfish waters testing. B. Provide testing capacity for a minimum of forty (40) laboratory analysis tests of bay water samples per day for DSHS field offices. The number of laboratory analysis tests of bay water samples required per year is approximately 800-1500. Peak laboratory needs are from October 15 through May 15. C. Analyze bay water samples for fecal coliform using the Association of Analytical Chemists (AOAC) modified A-1 method for Most Probable Number (MPN) using multiple -tube fermentation; D. Be available for providing analyses a minimum of six (6) days a week, 8:00 am to 5:00 pm; E. Make results available to DSHS by phone and e-mail within two (2) hours of completion of laboratory analyses and make available by mail (upon request) Legible, reproducible, laboratory result forms to DSHS at the following address: Department of State Health Services Attn: Seafood and Aquatic Life Group, MC 1987 P.O. Box 149347 Austin, Texas 78714-9347 F. Be accessible by land and air travel, and be in a location where delivery services are available which can guarantee overnight delivery; G. Be certified by the U.S. Food and Drug Administration or its certifying agency, the Texas Department of State Health Services, for analysis of shellfish waters; H. Meet laboratory proficiency standards as set forth in Laboratory Procedures for the Examination of Secnvater and Shellfish, fifth edition, 1985, which is hereby incorporated by reference, or the latest edition accepted by the U.S. Food and Drug Administration, for analysis of shellfish by laboratories that have been cleaned and autoclaved; and I. Return bay water sample bottles to the originating DSHS field office in containers supplied by DSHS, return freight collect, to DSHS. II. PERFORMANCE MEASURES The System Agency will monitor Local Government's performance of the requirements in Attachment A and compliance with the Contract's terms and conditions. System Agency Contract No. 2017-049413-001 v.02.01.2016 Page 1 ATTACHMENT A STATEMENT OF WORK III.INVOICE AND PAYMENT A. Local Government will request monthly payments using the State of Texas Purchase Voucher (Form B-13) at http:l/www.System Agencystate.tx.us/arants /forms/bl 3form.doc. Voucher and any supporting documentation will be mailed or submitted by fax or electronic mail to the address.number below. Department of State Health Services Claims Processing Unit, MC 1940 1100 West 49th Street P.O. Box 149347 Austin, TX 78714-9347 FAX: (512) 458-7442 EMAIL: invoicesi'7a.dshs.state.tx.us B. Local Government will be paid on a fee-for-service/unit rate basis. System Agency will pay Contractor thirty-five dollars ($35.00) for each completed and satisfactorily performed fecal coliform test. Total payments will not exceed fifty-six thousand dollars ($56,000.00) for the contract term. C. All invoices must reference PO# 0000427498 System Agency Contract No. 2017-049413-001 v.02.01.2016 Page HHSC Uniform Terns and Conditions Version 2 12 Published and Effective November 30 2015 Responslle Office Chief Counsel rilikTEXAS Health and Hi Services Commission and Human Services Commission Health and Human Services Commission HHSC Uniform Terms and Conditions - Local Governmental Body Version 2.12 TABLE OF CONTENTS ARTICLE 1 DEFINITIONS AND INTERPRETIVE PROVISIONS 3 1.01 Definitions 3 1.02 Interpretive Provisions 4 ARTICLE 11 CONSIDERATION r 5 2.01 Expenses 5 2.02 Funding 5 ARTICLE 111 WARRANTY, AFFIRMATIONS, ASSURANCES AND CERTIFICATIONS6 3.01 Federal Assurances 6 3.02 Federal Certifications 6 ARTICLE IV INTELLECTUAL PROPERTY 6 4.01 Intellectual Property 6 ARTICLE V RECORDS, AUDIT, AND DISCLOSURE 6 5.01 Access to records, books, and documents 6 5.02 Response/compliance with audit or inspection findings 7 5.03 SAO Audit 7 5.04 Recapture of Funds 7 5.05 Public Information and Confidentiality 8 5.06 Data Security 8 ARTICLE VI CONTRACT MANAGEMENT AND EARLY TERMINATION 8 6.01 Contract Management 8 6.02 Termination for Convenience 8 6.03 Termination for Cause 9 6.04 Equitable Settlement 9 ARTICLE VII MISCELLANEOUS PROVISIONS 9 7.01 Technical Guidance Letters 9 7.02 Survivability 9 7.03 No Waiver 9 7.04 Standard Terms and Conditions 9 vLIXI3 System Agency Contract No. 6-***-***-**** Page 2 of 11 ARTICLE I DEFINITIONS AND INTERPRETIVE PROVISIONS 1.01 Definitions As used in this Contract, unless the context clearly indicates otherwise or defined in the Signature Document, the following terms and conditions have the meanings assigned below: "Amendment" means a written agreement, signed by the parties hereto, which documents changes to the Contract other than those permitted by Technical Guidance Letters, as herein defined. "Attachment." means documents, terins, conditions, or additional information physically added to this Contract following the execution page or included by reference, as if physically, within the body of this Contract. "Contract" means the Signature Document, these Uniform Terms and Conditions, along with any Attachments, and any Amendments, purchase orders, or Technical Guidance Letters that may be issued by the System Agency, to be incorporated by reference herein for all purposes if issued. "Deliverables" means any item, report, data, document, photograph, or other submission required to be delivered under the terms of this Contract, in whatever form. "Effective Date" means the date agreed to by the Parties as the date on which the Contract takes effect. "Federal Assurances" means Standard Form 424B (Rev. 7-97), as prescribed by OMB Circular A-102 (non -construction projects); or Standard Form 424D (Rev. 7-97), as prescribed by OMB Circular A-102 (construction projects). "Federal Certifications" means U.S. Department of Commerce Form CD -512 (12-04), "Certifications Regarding Lobbying — Lower Tier Covered Transactions." "Federal Fiscal Year" means the period beginning October 1 and ending September 30 each year, which is the annual accounting period for the United States government. "GAAP" means Generally Accepted Accounting Principles. "GASB" means the Governmental Accounting Standards Board. "Health and Human Services Commission" or "HHSC" means the administrative agency established under Chapter 531, Texas Government Code or its designee. "Intellectual Property" means patents, rights to apply for patents, trademarks, trade names, service marks, domain names, copyrights and all applications and worldwide registration of such, schematics, industrial models, inventions, know-how, trade secrets, computer software programs, and other intangible proprietary information. "Local Government" means the Party to this Contract that meets the definition of this term under Tex. Gov't Code § 791.003(4). "Parties" means the System Agency and Local Government, collectively. "Party" means either the System Agency or Performing Agency, individually. "Project" means the goods and/or Services described in the Signature Document or an Attachment to this Contract. v 11 30 15 System Agency Contract No. 16-***-***-**** Page 3 of 11 "Public Information Act" or "MA" means Chapter 552 of the Texas Government Code. "Services" means the tasks, functions, and responsibilities assigned and delegated to Local Government under the Contract. "Signature Document" means the document executed by both Parties that specifically sets forth all of the documents that constitute the Contract. "System Agency" means HHSC or any of the agencies of the State of Texas that are overseen by HHSC under authority granted under State law and the officers, employees, and designees of those agencies. These agencies include: the Department of Aging and Disability Services, the Department of Assistive and Rehabilitative Services, the Department of Family and Protective Services, and the Department of State Health Services. "State Fiscal Year" means the period beginning September 1 and ending August 31 each year, which is the annual accounting period for the State of Texas. "State of Texas Textravet' means Texas Administrative Code, Title 34, Part 1, Chapter 5, Subchapter C, Section 5.22, relative to travel reimbursements under this Contract, if any. "Subcontractor" means an individual or business that performs part or all of the obligations of Local Government under this Contract. "Technical Guidance Letter" or "TGL" means an instruction, clarification, or interpretation of the requirements of the Contract, issued by the System Agency to the Local Government. "Work" means all Services to be performed, goods to be delivered, and any appurtenant actions performed and items produced, conceived, or developed, including Deliverables. 1.02 Interpretive Provisions A. The meanings of defined terms are equally applicable to the singular and plural forms of the defined terms. S. The words "hereof," "herein," "hereunder," and similar words refer to this Contract as a whole and not to any particular provision, section, Attachment, or schedule of this Contract unless otherwise specified. C. The term "including" is not limiting and means "including without limitation" and, unless otherwise expressly provided in this Contract, (i) references to contracts (including this Contract) and other contractual instruments shall be deemed to include all subsequent Amendments and other modifications thereto, but only to the extent that such Amendments and other modifications are not prohibited by the terms of this Contract, and (ii) references to any statute or regulation are to be construed as including all statutory and regulatory provisions consolidating, amending, replacing, supplementing, or interpreting the statute or regulation. D. Any references to "sections," "appendices," or "attachments" are references to sections, appendices, or attachments of the Contract. E. Any references to agreements, contracts, statutes, or administrative rules or regulations in the Contract are references to these documents as amended, modified, or supplemented from time to time during the term of the Contract. F. The captions and headings of this Contract are for convenience of reference only and shall not affect the interpretation of this Contract. v 113015 System Agency Contract No. 16-***-***-**** Page 4 of 11 G. All Attachments within this Contract, including those incorporated by reference, and any Amendments are considered part of the terms of this Contract. H. This Contract may use several different limitations, regulations, or policies to regulate the same or similar matters. All such limitations, regulations, and policies are cumulative and each shall be performed in accordance with its terms. 1. finless otherwise expressly provided, reference to any action of the System Agency or by the System Agency by way of consent, approval, or waiver shall be deemed modified by the phrase "in its sole discretion." J. Time is of the essence in this Contract. ARTICLE II CONSIDERATION 2.01 Expenses Except as otherwise provided in the Contract, no ancillary expenses incurred by the Local Govemment in connection with its provision of the Services or Deliverables will be reimbursed by the System Agency. Ancillary expenses include, but are not limited to costs associated with transportation, delivery, and insurance for each Deliverable. When the reimbursement of travel expenses is authorized by the Contract, all such expenses shall be reimbursed in accordance with the rates set by the State of Texas Texrravel. 2.02 Funding A. This Contract shall not be construed as creating any debt on behalf of the State of Texas or the System Agency in violation of Article III, Section 49, of the Texas Constitution. In compliance with Article VIII, Section 6 of the Texas Constitution, it is understood that all obligations of the System Agency hereunder are subject to the availability of state funds. If such funds are not appropriated or become unavailable, this Contract may be terminated. In that event, the Parties shall be discharged from further obligations, subject to the equitable settlement of their respective interests, accrued up to the date of termination. B. Furthermore, any claim by Local Government for damages under this Contract may not exceed the amount of funds appropriated for payment, but not yet paid to Local Government, under the annual budget in effect at the time of the breach. Nothing in this provision shall be construed as a waiver of sovereign immunity. C. This Contract is contingent upon the availability of sufficient and adequate funds. If funds become unavailable through lack of appropriations, budget cuts, transfer of funds between programs or agencies, amendment of the Texas General Appropriations Act, agency consolidation, or any other disruptions of current funding for this Contract, the System Agency may restrict, reduce, or terminate funding under this Contract. This Contract is also subject to immediate cancellation or termination, without penalty to the System Agency, if sufficient and adequate funds are not available. Contractor will have no right of action against the System Agency if the System Agency cannot perform its obligations under this Contract as a result of lack System Agency Contract No. 16-***-***-**** Page 5 of 11 v 11_3015 of funding for any activities or functions contained within the scope of this Contract. In the event of cancellation or termination under this Section, the System Agency shall not be required to give notice and shall not be liable for any damages or losses caused or associated with such termination or cancellation. ARTICLE 1II WARRANTY, AFFIRMATIONS, ASSURANCES AND CERTIFICATIONS 3.01 Federal Assurances Local Government further certifies that, to the extent Federal Assurances are incorporated into the Contract under the Signature Document, the Federal Assurances have been reviewed and that Local Government is in compliance with each of the requirements reflected therein. 3.02 Federal Certifications Local Government further certifies, to the extent Federal Certifications are incorporated into the Contract under the Signature Document, that the Federal Certifications have been reviewed, and that Local Government is in compliance with each of the requirements reflected therein. In addition, Local Government certifies that it Is In compliance with all applicable federal laws, rules, or regulations, as they may pertain to this Contract. ARTICLE IV INTELLECTUAL PROPERTY 4.01 Intellectual Property A. To the extent any Work results in the creation of Intellectual Property, all right, title, and interest in and to such Intellectual Property shall vest in the System Agency upon creation and shall be deemed to be a "work made for hire" and made in the course of the services rendered pursuant to this Contract. B. To the extent that title to any such Intellectual Property may not by law vest in the System Agency, or such Intellectual Property may not be considered a "work made for hire," all rights, title, and interest therein are hereby irrevocably assigned to the System Agency. The System Agency shall have the right to obtain and to hold in its name any and all patents, copyrights, trademarks, service marks, registrations, or such other protection as may be appropriate to the subject matter, including extensions and renewals thereof. C. Local Government must give the System Agency and the State of Texas, as well as any person designated by the System Agency or the State of Texas, all assistance required to perfect the rights defined herein without any charge or expense beyond the stated amount payable to Local Government for the services authorized under this Contract. ARTICLE V RECORDS, AUDIT, AND DISCLOSURE 5.01 Access to records, books, and documents In addition to any right of access arising by operation of law, Local Government and any of Local Government's affiliate or subsidiary organizations, or Subcontractors shall permit the System Agency or any of its duly authorized representatives, as well as duly authorized federal, state or local authorities, unrestricted access to and the right to examine any site where business is conducted or Services are performed, and ail records, which includes but is not limited to financial, client and patient records, books, papers or documents related to this Contract. If the Contract includes federal funds, federal agencies that shall have a right of access to records as described in this section include: the federal agency providing the funds, the Comptroller General of the United System Agency Contract No. l6-***-***-**** Page 6 of l l v 11 30 15 States, the General Accounting Office, the Office of the Inspector General, and any of their authorized representatives. In addition, agencies of the State of Texas that shall have a right of access to records as described in this section include: the System Agency, HHSC, HHSC's contracted examiners, the State Auditor's Office, the Texas Attorney General's Office, and any successor agencies. Each of these entities may be a duly authorized authority. If deemed necessary by the System Agency or any duly authorized authority, for the purpose of investigation or hearing, Local Government shall produce original documents related to this Contract. The System Agency and any duly authorized authority shall have the right to audit billings both before and after payment, and all documentation that substantiates the billings. Local Government shall include this provision concerning the right of access to, and examination of, sites and information related to this Contract in any Subcontract it awards. 5.02 Response/compliance with audit or inspection findings A. At Local Government's sole expense, Local Government must take action to ensure its or a Subcontractor's compliance with a correction of any finding of noncompliance with any law, regulation, audit requirement, or generally accepted accounting principle relating to the Services and Deliverables or any other deficiency contained in any audit, review, or inspection conducted under the Contract. Whether Local Government's action corrects the noncompliance shall be solely the decision of the System Agency. B. As part of the Services, Local Government must provide to HHSC upon request a copy of those portions of Local Government's and its Subcontractors' internal audit reports relating to the Services and Deliverables provided to the State under the Contract. 5.03 SAO Audit Local Government understands that acceptance of funds directly under the Contract or indirectly through a Subcontract under the Contract acts as acceptance of the authority of the State Auditor's Office (SAO), or any successor agency, to conduct an audit or investigation in connection with those funds. Under the direction of the legislative audit committee, an entity that is the subject of an audit or investigation by the SAO must provide the SAO with access to any information the SAO considers relevant to the investigation or audit. Local Government agrees to cooperate fully with the SAO or its successor in the conduct of the audit or investigation, including providing all records requested. Local Government will ensure that this clause concerning the authority to audit funds received indirectly by Subcontractors through Local Government and the requirement to cooperate is included in any Subcontract it awards. 5.04 Recapture of Funds The System Agency may withhold all or part of any payments to Local Government to offset overpayments made to the Local Government. Overpayments as used in this Section include payments (i) made by the System Agency that exceed the maximum allowable rates; (ii) that are not allowed under applicable laws, rules, or regulations; or (iii) that are otherwise inconsistent with this Contract, including any unapproved expenditures. Local Government understands and agrees that it shall be liable to the System Agency for any costs disallowed pursuant to financial and compliance audit(s) of funds received under this Contract. Local Government further understands and agrees that reimbursement of such disallowed costs shall be paid by Local Government from funds which were not provided or otherwise made available to Local Government under this Contract. v 1110 IS System Agency Contract No. 16-***-***-**** Page7ofll 5.05 Public Information and Confidentiality Information related to the performance of this Contract may be subject to the Public Information Act and will be withheld from public disclosure or released to the public only in accordance therewith. Local Government shall make any information required under the Public Information Act available to the System Agency in portable document file (".pdf") format or any other format agreed between the Parties. To the extent permitted by law, Local Government and the System Agency agree to keep all information confidential, in whatever form produced, prepared, observed, or received by Local Government or the System Agency. The provisions of this section remain in full force and effect following termination or cessation of the services performed under this Contract. 5.06 Data Security Each Party and its Subcontractors will maintain reasonable and appropriate administrative, physical, and technical safeguards to ensure the integrity and confidentiality of information exchanged in the performance of services pursuant to this Contract and protect against any reasonably anticipated threats or hazards to the security or integrity of the information and unauthorized use or disclosure of the information in accordance with applicable federal and state laws, rules, and regulations. Upon notice, either Party will provide, or cause its subcontractors and agents to provide, the other Party or its designee prompt access to any information security records, books, documents, and papers that relate to services provided under this Contract. ARTICLE VI CONTRACT MANAGEMENT AND EARLY TERMINATION 6.01 Contract Management To ensure full performance of the Contract and compliance with applicable law, the System Agency may take actions including: A. suspending all or part of the Contract; B. requiring the Local Government to take specific corrective actions in order to remain in compliance with term of the Contract; C. recouping payments made to the Local Government found to be in error; D. suspending and/or limiting any services and placing conditions on any such suspensions and/or limitations of services; E. imposing any other remedies authorized under this Contract; and F. imposing any other remedies, sanctions or penalties permitted by federal or state statute, law, regulation, rule. 6.02 Termination for Convenience The System Agency may terminate the Contract at any time when, in its sole discretion, the System Agency determines that termination is in the best interests of the State of Texas. The termination will be effective on the date specified in HHSC's notice of termination. System Agency Contract No. 16-***-***-**** Page8ofll v 11 30 15 6.03 Termination for Cause The System Agency will have the right to terminate the Contract in whole or in part if the System Agency determines, at its sole discretion, that Local Government has materially breached the Contract or has failed to adhere to any laws, ordinances, rules, regulations or orders of any public authority having jurisdiction and such violation prevents or substantially impairs performance of Local Government's duties under the Contract. 6.04 Equitable Settlement Any early termination under this Article shall be subject to the equitable settlement of the respective interests of the Parties up to the date of termination. ARTICLE VII MISCELLANEOUS PROVISIONS 7.01 Technical Guidance Letters In the sole discretion of the System Agency, and in conformance with federal and state law, the System Agency may issue instructions, clarifications, or interpretations as may be required during Work performance in the form of a Technical Guidance Letter. A TOL must be in writing. and ;nay be delivered by regular mail. elec:pnic mail. or facsimile transmission. Any TGL issued by the System Agency shall be incorporated into the Contract by reference herein for all purposes when it is issued. 7.02 Survivability All obligations and duties of the Local Government not fully performed as of the expiration or termination of this Contract will survive the expiration or termination of the Contract. 7.03 No Waiver Neither failure to enforce any provision of this Contract nor payment for services provided under it constitute waiver of any provision of the Contract. 7.04 Standard Terms and Conditions A. In the performance of this Contract, each Party shall comply with all applicable federal, state, and local laws, ordinances, and regulations. Each Party shall make itself familiar with and at all times shall observe and comply with all federal, state, and local laws, ordinances, and regulations that in any manner affect performance under this Contract. Each Party will be deemed to have knowledge of all applicable laws and regulations and be deemed to understand them. B. All records relevant to this Contract shall be retained for a minimum of seven (7) years. The period of retention begins at the date of final payment by the System Agency, or from the date of termination of the Contract, whichever is later. The period of retention shall be extended for a period reasonably necessary to complete an audit or to complete any administrative proceeding or litigation that may ensue. C. The System Agency shall own, and Local Government hereby assigns to the System Agency, all right, title, and interest in all tangible Work. D. Local Government shall keep and maintain under GAAP or GASB, as applicable, full, true, and complete records necessary to fully disclose to the System Agency, the Texas System Agency Contract No. 16-***-***-**** Page 9 of 11 v 11 30 15 State Auditor's Office, the United States Government, and/or their authorized representatives sufficient information to determine compliance with the terms and conditions of this Contract and all state and federal rules, regulations, and statutes. E. This Contract and the rights and obligations of the Parties hereto shall be governed by, and construed according to, the Taws of the State of Texas, exclusive of conflicts of law provisions. Venue of any suit brought under this Contract shall be in a court of competent jurisdiction in Travis County, Texas. Local Government irrevocably waives any objection, including any objection to personal jurisdiction or the Iaying of venue or based on the grounds of forum non conveniens, which it may now or hereafter have to the bringing of any action or proceeding in such jurisdiction in respect of this Contract or any document related hereto. NOTHING IN THIS SECTION SHALL BE CONSTRUED AS A WAIVER OF SOVEREIGN IMMUNITY BY THE SYSTEM AGENCY. F. If any provision contained in this Contract is held to be unenforceable by a court of law or equity, this Contract shall be construed as if such provision did not exist and the non - enforceability of such provision shall not be held to render any other provision or provisions of this Contract unenforceable. G. Except with respect to the obligation of payments under this Contract, if either of the Parties, after a good faith effort, is prevented from complying with any express or implied covenant of this Contract by reason of war, terrorism; rebellion; riots; strikes; acts of God; any valid order, rule, or regulation of governmental authority; or similar events that are beyond the control of the affected Party (collectively referred to as a "Force Majeure"), then, while so prevented, the affected Party's obligation to comply with such covenant shall be suspended, and the affected Party shall not be liable for damages for failure to comply with such covenant. In any such event, the Party claiming Force Majeure shall promptly notify the other Party of the Force Majeure event in writing and, if possible, such notice shall set forth the extent and duration thereof. The Party claiming Force Majeure shall exercise due diligence to prevent, eliminate, or overcome such Force Majeure event where it is possible to do so and shall resume performance at the earliest possible date. However, if non-performance continues for more than thirty (30) days, the System Agency may terminate this Contract immediately upon written notification to Local Government. H. This Contract, its integrated Attachment(s), and any purchase order issued in conjunction with this Contract constitute the entire agreement of the Parties and are intended as a complete and exclusive statement of the promises, representations, negotiations, discussions, and other agreements that may have been made in connection with the subject matter hereof. Any additional or conflicting terms in such Attachment(s) and/or purchase order shall be harmonized with this Contract to the extent possible. Unless such integrated Attachment or purchase order specifically displays a mutual intent to amend a particular part of this Contract, general conflicts in language shall be construed consistently with the terms of this Contract. v 11 30 15 System Agency Contract No. 16-***-***-**** Page 10 of 1 l 1. Neither party shall assign or subcontract the whole nor any part of the contract, including any right or duty required under it, without the other party's prior written consent. Any assignment made contrary to this shall be void. 1. This Contract may be executed in any number of counterparts, each of which shall be an original, and all such counterparts shall together constitute but one and the same Contract. if the Contract is not executed by the System Agency within thirty (30) days of execution by the other Party, this Contract shall be null and void. K. Pursuant to Chapter 2259 of the Texas Government Code entitled, "Self -Insurance by Governmental Units," Each Party is self-insured and, therefore, is not required to purchase insurance. REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK System Agency Contract No. 16-***-***-**** Page 11 of I ATTACHMENT C SUPPLEMENTAL & SPECIAL CONDITIONS SUPPLEMENTAL CONDITIONS THERE ARE NO SUPPLEMENTAL CONDITIONS FOR THIS CONTRACT THAT MODIFY THE HHS UNIFORM TERMS AND CONDITIONS SPECIAL CONDITIONS Section 1.01 Notice of Legal Matter or Litigation. Performing Agency shall notify the contract manager assigned to this Contract of any litigation or legal matter related to or affecting this Contract within seven calendar days of becoming aware of the litigation or legal matter. Section 1.02 Notice of a Contract Action. Performing Agency shall notify their assigned contract manager assigned to the contract if Performing Agency has had any contract suspended or terminated for cause by any local, state or federal department or agency or nonprofit entity within five days of becoming aware of the action and include the following: a. Reason for such action; b. Name and contact information of the local, state or federal department or agency or entity; c. Date of the contract; d. Date of suspension or termination; and e. Contract or case reference number. Section 1.03 Notice of Bankruptcy. Performing Agency shall notify in writing their assigned contract manager assigned of its plan to seek bankruptcy protection within five days of such action by Performing Agency. Section 1.04 Notice of Criminal Activity and Disciplinary Actions. a. Performing Agency shall immediately report in writing their contract manager when the Performing Agency has knowledge or reason to believe any that they or any person with ownership or controlling interest in the organization/business, or their agent, employee, subcontractor or volunteer that is providing services under this Contract has engaged in any activity that: 1. Would constitute a criminal offense equal to or greater than a Class A misdemeanor; and 2. Reasonably would constitute grounds for disciplinary action by a state or federal regulatory authority; or 3. Has been placed on community supervision, received deferred adjudication, or been indicted for or convicted of a criminal offense relating to involvement in any financial matter, federal or state program or felony sex crime. b. Performing Agency shall not permit any person who engaged, or was alleged to have engaged, in any activity subject to reporting under this section to perform direct client services or have direct contact with clients, unless otherwise directed in writing by DSHS. Section 1.05 Performing Agency's Notification of Change or Contact Person or Key Personnel. Within ten days shall notify in writing the contract manager assigned to the Contract of any change enumerated in the Performing Agency's Contact Person or Key Personnel. Section 1.06 Disaster Services. In the event of a local, state, or federal emergency, including natural, man- made, criminal, terrorist, and/or bioterrorism events, declared as a state disaster by the Governor, or a federal disaster by the appropriate federal official, Performing Agency may be called upon to assist DSHS in providing the following services: v. 03.10.2016 Page 1 ATTACHMENT C SUPPLEMENTAL & SPECIAL CONDITIONS a. Community evacuation; b. Health and medical assistance; c. Assessment of health and medical needs; d. Health surveillance; e. Medical care personnel; f. Health and medical equipment and supplies; g. Patient evacuation; h. In-hospital care and hospital facility status; i. Food, drug and medical device safety; j. Worker health and safety; k. Mental health and substance abuse; 1. Public health information; m. Vector control and veterinary services; and n. Victim identification and mortuary services. Section 1.07 Notice of a License Action. Performing Agency shall notify their contract manager of any action impacting its license to provide services under this Contract within five days of becoming aware of the action and include the following: a. Reason for such action; b. Name and contact information of the local, state or federal department or agency or entity; c. Date of the license action; and d. License or case reference number. Section 1.08 Interim Extension Amendment. a. Prior to or on the expiration date of this Contract, the Parties agree that this Contract can be extended as provided under this Section. b. DSHS/HHSC shall provide written notice of interim extension amendment to the Performing Agency under one of the following circumstances: 1. Continue provision of services in response to a disaster declared by the governor, or 2. To ensure that services are provided to clients without interruption. c. DSHS will provide written notice of the interim extension amendment that specifies the reason for it and period of time for the extension. d. Performing Agency will provide and invoice for services in the same manner that is stated in the Contract. c. An interim extension under Section (b)(1) above shall extend the term of the contract not longer than 30 days eller governor's disaster declaration is declared unless the Parties agree to a shorter period of time. f. An interim extension under Section (bX2) above shall be a one-time extension for a period of time determined by HHS/DSHS. Section 1.09 Electronic and Information Resources Accessibility and Security Standards. a. Applicability. The following Electronic and Information Resources (EIR) requirements apply to the Contract because the Performing Agency performs services that include EIR that DSHS employees are required or v. 03.10.2016 Page 2 ATTACHMENT C SUPPLEMENTAL & SPECIAL CONDITIONS permitted to access or members of the public are required or permitted to access. This Section does not apply to incidental uses of EIR in the performance of the Agreement, unless the Parties agree that the EIR will become property of the State of Texas or will be used by HHSC's clients or recipients after completion of the Agreement. Nothing in this section is intended to prescribe the use of particular designs or technologies or to prevent the use of alternative technologies, provided they result in substantially equivalent or greater access to and use of a Product. b. Definitions. For purposes of this Section: "Accessibility Standards" means accessibility standards and specifications for Texas agency and institution of higher education websites and EIR set forth in I TAC Chapter 206 and/or Chapter 213. "Electronic and Information Resources" means information resources, including information resources technologies, and any equipment or interconnected system of equipment that is used in the creation, conversion, duplication, or delivery of data or information. The term includes telephones and other telecommunications products, information kiosks, transaction machines, Internet websites, multimedia resources, and office equipment, including copy machines and fax machines. "Electronic and Information Resources Accessibility Standards" means the accessibility standards for electronic and information resources contained in I Texas Administrative Code Chapter 213. "Product" means information resources technology that is, oris related to EIR. "Web Site Accessibility Standards/ Specifications" means standards contained in Volume 1 Tex. Admin. Code Chapter 206(c) Accessibility Requirements. Under Tex. Gov't Code Chapter 2054, Subchapter M, and implementing rules of the Texas Department of Information Resources, DSHS must procure Products and services that comply with the Accessibility Standards when those Products are available in the commercial marketplace or when those Products are developed in response to a procurement solicitation. Accordingly, Performing Agency must provide electronic and information resources and associated Product documentation and technical support that comply with the Accessibility Standards. c. Evaluation, Testing, and Monitoring. 1. DSHS may review, test, evaluate and monitor Performing Agency's Products and services, as well as associated documentation and technical support for compliance with the Accessibility Standards. Review, testing, evaluation and monitoring may be conducted before and after the award of a contract. Testing and monitoring may include user acceptance testing. Neither the review, testing (including acceptance testing), evaluation or monitoring of any Product or service, nor the absence of review, testing, evaluation or monitoring, will result in a waiver of the State's right to contest the Performing Agency's assertion of compliance with the Accessibility Standards. 2. Performing Agency agrees to cooperate fully and provide DSHS and its representatives timely access to Products, records, and other items and information needed to conduct such review, evaluation, testing, and monitoring. v. 03.10.2016 Page 3 ATTACHMENT C SUPPLEMENTAL & SPECIAL CONDITIONS d. Representations and Warranties. I . Performing Agency represents and warrants that: i. As of the Effective Date of the Contract, the Products and associated documentation and technical support comply with the Accessibility Standards as they exist at the time of entering the Agreement, unless and to the extent the Parties otherwise expressly agree in writing; and ii. If the Products will be in the custody of the state or a DSHS client or recipient after the Contract expiration or termination, the Products will continue to comply with Accessibility Standards after the expiration or termination of the Contract Term, unless DSHS or its clients or recipients, as applicable, use the Products in a manner that renders it noncompliant. 2. In the event Performing Agency becomes aware, or is notified that the Product or service and associated documentation and technical support do not comply with the Accessibility Standards, Performing Agency represents and warrants that it will, in a timely manner and at no cost to DSHS, perform all necessary steps to satisfy the Accessibility Standards, including remediation, replacement, and upgrading of the Product or service, or providing a suitable substitute. 3. Performing Agency acknowledges and agrees that these representations and warranties are essential inducements on which DSHS relies in awarding this Contract. 4. Performing Agency's representations and warranties under this subsection will survive the termination or expiration of the Contract and will remain in full force and effect throughout the useful life of the Product. v. 03. l 0.2016 Page 4 OMB Number 4040-0007 Expiration Dale'. 0113112019 ASSURANCES - NON -CONSTRUCTION PROGRAMS Pubtio reporting burden for this collection of information is estimated to average 15 minutes per response, including time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding the burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to the Office of Management and Budget, Paperwork Reduction Protect (0348-0040), Washington DC 20503. PLEASE DO NOT RETURN YOUR COMPLETED FORM TO THE OFFICE OF MANAGEMENT AND BUDGET. SEND IT TO THE ADDRESS PROVIDED BY THE SPONSORING AGENCY. NOTE: Certain of these assurances may not be applicable to your project or program. If you have questions, please contact the awarding agency. Further, certain Federal awarding agencies may require applicants to certify to additional assurances If such is the case, you will be notified. As the duly authorized representative of the applicant. I certify that the applicant: 1. Has the legal authority to apply for Federal assistance and the institutional, managerial and financial capability (including funds sufficient to pay the non -Federal share of project cost) to ensure proper planning, management and completion of the project described in this application. 2. Will give the awarding agency, the Comptroller General of the United States and, if appropriate, the State, through any authorized representative, access to and the right to examine all records, books, papers, or documents related to the award; and will establish a proper accounting system in accordance with generally accepted accounting standards or agency directives. 3. Will establish safeguards to prohibit employees from using their positions for a purpose that constitutes or presents the appearance of personal or organizational conflict of interest, or personal gain, 4. Will Initiate and complete the work within the applicable time frame after receipt of approval of the awarding agency. 5. Wrll comply with the Intergovernmental Personnel Act of 1970 (42 U.S.C. §§4728-4763) relating to prescribed standards for merit systems for programs funded under one of the 19 statutes or regulations specified in Appendix A of OPM's Standards for a Ment System of Personnel Administration (5 C.F.R. 900, Subpart F) 6. Will comply with all Federal statutes relating to nondiscrimination. These include but are not limited to (a) Title VI of the Civil Rights Act of 1984 (P L 88-352) which prohibits discrimination on the basis of racecolor or national origin, (b) Title IX of the Education Amendments of 1972, as amended (20 U.S.C.§§1681- 1683, and 1685-1686), which prohibits discrimination on the basis of sex; (c) Section 504 of the Rehabilitation Priviau. Edition Uwble Act of 1973, as amended (29 U.S.C. §794), which prohibits discrimination on the basis of handicaps, (d) the Age Discrimination Act of 1975, as amended (42 U S.0 §§6101-6107), which prohibits discrimination on the basis of age; (e) the Drug Abuse Office and Treatment Act of 1972 (P.L. 92-255), as amended, relating to nondiscrimination on the basis of drug abuse; (1) the Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act 011970 (P.L. 91-616), as amended, relating to nondiscrimination an the basis of alcohol abuse or alcoholism, (g) §§523 and 527 of the Public Health Service Act 011912 (42 U.S.C. §§290 dd-3 and 290 ea- 3), as amended, nslating to confidentiality of alcohol and drug abuse patient records, (h) Title VIII of the Civil Rights Act of 1968 (42 U S C §§3601 et seq ), as amended, relating to nondiscnminabon in the sale. rental or financing of housing (i) any other nondiscrimination provisions in the specific statute(s) under which application for Federal assistance is being made and, (j) the requirements of any other nondiscrimination statute(s) which may apply to the application. 7 Witt comply, or has already complied, with the requirements of Titles 11 and 111 of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (P L 91-648) which provide for fair and equitable treatment of persons displaced or whose property is acquired as a result of Federal or federally -assisted programs These requirements apply to all interests in real property acquired for project purposes regardless of Federal participation in purchases 8 Wits comply, as applicablewith provisions of the Hatch Act (5 U.S C. §§1501-1508 and 7324-7328) which limit the political activities of employees whose principal employment activities are funded in whole or in part with Federal funds Standard Form 4246 tRay.7.97) Authorized for Local Reproduction Prescribed by OMB Circular A-102 g Wli comply, as applicable, with the provisions of the Davis - Bacon Act (40 U.S.C. §§276a to 276a-7), the Copeland Act (40 U.S.C. §276c and 18 U.S.C. §874), and the Contract Work Hours and Safety Standards Act (40 UJ.S.C. §§327- 333), regarding Tabor standards for federally -assisted construction subagreements. 10 WII comply, if applicable, with flood insurance purchase requirements of Section 102(a) of the Flood Disaster Protection Act of 1973 (P.L 93-234) which requires recipients in a special flood hazard area to participate in the program and to purchase flood insurance if the total cost of insurable construction and acquisition is $10,000 or more. 11 Wili comply with environmental standards which may be prescribed pursuant to the following: (a) institution of environmental quality control measures under the National Environmental Policy Act of 1989 (P.L 91-190) and Executive Order (EO) 11514; (b) notification of violating facilities pursuant to EO 11738; (c) protection of wetlands pursuant to EO 11990; (d) evaluation of flood hazards in floodplalns in accordance with EO 11986; (e) assurance of project consistency with the approved State management program developed under the Coastal Zone Management Act of 1972 (16 U.S.C. §§1451 et seq.); (Q conformity of Federal actions to State (Clean Air) Implementation Plans under Section 176(c) of the Clean Air Act of 1955, as amended (42 U.S.C. §§7401 et seq.); (g) protection of underground sources of drinking water under the Safe Drinking Water Act 011974, as amended (P.L 93-523); and, (h) protection of endangered species under the Endangered Species Act of 1973, as amended (P L 93- 205) 12. WII comply with the Wid end Scenic Rivers Act of 1968 (16 U.S.0 §§1271 et seq ) related to protecting components or potential components of the national wild and scenic rivers system SIGNATURE OF AUTHORIZED CERTIFYING OFFICIAL 13. WII assist the awarding agency in assuring compliance with Section 106 of the National Historic Preservation Act of 1966, as amended (16 U.S.C. §470), EO 11593 (identification and protection of historic properties), and the Archaeological and Historic Preservation Act of 1974 (16 U.S.C. §§469a-1 et seq.). 14. Will comply with P.L. 93-348 regarding the protection of human subjects involved in research, development, and related activities supported by this award of assistance 15. Wil comply with the Laboratory Animal Welfare Act of 1966 (P.L 89-544, as amended, 7 U.S.C. §§2131 et seq.) pertaining to the care, handling, and treatment of warm blooded animals held for research, leaching, or other activities supported by this award of assistance 16. WII comply with the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. §§4801 el seq.) which prohibits the use of lead-based paint in construction or rehabilitation of residence structures. 17. WII cause to be performed the required financial and compliance audits in accordance with the Single Audit Act Amendments of 1996 and OMB Circular No. A-133, "Audits of States, Local Governments, and Non -Profit Organizations." 18. Will comply with all applicable requirements of all other Federal laws, executive orders, regulations, and policies governing this program. 19 WII comply with the requirements of Section 106(g) of the Trafficking Victims Protection Act (TVPA) of 2000, as amended (22 U.S.C. 7104) which prohbits grant award recipients or a sub -recipient from (1) Engaging in severe forms of trafficking in persons during the period of time that the sward is in effect (2) Procuring a commercial sex act during the period of time that the award is in effect or (3) Using forced labor in the performance of the award or subawards under the award. TITLE APPLICANT ORGANIZATION DATE SUBMITTED Standard Form 4248 Mw. 74T) Back CERTIFICATION REGARDING LOBBYING Cerlifcation for Contracts, Grants, Loans, and Cooperative Agreements The undersigned certifies, to the best of his or her knowledge and belief, that (1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of an agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation. renewal, amendment, or modification of any Federal contract, grant. loan, or cooperative agreement (2) If any funds other than Federal appropriated funds have been paid or wit be paid to any person for infuendng or attempting 10 Influence an officer or employee of any agency, a Member of Congress. an officer or employee of Congress, or an employee of a Member of Congress In connection with this Federal contract. grant, loan, or cooperative agreement, the undersigned shall complete and submit Standard Form -LLL, "Disclosure of Lobbying Activities," In accordance with its instructions. (3) The undersigned shall require that the language of this certification be included in the award documents for all subawards at all tiers (induding subcontracts, subgrants, and contracts under grants. loans, and cooperative agreements) and that all subredplents shall certify and disclose accordingly This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered Into. Submission of This certification is a prerequisite for making or entering into This transaction imposed by section 1352, title 31, U.S. Code. Any person who faits to file the required certification shall be subject to a dvi penalty of not less than 510,000 and not more than 5100,000 for each war failure. Statement for Loan Guarantees and Loan Insurance The undersigned stales, to the best of his or her knoMAedge and belief, that: If any funds have been paid or will be paid to any person for Inituendng or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee or a Member of Congress h connection with this commitment providing for the United Stales to insure or guarantee a loan, the undersigned shall complete and submit Standard Form•LLL. "Disdosure of Lobbying Adivities," in accordance with its instructions. Submission of this statement Is a prerequisite for making or entering into this transaction imposed by section 1352. title 31, U.S Code. My person who fails to file the required statement shall be subject to a dvil penalty of not less than 510,000 and not more than 5100,000 for each such failure. • APPLICANTS ORGANIZATION e.J • PRINTED NAME AND TITLE OF AUTHORIZED REPRESENTATNE Prefix: • First Nance: Mlddte Name 'Last Name: Suffix: ' Title: • SIGNATURE: AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: December 13, 2016 TO: Margie C. Rose, City Manager FROM: Stacie Talbert Anaya, Interim Director of Parks and Recreation StacieT(c�cctexas.com (361) 826-3476 Maria Pedraza, Procurement Manager mariape(c�cctexas.com (361) 826-3176 Service Agreements for Ground Maintenance CAPTION: Resolution finding the lowest responsive, responsible bidder for ground maintenance services by group in response to Bid Nos. 138, 139, 140, 141, 142, 143, 144, 145, and 146; awarding a one-year service agreement, with two one-year renewals, to the lowest responsible bidder per bid number; and authorizing the City Manager or designee to execute the service agreements. Cut Masters Lawn Service Corpus Christi, Texas Group 1, 11, 12, 13, 14, 16 $167,349.66 Grand Total $233,521.70 PURPOSE: Dorame General Repair Corpus Christi, Texas Group 9, 10, 15 $66,172.04 These service agreements will provide ground maintenance for various City of Corpus Christi locations. BACKGROUND AND FINDINGS: Award recommendation is based on responsive and responsible bids. The ground maintenance services is anticipated to begin January 2017. The initial contracts term total is $233,521.70, of which $175,141.28 will be funded in FY2016-2017. These contract locations include some high profile areas, some back yard parks, and all waste water plants. Bidders for high-profile areas must have experience working in Parks & Recreation Department's high-profile/landscape intensive areas. Currently, these locations are being serviced by contractors whose contract extensions have expired or are about to expire. The cost for the Parks & Recreation Department to execute the same or similar work with in-house crews would be $212,144.10 for park property. Waste water plants were maintained by contractors at a rate of $95.00/acre with a total amount of $109,622.40. In this case, it is beneficial for the City to contract out these mowing parcels. ALTERNATIVES: If not approved, the mowing would then go to internal departments which would lengthen the mowing frequency throughout the City. OTHER CONSIDERATIONS: Not applicable. CONFORMITY TO CITY POLICY: This purchase conforms to the City's purchasing policies and procedures and State statutes regulating procurement. EMERGENCY / NON -EMERGENCY: Non -emergency DEPARTMENTAL CLEARANCES: Parks and Recreation Department FINANCIAL IMPACT: x Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016-2017 Current Year Future Years TOTALS Line Item Budget $1,888,606.20 $525,423.82 $2,414,030.02 Encumbered / Expended Amount $454,100.54 $0 $454,100.54 This item $175,141.28 $525,423.82 $700,565.10 BALANCE $1,259,364.38 $0 $1,259,364.38 Fund(s): General Fund, Storm Water Fund and Wastewater Fund Comments: The initial contract term total is $233,521.70, of which $175,141.28 will be funded in FY2016-2017. The total contract expenditure will be up to $700,565.10 if all option years are executed. RECOMMENDATION: Staff recommends approval of the motion as presented. LIST OF SUPPORTING DOCUMENTS: Locations - Ground Maintenance Bid Tabulation Resolution Service Agreements RFB 138-146 Ground Maintenance Areas and Locations ID Area/Location Acre ID Area/Location Acre Group 1 ROW/Storm Water Group 11 City Parks 2 Country Club Median -Country Club @ 4500 1-37, South side 0.11 1 Penn Place -4302 Aaron 1.67 3 Elmore Circle -3744 Elmore @ Brooks 0.03 2 Creekway-7306 Prairie 0.87 4 Macleod Circle -Macleod @ 400 Bartlett 0.12 3 Reflections Linear Park -4924 Oso Parkway 0.81 5 Old Robstown Median -400 Old Robstown from Bartlett to Kenwood 0.16 4 Lipes-5004 Lethaby 6 6 Yerby Circle -400 Yerby St. 0.01 0.01 5 St. Denis -6200 St. Denis 5.42 7 Morgan/Baldwin Triangle -Morgan @ Baldwin @ Osage 0.19 6 Stony Brook -7653 Stony Brook 1.96 8 RTA Greenwood Triangle -West intersection of Greenwood and Port St. 0.03 Group 12 9 Highland Triangle -Corner of Highland & Buford on SE side of street. 0.04 1 Las Brisas Park -3945 Freds Folly 0.4 10 Cortez Triangle -Corners of Cortez, Tampico, and Galvan St. 0.05 2 Sgt. J. D. Bock -7327 Canadian 3.93 11 Airport Triangle -SE corner of Post, Eastern & Old Brownsville Rd. 0.04 3 Graceland-7201 Elvis Dr. 0.68 13 Agnes & Laredo-East/West side between Agnes/Laredo to R/R tracts and middle of expressway 0.66 4 Greystone -7301 Sydney St. 0.92 14 Del Mar Triangles -Corner of Airport, Old Brownsville & Morgan St. 0.94 5 Yorktown Medians -Staples St. to Cimmaron St. 2 15 19th and Morgan -Islands on 19th St. 0.03 6 Caribbean -601 Mediterranean 1 16 Baldwin R.O.W.-2000 Blk Baldwin SW side Riggins to pass Cloyde to Winstead Build 0.12 7 Dimitt-202 Jester St. 1.5 17 Leopard St. Medians -Rand Morgan Rd. to Rehfield Rd. 9.28 8 Parks Nursery -5555 S. Alameda St. 1.9 18 Western Dr. Medians -Leopard and Western Dr. 0.08 Group 13 City Parks 19 McKinzie-Rockwood-Horseshoe-Warrior-Rockwood 1.42 1 Malibu -4224 Tripoli 7.21 20 Peach Tree Median -Leopard and Peach Tree 0.03 2 Kingston -3909 Kingston 5.33 21 IH 37 -Hampshire St. to McBride -Access Rd. 0.81 3 Almanza-3405 Surrey 6.7 22 IH 37 -Navigation to Port St. - Access Rd. both sides 6.21 4 Parkview -6000 Parkview 5.5 23 Old Brownsville Rd. -Airport to Navigation w/side, Navigation to NPID 2 sides. 5.11 Group 14 City Park 24 Airport Rd. -Santa Elena to Baldwin, Baldwin w/side, Beacon e/side. 0.37 1 Los Encinos-5800 Greenwood 10 25 Leopard Row -Warpath - Rolling Acres North Side 0.63 2 Father Fernandez -1820 Frio St. 2 Group 9 3 Village on the Green -5500 Green Tree 3 1 Alta Plaza Triangles -Alta Plaza and Ocean Drive 0.19 4 Pebble -5922 Hillcrest 5.13 2 Hialco-1114 Sam Ranking Drive 2.25 5 Sacky-2719 Sacky 6.59 3 Ocean Dr. Lot -3642 Ocean Drive 1 Group 15 City Parks 4 Sign shop -5425 Leopard St 0.89 1 Crestmont-3521 Cresthill 2.3 5 Academy Sports ROW -4910 Williams Drive 0.05 2 Ridgewood -5730 Malden 3.31 6 Acushnet-6746 Aaron 6.54 3 Gardendale-5522 Holly Rd. 3.63 7 Congress -4017 Capital 1.96 4 Sands -1802 Silver Sand Dr. 5.5 8 O'Day ROW -.25 Miles NW of Weber on O'Day 0.05 5 South Fork -2838 Oso Parkway 0.75 9 Forest Park -4306 Calallen 1.8 Group 16 Waste Water Plants 10 Heizer Tri -10622 Veda Dr. 0.3 1 Allison WW Treatment Plant -4001 Allison Dr. 21.14 11 Northwest Bowl -14602 Spaulding 1.6 2 Broadway WW Treatment Plant -1402 Broadway St. 5.55 Group 10 City Parks 3 Greenwood WW Treatment Plant -6541 Greenwood St. 13.94 1 Bear Creek -6733 Bison 9 4 Laguna Madre WW Treatment Plant -201 Jester St. 4.29 2 Captain Falcon -4712 Oso Parkway 1.73 5 Oso WW Treatment Plant -501 Nile Dr. 15.5 3 Cimarron -8109 Rock Crest Drive 3 6 White Cap WW Treatment Plant -13409 Whitecap Dr. 6.94 4 Crossgate-5307 Cross Valley 4.83 CIN OF CORPUS CHRISTI PURCHASING DIVISION BUYER: MICHAEL GUTIERREZ ITEM DESCRIPTION ACRES CYCLES Dorame General Repair 3 Lawn Corpus Christi, TX UNIT EXTENDED PRICE PRICE BID TABULATION BID EVENT NO. 138,139,140,141,142,143,144,145,146 GROUND MAINTENANCE Cut Masters Lawn Service Corpus CM., TX UNIT EXTENDED PRICE PRICE "'Maldonado Nursery and taMxaping, Inc. Corpus Christi, TX UNIT EXTENDED PRICE PRICE La Med Facility Maintenance, Inc. San Antonio, TX UNIT EXTENDED PRICE PRICE —South Texas tawnscapers, LLC Alice, TX UNIT EXTENDED PRICE PRICE Eon Energy Services Sinton, TX UNIT EXTENDED PRICE PRICE main Coon Maintenance Corpus Cho., TX UNIT EXTENDED PRICE PRICE Chariton Holding LLC dba Lawn in Order Corpus Christi, TX UNIT EXTENDED PRICE PRICE Aspen Lawn Care Carpus Christi, TX UNIT EXTENDED PRICE PRICE Tuff CM Lawn and m, and J Lawn and Lot Landscaping Corpus Christi, TX Corpus Chri5i, TX UNIT EXTENDS UNIT EXTENDED PRICE PRICE PRICE PRICE Coastal Sweeping Services lnc. Corpus Christi, TX UNIT EXTENDED PRICE PRICE 2 Group 1 Ground Maintenance Growing Season 26.4] 20 $18500 $3,70000 12,11760 $42,35200 $3593.00 $7198000 $3,186.46 66372920 $550.00 $13,00000 $11,11740 122234800 $000 $0.00 $0.00 $0.00 $0.00 $000 $0.00 $0.00 $0.00 $0.00 $0.00 $000 Group Ground Maintenance Non- Growing Season 26.47 3 118500 $555.00 12,11760 46,35280 $3,59900 110,79700 $3,186.46 1955938 $0.00 $000 $11,11740 $33,35220 $0.00 $0.00 $000 $000 $000 $000 $0.00 $0.00 $000 $0.00 $0.00 $0.00 4 Group Ground Maintenance Growing Season 1663 16 $1,66300 $29,93400 $2,00000 $36,00000 $1,33000 $23,94000 $2,00191 $36,03438 %0000 $10,80000 %98460 $125,72280 $1,08095 $19,45710 $3,04329 $54,71922 $0.00 $0.00 $000 $000 $0.00 $0.00 $000 $0.00 Group 9 Ground Maintenance Non- Growing Season 1663 4 $166300 $665200 $2,00000 $8,00900 $1330.00 $532000 $2,00191 18,00764 $0.00 $0.00 4698460 $27,93840 $1880.95 $4323 BO $3,043.29 $12,173.16 $0.00 $000 $0.00 $0.00 $000 $0.00 $0.00 $000 5 6 Group 10 Ground Maintenance Growing Season 1856 18 $83520 $15,03360 $900.16 $16,20288 $1,08500 $19,53000 $1,57260 $28,39680 $600.00 $10,80000 $7,79520 $140,31360 $000 $0.00 $2,13440 $38,41920 $1,29920 $23,38560 $150.00 $2,70000 $5500 $990.00 $000 $0.00 Group 10 Ground Maintenance Non- Growing Season 1856 4 $83520 $3,34080 $900.16 $3,60064 $188500 $4,34000 $157760 1631040 $0.00 $0.00 $179520 631,18080 $0.00 $0.00 $2,134.40 $853760 $129920 $5,196.80 $150.00 $600.00 $000 $0.00 $000 $0.00 7 8 Group 11 Ground Maintenance Growing Season 1673 18 $75285 $13,55130 $66836 $12,03048 $97800 $17,60400 $1,50570 $27,10260 $600.00 $10,80000 $7,026.60 $126,47880 $0.00 $0.00 $1,923.95 $34,63110 $1,17110 $21,07980 $150.00 $2,70000 $5500 $990.00 $5994 $1,07892 Group 11 Ground Maintenance Non- Growing Season 1673 4 $752 B5 $3,01140 $668.36 $267344 $97800 $391200 $1505.70 $6,022.80 $000 $0.00 1102660 $28,10640 $0.00 $000 $192395 $7,695.80 $1,171.10 10,68440 $150.00 $600.00 $000 1000 05994 $23976 9 10 Group 12 Ground Maintenance Growing Season 1233 18 $5,00000 $90,00000 $1,109.70 $19,97460 $1,344.00 $24,19200 $1,48426 $26,71704 $600.00 $10,80000 $5,17860 $93,21480 $000 $0.00 $2,25639 $40,61502 $000 $000 $000 $0.00 $000 $0.00 $000 $000 Group 12 Ground Maintemnce Non- Growing Season 1233 4 $5,00000 820,00000 $1,10970 $4,43880 $1344.00 $537600 $148428 $5937.12 $0.00 $0.00 $5,17860 $20,71440 $000 $0.00 $225639 $9,02556 $0.00 $000 $0.00 $0.00 $0.00 $0.00 $0.00 $000 11 12 Group 13 Ground Maintenance Growing Season 2474 18 $1,03760 $18,87680 $95249 $17,14482 $1,44700 $26,04600 $2,10290 $37,85220 $600.00 $10,80000 $10,39080 $187,034.40 $000 $0.00 $2,47400 $44,53200 $1608.10 $28,94580 $150.00 $2,70000 $5000 $900.00 $3303 $59454 Group 13 Ground Maintenance Non- Growing Season 2474 4 $1,03760 $4,150.40 $95249 $3,80996 $1,44700 $5,78800 $2,10290 $8,41180 $000 $000 $10,39080 $41,56320 $0.00 $0.00 $2,47400 $9,89600 $1608.10 $6,43240 $150.00 $600.00 $000 $0.00 $3303 $13212 13 14 Group 14 Ground Maintenance Growing Season 26.72 18 $1,06880 $19,23840 $68042 815,84756 $1,56300 $28,13400 $2,13760 $38,47680 865000 $11,70000 $1122240 $202,00320 $1,73680 $31,26240 $2,67200 $48,09600 $0.00 $0.00 $150.00 $2,70000 $000 $000 $3336 $600.48 Group 14 Ground M aintenance Non- Growing Season 26.72 4 $534.40 $2,13760 $88042 $352168 $156300 4625200 $2,13760 $6550.40 $0.00 $0.00 $1122240 $44,88960 $1736.80 1694720 $267200 $10,68800 $0.00 $000 $150.00 4600.00 $000 $0.00 $3335 $13344 15 16 Group 15 Ground Maintenance Growing Season 1549 18 $50962 $9,173.16 $77450 $13,94100 $906.00 $16,30800 $123920 $22,30560 $650.00 $1170000 $650580 $117,10.40 $0.00 $000 $170390 $30,67020 $180685 $18,12330 $150.00 $2,70000 $000 1000 $5275 $94950 Group 15 Ground Maintenance Non- Growing Season 1549 4 $509.62 $2,03848 $77450 $3,09800 $906.00 $362400 $123920 $4956.80 $0.00 $0.00 66505.80 $26,02320 $0.00 $0.00 $170390 $581560 $1806.85 $4,02740 $150.00 $600.00 $000 $0.00 $5275 $21100 17 Group 16 Ground Maintenance Growing Season 6736 12 $673600 $80,83200 $3,26696 $3620352 $3,93983 18127796 $4,87840 $58,54080 $800.00 $9,60000 $20,20800 $242,49600 $0.00 $0.00 $9,09360 $109,12320 $000 $000 $000 $0.00 $000 $0.00 $0.00 $0.00 TOTAL * *66,172.04 TOTALAWARD: $233,521.70 * $167,346.66 NOTE: Recommended Contractor for the group. Contractor declined the contract *Total is based off the unit price of each cycle. Contractors made mathmatical errors on their Bid Forms, Cut Masters lawn Service being off by $0.15 and Dorame General Reapirs and lawn being off by $0.02. " Bidder was deemed Non -Responsible ."Bidder was deemed Non -Responsive Resolution finding the lowest responsive, responsible bidder for ground maintenance services by group in response to Bid Nos. 138, 139, 140, 141, 142, 143, 144, 145, and 146; awarding a one-year service agreement, with two one-year renewals, to the lowest responsible bidder per bid number; and authorizing the City Manager or designee to execute the service agreements. WHEREAS, the services to be provided by the selected contractors have been competitively bid based upon and in accordance with a procurement method authorized by State law and Article X, Sec. 2, of the Charter of the City of Corpus Christi ("City"); WHEREAS, the City received bids for ground maintenance services in response to individual Bid Nos. 138 through 146, of which only the lowest responsive, responsible bidder per bid number may be awarded a ground maintenance services contract ("contract"); WHEREAS, State law provides that, if the competitive sealed bidding requirement applies to a contract for goods or services, the contract must be awarded to the lowest responsible bidder or to the bidder that provides the best value, pursuant to Texas Local Government Code §252.043(a); WHEREAS, the City notified all bidders in its bid documents for Bid Nos. 138 through 146 that a contract would be awarded to the lowest responsive, responsible bidder per bid number; WHEREAS, the City Council finds that South Texas Lawnscapers, LLC, of Alice, Texas, and J and J Lawn and Lot of Corpus Christi, Texas, are deemed non-responsive due to not submitting the required bid documents; WHEREAS, the City Council finds that Dorame General Repair and Lawn of Corpus Christi, Texas, declined a possible contract award for item numbers 1 and 2 (Group 1); Tuff Cut Lawn and Landscaping of Corpus Christi, Texas, declined a possible contract award for item numbers 5, 6, 7, 8, 11, 12, 13, 14, 15 and 16 (Groups 10, 11, 13, 14 and 15); and Coastal Sweeping Services, Inc., of Corpus Christi, Texas, declined a possible contract award for item numbers 7, 8, 11, 12, 13, 14, 15 and 16 (Groups 11, 13, 14 and 15), resulting in the withdrawal of all the foregoing separate bids due to pricing errors in the submitted bid amounts; WHEREAS, the City Council finds that Gulf Coast Maintenance of Corpus Christi, Texas, who bid for item numbers 3 and 4 (Group 9) is not a responsible bidder, which is supported by an evaluation provided by the Parks & Recreation Department due to the contractor's performance under Service Agreement No. 758 for mowing services that did not meet standards set under the agreement, failed inspections, and incomplete mowing cycles and, therefore, it is in the best interest of the City to reject the bids submitted by Gulf Coast Maintenance; WHEREAS, the City Council finds that Maldonado Nursery and Landscaping, Inc., of Corpus Christi, Texas, who bid for item numbers 3 and 4 (Group 9) is not a responsible bidder, which is supported by an evaluation provided by the Parks & Recreation Department due to the contractor's performance under Service Agreement Nos. SA14- 058 and SA14-059 for mowing services that did not meet standards set under the agreement and for terminating both service agreements and, therefore, it is in the best interest of the City to reject the bids submitted by Maldonado Nursery and Landscaping; WHEREAS, the City Council finds that the lowest responsible bidder awarded a contract for item numbers 1, 2, 7, 8, 9, 10, 11, 12, 13, 14, and 17 (Groups 1, 11, 12, 13, 14 and 16) is Cut Masters Lawn Service of Corpus Christi, Texas, in the amount of $167,349.66; WHEREAS, the City Council finds that the lowest responsible bidder awarded a contract for item numbers 3, 4, 5, 6, 15 and 16 (Groups 9, 10 and 15) is Dorame General Repair and Lawn of Corpus Christi, Texas, in the amount of $66,172.04; and WHEREAS, in the event the lowest responsive, responsible bidder fails to execute the contract for the awarded item or fails to perform under a contract for any awarded item, the City Manager, or designee, is authorized to execute a contract for the remainder of the contract term with the next lowest bidder, in succession, in order to secure replacement ground maintenance services for the City. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: Section 1. The City Council finds the foregoing preamble language stated in this resolution to be true and correct and adopts such findings for all intents and purposes related to the authorizations of each of the procurements that are the subject of this resolution. Section 2. The City Council finds that Cut Masters Lawn Service is the lowest responsible bidder for item numbers 1, 2, 7, 8, 9, 10, 11, 12, 13, 14 and 17 (Groups 1, 11, 12, 13, 14 and 16) in Bid Nos. 138, 140, 141, 143, 144 and 145 and is awarded a contract in the amount of $167,349.66, as shown in the attached bid tabulation sheet, the content of which is incorporated into this resolution by reference as if fully set out here in its entirety. Section 3. The City Council finds that Dorame General Repair and Lawn is the lowest responsible bidder for item numbers 3, 4, 5, 6, 15 and 16 (Groups 9, 10 and 15) in Bid Nos. 139, 142 and 146 and is awarded a contract in the amount of $66,172.04, as shown in the attached bid tabulation sheet, the content of which is incorporated into this resolution by reference as if fully set out here in its entirety. Section 4. The City Manager, or designee, is authorized to execute contracts with the lowest responsive, responsible bidders in accordance with the terms and conditions Page 2 of 3 stated in Bid Nos. 138 through 146. Furthermore, in the event the lowest responsive, responsible bidder fails to execute the contract for the awarded item or fails to perform under a contract for any awarded item, the City Manager, or designee, is authorized to execute a contract for the remainder of the contract term with the next lowest responsive, responsible bidder, in succession, in order to secure replacement ground maintenance services for the City. ATTEST: CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary Dan McQueen Mayor Corpus Christi, Texas of The above resolution was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn Page 3 of 3 SERVICE AGREEMENT NO. 797 Grounds Maintenance THIS Grounds Maintenance Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home -rule municipal corporation ("City") and Cut Masters Lawn Service ("Contractor'), effective upon execution by the City Manager or the City Manager's designee ("City Manager"). WHEREAS, Contractor has bid to provide Grounds Maintenance in response to Request for Bid/Proposal No. 138, 140, 141, 143, 144, and 145 ("RFB/RFP"), which RFB/RFP includes the required scope of work and all specifications and which RFB/RFP and the Contractor's bid or proposal response, as applicable, are incorporated by reference in this Agreement as Exhibits 1 and 2, respectively, as if each were fully set out here in its entirety. NOW, THEREFORE, City and Contractor agree as follows: 1. Scope. Contractor will provide Grounds Maintenance ("Services") in accordance with the attached Scope of Work, as shown in Attachment A, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety, and in accordance with Exhibit 2. 2. Term. This Agreement is for 12 months, with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or Purchasing Division. This Agreement includes an option to extend the term for up to two additional 12 -month periods ("Option Period"), provided, the parties do so prior to expiration of the original term or the then -current Option Period. The decision to exercise the option to extend the term of this Agreement is, at all times, within the sole discretion of the City and is conditioned upon the prior written agreement of the Contractor and the City Manager. 3. Compensation and Payment. The total value of this Agreement is not to exceed $167,349.66, subject to approved extensions and changes. Payment will be made for Services completed and accepted by the City within 30 days of acceptance, subject to receipt of an acceptable invoice. All pricing must be in accordance with the attached Bid/Pricing Schedule, as shown in Attachment B, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety. City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1 /16 Page 1 of 8 4. Contract Administrator. The Contract Administrator designated by the City is responsible for approval of all phases of performance and operations under this Agreement, including deductions for non-performance and authorizations for payment. The City's Contract Administrator for this Agreement is as follows: Tessy Gonzalez Department: Parks and Recreations Phone: 361-826-3493 Email: TessyG@cctexas.com 5. Insurance; Bonds. (A) Before performance can begin under this Agreement, the Contractor must deliver a certificate of insurance ("COI"), as proof of the required insurance coverages, to the City's Risk Manager and the Contract Administrator. Additionally, the COI must state that the City will be given at least 30 days' advance written notice of cancellation, material change in coverage, or intent not to renew any of the policies. The City must be named as an additional insured. The City Attorney must be given copies of all insurance policies within 10 days of the City Manager's written request. Insurance requirements are as stated in Attachment C, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety. (B) In the event a payment bond, a performance bond, or both, are required of the Contractor to be provided to the City under this Agreement before performance can commence, the terms, conditions, and amounts required in the bonds and appropriate surety information are as included in the RFB/RFP or as may be added to Attachment C, and such content is incorporated here in this Agreement by reference as if each bond's terms, conditions, and amounts were fully set out here in its entirety. 6. Purchase Release Order. For multiple -release purchases of Services to be provided by the Contractor over a period of time, the City will exercise its right to specify time, place and quantity of Services to be delivered in the following manner: any City department or division may send to Contractor a purchase release order signed by an authorized agent of the department or division. The purchase release order must refer to this Agreement, and Services will not be rendered until the Contractor receives the signed purchase release order. City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1 /16 Page 2 of 8 7. Inspection and Acceptance. Any Services that are provided but not accepted by the City must be corrected or re -worked immediately at no charge to the City. If immediate correction or re -working at no charge cannot be made by the Contractor, a replacement service may be procured by the City on the open market and any costs incurred, including additional costs over the item's bid/proposal price, must be paid by the Contractor within 30 days of receipt of City's invoice. 8. Warranty. The Contractor warrants that all products supplied under this Agreement are new, quality items that are free from defects, fit for their intended purpose, and of good material and workmanship. The Contractor warrants that it has clear title to the products and that the products are free of liens or encumbrances. In addition, the products purchased under this Agreement shall be warranted by the Contractor or, if indicated in Attachment D by the manufacturer, for the period stated in Attachment D. Attachment D is attached to this Agreement and is incorporated by reference into this Agreement as if fully set out here in its entirety. 9. Quality/Quantity Adjustments. Any Service quantities indicated on the Bid/Pricing Schedule are estimates only and do not obligate the City to order or accept more than the City's actual requirements nor do the estimates restrict the City from ordering less than its actual needs during the term of the Agreement and including any Option Period. Substitutions and deviations from the City's product requirements or specifications are prohibited without the prior written approval of the Contract Administrator. 10. Non -Appropriation. The continuation of this Agreement after the close of any fiscal year of the City, which fiscal year ends on September 30th annually, is subject to appropriations and budget approval specifically covering this Agreement as an expenditure in said budget, and it is within the sole discretion of the City's City Council to determine whether or not to fund this Agreement. The City does not represent that this budget item will be adopted, as said determination is within the City Council's sole discretion when adopting each budget. 11. Independent Contractor. Contractor will perform the work required by this Agreement as an independent contractor and will furnish such Services in its own manner and method, and under no circumstances or conditions will any agent, servant or employee of the Contractor be considered an employee of the City. 12. Subcontractors. Contractor may use subcontractors in connection with the work performed under this Agreement. When using subcontractors, City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1 /16 Page 3 of 8 however, the Contractor must obtain prior written approval from the Contract Administrator if the subcontractors were not named at the time of bid or proposal, as applicable. In using subcontractors, the Contractor is responsible for all their acts and omissions to the same extent as if the subcontractor and its employees were employees of the Contractor. All requirements set forth as part of this Agreement, including the necessity of providing a COI in advance to the City, are applicable to all subcontractors and their employees to the same extent as if the Contractor and its employees had performed the work. 13. Amendments. This Agreement may be amended or modified only by written change order signed by both parties. Change orders may be used to modify quantities as deemed necessary by the City. 14. Waiver. No waiver by either party of any breach of any term or condition of this Agreement waives any subsequent breach of the same. 15. Taxes. The Contractor covenants to pay payroll taxes, Medicare taxes, FICA taxes, unemployment taxes and all other related taxes. Upon request, the City Manager shall be provided proof of payment of these taxes within 15 days of such request. 16. Notice. Any notice required under this Agreement must be given by fax, hand delivery, or certified mail, postage prepaid, and is deemed received on the day faxed or hand -delivered or on the third day after postmark if sent by certified mail. Notice must be sent as follows: IF TO CITY: City of Corpus Christi Attn: Tessy Gonzalez Contract Administrator Address: 1201 Leopard St. Corpus Christi, Texas 78401 Fax: 361-826-3864 IF TO CONTRACTOR: Cut Masters Lawn Service Attn: David Alvarez Title: Owner Address: P.O. Box 270100 Corpus Christi, Texas 78427 Fax: 361-730-9191 City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 4 of 8 17. CONTRACTOR AGREES TO INDEMNIFY, HOLD HARMLESS AND DEFEND THE CITY OF CORPUS CHRISTI AND ITS OFFICERS, EMPLOYEES AND AGENTS ("INDEMNITEES") FROM AND AGAINST ANY AND ALL LIABILITY, LOSS, CLAIMS, DEMANDS, SUITS AND CAUSES OF ACTION OF ANY NATURE WHATSOEVER ON ACCOUNT OF PERSONAL INJURIES (INCLUDING DEATH AND WORKERS' COMPENSATION CLAIMS), PROPERTY LOSS OR DAMAGE, OR ANY OTHER KIND OF INJURY, LOSS, OR DAMAGE, INCLUDING ALL EXPENSES OF LITIGATION, COURT COSTS, ATTORNEYS' FEES AND EXPERT WITNESS FEES WHICH ARISE OR ARE CLAIMED TO ARISE OUT OF OR IN CONNECTION WITH THIS AGREEEMENT OR THE PERFORMANCE OF THIS AGREEMENT, REGARDLESS OF WHETHER THE INJURIES, DEATH OR DAMAGES ARE CAUSED OR ARE CLAIMED TO BE CAUSED BY THE CONCURRENT OR CONTRIBUTORY NEGLIGENCE OF INDEMNITEES, BUT NOT IF BY THE SOLE NEGLIGENCE OF INDEMNITEES UNMIXED WITH THE FAULT OF ANY OTHER PERSON. CONTRACTOR MUST, AT ITS OWN EXPENSE, INVESTIGATE ALL CLAIMS AND DEMANDS, ATTEND TO THEIR SETTLEMENT OR OTHER DISPOSITION, DEFEND ALL ACTIONS BASED THEREON WITH COUNSEL SATISFACTORY TO THE CITY ATTORNEY, AND PAY ALL CHARGES OF ATTORNEYS AND ALL OTHER COSTS AND EXPENSES OF ANY KIND ARISING FROM ANY SAID LIABILITY, DAMAGE, LOSS, CLAIMS, DEMANDS, SUITS, OR ACTIONS. THE INDEMNIFICATION OBLIGATIONS OF CONTRACTOR UNDER THIS SECTION SHALL SURVIVE THE EXPIRATION OR EARLIER TERMINATION OF THIS AGREEMENT. 18. Termination. (A) The City Manager may terminate this Agreement for Contractor's failure to perform the work specified in this Agreement or to keep any required insurance policies in force during the entire term of this Agreement. The Contract Administrator must give the Contractor written notice of the breach and set out a reasonable opportunity to cure. If the Contractor has not cured within the cure period, the City Manager may terminate this Agreement immediately thereafter. City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 5 of 8 (B) Alternatively, the City Manager may terminate this Agreement for convenience upon 30 days advance written notice to the Contractor. The City Manager may also terminate this Agreement upon 24 hours written notice to the Contractor for failure to pay or provide proof of payment of taxes as set out in this Agreement. 19. Assignment. No assignment of this Agreement by the Contractor, or of any right or interest contained herein, is effective unless the City Manager first gives written consent to such assignment. The performance of this Agreement by the Contractor is of the essence of this Agreement, and the City Manager's right to withhold consent to such assignment is within the sole discretion of the City Manager on any ground whatsoever. 20. Severability. Each provision of this Agreement is considered to be severable and, if, for any reason, any provision or part of this Agreement is determined to be invalid and contrary to applicable law, such invalidity shall not impair the operation of nor affect those portions of this Agreement that are valid, but this Agreement shall be construed and enforced in all respects as if the invalid or unenforceable provision or part had been omitted. 21. Order of Precedence. In the event of any conflicts or inconsistencies between this Agreement, its attachments, and exhibits, such conflicts and inconsistencies will be resolved by reference to the documents in the following order of priority: A. this Agreement and its attachments B. the bid solicitation document, including addenda (Exhibit 1) C. the Contractor's bid response (Exhibit 2) 22. Certificate of Interested Parties. Contractor agrees to comply with Texas Government Code Section 2252.908, as it may be amended, and to complete Form 1295 "Certificate of Interested Parties" as part of this Agreement. 23. Governing Law. This Agreement is subject to all federal, State, and local laws, rules, and regulations. The applicable law for any legal disputes arising out of this Agreement is the law of the State of Texas, and such form and venue for such disputes is the appropriate district, county, or justice court in and for Nueces County, Texas. 24. Entire Agreement. This Agreement constitutes the entire agreement between the parties concerning the subject matter of this Agreement and supersedes City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 6 of 8 all prior negotiations, arrangements, agreements and understandings, either oral or written, between the parties. (SIGNATURE PAGE FOLLOWS) City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 7 of 8 CONTRACTOR Signature: Printed Name: buttait lort.itiftz) Title: ObiWei' Date: 11'0446 CITY OF CORPUS CHRISTI Signature: Printed Name: Title: Date: Attached and Incorporated by Reference: Attachment A: Scope of Work Attachment B: Bid/Pricing Schedule Attachment C: Insurance/Bond Requirements Attachment D: Warranty Requirements Incorporated by Reference Only: Exhibit 1: RFB/RFP No. 138, 140, 141, 143, 144, 145 Exhibit 2: Contractor's Bid/Proposal Response City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 8 of 8 ATTACHMENT A - SCOPE OF WORK GROUP 1 4.1 General Requirements Provide complete grounds maintenance including all reasonable and necessary labor, supervision, equipment and supplies to keep contracted areas properly maintained. 4.2 Scope of work Provide complete grounds maintenance including litter and debris removal, mowing, trimming and applying fertilizer to City owned property as shown on Exhibit 1. Prep Work a. The Contractor and all related employees shall attend an orientation prior to the term of the contract and each extension Parks and Recreation Maintenance 5352 Ayers St. Bldg. 4 Corpus Christi, Texas 78415 b. Prior to each operation, the Contractor shall remove all litter and debris, including paper, cans, bottles, bags, grass clippings, accumulated leaves, palm fronds, and other tree litter including tree limbs from the identified locations. Including, but not limited to, fence lines, sidewalks, trees, shrubs, groundcover beds, all curbs and gutters, and other hard surfaces within the identified location. Pick-up shall consist of removal of visible litter larger than three inches square. Special attention shall be given to insure the removal of objects, which may cause injury, if thrown from equipment. c. After operations, the Contractor shall remove any visible trash and debris that were cut up during the process. The Contractor shall not dispose of any trash or debris into dumpsters located on City property. The trash and debris must be removed from City property and disposed of in accordance with all City ordinances. All trash and litter shall be disposed of properly at the Contractor's expense and proof of such proper disposal through third party invoices or landfill receipts shall be turned in to the Contract Administrator on a monthly basis. d. Contractor is required to cover/tarp debris while transporting for disposal and while moving from site to site. e. Should the Contractor dispose of the litter and debris at an illegal dumpsite, it is grounds for termination of this agreement. Mowing and Trimming a. Turf shall be mowed to a height of three inches using reel or rotary type mowers. Rough cutting, scraping and bush hogging will not be permitted. Turf shall be mowed to maintain a neat appearance. If any mowing is to be omitted or delayed, it shall be omitted or delayed only at the discretion of the Contract Administrator or authorized designee. Mowing cycles must be completed according to the cycle description indicated below. b. Cycles Description ROW/Storm Water Group 1 • Growing Season (March - November) Bi -weekly - 20 cycles • Non -Growing Season (December- February) Monthly - 3 cycles c. Mower height to be measured with mower on a flat, paved surface. A high quality of cut shall be provided using mowers with sharp cutting blades so as not to tear, but cleanly cut the blades of grass. Mowing shall be performed in a manner as not to damage trees, shrubs, plants, signs, or other obstructions. d. String line trimmers shall not be used to mow or trim turf areas wider than 24 inches, except in areas approved by the Contract Administrator. e. Mowing and trimming operations shall be performed in such a manner as to prevent the piling of excessive and unsightly grass clippings and leaves on lawns. The Contractor shall remove excessive clippings immediately following each mowing cycle prior to the work crew leaving the work site. f. All resulting clippings and leaves shall be removed from any roadway, walkway, parking area, or any other hard surface including curbs and gutters and from plant beds, tree collars, etc. g. Contractor shall perform all trimming for each cycle using herbicides, hand labor, or mechanical devices. Trimming shall include around all trees, shrubs, beds, fences, groundcovers, utilities, poles, buildings, obstacles, curbing, sidewalks, parking lot, concrete pads, including cracks and expansion joints, edges of all exterior hard surfaces. Any vegetation not cut by the mowing operation located adjacent to, above, or hanging over the curb must be trimmed each mowing cycle. At time of each mowing, trimming shall be done in a manner as not to damage trees, shrubs, fences, etc. At no time shall wild vegetation be allowed to grow out of these areas. h. At the time of each mowing, the Contractor shall remove "sucker" growth at the base of trees before it reaches one foot in height and all materials and debris shall be removed from site after each such pruning. Edging a. Cut all edges with a mechanical edging device (not a line trimmer). This includes all curbs and sidewalks. b. The Contractor shall promptly remove all debris, including soil and trimmings from the areas, sidewalks, and roadways after each edging operation prior to the work crew leaving the work site. Edge only with steel disc or steel blade edger's. String line trimming shall not be used for edging. Fertilizing The Contractor shall provide an application of a 3-1-2 ratio of slow release fertilizer during the growing season. Apply fertilizer that has been formulated for this area, is appropriate for the type of turf grass being fertilized and use manufacturer's recommendation for rate of application. 4.3 Work Site and Conditions A. The work shall be performed at locations throughout the City as defined by group. See Exhibit 1 for locations. B. Contractor shall supply the City with a work schedule to indicate the normal starting and completion times for its operations. The Contractor shall provide landscaping and grounds maintenance only in appropriate months and in accordance with the City's cycle requirements. Changes in such work schedules must be approved by the City. C. Work Hours: The Contractor will confine all operations to daylight hours, Monday through Friday, unless one of the days is a City designated holiday. Saturday and Sunday work will require approval from the Contract Administrator to ensure there is no interference with activities, rentals or special events. D. Non -Work Hours: The Contractor may not store any equipment or tools on any site. After completion of work at any site, the Contractor must remove all equipment, supplies, and materials from that site. E. Ozone Warning Days: 1. No mowing will be done on the designated Ozone Action Days except in the case of a special event, emergency or removing a liability. If mowing is necessary for such a situation, mowing will be kept to a minimum. However, the Contract Administrator or designee will retain the right to determine and notify the contractor of any such special event, emergency or liability. 2. All push mowers, string line trimmers, riding mowers and other small engines will not be used at all. 3. Diesel powered mowing equipment will be allowed to operate on the second day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee, and received permission to proceed with work order. 4. Equipment using reformulated gas will be allowed to operate on the third day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee and received permission to proceed with work order. 4.4 Contractor Quality Control and Superintendence The Contractor shall establish and maintain a complete Quality Control Program that is acceptable to the Contract Administrator to assure that the requirements of the Contract are provided as specified. The Contractor will also provide supervision of the work to insure it complies with the contract requirements. 4.5 Safety Requirements A. Public Safety and Convenience: The safety of the public and the convenience of traffic shall be regarded as prime importance. All portions of streets shall be kept open to traffic. The Contractor shall coordinate all Work with the Contract Administrator and shall place warning signs in accordance with the current version of the Texas Manual on Uniform Traffic Control Devices. Signs, sign stands, safety flags, and all other safety materials or devices as well as safety vests will be required to protect the mowers and the traveling public and will be furnished by the Contractor. The Contractor will be responsible for the maintenance or replacement of these items as necessary. If at any time work is in progress, the traffic control devices do not accomplish the intended purpose due to weather or other conditions affecting the safe handling of traffic, the Contractor shall immediately make necessary changes thereto to correct the unsatisfactory conditions. These provisions for directing traffic will not be paid for directly, but shall be subsidiary to the various bid items of this contract. B. Chemicals: All products (chemicals) shall be kept in a properly labeled container and a Safety Data Sheet (SDS) kept on each item, in a clearly marked SDS notebook by the contractor. The Contractor shall also supply a copy of all SDS sheets to the Contract Administrator. 4.6 Equipment A. All Contractor's grounds maintenance equipment must be equipped with safety devices which conform to manufacturer's standards and all applicable OSHA regulations to prevent damage to property. All equipment shall be kept in good operating condition and shall be maintained to provide a clean sharp cut of vegetation at all times. All equipment shall be approved by the Contract Administrator. The typical type of equipment required for the ground maintenance operations are commercial riding lawn mowers 60" or larger, blade edger, string line trimmers and blowers. B. Should the Contractor's equipment require service while at any location, the Contractor must notify the Contract Administrator or designee. The Contractor shall not permit any oil, grease, or lubricants to spill onto or to contaminate the soil. The Contractor shall be responsible for any clean up and disposal of contaminated soil in accordance with all Applicable City, State, and Federal Regulations. 4.7 Security and Protection of Property A. Security Requirements: 1. The Contractor shall maintain and abide by the security measures at all locations including locking gates when leaving the sites. 2. The Contractor shall not enter the buildings at any location for any reason without receiving prior approval from the Contract Administrator B. Protection of Property: 1. The Contractor shall take proper measures to protect all property which might be damaged by Contractor's Work hereunder, and in case of any damage resulting from any act or omission on the part of or on behalf of the Contractor, the Contractor shall restore at the Contractor's own expense the damaged property to a condition similar or equal to that existing before such damage was done, or shall make good such damage in an acceptable manner. 2. All damages which are not repaired or compensated by the Contractor will be repaired or compensated by City forces at the Contractor's expense. All expenses charged by the City for repair work or compensation shall be deducted from any monies owed to the Contractor. 4.8 Notifications and Inspections A. Each Monday morning prior to 8:00 a.m., the Contractor shall call or email the assigned Contract Administrator indicating the locations and work being performed that week. No work shall be done without proper, prior notification. B. When a location is completed, the assigned City Inspector shall inspect the site and advise the Contractor of any discrepancies. The Contractor shall take whatever action necessary to correct the discrepancies within one working day. For the purpose of this contract, workdays shall include Monday -Friday, unless one of the days is a City designated holiday. The Contract Administrator shall then make another inspection and if the discrepancies have not been corrected, the Contractor will be notified and a $25 re -inspection fee will be charged for a third inspection. At that time the Contractor shall have one working day to complete the work. If the discrepancies still have not been corrected, the Contractor will be notified to correct the discrepancies and a $25 fee will be charged for each additional inspection necessary until discrepancies have been corrected. The City shall deduct the inspection fee from the payment to be made to the Contractor for that cycle of maintenance. C. The City shall have the right at all times to examine the supplies, materials and equipment used by the Contractor, its subcontractors, agents, and employees. D. Work Crew Supervision: The Contractor shall provide qualified supervision of each crew at all times while working under this Contract. Each supervisor shall be authorized by the Contractor to accept and act upon all directives issued by the City and Contract Administrator. Failure of the supervisor to act on said directives shall be sufficient cause to give notice that the Contractor is in default of the contract, unless such directives would create potential personal injury or safety hazards. E. Contractor shall promptly (same day) notify the Contract Administrator of any broken or damaged irrigation systems and poor or inadequate irrigation patterns, holes, cave-ins, or depressions in turf grass, mulched areas, broken signs, watering schedules defects or hazards that impact quality of turf and/or landscaping. F. The Contractor shall be responsible for the replacement of any plantings that may be damaged due to improper performance of designated maintenance activities. In such case, the Contract Administrator or designee shall specify when replacement is to be made. If the Contractor fails to replace the plantings according to instruction of the Contract Administrator, the Contractor agrees that the City may replace and reduce the Contractor payment by the amount of cost of replacement planting. Exhibit 1 ID Group 1 ROW/Storm Water Area/Location Acre 2 Country Club Median Country Club @ 4500 1-37, South side 0.11 3 Elmore Circle 3744 Elmore @ Brooks 0.03 4 Macleod Circle Macleod @ 400 Bartlett 0.12 5 Old Robstown Median 400 Old Robstown from Bartlett to Kenwood 0.16 6 Yerby Circle 400 Yerby St. 0.01 7 Morgan/Baldwin Triangle Morgan @ Baldwin @ Osage 0.19 8 RTA Greenwood Triangle West intersection of Greenwood and Port St. 0.03 9 Highland Triangle Corner of Highland & Buford on SE side of street. 0.04 10 Cortez Triangle Corners of Cortez, Tampico, and Galvan St. 0.05 11 Airport Triangle SE corner of Post, Eastern & Old Brownsville Rd. 0.04 13 Agnes & Laredo East/West side between Agnes/Laredo to R/R tracts and middle of expressway 0.66 14 Del Mar Triangles Corner of Airport, Old Brownsville & Morgan St. 0.94 15 19th and Morgan Islands on 19th St. 0.03 16 Baldwin R.O.W. 2000 Blk Baldwin SW side Riggins to pass Cloyde to Winstead Build 0.12 17 Leopard St. Medians Rand Morgan Rd. to Rehfield Rd. 9.28 18 Western Dr. Medians Leopard and Western Dr. 0.08 19 McKinzie-Rockwood Horseshoe-Warrior-Rockwood 1.42 20 Peach Tree Median Leopard and Peach Tree 0.03 21 IH37 Hampshire St. to McBride - Access Rd. 0.81 22 1H 37 Navigation to Port St. - Access Rd. both sides 6.21 23 Old Brownsville Rd. Airport to Navigation w/side, Navigation to NPID 2 sides. 5.11 24 Airport Rd. Santa Elena to Baldwin, Baldwin w/side, Beacon e/side. 0.37 25 Leopard Row Warpath - Rolling Acres North Side 0.63 Total Acres 26.47 Country Club Median # 2 - .11 AC ason. "ri IH UP RIVER TO IH 37 City of Corpus Christi 123 ft The City uf Coque uses the most .rrenl and complete data However, GIS dale end product accuracy may vary. GIS Oa., and proclul-s may be developed from sources skill -Wring accuracy. accurate only at certain scales. based on modeilng or Interpretellon, whilst Itein, Ejti21K1 FHVi,HFI. tilc The Cily Conss,sisli tesorres Ide tirdld conecl, dptGlo. ot redid., GIS Guilt cis wilhoul nolilicalion The Oily of Curpus Oddsli corms, assure lito mistress oomplolenass, relistdds suilatAily infsanalion 'or any parlicolor purpose. Usk u :Iola fur putpu,ss ollsst Ihnn !dose fur ed., Hwy more Goal, oGy yield Star:aural, ttr n Gloat I, TIG red,' tell may absorl any pussielary HOG M infonsoliun nor represerl lo anyooe as olher Cily Gosernmenl-produced TdeCily of Corpus Christi shall nut les liable NA any aclisily involving this iliormaliun with respecl ro urn., luta a:1,1%s. any older umseguential damages Powered by VANTAGEPOINT Elmore Circle # 3 - .03 AC City of Corpus Christi 88 ft The City of Cogus Christi sses the most .rreni and complete data avellahle. However, GIS data and product accuracy may vary. GIS cla..a and prod., may ine developed from sources akin -faring accuracy. accurate only at certain scales. based on modeilng or interpretallon, while IGin, Ejti21K1 FHVi,HFI. TIG Gay Conan,aisli reserve., Ihe lo anneal, snGlo. ot re,inno. GIS Guilt cis wilhoul notification The Oily of Curpua Chdali coma, assure lito acintracy, ountploienosa, euilatAily iolsonalion 'or any parlicolor purpose. Usk u :Iola for punsGes olitor Marl Ursa fur litoy more Goal, rady yield inaccurate. ttr n Glom I, ,,,1111, Tito red,' ton may assorl any anssielary HOG M infonaeliun nor represeni lo aoyooe oliter Cily Gouernmeni-produced neCily of Corpus Cll. shall null. liable NA any eclivily involving III,Irormaliun with respecl ro los( urn., lual a:sinus. any oilier umsenuentiel damages Powered by VANTAGEPOINT Macleod Circle # 4 - .12 AC City of Corpus Christi 91 ft The City of Cogus Christi sses the most ottani and complete data avellahle. However, GIS data and product accuracy may vary. GIS cla..a and prod., may ine developed from sources akin -faring accuracy. accurate only at certain scales. based on modeilng or interpretallon, while IGin, Ejti21K1 FHVi,HFI. TIG Gay Conan,aisli reserve., Ihe lo anneal, snGlo. ot re,inno. GIS Guilt cis wilhoul notification The Oily of Curpua Chdali coma, assure lito acintracy, ountploienosa, euilatAily iolsonalion 'or any parlicolor purpose. Usk u :Iola for punsGes olitor Marl Ursa fur litoy more Goal, rady yield inaccurate. ttr n Glom I, ,,,1111, Tito red,' ton may assorl any anssielary HOG M infonaeliun nor represeni lo aoyooe oliter Cily Gouernmeni-produced neCily of Corpus Cll. shall null. liable NA any eclivily involving III,Irormaliun with respecl ro los( urn., lual a:sinus. any oilier umsenuentiel damages Powered by VANTAGEPOINT Old Robstown Median # 5 - .16 AC E. AAI City of Corpus Christi 260 ft The Cly of Coryus Christi uses the most.tram and complete data available. However, GIS data and product accuracy may vary. GIS data and amduSs may be developed from sources ofdiffering accuracy. accurate only at certain scales, based on modeling or lnlerprefallon, Inwmplele while IGin, Ejti21K1 FHVi,HFI.euTC'yof Conan,aisli reset Ihe tiulti In,oe e. ot re,inno. GIS Guilt ,. wilhoul notification TheOiy of Curpua Chdali cannulassure the a¢r n uabTyielsonalion 'or ynularpurpose. Usk ae tea u Men Ursa u mere cleated wi,ue r ea u . T e a�esse y y g r s urea anorf er Ito y as oiler Sten C yGouernmer V aced' o a i TeCily of Corpus Cll. shall nul he liable NA any eclivily involving III,Irormaliun with respecl W urn lust aduinas. any oilieru 4damages Powered by VANTAGEPOINTS Yerby Circle # 6 - .01 AC iIl City of Corpus Christi 127 ft The City of Cogus Christi sses the most .rreni and complete data avellahle. However, GIS data and product accuracy may vary. GIS data and proclul-s may ine developed from sources akin -faring accuracy. accurate only at certain scales. based on modetIng or interpretallon, while IGin, Ejti21K1 FHVi,HFI. TIG Gay Conan,aisli reserve., Ihe conecl, JptGle. ot re,inno. GIS Guilt cis wilhoul notification The Oily of Curpua Chdali cennul assure the atintracy, oumplelenesa, ettiletAily iolsonalion 'or any parlicular purpose. Usk t, :Iele for punsGes oliter Marl Ursa fur litny mere Goal, rady yield inennurale ttr n Glear ,,,1111, rod,' ton may esserl any anssielary HOG M infonaeliun nor represert lo floyorte as Oiler than Cily Gouernmeni-produced neCily of Corpus Cll. shall null.. liable NA any eclivily involving III,Irormaliun with respecl ro los( urn., 1:G4a:sinus. any oilier umsenuentiel damages Powered by VANTAGEPOINTS Morgan / Baldwin Triangle # 7 - .19 AC 11! ' r Length: 394.94 Ft Perieneten 398.41 ft Area: 0(o'. 0.19 AL1 q City of Corpus Christi AgiukkAll& 177 ft The City of Cogus Christi sses the most .rreni and complete data avellahle. However, GIS data and product accuracy may vary. GIS data and proclul-s may ine developed from sources akin -faring accuracy. accurate only at certain scales. based on modellng or interpretallon, while IGin, Ejti21K1 FHVi,HFI. TIG Cily Conan,aisli reserves Ihe conecl, JptGle. ot rtsinno. GIS Guilt cis wilhoul notification The Oily of Corpus Olds!! cannul assure Ilia atintracy, ountelelenesa, ettilatAily iolotrtGlion 'or any earlicular purpose. Usk t, :late for purecws oliter than Ursa fur whil, litny mere Gael, rady yield inaccurate ttr n Glear ,,,1111, Tile rode en! may essarl any et,ialary HOG informaliun nor reerasert lo floyorte as oliter than Cily Gouarnmeni-pruduced triGt Cily of Corpus Cll. shall null.. liable NA any eclivily involving III,Irormaliun with respecl ro las( prufite, lualsevinus. any oilier ounsenuentiel damages Powered by VANTAGEPOINT RTA Greenwood Triangle # 8 - .03 AC lIl City of Corpus Christi 63 ft The City of Cogus Christi sses the most .rreni and complete data avellahle. However, GIS data and product accuracy may vary. GIS cla..a and prod., may ine developed from sources akin -faring accuracy. accurate only at certain scales. based on modeilng or interpretallon, while IGin, Ejti21K1 FHVi,HFI. TIG Gay Conan,aisli reserve., Ihe lo anneal, snGlo. ot re,inno. GIS Guilt cis wilhoul notification The Oily of Curpua Chdali coma, assure lito acintracy, ountploienosa, euilatAily iolsonalion 'or any parlicolor purpose. Usk u :Iola for punsGes olitor Marl !hose fur litoy more Goal, rady yield inaccurate. ttr n Gloat I, ,,,1111, Tito red,' ton may assorl any anssielary HOG M infonaeliun nor represeni lo aoyooe oliter Cily Gouernmeni-produced neCily of Corpus Cll. shall null. liable NA any eclivily involving III,Irormaliun with respecl ro los( urn., lual a:sinus. any oilier umsenuentiel damages Powered by VANTAGEPOINT Highland Triangle # 9 - .04 AC CIIIPFPuYA rY, ;*** ;+.7' 183.89 Ft PerimetelL184.691i Nei Area: :70.07L.414 • t E. City of Corpus Christi 181 ft The City of Cogus Christi sses the most arrant and complete O. aveilahle. However. GIS dela and product accuracy may very GIS OSand pro.. may be developed from sources ofdllterIng accuracy. accurate only at certain scales. based on modellng or interpretallon, while Irdino Ejti21K1 FHVi,HFI. Cild Corloo,rioli reserves cdrieol, dodale. modify. ol reidode. GIS proill cis wilhoul oolitic:1.d The Oily of Cur.. Chrisli carom, assure die acideracy, ournplelenese, reli.dly. ottilatlitily of lolonnalion 'or any parlicular purpose. Usk o dale for ourp.ds Illosa for whil, Ilidy mere cleat. rody yield duo... or n isloar redo loll may Fik esserl piroxielary righls illforroalion nor represerd lo floyooe as olher 11.1 Gouernmeni-produced T.Cily of Corpus Ch. shall nut any aclivily involving 016 idurnialim respecl lust pro., sovinos. oilier consequential damages Powered by VANTAGEPOINT Cortez Triangle # 10 - .05 AC E. AAI City of Corpus Christi 130 ft The Cly of Cogus Christi uses the most ottani and complete data avellahle. However, GIS data and product accuracy may vary. GIS Oaa and amduSs may Oe developed from sources akin -faring accuracy. accurate only at certain scales. based on modeiing or lnlerprefallon, Inwmplele while IGin, Ejti21K1 FHVi,HFI.euTC'yof Conan,aisli reserve., Ihe lo,oe e. ot re,inno. GIS Guilt ,. wilhoul notification TheOiy of Curpua Chdali coma, assure lito a¢u n uehTryo srrwu r ynuMrpurpose. Usk aa use u a Ursa u more Goal, inaccurate. u Glom u . Tito masse any y y u s urea anorf er Ito y aaoiter lhe�yC yGouernmeu V aced' o a u TeCily of Corpus Cl 6l Nal nulla liable NA any eclivily involving II,Irormaliun with respecl W urn., lual a:sinus. any oiliera y 'al damages VANTAGEEPPOINTS,J Airport Triangle # 11 - .04 AC length: 205.14 Ft meter. 208.10 Ft- ..- .05 11111 E. AAI City of Corpus Christi 186 ft The Cly of Cogus Christi uses the most.tram and complete data available. However, GIS data and product accuracy may vary. GIS Oaa and amduSs may be developed from sources akin -faring accuracy. accurate only at certain scales, based on modeiing or lnlerprefallon, Inwmplele while IGin, Ejti21K1 FHVi,HFI.euTC'yof Conan,aisli reserve., Ihe lo,oe e. ot re,inno. GIS Guilt ,. wilhoul notification TheOiy of Curpua Chdali coma, assure lito a¢u n uebTryo srrwu r ynuMrpurpose. Usk Usu aa usa u a loss u more Goal, inaccurate. e u Gloatu. Tito masse y y g u s urea un norf er Ito y aaoiter lhe�yC yGouernmeu V aced' o a u TeCily of Corpus Cll. shall nulla liable NA any eclivily involving III,Irormaliun with respecl W urn lual a:sinus. any oilieru 4damages Powered by VANTAGEPOINTS Agnes & Laredo # 13 - .66 AC ti+�.rti� C ity of Corpus Chnsri 9 t 71a Ory dMayen del* r... .a root wenn and 00000101. drl•...100lo. Ho+..e. CM 0am aro ie.'a,4.mr.C7 ear wary Gag d.7.7 god p alm% nay be drnlop.0 Moa ;moon W Pdrrq aaracl, xanM coot M colon maim Wood an ncd.bq a MMee.MMpe, imompl o. wlW boom mind or wood .t Tho LM d Com. 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"Wm ¶ ..w...0now .m.in W. e •••••••••• ....w.+.. .wr...w w a m....w r..+n w...w t.* Car a+s.bow u,.mil. .n.wort. Map. IN .AW......n..wag ..••..�.w•....n.. VARTAGEP{ZINT 19th and Morgan # 15 - .03 AC +we" I IIP0:101.1111.11111.11M \'11110.1 le 4. 11111 E. City of Corpus Christi 95 ft Ithe City uf Cogus Christi sses the most amreni and complete Pala asellahle However GIS data and product accuracy may vary GIS O. and proclu.s may be developed nom sources of dIfferIng accuracy accurate only at certain scales. based on modatIng or intercretallon, !nun,. whits! Im•ing t:Fti21K1 F.Vit.IFI. etc rdy wOurpo,n mmerve., tight In INGI, *dale dify rei rcs prtsh GP. willmul uplifts:Mot The Oily of Curpus ChMsli cants, axstura the mmttracy uurnpleleness, relishilily attilatuIlly of MG infunnalion 'or any parlicular purpose g CPIS lala for putponan Ghat Marl for which lhay mere Ga., tudy Geld i mrsturala n Islam tehulin This ramp Kill may FIP Mat a,nerl punxialary rigida M mfortnaliun nor repmmert loanyotta as ulher than Oily Gouternmenhproduced ill,FF.1.1 trim Cily of Corpus Christi bhall nut liahle .y inaulving has !Worm:Ilion with reshaul to lubi ssuir, Ill arty °Me sunsenuenlial deriG,Is Powered b VANTAGEPOI NTS: Baldwin ROW # 16 - .12 AC 1t921.28 Ft enm .925.26 Ft City of Corpus Christi 128 ft City of Cogus Christi sses the most amrent and complete dale asellahle. However, GIS data end product accuracy may vary. GIS OS and prociuMs may be developed from sources skill -Wring accuracy. accurate only at certain scales. based on modeilng or interpretallon, while 11-4, Ejti21K1 FHVi,HFI. Cily Curls], reserves Me ifuld onseol, motel, modify. oi reidmm. GIS posil sis nolilioaliror The City of Curpus Chdsli carom, assure the misses, ournpleleness, relislAily. suilatlitily of II, infonnatimn 'or any parlicular purpose. Usk a AIS dale fur puommes mlism Merl limes fur whil, Hwy mere [seated rody yield Mar:ousel, or n The resip led may esserl any immxielary M infmosaliun nor represesi it to anyooe as other M. City GuserornerMprudused neCily of Corpus Chrisli shall nut les liable .y involving this itiormation with respec, to lust profits, ssmin,s. say oilier amnseguentiel damages Powered by VANTAGEPOINT Leopard Medains # 17 - 9.28 AC ter Le ngth: 41,734.90 Ft ... Perimeter: 41,752.80 Ft 9.24 Ac -"-* • .• ms • • . L'Etallixt4 ," twig esn 11111 City of Corpus Christi 2,867 ft tille City of Coqus Christi sses the most .rreni and complete Cala avallahle. Ho•ever, GIS data and product accuracy may va, GIS cla• and yroclul-s may ine developed from sources of dIfferIng accuracy. accurate only at certain scales. based on rnodeilng or interpretallon, while IGin, Ejti21K1 FHVi,HFI. TIG Cily Corptc,ciyii reserves Ihe tiulti conecl, yptGle. ot reyincs. GIS Guilt cis wilhoul notification The Oily of Corpuy cannul assure the atintracy, ountplelenes, ettilatAily iolconalion 'or any parlicular purpose. Usk t, :late for purnuyes oliter Marl !hose for whil, litny mere Goal, oGy yield inaccurate ttr n Glear icy ,,,1111, rod,' toll may esserl any pitssielary HOG M infoncaliun nor reptesert lo floyorte as cater than Cily Gouernmeni-produced neCily of Corpus Cll. shall null.. liable NA any aclivily involving III,Irormaliun with respeul to Ina( urn., luta b.:sinus. any oilier umsenuentiel damages Powered by VANTAGEPOINT Western Dr. Medains # 18 - .03 AC City of Corpus Christi 181 ft The City of Cogus Christi sses the most amrenl and complete data avellahlm However, GIS data and product accuracy may vary. GIS data and prociuMs may ine developed from sources akin -faring accuracy. accurate only at certain scales. based on modetIng or interpretallon, while IGin, Ejti21K1 FHVi,HFI. TIG Gay ot Conan, nnrisli reserve., Me tiulti In anneal, JptGle. muddy. re,imm. GIS prma cis willmul notification The Oily of Curpua Chdali cennul assure the mamtracs oumplelenesa, ettiletAily of MG iolsonalion 'or any parlicular purpose. Usk t, :Iele for punames oliter Marl Mose fur litny mere Goal, omy yield inermurale ttr n Glear ,,,1111, rod,' ton may esserl any pimxielary HOG M infonaeliun nor represert lo floyorte as Oiler Man Cily Gouernmeni-pruduced ill,FF.1.1 trim Cily of Corpus Cll. shall null.. liable Nm any eclivily involving II,Irormaliun with respecl ro los( urn., lual a:sinus. any oilier amnsenuentiel damages Powered by VANTAGEPOINT McKinzie-Rockwood # 19 - 1.42 AC E. City of Corpus Christi 505 ft Irtore City of Coque Christi Jses Me most amrenl and complete data However. GIS dela end product accuracy may very. GIS de, and droduMs may be developed from sources of dfferIng accuracy. accurate only at certain scales. based on modellng or Interpretallon, Income. while Ilding Ejti21K1 FHVi,HFI. TIH Cily Cordoc Feserves lighl mom,. molate. modify. ol re,Imm. GIS ermli rds unlilicalinc The Oily of Corpus Chlisli comic, assure the mmuracy. comeleleness, relialMlily. acilatAlly of Mia 'or any earlicular purpose. Usk a AIS dale for mceoces Mon Come for whil, Hwy were cleated moy yield icaummele or n islaw The rode en! may ecserl any eimxielary rialds M thic inform/Ilion nor reereserl lo anyone as olher Man Cily GouerornerMeroduced ill,FF.1.1 The Cily Corpus ChriA shall null.. Nm any aclivily involving III,Miurnialim with respecl ro lust profile, loci sovings. any oilier consequential damages Powered by VANTAGEPOINT Peach Tree Medain # 20 - .03 AC City of Corpus Christi 123 ft The City of Cogus Christi sses the most amrenl and complete data avellahlm However, GIS data and product accuracy may vary. GIS cla..a and prociuMs may ine developed from sources akin -faring accuracy. accurate only at certain scales. based on modeilng or interpretallon, while IGin, Ejti21K1 FHVi,HFI. TIG Gay or Conan, nnrisli reserve., Me tiulti In anneal, snGlo. muddy. re,imm. GIS prma cis willmul notification The Oily of Curpua Chdali coma, assure lito mamtracs oumploienosa, euilatAily of MG iolsonalion 'or any parlicolor purpose. Usk u :Iola for punames olitor Marl Mose fur litoy more Goal, omy yield inermurato ttr n Gloat I, ,,,1111, Tito red,' ton may assorl any pimxielary HOG M infonaeliun nor represeni lo floymoe oliter Mon Cily Gouernmeni-pruduced neCily of Corpus Cll. shall nut Lni liable Nm any eclivily involving II,Irormaliun with respecl ro los( urn., lual a:sinus. any oilier umsenuentiel damages Powered by VANTAGEPOINT IH 37 # 21 — .81 AC 37- jkr-.3,5B. f.A.Nr4Nnrir175;:i'ffiL7 - ii -P70111 •-> "ef.01,1. for r o „o - "*.• z- o?..to-o iNICE,K,IDE rrl .J .,o x AFT'1-.-1W rr r - SKYLARK •,2 •=-•;- ;•,:•a*, NAMPS1-11 1:7. 1 f•X '7 "'HALL -4 City of Corpus Christi 517 ft 'Me City of Cogus Christi sses the most .rreni and complete data avallahls However, GIS dale and product accuracy may vary. GIS Oa', and proclul-s may ine developer from sources of dIfferIng accuracy. accurate only at certain scales. based on modeilng or interpretatIon, add,' Ejti21K1 FHVi,HFI. TIG Cily Curpor,aisli reserves Ide rirdlii In consul, dpIGIs. rediGe. GIS Gull' cis wilhoul GANG:dud The Oily of Gus.. Oddsli ',Ham, assure Ills miltrecy, ournplelensse, infuernelion .ur parlicular purpose Usk dale fur nurpc,as Marl Illuse for whil, Hwy msre Gealsd rEdy yield ideuGdals or n Gluar Tire rod,' uni may esserl any pirssielary righls M inforrneliun nor repress', lo anyooe as olher Gouernmeni-pruduced TleCily of Corpus Cll. shall nut liable .y involving 016 iliormalim respecl ro Ins( urn., luGsduid,s. any older umseguential damages Powered by VANTAGEPOINT IH 37 # 22 - 6.21 AC AC ESS r trzln-4 z E '24 1514:4 E. City of Corpus Christi - ir-r1=4? azo E urtai ,egsza;) laikt 4 r: • 00- - WW1'g ,, -1,3301 2,959 ft neatyl,C,MlostrnpWOMCdrnarymayv,.0,M,M,,rnwed.rnfeWonmahMWO,,Inte U0O,..fm.M.1,wwernr,yWhMww.rn,pmp.d.ptMrrqa*,,M.104M,Wma, Powered by VANTAGEPOINT Old Brownsville Rd. # 23 - 5.11 AC 9 - •1,NEPJUNE., SANTAIELE -1 - 9. 1,14'.11 Ong" P %EPEC • esn City of Corpus Christi 2,536 ft Tile City of Coque Christi sses the most .rreni and complete data avallaPle However GIS data and product accuracy may vary GIS data and prostul-s may Pe developed Pon+ sources of Ulf -tering accuracy accurate only at certain scales. based on modetIng or Intercretallon, while PA, Ejti21K1 F.Vi,HFI. etc Tlid rdy wOurpo,n tri,11 watery,' Illelir,111. CA, INGI, tru dify ul re; 1,s is clls prudi GP. The Oily of Curputt serum, exudes] Ilia miss -any uumpleteness, relisItilily suilatuilly lulcunalion lor uny parlicular purpose g (PIA lala for putpoms, ttIllet them for which Illey mere oval, tudy yield i taucurale n !slum ing Fusel,. The recut Kill may FIP avterl Piny pi,xielary rigida ulforrualiun nor repteaert it to aoyotte sec....sr than Oily Gosernment-produced ne City of Corpus Christi bhall uut liaPle .y this ridormation with respecl to tub( prd, bsuirs, Ill any Otte sunseguenlial derirs,es Powered by VANTAGEPOINT Airport Rd. # 24 - .37 AC E. AAI City of Corpus Christi 221 ft The Cly of Cogus Christi uses the most arrenl and complete data available. However, GIS data and product accuracy may vary. GIS claa and amduSs may be developed from sources akin -faring accuracy. accurate only at certain scales, based on modeiing or lnlerprefallon, Inwmplele while IGin, Ejti21K1 FHVi,HFI.euTC'y of Conan, nnrislinese t Me tiulti In,oe e. muddy. re,imm. GIS Vu4cis willmul notification TheOiy of Curpua Chdali comic, assure lito mamtracs oumploienosa,uilatAily of MG iolsonalion 'or ynuMrpurpose. Usk Usu aa use u a lose u more Goal, w.uu e u Gloatu. Tito a�mse y y g u s urea un norf er Ito y aaoher Mon C yGouernmeu V aced' o a u TeCily of Corpus Cll. shall nut Leliable Nm any eclivily involving II,Irormaliun with respecl W urn lual a:sinus. any oilieru 4damages Powered by VANTAGEPOINTS Leopard ROW # 25 - .63 AC City of Corpus Christi 353 ft The City of Cogus Christi sses the most ottani and complete data avellahle. However, GIS data and product accuracy may vary. GIS Oa., and proclul-s may ine developed from sources akin -faring accuracy. accurate only at certain scales. based on modeilng or interpretallon, while IGin, Ejti21K1 FHVi,HFI. TIG Gay Conan,aisli reserve., Ihe lo anneal, snGlo. ot re,inno. GIS Guilt cis wilhoul notification The Oily of Curpua Chdali coma, assure lito acintracy, ountploienosa, euilatAily iolsonalion 'or any parlicolor purpose. Usk u :Iola for punsGes olitor Marl Ursa fur litoy more Goal, rady yield inaccurate. ttr n Glom I, ,,,1111, Tito red,' ton may assorl any anssielary HOG M infonaeliun nor represeni lo aoyooe oliter Cily Gouernmeni-produced neCily of Corpus Cll. shall null. liable NA any eclivily involving III,Irormaliun with respecl ro los( urn., lual a:sinus. any oilier umsenuentiel damages Powered by VANTAGEPOINT GROUP 11 4.1 General Requirements Provide complete grounds maintenance including all reasonable and necessary labor, supervision, equipment and supplies to keep contracted areas properly maintained. 4.2 Scope of work Provide complete grounds maintenance including litter and debris removal, mowing, trimming, applying fertilizer and landscaping maintenance of City owned property as shown on Exhibit 1. Prep Work a. The Contractor and all related employees shall attend an orientation prior to the term of the contract and each extension at the following location: Parks and Recreation Maintenance 5352 Ayers St. Bldg. 4 Corpus Christi, Texas 78415 b. Prior to each operation, the Contractor shall remove all litter and debris, including paper, cans, bottles, bags, grass clippings, accumulated leaves, palm fronds, and other tree litter including tree limbs from the identified locations. Including, but not limited to, fence lines, sidewalks, trees, shrubs, groundcover beds, all curbs and gutters, and other hard surfaces within the identified location. Pick-up shall consist of removal of visible litter larger than three inches square. Special attention shall be given to insure the removal of objects, which may cause injury, if thrown from equipment. c. After operations, the Contractor shall remove any visible trash and debris that were cut up during the process. The Contractor shall not dispose of any trash or debris into dumpsters located on City property. The trash and debris must be removed from City property and disposed of in accordance with all City ordinances. All trash and litter shall be disposed of properly at the Contractor's expense and proof of such proper disposal through third party invoices or landfill receipts shall be turned in to the Contract Administrator on a monthly basis. d. Contractor is required to cover/tarp debris while transporting for disposal and while moving from site to site. e. Should the Contractor dispose of the litter and debris at an illegal dumpsite, it is grounds for termination of this agreement. Mowing and Trimming a. Turf shall be mowed to a height of three inches using reel or rotary type mowers. Rough cutting, scraping and bush hogging will not be permitted. Turf shall be mowed to maintain a neat appearance. If any mowing is to be omitted or delayed, it shall be omitted or delayed only at the discretion of the Contract Administrator or authorized designee. Mowing cycles must be completed according to the cycle description indicated below. b. Cycles Description Groups 9-15 • Growing Season (March - October) Bi -weekly - 18 cycles • Non -growing Season (November - February) Monthly - 4 cycles c. Mower height to be measured with mower on a flat, paved surface. A high quality of cut shall be provided using mowers with sharp cutting blades so as not to tear, but cleanly cut the blades of grass. Mowing shall be performed in a manner as not to damage trees, shrubs, plants, signs, or other obstructions. d. String line trimmers shall not be used to mow or trim turf areas wider than 24 inches, except in areas approved by the Contract Administrator. e. Mowing and trimming operations shall be performed in such a manner as to prevent the piling of excessive and unsightly grass clippings and leaves on lawns. The Contractor shall remove excessive clippings immediately following each mowing cycle prior to the work crew leaving the work site. f. All resulting clippings and leaves shall be removed from any roadway, walkway, parking area, or any other hard surface including curbs and gutters and from plant beds, tree collars, etc. g. Contractor shall perform all trimming for each cycle using herbicides, hand labor, or mechanical devices. Trimming shall include around all trees, shrubs, beds, fences, groundcovers, utilities, poles, buildings, obstacles, curbing, sidewalks, parking lot, concrete pads, including cracks and expansion joints, edges of all exterior hard surfaces. Any vegetation not cut by the mowing operation located adjacent to, above, or hanging over the curb must be trimmed each mowing cycle. At time of each mowing, trimming shall be done in a manner as not to damage trees, shrubs, fences, etc. At no time shall wild vegetation be allowed to grow out of these areas. h. At the time of each mowing, the Contractor shall remove "sucker" growth at the base of trees before it reaches one foot in height and all materials and debris shall be removed from site after each such pruning. Edging a. Cut all edges with a mechanical edging device (not a line trimmer). This includes all curbs and sidewalks. b. The Contractor shall promptly remove all debris, including soil and trimmings from the areas, sidewalks, and roadways after each edging operation prior to the work crew leaving the work site. Edge only with steel disc or steel blade edger's. String line trimming shall not be used for edging. Fertilizing The Contractor shall provide an application of a 3-1-2 ratio of slow release fertilizer during the growing season. Apply fertilizer that has been formulated for this area, is appropriate for the type of turf grass being fertilized and use manufacturer's recommendation for rate of application. 4.3 Landscaping Maintenance Contractor shall provide complete landscaping maintenance including herbicide applications to control weeds in perennial beds, and around mulched areas of trees and shrubs; mulch designated areas; prune existing shrubs, groundcovers, and hedges; application of pesticide. Weed Control a. Hard Surfaces: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) from expansion joints, cracks of sidewalks, parking lots, curbing and concrete medians, including road pavement that is within two feet of said areas. b. Beds and Groundcovers - Weed -Free Maintenance: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) in landscaped areas (designated beds, tree collars, and groundcover to include mulch, decomposed granite, decorative rock and plant cover) shall be provided at a minimum of once per month throughout the year. c. Contractor shall mix herbicide and apply according to the manufacturer recommendation and current State licensing requirements. Recommended herbicide is Roundup, Aquaneat, or other products safe for waterways. The successful Contractor(s) will be required to possess a current commercial applicator license for applying herbicide at all designated locations. Contractor shall apply herbicide at a distance of 12 inches along both sides of designated fence lines except fences bordering adjacent private property. In such cases, herbicides shall be applied only to the City side of the fence. Herbicide shall not be applied around any trees and shrubs. The spraying shall be parallel to the fence lines and structures and shall be straight, not irregular; spray pattern must conform to the size and shape of all other obstacles. The Contractor shall be responsible for performing touch-up spraying for any areas missed or any areas where rain has washed off the herbicide before it has taken effect. The Contractor shall be responsible for any damage done to private property caused by over spray. The Contractor shall not use any water connection, hose, or faucet at any location for solution water for herbicide or pesticide. Use of any water connection is a violation of the Texas Natural Resources Conservation Commission rules and regulations, City of Corpus Christi Water Division rules and regulations, and the terms and conditions of this contract. Mulch a. The Contractor shall treat all areas to be mulched with a pre -emergent herbicide application of either Barricade (manufactured by Sandoz Corp.) or Snapshot (manufactured by Dow Chemical), according to the Manufacturer's specifications, prior to applying the mulch. b. The Contractor shall mulch at a depth of four inches. c. Mulch material shall be "Aged Pine Bark" mulch -color black. Mulch used must be previously approved by the Contract Administrator prior to applying. d. The Contractor shall turn, fluff, and rake all existing shrub beds, tree collars, flowerbeds, and groundcover beds each spring in March. e. Mulch requirements do not include playground areas. Pruning existing shrubs, groundcovers, and hedges The Contractor shall maintain plant materials in an attractive and healthy growing condition by performing the following operations and other incidental work thereto: a. Prune shrubs, groundcovers, and hedges by shaping back to the size that existed at the beginning of the current season. Prune in appropriate season so as not to remove ornamental fruit or blooms. Pruning shall occur before growth exceeds six inches. Care shall be taken to ensure natural form and shape of plants is maintained. b. Remove all dead and damaged branches of shrubs and groundcovers and hedges. Remove all Johnson grass or other weeds growing in and out of the bushes. c. Remove all materials and debris from trimming operations daily after each pruning prior to leaving the work site. Application of Pesticides a. The Contractor shall apply all pesticides in accordance with manufacturer's labeling and all applicable federal, state, and local regulations. The City does not require a specific brand of pesticide to be used as long as applications are used for their intended purposes only. b. All pesticides used for control purposes, shall be applied by a Licensed Commercial Pesticide Applicator for: 1) Ornamental Plant and Shrub Control 2) Pest Control No uncertified persons shall apply or otherwise handle any pesticide. The above certifications, registrations, licenses, and permits must be issued by the Texas Department of Agriculture and shall be kept valid throughout the term of this contract. c. Pesticide applications under this contract will require spot treatment for ants, plant and shrub related insects or parasites d. No "Restricted Use Pesticides" as classified by the administrator of the Environmental Protection Agency shall be used in performance of this contract e. Pesticide treatment of trees is not required under this contract. f. The Contractor accepts total responsibility for replacement of ornamental plants, grasses, or trees whether owned by the City or others, which the City judges to have been damaged or killed as a result of pesticide application under this contract. 4.4 Work Site and Conditions A. The work shall be performed at locations throughout the City as defined by group. See Exhibit 1 for locations. B. Contractor shall supply the City with a work schedule to indicate the normal starting and completion times for its operations. The Contractor shall provide landscaping and grounds maintenance only in appropriate months and in accordance with the City's cycle requirements. Changes in such work schedules must be approved by the City. C. Work Hours: The Contractor will confine all operations to daylight hours, Monday through Friday, unless one of the days is a City designated holiday. Saturday and Sunday work will require approval from the Contract Administrator or Superintendent to ensure there is no interference with activities, rentals or special events. D. Non -Work Hours: The Contractor may not store any equipment or tools on any site. After completion of work at any site, the Contractor must remove all equipment, supplies, and materials from that site. E. Ozone Warning Days: 1. No mowing will be done on the designated Ozone Action Days except in the case of a special event, emergency or removing a liability. If mowing is necessary for such a situation, mowing will be kept to a minimum. However, the Contract Administrator or designee will retain the right to determine and notify the contractor of any such special event, emergency or liability 2. All push mowers, string line trimmers, riding mowers and other small engines will not be used at all. 3. Diesel powered mowing equipment will be allowed to operate on the second day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee, and received permission to proceed with work order. 4. Equipment using reformulated gas will be allowed to operate on the third day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee and received permission to proceed with work order. 4.5 Contractor Quality Control and Superintendence The Contractor shall establish and maintain a complete Quality Control Program that is acceptable to the Contract Administrator to assure that the requirements of the Contract are provided as specified. The Contractor will also provide supervision of the work to insure it complies with the contract requirements. 4.6 Safety Requirements A. Public Safety and Convenience: The safety of the public and the convenience of traffic shall be regarded as prime importance. All portions of streets shall be kept open to traffic. The Contractor shall coordinate all Work with the Contract Administrator and shall place warning signs in accordance with the current version of the Texas Manual on Uniform Traffic Control Devices. The Contractor shall provide all signs, sign stands, safety flags, and all other safety materials or devices as well as safety vests to protect the mowers and the traveling public. The Contractor will be responsible for the maintenance or replacement of these items as necessary. If at any time work is in progress, the traffic control devices do not accomplish the intended purpose due to weather or other conditions affecting the safe handling of traffic, the Contractor shall immediately make necessary changes thereto to correct the unsatisfactory conditions. These provisions for directing traffic will not be paid for directly, but shall be subsidiary to the various bid items of this contract. B. Chemicals: All products (chemicals) shall be kept in a properly labeled container and a Safety Data Sheet (SDS) kept on each item, in a clearly marked SDS notebook by the contractor. The Contractor shall also supply a copy of all SDS sheets to the Contract Administrator. 4.7 Equipment A. All Contractors grounds and turf maintenance equipment must be equipped with safety devices which conform to manufacturer's standards and all applicable OSHA regulations to prevent damage to property. All equipment shall be kept in good operating condition and shall be maintained to provide a clean sharp cut of vegetation at all times. All equipment shall be approved by the Contract Administrator. The typical type of equipment required for the ground maintenance operations are commercial riding lawn mowers 60" or larger, blade edger, string line trimmers and blowers. B. Should the Contractor's equipment require service while at any location, the Contractor must notify the Contract Administrator or designee. The Contractor shall not permit any oil, grease, or lubricants to spill onto or to contaminate the soil. The Contractor shall be responsible for any clean up and disposal of contaminated soil in accordance with all Applicable City, State, and Federal Regulations. 4.8 Security and Protection of Property A. Security Requirements: 1. The Contractor shall maintain and abide by the security measures at all locations including locking gates when leaving the sites. 2. The Contractor shall not enter the buildings at any location for any reason without receiving prior approval from the Contract Administrator B. Protection of Property: 1. The Contractor shall take proper measures to protect all property which might be damaged by Contractor's Work hereunder, and in case of any damage resulting from any act or omission on the part of or on behalf of the Contractor, the Contractor shall restore at the Contractor's own expense the damaged property to a condition similar or equal to that existing before such damage was done, or he shall make good such damage in an acceptable manner. 2. All damages which are not repaired or compensated by the Contractor will be repaired or compensated by City forces at the Contractor's expense. All expenses charged by the City for repair work or compensation shall be deducted from any monies owed to the Contractor. 4.9 Notifications and Inspections A. Each Monday morning prior to 8:00 a.m., the Contractor shall call or email the assigned Contract Administrator indicating the locations and work being performed that week. No work shall be done without proper, prior notification. B. When a location is completed, the assigned City Inspector shall inspect the site and advise the Contractor of any discrepancies. The Contractor shall take whatever action necessary to correct the discrepancies within one working day. For the purpose of this contract, workdays shall include Monday-Friday, unless one of the days is a City designated holiday. The Contract Administrator shall then make another inspection and if the discrepancies have not been corrected, the Contractor will be notified and a $25 re-inspection fee will be charged for a third inspection. At that time the Contractor shall have one working day to complete the work. If the discrepancies still have not been corrected, the Contractor will be notified to correct the discrepancies and a $25 fee will be charged for each additional inspection necessary until discrepancies have been corrected. The City shall deduct the inspection fee from the payment to be made to the Contractor for that cycle of maintenance. C. The City shall have the right at all times to examine the supplies, materials and equipment used by the Contractor, its subcontractors, agents, and employees. D. Work Crew Supervision: The Contractor shall provide qualified supervision of each crew at all times while working under this Contract. Each supervisor shall be authorized by the Contractor to accept and act upon all directives issued by the City and Contract Administrator. Failure of the supervisor to act on said directives shall be sufficient cause to give notice that the Contractor is in default of the contract, unless such directives would create potential personal injury or safety hazards. E. Contractor shall promptly (same day) notify the Contract Administrator of any broken or damaged irrigation systems and poor or inadequate irrigation patterns, holes, cave-ins, or depressions in turf grass, mulched areas, broken signs, watering schedules defects or hazards that impact quality of turf and/or landscaping. F. The Contractor shall be responsible for the replacement of any plantings that may be damaged due to improper performance of designated maintenance activities. In such case, the Contract Administrator or designee shall specify when replacement is to be made. If the Contractor fails to replace the plantings according to instruction of the Contract Administrator, the Contractor agrees that the City may replace and reduce the Contractor payment by the amount of cost of replacement planting. Exhibit 1 ID Group 11 City Parks Area/Location Acre 1 Penn Place 4302 Aaron 1.67 2 Creekway 7306 Prairie 0.87 3 Reflections Linear Park 4924 Oso Parkway 0.81 4 Lipes 5004 Lethaby 6.00 5 St. Denis 6200 St. Denis 5.42 6 Stony Brook 7653 Stony Brook 1.96 Total Acres 16.73 #3 Reflections Linear Park w/ #S St. Denis Park rr rr erjt ri' 77 23 0?.21Cy[ al: 1156 fl fl GROUP 12 4.1 General Requirements Provide complete grounds maintenance including all reasonable and necessary labor, supervision, equipment and supplies to keep contracted areas properly maintained. 4.2 Scope of work Provide complete grounds maintenance including litter and debris removal, mowing, trimming, applying fertilizer and landscaping maintenance of City owned property as shown on Exhibit 1. Prep Work a. The Contractor and all related employees shall attend an orientation prior to the term of the contract and each extension. Parks and Recreation Maintenance 5352 Ayers St. Bldg. 4 Corpus Christi, Texas 78415 b. Prior to each operation, the Contractor shall remove all litter and debris, including paper, cans, bottles, bags, grass clippings, accumulated leaves, palm fronds, and other tree litter including tree limbs from the identified locations. Including, but not limited to, fence lines, sidewalks, trees, shrubs, groundcover beds, all curbs and gutters, and other hard surfaces within the identified location. Pick-up shall consist of removal of visible litter larger than three inches square. Special attention shall be given to insure the removal of objects, which may cause injury, if thrown from equipment. c. After operations, the Contractor shall remove any visible trash and debris that were cut up during the process. The Contractor shall not dispose of any trash or debris into dumpsters located on City property. The trash and debris must be removed from City property and disposed of in accordance with all City ordinances. All trash and litter shall be disposed of properly at the Contractor's expense and proof of such proper disposal through third party invoices or landfill receipts shall be turned in to the Contract Administrator on a monthly basis. d. Contractor is required to cover/tarp debris while transporting for disposal and while moving from site to site. e. Should the Contractor dispose of the litter and debris at an illegal dumpsite, it is grounds for termination of this agreement. Mowing and Trimming a. Turf shall be mowed to a height of three inches using reel or rotary type mowers. Rough cutting, scraping and bush hogging will not be permitted. Turf shall be mowed to maintain a neat appearance. If any mowing is to be omitted or delayed, it shall be omitted or delayed only at the discretion of the Contract Administrator or authorized designee. Mowing cycles must be completed according to the cycle description indicated below. b. Cycles Description Groups 9-15 • Growing Season (March - October) Bi -weekly - 18 cycles • Non -growing Season (November- February) Monthly - 4 cycles c. Mower height to be measured with mower on a flat, paved surface. A high quality of cut shall be provided using mowers with sharp cutting blades so as not to tear, but cleanly cut the blades of grass. Mowing shall be performed in a manner as not to damage trees, shrubs, plants, signs, or other obstructions. d. String line trimmers shall not be used to mow or trim turf areas wider than 24 inches, except in areas approved by the Contract Administrator. e. Mowing and trimming operations shall be performed in such a manner as to prevent the piling of excessive and unsightly grass clippings and leaves on lawns. The Contractor shall remove excessive clippings immediately following each mowing cycle prior to the work crew leaving the work site. f. All resulting clippings and leaves shall be removed from any roadway, walkway, parking area, or any other hard surface including curbs and gutters and from plant beds, tree collars, etc. g. Contractor shall perform all trimming for each cycle using herbicides, hand labor, or mechanical devices. Trimming shall include around all trees, shrubs, beds, fences, groundcovers, utilities, poles, buildings, obstacles, curbing, sidewalks, parking lot, concrete pads, including cracks and expansion joints, edges of all exterior hard surfaces. Any vegetation not cut by the mowing operation located adjacent to, above, or hanging over the curb must be trimmed each mowing cycle. At time of each mowing, trimming shall be done in a manner as not to damage trees, shrubs, fences, etc. At no time shall wild vegetation be allowed to grow out of these areas. h. At the time of each mowing, the Contractor shall remove "suckers" growth at the base of trees before it reaches one foot in height and all materials and debris shall be removed from site after each such pruning. Edging a. Cut all edges with a mechanical edging device (not a line trimmer). This includes all curbs and sidewalks. b. The Contractor shall promptly remove all debris, including soil and trimmings from the areas, sidewalks, and roadways after each edging operation prior to the work crew leaving the work site. Edge only with steel disc or steel blade edger's. String line trimming shall not be used for edging. Fertilizing The Contractor shall provide an application of a 3-1-2 ratio of slow release fertilizer during the growing season. Apply fertilizer that has been formulated for this area, is appropriate for the type of turf grass being fertilized and use manufacturer's recommendation for rate of application. 4.3 Landscaping Maintenance (If applicable see Exhibit 1) Contractor shall provide complete landscaping maintenance including herbicide applications to control weeds in perennial beds, and around mulched areas of trees and shrubs; mulch designated areas; apply fertilizer; prune existing shrubs, groundcovers, and hedges; application of pesticide. Weed Control a. Hard Surfaces: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) from expansion joints, cracks of sidewalks, parking lots, curbing and concrete medians, including road pavement that is within two feet of said areas. b. Beds and Groundcovers - Weed -Free Maintenance: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) in landscaped areas (designated beds, tree collars, and groundcover to include mulch, decomposed granite, decorative rock and plant cover) shall be provided at a minimum of once per month throughout the year. c. Contractor shall mix herbicide and apply according to the manufacturer recommendation and current State licensing requirements. Recommended herbicide is Roundup, Aquaneat, or other products safe for waterways. The successful Contractor(s) will be required to possess a current commercial applicator license for applying herbicide at all designated locations. Contractor shall apply herbicide at a distance of 12 inches along both sides of designated fence lines except fences bordering adjacent private property. In such cases, herbicides shall be applied only to the City side of the fence. Herbicide shall not be applied around any trees and shrubs. The spraying shall be parallel to the fence lines and structures and shall be straight, not irregular; spray pattern must conform to the size and shape of all other obstacles. The Contractor shall be responsible for performing touch-up spraying for any areas missed or any areas where rain has washed off the herbicide before it has taken effect. The Contractor shall be responsible for any damage done to private property caused by over spray. The Contractor shall not use any water connection, hose, or faucet at any location for solution water for herbicide or pesticide. Use of any water connection is a violation of the Texas Natural Resources Conservation Commission rules and regulations, City of Corpus Christi Water Division rules and regulations, and the terms and conditions of this contract. Mulch a. The Contractor shall treat all areas to be mulched with a pre -emergent herbicide application of either Barricade (manufactured by Sandoz Corp.) or Snapshot (manufactured by Dow Chemical), according to the Manufacturer's specifications, prior to applying the mulch. b. The Contractor shall mulch at a depth of four inches. c. Mulch material shall be "Aged Pine Bark" mulch -color black. Mulch used must be previously approved by the Contract Administrator prior to applying. d. The Contractor shall turn, fluff, and rake all existing shrub beds, tree collars, flowerbeds, and groundcover beds in March, June, and October at site numbers 1, 3 and 5. See Exhibit 1. e. Mulch requirements do not include playground areas. Pruning existing shrubs, groundcovers, and hedges The Contractor shall maintain plant materials in an attractive and healthy growing condition by performing the following operations and other incidental work thereto: a. Prune shrubs, groundcovers, and hedges by shaping back to the size that existed at the beginning of the current season. Prune in appropriate season so as not to remove ornamental fruit or blooms. Pruning shall occur before growth exceeds six inches. Care shall be taken to ensure natural form and shape of plants is maintained. b. Remove all dead and damaged branches of shrubs and groundcovers and hedges. Remove all Johnson grass or other weeds growing in and out of the bushes. c. Remove all materials and debris from trimming operations daily after each pruning prior to leaving the work site. Application of Pesticides a. The Contractor shall apply all pesticides in accordance with manufacturer's labeling and all applicable federal, state, and local regulations. The City does not require a specific brand of pesticide to be used as long as applications are used for their intended purposes only. b. All pesticides used for control purposes, shall be applied by a Licensed Commercial Pesticide Applicator for: 1) Ornamental Plant and Shrub Control 2) Pest Control No uncertified persons shall apply or otherwise handle any pesticide. The above certifications, registrations, licenses, and permits must be issued by the Texas Department of Agriculture and shall be kept valid throughout the term of this contract. c. Pesticide applications under this contract will require spot treatment for ants, plant and shrub related insects or parasites d. No "Restricted Use Pesticides" as classified by the administrator of the Environmental Protection Agency shall be used in performance of this contract e. Pesticide treatment of trees is not required under this contract. f. The Contractor accepts total responsibility for replacement of ornamental plants, grasses, or trees whether owned by the City or others, which the City judges to have been damaged or killed as a result of pesticide application under this contract. 4.4 Work Site and Conditions A. The work shall be performed at locations throughout the City as defined by group. See Exhibit 1 for locations. B. Contractor shall supply the City with a work schedule to indicate the normal starting and completion times for its operations. The Contractor shall provide landscaping and grounds maintenance only in appropriate months and in accordance with the City's cycle requirements. Changes in such work schedules must be approved by the City. C. Work Hours: The Contractor will confine all operations to daylight hours, Monday through Friday, unless one of the days is a City designated holiday. Saturday and Sunday work will require approval from the Contract Administrator or Superintendent to ensure there is no interference with activities, rentals or special events. D. Non -Work Hours: The Contractor may not store any equipment or tools on any site. After completion of work at any site, the Contractor must remove all equipment, supplies, and materials from that site. E. Ozone Warning Days: 1. No mowing will be done on the designated Ozone Action Days except in the case of a special event, emergency or removing a liability. If mowing is necessary for such a situation, mowing will be kept to a minimum. However, the Contract Administrator or designee will retain the right to determine and notify the contractor of any such special event, emergency or liability 2. All push mowers, string line trimmers, riding mowers and other small engines will not be used at all. 3. Diesel powered mowing equipment will be allowed to operate on the second day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee, and received permission to proceed with work order. 4. Equipment using reformulated gas will be allowed to operate on the third day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee and received permission to proceed with work order. 4.5 Contractor Quality Control and Superintendence The Contractor shall establish and maintain a complete Quality Control Program that is acceptable to the Contract Administrator to assure that the requirements of the Contract are provided as specified. The Contractor will also provide supervision of the work to insure it complies with the contract requirements. 4.6 Safety Requirements A. Public Safety and Convenience: The safety of the public and the convenience of traffic shall be regarded as prime importance. All portions of streets shall be kept open to traffic. The Contractor shall coordinate all Work with the Contract Administrator and shall place warning signs in accordance with the current version of the Texas Manual on Uniform Traffic Control Devices. The Contractor shall provide all signs, sign stands, safety flags, and all other safety materials or devices as well as safety vests will be required to protect the mowers and the traveling public and will be furnished by the Contractor. The Contractor will be responsible for the maintenance or replacement of these items as necessary. If at any time work is in progress, the traffic control devices do not accomplish the intended purpose due to weather or other conditions affecting the safe handling of traffic, the Contractor shall immediately make necessary changes thereto to correct the unsatisfactory conditions. These provisions for directing traffic will not be paid for directly, but shall be subsidiary to the various bid items of this contract. B. Chemicals: All products (chemicals) shall be kept in a properly labeled container and a Safety Data Sheet (SDS) kept on each item, in a clearly marked SDS notebook by the contractor. The Contractor shall also supply a copy of all SDS sheets to the Contract Administrator. 4.7 Equipment A. All Contractors grounds equipment must be equipped with safety devices which conform to manufacturer's standards and all applicable OSHA regulations to prevent damage to property. All equipment shall be kept in good operating condition and shall be maintained to provide a clean sharp cut of vegetation at all times. All equipment shall be approved by the Contract Administrator. The typical type of equipment required for the ground maintenance operations are commercial riding lawn mowers 60" or larger, blade edger, string line trimmers and blowers. B. Should the Contractor's equipment require service while at any location, the Contractor must notify the Contract Administrator or designee. The Contractor shall not permit any oil, grease, or lubricants to spill onto or to contaminate the soil. The Contractor shall be responsible for any clean up and disposal of contaminated soil in accordance with all Applicable City, State, and Federal Regulations. 4.8 Security and Protection of Property A. Security Requirements: 1. The Contractor shall maintain and abide by the security measures at all locations including locking gates when leaving the sites. 2. The Contractor shall not enter the buildings at any location for any reason without receiving prior approval from the Contract Administrator B. Protection of Property: 1. The Contractor shall take proper measures to protect all property which might be damaged by Contractor's Work hereunder, and in case of any damage resulting from any act or omission on the part of or on behalf of the Contractor, the Contractor shall restore at the Contractor's own expense the damaged property to a condition similar or equal to that existing before such damage was done, or he shall make good such damage in an acceptable manner. 2. All damages which are not repaired or compensated by the Contractor will be repaired or compensated by City forces at the Contractor's expense. All expenses charged by the City for repair work or compensation shall be deducted from any monies owed to the Contractor. 4.9 Notifications and Inspections A. Each Monday morning prior to 8:00 a.m., the Contractor shall call or email the assigned Contract Administrator indicating the locations and work being performed that week. No work shall be done without proper, prior notification. B. When a location is completed, the assigned City Inspector shall inspect the site and advise the Contractor of any discrepancies. The Contractor shall take whatever action necessary to correct the discrepancies within one working day. For the purpose of this contract, workdays shall include Monday-Friday, unless one of the days is a City designated holiday. The Contract Administrator shall then make another inspection and if the discrepancies have not been corrected, the Contractor will be notified and a $25 re-inspection fee will be charged for a third inspection. At that time the Contractor shall have one working day to complete the work. If the discrepancies still have not been corrected, the Contractor will be notified to correct the discrepancies and a $25 fee will be charged for each additional inspection necessary until discrepancies have been corrected. The City shall deduct the inspection fee from the payment to be made to the Contractor for that cycle of maintenance. C. The City shall have the right at all times to examine the supplies, materials and equipment used by the Contractor, its subcontractors, agents, and employees. D. Work Crew Supervision: The Contractor shall provide qualified supervision of each crew at all times while working under this Contract. Each supervisor shall be authorized by the Contractor to accept and act upon all directives issued by the City and Contract Administrator. Failure of the supervisor to act on said directives shall be sufficient cause to give notice that the Contractor is in default of the contract, unless such directives would create potential personal injury or safety hazards. E. Contractor shall promptly (same day) notify the Contract Administrator of any broken or damaged irrigation systems and poor or inadequate irrigation patterns, holes, cave-ins, or depressions in turf grass, mulched areas, broken signs, watering schedules defects or hazards that impact quality of turf and/or landscaping. F. The Contractor shall be responsible for the replacement of any plantings that may be damaged due to improper performance of designated maintenance activities. In such case, the Contract Administrator or designee shall specify when replacement is to be made. If the Contractor fails to replace the plantings according to instruction of the Contract Administrator, the Contractor agrees that the City may replace and reduce the Contractor payment by the amount of cost of replacement planting. Exhibit 1 ID Group 12 Area/Location Acre Landscaping 1 Las Brisas Park 3945 Freds Folly 0.40 Yes 2 Sgt. J. D. Bock 7327 Canadian 3.93 No 3 Graceland 7201 Elvis Dr. 0.68 No 4 Greystone 7301 Sydney St. 0.92 Yes 5 Yorktown Medians Staples St. to Cimmaron St. 2.00 Yes 6 Caribbean 601 Mediterranean 1.00 No 7 Dimitt 202 Jester St. 1.50 No 8 Parks Nursery 5555 S. Alameda St. 1.90 No Total Acres 12.33 #2 Sgt. J.D. Bock Park Imagery bete _1 ^2. Nil :7,3'._. _. 2790'14.01" N 9736'15.68" W ekev 5 ft eye. aft 850 ft (] GROUP 13 4.1 General Requirements Provide complete grounds maintenance including all reasonable and necessary labor, supervision, equipment and supplies to keep contracted areas properly maintained. 4.2 Scope of work Provide complete grounds maintenance including litter and debris removal, mowing, trimming, applying fertilizer and landscaping maintenance of City owned property as shown on Exhibit 1. Prep Work a. The Contractor and all related employees shall attend an orientation prior to the term of the contract and each extension at the following location: Parks and Recreation Maintenance 5352 Ayers St. Bldg. 4 Corpus Christi, Texas 78415 b. Prior to each operation, the Contractor shall remove all litter and debris, including paper, cans, bottles, bags, grass clippings, accumulated leaves, palm fronds, and other tree litter including tree limbs from the identified locations. Including, but not limited to, fence lines, sidewalks, trees, shrubs, groundcover beds, all curbs and gutters, and other hard surfaces within the identified location. Pick-up shall consist of removal of visible litter larger than three inches square. Special attention shall be given to insure the removal of objects, which may cause injury, if thrown from equipment. c. After operations, the Contractor shall remove any visible trash and debris that were cut up during the process. The Contractor shall not dispose of any trash or debris into dumpsters located on City property. The trash and debris must be removed from City property and disposed of in accordance with all City ordinances. All trash and litter shall be disposed of properly at the Contractor's expense and proof of such proper disposal through third party invoices or landfill receipts shall be turned in to the Contract Administrator on a monthly basis. d. Contractor is required to cover/tarp debris while transporting for disposal and while moving from site to site. e. Should the Contractor dispose of the litter and debris at an illegal dumpsite, it is grounds for termination of this agreement. Mowing and Trimming a. Turf shall be mowed to a height of three inches using reel or rotary type mowers. Rough cutting, scraping and bush hogging will not be permitted. Turf shall be mowed to maintain a neat appearance. If any mowing is to be omitted or delayed, it shall be omitted or delayed only at the discretion of the Contract Administrator or authorized designee. Mowing cycles must be completed according to the cycle description indicated below. b. Cycles Description Groups 9-15 • Growing Season (March - October) Bi -weekly - 18 cycles • Non -growing Season (November - February) Monthly - 4 cycles c. Mower height to be measured with mower on a flat, paved surface. A high quality of cut shall be provided using mowers with sharp cutting blades so as not to tear, but cleanly cut the blades of grass. Mowing shall be performed in a manner as not to damage trees, shrubs, plants, signs, or other obstructions. d. String line trimmers shall not be used to mow or trim turf areas wider than 24 inches, except in areas approved by the Contract Administrator. e. Mowing and trimming operations shall be performed in such a manner as to prevent the piling of excessive and unsightly grass clippings and leaves on lawns. The Contractor shall remove excessive clippings immediately following each mowing cycle prior to the work crew leaving the work site. f. All resulting clippings and leaves shall be removed from any roadway, walkway, parking area, or any other hard surface including curbs and gutters and from plant beds, tree collars, etc. g. Contractor shall perform all trimming for each cycle using herbicides, hand labor, or mechanical devices. Trimming shall include around all trees, shrubs, beds, fences, groundcovers, utilities, poles, buildings, obstacles, curbing, sidewalks, parking lot, concrete pads, including cracks and expansion joints, edges of all exterior hard surfaces. Any vegetation not cut by the mowing operation located adjacent to, above, or hanging over the curb must be trimmed each mowing cycle. At time of each mowing, trimming shall be done in a manner as not to damage trees, shrubs, fences, etc. At no time shall wild vegetation be allowed to grow out of these areas. h. At the time of each mowing, the Contractor shall remove "sucker" growth at the base of trees before it reaches one foot in height and all materials and debris shall be removed from site after each such pruning. Edging a. Cut all edges with a mechanical edging device (not a line trimmer). This includes all curbs and sidewalks. b. The Contractor shall promptly remove all debris, including soil and trimmings from the areas, sidewalks, and roadways after each edging operation prior to the work crew leaving the work site. Edge only with steel disc or steel blade edger's. String line trimming shall not be used for edging. Fertilizing The Contractor shall provide an application of a 3-1-2 ratio of slow release fertilizer during the growing season. Apply fertilizer that has been formulated for this area, is appropriate for the type of turf grass being fertilized and use manufacturer's recommendation for rate of application. 4.3 Landscaping Maintenance Contractor shall provide complete landscaping maintenance including herbicide applications to control weeds in perennial beds, and around mulched areas of trees and shrubs; mulch designated areas; apply fertilizer; prune existing shrubs, groundcovers, and hedges; application of pesticide. Weed Control a. Hard Surfaces: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) from expansion joints, cracks of sidewalks, parking lots, curbing and concrete medians, including road pavement that is within two feet of said areas. b. Beds and Groundcovers - Weed -Free Maintenance: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) in landscaped areas (designated beds, tree collars, and groundcover to include mulch, decomposed granite, decorative rock and plant cover) shall be provided at a minimum of once per month throughout the year. c. Contractor shall mix herbicide and apply according to the manufacturer recommendation and current State licensing requirements. Recommended herbicide is Roundup, Aquaneat, or other products safe for waterways. The successful Contractor(s) will be required to possess a current commercial applicator license for applying herbicide at all designated locations. Contractor shall apply herbicide at a distance of 12 inches along both sides of designated fence lines except fences bordering adjacent private property. In such cases, herbicides shall be applied only to the City side of the fence. Herbicide shall not be applied around any trees and shrubs. The spraying shall be parallel to the fence lines and structures and shall be straight, not irregular; spray pattern must conform to the size and shape of all other obstacles. The Contractor shall be responsible for performing touch-up spraying for any areas missed or any areas where rain has washed off the herbicide before it has taken effect. The Contractor shall be responsible for any damage done to private property caused by over spray. The Contractor shall not use any water connection, hose, or faucet at any location for solution water for herbicide or pesticide. Use of any water connection is a violation of the Texas Natural Resources Conservation Commission rules and regulations, City of Corpus Christi Water Division rules and regulations, and the terms and conditions of this contract. Mulch a. The Contractor shall treat all areas to be mulched with a pre -emergent herbicide application of either Barricade (manufactured by Sandoz Corp.) or Snapshot (manufactured by Dow Chemical), according to the Manufacturer's specifications, prior to applying the mulch. b. The Contractor shall mulch at a depth of four inches. c. Mulch material shall be "Aged Pine Bark" mulch -color black. Mulch used must be previously approved by the Contract Administrator prior to applying. d. The Contractor shall turn, fluff, and rake all existing shrub beds, tree collars, flowerbeds, and groundcover beds each spring in March. e. Mulch requirements do not include playground areas. Pruning existing shrubs, groundcovers, and hedges The Contractor shall maintain plant materials in an attractive and healthy growing condition by performing the following operations and other incidental work thereto: a. Prune shrubs, groundcovers, and hedges by shaping back to the size that existed at the beginning of the current season. Prune in appropriate season so as not to remove ornamental fruit or blooms. Pruning shall occur before growth exceeds six inches. Care shall be taken to ensure natural form and shape of plants is maintained. b. Remove all dead and damaged branches of shrubs and groundcovers and hedges. Remove all Johnson grass or other weeds growing in and out of the bushes. c. Remove all materials and debris from trimming operations daily after each pruning prior to leaving the work site. Application of Pesticides a. The Contractor shall apply all pesticides in accordance with manufacturer's labeling and all applicable federal, state, and local regulations. The City does not require a specific brand of pesticide to be used as long as applications are used for their intended purposes only. b. All pesticides used for control purposes, shall be applied by a Licensed Commercial Pesticide Applicator for: 1) Ornamental Plant and Shrub Control 2) Pest Control No uncertified persons shall apply or otherwise handle any pesticide. The above certifications, registrations, licenses, and permits must be issued by the Texas Department of Agriculture and shall be kept valid throughout the term of this contract. c. Pesticide applications under this contract will require spot treatment for ants, plant and shrub related insects or parasites d. No "Restricted Use Pesticides" as classified by the administrator of the Environmental Protection Agency shall be used in performance of this contract e. Pesticide treatment of trees is not required under this contract. f. The Contractor accepts total responsibility for replacement of ornamental plants, grasses, or trees whether owned by the City or others, which the City judges to have been damaged or killed as a result of pesticide application under this contract. 4.4 Work Site and Conditions A. The work shall be performed at locations throughout the City as defined by group. See Exhibit 1 for locations. B. Contractor shall supply the City with a work schedule to indicate the normal starting and completion times for its operations. The Contractor shall provide landscaping and grounds maintenance only in appropriate months and in accordance with the City's cycle requirements. Changes in such work schedules must be approved by the City. C. Work Hours: The Contractor will confine all operations to daylight hours, Monday through Friday, unless one of the days is a City designated holiday. Saturday and Sunday work will require approval from the Contract Administrator or Superintendent to ensure there is no interference with activities, rentals or special events. D. Non -Work Hours: The Contractor may not store any equipment or tools on any site. After completion of work at any site, the Contractor must remove all equipment, supplies, and materials from that site. E. Ozone Warning Days: 1. No mowing will be done on the designated Ozone Action Days except in the case of a special event, emergency or removing a liability. If mowing is necessary for such a situation, mowing will be kept to a minimum. However, the Contract Administrator or designee will retain the right to determine and notify the contractor of any such special event, emergency or liability 2. All push mowers, string line trimmers, riding mowers and other small engines will not be used at all. 3. Diesel powered mowing equipment will be allowed to operate on the second day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee, and received permission to proceed with work order. 4. Equipment using reformulated gas will be allowed to operate on the third day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee and received permission to proceed with work order. 4.5 Contractor Quality Control and Superintendence The Contractor shall establish and maintain a complete Quality Control Program that is acceptable to the Contract Administrator to assure that the requirements of the Contract are provided as specified. The Contractor will also provide supervision of the work to insure it complies with the contract requirements. 4.6 Safety Requirements A. Public Safety and Convenience: The safety of the public and the convenience of traffic shall be regarded as prime importance. All portions of streets shall be kept open to traffic. The Contractor shall coordinate all Work with the Contract Administrator and shall place warning signs in accordance with the current version of the Texas Manual on Uniform Traffic Control Devices. The Contractor shall provide all signs, sign stands, safety flags, and all other safety materials or devices as well as safety vests to protect the mowers and the traveling public. The Contractor will be responsible for the maintenance or replacement of these items as necessary. If at any time work is in progress, the traffic control devices do not accomplish the intended purpose due to weather or other conditions affecting the safe handling of traffic, the Contractor shall immediately make necessary changes thereto to correct the unsatisfactory conditions. These provisions for directing traffic will not be paid for directly, but shall be subsidiary to the various bid items of this contract. B. Chemicals: All products (chemicals) shall be kept in a properly labeled container and a Safety Data Sheet (SDS) kept on each item, in a clearly marked SDS notebook by the contractor. The Contractor shall also supply a copy of all SDS sheets to the Contract Administrator. 4.7 Equipment A. All Contractors grounds and turf maintenance equipment must be equipped with safety devices which conform to manufacturer's standards and all applicable OSHA regulations to prevent damage to property. All equipment shall be kept in good operating condition and shall be maintained to provide a clean sharp cut of vegetation at all times. All equipment shall be approved by the Contract Administrator. The typical type of equipment required for the ground maintenance operations are commercial riding lawn mowers 60" or larger, blade edger, string line trimmers and blowers. B. Should the Contractor's equipment require service while at any location, the Contractor must notify the Contract Administrator or designee. The Contractor shall not permit any oil, grease, or lubricants to spill onto or to contaminate the soil. The Contractor shall be responsible for any clean up and disposal of contaminated soil in accordance with all Applicable City, State, and Federal Regulations. 4.8 Security and Protection of Property A. Security Requirements: 1. The Contractor shall maintain and abide by the security measures at all locations including locking gates when leaving the sites. 2. The Contractor shall not enter the buildings at any location for any reason without receiving prior approval from the Contract Administrator B. Protection of Property: 1. The Contractor shall take proper measures to protect all property which might be damaged by Contractor's Work hereunder, and in case of any damage resulting from any act or omission on the part of or on behalf of the Contractor, the Contractor shall restore at the Contractor's own expense the damaged property to a condition similar or equal to that existing before such damage was done, or he shall make good such damage in an acceptable manner. 2. All damages which are not repaired or compensated by the Contractor will be repaired or compensated by City forces at the Contractor's expense. All expenses charged by the City for repair work or compensation shall be deducted from any monies owed to the Contractor. 4.9 Notifications and Inspections A. Each Monday morning prior to 8:00 a.m., the Contractor shall call or email the assigned Contract Administrator indicating the locations and work being performed that week. No work shall be done without proper, prior notification. B. When a location is completed, the assigned City Inspector shall inspect the site and advise the Contractor of any discrepancies. The Contractor shall take whatever action necessary to correct the discrepancies within one working day. For the purpose of this contract, workdays shall include Monday-Friday, unless one of the days is a City designated holiday. The Contract Administrator shall then make another inspection and if the discrepancies have not been corrected, the Contractor will be notified and a $25 re-inspection fee will be charged for a third inspection. At that time the Contractor shall have one working day to complete the work. If the discrepancies still have not been corrected, the Contractor will be notified to correct the discrepancies and a $25 fee will be charged for each additional inspection necessary until discrepancies have been corrected. The City shall deduct the inspection fee from the payment to be made to the Contractor for that cycle of maintenance. C. The City shall have the right at all times to examine the supplies, materials and equipment used by the Contractor, its subcontractors, agents, and employees. D. Work Crew Supervision: The Contractor shall provide qualified supervision of each crew at all times while working under this Contract. Each supervisor shall be authorized by the Contractor to accept and act upon all directives issued by the City and Contract Administrator. Failure of the supervisor to act on said directives shall be sufficient cause to give notice that the Contractor is in default of the contract, unless such directives would create potential personal injury or safety hazards. E. Contractor shall promptly (same day) notify the Contract Administrator of any broken or damaged irrigation systems and poor or inadequate irrigation patterns, holes, cave-ins, or depressions in turf grass, mulched areas, broken signs, watering schedules defects or hazards that impact quality of turf and/or landscaping. F. The Contractor shall be responsible for the replacement of any plantings that may be damaged due to improper performance of designated maintenance activities. In such case, the Contract Administrator or designee shall specify when replacement is to be made. If the Contractor fails to replace the plantings according to instruction of the Contract Administrator, the Contractor agrees that the City may replace and reduce the Contractor payment by the amount of cost of replacement planting. Exhibit 1 ID Group 13 City Parks Area/Location Acre 1 Malibu 4224 Tripoli 7.21 2 Kingston 3909 Kingston 5.33 3 Almanza 3405 Surrey 6.70 4 Parkview 6000 Parkview 5.50 Total Acres 24.74 1956Imariery Dat: 11;22.'2011 2742'47.46 97G23 W elev 2 ft alt 982 ft 0 #2 Kingston Park 19561magery Da -E.: 11'22;201_ 27°43'00.11" N ,97°24'21.34" 1'd elev 27 fta, eye alt 844 ft 10 #3 Almanza Park !- Date: 11.'22/2011/ 27°43'14.42n N 97°24'45.85" V.: elev 28 ft /eye alt 967 ft GA: #4 Parkview Park x5"._ 201 I ; 4 1 56rnyler., Date: 11 22.'2011 27042'34.67" H 97'24'54.18" VI eiev , 27 ft eye ait72093_ft GROUP 14 4.1 General Requirements Provide complete grounds maintenance including all reasonable and necessary labor, supervision, equipment and supplies to keep contracted areas properly maintained. 4.2 Scope of work Provide complete grounds maintenance including litter and debris removal, mowing, trimming, applying fertilizer and landscaping maintenance of City owned property as shown on Exhibit 1. Prep Work a. The Contractor and all related employees shall attend an orientation prior to the term of the contract and each extension at the following location: Parks and Recreation Maintenance 5352 Ayers St. Bldg. 4 Corpus Christi, Texas 78415 b. Prior to each operation, the Contractor shall remove all litter and debris, including paper, cans, bottles, bags, grass clippings, accumulated leaves, palm fronds, and other tree litter including tree limbs from the identified locations. Including, but not limited to, fence lines, sidewalks, trees, shrubs, groundcover beds, all curbs and gutters, and other hard surfaces within the identified location. Pick-up shall consist of removal of visible litter larger than three inches square. Special attention shall be given to insure the removal of objects, which may cause injury, if thrown from equipment. c. After operations, the Contractor shall remove any visible trash and debris that were cut up during the process. The Contractor shall not dispose of any trash or debris into dumpsters located on City property. The trash and debris must be removed from City property and disposed of in accordance with all City ordinances. All trash and litter shall be disposed of properly at the Contractor's expense and proof of such proper disposal through third party invoices or landfill receipts shall be turned in to the Contract Administrator on a monthly basis. d. Contractor is required to cover/tarp debris while transporting for disposal and while moving from site to site. e. Should the Contractor dispose of the litter and debris at an illegal dumpsite, it is grounds for termination of this agreement. Mowing and Trimming a. Turf shall be mowed to a height of three inches using reel or rotary type mowers. Rough cutting, scraping and bush hogging will not be permitted. Turf shall be mowed to maintain a neat appearance. If any mowing is to be omitted or delayed, it shall be omitted or delayed only at the discretion of the Contract Administrator or authorized designee. Mowing cycles must be completed according to the cycle description indicated below. b. Cycles Description Groups 9-15 • Growing Season (March - October) Bi -weekly - 18 cycles • Non -growing Season (November - February) Monthly - 4 cycles c. Mower height to be measured with mower on a flat, paved surface. A high quality of cut shall be provided using mowers with sharp cutting blades so as not to tear, but cleanly cut the blades of grass. Mowing shall be performed in a manner as not to damage trees, shrubs, plants, signs, or other obstructions. d. String line trimmers shall not be used to mow or trim turf areas wider than 24 inches, except in areas approved by the Contract Administrator. e. Mowing and trimming operations shall be performed in such a manner as to prevent the piling of excessive and unsightly grass clippings and leaves on lawns. The Contractor shall remove excessive clippings immediately following each mowing cycle prior to the work crew leaving the work site. f. All resulting clippings and leaves shall be removed from any roadway, walkway, parking area, or any other hard surface including curbs and gutters and from plant beds, tree collars, etc. g. Contractor shall perform all trimming for each cycle using herbicides, hand labor, or mechanical devices. Trimming shall include around all trees, shrubs, beds, fences, groundcovers, utilities, poles, buildings, obstacles, curbing, sidewalks, parking lot, concrete pads, including cracks and expansion joints, edges of all exterior hard surfaces. Any vegetation not cut by the mowing operation located adjacent to, above, or hanging over the curb must be trimmed each mowing cycle. At time of each mowing, trimming shall be done in a manner as not to damage trees, shrubs, fences, etc. At no time shall wild vegetation be allowed to grow out of these areas. h. At the time of each mowing, the Contractor shall remove "sucker" growth at the base of trees before it reaches one foot in height and all materials and debris shall be removed from site after each such pruning. Edging a. Cut all edges with a mechanical edging device (not a line trimmer). This includes all curbs and sidewalks. b. The Contractor shall promptly remove all debris, including soil and trimmings from the areas, sidewalks, and roadways after each edging operation prior to the work crew leaving the work site. Edge only with steel disc or steel blade edger's. String line trimming shall not be used for edging. Fertilizing The Contractor shall provide an application of a 3-1-2 ratio of slow release fertilizer during the growing season. Apply fertilizer that has been formulated for this area, is appropriate for the type of turf grass being fertilized and use manufacturer's recommendation for rate of application. 4.3 Landscaping Maintenance Contractor shall provide complete landscaping maintenance including herbicide applications to control weeds in perennial beds, and around mulched areas of trees and shrubs; mulch designated areas; prune existing shrubs, groundcovers, and hedges; application of pesticide. Weed Control a. Hard Surfaces: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) from expansion joints, cracks of sidewalks, parking lots, curbing and concrete medians, including road pavement that is within two feet of said areas. b. Beds and Groundcovers - Weed -Free Maintenance: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) in landscaped areas (designated beds, tree collars, and groundcover to include mulch, decomposed granite, decorative rock and plant cover) shall be provided at a minimum of once per month throughout the year. c. Contractor shall mix herbicide and apply according to the manufacturer recommendation and current State licensing requirements. Recommended herbicide is Roundup, Aquaneat, or other products safe for waterways. The successful Contractor(s) will be required to possess a current commercial applicator license for applying herbicide at all designated locations. Contractor shall apply herbicide at a distance of 12 inches along both sides of designated fence lines except fences bordering adjacent private property. In such cases, herbicides shall be applied only to the City side of the fence. Herbicide shall not be applied around any trees and shrubs. The spraying shall be parallel to the fence lines and structures and shall be straight, not irregular; spray pattern must conform to the size and shape of all other obstacles. The Contractor shall be responsible for performing touch-up spraying for any areas missed or any areas where rain has washed off the herbicide before it has taken effect. The Contractor shall be responsible for any damage done to private property caused by over spray. The Contractor shall not use any water connection, hose, or faucet at any location for solution water for herbicide or pesticide. Use of any water connection is a violation of the Texas Natural Resources Conservation Commission rules and regulations, City of Corpus Christi Water Division rules and regulations, and the terms and conditions of this contract. Mulch a. The Contractor shall treat all areas to be mulched with a pre -emergent herbicide application of either Barricade (manufactured by Sandoz Corp.) or Snapshot (manufactured by Dow Chemical), according to the Manufacturer's specifications, prior to applying the mulch. b. The Contractor shall mulch at a depth of four inches. c. Mulch material shall be "Aged Pine Bark" mulch -color black. Mulch used must be previously approved by the Contract Administrator prior to applying. d. The Contractor shall turn, fluff, and rake all existing shrub beds, tree collars, flowerbeds, and groundcover beds each spring in March. e. Mulch requirements do not include playground areas. Pruning existing shrubs, groundcovers, and hedges The Contractor shall maintain plant materials in an attractive and healthy growing condition by performing the following operations and other incidental work thereto: a. Prune shrubs, groundcovers, and hedges by shaping back to the size that existed at the beginning of the current season. Prune in appropriate season so as not to remove ornamental fruit or blooms. Pruning shall occur before growth exceeds six inches. Care shall be taken to ensure natural form and shape of plants is maintained. b. Remove all dead and damaged branches of shrubs and groundcovers and hedges. Remove all Johnson grass or other weeds growing in and out of the bushes. c. Remove all materials and debris from trimming operations daily after each pruning prior to leaving the work site. Application of Pesticides a. The Contractor shall apply all pesticides in accordance with manufacturer's labeling and all applicable federal, state, and local regulations. The City does not require a specific brand of pesticide to be used as long as applications are used for their intended purposes only. b. All pesticides used for control purposes, shall be applied by a Licensed Commercial Pesticide Applicator for: 1) Ornamental Plant and Shrub Control 2) Pest Control No uncertified persons shall apply or otherwise handle any pesticide. The above certifications, registrations, licenses, and permits must be issued by the Texas Department of Agriculture and shall be kept valid throughout the term of this contract. c. Pesticide applications under this contract will require spot treatment for ants, plant and shrub related insects or parasites d. No "Restricted Use Pesticides" as classified by the administrator of the Environmental Protection Agency shall be used in performance of this contract e. Pesticide treatment of trees is not required under this contract. f. The Contractor accepts total responsibility for replacement of ornamental plants, grasses, or trees whether owned by the City or others, which the City judges to have been damaged or killed as a result of pesticide application under this contract. 4.4 Work Site and Conditions A. The work shall be performed at locations throughout the City as defined by group. See Exhibit 1 for locations. B. Contractor shall supply the City with a work schedule to indicate the normal starting and completion times for its operations. The Contractor shall provide landscaping and grounds maintenance only in appropriate months and in accordance with the City's cycle requirements. Changes in such work schedules must be approved by the City. C. Work Hours: The Contractor will confine all operations to daylight hours, Monday through Friday, unless one of the days is a City designated holiday. Saturday and Sunday work will require approval from the Contract Administrator or Superintendent to ensure there is no interference with activities, rentals or special events. D. Non -Work Hours: The Contractor may not store any equipment or tools on any site. After completion of work at any site, the Contractor must remove all equipment, supplies, and materials from that site. E. Ozone Warning Days: 1. No mowing will be done on the designated Ozone Action Days except in the case of a special event, emergency or removing a liability. If mowing is necessary for such a situation, mowing will be kept to a minimum. However, the Contract Administrator or designee will retain the right to determine and notify the contractor of any such special event, emergency or liability 2. All push mowers, string line trimmers, riding mowers and other small engines will not be used at all. 3. Diesel powered mowing equipment will be allowed to operate on the second day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee, and received permission to proceed with work order. 4. Equipment using reformulated gas will be allowed to operate on the third day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee and received permission to proceed with work order. 4.5 Contractor Quality Control and Superintendence The Contractor shall establish and maintain a complete Quality Control Program that is acceptable to the Contract Administrator to assure that the requirements of the Contract are provided as specified. The Contractor will also provide supervision of the work to insure it complies with the contract requirements. 4.6 Safety Requirements A. Public Safety and Convenience: The safety of the public and the convenience of traffic shall be regarded as prime importance. All portions of streets shall be kept open to traffic. The Contractor shall coordinate all Work with the Contract Administrator and shall place warning signs in accordance with the current version of the Texas Manual on Uniform Traffic Control Devices. The Contractor shall provide all signs, sign stands, safety flags, and all other safety materials or devices as well as safety vests to protect the mowers and the traveling public. The Contractor will be responsible for the maintenance or replacement of these items as necessary. If at any time work is in progress, the traffic control devices do not accomplish the intended purpose due to weather or other conditions affecting the safe handling of traffic, the Contractor shall immediately make necessary changes thereto to correct the unsatisfactory conditions. These provisions for directing traffic will not be paid for directly, but shall be subsidiary to the various bid items of this contract. B. Chemicals: All products (chemicals) shall be kept in a properly labeled container and a Safety Data Sheet (SDS) kept on each item, in a clearly marked SDS notebook by the contractor. The Contractor shall also supply a copy of all SDS sheets to the Contract Administrator. 4.7 Equipment A. All Contractors grounds and turf maintenance equipment must be equipped with safety devices which conform to manufacturer's standards and all applicable OSHA regulations to prevent damage to property. All equipment shall be kept in good operating condition and shall be maintained to provide a clean sharp cut of vegetation at all times. All equipment shall be approved by the Contract Administrator. The typical type of equipment required for the ground maintenance operations are commercial riding lawn mowers 60" or larger, blade edger, string line trimmers and blowers. B. Should the Contractor's equipment require service while at any location, the Contractor must notify the Contract Administrator or designee. The Contractor shall not permit any oil, grease, or lubricants to spill onto or to contaminate the soil. The Contractor shall be responsible for any clean up and disposal of contaminated soil in accordance with all Applicable City, State, and Federal Regulations. 4.8 Security and Protection of Property A. Security Requirements: 1. The Contractor shall maintain and abide by the security measures at all locations including locking gates when leaving the sites. 2. The Contractor shall not enter the buildings at any location for any reason without receiving prior approval from the Contract Administrator B. Protection of Property: 1. The Contractor shall take proper measures to protect all property which might be damaged by Contractor's Work hereunder, and in case of any damage resulting from any act or omission on the part of or on behalf of the Contractor, the Contractor shall restore at the Contractor's own expense the damaged property to a condition similar or equal to that existing before such damage was done, or he shall make good such damage in an acceptable manner. 2. All damages which are not repaired or compensated by the Contractor will be repaired or compensated by City forces at the Contractor's expense. All expenses charged by the City for repair work or compensation shall be deducted from any monies owed to the Contractor. 4.9 Notifications and Inspections A. Each Monday morning prior to 8:00 a.m., the Contractor shall call or email the assigned Contract Administrator indicating the locations and work being performed that week. No work shall be done without proper, prior notification. B. When a location is completed, the assigned City Inspector shall inspect the site and advise the Contractor of any discrepancies. The Contractor shall take whatever action necessary to correct the discrepancies within one working day. For the purpose of this contract, workdays shall include Monday-Friday, unless one of the days is a City designated holiday. The Contract Administrator shall then make another inspection and if the discrepancies have not been corrected, the Contractor will be notified and a $25 re-inspection fee will be charged for a third inspection. At that time the Contractor shall have one working day to complete the work. If the discrepancies still have not been corrected, the Contractor will be notified to correct the discrepancies and a $25 fee will be charged for each additional inspection necessary until discrepancies have been corrected. The City shall deduct the inspection fee from the payment to be made to the Contractor for that cycle of maintenance. C. The City shall have the right at all times to examine the supplies, materials and equipment used by the Contractor, its subcontractors, agents, and employees. D. Work Crew Supervision: The Contractor shall provide qualified supervision of each crew at all times while working under this Contract. Each supervisor shall be authorized by the Contractor to accept and act upon all directives issued by the City and Contract Administrator. Failure of the supervisor to act on said directives shall be sufficient cause to give notice that the Contractor is in default of the contract, unless such directives would create potential personal injury or safety hazards. E. Contractor shall promptly (same day) notify the Contract Administrator of any broken or damaged irrigation systems and poor or inadequate irrigation patterns, holes, cave-ins, or depressions in turf grass, mulched areas, broken signs, watering schedules defects or hazards that impact quality of turf and/or landscaping. F. The Contractor shall be responsible for the replacement of any plantings that may be damaged due to improper performance of designated maintenance activities. In such case, the Contract Administrator or designee shall specify when replacement is to be made. If the Contractor fails to replace the plantings according to instruction of the Contract Administrator, the Contractor agrees that the City may replace and reduce the Contractor payment by the amount of cost of replacement planting. Exhibit 1 ID Group 14 City Parks Area/Location Acre 1 Los Encinos 5800 Greenwood 10.00 2 Father Fernandez 1820 Frio St. 2.00 3 Village on the Green 5500 Green Tree 3.00 4 Pebble 5922 Hillcrest 5.13 5 Sacky 2719 Sacky 6.59 Total Acres 26.72 #1 Los Encinos Park rte. k Qom �F LY 1956rnagery Dates 11,.''22,'2011 27°43'48.50" N 97°25'54.77'4W elev 27ffs eye -alt 1024 ft 0 #2 Father Fernandez Park • *. ( lk 1 22/2011 27° 9109" N 97c2t 44 1Ede.. L8 ft eye alit #3 Village on the Green Park #4 Pebble Park .1) 1956ImagerITI,ate. 11/22/2011 41:3O0.53" N 97°25'29,21" W eley 28 ft eye aft 921 fte #5 Sacky Park II -kiz, 11956'rna-,e-ry Date:441,.'22 '2011 f / .' •-.P"'",3 'V-111111.:NIC P"--1.1°'-' i • ' _ 2)4431' N 972526,21T Iry ekev 32 ft - eye alt -1.334 ft LJ It . GROUP 16 4.1 General Requirements Provide complete grounds maintenance including all reasonable and necessary labor, supervision, equipment and supplies to keep contracted areas properly maintained. 4.2 Scope of work Provide complete grounds maintenance including litter and debris removal, mowing, trimming and applying fertilizer to City owned property as shown on Exhibit 1. Prep Work a. The Contractor and all related employees shall attend an orientation prior to the term of the contract and each extension Parks and Recreation Maintenance 5352 Ayers St. Bldg. 4 Corpus Christi, Texas 78415 b. Prior to each operation, the Contractor shall remove all litter and debris, including paper, cans, bottles, bags, grass clippings, accumulated leaves, palm fronds, and other tree litter including tree limbs from the identified locations. Including, but not limited to, fence lines, sidewalks, trees, shrubs, groundcover beds, all curbs and gutters, and other hard surfaces within the identified location. Pick-up shall consist of removal of visible litter larger than three inches square. Special attention shall be given to insure the removal of objects, which may cause injury, if thrown from equipment. c. After operations, the Contractor shall remove any visible trash and debris that were cut up during the process. The Contractor shall not dispose of any trash or debris into dumpsters located on City property. The trash and debris must be removed from City property and disposed of in accordance with all City ordinances. All trash and litter shall be disposed of properly at the Contractor's expense and proof of such proper disposal through third party invoices or landfill receipts shall be turned in to the Contract Administrator on a monthly basis. d. Contractor is required to cover/tarp debris while transporting for disposal and while moving from site to site. e. Should the Contractor dispose of the litter and debris at an illegal dumpsite, it is grounds for termination of this agreement. Mowing and Trimming a. Turf shall be mowed to a height of three inches using reel or rotary type mowers. Rough cutting, scraping and bush hogging will not be permitted. Turf shall be mowed to maintain a neat appearance. If any mowing is to be omitted or delayed, it shall be omitted or delayed only at the discretion of the Contract Administrator or authorized designee. Mowing cycles must be completed according to the cycle description indicated below. b. Cycles Description Waste Water Plants Group 16 • Monthly - 12 cycles c. Mower height to be measured with mower on a flat, paved surface. A high quality of cut shall be provided using mowers with sharp cutting blades so as not to tear, but cleanly cut the blades of grass. Mowing shall be performed in a manner as not to damage trees, shrubs, plants, signs, or other obstructions. d. String line trimmers shall not be used to mow or trim turf areas wider than 24 inches, except in areas approved by the Contract Administrator. e. Mowing and trimming operations shall be performed in such a manner as to prevent the piling of excessive and unsightly grass clippings and leaves on lawns. The Contractor shall remove excessive clippings immediately following each mowing cycle prior to the work crew leaving the work site. f. All resulting clippings and leaves shall be removed from any roadway, walkway, parking area, or any other hard surface including curbs and gutters and from plant beds, tree collars, etc. g. Contractor shall perform all trimming for each cycle using herbicides, hand labor, or mechanical devices. Trimming shall include around all trees, shrubs, beds, fences, groundcovers, utilities, poles, buildings, obstacles, curbing, sidewalks, parking lot, concrete pads, including cracks and expansion joints, edges of all exterior hard surfaces. Any vegetation not cut by the mowing operation located adjacent to, above, or hanging over the curb must be trimmed each mowing cycle. At time of each mowing, trimming shall be done in a manner as not to damage trees, shrubs, fences, etc. At no time shall wild vegetation be allowed to grow out of these areas. h. At the time of each mowing, the Contractor shall remove "suckers" growth at the base of trees before it reaches one foot in height and all materials and debris shall be removed from site after each such pruning. Edging a. Cut all edges with a mechanical edging device (not a line trimmer). This includes all curbs and sidewalks. b. The Contractor shall promptly remove all debris, including soil and trimmings from the areas, sidewalks, and roadways after each edging operation prior to the work crew leaving the work site. Edge only with steel disc or steel blade edger's. String line trimming shall not be used for edging. Fertilizing The Contractor shall provide an application of a 3-1-2 ratio of slow release fertilizer during the growing season. Apply fertilizer that has been formulated for this area, is appropriate for the type of turf grass being fertilized and use manufacturer's recommendation for rate of application. 4.3 Work Site and Conditions A. The work shall be performed at locations throughout the City as defined by group. See Exhibit 1 for locations. B. Contractor shall supply the City with a work schedule to indicate the normal starting and completion times for its operations. The Contractor shall provide landscaping and grounds maintenance only in appropriate months and in accordance with the City's cycle requirements. Changes in such work schedules must be approved by the City. C. Work Hours: The Contractor will confine all operations to daylight hours, Monday through Friday, unless one of the days is a City designated holiday. Saturday and Sunday work will require approval from the Contract Administrator to ensure there is no interference with activities, rentals or special events. D. Non -Work Hours: The Contractor may not store any equipment or tools on any site. After completion of work at any site, the Contractor must remove all equipment, supplies, and materials from that site. E. Ozone Warning Days: 1. No mowing will be done on the designated Ozone Action Days except in the case of a special event, emergency or removing a liability. If mowing is necessary for such a situation, mowing will be kept to a minimum. However, the Contract Administrator or designee will retain the right to determine and notify the contractor of any such special event, emergency or liability. 2. All push mowers, string line trimmers, riding mowers and other small engines will not be used at all. 3. Diesel powered mowing equipment will be allowed to operate on the second day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee, and received permission to proceed with work order. 4. Equipment using reformulated gas will be allowed to operate on the third day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee and received permission to proceed with work order. 4.4 Contractor Quality Control and Superintendence The Contractor shall establish and maintain a complete Quality Control Program that is acceptable to the Contract Administrator to assure that the requirements of the Contract are provided as specified. The Contractor will also provide supervision of the work to insure it complies with the contract requirements. 4.5 Safety Requirements A. Public Safety and Convenience: The safety of the public and the convenience of traffic shall be regarded as prime importance. All portions of streets shall be kept open to traffic. The Contractor shall coordinate all Work with the Contract Administrator and shall place warning signs in accordance with the current version of the Texas Manual on Uniform Traffic Control Devices. Signs, sign stands, safety flags, and all other safety materials or devices as well as safety vests will be required to protect the mowers and the traveling public and will be furnished by the Contractor. The Contractor will be responsible for the maintenance or replacement of these items as necessary. If at any time work is in progress, the traffic control devices do not accomplish the intended purpose due to weather or other conditions affecting the safe handling of traffic, the Contractor shall immediately make necessary changes thereto to correct the unsatisfactory conditions. These provisions for directing traffic will not be paid for directly, but shall be subsidiary to the various bid items of this contract. B. Chemicals: All products (chemicals) shall be kept in a properly labeled container and a Safety Data Sheet (SDS) kept on each item, in a clearly marked SDS notebook by the contractor. The Contractor shall also supply a copy of all SDS sheets to the Contract Administrator. 4.6 Equipment A. All Contractor's grounds maintenance equipment must be equipped with safety devices which conform to manufacturer's standards and all applicable OSHA regulations to prevent damage to property. All equipment shall be kept in good operating condition and shall be maintained to provide a clean sharp cut of vegetation at all times. All equipment shall be approved by the Contract Administrator. The typical type of equipment required for the ground maintenance operations are commercial riding lawn mowers 60" or larger, blade edger, string line trimmers and blowers. B. Should the Contractor's equipment require service while at any location, the Contractor must notify the Contract Administrator or designee. The Contractor shall not permit any oil, grease, or lubricants to spill onto or to contaminate the soil. The Contractor shall be responsible for any clean up and disposal of contaminated soil in accordance with all Applicable City, State, and Federal Regulations. 4.7 Security and Protection of Property A. Security Requirements: 1. The Contractor shall maintain and abide by the security measures at all locations including locking gates when leaving the sites. 2. The Contractor shall not enter the buildings at any location for any reason without receiving prior approval from the Contract Administrator B. Protection of Property: 1. The Contractor shall take proper measures to protect all property which might be damaged by Contractor's Work hereunder, and in case of any damage resulting from any act or omission on the part of or on behalf of the Contractor, the Contractor shall restore at the Contractor's own expense the damaged property to a condition similar or equal to that existing before such damage was done, or shall make good such damage in an acceptable manner. 2. All damages which are not repaired or compensated by the Contractor will be repaired or compensated by City forces at the Contractor's expense. All expenses charged by the City for repair work or compensation shall be deducted from any monies owed to the Contractor. 4.8 Notifications and Inspections A. Each Monday morning prior to 8:00 a.m., the Contractor shall call or email the assigned Contract Administrator indicating the locations and work being performed that week. No work shall be done without proper, prior notification. B. When a location is completed, the assigned City Inspector shall inspect the site and advise the Contractor of any discrepancies. The Contractor shall take whatever action necessary to correct the discrepancies within one working day. For the purpose of this contract, workdays shall include Monday -Friday, unless one of the days is a City designated holiday. The Contract Administrator shall then make another inspection and if the discrepancies have not been corrected, the Contractor will be notified and a $25 re -inspection fee will be charged for a third inspection. At that time the Contractor shall have one working day to complete the work. If the discrepancies still have not been corrected, the Contractor will be notified to correct the discrepancies and a $25 fee will be charged for each additional inspection necessary until discrepancies have been corrected. The City shall deduct the inspection fee from the payment to be made to the Contractor for that cycle of maintenance. C. The City shall have the right at all times to examine the supplies, materials and equipment used by the Contractor, its subcontractors, agents, and employees. D. Work Crew Supervision: The Contractor shall provide qualified supervision of each crew at all times while working under this Contract. Each supervisor shall be authorized by the Contractor to accept and act upon all directives issued by the City and Contract Administrator. Failure of the supervisor to act on said directives shall be sufficient cause to give notice that the Contractor is in default of the contract, unless such directives would create potential personal injury or safety hazards. E. Contractor shall promptly (same day) notify the Contract Administrator of any broken or damaged irrigation systems and poor or inadequate irrigation patterns, holes, cave-ins, or depressions in turf grass, mulched areas, broken signs, watering schedules defects or hazards that impact quality of turf and/or landscaping. F. The Contractor shall be responsible for the replacement of any plantings that may be damaged due to improper performance of designated maintenance activities. In such case, the Contract Administrator or designee shall specify when replacement is to be made. If the Contractor fails to replace the plantings according to instruction of the Contract Administrator, the Contractor agrees that the City may replace and reduce the Contractor payment by the amount of cost of replacement planting. Exhibit 1 ID Group 16 Waste Water Plants Area/Location Acre 1 Allison WW Treatment Plant 4001 Allison Dr. 21.14 2 Broadway WW Treatment Plant 1402 Broadway St. 5.55 3 Greenwood WW Treatment Plant 6541 Greenwood St. 13.94 4 Laguna Madre WW Treatment Plant 201 Jester St. 4.29 5 Oso WW Treatment Plant 501 Nile Dr. 15.50 6 White Cap WW Treatment Plant 13409 Whitecap Dr. 6.94 Total Acres 67.36 Date: 09/13/2016 ATTACHMENT B - BID/PRICING SCHEDULE CITY OF CORPUS CHRISTI BID FORM PURCHASING DIVISION RFB No. 138 Ground Maintenance Authorized Bidder: Cut Masters Lawn Service Signature: 1. Refer to "Instructions to Bidders" and Contract Terms and Conditions before completing bid. 2. Quote your best price for each item. 3. In submitting this bid, Bidder certifies that: a. the prices in this bid have been arrived at independently, without consultation, communication, or agreement with any other Bidder or competitor, for the purpose of restricting competition with regard to prices; b. Bidder is an Equal Opportunity Employer; and the Disclosure of Interest information on file with City's purchasing office, pursuant to the Code of Ordinances, is current and true. c. Bidder is current with all taxes due and company is in good standing with all required governmental agencies. d. Bidder acknowledges receipt and review of all addenda for this RFB. GROUP 1 Acres Cycles Unit Price per Cycle Total Price Growing Season (March -November) 26.47 20 $ VII, 60 $ 14/2 61' Non Growing Season (December -February) 26.47 3 $ Sill,CO $ C43c 240 4 ° . Ili° Y.IL.^' � a'II 4 "I'M EO xM Date: C1, CITY OF CORPUS CHRISTI BID FORM PURCHASING DIVISION RFB No. 140 Grounds Maintenance I I I l 9 Authorized 41" IIPIP* Bidder: CUd WictC ev S I timv1 %rktk,)vu. Signature: 1. Refer to "Instructions to Bidders" and Contract Terms and Conditions before completing bid. 2. Quote your best price for each item. 3. In submitting this bid, Bidder certifies that: a. the prices in this bid have been arrived at independently, without consultation, communication, or agreement with any other Bidder or competitor, for the purpose of restricting competition with regard to prices; b. Bidder is an Equal Opportunity Employer; and the Disclosure of Interest information on file with City's purchasing office, pursuant to the Code of Ordinances, is current and true. c. Bidder is current with all taxes due and company is in good standing with all required governmental agencies. d. Bidder acknowledges receipt and review of all addenda for this RFB. GROUP II ' Acres Cycles Unit Price per Cycle Total Price Growing Season (March-October) 12.33 18 $ 1 i b cl. 7 o $ I l f q74.60 Non Growing Season (November-February) 12.33 4 $ OM .70 $ 1-1-41-W . 0 Date: 11311li CITY OF CORPUS CHRISTI BID FORM PURCHASING DIVISION RFB No. 141 Ground Maintenance Authorized Bidder: CIA- NICtSklic... kAKVI StrVICX.W. Signature: 1. Refer to "Instructions to Bidders" and Contract Terms and Conditions before completing bid. 2. Quote your best price for each item. 3. In submitting this bid, Bidder certifies that: a. the prices in this bid have been arrived at independently, without consultation, communication, or agreement with any other Bidder or competitor, for the purpose of restricting competition with regard to prices; b. Bidder is an Equal Opportunity Employer; and the Disclosure of Interest information on file with City's purchasing office, pursuant to the Code of Ordinances, is current and true. c. Bidder is current with all taxes due and company is in good standing with all required governmental agencies. d. Bidder acknowledges receipt and review of all addenda for this RFB. GROUP 16 Acres Cycles Unit Price per Cycle Total Price Monthly 67.36 12 $ 37 -KM, $ 31,2J)3.2.- I q11311u) CITY OF CORPUS CHRISTI BID FORM PURCHASING DIVISION RFB No. 143 Grounds Maintenance ,, Authorized Wvi 02 i-,0? . Signature: 13c. ,i I it 1 N. 117 Ir:77- RI El- ol; 1 •-• 14 Rot° th;62 Date: Bidder: 1. Refer completing 2. Quote 3. In submitting a. the communication, purpose b. Bidder on and c. Bidder required d. Bidder GtV Witigt6 lOilkil to "Instructions to Bidders" and Contract Terms and Conditions bid. your best price for each item. this bid, Bidder certifies that: prices in this bid have been arrived at independently, without or agreement with any other Bidder or competitor, of restricting competition with regard to prices; is an Equal Opportunity Employer; and the Disclosure of Interest file with City's purchasing office, pursuant to the Code of Ordinances, true. is current with all taxes due and company is in good governmental agencies. acknowledges receipt and review of all addenda for this before consultation, for the information is current standing with all RFB. GROUP 11 Acres Bi -Weekly Cycles Unit Price per Cycle Total Price Growing Season (March-October) 16.73 18 $ (00.94 $ 11/100 Non Growing Season (November -February) 16.73 4 $ (,0•310 $ s(013.LIC CITY OF CORPUS CHRISTI BID FORM PURCHASING DIVISION RFB No. 144 Grounds Maintenance Date: 6-11 175 IN Bidder: (\A -t- \MA4tiic Lc' ce(viCe Authorized Signature: 1. Refer to "Instructions to Bidders" and Contract Terms and Conditions before completing bid. 2. Quote your best price for each item. 3. In submitting this bid, Bidder certifies that: a. the prices in this bid have been arrived at independently, without consultation, communication, or agreement with any other Bidder or competitor, for the purpose of restricting competition with regard to prices; b. Bidder is an Equal Opportunity Employer; and the Disclosure of Interest information on file with City's purchasing office, pursuant to the Code of Ordinances, is current and true. c. Bidder is current with all taxes due and company is in good standing with all required governmental agencies. d. Bidder acknowledges receipt and review of all addenda for this RFB. GROUP 13 Acres Bi -Weekly Cycles Unit Price per C cle l TotaPrice Growing Season (March -October) 18 $ ais-2, AI $ 1-7,Istif, eb Non Growing Season (November -February) 4$ 1 Sii-41 $ 3 Vti , 4/& 4 13 c,„„ets, 44 (1113 11V CITY OF PURCHASING Grounds S,Is via CORPUS CHRISTI BID FORM DIVISION RFB No. 145 Maintenance Authorized Signature: . IP * 411 -- .....a 4PcoRpoolt° 1852 the communication, purpose Bidder on and Bidder required Bidder Date: Bidder: 1. Refer completing 2. Quote 3. In submitting a. b. c. d. 0 lAt 61061,(c LCitAti to "Instructions to Bidders" and Contract Terms and Conditions before bid. your best price for each item. this bid, Bidder certifies that: prices in this bid have been arrived at independently, without consultation, or agreement with any other Bidder or competitor, for the of restricting competition with regard to prices; is an Equal Opportunity Employer; and the Disclosure of Interest information file with City's purchasing office, pursuant to the Code of Ordinances, is current true. is current with all taxes due and company is in good standing with all governmental agencies. acknowledges receipt and review of all addenda for this RFB. GROUP 14 Acres Bi-Weekly Cycles Unit Price per Cycle Total Price Growing Season (March-October) 26.72 18 $ 0.4b $ l ri (60. 6, Non Growing Season (November-February) 26.72 4 $ 90.41 $ 3C24.61 ATTACHMENT C - INSURANCE REQUIREMENTS I. CONTRACTOR'S LIABILITY INSURANCE 1. Contractor must not commence work under this agreement until all insurance required herein has been obtained and approved by the City's Risk Manager or designee. Contractor must not allow any subcontractor to commence work until all similar insurance required of the subcontractor has been so obtained. 2. Contractor must furnish to the Risk Manager and Contract Administrator one copy of Certificates of Insurance with applicable policy endorsements showing the following minimum coverage by an insurance company(s) acceptable to the Risk Manager or designee. The City must be listed as an additional insured for the General Liability and Auto Liability policies, and a waiver of subrogation is required on all applicable policies. Endorsements must be provided with Certificate of Insurance. Project name and/or number must be listed in Description Box of Certificate of Insurance. TYPE OF INSURANCE MINIMUM INSURANCE COVERAGE 30 -day advance written notice of cancellation, non -renewal, material change or termination required on all certificates and policies. Bodily Injury and Property Damage Per occurrence - aggregate Commercial General Liability including: 1. Commercial Broad Form 2. Premises - Operations 3. Products/ Completed Operations 4. Contractual Liability 5. Independent Contractors 6. Personal Injury- Advertising Injury $1,000,000 Per Occurrence $2,000,000 Aggregates BUSINESS AUTOMOBILE LIABILITY 1. Owned 2. Hired & Non -owned 3. Rented & Leased $1,000,000 Combined Single Limit WORKERS' COMPENSATION (All States Endorsement if Company is not domiciled in Texas) Employer's Liability Statutory and complies with part II of this Exhibit $500,000 / $500,000 / $500,000 3. In the event of accidents of any kind related to this project, Consultant must furnish the Risk Manager with copies of all reports of such accidents within 10 days of the accident. II. Additional Requirements 1. Applicable for paid employees, Contractor must obtain workers' compensation coverage through a licensed insurance company. The coverage must be written on a policy and endorsements approved by the Texas Department of Insurance. The workers' compensation coverage provided must be in an amount sufficient to assure that all workers' compensation obligations incurred by the Contractor will be promptly met. An All States endorsement shall be required if consultant is not domiciled in the State of Texas. 2. Contractor shall obtain and maintain in full force and effect for the duration of this Contract, and any extension hereof, at Contractor's sole expense, insurance coverage written on an occurrence basis, by companies authorized and admitted to do business in the State of Texas and with an A.M. Best's rating of no less than A- VII. 3. Contractor shall be required to submit replacement Certificate of Insurance to City at the address provided below within 10 days of any change made by the Contractor or as requested by the City. Contractor shall pay any costs incurred resulting from said changes. All notices under this Article shall be given to City at the following address: City of Corpus Christi Attn: Risk Management P.O. Box 9277 Corpus Christi, TX 78469-9277 4. Contractor agrees that with respect to the above required insurance, all insurance policies are to contain or be endorsed to contain the following required provisions: ■ List the City and its officers, officials, employees, and volunteers, as additional insureds by endorsement with regard to operations, completed operations and activities of or on behalf of the named insured performed under contract with the City, with the exception of the workers' compensation policy. ■ Provide for an endorsement that the "other insurance" clause shall not apply to the City of Corpus Christi where the City is an additional insured shown on the policy; • Workers' compensation and employers' liability policies will provide a waiver of subrogation in favor of the City; and • Provide 30 calendar days advance written notice directly to City of any cancellation, non -renewal, material change or termination in coverage and not less than ten calendar days advance written notice for nonpayment of premium. 5. Within five calendar days of a cancellation, non -renewal, material change or termination of coverage, Contractor shall provide a replacement Certificate of Insurance and applicable endorsements to City. City shall have the option to suspend Contractor's performance should there be a lapse in coverage at any time during this contract. Failure to provide and to maintain the required insurance shall constitute a material breach of this contract. 6. In addition to any other remedies the City may have upon Contractor's failure to provide and maintain any insurance or policy endorsements to the extent and within the time herein required, the City shall have the right to order Contractor to stop work hereunder, and/or withhold any payment(s) which become due to Consultant hereunder until Contractor demonstrates compliance with the requirements hereof. 7. Nothing herein contained shall be construed as limiting in any way the extent to which Contractor may be held responsible for payments of damages to persons or property resulting from Contractor's or its subcontractor's performance of the work covered under this contract. 8. It is agreed that Contractor's insurance shall be deemed primary and non- contributory with respect to any insurance or self-insurance carried by the City of Corpus Christi for liability arising out of operations under this contract. 9. Itis understood and agreed that the insurance required is in addition to and separate from any other obligation contained in this agreement. 2016 Insurance Requirements Parks & Recreation Grounds Maintenance Mowing 06/13/16 my Risk Management ATTACHMENT C- BOND REQUIREMENTS No Bond Requirement is necessary for this Service Agreement. ATTACHMENT D- WARRANTY REQUIREMENTS No warranty is required for the Service Agreement. CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 it there are interested panes. Complete Nos, 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. Cut Masters Lawn Service Corpus Christi, TX United States '2 Certificate Number: 2016-121137 Date Filed: Name of governmental entity or state agency that is a party to the contract for which the form Is being flied. City of Corpus Christi 10/06/2016 Date Acknowledged: 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. 797 Ground Maintenance Services ¢ Name of interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary Cut Masters Lawn Service, Inc. Corpus Christi, TX United States X 5 Check on ry if there is NO Interested Party. o 6 (1:4 P C 1iyAiT w � r .1►, Nrtio IL 2010 i swear, or affirm, under penaltyof perjury,that the above disclosure is true and correct. OPI° ��A _- 4 Signature of authorized . j of contracting business entity f AFFIX NOTARY STAMP / SEAL. ABOVE �^ t Sworn to and subscribed before me, by the said Davi O NA Y e- , this the +�,+t' day of Dei 201+4 , to certify which, witness my hand and seal of office. /4 - (}. Aj - 61br14 p cae6i' z & 1,.. Signature of officer aciallirestering oath Printed name of officer administering oath !tie orf : - -- administering oath orms provtoeo ny Texas Ethics Commission www.ethics,state.tx.us Version V1.0.277 SERVICE AGREEMENT NO. 798 Grounds Maintenance THIS Grounds Maintenance Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home -rule municipal corporation ("City") and Dorame General Repair and Lawn ("Contractor"), effective upon execution by the City Manager or the City Manager's designee ("City Manager") . WHEREAS, Contractor has bid to provide Grounds Maintenance in response to Request for Bid/Proposal No. 139, 142, and 146 ("RFB/RFP"), which RFB/RFP includes the required scope of work and all specifications and which RFB/RFP and the Contractor's bid or proposal response, as applicable, are incorporated by reference in this Agreement as Exhibits 1 and 2, respectively, as if each were fully set out here in its entirety. NOW, THEREFORE, City and Contractor agree as follows: 1. Scope. Contractor will provide Grounds Maintenance ("Services") in accordance with the attached Scope of Work, as shown in Attachment A, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety, and in accordance with Exhibit 2. 2. Term. This Agreement is for 12 months, with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or Purchasing Division. This Agreement includes an option to extend the term for up to two additional 12 -month periods ("Option Period"), provided, the parties do so prior to expiration of the original term or the then -current Option Period. The decision to exercise the option to extend the term of this Agreement is, at all times, within the sole discretion of the City and is conditioned upon the prior written agreement of the Contractor and the City Manager. 3. Compensation and Payment. The total value of this Agreement is not to exceed $66,172.04, subject to approved extensions and changes. Payment will be made for Services completed and accepted by the City within 30 days of acceptance, subject to receipt of an acceptable invoice. All pricing must be in accordance with the attached Bid/Pricing Schedule, as shown in Attachment B, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety. City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 1 of 8 4. Contract Administrator. The Contract Administrator designated by the City is responsible for approval of all phases of performance and operations under this Agreement, including deductions for non-performance and authorizations for payment. The City's Contract Administrator for this Agreement is as follows: Tessy Gonzalez Department: Parks and Recreations Phone: 361-826-3493 Email: TessyG@cctexas.com 5. Insurance; Bonds. (A) Before performance can begin under this Agreement, the Contractor must deliver a certificate of insurance ("COI"), as proof of the required insurance coverages, to the City's Risk Manager and the Contract Administrator. Additionally, the COI must state that the City will be given at least 30 days' advance written notice of cancellation, material change in coverage, or intent not to renew any of the policies. The City must be named as an additional insured. The City Attorney must be given copies of all insurance policies within 10 days of the City Manager's written request. Insurance requirements are as stated in Attachment C, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety. (B) In the event a payment bond, a performance bond, or both, are required of the Contractor to be provided to the City under this Agreement before performance can commence, the terms, conditions, and amounts required in the bonds and appropriate surety information are as included in the RFB/RFP or as may be added to Attachment C, and such content is incorporated here in this Agreement by reference as if each bond's terms, conditions, and amounts were fully set out here in its entirety. 6. Purchase Release Order. For multiple -release purchases of Services to be provided by the Contractor over a period of time, the City will exercise its right to specify time, place and quantity of Services to be delivered in the following manner: any City department or division may send to Contractor a purchase release order signed by an authorized agent of the department or division. The purchase release order must refer to this Agreement, and Services will not be rendered until the Contractor receives the signed purchase release order. City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 2 of 8 7. Inspection and Acceptance. Any Services that are provided but not accepted by the City must be corrected or re -worked immediately at no charge to the City. If immediate correction or re -working at no charge cannot be made by the Contractor, a replacement service may be procured by the City on the open market and any costs incurred, including additional costs over the item's bid/proposal price, must be paid by the Contractor within 30 days of receipt of City's invoice. 8. Warranty. The Contractor warrants that all products supplied under this Agreement are new, quality items that are free from defects, fit for their intended purpose, and of good material and workmanship. The Contractor warrants that it has clear title to the products and that the products are free of liens or encumbrances. In addition, the products purchased under this Agreement shall be warranted by the Contractor or, if indicated in Attachment D by the manufacturer, for the period stated in Attachment D. Attachment D is attached to this Agreement and is incorporated by reference into this Agreement as if fully set out here in its entirety. 9. Quality/Quantity Adjustments. Any Service quantities indicated on the Bid/Pricing Schedule are estimates only and do not obligate the City to order or accept more than the City's actual requirements nor do the estimates restrict the City from ordering less than its actual needs during the term of the Agreement and including any Option Period. Substitutions and deviations from the City's product requirements or specifications are prohibited without the prior written approval of the Contract Administrator. 10. Non -Appropriation. The continuation of this Agreement after the close of any fiscal year of the City, which fiscal year ends on September 30th annually, is subject to appropriations and budget approval specifically covering this Agreement as an expenditure in said budget, and it is within the sole discretion of the City's City Council to determine whether or not to fund this Agreement. The City does not represent that this budget item will be adopted, as said determination is within the City Council's sole discretion when adopting each budget. 11. Independent Contractor. Contractor will perform the work required by this Agreement as an independent contractor and will furnish such Services in its own manner and method, and under no circumstances or conditions will any agent, servant or employee of the Contractor be considered an employee of the City. 12. Subcontractors. Contractor may use subcontractors in connection with the work performed under this Agreement. When using subcontractors, City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 3 of 8 however, the Contractor must obtain prior written approval from the Contract Administrator if the subcontractors were not named at the time of bid or proposal, as applicable. In using subcontractors, the Contractor is responsible for all their acts and omissions to the same extent as if the subcontractor and its employees were employees of the Contractor. All requirements set forth as part of this Agreement, including the necessity of providing a COI in advance to the City, are applicable to all subcontractors and their employees to the same extent as if the Contractor and its employees had performed the work. 13. Amendments. This Agreement may be amended or modified only by written change order signed by both parties. Change orders may be used to modify quantities as deemed necessary by the City. 14. Waiver. No waiver by either party of any breach of any term or condition of this Agreement waives any subsequent breach of the same. 15. Taxes. The Contractor covenants to pay payroll taxes, Medicare taxes, FICA taxes, unemployment taxes and all other related taxes. Upon request, the City Manager shall be provided proof of payment of these taxes within 15 days of such request. 16. Notice. Any notice required under this Agreement must be given by fax, hand delivery, or certified mail, postage prepaid, and is deemed received on the day faxed or hand -delivered or on the third day after postmark if sent by certified mail. Notice must be sent as follows: IF TO CITY: City of Corpus Christi Attn: Tessy Gonzalez Contract Administrator Address: 1201 Leopard St. Corpus Christi, Texas 78401 Fax: 361-826-3864 IF TO CONTRACTOR: Dorame General Repair and Lawn Attn: Ramon Dorame Title: President Address: 4213 Hamlin Dr. Corpus Christi, Texas 7841 1 Fax: 361-533-6728 City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 4 of 8 17. CONTRACTOR AGREES TO INDEMNIFY, HOLD HARMLESS AND DEFEND THE CITY OF CORPUS CHRISTI AND ITS OFFICERS, EMPLOYEES AND AGENTS ("INDEMNITEES") FROM AND AGAINST ANY AND ALL LIABILITY, LOSS, CLAIMS, DEMANDS, SUITS AND CAUSES OF ACTION OF ANY NATURE WHATSOEVER ON ACCOUNT OF PERSONAL INJURIES (INCLUDING DEATH AND WORKERS' COMPENSATION CLAIMS), PROPERTY LOSS OR DAMAGE, OR ANY OTHER KIND OF INJURY, LOSS, OR DAMAGE, INCLUDING ALL EXPENSES OF LITIGATION, COURT COSTS, ATTORNEYS' FEES AND EXPERT WITNESS FEES WHICH ARISE OR ARE CLAIMED TO ARISE OUT OF OR IN CONNECTION WITH THIS AGREEEMENT OR THE PERFORMANCE OF THIS AGREEMENT, REGARDLESS OF WHETHER THE INJURIES, DEATH OR DAMAGES ARE CAUSED OR ARE CLAIMED TO BE CAUSED BY THE CONCURRENT OR CONTRIBUTORY NEGLIGENCE OF INDEMNITEES, BUT NOT IF BY THE SOLE NEGLIGENCE OF INDEMNITEES UNMIXED WITH THE FAULT OF ANY OTHER PERSON. CONTRACTOR MUST, AT ITS OWN EXPENSE, INVESTIGATE ALL CLAIMS AND DEMANDS, ATTEND TO THEIR SETTLEMENT OR OTHER DISPOSITION, DEFEND ALL ACTIONS BASED THEREON WITH COUNSEL SATISFACTORY TO THE CITY ATTORNEY, AND PAY ALL CHARGES OF ATTORNEYS AND ALL OTHER COSTS AND EXPENSES OF ANY KIND ARISING FROM ANY SAID LIABILITY, DAMAGE, LOSS, CLAIMS, DEMANDS, SUITS, OR ACTIONS. THE INDEMNIFICATION OBLIGATIONS OF CONTRACTOR UNDER THIS SECTION SHALL SURVIVE THE EXPIRATION OR EARLIER TERMINATION OF THIS AGREEMENT. 18. Termination. (A) The City Manager may terminate this Agreement for Contractor's failure to perform the work specified in this Agreement or to keep any required insurance policies in force during the entire term of this Agreement. The Contract Administrator must give the Contractor written notice of the breach and set out a reasonable opportunity to cure. If the Contractor has not cured within the cure period, the City Manager may terminate this Agreement immediately thereafter. City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 5 of 8 (B) Alternatively, the City Manager may terminate this Agreement for convenience upon 30 days advance written notice to the Contractor. The City Manager may also terminate this Agreement upon 24 hours written notice to the Contractor for failure to pay or provide proof of payment of taxes as set out in this Agreement. 19. Assignment. No assignment of this Agreement by the Contractor, or of any right or interest contained herein, is effective unless the City Manager first gives written consent to such assignment. The performance of this Agreement by the Contractor is of the essence of this Agreement, and the City Manager's right to withhold consent to such assignment is within the sole discretion of the City Manager on any ground whatsoever. 20. Severability. Each provision of this Agreement is considered to be severable and, if, for any reason, any provision or part of this Agreement is determined to be invalid and contrary to applicable law, such invalidity shall not impair the operation of nor affect those portions of this Agreement that are valid, but this Agreement shall be construed and enforced in all respects as if the invalid or unenforceable provision or part had been omitted. 21. Order of Precedence. In the event of any conflicts or inconsistencies between this Agreement, its attachments, and exhibits, such conflicts and inconsistencies will be resolved by reference to the documents in the following order of priority: A. this Agreement and its attachments B. the bid solicitation document, including addenda (Exhibit 1) C. the Contractor's bid response (Exhibit 2) 22. Certificate of Interested Parties. Contractor agrees to comply with Texas Government Code Section 2252.908, as it may be amended, and to complete Form 1295 "Certificate of Interested Parties" as part of this Agreement. 23. Governing Law. This Agreement is subject to all federal, State, and local laws, rules, and regulations. The applicable law for any legal disputes arising out of this Agreement is the law of the State of Texas, and such form and venue for such disputes is the appropriate district, county, or justice court in and for Nueces County, Texas. 24. Entire Agreement. This Agreement constitutes the entire agreement between the parties concerning the subject matter of this Agreement and supersedes City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 6 of 8 all prior negotiations, arrangements, agreements and understandings, either oral or written, between the parties. (SIGNATURE PAGE FOLLOWS) City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 7 of 8 CONTRACTOR Signature: Printed Name: AI -37 Title: Date: CITY OF CORPUS CHRISTI Signature: Printed Name: Title: Date: Attached and Incorporated by Reference: Attachment A: Scope of Work Attachment B: Bid/Pricing Schedule Attachment C: Insurance/Bond Requirements Attachment D: Warranty Requirements Incorporated by Reference Only: Exhibit 1: RFB/RFP No. 139, 142, 146 Exhibit 2: Contractor's Bid/Proposal Response City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1 /16 Page 8 of 8 ATTACHMENT A -SCOPE OF WORK GROUP 9 4.1 General Requirements Provide complete grounds maintenance including all reasonable and necessary labor, supervision, equipment and supplies to keep contracted areas properly maintained. 4.2 Scope of work Provide complete grounds maintenance including litter and debris removal, mowing, trimming, applying fertilizer and landscaping maintenance of City owned property as shown on Exhibit 1. Prep Work a. The Contractor and all related employees shall attend an orientation prior to the term of the contract and each extension. Parks and Recreation Maintenance 5352 Ayers St. Bldg. 4 Corpus Christi, Texas 78415 b. Prior to each operation, the Contractor shall remove all litter and debris, including paper, cans, bottles, bags, grass clippings, accumulated leaves, palm fronds, and other tree litter including tree limbs from the identified locations. Including, but not limited to, fence lines, sidewalks, trees, shrubs, groundcover beds, all curbs and gutters, and other hard surfaces within the identified location. Pick-up shall consist of removal of visible litter larger than three inches square. Special attention shall be given to insure the removal of objects, which may cause injury, if thrown from equipment. c. After operations, the Contractor shall remove any visible trash and debris that were cut up during the process. The Contractor shall not dispose of any trash or debris into dumpsters located on City property. The trash and debris must be removed from City property and disposed of in accordance with all City ordinances. All trash and litter shall be disposed of properly at the Contractor's expense and proof of such proper disposal through third party invoices or landfill receipts shall be turned in to the Contract Administrator on a monthly basis. d. Contractor is required to cover/tarp debris while transporting for disposal and while moving from site to site. e. Should the Contractor dispose of the litter and debris at an illegal dumpsite, it is grounds for termination of this agreement. Mowing and Trimming a. Turf shall be mowed to a height of three inches using reel or rotary type mowers. Rough cutting, scraping and bush hogging will not be permitted. Turf shall be mowed to maintain a neat appearance. If any mowing is to be omitted or delayed, it shall be omitted or delayed only at the discretion of the Contract Administrator or authorized designee. Mowing cycles must be completed according to the cycle description indicated below. b. Cycles Description Groups 9-15 • Growing Season (March - October) Bi -weekly - 18 cycles • Non -growing Season (November - February) Monthly - 4 cycles c. Mower height to be measured with mower on a flat, paved surface. A high quality of cut shall be provided using mowers with sharp cutting blades so as not to tear, but cleanly cut the blades of grass. Mowing shall be performed in a manner as not to damage trees, shrubs, plants, signs, or other obstructions. d. String line trimmers shall not be used to mow or trim turf areas wider than 24 inches, except in areas approved by the Contract Administrator. e. Mowing and trimming operations shall be performed in such a manner as to prevent the piling of excessive and unsightly grass clippings and leaves on lawns. The Contractor shall remove excessive clippings immediately following each mowing cycle prior to the work crew leaving the work site. f. All resulting clippings and leaves shall be removed from any roadway, walkway, parking area, or any other hard surface including curbs and gutters and from plant beds, tree collars, etc. g. Contractor shall perform all trimming for each cycle using herbicides, hand labor, or mechanical devices. Trimming shall include around all trees, shrubs, beds, fences, groundcovers, utilities, poles, buildings, obstacles, curbing, sidewalks, parking lot, concrete pads, including cracks and expansion joints, edges of all exterior hard surfaces. Any vegetation not cut by the mowing operation located adjacent to, above, or hanging over the curb must be trimmed each mowing cycle. At time of each mowing, trimming shall be done in a manner as not to damage trees, shrubs, fences, etc. At no time shall wild vegetation be allowed to grow out of these areas. h. At the time of each mowing, the Contractor shall remove "suckers" growth at the base of trees before it reaches one foot in height and all materials and debris shall be removed from site after each such pruning. Edging a. Cut all edges with a mechanical edging device (not a line trimmer). This includes all curbs and sidewalks. b. The Contractor shall promptly remove all debris, including soil and trimmings from the areas, sidewalks, and roadways after each edging operation prior to the work crew leaving the work site. Edge only with steel disc or steel blade edger's. String line trimming shall not be used for edging. Fertilizing The Contractor shall provide an application of a 3-1-2 ratio of slow release fertilizer during the growing season. Apply fertilizer that has been formulated for this area, is appropriate for the type of turf grass being fertilized and use manufacturer's recommendation for rate of application. 4.3 Landscaping Maintenance (If applicable see Exhibit 1) Contractor shall provide complete landscaping maintenance including herbicide applications to control weeds in perennial beds, and around mulched areas of trees and shrubs; mulch designated areas; apply fertilizer; prune existing shrubs, groundcovers, and hedges; application of pesticide. Weed Control a. Hard Surfaces: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) from expansion joints, cracks of sidewalks, parking lots, curbing and concrete medians, including road pavement that is within two feet of said areas. b. Beds and Groundcovers - Weed -Free Maintenance: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) in landscaped areas (designated beds, tree collars, and groundcover to include mulch, decomposed granite, decorative rock and plant cover) shall be provided at a minimum of once per month throughout the year. c. Contractor shall mix herbicide and apply according to the manufacturer recommendation and current State licensing requirements. Recommended herbicide is Roundup, Aquaneat, or other products safe for waterways. The successful Contractor(s) will be required to possess a current commercial applicator license for applying herbicide at all designated locations. Contractor shall apply herbicide at a distance of 12 inches along both sides of designated fence lines except fences bordering adjacent private property. In such cases, herbicides shall be applied only to the City side of the fence. Herbicide shall not be applied around any trees and shrubs. The spraying shall be parallel to the fence lines and structures and shall be straight, not irregular; spray pattern must conform to the size and shape of all other obstacles. The Contractor shall be responsible for performing touch-up spraying for any areas missed or any areas where rain has washed off the herbicide before it has taken effect. The Contractor shall be responsible for any damage done to private property caused by over spray. The Contractor shall not use any water connection, hose, or faucet at any location for solution water for herbicide or pesticide. Use of any water connection is a violation of the Texas Natural Resources Conservation Commission rules and regulations, City of Corpus Christi Water Division rules and regulations, and the terms and conditions of this contract. Mulch a. The Contractor shall treat all areas to be mulched with a pre -emergent herbicide application of either Barricade (manufactured by Sandoz Corp.) or Snapshot (manufactured by Dow Chemical), according to the Manufacturer's specifications, prior to applying the mulch. b. The Contractor shall mulch at a depth of four inches. c. Mulch material shall be "Aged Pine Bark" mulch -color black. Mulch used must be previously approved by the Contract Administrator prior to applying. d. The Contractor shall turn, fluff, and rake all existing shrub beds, tree collars, flowerbeds, and groundcover beds in March, June, and October at site numbers 1, 3 and 5. See Exhibit 1. e. Mulch requirements do not include playground areas. Pruning existing shrubs, groundcovers, and hedges The Contractor shall maintain plant materials in an attractive and healthy growing condition by performing the following operations and other incidental work thereto: a. Prune shrubs, groundcovers, and hedges by shaping back to the size that existed at the beginning of the current season. Prune in appropriate season so as not to remove ornamental fruit or blooms. Pruning shall occur before growth exceeds six inches. Care shall be taken to ensure natural form and shape of plants is maintained. b. Remove all dead and damaged branches of shrubs and groundcovers and hedges. Remove all Johnson grass or other weeds growing in and out of the bushes. c. Remove all materials and debris from trimming operations daily after each pruning prior to leaving the work site. Application of Pesticides a. The Contractor shall apply all pesticides in accordance with manufacturer's labeling and all applicable federal, state, and local regulations. The City does not require a specific brand of pesticide to be used as long as applications are used for their intended purposes only. b. All pesticides used for control purposes, shall be applied by a Licensed Commercial Pesticide Applicator for: 1) Ornamental Plant and Shrub Control 2) Pest Control No uncertified persons shall apply or otherwise handle any pesticide. The above certifications, registrations, licenses, and permits must be issued by the Texas Department of Agriculture and shall be kept valid throughout the term of this contract. c. Pesticide applications under this contract will require spot treatment for ants, plant and shrub related insects or parasites d. No "Restricted Use Pesticides" as classified by the administrator of the Environmental Protection Agency shall be used in performance of this contract e. Pesticide treatment of trees is not required under this contract. f. The Contractor accepts total responsibility for replacement of ornamental plants, grasses, or trees whether owned by the City or others, which the City judges to have been damaged or killed as a result of pesticide application under this contract. 4.4 Work Site and Conditions A. The work shall be performed at locations throughout the City as defined by group. See Exhibit 1 for locations. B. Contractor shall supply the City with a work schedule to indicate the normal starting and completion times for its operations. The Contractor shall provide landscaping and grounds maintenance only in appropriate months and in accordance with the City's cycle requirements. Changes in such work schedules must be approved by the City. C. Work Hours: The Contractor will confine all operations to daylight hours, Monday through Friday, unless one of the days is a City designated holiday. Saturday and Sunday work will require approval from the Contract Administrator or Superintendent to ensure there is no interference with activities, rentals or special events. D. Non -Work Hours: The Contractor may not store any equipment or tools on any site. After completion of work at any site, the Contractor must remove all equipment, supplies, and materials from that site. E. Ozone Warning Days: 1. No mowing will be done on the designated Ozone Action Days except in the case of a special event, emergency or removing a liability. If mowing is necessary for such a situation, mowing will be kept to a minimum. However, the Contract Administrator or designee will retain the right to determine and notify the contractor of any such special event, emergency or liability 2. All push mowers, string line trimmers, riding mowers and other small engines will not be used at all. 3. Diesel powered mowing equipment will be allowed to operate on the second day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee, and received permission to proceed with work order. 4. Equipment using reformulated gas will be allowed to operate on the third day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee and received permission to proceed with work order. 4.5 Contractor Quality Control and Superintendence The Contractor shall establish and maintain a complete Quality Control Program that is acceptable to the Contract Administrator to assure that the requirements of the Contract are provided as specified. The Contractor will also provide supervision of the work to insure it complies with the contract requirements. 4.6 Safety Requirements A. Public Safety and Convenience: The safety of the public and the convenience of traffic shall be regarded as prime importance. All portions of streets shall be kept open to traffic. The Contractor shall coordinate all Work with the Contract Administrator and shall place warning signs in accordance with the current version of the Texas Manual on Uniform Traffic Control Devices. The Contractor shall provide all signs, sign stands, safety flags, and all other safety materials or devices as well as safety vests will be required to protect the mowers and the traveling public and will be furnished by the Contractor. The Contractor will be responsible for the maintenance or replacement of these items as necessary. If at any time work is in progress, the traffic control devices do not accomplish the intended purpose due to weather or other conditions affecting the safe handling of traffic, the Contractor shall immediately make necessary changes thereto to correct the unsatisfactory conditions. These provisions for directing traffic will not be paid for directly, but shall be subsidiary to the various bid items of this contract. B. Chemicals: All products (chemicals) shall be kept in a properly labeled container and a Safety Data Sheet (SDS) kept on each item, in a clearly marked SDS notebook by the contractor. The Contractor shall also supply a copy of all SDS sheets to the Contract Administrator. 4.7 Equipment A. All Contractors grounds equipment must be equipped with safety devices which conform to manufacturer's standards and all applicable OSHA regulations to prevent damage to property. All equipment shall be kept in good operating condition and shall be maintained to provide a clean sharp cut of vegetation at all times. All equipment shall be approved by the Contract Administrator. The typical type of equipment required for the ground maintenance operations are commercial riding lawn mowers 60" or larger, blade edger, string line trimmers and blowers. B. Should the Contractor's equipment require service while at any location, the Contractor must notify the Contract Administrator or designee. The Contractor shall not permit any oil, grease, or lubricants to spill onto or to contaminate the soil. The Contractor shall be responsible for any clean up and disposal of contaminated soil in accordance with all Applicable City, State, and Federal Regulations. 4.8 Security and Protection of Property A. Security Requirements: 1. The Contractor shall maintain and abide by the security measures at all locations including locking gates when leaving the sites. 2. The Contractor shall not enter the buildings at any location for any reason without receiving prior approval from the Contract Administrator B. Protection of Property: 1. The Contractor shall take proper measures to protect all property which might be damaged by Contractor's Work hereunder, and in case of any damage resulting from any act or omission on the part of or on behalf of the Contractor, the Contractor shall restore at the Contractor's own expense the damaged property to a condition similar or equal to that existing before such damage was done, or he shall make good such damage in an acceptable manner. 2. All damages which are not repaired or compensated by the Contractor will be repaired or compensated by City forces at the Contractor's expense. All expenses charged by the City for repair work or compensation shall be deducted from any monies owed to the Contractor. 4.9 Notifications and Inspections A. Each Monday morning prior to 8:00 a.m., the Contractor shall call or email the assigned Contract Administrator indicating the locations and work being performed that week. No work shall be done without proper, prior notification. B. When a location is completed, the assigned City Inspector shall inspect the site and advise the Contractor of any discrepancies. The Contractor shall take whatever action necessary to correct the discrepancies within one working day. For the purpose of this contract, workdays shall include Monday-Friday, unless one of the days is a City designated holiday. The Contract Administrator shall then make another inspection and if the discrepancies have not been corrected, the Contractor will be notified and a $25 re-inspection fee will be charged for a third inspection. At that time the Contractor shall have one working day to complete the work. If the discrepancies still have not been corrected, the Contractor will be notified to correct the discrepancies and a $25 fee will be charged for each additional inspection necessary until discrepancies have been corrected. The City shall deduct the inspection fee from the payment to be made to the Contractor for that cycle of maintenance. C. The City shall have the right at all times to examine the supplies, materials and equipment used by the Contractor, its subcontractors, agents, and employees. D. Work Crew Supervision: The Contractor shall provide qualified supervision of each crew at all times while working under this Contract. Each supervisor shall be authorized by the Contractor to accept and act upon all directives issued by the City and Contract Administrator. Failure of the supervisor to act on said directives shall be sufficient cause to give notice that the Contractor is in default of the contract, unless such directives would create potential personal injury or safety hazards. E. Contractor shall promptly (same day) notify the Contract Administrator of any broken or damaged irrigation systems and poor or inadequate irrigation patterns, holes, cave-ins, or depressions in turf grass, mulched areas, broken signs, watering schedules defects or hazards that impact quality of turf and/or landscaping. F. The Contractor shall be responsible for the replacement of any plantings that may be damaged due to improper performance of designated maintenance activities. In such case, the Contract Administrator or designee shall specify when replacement is to be made. If the Contractor fails to replace the plantings according to instruction of the Contract Administrator, the Contractor agrees that the City may replace and reduce the Contractor payment by the amount of cost of replacement planting. Exhibit 1 ID Group 9 Area/Location Acre Landscaping 1 Alta Plaza Triangles Alta Plaza and Ocean Drive 0.19 Yes 2 Hialco 1 1 14 Sam Ranking Drive 2.25 No 3 Ocean Dr. Lot 3642 Ocean Drive 1.00 No 4 Sign shop 5425 Leopard St 0.89 No 5 Academy Sports ROW 4910 Williams Drive 0.05 No 6 Acushnet 6746 Aaron 6.54 No 7 Congress 4017 Capital 1.96 No 8 O'Day ROW .25 Miles NW of Weber on O'Day 0.05 No 9 Forest Park 4306 Calallen 1.80 No 10 Heizer Tri 10622 Veda Dr. 0.30 Yes 11 Northwest Bowl 14602 Spaulding 1.60 No Total Acres 16.63 #1 Alta Plaza Trian • les 11napry Dart i1.'1"4..2 i J[' 26 ft C}'[ d4' 1172 1 J fr-T: ,000 C GROUP 10 4.1 General Requirements Provide complete grounds maintenance including all reasonable and necessary labor, supervision, equipment and supplies to keep contracted areas properly maintained. 4.2 Scope of work Provide complete grounds maintenance including litter and debris removal, mowing, trimming, applying fertilizer and landscaping maintenance of City owned property as shown on Exhibit 1. Prep Work a. The Contractor and all related employees shall attend an orientation prior to the term of the contract and each extension at the following location: Parks and Recreation Maintenance 5352 Ayers St. Bldg. 4 Corpus Christi, Texas 78415 b. Prior to each operation, the Contractor shall remove all litter and debris, including paper, cans, bottles, bags, grass clippings, accumulated leaves, palm fronds, and other tree litter including tree limbs from the identified locations. Including, but not limited to, fence lines, sidewalks, trees, shrubs, groundcover beds, all curbs and gutters, and other hard surfaces within the identified location. Pick-up shall consist of removal of visible litter larger than three inches square. Special attention shall be given to insure the removal of objects, which may cause injury, if thrown from equipment. c. After operations, the Contractor shall remove any visible trash and debris that were cut up during the process. The Contractor shall not dispose of any trash or debris into dumpsters located on City property. The trash and debris must be removed from City property and disposed of in accordance with all City ordinances. All trash and litter shall be disposed of properly at the Contractor's expense and proof of such proper disposal through third party invoices or landfill receipts shall be turned in to the Contract Administrator on a monthly basis. d. Contractor is required to cover/tarp debris while transporting for disposal and while moving from site to site. e. Should the Contractor dispose of the litter and debris at an illegal dumpsite, it is grounds for termination of this agreement. Mowing and Trimming a. Turf shall be mowed to a height of three inches using reel or rotary type mowers. Rough cutting, scraping and bush hogging will not be permitted. Turf shall be mowed to maintain a neat appearance. If any mowing is to be omitted or delayed, it shall be omitted or delayed only at the discretion of the Contract Administrator or authorized designee. Mowing cycles must be completed according to the cycle description indicated below. b. Cycles Description Groups 9-15 • Growing Season (March - October) Bi -weekly - 18 cycles • Non -growing Season (November - February) Monthly - 4 cycles c. Mower height to be measured with mower on a flat, paved surface. A high quality of cut shall be provided using mowers with sharp cutting blades so as not to tear, but cleanly cut the blades of grass. Mowing shall be performed in a manner as not to damage trees, shrubs, plants, signs, or other obstructions. d. String line trimmers shall not be used to mow or trim turf areas wider than 24 inches, except in areas approved by the Contract Administrator. e. Mowing and trimming operations shall be performed in such a manner as to prevent the piling of excessive and unsightly grass clippings and leaves on lawns. The Contractor shall remove excessive clippings immediately following each mowing cycle prior to the work crew leaving the work site. f. All resulting clippings and leaves shall be removed from any roadway, walkway, parking area, or any other hard surface including curbs and gutters and from plant beds, tree collars, etc. g. Contractor shall perform all trimming for each cycle using herbicides, hand labor, or mechanical devices. Trimming shall include around all trees, shrubs, beds, fences, groundcovers, utilities, poles, buildings, obstacles, curbing, sidewalks, parking lot, concrete pads, including cracks and expansion joints, edges of all exterior hard surfaces. Any vegetation not cut by the mowing operation located adjacent to, above, or hanging over the curb must be trimmed each mowing cycle. At time of each mowing, trimming shall be done in a manner as not to damage trees, shrubs, fences, etc. At no time shall wild vegetation be allowed to grow out of these areas. h. At the time of each mowing, the Contractor shall remove "sucker" growth at the base of trees before it reaches one foot in height and all materials and debris shall be removed from site after each such pruning. Edging a. Cut all edges with a mechanical edging device (not a line trimmer). This includes all curbs and sidewalks. b. The Contractor shall promptly remove all debris, including soil and trimmings from the areas, sidewalks, and roadways after each edging operation prior to the work crew leaving the work site. Edge only with steel disc or steel blade edger's. String line trimming shall not be used for edging. Fertilizing The Contractor shall provide an application of a 3-1-2 ratio of slow release fertilizer during the growing season. Apply fertilizer that has been formulated for this area, is appropriate for the type of turf grass being fertilized and use manufacturer's recommendation for rate of application. 4.3 Landscaping Maintenance Contractor shall provide complete landscaping maintenance including herbicide applications to control weeds in perennial beds, and around mulched areas of trees and shrubs; mulch designated areas; prune existing shrubs, groundcovers, and hedges; application of pesticide. Weed Control a. Hard Surfaces: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) from expansion joints, cracks of sidewalks, parking lots, curbing and concrete medians, including road pavement that is within two feet of said areas. b. Beds and Groundcovers - Weed -Free Maintenance: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) in landscaped areas (designated beds, tree collars, and groundcover to include mulch, decomposed granite, decorative rock and plant cover) shall be provided at a minimum of once per month throughout the year. c. Contractor shall mix herbicide and apply according to the manufacturer recommendation and current State licensing requirements. Recommended herbicide is Roundup, Aquaneat, or other products safe for waterways. The successful Contractor(s) will be required to possess a current commercial applicator license for applying herbicide at all designated locations. Contractor shall apply herbicide at a distance of 12 inches along both sides of designated fence lines except fences bordering adjacent private property. In such cases, herbicides shall be applied only to the City side of the fence. Herbicide shall not be applied around any trees and shrubs. The spraying shall be parallel to the fence lines and structures and shall be straight, not irregular; spray pattern must conform to the size and shape of all other obstacles. The Contractor shall be responsible for performing touch-up spraying for any areas missed or any areas where rain has washed off the herbicide before it has taken effect. The Contractor shall be responsible for any damage done to private property caused by over spray. The Contractor shall not use any water connection, hose, or faucet at any location for solution water for herbicide or pesticide. Use of any water connection is a violation of the Texas Natural Resources Conservation Commission rules and regulations, City of Corpus Christi Water Division rules and regulations, and the terms and conditions of this contract. Mulch a. The Contractor shall treat all areas to be mulched with a pre -emergent herbicide application of either Barricade (manufactured by Sandoz Corp.) or Snapshot (manufactured by Dow Chemical), according to the Manufacturer's specifications, prior to applying the mulch. b. The Contractor shall mulch at a depth of four inches. c. Mulch material shall be "Aged Pine Bark" mulch -color black. Mulch used must be previously approved by the Contract Administrator prior to applying. d. The Contractor shall turn, fluff, and rake all existing shrub beds, tree collars, flowerbeds, and groundcover beds each spring in March. e. Mulch requirements do not include playground areas. Pruning existing shrubs, groundcovers, and hedges The Contractor shall maintain plant materials in an attractive and healthy growing condition by performing the following operations and other incidental work thereto: a. Prune shrubs, groundcovers, and hedges by shaping back to the size that existed at the beginning of the current season. Prune in appropriate season so as not to remove ornamental fruit or blooms. Pruning shall occur before growth exceeds six inches. Care shall be taken to ensure natural form and shape of plants is maintained. b. Remove all dead and damaged branches of shrubs and groundcovers and hedges. Remove all Johnson grass or other weeds growing in and out of the bushes. c. Remove all materials and debris from trimming operations daily after each pruning prior to leaving the work site. Application of Pesticides a. The Contractor shall apply all pesticides in accordance with manufacturer's labeling and all applicable federal, state, and local regulations. The City does not require a specific brand of pesticide to be used as long as applications are used for their intended purposes only. b. All pesticides used for control purposes, shall be applied by a Licensed Commercial Pesticide Applicator for: 1) Ornamental Plant and Shrub Control 2) Pest Control No uncertified persons shall apply or otherwise handle any pesticide. The above certifications, registrations, licenses, and permits must be issued by the Texas Department of Agriculture and shall be kept valid throughout the term of this contract. c. Pesticide applications under this contract will require spot treatment for ants, plant and shrub related insects or parasites d. No "Restricted Use Pesticides" as classified by the administrator of the Environmental Protection Agency shall be used in performance of this contract e. Pesticide treatment of trees is not required under this contract. f. The Contractor accepts total responsibility for replacement of ornamental plants, grasses, or trees whether owned by the City or others, which the City judges to have been damaged or killed as a result of pesticide application under this contract. 4.4 Work Site and Conditions A. The work shall be performed at locations throughout the City as defined by group. See Exhibit 1 for locations. B. Contractor shall supply the City with a work schedule to indicate the normal starting and completion times for its operations. The Contractor shall provide landscaping and grounds maintenance only in appropriate months and in accordance with the City's cycle requirements. Changes in such work schedules must be approved by the City. C. Work Hours: The Contractor will confine all operations to daylight hours, Monday through Friday, unless one of the days is a City designated holiday. Saturday and Sunday work will require approval from the Contract Administrator or Superintendent to ensure there is no interference with activities, rentals or special events. D. Non -Work Hours: The Contractor may not store any equipment or tools on any site. After completion of work at any site, the Contractor must remove all equipment, supplies, and materials from that site. E. Ozone Warning Days: 1. No mowing will be done on the designated Ozone Action Days except in the case of a special event, emergency or removing a liability. If mowing is necessary for such a situation, mowing will be kept to a minimum. However, the Contract Administrator or designee will retain the right to determine and notify the contractor of any such special event, emergency or liability 2. All push mowers, string line trimmers, riding mowers and other small engines will not be used at all. 3. Diesel powered mowing equipment will be allowed to operate on the second day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee, and received permission to proceed with work order. 4. Equipment using reformulated gas will be allowed to operate on the third day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee and received permission to proceed with work order. 4.5 Contractor Quality Control and Superintendence The Contractor shall establish and maintain a complete Quality Control Program that is acceptable to the Contract Administrator to assure that the requirements of the Contract are provided as specified. The Contractor will also provide supervision of the work to insure it complies with the contract requirements. 4.6 Safety Requirements A. Public Safety and Convenience: The safety of the public and the convenience of traffic shall be regarded as prime importance. All portions of streets shall be kept open to traffic. The Contractor shall coordinate all Work with the Contract Administrator and shall place warning signs in accordance with the current version of the Texas Manual on Uniform Traffic Control Devices. The Contractor shall provide all signs, sign stands, safety flags, and all other safety materials or devices as well as safety vests to protect the mowers and the traveling public. The Contractor will be responsible for the maintenance or replacement of these items as necessary. If at any time work is in progress, the traffic control devices do not accomplish the intended purpose due to weather or other conditions affecting the safe handling of traffic, the Contractor shall immediately make necessary changes thereto to correct the unsatisfactory conditions. These provisions for directing traffic will not be paid for directly, but shall be subsidiary to the various bid items of this contract. B. Chemicals: All products (chemicals) shall be kept in a properly labeled container and a Safety Data Sheet (SDS) kept on each item, in a clearly marked SDS notebook by the contractor. The Contractor shall also supply a copy of all SDS sheets to the Contract Administrator. 4.7 Equipment A. All Contractors grounds and turf maintenance equipment must be equipped with safety devices which conform to manufacturer's standards and all applicable OSHA regulations to prevent damage to property. All equipment shall be kept in good operating condition and shall be maintained to provide a clean sharp cut of vegetation at all times. All equipment shall be approved by the Contract Administrator. The typical type of equipment required for the ground maintenance operations are commercial riding lawn mowers 60" or larger, blade edger, string line trimmers and blowers. B. Should the Contractor's equipment require service while at any location, the Contractor must notify the Contract Administrator or designee. The Contractor shall not permit any oil, grease, or lubricants to spill onto or to contaminate the soil. The Contractor shall be responsible for any clean up and disposal of contaminated soil in accordance with all Applicable City, State, and Federal Regulations. 4.8 Security and Protection of Property A. Security Requirements: 1. The Contractor shall maintain and abide by the security measures at all locations including locking gates when leaving the sites. 2. The Contractor shall not enter the buildings at any location for any reason without receiving prior approval from the Contract Administrator B. Protection of Property: 1. The Contractor shall take proper measures to protect all property which might be damaged by Contractor's Work hereunder, and in case of any damage resulting from any act or omission on the part of or on behalf of the Contractor, the Contractor shall restore at the Contractor's own expense the damaged property to a condition similar or equal to that existing before such damage was done, or he shall make good such damage in an acceptable manner. 2. All damages which are not repaired or compensated by the Contractor will be repaired or compensated by City forces at the Contractor's expense. All expenses charged by the City for repair work or compensation shall be deducted from any monies owed to the Contractor. 4.9 Notifications and Inspections A. Each Monday morning prior to 8:00 a.m., the Contractor shall call or email the assigned Contract Administrator indicating the locations and work being performed that week. No work shall be done without proper, prior notification. B. When a location is completed, the assigned City Inspector shall inspect the site and advise the Contractor of any discrepancies. The Contractor shall take whatever action necessary to correct the discrepancies within one working day. For the purpose of this contract, workdays shall include Monday-Friday, unless one of the days is a City designated holiday. The Contract Administrator shall then make another inspection and if the discrepancies have not been corrected, the Contractor will be notified and a $25 re-inspection fee will be charged for a third inspection. At that time the Contractor shall have one working day to complete the work. If the discrepancies still have not been corrected, the Contractor will be notified to correct the discrepancies and a $25 fee will be charged for each additional inspection necessary until discrepancies have been corrected. The City shall deduct the inspection fee from the payment to be made to the Contractor for that cycle of maintenance. C. The City shall have the right at all times to examine the supplies, materials and equipment used by the Contractor, its subcontractors, agents, and employees. D. Work Crew Supervision: The Contractor shall provide qualified supervision of each crew at all times while working under this Contract. Each supervisor shall be authorized by the Contractor to accept and act upon all directives issued by the City and Contract Administrator. Failure of the supervisor to act on said directives shall be sufficient cause to give notice that the Contractor is in default of the contract, unless such directives would create potential personal injury or safety hazards. E. Contractor shall promptly (same day) notify the Contract Administrator of any broken or damaged irrigation systems and poor or inadequate irrigation patterns, holes, cave-ins, or depressions in turf grass, mulched areas, broken signs, watering schedules defects or hazards that impact quality of turf and/or landscaping. F. The Contractor shall be responsible for the replacement of any plantings that may be damaged due to improper performance of designated maintenance activities. In such case, the Contract Administrator or designee shall specify when replacement is to be made. If the Contractor fails to replace the plantings according to instruction of the Contract Administrator, the Contractor agrees that the City may replace and reduce the Contractor payment by the amount of cost of replacement planting. Exhibit 1 ID Group 10 City Parks Area/Location Acre 1 Bear Creek 6733 Bison 9.00 2 Captain Falcon 4712 Oso Parkway 1.73 3 Cimarron 8109 Rock Crest Drive 3.00 4 Crossgate 5307 Cross Valley 4.83 Total Acres 18.56 #1 Bear Creek Park Google earth Imagery Date: }112212611 2. -3 3:A " •!- •9 -'2e' 's -1 V `Ict' 18 Fr air S: 6h R 'magery Date, -1^2; 2.•'! 27=%.,32.h5"1 7723'M1g:1E'btl Lie .• 22ft e}e el GROUP 15 4.1 General Requirements Provide complete grounds maintenance including all reasonable and necessary labor, supervision, equipment and supplies to keep contracted areas properly maintained. 4.2 Scope of work Provide complete grounds maintenance including litter and debris removal, mowing, trimming, applying fertilizer and landscaping maintenance of City owned property as shown on Exhibit 1. Prep Work a. The Contractor and all related employees shall attend an orientation prior to the term of the contract and each extension at the following location: Parks and Recreation Maintenance 5352 Ayers St. Bldg. 4 Corpus Christi, Texas 78415 b. Prior to each operation, the Contractor shall remove all litter and debris, including paper, cans, bottles, bags, grass clippings, accumulated leaves, palm fronds, and other tree litter including tree limbs from the identified locations. Including, but not limited to, fence lines, sidewalks, trees, shrubs, groundcover beds, all curbs and gutters, and other hard surfaces within the identified location. Pick-up shall consist of removal of visible litter larger than three inches square. Special attention shall be given to insure the removal of objects, which may cause injury, if thrown from equipment. c. After operations, the Contractor shall remove any visible trash and debris that were cut up during the process. The Contractor shall not dispose of any trash or debris into dumpsters located on City property. The trash and debris must be removed from City property and disposed of in accordance with all City ordinances. All trash and litter shall be disposed of properly at the Contractor's expense and proof of such proper disposal through third party invoices or landfill receipts shall be turned in to the Contract Administrator on a monthly basis. d. Contractor is required to cover/tarp debris while transporting for disposal and while moving from site to site. e. Should the Contractor dispose of the litter and debris at an illegal dumpsite, it is grounds for termination of this agreement. Mowing and Trimming a. Turf shall be mowed to a height of three inches using reel or rotary type mowers. Rough cutting, scraping and bush hogging will not be permitted. Turf shall be mowed to maintain a neat appearance. If any mowing is to be omitted or delayed, it shall be omitted or delayed only at the discretion of the Contract Administrator or authorized designee. Mowing cycles must be completed according to the cycle description indicated below. b. Cycles Description Groups 9-15 • Growing Season (March - October) Bi -weekly - 18 cycles • Non -growing Season (November - February) Monthly - 4 cycles c. Mower height to be measured with mower on a flat, paved surface. A high quality of cut shall be provided using mowers with sharp cutting blades so as not to tear, but cleanly cut the blades of grass. Mowing shall be performed in a manner as not to damage trees, shrubs, plants, signs, or other obstructions. d. String line trimmers shall not be used to mow or trim turf areas wider than 24 inches, except in areas approved by the Contract Administrator. e. Mowing and trimming operations shall be performed in such a manner as to prevent the piling of excessive and unsightly grass clippings and leaves on lawns. The Contractor shall remove excessive clippings immediately following each mowing cycle prior to the work crew leaving the work site. f. All resulting clippings and leaves shall be removed from any roadway, walkway, parking area, or any other hard surface including curbs and gutters and from plant beds, tree collars, etc. g. Contractor shall perform all trimming for each cycle using herbicides, hand labor, or mechanical devices. Trimming shall include around all trees, shrubs, beds, fences, groundcovers, utilities, poles, buildings, obstacles, curbing, sidewalks, parking lot, concrete pads, including cracks and expansion joints, edges of all exterior hard surfaces. Any vegetation not cut by the mowing operation located adjacent to, above, or hanging over the curb must be trimmed each mowing cycle. At time of each mowing, trimming shall be done in a manner as not to damage trees, shrubs, fences, etc. At no time shall wild vegetation be allowed to grow out of these areas. h. At the time of each mowing, the Contractor shall remove "sucker" growth at the base of trees before it reaches one foot in height and all materials and debris shall be removed from site after each such pruning. Edging a. Cut all edges with a mechanical edging device (not a line trimmer). This includes all curbs and sidewalks. b. The Contractor shall promptly remove all debris, including soil and trimmings from the areas, sidewalks, and roadways after each edging operation prior to the work crew leaving the work site. Edge only with steel disc or steel blade edger's. String line trimming shall not be used for edging. Fertilizing The Contractor shall provide an application of a 3-1-2 ratio of slow release fertilizer during the growing season. Apply fertilizer that has been formulated for this area, is appropriate for the type of turf grass being fertilized and use manufacturer's recommendation for rate of application. 4.3 Landscaping Maintenance Contractor shall provide complete landscaping maintenance including herbicide applications to control weeds in perennial beds, and around mulched areas of trees and shrubs; mulch designated areas; prune existing shrubs, groundcovers, and hedges; application of pesticide. Weed Control a. Hard Surfaces: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) from expansion joints, cracks of sidewalks, parking lots, curbing and concrete medians, including road pavement that is within two feet of said areas. b. Beds and Groundcovers - Weed -Free Maintenance: Contractor shall use herbicides and hand labor to remove and control undesirable vegetation (weeds) in landscaped areas (designated beds, tree collars, and groundcover to include mulch, decomposed granite, decorative rock and plant cover) shall be provided at a minimum of once per month throughout the year. c. Contractor shall mix herbicide and apply according to the manufacturer recommendation and current State licensing requirements. Recommended herbicide is Roundup, Aquaneat, or other products safe for waterways. The successful Contractor(s) will be required to possess a current commercial applicator license for applying herbicide at all designated locations. Contractor shall apply herbicide at a distance of 12 inches along both sides of designated fence lines except fences bordering adjacent private property. In such cases, herbicides shall be applied only to the City side of the fence. Herbicide shall not be applied around any trees and shrubs. The spraying shall be parallel to the fence lines and structures and shall be straight, not irregular; spray pattern must conform to the size and shape of all other obstacles. The Contractor shall be responsible for performing touch-up spraying for any areas missed or any areas where rain has washed off the herbicide before it has taken effect. The Contractor shall be responsible for any damage done to private property caused by over spray. The Contractor shall not use any water connection, hose, or faucet at any location for solution water for herbicide or pesticide. Use of any water connection is a violation of the Texas Natural Resources Conservation Commission rules and regulations, City of Corpus Christi Water Division rules and regulations, and the terms and conditions of this contract. Mulch a. The Contractor shall treat all areas to be mulched with a pre -emergent herbicide application of either Barricade (manufactured by Sandoz Corp.) or Snapshot (manufactured by Dow Chemical), according to the Manufacturer's specifications, prior to applying the mulch. b. The Contractor shall mulch at a depth of four inches. c. Mulch material shall be "Aged Pine Bark" mulch -color black. Mulch used must be previously approved by the Contract Administrator prior to applying. d. The Contractor shall turn, fluff, and rake all existing shrub beds, tree collars, flowerbeds, and groundcover beds each spring in March. e. Mulch requirements do not include playground areas. Pruning existing shrubs, groundcovers, and hedges The Contractor shall maintain plant materials in an attractive and healthy growing condition by performing the following operations and other incidental work thereto: a. Prune shrubs, groundcovers, and hedges by shaping back to the size that existed at the beginning of the current season. Prune in appropriate season so as not to remove ornamental fruit or blooms. Pruning shall occur before growth exceeds six inches. Care shall be taken to ensure natural form and shape of plants is maintained. b. Remove all dead and damaged branches of shrubs and groundcovers and hedges. Remove all Johnson grass or other weeds growing in and out of the bushes. c. Remove all materials and debris from trimming operations daily after each pruning prior to leaving the work site. Application of Pesticides a. The Contractor shall apply all pesticides in accordance with manufacturer's labeling and all applicable federal, state, and local regulations. The City does not require a specific brand of pesticide to be used as long as applications are used for their intended purposes only. b. All pesticides used for control purposes, shall be applied by a Licensed Commercial Pesticide Applicator for: 1) Ornamental Plant and Shrub Control 2) Pest Control No uncertified persons shall apply or otherwise handle any pesticide. The above certifications, registrations, licenses, and permits must be issued by the Texas Department of Agriculture and shall be kept valid throughout the term of this contract. c. Pesticide applications under this contract will require spot treatment for ants, plant and shrub related insects or parasites d. No "Restricted Use Pesticides" as classified by the administrator of the Environmental Protection Agency shall be used in performance of this contract e. Pesticide treatment of trees is not required under this contract. f. The Contractor accepts total responsibility for replacement of ornamental plants, grasses, or trees whether owned by the City or others, which the City judges to have been damaged or killed as a result of pesticide application under this contract. 4.4 Work Site and Conditions A. The work shall be performed at locations throughout the City as defined by group. See Exhibit 1 for locations. B. Contractor shall supply the City with a work schedule to indicate the normal starting and completion times for its operations. The Contractor shall provide landscaping and grounds maintenance only in appropriate months and in accordance with the City's cycle requirements. Changes in such work schedules must be approved by the City. C. Work Hours: The Contractor will confine all operations to daylight hours, Monday through Friday, unless one of the days is a City designated holiday. Saturday and Sunday work will require approval from the Contract Administrator or Superintendent to ensure there is no interference with activities, rentals or special events. D. Non -Work Hours: The Contractor may not store any equipment or tools on any site. After completion of work at any site, the Contractor must remove all equipment, supplies, and materials from that site. E. Ozone Warning Days: 1. No mowing will be done on the designated Ozone Action Days except in the case of a special event, emergency or removing a liability. If mowing is necessary for such a situation, mowing will be kept to a minimum. However, the Contract Administrator or designee will retain the right to determine and notify the contractor of any such special event, emergency or liability 2. All push mowers, string line trimmers, riding mowers and other small engines will not be used at all. 3. Diesel powered mowing equipment will be allowed to operate on the second day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee, and received permission to proceed with work order. 4. Equipment using reformulated gas will be allowed to operate on the third day of back-to-back Ozone Action Days if equipment is labeled stating the type of fuel used and the contractor has made contact with the Contract Administrator, or designee and received permission to proceed with work order. 4.5 Contractor Quality Control and Superintendence The Contractor shall establish and maintain a complete Quality Control Program that is acceptable to the Contract Administrator to assure that the requirements of the Contract are provided as specified. The Contractor will also provide supervision of the work to insure it complies with the contract requirements. 4.6 Safety Requirements A. Public Safety and Convenience: The safety of the public and the convenience of traffic shall be regarded as prime importance. All portions of streets shall be kept open to traffic. The Contractor shall coordinate all Work with the Contract Administrator and shall place warning signs in accordance with the current version of the Texas Manual on Uniform Traffic Control Devices. The Contractor shall provide all signs, sign stands, safety flags, and all other safety materials or devices as well as safety vests to protect the mowers and the traveling public. The Contractor will be responsible for the maintenance or replacement of these items as necessary. If at any time work is in progress, the traffic control devices do not accomplish the intended purpose due to weather or other conditions affecting the safe handling of traffic, the Contractor shall immediately make necessary changes thereto to correct the unsatisfactory conditions. These provisions for directing traffic will not be paid for directly, but shall be subsidiary to the various bid items of this contract. B. Chemicals: All products (chemicals) shall be kept in a properly labeled container and a Safety Data Sheet (SDS) kept on each item, in a clearly marked SDS notebook by the contractor. The Contractor shall also supply a copy of all SDS sheets to the Contract Administrator. 4.7 Equipment A. All Contractors grounds and turf maintenance equipment must be equipped with safety devices which conform to manufacturer's standards and all applicable OSHA regulations to prevent damage to property. All equipment shall be kept in good operating condition and shall be maintained to provide a clean sharp cut of vegetation at all times. All equipment shall be approved by the Contract Administrator. The typical type of equipment required for the ground maintenance operations are commercial riding lawn mowers 60" or larger, blade edger, string line trimmers and blowers. B. Should the Contractor's equipment require service while at any location, the Contractor must notify the Contract Administrator or designee. The Contractor shall not permit any oil, grease, or lubricants to spill onto or to contaminate the soil. The Contractor shall be responsible for any clean up and disposal of contaminated soil in accordance with all Applicable City, State, and Federal Regulations. 4.8 Security and Protection of Property A. Security Requirements: 1. The Contractor shall maintain and abide by the security measures at all locations including locking gates when leaving the sites. 2. The Contractor shall not enter the buildings at any location for any reason without receiving prior approval from the Contract Administrator B. Protection of Property: 1. The Contractor shall take proper measures to protect all property which might be damaged by Contractor's Work hereunder, and in case of any damage resulting from any act or omission on the part of or on behalf of the Contractor, the Contractor shall restore at the Contractor's own expense the damaged property to a condition similar or equal to that existing before such damage was done, or he shall make good such damage in an acceptable manner. 2. All damages which are not repaired or compensated by the Contractor will be repaired or compensated by City forces at the Contractor's expense. All expenses charged by the City for repair work or compensation shall be deducted from any monies owed to the Contractor. 4.9 Notifications and Inspections A. Each Monday morning prior to 8:00 a.m., the Contractor shall call or email the assigned Contract Administrator indicating the locations and work being performed that week. No work shall be done without proper, prior notification. B. When a location is completed, the assigned City Inspector shall inspect the site and advise the Contractor of any discrepancies. The Contractor shall take whatever action necessary to correct the discrepancies within one working day. For the purpose of this contract, workdays shall include Monday-Friday, unless one of the days is a City designated holiday. The Contract Administrator shall then make another inspection and if the discrepancies have not been corrected, the Contractor will be notified and a $25 re-inspection fee will be charged for a third inspection. At that time the Contractor shall have one working day to complete the work. If the discrepancies still have not been corrected, the Contractor will be notified to correct the discrepancies and a $25 fee will be charged for each additional inspection necessary until discrepancies have been corrected. The City shall deduct the inspection fee from the payment to be made to the Contractor for that cycle of maintenance. C. The City shall have the right at all times to examine the supplies, materials and equipment used by the Contractor, its subcontractors, agents, and employees. D. Work Crew Supervision: The Contractor shall provide qualified supervision of each crew at all times while working under this Contract. Each supervisor shall be authorized by the Contractor to accept and act upon all directives issued by the City and Contract Administrator. Failure of the supervisor to act on said directives shall be sufficient cause to give notice that the Contractor is in default of the contract, unless such directives would create potential personal injury or safety hazards. E. Contractor shall promptly (same day) notify the Contract Administrator of any broken or damaged irrigation systems and poor or inadequate irrigation patterns, holes, cave-ins, or depressions in turf grass, mulched areas, broken signs, watering schedules defects or hazards that impact quality of turf and/or landscaping. F. The Contractor shall be responsible for the replacement of any plantings that may be damaged due to improper performance of designated maintenance activities. In such case, the Contract Administrator or designee shall specify when replacement is to be made. If the Contractor fails to replace the plantings according to instruction of the Contract Administrator, the Contractor agrees that the City may replace and reduce the Contractor payment by the amount of cost of replacement planting. Exhibit 1 ID Group 15 City Parks Area/Location Acre 1 Crestmont 3521 Cresthill 2.30 2 Ridgewood 5730 Malden 3.31 3 Gardendale 5522 Holly Rd. 3.63 4 Sands 1802 Silver Sand Dr. 5.50 5 South Fork 2838 Oso Parkway 0.75 Total Acres 15.49 #1 Crestmont Park it 119561nagery Date: 11/72/2011 27°42'45.86°' N 97°24'58.17" W elev 26 ft eye alt 1266 ft U #2 Ridgewood Park • 1956magery Date: tt 22j2011 2741:55.88" N 9722'49.53" W elev 23 ft, eye'alt 19181ft #3 Gardendale Park 27°42'06.82" N 97°22'56.27" 11V elevw 24>ft eye alt 111711 #4 Sands Park 40 19 46 n gery,IDete 11.22 2011. 14, 101 .,r 27'41'04.96" N 97"20'26.85`' N elev 14 ft eye alt 11:14 ft #5 South Fork Park • d..4.1111 re "slert. 014V*4 (;3'.. SCA )4)C ea r trl afirr 4 - , . 2704 nal 21.41 .9702059.04" W el.ev 9 ft eAilalt 1199 ft 0 Date: ATTACHMENT B-BID/PRICING SCHEDULE CITY OF CORPUS CHRISTI BID FORM PURCHASING DIVISION RFB No. 139 Grounds Maintenance Authorized Bidder: POi Signature: 1. Refer to "Instructions to Bidders" and Contract Terms and Conditions before completing bid. 2. Quote your best price for each item. 3. In submitting this bid, Bidder certifies that: a. the prices in this bid have been arrived at independently, without consultation, communication, or agreement with any other Bidder or competitor, for the purpose of restricting competition with regard to prices; b. Bidder is an Equal Opportunity Employer; and the Disclosure of Interest information on file with City's purchasing office, pursuant to the Code of Ordinances, is current and true. c. Bidder is current with all taxes due and company is in good standing with all required governmental agencies. d. Bidder acknowledges receipt and review of all addenda for this RFB. GROUP w 9 Acres Cycles Growing Season (March -October) 16.63 18 Non Growing Season (November -February) 16.63 4 Unit Price per Cycle $ (03. c94)7 ?3'/. `r jk03.°° $b(5c2 Total Price Date: CITY OF CORPUS CHRISTI BID FORM PURCHASING DIVISION RFB No. 142 Grounds Maintenance Authorized Bidder: A24,7/77- Signature: 1. Refer to "Instructions to Bidders" and Contract Terms and Conditions before completing bid. 2. Quote your best price for each item. 3. In submitting this bid, Bidder certifies that: a. the prices in this bid have been arrived at independently, without consultation, communication, or agreement with any other Bidder or competitor, for the purpose of restricting competition with regard to prices; b. Bidder is an Equal Opportunity Employer; and the Disclosure of Interest information on file with City's purchasing office, pursuant to the Code of Ordinances, is current and true. c. Bidder is current with all taxes due and company is in good standing with all required governmental agencies. d. Bidder acknowledges receipt and review of all addenda for this RFB. GROUP 10 Acres Bi -Weekly Cycles Unit Price per Cycle Total Price Growing Season (March -October) 18.56 18 g3.50 /5033.6 1 Non Growing Season6 (November -February) 18.56 4 F 3.',1 CITY OF PURCHASING Grounds CORPUS CHRISTI BID FORM DIVISION RFB No. 146 Maintenance Authorized Signature: Contract Terms that: arrived at independently, with any other with regard Employer; and pursuant to due and company and review of all ti c 48 ',:.,•:.. ggitll , NI ,to 4cot, . 452, Date: Bidder: 1. Refer completing 2. Quote 3. In submitting a. the communication, purpose b. Bidder on and c. Bidder required d. Bidder ,..--- 67/e/1,772 to "Instructions to Bidders" and bid. your best price for each item. this bid, Bidder certifies prices in this bid have been or agreement of restricting competition is an Equal Opportunity file with City's purchasing office, true. is current with all taxes governmental agencies. acknowledges receipt and Conditions before without consultation, Bidder or competitor, for the to prices; the Disclosure of Interest information the Code of Ordinances, is current is in good standing with all addenda for this RFB. GROUP 15 Acres Bi-Weekly Cycles Unit Price per Cycle Total Price Growing Season - (MarchOctober) 15.49 18 $ 506 $ Non Growing Season (November-February) ____ 15.49 4 $ C.-). 4' Lie $ ,72 03F ATTACHMENT C -INSURANCE REQUIREMENTS I. CONTRACTOR'S LIABILITY INSURANCE 1. Contractor must not commence work under this agreement until all insurance required herein has been obtained and approved by the City's Risk Manager or designee. Contractor must not allow any subcontractor to commence work until all similar insurance required of the subcontractor has been so obtained. 2. Contractor must furnish to the Risk Manager and Contract Administrator one copy of Certificates of Insurance with applicable policy endorsements showing the following minimum coverage by an insurance company(s) acceptable to the Risk Manager or designee. The City must be listed as an additional insured for the General Liability and Auto Liability policies, and a waiver of subrogation is required on all applicable policies. Endorsements must be provided with Certificate of Insurance. Project name and/or number must be listed in Description Box of Certificate of Insurance. TYPE OF INSURANCE MINIMUM INSURANCE COVERAGE 30 -day advance written notice of cancellation, non -renewal, material change or termination required on all certificates and policies. Bodily Injury and Property Damage Per occurrence - aggregate Commercial General Liability including: 1. Commercial Broad Form 2. Premises - Operations 3. Products/ Completed Operations 4. Contractual Liability 5. Independent Contractors 6. Personal Injury- Advertising Injury $1,000,000 Per Occurrence $2,000,000 Aggregates BUSINESS AUTOMOBILE LIABILITY 1. Owned 2. Hired & Non -owned 3. Rented & Leased $1,000,000 Combined Single Limit WORKERS' COMPENSATION (All States Endorsement if Company is not domiciled in Texas) Employer's Liability Statutory and complies with part II of this Exhibit $500,000 / $500,000 / $500,000 3. In the event of accidents of any kind related to this project, Consultant must furnish the Risk Manager with copies of all reports of such accidents within 10 days of the accident. II. Additional Requirements 1. Applicable for paid employees, Contractor must obtain workers' compensation coverage through a licensed insurance company. The coverage must be written on a policy and endorsements approved by the Texas Department of Insurance. The workers' compensation coverage provided must be in an amount sufficient to assure that all workers' compensation obligations incurred by the Contractor will be promptly met. An All States endorsement shall be required if consultant is not domiciled in the State of Texas. 2. Contractor shall obtain and maintain in full force and effect for the duration of this Contract, and any extension hereof, at Contractor's sole expense, insurance coverage written on an occurrence basis, by companies authorized and admitted to do business in the State of Texas and with an A.M. Best's rating of no less than A- VII. 3. Contractor shall be required to submit replacement Certificate of Insurance to City at the address provided below within 10 days of any change made by the Contractor or as requested by the City. Contractor shall pay any costs incurred resulting from said changes. All notices under this Article shall be given to City at the following address: City of Corpus Christi Attn: Risk Management P.O. Box 9277 Corpus Christi, TX 78469-9277 4. Contractor agrees that with respect to the above required insurance, all insurance policies are to contain or be endorsed to contain the following required provisions: ■ List the City and its officers, officials, employees, and volunteers, as additional insureds by endorsement with regard to operations, completed operations and activities of or on behalf of the named insured performed under contract with the City, with the exception of the workers' compensation policy. ■ Provide for an endorsement that the "other insurance" clause shall not apply to the City of Corpus Christi where the City is an additional insured shown on the policy; • Workers' compensation and employers' liability policies will provide a waiver of subrogation in favor of the City; and • Provide 30 calendar days advance written notice directly to City of any cancellation, non -renewal, material change or termination in coverage and not less than ten calendar days advance written notice for nonpayment of premium. 5. Within five calendar days of a cancellation, non -renewal, material change or termination of coverage, Contractor shall provide a replacement Certificate of Insurance and applicable endorsements to City. City shall have the option to suspend Contractor's performance should there be a lapse in coverage at any time during this contract. Failure to provide and to maintain the required insurance shall constitute a material breach of this contract. 6. In addition to any other remedies the City may have upon Contractor's failure to provide and maintain any insurance or policy endorsements to the extent and within the time herein required, the City shall have the right to order Contractor to stop work hereunder, and/or withhold any payment(s) which become due to Consultant hereunder until Contractor demonstrates compliance with the requirements hereof. 7. Nothing herein contained shall be construed as limiting in any way the extent to which Contractor may be held responsible for payments of damages to persons or property resulting from Contractor's or its subcontractor's performance of the work covered under this contract. 8. It is agreed that Contractor's insurance shall be deemed primary and non- contributory with respect to any insurance or self-insurance carried by the City of Corpus Christi for liability arising out of operations under this contract. 9. Itis understood and agreed that the insurance required is in addition to and separate from any other obligation contained in this agreement. 2016 Insurance Requirements Parks & Recreation Grounds Maintenance Mowing 06/13/16 my Risk Management ATTACHMENT C- BOND REQUIREMENTS No Bond Requirement is necessary for this Service Agreement. ATTACHMENT D- WARRANTY REQUIREMENTS No warranty is required for the Service Agreement. 3642 Ocean Drive EAN;DR Owner PRESSLEY WILLIAM NEEL AND' .,-- tDR 41---'334t1-,636 °CEMif OwTier:,C4TLE1TI:r \ GREGORWAND:I 4siikri.3646 DENVER AVE 6mner: HERRMAN GREGORY H 36S3 OCEAN DR Owner DHAR PRADIP AKA PRADIP K, , 36621DENVER AVE OwnnTrAREYRE JOSE NTCNIORUBIO P25 M 011=1111=IMIMIll Fitaf River Park & Beal Drive ;owner, SHANKS4730'BEAL=DR� 1 TIN*KIRB i L Owner ILSENG JEFFREY AND 14709.SANTA GERTRUDISOR Owner FEILER VANCEM AND,. 14726 BEAL,DR ,Owner. MAINZ ELLIS GERARD" 0.4 122,BEAL?DR Owner, RASMUSSON ,MARK.D,ET UX 147117SANTA'a� GERTRUDISDR Owner.; MCDANIEL'ANGRE Wti11Y' tr- 88 TEAL O r ,‘Owner: DILLON RODNEYCAIN • tr- 14701SS NTR,OERTRUDIS'GR Owner+ARNOLD. i BRADLEY'DEAN.AND • p1 r 4681 TEAL DR' 'Owner. PEREZ.. JOSEDE JUS* 14702 SANTA GERTRUDIS OR :Owner`iVIERA DORA E. 1 Own '•' 4673 TEALDR.' ¶MICHAEeLDDANNDNIS F R 416 Ilmar Immo } 1.14.0.. 111101.0111.11. fribEY.mbe Poem Y.. . - ,4598 RNER ARK.DRu OwneraWEIS JEFFRY `3';JULIE'ANNE! - 4414 (4686)RIVERTPARK+DR cPwiner UCHERT ODY3�IAN 4590 RIVER PARKIDR �Owner.1 DEREESE DENNIS``ANDYW. 4689 RIVER PARKIDR Owner. THORNTO'Ng EDDIE1DEAN AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: TO: November 15, 2016 Margie C. Rose, City Manager FROM: Mike Culbertson (361) 882-7448 mculbertson@ccredc.com Grant for Texas A&M University — Corpus Christi Internship Program CAPTION: Resolution approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Texas A&M University - Corpus Christi (TAMU-CC) to provide grant up to $150,000 for their internship program to assist small businesses. PURPOSE: Award a Type A Grant for Texas A&M University's Internship Program for Small Business Assistance until December 31, 2017 BACKGROUND AND FINDINGS: Texas A&M University — Corpus Christi has a program where students can work for a local company as an intern. The local company will pay minimum wage while the Type A grant will match the wage up to $5.00 per hour plus FICA. This encourages companies to hire interns, it allows the student to get real work experience, and has a goal to create new jobs. The Type A Board has funded this program since 2007. The Board requested staff to look at other alternatives. As such the staff looked at average intern wages and the concerns that were reviewed at the TYPE A Workshop held on April 7, 2015. The agreement addressed those concerns and also allows the use of the intern program for companies that hire those skills that the Type A Board has supported in the past such as the aviation and the process and instrumentation programs. This agreement would run until December 31s` which is the end of a semester to better manage the program. The Board of Directors of the Corpus Christi Regional Economic Development Corporation recommended approval during their August 11, 2016 meeting. The Type A Board approved the grant at their November 14, 2016 meeting. Texas A&M University Internship Progress Report 2008-2016 Year # of F/T Jobs Created # of P/T Interns Placed # of Interns Placed # of Employers unduplicated 2008-2009 10 1 66 25 2009-2010 6 0 84 20 2010-2011 15 9 102 27 2011-2012 8 19 111 28 2012-2013 8 5 115 28 2013-2014 28 12 85 36 2014-2015 15 15 87 30 2015-2016 YTD 7 8 88 30 Total number from 2008-2016 # Of F/T Jobs = 97 # Of P/T Jobs = 69 # Of Interns Placed = 738 # Of Employers = 224 ALTERNATIVES: The Council may choose to not fund the program or fund it at a different amount. OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: This is in keeping with the stated goal of promoting and retaining businesses. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Legal FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016- 2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget 150,000 150,000 Encumbered / Expended Amount This item 150,000 150,000 BALANCE 0 0 Fund: Type A Fund Comments: This item was approved in the Type A Small Business budget RECOMMENDATION: Staff recommends approving the grant for $150,000 for the internship program. LIST OF SUPPORTING DOCUMENTS: Resolution Agreement Page 1 of 2 RESOLUTION Approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Texas A&M University — Corpus Christi (TAMU-CC) to provide grant up to $150,000 for their internship program to assist small businesses. WHEREAS, the Corpus Christi Business and Job Development Corporation ("Type A Corporation") has budgeted funds to assist businesses create or retain jobs in the City of Corpus Christi, Texas ("City"). WHEREAS, the Type A Corporation has requested proposals from businesses that will create or retain jobs within the City, and determined that the proposal from TAMU-CC for an intern program within the City will best satisfy this goal; WHEREAS, City Council deems that it is the best interest of the City and citizens to approve the business incentives agreement for an intern program between the Type A Corporation and TAMU-CC; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. That the business incentives agreement for business development between the Type A Corporation and TAMU-CC for an intern program within the City of Corpus Christi, in the form attached to this resolution, is approved. This resolution takes effect upon City Council approval on this the day of , 2016. ATTEST: THE CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary Dan McQueen Mayor APPROVED: day of , 2016. Corpus Christi, Texas The above resolution was passed by the following vote: Dan McQueen @BCL@DC0536B7 Page 2of2 Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn @BCL@DC0536B7 SMALL BUSINESS INCENTIVES AGREEMENT BETWEEN THE CORPUS CHRISTI BUSINESS AND JOB DEVELOPMENT CORPORATION AND TEXAS A & M UNIVERSITY -- CORPUS CHRISTI FOR AN INTERN PROGRAM TO SUPPORT SMALL BUSINESSES This Small Business Incentives Agreement for ("Agreement") is entered into between the Corpus Christi Business and Job Development Corporation ("Corporation") and Texas A & M University -- Corpus Christi, a Texas institution of higher education ("TAMU-CC"). WHEREAS, the Texas Legislature in Section 4A of Article 5190.6, Vernon's Texas Revised Civil Statutes (Development Corporation Act of 1979), now codified as Subtitle C1, Title 12, Texas Local Government Code, Section 504.002 et seq, ("the Act"), empowered local communities with the ability to adopt an optional local sales and use tax as a means of improving the economic health and prosperity of their citizens; WHEREAS, on November 5, 2002, residents of the City of Corpus Christi ("City") passed Proposition 2, New and Expanded Business Enterprises, which authorized the adoption of a sales and use tax for the promotion and development of new and expanded business enterprises at the rate of one-eighth of one percent to be imposed for 15 years; WHEREAS, the 1/8th cent sales tax authorized by passage of Proposition 2 was subsequently enacted by the City Council and filed with the State Comptroller of Texas, effective April 1, 2003, to be administered by the Corpus Christi Business and Job Development Corporation Board; WHEREAS, the Corpus Christi Business and Job Development Corporation exists for the purposes of encouraging and assisting entities in the creation of jobs for the citizens of Corpus Christi, Texas; WHEREAS, the Board of Directors of the Corporation ("Board"), on August 17, 2015, amended the Corporation's Guidelines and Criteria for Granting Business Incentives ("Type A Guidelines"), which the City Council approved on September 15, 2015; WHEREAS, Section 501.073 of The Act requires the City Council to approve all programs and expenditures of the Corporation; WHEREAS, TAMU-CC has requested business development funds from the Board to assist small businesses by providing access to students, who will serve as interns in professional level positions; WHEREAS, the small businesses will pay student interns minimum wage (currently $7.25 per hour) and TAMU-CC will match the business contribution up to $5.00 per hour. WHEREAS, the interns will be selected based on the needs of the small businesses with the goal of providing the businesses with resources that make the businesses more effective and provide growth opportunities; WHEREAS, the primary goal of the program is to provide support to small businesses in Corpus Christi that will encourage growth, retention, economic development, and job creation; WHEREAS, the goal of the project is the creation of 1 new full time job for every 10 internship positions funded (a 10% new job "return on investment"); Page 1 of 10 Agreement TAMUCC (3) WHEREAS, a secondary benefit of the small business intern program is providing students real- xvodd eupehence, while they are making a living wage without working extended hours and developing potential full-time employment opportunities following graduation; In consideration of the cpvenaDts, pronliaea, and conditions stated in this Aoreenlerd, Corporation and TAMU-CC agree as follows: 1. Effective Date. The effective date of this Agreement ("Effective Date") is the latest date that either party executes this Agreement. 2. Term. a. The term of this Agreement is for fifteen months from January 1, 2017, through December 31.2O17. b. This Agreement may be extended at the option of the Corporation for up to two additional one year terms, contingent upon annual appropriation of funds and approval of the City Council. Per the guidelines, TAMU-CC must reapply every year for the grant. 3. Grant. a. The Corporation will grant TAMU-CC an incentive of up to One Hundred Fifty Thousand Dollars ($150.000.00). which must be used to fund up to $5.00 per hour the salary of the interns during the Spring Semester of 2017, Summer Session in 2017. and the Fall Semester 2017, and the entire salary on two interns hired to help administer the program during the Fall and Spring Semesters and Summer Session. The interns will be paid $12.25 per hour, while participating in TAMU-CC's Small Business Employer Intern Program. b. The Con's grant conditioned upon TAMU-CC's successful completion of the terms of this Agreement. c. The Corporation's grant shall be paid in monthly installments based upon evidence of the amount paid by TAMU-CC to the small business employers during the prior month. 4. TAMU-CC's Duties and Responsibilities. a. TAMU-CC shall provide administrative oversight and direct supervision for the placement of interns in the TAMU-CC's Small Business Employer Intern Program. b. TAMU-CC shall create and maintain not less than one part-time intern (1) employment position to assist in the Small Business Employer Intern Program in Corpus Christi, Nueces County, Texas, during the term of this Agreement. The intern must be paid $12.25 per hour. c. TAMU-CC shall p|oce, with small businesses in Corpus ChhGb, up to the total number of interns specified in Schedule A, during any the academic year. (1) Since the primary goal of the TAMU-CC's Small Business Employer Intern Program is to provide support to small businesses in Corpus Christi that will encourage growth, retention, economic development, and job creation, Page 2 of 10 Agreement TAMUCC (3) placements must be based on the needs of the small business with the goal of providing the business with resources that make the business more effective and provide growth opportunities for the businesses. (2) For the purpose of this section a small business may include a chambers of connmeroe, non-profit orOanizatione, and other entity that will use the intern to assist exiodng, etodt-up, and home based small businesses in the City; recruit new small business to the City; assist the expansion of existing small businesses in the City; help entrepreneurs create start-up businesses; or help the owners and managers of smatl businesses develop their businesses. d. TAMU-CC shall ensure that the small business employer of each intern pays the student intern the minimum mage, and TAMU-CC shall match the small business employer's payments to the interns up to $5.00 per hour. e. TAMU-CC shall try to place the interns for 20 hours per week and 12 weeks per semester or summer sessions. f. TAMU-CC shall work with the small businesses that receive interns under the program to encourage the creation of permanent full time jobs for the interns or similarly qualified individuals. 5. Job Creation/Training Qualification. a. In order to count as a created job under this Aoneement, the job must pay wages at least as high as the wages required by Section 501.162 of the Act, which is the median wage of the occupation in the Corpus Christi MSA as determined by Texas Workforce Commission's Texas Industry Profiles report. b. In order to qualify for funds to provide job training under this /\oreenlent, TAMU-CC agrees to create new jobs that pay wages at least as high as the wages required by Section 501.162 of the Act, which is the median wage of the occupation in the Corpus Christi MSA as determined by Texas Workforce Commission's Texas Industry Profiles report. c. A "job" is defined in the Type A Guidelines as a full-time ennp|oyee, contractor, oonou|tant. or leased employee who has a home address in the Corpus Christi MSA. d. TAMU-CC agrees to confirm and document to the Corporation that the minimum number of jobs created as a result of funding provided by this Agreement is maintained throughout the term by the Business. e. TAMU-CC agrees to provide Corporation with a sworn certificate by authorized representative of each business assisted under this Agreement certifying the number of full-time permanent employees employed by the business. f. TAMU-CC shall ensure that the Corporation is allowed reasonable access to Page 3 of 10 Agreement TAMUCC (3) 6. Reports and Monitoring. a. TAMU-CC shall provide a report at the end of each semester or summer session certifying the status of compliance through the Iife of the Agreement. Documentation for jobs may be in the form of quarterly IRS 941 returns, TAMU-CC employer Quarterly Reporto, or employee rosters and other reports listed below: i. number of interns ii. name of companies using interns iii. intern duties iv. whether the intern received a job at that company v. whether the intern received a job in the area. b. TAMU-CC, during normal working hours shall allow the Corporation and its desinee. City of Corpus Christi Economic Development C)mportnlent, reasonable access to TAMU- CC's employment records and bookm, to verify employment and all other relevant records related to each of the other economic development considerations and incendvea, as stated in this Agneonn8nt, but the confidentiality of the records and information must be maintained by Corporation and its deaignem, unless such records and information shall be required by a court order, a lawfully issued eubpoena, or at the direction of the Office of the Texas Attorney General. 7. Warranties. TAMU-CC warrants and represents to Corporation the foltowing: a. TAMU-CC is a member of the Texas A&M University Svstenn, and an institution of higher education under the laws of the State of Texas. b. TAMU-CC has the authority to enter into and parfnmn, and will parfornl. the terms of this Agreement to the best of its ability. c. TAMU-CC has timely filed and will timely file all local, State, and Federal tax reports and returns required by laws to be filed and all Texos, aaaesonlmnte, fees, and other governmental chorgma, including applicable ad valorem tames, have been timely paid, and will be timely paid, during the term of this Agreement. d. TAMU-CC has received a copy of the Act, and acknowledges that the funds granted in this Agreement must be utilized solely for purposes authorized under State Iaw and by the terms of this Agreement. e. The parties executing this Agreement on behalf of TAMU-CC are duly authorized to execute this Agreement on behalf of TAMU-CC. f. TAMU-CC does not and agrees that it will not knowingly employ an undocumented worker. If, after receiving payments under this Aonaanmert, TAMU-CC is convicted of a violation under §U.S.C. Section 1324oUl, TAMU-CC shall repay the payments at the rate and according to the terms as specified by City C)ndinance, as amended, not later than the 120th day after the date l7\MU-CC has been notified ofthe violation. 8. Compliance with Laws. TAMU-CC shall observe and obey all applicable |mvva, ordinances, regulations, and rules of the Federal, State, county, and city governments. Page 4 of 10 Agreement TAMUCC (3) 9. Non -Discrimination. TAMU-CC covenants and agrees that TAMU-CC will not discriminate nor permit discrimination against any person or group of persons, with regard to employment and the provision of services at, on, or in the Facility, on the grounds of race, religion, national origin, marital status, sex, age, disability, or in any manner prohibited by the laws of the United States or the State of Texas. 10. Force Majeure. If the Corporation or TAMU-CC are prevented, wholly or in part, from fulfilling its obligations under this Agreement by reason of any act of God, unavoidable accident, acts of enemies, fires, floods, governmental restraint or regulation, other causes of force majeure, or by reason of circumstances beyond its control, then the obligations of the Corporation or TAMU-CC are temporarily suspended during continuation of the force majeure. If either party's obligation is affected by any of the causes of force majeure, the party affected shall promptly notify the other party in writing, giving full particulars of the force majeure as soon as possible after the occurrence of the cause or causes relied upon. 11. Assignment. TAMU-CC may not assign all or any part of its rights, privileges, or duties under this Agreement without the prior written approval of the Corporation and City. Any attempted assignment without approval is void, and constitutes a breach of this Agreement. 12. Indemnity. To the extent permitted by the laws and the Constitution of the State of Texas, TAMUCC covenants to fully indemnify, save, and hold harmless the Corporation, the City, their respective officers, employees, and agents ("Indemnitees") against all liability, damage, loss, claims demands, and actions of any kind on account of personal injuries (including, without limiting the foregoing, workers' compensation and death claims), or property loss or damage of any kind, which arise out of or are in any manner connected with, or are claimed to arise out of or be in any manner connected with TAMU- CC activities conducted under or incidental to this Agreement, including any injury, loss or damage caused by the sole or contributory negligence of any or all of the lndemnitees. TAMU-CC must, at its own expense, investigate all those claims and demands, attend to their settlement or other disposition, defend all actions based on those claims and demands with counsel satisfactory to Indemnitees, and pay all charges of attorneys and all other cost and expenses of any kind arising from the liability, damage, loss, claims, demands, or actions. 13. Events of Default by TAMU-CC. The following events constitute a default of this Agreement by TAMU-CC: a. The Corporation or City determines that any representation or warranty on behalf of TAMU-CC contained in this Agreement or in any financial statement, certificate, report, or opinion submitted to the Corporation in connection with this Agreement was incorrect or misleading in any material respect when made; b. Any judgment is assessed against TAMU-CC or any attachment or other levy against the property of TAMU-CC with respect to a claim remains unpaid, undischarged, or not dismissed for a period of 120 days. c. TAMU-CC makes an assignment for the benefit of creditors. d. TAMU-CC files a petition in bankruptcy, or is adjudicated insolvent or bankrupt. Page 5 of 10 Agreement TAMUCC (3) e. If taxes owed by TAMU-CC become delinquent, and TAMU-CC fails to timely and properly follow the legal procedures for protest or contest. f. TAMU-CC changes the general character of business as conducted as of the date this Agreement is approved by the Corporation. 14. Notice of Default. Should the Corporation or City determine that TAMU-CC is in default according to the terms of this Agreement, the Corporation or City shall notify TAMU-CC in writing of the event of default and provide 60 days from the date of the notice ("Cure Period") for TAMU-CC to cure the event of default. 15. Results of Uncured Default by TAMU-CC. After exhausting good faith attempts to address any default during the cure Period, and taking into account any extenuating circumstances that might have occurred through no fault of TAMU-CC, as determined by the Board of Directors of the Corporation, the following actions must be taken for any default that remains uncured after the Cure Period. a. TAMU-CC shall immediately repay all funds paid by Corporation to them under this Agreement. b. To the extent permitted by the laws and Constitution of the State of Texas, TAMU-CC shall pay Corporation reasonable attorney fees and costs of court to collect amounts due to Corporation if not immediately repaid upon demand from the Corporation. c. Upon payment by TAMU-CC of all sums due, the Corporation and TAMU-CC shall have no further obligations to one another under this Agreement. d. Neither the City, the Corporation, nor TAMU-CC may be held liable for any consequential damages. 16. No Waiver. a. No waiver of any covenant or condition, or the breach of any covenant or condition of this Agreement, constitutes a waiver of any subsequent breach of the covenant or condition of the Agreement. b. No waiver of any covenant or condition, or the breach of any covenant or condition of this Agreement, justifies or authorizes the nonobservance on any other occasion of the covenant or condition or any other covenant or condition of this Agreement. c. Any waiver or indulgence of TAMU-CC's default may not be considered an estoppel against the Corporation. d. It is expressly understood that if at any time TAMU-CC is in default in any of its conditions or covenants of this Agreement, the failure on the part of the Corporation to promptly avail itself of the rights and remedies that the Corporation may have, will not be considered a waiver on the part of the Corporation, but Corporation may at any time avail itself of the rights or remedies or elect to terminate this Agreement on account of the default. Page 6 of 10 Agreement TAMUCC (3) 17. TAMU-CC specifically agrees that Corporation shall only be liable to TAMU-CC for the actual amount of the money grants to be conveyed to TAMU-CC, and shall not be liable to TAMU-CC for any actual or consequential damages, direct or indirect, interest, attorney fees, or cost of court for any act of default by Corporation under the terms of this Agreement. Payment by Corporation is strictly limited to those funds so allocated, budgeted, and collected solely during the grant term of this Agreement. Corporation shall use its best efforts to anticipate economic conditions and to budget accordingly. However, it is further understood and agreed that, should the actual total sales tax revenue collected for any one year be less than the total amount of grants to be paid to all contracting parties with Corporation for that year, then in that event, all contracting parties shall receive only their pro rata share of the available sales tax revenue for that year, less Corporation's customary and usual costs and expenses, as compared to each contracting parties' grant amount for that year, and Corporation shall not be liable to for any deficiency at that time or at any time in the future. In this event, Corporation will provide all supporting documentation, as requested. Payments to be made shall also require a written request from TAMU-CC to be accompanied by all necessary supporting documentation. 18. The parties mutually agree and understand that funding under this Agreement is subject to annual appropriations by the City Council; that each fiscal year's funding must be included in the budget for that year; and the funding is not effective until approved by the City Council. 19. Notices. a. Any required written notices shall be sent mailed, certified mail, postage prepaid, addressed as follows: TAMU-CC: Texas A & M University — Corpus Christi Attn: Director of Contracts & Property 6300 Ocean Drive, Unit 5731 Corpus Christi, Texas 78412-5731 contracts@TAMU-CC.edu Corporation: City of Corpus Christi Business and Job Development Corporation Attn.: Executive Director 1201 Leopard Street Corpus Christi, Texas 78401 b. A copy of all notices and correspondence must be sent the City at the following address: City of Corpus Christi Attn.: City Manager P.O. Box 9277 Corpus Christi, Texas 78469-9277 Page 7 of 10 Agreement TAMUCC (3) c. Notice is effective upon deposit in the United States mail in the manner provided above. 20. Incorporation of other documents. The Corpus Christi Business and Job Development Corporation Guidelines and Criteria for Granting Business Incentives ('Corporation Guidelines"), as amended, are incorporated into this Agreement. 21. Amendments or Modifications. No amendments or modifications to this Agreement may be nmade, nor any provision vvaiVed, unless in writing signed by a person duly authorized to sign Agreements on behalf of each party. 22. Relationship of Parties. In performing this Agreement, both the Corporation and TAMU-CC will act in an individual cap@oitv, and not as mgen1a, nepreaertativos, anlp|myeao, ennp|oyero, partnmro, oint-venturers, or associates of one another. The employees or agents of either party may not be, nor be construed to be, the employees or agents of the other party for any purpose. 23. Captions. The captions in this Agreement are for convenience only and are not a part of this Agreement. The captions do not in any way limit or amplify the terms and provisions of this Agreement. 24. Severability. a. If for any reason, any section, paragraph, subdivision, dause, provisioD, phrase or word of this Agreement or the application of this Agreement to any person or circumstance is, to any extent, held iUega|, invm|id, or unenforceable under present or future law or by a final judgment of a court of competent jurisdiction, then the remainder of this Agreement, or the application of the term or provision to persons or circumstances other than those as to which it is held iUege|, inxo|id, or unenforceable, will not be affected by the law or judgment, for it is the definite intent of the parties to this Agreement that every nection, panagrgph, aubdivieion, o|ause, pnovision, phrosm, or word of this Agreement be given full force and effect for its purpose. b. To the extent that any clause or provision is held iUegm|, inva/id, or unenforceable under present or future law effective during the term of this /\oneenlent, then the remainder of this Agreement is not affected by the law, and in lieu of any i||ego|, invm|id, or unenforceable clause or pruviaion, a clause or prpvinion, as similar in terms to the i||eQm|, invo|id, or unenforceable clause or provision as may be possible and be |ega|, va|id, and enforceab|e, will be added to this Agreement automatically. 25. Venue. Venue for any legal action related to this Agreement is in Nueces County, Texas. 26' Governing Law. The validity of this Agreement and all matters pertaining theretV, including but not limited to, matters of perfomnanoe, non-perfomnanca, bnaooh, nannediaa, prncedures, hghta, dudaa, and interpretation or construction, shall be governed and determined by the Constitution and the laws of the State of Texas. 27 Sole Agreement. This Agreement constitutes the sole Agreement between Corporation and TAMU-CC. Any prior Aoroem8nta, pnJnoin8a, nmgotiatiVne, or repreaentatiVns, verbal or otherwise, not expressly stated in this Agreement, are of no force and effect. Page 8 of 10 Agreement TAMUCC (3) 28. Survival of terms of Agreement and obligations of parties. The terms of this Agreement and the obligation of the parties relating to Section 14.a and b shall survive the termination of this Agreement. [Remainder of this page intentionally left blank] Page 9 of 10 Agreement TAMUCC (3) APPROVED AS TO FORM: day of , 2016. Assistant City Attorney For City Attorney Corpus Christi Business & Job Development Corporation By: Date: Attest: By: President Rebecca Huerta Assistant Secretary Texas A & M University — Corpus Christi By: f11"11 Date: FIittis C. Killebrew, Ph.D. President/CEO THE STATE OF TEXAS COUNTY OF NUECES This instrument was acknowledged before me on itugas , 2016, by Flavius C. Killebrew, Ph.D., President/CEO, Texas A & M University -- Corpus Christi, a Texas institution of higher education, on behalf of the university. s„<.1..... .... ..u.e.",\ MARY E GONZALEZ S 1 ,,c, % i. -i. ;• t Notary Public j f STATE OF TEXAS iii„‘P;iii ............ My Comm. Exp. 03-12-2019 • v NOTARY WITHOUT BOND Agreement TAMUCC (3) Notary Public State of1txa7 My Commission Expires: 3 ROM Page 10 of 10 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: TO: November 15, 2016 Margie C. Rose, City Manager FROM: Mike Culbertson (361) 882-7448 mculbertson@ccredc.com Grant for Del Mar College Internship Program CAPTION: Resolution approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Del Mar College (Del Mar) to provide grant up to $150,000 for their internship program to assist small businesses. PURPOSE: Approve a Type A Grant for Del Mar College's Internship Program for Small Business Assistance until December 31, 2017 BACKGROUND AND FINDINGS: Del Mar College has a program where students can work for a local company as an intern. The local company will pay minimum wage while the Type A grant will match the wage up to $5.00 per hour plus FICA. This encourages companies to hire interns, it allows the student to get real work experience, and has a goal to create new jobs. The Type A Board has funded this program since 2007. The Board requested staff to look at other alternatives. As such the staff looked at average intern wages and the concerns that were reviewed at the Type A Workshop held on April 7, 2015. The agreement addressed those concerns and also allows the use of the intern program for companies that hire those skills that the Type A Board has supported in the past such as the aviation and the process and instrumentation programs. This agreement would run until December 31' which is the end of a semester to better manage the program. The Board of Directors of the Corpus Christi Regional Economic Development Corporation recommended approval during their August 11, 2016 meeting. The Type A Board approved the grant at their November 14, 2016 meeting. Del Mar College Internship Progress Report 2008-2016 Year # of F/T Jobs Created # of P/T Interns Placed # of Interns Placed # of Employers unduplicated 2008-2009 8 0 102 27 2009-2010 4 36 71 24 2010-2011 6 16 64 19 2011-2012 6 41 93 22 2012-2013 14 21 85 25 2013-2014 21 24 93 26 2014-2015 23 24 93 29 2015-2016 YTD 24 20 93 39 Total number from 2008-2016 # Of F/T Jobs = 106 # Of P/T Jobs = 182 # Of Interns Placed = 694 # Of Employers = 211 ALTERNATIVES: The Council may choose to not fund the program or fund it at a different amount. OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: This is in keeping with the stated goal of promoting and retaining businesses. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Legal FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016- 2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget 150,000 150,000 Encumbered / Expended Amount This item 150,000 150,000 BALANCE 0 0 Fund: Type A Fund Comments: This item was approved in the Type A Small Business budget RECOMMENDATION: Staff recommends approving the grant for $150,000 for the internship program. LIST OF SUPPORTING DOCUMENTS: Resolution Agreement Page 1 of 2 RESOLUTION Approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Del Mar College (Del Mar) to provide grant up to $150,000 for their internship program to assist small businesses. WHEREAS, the Corpus Christi Business and Job Development Corporation ("Type A Corporation") has budgeted funds to assist businesses create or retain jobs in the City of Corpus Christi, Texas ("City"). WHEREAS, the Type A Corporation has requested proposals from businesses that will create or retain jobs within the City, and determined that the proposal from Del Mar for an intern program within the City will best satisfy this goal; WHEREAS, City Council deems that it is the best interest of the City and citizens to approve the business incentives agreement for an intern program between the Type A Corporation and Del Mar; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. That the business incentives agreement for business development between the Type A Corporation and Del Mar for an intern program within the City of Corpus Christi, in the form attached to this resolution, is approved. This resolution takes effect upon City Council approval on this the day of , 2016. ATTEST: THE CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary APPROVED: day of , 2016. Corpus Christi, Texas @BCL@C80501 8D Dan McQueen Mayor Page 2of2 The above resolution was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn @BCL@C80501 8D SMALL BUSINESS INCENTIVES AGREEMENT BETWEEN THE CORPUS CHRISTI BUSINESS AND JOB DEVELOPMENT CORPORATION AND DEL MAR COLLEGE FOR AN INTERN PROGRAM TO SUPPORT SMALL BUSINESSES This Small Business Incentives Agreement for ("Agreement") is entered into between the Corpus Christi Business and Job Development Corporation ("Corporation") and Del Mar College, a Texas institution of higher education ("Del Mar"). WHEREAS, the Texas Legislature in Section 4A of Article 5190.6, Vernon's Texas Revised Civil Statutes (Development Corporation Act of 1979), now codified as Subtitle C1, Title 12, Texas Local Government Code, Section 504.002 et seq, ("the Act"), empowered local communities with the ability to adopt an optional local sales and use tax as a means of improving the economic health and prosperity of their citizens; WHEREAS, on November 5, 2002, residents of the City of Corpus Christi ("City") passed Proposition 2, New and Expanded Business Enterprises, which authorized the adoption of a sales and use tax for the promotion and development of new and expanded business enterprises at the rate of one-eighth of one percent to be imposed for 15 years; WHEREAS, the 1/8th cent sales tax authorized by passage of Proposition 2 was subsequently enacted by the City Council and filed with the State Comptroller of Texas, effective April 1, 2003, to be administered by the Corpus Christi Business and Job Development Corporation Board; WHEREAS, the Corpus Christi Business and Job Development Corporation exists for the purposes of encouraging and assisting entities in the creation of jobs for the citizens of Corpus Christi, Texas; WHEREAS, the Board of Directors of the Corporation ("Board"), on August 17, 2015, amended the Corporation's Guidelines and Criteria for Granting Business Incentives ("Type A Guidelines"), which the City Council approved on September 15, 2015; WHEREAS, Section 501.073 of The Act requires the City Council to approve all programs and expenditures of the Corporation; WHEREAS, Del Mar has requested business development funds from the Board to assist businesses by providing access to students, who will serve as interns in professional level positions; WHEREAS, the small businesses will pay student interns minimum wage (currently $7.25 per hour) and Del Mar will match the business contribution up to $5.00 per hour. WHEREAS, the interns will be selected based on the needs of the small businesses with the goal of providing the small businesses with resources that make the small businesses more effective and provide growth opportunities; WHEREAS, the primary goal of the program is to provide support to small businesses in Corpus Christi that will encourage growth, retention, economic development, and job creation; WHEREAS, the goal of the project is the creation of 1 new full time job for every 10 internship positions funded (a 10% new job "return on investment"); Page 1 of 9 Agreement Del Mar.docx WHEREAS, a secondary benefit of the small business intern program is providing students real- world experience, while they are making a living wage without working extended hours and developing potential full-time employment opportunities following graduation; In consideration of the covenants, promises, and conditions stated in this Agreement, Corporation and Del Mar agree as follows: 1. Effective Date. The effective date of this Agreement ("Effective Date") is the latest date that either party executes this Agreement. 2. Term. a. The term of this Agreement is for twelve months from January 1, 2017, through December 31, 2017. b. This Agreement may be extended at the option of the Corporation for up to two additional one year terms, contingent upon annual appropriation of funds and approval of the City Council. Per the guidelines, Del Mar must reapply every year for the grant. 3. Grant. a. The Corporation will grant Del Mar an incentive of up to One Hundred Fifty Thousand Dollars ($150,000.00), which must be used to fund up to $5.00 per hour the salary of up to a total of the interns during the Spring Semester of 2017, Summer Session in 2017, and the Fall Semester 2017, and the entire salary on two interns hired to help administer the program during the Fall and Spring Semesters and Summer Session. The interns will be paid $12.25 per hour, while participating in Del Mar's Small Business Employer Intern Program. b. The Corporation's grant is conditioned upon Del Mar's successful completion of the terms of this Agreement. c. The Corporation's grant shall be paid in monthly installments based upon evidence of the amount paid by Del Mar to the small business employers during the prior month. 4. Del Mar's Duties and Responsibilities. a. Del Mar shall provide administrative oversight and direct supervision for the placement of interns in the Del Mar's Business Employer Intern Program. b. Del Mar shall create and maintain not less than two part-time intern (2) employment positions to assist in the Business Employer Intern Program in Corpus Christi, Nueces County, Texas, during the term of this Agreement. The intern must be paid $12.25 per hour. c. Del Mar shall place, with businesses in Corpus Christi, up to the total number of interns specified in Schedule A, during the academic year. (1) Since the primary goal of the Del Mar's Business Employer Intern Program is to provide support to small businesses in Corpus Christi that will encourage growth, retention, economic development, and job creation, placements must be Page 2 of 9 Agreement Del Mar.docx based on the needs of the small business with the goal of providing the small business with resources that make the business more effective and provide growth opportunities for the businesses. (2) Additionally, interns may be placed at companies that need work skills that have been supported by the Corporation such as Process and Instrumentation and Aviation skills. (3) For the purpose of this section a small business may include chambers of commerce, non-profit organizations, and other entities that will use the intern to assist existing, start-up, and home based small businesses in the City; recruit new small business to the City; assist the expansion of existing small businesses in the City; help entrepreneurs create start-up businesses; or help the owners and managers of small businesses develop their businesses. d. Del Mar shall ensure that the business employer of each intern pays the student intern the minimum wage, and Del Mar shall match the small business employer's payments to the interns up to $5.00 per hour. e. Del Mar shall try to place the interns for 19 hours per week and 12 weeks per semester or summer sessions. f. Del Mar shall work with the businesses that receive interns under the program to encourage the creation of permanent full time jobs for the interns or similarly qualified individuals. 5. Job Creation/Training Qualification. a. In order to count as a created job under this Agreement, the job must pay wages at least as high as the wages required by Section 501.162 of the Act, which is the median wage of the occupation in the Corpus Christi MSA as determined by Texas Workforce Commission's Texas Industry Profiles report. b. In order to qualify for funds to provide job training under this Agreement, Del Mar agrees to create new jobs that pay wages at least as high as the wages required by Section 501.162 of the Act, which is the median wage of the occupation in the Corpus Christi MSA as determined by Texas Workforce Commission's Texas Industry Profiles report. c. A "job" is defined in the Type A Guidelines as a full-time employee, contractor, consultant, or leased employee who has a home address in the Corpus Christi MSA. d. Del Mar agrees to confirm and document to the Corporation that the minimum number of jobs created as a result of funding provided by this Agreement is maintained throughout the term by the Business. e. Del Mar agrees to provide Corporation with a sworn certificate by an authorized representative of each business assisted under this Agreement certifying the number of full-time permanent employees employed by the business. Page 3 of 9 Agreement Del Mar.docx f. Del Mar shall ensure that the Corporation is allowed reasonable access to personnel records of the businesses assisted under this Agreement. 6. Reports and Monitoring. a. Del Mar shall provide a report at the end of each semester or summer session certifying the status of compliance through the life of the Agreement. Documentation for jobs may be in the form of quarterly IRS 941 returns, Del Mar employer Quarterly Reports, or employee rosters and other reports listed below: i. number of interns ii. name of companies using interns iii. intern duties iv. whether the intern received a job at that company v. whether the intern received a job in the area. b. Del Mar, during normal working hours shall allow the Corporation and its designee, Corpus Christi Regional Economic Development Corporation, reasonable access to Del Mar's employment records and books, to verify employment and all other relevant records related to each of the other economic development considerations and incentives, as stated in this Agreement, but the confidentiality of the records and information must be maintained by Corporation and its designee, unless such records and information shall be required by a court order, a lawfully issued subpoena, or at the direction of the Office of the Texas Attorney General. 7. Warranties. Del Mar warrants and represents to Corporation the following: a. Del Mar is a Texas institution of higher education duly organized, validly existing, and in good standing under the laws of the State of Texas, and further has all institutional power and authority to carry on its business as presently conducted in Corpus Christi, Texas. b. Del Mar has the authority to enter into and perform, and will perform, the terms of this Agreement to the best of its ability. c. Del Mar has timely filed and will timely file all local, State, and Federal tax reports and returns required by laws to be filed and all Texas, assessments, fees, and other governmental charges, including applicable ad valorem taxes, have been timely paid, and will be timely paid , during the term of this Agreement. d. Del Mar has received a copy of the Act, and acknowledges that the funds granted in this Agreement must be utilized solely for purposes authorized under State law and by the terms of this Agreement. e. The parties executing this Agreement on behalf of Del Mar are duly authorized to execute this Agreement on behalf of Del Mar. f. Del Mar does not and agrees that it will not knowingly employ an undocumented worker. If, after receiving payments under this Agreement, Del Mar is convicted of a violation under §U.S.C. Section 1324a(f), Del Mar shall repay the payments at the rate Page 4 of 9 Agreement Del Mar.docx and according to the terms as specified by City Ordinance, as amended, not later than the 120th day after the date Del Mar has been notified of the violation. 8. Compliance with Laws. Del Mar shall observe and obey all applicable laws, ordinances, regulations, and rules of the Federal, State, county, and city governments. 9. Non -Discrimination. Del Mar covenants and agrees that Del Mar will not discriminate nor permit discrimination against any person or group of persons, with regard to employment and the provision of services at, on, or in the Facility, on the grounds of race, religion, national origin, marital status, sex, age, disability, or in any manner prohibited by the laws of the United States or the State of Texas. 10. Force Majeure. If the Corporation or Del Mar are prevented, wholly or in part, from fulfilling its obligations under this Agreement by reason of any act of God, unavoidable accident, acts of enemies, fires, floods, governmental restraint or regulation, other causes of force majeure, or by reason of circumstances beyond its control, then the obligations of the Corporation or Del Mar are temporarily suspended during continuation of the force majeure. If either party's obligation is affected by any of the causes of force majeure, the party affected shall promptly notify the other party in writing, giving full particulars of the force majeure as soon as possible after the occurrence of the cause or causes relied upon. 11. Assignment. Del Mar may not assign all or any part of its rights, privileges, or duties under this Agreement without the prior written approval of the Corporation and City. Any attempted assignment without approval is void, and constitutes a breach of this Agreement. 12. Indemnity. To the extent authorized by law Del Mar covenants to fully indemnify, save, and hold harmless the Corporation, the City, their respective officers, employees, and agents ("Indemnitees, against all liability, damage, loss, claims demands, and actions of any kind on account of personal injuries (including, without limiting the foregoing, workers' compensation and death claims), or property loss or damage of any kind, which arise out of or are in any manner connected with, or are claimed to arise out of or be in any manner connected with Del Mar activities conducted under or incidental to this Agreement, including any injury, loss or damage caused by the sole or contributory negligence of any or all of the lndemnitees. Del Mar must, at its own expense, investigate all those claims and demands, attend to their settlement or other disposition, defend all actions based on those claims and demands with counsel satisfactory to lndemnitees, and pay all charges of attorneys and all other cost and expenses of any kind arising from the liability, damage, loss, claims, demands, or actions. 13. Events of Default by Del Mar. The following events constitute a default of this Agreement by Del Mar: a. The Corporation or City determines that any representation or warranty on behalf of Del Mar contained in this Agreement or in any financial statement, certificate, report, or opinion submitted to the Corporation in connection with this Agreement was incorrect or misleading in any material respect when made. b. Any judgment is assessed against Del Mar or any attachment or other levy against the property of Del Mar with respect to a claim remains unpaid, undischarged, or not dismissed for a period of 120 days. Page 5 of 9 Agreement Del Mar.docx c. Del Mar makes an assignment for the benefit of creditors. d. Del Mar files a petition in bankruptcy, or is adjudicated insolvent or bankrupt. e. If taxes owed by Del Mar become delinquent, and Del Mar fails to timely and properly follow the legal procedures for protest or contest. f. Del Mar changes the general character of business as conducted as of the date this Agreement is approved by the Corporation. 14. Notice of Default. Should the Corporation or City determine that Del Mar is in default according to the terms of this Agreement, the Corporation or City shall notify Del Mar in writing of the event of default and provide 60 days from the date of the notice ("Cure Period") for Del Mar to cure the event of default. 15. Results of Uncured Default by Del Mar. After exhausting good faith attempts to address any default during the cure Period, and taking into account any extenuating circumstances that might have occurred through no fault of Del Mar, as determined by the Board of Directors of the Corporation, the following actions must be taken for any default that remains uncured after the Cure Period: a. Del Mar shall immediately repay all funds paid by Corporation to them under this Agreement. b. Del Mar shall pay Corporation reasonable attorney fees and costs of court to collect amounts due to Corporation if not immediately repaid upon demand from the Corporation. c. Upon payment by Del Mar of all sums due, the Corporation and Del Mar shall have no further obligations to one another under this Agreement. d. Neither the City, the Corporation, nor Del Mar may be held liable for any consequential damages. 16. No Waiver. a. No waiver of any covenant or condition, or the breach of any covenant or condition of this Agreement, constitutes a waiver of any subsequent breach of the covenant or condition of the Agreement. b. No waiver of any covenant or condition, or the breach of any covenant or condition of this Agreement, justifies or authorizes the nonobservance on any other occasion of the covenant or condition or any other covenant or condition of this Agreement. c. Any waiver or indulgence of Del Mar's default may not be considered an estoppel against the Corporation. d. It is expressly understood that if at any time Del Mar is in default in any of its conditions or covenants of this Agreement, the failure on the part of the Corporation to promptly avail itself of the rights and remedies that the Corporation may have, will not be considered a waiver on the part of the Corporation, but Corporation may at any time Page 6 of 9 Agreement Del Mar.docx avail itself of the rights or remedies or elect to terminate this Agreement on account of the default. 17. Del Mar specifically agrees that Corporation shall only be liable to Del Mar for the actual amount of the money grants to be conveyed to Del Mar, and shall not be liable to Del Mar for any actual or consequential damages, direct or indirect, interest, attorney fees, or cost of court for any act of default by Corporation under the terms of this Agreement. Payment by Corporation is strictly limited to those funds so allocated, budgeted, and collected solely during the grant term of this Agreement. Corporation shall use its best efforts to anticipate economic conditions and to budget accordingly. However, it is further understood and agreed that, should the actual total sales tax revenue collected for any one year be less than the total amount of grants to be paid to all contracting parties with Corporation for that year, then in that event, all contracting parties shall receive only their pro rata share of the available sales tax revenue for that year, less Corporation's customary and usual costs and expenses, as compared to each contracting parties' grant amount for that year, and Corporation shall not be liable to for any deficiency at that time or at any time in the future. In this event, Corporation will provide all supporting documentation, as requested. Payments to be made shall also require a written request from Del Mar to be accompanied by all necessary supporting documentation. 18. The parties mutually agree and understand that funding under this Agreement is subject to annual appropriations by the City Council; that each fiscal year's funding must be included in the budget for that year; and the funding is not effective until approved by the City Council. 19. Notices. a. Any required written notices shall be sent mailed, certified mail, postage prepaid, addressed as follows: Del Mar: Del Mar College Attn: President 101 Baldwin Corpus Christi, Texas 78404 Corporation: City of Corpus Christi Business and Job Development Corporation Attn.: Executive Director 1201 Leopard Street Corpus Christi, Texas 78401 b. A copy of all notices and correspondence must be sent the City at the following address: City of Corpus Christi Attn.: City Manager P.O. Box 9277 Corpus Christi, Texas 78469-9277 Page 7 of 9 Agreement Del Mar.docx c. Notice is effective upon deposit in the United States mail in the manner provided above. 20. Incorporation of other documents. The Corpus Christi Business and Job Development Corporation Guidelines and Criteria for Granting Business Incentives ("Corporation Guidelines"), as amended, are incorporated into this Agreement. 21. Amendments or Modifications. No amendments or modifications to this Agreement may be made, nor any provision waived, unless in writing signed by a person duly authorized to sign Agreements on behalf of each party. 22. Relationship of Parties. In performing this Agreement, both the Corporation and Del Mar will act in an individual capacity, and not as agents, representatives, employees, employers, partners, joint -venturers, or associates of one another. The employees or agents of either party may not be, nor be construed to be, the employees or agents of the other party for any purpose. 23. Captions. The captions in this Agreement are for convenience only and are not a part of this Agreement. The captions do not in any way limit or amplify the terms and provisions of this Agreement. 24. Severability. a. If for any reason, any section, paragraph, subdivision, clause, provision, phrase or word of this Agreement or the application of this Agreement to any person or circumstance is, to any extent, held illegal, invalid, or unenforceable under present or future law or by a final judgment of a court of competent jurisdiction, then the remainder of this Agreement, or the application of the term or provision to persons or circumstances other than those as to which it is held illegal, invalid, or unenforceable, will not be affected by the law or judgment, for it is the definite intent of the parties to this Agreement that every section, paragraph, subdivision, clause, provision, phrase, or word of this Agreement be given full force and effect for its purpose. b. To the extent that any clause or provision is held illegal, invalid, or unenforceable under present or future law effective during the term of this Agreement, then the remainder of this Agreement is not affected by the law, and in lieu of any illegal, invalid, or unenforceable clause or provision, a clause or provision, as similar in terms to the illegal, invalid, or unenforceable clause or provision as may be possible and be legal, valid, and enforceable, will be added to this Agreement automatically. 25. Venue. Venue for any legal action related to this Agreement is in Nueces County, Texas. 26. Sole Agreement. This Agreement constitutes the sole Agreement between Corporation and Del Mar. Any prior Agreements, promises, negotiations, or representations, verbal or otherwise, not expressly stated in this Agreement, are of no force and effect. 27. Survival ofterms of Agreement and obligations of parties. The terms of this Agreement and the obligation of the parties relating to Section 13.a and b shall survive the termination of this Agreement. Page 8 of 9 Agreement Del Mar.docx APPROVED AS TO FORM: day of , 2016. Assistant City Attorney For City Attorney Corpus Christi Business & Job Development Corporation By: President Date: Attest: By: Rebecca Huerta Assistant Secretary Del Mar College By: Dr ark Escamilla, Ph.D President Date: THE STATE OF TEXAS COUNTY OF NUECES This instrument was acknowledged before me on Escamilla, Ph.D, for Del Mar College, a political subdivision of the State of Texas, on behalf of the college district. . , 2016, by Dr. Mark No ary Public State of Texas Page 9 of 9 Agreement Del Mar.docx DEUA 6. PERU • , Notary Public, State of Texas My Commission Expire 2/10/2018 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: TO: FROM: November 15, 2016 Margie C, Rose, City Manager Mike Culbertson (361) 882-7448 mculbertson@ccredc.com Resolution approving Type A Grant for Del Mar Procurement Technical Assistance Center (PTAC) Program CAPTION: Resolution approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Del Mar College (Del Mar) to provide a grant up to $48,490 for their Procurement Technical Assistance Center (PTAC) to assist small businesses. PURPOSE: Approve a Type A Grant for Del Mar for their Procurement Technical Assistance Center program for calendar year 2017 BACKGROUND AND FINDINGS: PTAC is located at the Del Mar College campus on Staples inside of the Small Business Development Center. PTAC has been counseling small businesses in the area of government procurement. PTAC educates these businesses on the requirements of government procurement, helps them get certified to qualify to bid on contracts, and gives them access to a portal to find these contracts. PTAC was instrumental in working with CCAD to engage small tool and die shops to bid on specialty tool orders from CCAD. PTAC is asking for $48,490 to hire a full-time person to help in the PTAC planning room. PTAC has been funded since 2014. The Board has funded PTAC since 2012. During that time PTAC has helped 276 companies. These companies have been awarded $21,904,800 in orders and they have also added 125 fulltime employees. The Board of Directors of the Corpus Christi regional Economic Development Corporation recommended approval during their August 11, 2016 meeting. The Type A Board approved the grant at their November 14, 2016 meeting. ALTERNATIVES: The Council may choose to not fund the program or fund it at a different amount. OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: This project is consistent with the City's stated goals of promoting economic development and helping small businesses thrive in Corpus Christi. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016- 2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget 48,490 48,490 Encumbered / Expended Amount This item 48,490 48,490 BALANCE 0 0 Fund: 1140 Type A Small Projects Comments: This item was approved in the Type A Small Business budget RECOMMENDATION: Staff recommends approval of a grant of $48,490 for PTAC for the calendar year 2017. LIST OF SUPPORTING DOCUMENTS: Resolution Agreement Page 1 of 2 RESOLUTION Approving a Small Business Incentives Agreement between the Corpus Christi Business and Job Development Corporation and Del Mar College (Del Mar) to provide grant up to $48,490 for their Procurement Technical Assistance Center (PTAC) to assist small businesses. WHEREAS, the Corpus Christi Business and Job Development Corporation ("Type A Corporation") has budgeted funds to assist businesses create or retain jobs in the City of Corpus Christi, Texas ("City"). WHEREAS, the Type A Corporation has requested proposals from businesses that will create or retain jobs within the City, and determined that the proposal from Del Mar for their Procurement Technical Assistance Center program within the City will best satisfy this goal; WHEREAS, City Council deems that it is the best interest of the City and citizens to approve the business incentives agreement for a PTAC program between the Type A Corporation and Del Mar; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. That the business incentives agreement for business development between the Type A Corporation and Del Mar for their Procurement Technical Assistance Center program within the City of Corpus Christi, which agreement is attached to this resolution, is approved. This resolution takes effect upon City Council approval on this the day of , 2016. ATTEST: THE CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary APPROVED: day of , 2016. Corpus Christi, Texas @BCL@C805156D Dan McQueen Mayor Page 2of2 of , 2016 The above resolution was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn @BCL@C8051 56D SMALL BUSINESS INCENTIVES AGREEMENT BETWEEN THE CORPUS CHRISTI BUSINESS AND JOB DEVELOPMENT CORPORATION AND DEL MAR COLLEGE FOR DEL MAR COLLEGE'S PROCUREMENT TECHNICAL ASSISTANCE CENTER This Small Business Incentives Agreement for ("Agreement") is entered into between the Corpus Christi Business and Job Development Corporation ("Corporation") and Del Mar College, a Texas institution of higher learning ("Del Mar"). WHEREAS, the Texas Legislature in Section 4A of Article 5190.6, Vernon's Texas Revised Civil Statutes (Development Corporation Act of 1979), now Title 12, Subtitle C1 (Chapters 501 — 507), Texas Local Government Code, empowered local communities with the ability to adopt an optional local sales and use tax as a means of improving the economic health and prosperity of their citizens; WHEREAS, on November 5, 2002, residents of the City of Corpus Christi ("City") passed Proposition 2, New and Expanded Business Enterprises, which authorized the adoption of a sales and use tax for the promotion and development of new and expanded business enterprises at the rate of one-eighth of one percent to be imposed for 15 years; WHEREAS, the 1/8th cent sales tax authorized by passage of Proposition 2 was subsequently enacted by the City Council and filed with the State Comptroller of Texas, effective April 1, 2003, to be administered by the Corpus Christi Business and Job Development Corporation Board; WHEREAS, the Corpus Christi Business and Job Development Corporation exists for the purposes of encouraging and assisting entities in the creation of jobs for the citizens of Corpus Christi, Texas; WI-JEREAS, the Board of Directors of the Corporation ("Board"), on August 17, 2015, amended the Corporation's Guidelines and Criteria for Granting Business Incentives ("Type A Guidelines"), which the City Council approved on September 15, 2015; WHEREAS, Section 501.073 of the Act requires the City Council to approve all programs and expenditures of the Corporation; WHEREAS, the Board has determined that it is in the best interests of the citizens of Corpus Christi, Texas that small business development funds be provided to Del Mar, through this Agreement with Del Mar, to be used by Del Mar, which seeks to create at least one new job for every $50,000 in contracts awarded to businesses within the City who are awarded contracts with Federal, State, or local agencies through Del Mar College's Procurement Technical Assistance Center's activities; In consideration of the covenants, promises, and conditions stated in this Agreement, Corporation and Del Mar agree as follows: Page 1 of 9 Agreement PTAC.docx 1. Effective Date. The effective date of this Agreement ("Effective Date") is the latest date that either party executes this Agreement. 2. Term. a. The term of this Agreement is for one year from January 1, 2017, through December 31, 2017. b. This Agreement may be extended at the option of the Corporation for up to two additional one year terms, contingent upon annual appropriation of funds and approval of the City Council. 3. Performance Requirements and Grants. DEL MAR shall educate small businesses on the requirements of government procurement, help them get certified to qualify to bid on contracts, and give them access to a portal to find these contracts. The grant shall not to exceed $48,490. The Corporation will pay the grant to DEL MAR as invoices are received. DEL MAR will display signage that states that they are recipients of Type A funding. This signage will be provided to DEL MAR by the Board and will be displayed in a location that is visible to a visitor to their facility. 4. Utilization of Local Contractors and Suppliers. DEL MAR agrees to exercise reasonable efforts in utilizing local contractors and suppliers in the construction of the Project, except where not reasonably possible to do so without added expense, substantial inconvenience, or sacrifice in operating efficiency in the normal course of business, with a goal of 50% of the total dollar amount of all construction contracts and supply agreements being paid to local contractors and suppliers. For the purposes of this section, the term "local" as used to describe manufacturers, suppliers, contractors, and labor includes firms, businesses, and persons who reside in or maintain an office within a 50 mile radius of Nueces County. DEL MAR agrees, during the construction of the Project and for four years after Completion, to maintain written records documenting the efforts of DEL MAR to comply with the Local Requirement, and to provide an annual report to the City Manager or designee, from which the City Manager or designee shall determine if DEL MAR is in compliance with this requirement. Failure to substantially comply with this requirement, in the sole determination of the City Manager or designee, shall be a default hereunder. 5. Utilization of Disadvantaged Business Enterprises ("DBE"). DEL MAR agrees to exercise reasonable efforts in utilizing contractors and suppliers that are determined to be disadvantaged business enterprises, including minority business enterprises women -owned business enterprises and historically -underutilized business enterprises. In order to qualify as a business enterprise under this provision, the firm must be certified by the City, the Regional Transportation Authority or another governmental entity in the jurisdiction of the home office of the business as complying with state or federal standards for qualification as such an enterprise. DEL MAR agrees to a goal of 30% of the total dollar amount of all construction contracts and supply agreements being paid to disadvantaged business enterprises, with a priority made for disadvantaged business enterprises which are local. DEL MAR agrees, during the construction of the Project and for four years after Completion, to maintain written records documenting the Page 2 of 9 TypeAAgreement_forPTAC2017.docx efforts of DEL MAR to comply with the DBE Requirement, and to provide an annual report to the City Manager or designee, from which the City Manager or designee shall determine if DEL MAR is in compliance with this requirement. Failure to substantially comply with this requirement, in the sole determination of the City Manager or designee, shall be a default hereunder. For the purposes of this section, the term "local" as used to describe contractors and suppliers that are determined to be disadvantaged business enterprises, including minority business enterprises women -owned business enterprises and historically -underutilized business enterprises includes firms, businesses, and persons who reside in or maintain an office within a 50 mile radius of Nueces County. 6. Living Wage Requirement. In order to count as a permanent full-time job under this agreement, the job should provide a "living wage" for the employee. The target living wage under this agreement is that annual amount equal or greater than poverty level for a family of three, established by the U.S. Department of Health and Human Services Poverty Guidelines, divided by 2,080 hours per year for that year. 7. Health Insurance. To qualify for this incentive, an employer shall certify that it has offered a health insurance program for its employees during the term of the Agreement. 8. Warranties. DEL MAR warrants and represents to Corporation the following: a. Del Mar is a Texas institute of higher learning duly organized, validly existing, and in good standing under the laws of the State of Texas, has all corporate power and authority to carry on its business as presently conducted in Corpus Christi, Texas. b. DEL MAR has the authority to enter into and perform, and will perform, the terms of this Agreement to the best of its ability. c. DEL MAR has timely filed and will timely file all local, State, and Federal tax reports and returns required by laws to be filed and all Texas, assessments, fees, and other governmental charges, including applicable ad valorem taxes, have been timely paid, and will be timely paid , during the term of this Agreement. d. DEL MAR has access to the Texas Development Corporation Act, Title 12, Subtitle C1 (Chapters 501 — 507), Texas Local Government Code, on the State's website, and acknowledges that the funds granted in this Agreement must be utilized solely for purposes authorized under State law and by the terms of this Agreement. e. The person executing this Agreement on behalf of DEL MAR is duly authorized to execute this Agreement on behalf of DEL MAR. Page 3 of 9 Agreement PTAC.docx f. DEL MAR does not and agrees that it will not knowingly employ an undocumented worker. If, after receiving payments under this Agreement, DEL MAR is convicted of a violation under §U.S.C. Section 1324a(f), DEL MAR shall repay the payments received under this Agreement to the City, with interest at the Wall Street Journal Prime Rate, not later than the 120th day after the date DEL MAR has been notified of the violation. 9. Compliance with Laws. During the Term of this Agreement, DEL MAR shall observe and obey all applicable laws, ordinances, regulations, and rules of the Federal, State, county, and city governments. 10. Non -Discrimination. DEL MAR covenants and agrees that DEL MAR will not discriminate nor permit discrimination against any person or group of persons, with regard to employment and the provision of services at, on, or in the Facility, on the grounds of race, religion, national origin, marital status, sex, age, disability, or in any manner prohibited by the laws of the United States or the State of Texas. 11. Force Majeure. If the Corporation or DEL MAR are prevented, wholly or in part, from fulfilling its obligations under this Agreement by reason of any act of God, unavoidable accident, acts of enemies, fires, floods, governmental restraint or regulation, other causes of force majeure, or by reason of circumstances beyond its control, then the obligations of the Corporation or DEL MAR are temporarily suspended during continuation of the force majeure. If either party's obligation is affected by any of the causes of force majeure, the party affected shall promptly notify the other party in writing, giving full particulars of the force majeure as soon as possible after the occurrence of the cause or causes relied upon. 12. Assignment. DEL MAR may not assign all or any part of its rights, privileges, or duties under this Agreement without the prior written approval of the Corporation and City. Any attempted assignment without approval is void, and constitutes a breach of this Agreement. 13. Indemnity. DEL MAR covenants to fully indemnify, save, and hold harmless the Corporation, the City, their respective officers, employees, and agents ("Indemnitees") against al! liability, damage, loss, claims demands, and actions of any kind on account of personal injuries (including, without limiting the foregoing, workers' compensation and death claims), or property loss or damage of any kind, which arise out of or are in any manner connected with, or are claimed to arise out of or be in any manner connected with DEL MAR activities conducted under or incidental to this Agreement, including any injury, loss or damage caused by the sole or contributory negligence of any or al! of the Indemnitees. DEL MAR must, at its own expense, investigate all those claims and demands, attend to their settlement or other disposition, defend all actions based on those claims and demands with counsel satisfactory to Indemnitees, and pay all charges of attorneys and all other cost and expenses of any kind arising from the liability, damage, loss, claims, demands, or actions. Page 4 of 9 Agreement PTAC.docx 14. Events of Default by DEL MAR. The following events constitute a default of this Agreement by DEL MAR: a. The Corporation or City determines that any representation or warranty on behalf of DEL MAR contained in this Agreement or in any financial statement, certificate, report, or opinion submitted to the Corporation in connection with this Agreement was incorrect or misleading in any material respect when made; b. Any judgment is assessed against DEL MAR or any attachment or other levy against the property of DEL MAR with respect to a claim remains unpaid, undischarged, or not dismissed for a period of 120 days. c. DEL MAR makes an assignment for the benefit of creditors. d. DEL MAR files a petition in bankruptcy, or is adjudicated insolvent or bankrupt. e. If taxes owed by DEL MAR become delinquent, and DEL MAR fails to timely and properly follow the legal procedures for protest or contest. f. DEL MAR changes the general character of business as conducted as of the date this Agreement is approved by the Corporation. g. DEL MAR fails to comply with one or more terms of this Agreement. 15. Notice of Default. Should the Corporation or City determine that DEL MAR is in default according to the terms of this Agreement, the Corporation or City shall notify DEL MAR in writing of the event of default and provide 60 days from the date of the notice ("Cure Period") for DEL MAR to cure the event of default. 16. Results of Uncured Default by DEL MAR. After exhausting good faith attempts to address any default during the Cure Period, and taking into account any extenuating circumstances that might have occurred through no fault of DEL MAR, as determined by the Board of Directors of the Corporation, the following actions must be taken for any default that remains uncured after the Cure Period. a. DEL MAR shall immediately repay all funds paid by Corporation to them under this Agreement. b. DEL MAR shall pay Corporation reasonable attorney fees and costs of court to collect amounts due to Corporation if not immediately repaid upon demand from the Corporation. Page 5 of 9 Agreement PTAC.docx c. Upon payment by DEL MAR of all sums due, the Corporation and DEL MAR shall have no further obligations to one another under this Agreement. 17. No Waiver. a. No waiver of any covenant or condition, or the breach of any covenant or condition of this Agreement, constitutes a waiver of any subsequent breach of the covenant or condition of the Agreement. b. No waiver of any covenant or condition, or the breach of any covenant or condition of this Agreement, justifies or authorizes the nonobservance on any other occasion of the covenant or condition or any other covenant or condition of this Agreement. c. Any waiver or indulgence of DEL MAR's default may not be considered an estoppel against the Corporation. d. It is expressly understood that if at any time DEL MAR is in default in any of its conditions or covenants of this Agreement, the failure on the part of the Corporation to promptly avail itself of the rights and remedies that the Corporation may have, will not be considered a waiver on the part of the Corporation, but Corporation may at any time avail itself of the rights or remedies or elect to terminate this Agreement on account of the default. 18. DEL MAR specifically agrees that Corporation shall only be liable to DEL MAR for the actual amount of the money grants to be conveyed to DEL MAR, and shall not be liable to DEL MAR for any actual or consequential damages, direct or indirect, interest, attorney fees, or cost of court for any act of default by Corporation under the terms of this Agreement. Payment by Corporation is strictly limited to those funds so allocated, budgeted, and collected solely during the grant term of this Agreement. Corporation shall use its best efforts to anticipate economic conditions and to budget accordingly. However, it is further understood and agreed that, should the actual total sales tax revenue collected for any one year be less than the total amount of grants to be paid to all contracting parties with Corporation for that year, then in that event, all contracting parties shall receive only their pro rata share of the available sales tax revenue for that year, less Corporation's customary and usual costs and expenses, as compared to each contracting partiesgrant amount for that year, and Corporation shall not be liable to for any deficiency at that time or at any time in the future. In this event, Corporation will provide all supporting documentation, as requested. Payments to be made shall also require a written request from DEL MAR to be accompanied by all necessary supporting documentation. 19. The parties mutually agree and understand that funding under this Agreement is subject to annual appropriations by the City Council; that each fiscal year's funding must be included in the budget for that year; and the funding is not effective until approved by the City Council. Page 6 of 9 Agreement PTAC.docx 20. Notices. a. Any required written notices shall be sent mailed, certified mail, postage prepaid, addressed as follows: Del Mar College: Del Mar College Procurement Manager 101 Baldwin Blvd Corpus Christi, Texas 78404-3897 Corporation: City of Corpus Christi Business and Job Development Corporation Attn.: Executive Director 1201 Leopard Street Corpus Christi, Texas 78401 b. A copy of all notices and correspondence must be sent the City at the following address: City of Corpus Christi Attn.: City Manager P.O. Box 9277 Corpus Christi, Texas 78469-9277 c. Notice is effective upon deposit in the United States mail in the manner provided above. 21. Incorporation of other documents. The Type A Guidelines, as amended, are incorporated into this Agreement. 22. Amendments or Modifications. No amendments or modifications to this Agreement may be made, nor any provision waived, unless in writing signed by a person duly authorized to sign Agreements on behalf of each party. 23. Relationship of Parties. In performing this Agreement, both the Corporation and DEL MAR will act in an individual capacity, and not as agents, representatives, employees, employers, partners, joint -venturers, or associates of one another. The employees or agents of either party may not be, nor be construed to be, the employees or agents of the other party for any purpose. 24. Captions. The captions in this Agreement are for convenience only and are not a part of this Agreement. The captions do not in any way limit or amplify the terms and provisions of this Agreement. Page 7 of 9 Agreement PTAC.docx 25. Severability. a. If for any reason, any section, paragraph, subdivision, clause, provision, phrase or word of this Agreement or the application of this Agreement to any person or circumstance is, to any extent, held illegal, invalid, or unenforceable under present or future law or by a final judgment of a court of competent jurisdiction, then the remainder of this Agreement, or the application of the term or provision to persons or circumstances other than those as to which it is held illegal, invalid, or unenforceable, will not be affected by the law or judgment, for it is the definite intent of the parties to this Agreement that every section, paragraph, subdivision, clause, provision, phrase, or word of this Agreement be given full force and effect for its purpose. b. To the extent that any clause or provision is held illegal, invalid, or unenforceable under present or future law effective during the term of this Agreement, then the remainder of this Agreement is not affected by the law, and in lieu of any illegal, invalid, or unenforceable clause or provision, a clause or provision, as similar in terms to the illegal, invalid, or unenforceable clause or provision as may be possible and be legal, valid, and enforceable, will be added to this Agreement automatically. 26. Venue. Venue for any legal action related to this Agreement is in Nueces County, Texas. 27. Sole Agreement. This Agreement constitutes the sole Agreement between Corporation and DEL MAR. Any prior Agreements, promises, negotiations, or representations, verbal or otherwise, not expressly stated in this Agreement, are of no force and effect. 28. Survival of terms of Agreement and obligations of parties. The terms of this Agreement and the obligation of the parties relating to Section 14.a and b shall survive the termination of this Agreement. (Remainder of this page intentionally left blank) Page 8 of 9 Agreement PTAC.docx APPROVED AS TO FORM: day of , 2016. Assistant City Attorney For City Attorney Corpus Christi Business & Job Development Corporation By: Date: Attest: By: President Rebecca Huerta Assistant Secretary Del Mar College—Corpus Christi By: Date: r7D' Escamilla, Ph.D. President THE STATE OF TEXAS § COUNTY OF NUECES § This instrument was acknowledged before me on AUOI 051- /c9–) , 2016, by Dr. Mark Escamilla, Ph.D., President, Del Mar College, a political subdivision of the State of Texas, on behalf of the college district. Notary Public State of Texas Page 9 of 9 Agreement PTAC.docx DRIA G. PEREZ Notary Public, State of Texas My Commission Expires 12/10/2018 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: TO: Margie C. Rose, City Manager November 16, 2016 FROM: Mike Culbertson, COO CCREDC (361) 882-7448 mculbertson@ccredc.com Approving the revisions to the Type A Business Incentive Guidelines to create provision for Industry Internships CAPTION: Resolution adopting Amended Corpus Christi Business and Job Development Corporation Guidelines and Criteria for Granting Business Incentives. PURPOSE: Approval of the Type A guidelines as required by the statute BACKGROUND AND FINDINGS: The Corpus Christi Business and Job Development Corporation (Type A Board) is charged with determining how the economic sales tax is used to increase economic development in the city. The Board has approved grants to educational institutions to support job training for certain skills such as aviation and process technology. On September 19, 2016 the Type A Board asked staff to determine what would be required to support those job training skills. The internship programs at Del Mar College and at Texas A&M University — Corpus Christi currently supports small businesses by providing students to work in local businesses in their field of study. This helps the students by getting practical experience and it helps the businesses by paying for some of the wages to get an intern and the businesses can see the quality of students available. The program is intended to train students in local jobs so they will remain here after graduation. The business pay $7.25/hour and Type A funds pays $5.00/hour. These programs are administered under the small business assistance part of the Type A Guidelines. The process technology and the aviation internships are not available in small businesses. The only way to accommodate the larger companies would be to amend the guidelines and add an internship program in the job training section. This section deals with the requirements of a training program must meet to receive a grant. Some of these requirements include: — job skills must be needed in the region as determined by WorkForce Solutions — the entity must match the grant in cash — the grant must be used for construction and/or equipment, not operating expenses The revisions to the section include: — adds many of the requirements from the small business internship program it removes 50% match and the construction requirement it keeps the requirement to be a needed job skill applications must still be through a training program to the EDC Board then to the Type A Board the agreement will be between the Type A Corporation and the training program The Board of Directors of Corpus Christi Regional EDC recommended approval of this change to the Type A Board at their November 10th meeting. Type A Board approved the amended guidelines at their November 14, 2016 Board meeting. ALTERNATIVES: Council may decide not to alter the Type A guidelines OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: This project is consistent with the City's stated goals of promoting economic development and incentivizing business to expand and thrive in Corpus Christi. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Corpus Christi Business and Job Development Corporation (Type A Board) FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital x Not applicable Fiscal Year: 2016- 2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE RECOMMENDATION: Staff recommends approval of the revisions to the Type A guidelines. LIST OF SUPPORTING DOCUMENTS: Resolution Draft Guidelines Page 1 of 2 RESOLUTION ADOPTING AMENDED CORPUS CHRISTI BUSINESS AND JOB DEVELOPMENT CORPORATION GUIDELINES AND CRITERIA FOR GRANTING BUSINESS INCENTIVES WHEREAS, in 2003, the City Council approved the original Guidelines and Criteria for Granting Business Incentives for the Corpus Christi Business and Job Development Corporation, a Type A Corporation (" the Corporation") for the expenditure of sales tax money approved in 2002 by the voters of the City of Corpus Christi for jobs, job training, and business development; WHEREAS, in 2015 the City Council last amended these Guidelines, and the Corporation has forwarded its recommendation that they be amended again to address concerns related to the use of funds to support internships in growing industries in the City of Corpus Christi; and WHEREAS, the City Council believes that it is in the best interest of the City of Corpus Christi that these guidelines be amended as recommended by the Corporation; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. The City Council of the City of Corpus Christi finds that it is advisable for the reasons stated above for the Corporation to adopt the Amended Guidelines and Criteria for Granting Business Incentives for the Corpus Christi Business and Job Development Corporation, attached to this Resolution and incorporated herein for all purposes; SECTION 2. The City Council approves the form and the substance of Guidelines and Criteria for Granting Business Incentives for the Corpus Christi Business and Job Development Corporation. This resolution takes effect upon City Council approval on this the day of , 2016. ATTEST: THE CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary @BCL@B805C0B8 Dan McQueen Mayor Page 2of2 APPROVED: day of , 2016. Corpus Christi, Texas of , 2016 The above resolution was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn @BCL@B805C0B8 CORPUS CHRISTI BUSINESS & JOB DEVELOPMENT CORPORATION GUIDELINES & CRITERIA FOR GRANTING BUSINESS INCENTIVES WHEREAS, the attraction of long-term investment and the establishment of new primary jobs in Corpus Christi would enhance the City's economic base bringing new revenues into the economy; and, WHEREAS, Corpus Christi must compete with other communities across the nation currently offering a variety of business incentives to attract new jobs and business; and, WHEREAS, the Texas Legislature in Section 4A of Article 5190.6, Vernon's Texas Revised Civil Statutes (Development Corporation Act of 1979), now codified as Subtitle 01, Title 12, Texas Local Government Code, ("the Act"), empowered local communities with the ability to adopt an optional local sales and use tax as a means of improving the economic health and prosperity of their citizens; WHEREAS, on November 5, 2002, residents of the City of Corpus Christi ("City") passed Proposition 2, New and Expanded Business Enterprises, which authorized the adoption of a sales and use tax for the promotion and development of new and expanded business enterprises at the rate of one-eighth of one percent to be imposed for 15 years; WHEREAS, under Proposition 2 and as required by Ordinance 024952, funds approved for the promotion and development of new and expanded business enterprises can only be used for the following Projects and no others: a) Education/Skills Development. These funds will be used to make grants to companies and organizations to provide training, retraining and education to ensure the knowledge and skills required for the jobs of the future are in place. b) Business Developmont/Incubation. These funds will be used to develop programs and facilities that assist small and start-up companies that have the ability to produce jobs for the future. c) Jobs. These funds will be used to assist companies in the creation of meaningful, wealth producing jobs (jobs that bring in dollars from outside of the community) in Corpus Christi. Funds would be available to both existing and new companies. WHEREAS, the 1/8th cent sales tax authorized by passage of Proposition 2 was subsequently enacted by the City Council and filed with the State Comptroller of Texas, effective April 1, 2003, to be administered by the City's Section Type A board of directors (Corpus Christi Business and Job Development Corporation Board); and, WHEREAS, to assure a common, coordinated effort to promote economic development, these Guidelines and Criteria have been circulated among the City of Corpus Christi, other governmental entities, the Corpus Christi Regional Economic Development Corporation, area chambers of commerce and the Corpus Christi community in general for consideration; 1 NOW, THEREFORE, BE IT RESOLVED by the Corpus Christi Business and Job Development Corporation that these Guidelines and Criteria for Granting Business Incentives be adopted: Section 1. Definitions. (a) "Agreement" means a contractual agreement between a property owner and/or lessee within the City of Corpus Christi City Limits and the "Corporation" for the purposes of granting business incentives. (b) "Basic Manufacturing or Service Facility" means buildings and structures, including fixed machinery and equipment not elsewhere described, used or to be used for the production of products or services. (c) "Board" means the Corpus Christi Business and Jobs Development Corporation Board (Section 4A Board) as established by "City" Resolution 024233 and pursuant to the "Act". (d) "Business Incubator" means a program established with the primary objective of improving the potential success of emerging primary employers, preferably through the transfer or application of technology, and in doing so, creates jobs, ensures self-sufficiency and invigorates the local economy. Through such programs, small business owners typically have access to assistance which might include items such as rental space, administrative support services, on- site business consulting, workshops, enterprise facilitation, and business management seminars. (e) "Capital Investment" means the increase in the assessed value of an eligible property as a result of "expansion" or "modernization" of an "existing facility" or construction of a "new facility." It does not mean or include "deferred maintenance". (f) "City" means the City of Corpus Christi, Texas. (g) "CCREDC "means the Corpus Christi Regional Economic Development Corporation which serves as a professional economic development advisor to the City, the Corporation, and the Board: (h) "Corporation" means the City of Corpus Christi Business and Job Development Corporation established by "Cityesolution 024233. (i) "Deferred Maintenance" means improvements necessary for continued operations which do not improve productivity or are performed to meet regulatory obligations. (j) "Economic Driver" means a project that will add at least 50 full time employees and at least 50% of their sales and revenue come from outside a 50 -mile radius from the intersection of Staples Street and Leopard Street. These revenues will increase the wealth of the area. (k) "Economic Life" means the number of years a property improvement is expected to be in service in a "facility". (I) "Executive Director" means the chief executive officer for the "Corporation," or his/her designated representative. 2 (m) "Expansion" means the addition of buildings, structures, fixed machinery or equipment for the purposes of increasing capacity. (n) "Facility" means property improvements completed or in the process of construction which together compromise an integral whole, as well as new fixed machinery or equipment. (o) "Jobs" means employment of a full time employee, contractor, consultant, or leased employee who has a home address in the Corpus Christi MSA. (p) "Living wage" means the annual amount determined by the U.S. Department of Health and Human Services for the Corpus Christi area as being at the poverty level for a family of three, divided by 2,080 hours per year. (q) "Modernization" means the replacement and upgrading of existing "facilities" which increase the productive input or output, updates the technology or substantially lowers the unit cost of the operation, and extends the economic life of the "facilities". Modernization may result from the construction, alteration or installation of buildings, structures, fixed machinery or equipment. It shall not be for the purpose of reconditioning, refurbishing, repairing or completion of "deferred maintenance". (r) "New Facility" means a property previously undeveloped which is placed into service by means other than or in conjunction with an "expansion" or "modernization". (s) "Owner" means the owner of a "facility" or "program" subject to business incentives. If the "facility" is constructed on a leased property, the owner shall be the party which owns the property subject to the business incentive. The other party to the lease shall join in the execution of the "agreement" but shall not be obligated to assure performance of the party receiving business incentive. (t) "Petrochemical Facility" means buildings and structures, including fixed machinery and equipment, the primary purpose of which is or will be the manufacture or processing of petrochemicals or fuels by physical or chemical change. (u) "Primary Employer" means a business in which at least 50% of its goods and/or services are sold to customers that are located more than 50 miles from the intersection of Staples Street and Leopard Street and (1) whose goods and/or services are in one of the following two -digit NAICS codes 31-33 Manufacturing; 42 Wholesale Trade; 48-49 Transportation and Warehousing; 52 Finance and Insurance; 54 Professional and Technical; or 55 Management of Companies; or (2) which is a supplier of who supplies at least 50% of its non -retail goods and/or services to local primary employer(s) that are located within a 50 mile radius away. Professional services companies qualifying for incentives must have more than 50% of their contract work (i.e. the location where the physical work/construction/manufacturing, etc. resulting from the professional services is done) located outside of a 50 -mile radius of the region. The inability of a company to satisfactorily document the "primary" nature of the jobs shall be deemed ineligible for this incentive agreement payments. (v) "Project Agreement" means the agreement made by and between the "City" and the "Corporation" which assigns responsibilities for jointly carrying out each "agreement" to assure that funds are used for authorized purposes. City execution of the Project Agreement shall be in the form of an adopted Resolution by the City Council of the City. 3 (w) "Regional Distribution Center Facility" means buildings and structures, including fixed machinery and equipment, used or to be used primarily to receive, store, service or distribute goods or materials owned by the Facility operator where a majority of the goods or services are distributed to points beyond a 50 -mile radius of Nueces County. (x) "Regional Telecommunications/Data Processing Center Facility" means buildings and structures used or to be used primarily for the provision of telecommunication or data processing services by the Facility operator where a majority of the services are provided to points beyond a 50 -mile radius of Nueces County. (y) "Research and Development Facility" means buildings and structures used or to be used primarily for the purpose of product developmental engineering, testing and evaluation. (z) "Retention" means to retain existing primary employers so that they continue their business operation within the Corpus Christi city limits and its extraterritorial jurisdiction (ETJ). (aa) "Small Business" means an employer that employs 49 or less full time (2,080 hours/year) permanent jobs at the time of application. (ab) "Small Business Primary Employer" means a primary employer that employs 49 or less full time permanent jobs at the time of application and complies with the requirement(s) set forth under "Definitions" letter (u). Section 2. Mission & Goals (a) It shall be the mission of the Board in administration of these Guidelines and Criteria to promote, encourage and enhance the creation of jobs which expand the City tax base and economy through granting business incentives which assist in the retention, expansion and recruitment of Primary Employers. (b) The goals of the Board in administration of these Guidelines and Criteria are to: • Create and retain jobs; • Expand the City tax base an economy; • Strengthen and diversify Primary Employers within the local economy. (c) The role of the Corporation in carrying out this mission and goals is to review and approve applications for business incentives, recognizing that the Corpus Christi Regional Economic Development Corporation exists for the purpose of organizing, coordinating and leading the City's economic development efforts. CCREDC shall be responsible for accepting and processing all Type A incentive applications and forwarding to the Board and Corporation with recommendations for action. All completed applications filed with CCREDC that meets the qualifying standards of the Type A Program, and provided funds allocated and budgeted are available, will be forwarded to the Type A Board along with a recommendation on course of action. CCREDC will provide a monthly report to the Board of any application that was deemed ineligible and the reason. 4 (d) In order to achieve a balance of the types of uses of Type A funds the following allocation shall be allotted: 50% of total for Business Incentives; 15% for Small Business Assistance programs and 35% of total for Education/Skills Development. As a best practice the Board may choose to stay within these percentages to ensure balance in the fund projects. Section 3. Business Incentives Authorized. (a) Primary Employer and Small Business Primary Employer Business Incentives Authorized. Incentives granted by Agreement under these guidelines pursuant to Section 4 below may include, but are not limited to the following: • land, facilities, equipment & infrastructure grants; • loan participation/guarantees; • direct low interest loans; • rent subsidies; • relocation and moving expense grants; • job training grants/loans; • business incubation activities; and • Projects located in a tax increment reinvestment zone will be given 'reference. (b) Small Business Incentives Authorized. Incentives granted by Agreement for Small Business under these guidelines pursuant to Section 5 below may include, but are not limited to the following: • Small Business start-up grants/loans; • Business Incubation grants/loans; and • Business Incubator development. (c) Education Skills Development (defined below Section 4. Primary Employer Business Incentives. (a) Authorized Facilities. A Capital Investment for a Facility may be eligible for incentives by Agreement if it creates jobs for a Primary Employer. Incentives may be granted for land or Capital Investment related to either New Facilities or improvements to existing Facilities for the purpose of Modernization, Expansion, or for Capital Investment necessary for the retention of an existing primary employer. The following types of property shall be ineligible for business incentives: inventories; supplies; tools; furnishings and other forms of movable personal property (not including capital production equipment); vehicles; vessels; aircraft; deferred maintenance investments; improvements to real property which have an economic life of less than 15 years; and, with the exception of the City of Corpus Christi, property owned or used by the State of Texas or its political subdivisions or by any organization owned, operated or directed by a political subdivision of the State of Texas. (b) Annual Certification. The Business Incentive Agreement shall require annual certification of capital investment as required by the Agreement. (c) Completion of Facility Construction. The completion of Facility construction or installation of Capital Investment shall be deemed to occur upon the earliest of the following events (as determined by the Board): 5 • when a certificate of occupancy is issued for the project; • when commercial production of a product or provision of a service is achieved at the Facility; • when the architect or engineer supervising construction issues a certificate of substantial completion, or some similar instrument; or, • two (2) years after the date of the Agreement. (d) Average Wage Requirement. In determining an incentive based on net new jobs, the following matrix shall be considered as a guiding principal for incentive reviews. New Gross Payroll Incentive per New Job for employees, leased employees, contractors, and consultants. Benefits shall not be included in the gross payroll calculations. <$30,000 per new job A maximum of $750 per net new job* $30,000 to $40,000 per new job $751 to $5,000 per new job* $40,001 to $50,000 per new job $5,001 to $10,000 per new job* >$50,000 per new job $10,001+ per new job* *up to, or not -to -exceed amounts, based on projected economic impact report and CCREDC staff recommendations. (e) For each project an economic impact report using accepted industry standards will be completed. For purposes of calculating the impact, only direct and indirect (not induced) revenue impacts shall be considered. As a guiding principle, no company creating fewer than 50 net new jobs (FTEs) should receive more than 50% of the positive economic impact value calculated and paid over a five-year period. Companies creating over 50 net new jobs may be eligible to receive greater than 50% of the net positive economic impact. As a guiding principle, major employment projects (over 50 net new jobs) will have a significant city-wide economic impact and may be generally considering multiple cities or metro areas and shall be designated as Economic Driver projects. When there is clear and direct evidence that the City is in direct competition with another region for such a major project (over 50 net new jobs) the guiding principle may require the Board and City to extend incentives offers beyond 50% of the direct and indirect economic impact of the project. The CCREDC staff will present to the Board a recommendation including the summary economic impact report, based on careful analysis and negotiations with the applicant company along with a clear acknowledgement wher::a project may require (or has requested) incentives in excess of the 50% direct and indirect positive benefits for the project. As a further guiding principle, incentives should not exceed 100% of the direct and indirect project benefits unless clear evidence exists that the project will bring further investments or is a "game changer" deal that will significantly and positively impact the wider Corpus Christi economy. (f) Job Creation Qualification. In order to be eligible for business incentives, the planned Capital Investment must create and maintain the minimum number of 50 full-time (2,080 hours/year) permanent jobs within the agreed time of an effective date as set out in the Agreement. Annual validation of wage rates shall be provided as set forth in Section 12 (b) herein. With regard to job training, an exception to this requirement may be granted by the Board on a case by case basis. 6 (g) Health Insurance. To qualify for incentives, a primary employer shall certify that it has offered a health insurance program that meets federal and/or state standards for its employees during the term of the Agreement. Section 5. Small Business Incentives. (a) Authorized Projects/Dedicated Allocation. For projects which may not meet the requirements of Section 4 above, business incentives may also be granted to Small Business to create jobs through Small Business start-up and/or Business Incubation. On an annual basis, the Board shall budget a separate allocation for funding all small business start-up and/or business incubation incentives. (b) Wage and Job Creation Requirements. Wage and job creation requirements for Small Business start-up and Business Incubation shall be evaluated and determined by the Board on a case by case basis. (c) Each Small Business incentive application shall be accompanied by an economic impact report prepared by CCREDC and each company shall adequately report job and payroll numbers to CCREDC for reporting and compliance. The CCREDC staff shall prepare a recommendation to the Board on an appropriate course of action on levels of incentives to be offered. Section 6. Small Business Primary Employer Incentives. Authorized Projects/Dedicated Allocation. For projects which may not meet the requirements of Section 4 above, business incentives may also be granted to Small Business Primary Employers to create jobs through Small Business start-up and/or Business Incubation. On an annual basis, the Board may budget a separate allocation for funding all small business start- up, expansion, retention, and/or business incubation incentives. Section 7. Small Business Support (a) Small business support programs are programs designed to help small businesses grow in the community to create jobs. ghese programs may include technical assistance, business assistance, loan programs, and internships. (b) Internships will be funded at a maximum of 50% of the wage plus FICA. (c) The programs must report at a minimum; the number of interns, the companies using interns, intern duties, whether the intern received a job at that company, and whether the intern received a job in the area. Companies cannot use this as a supplement to their workforce. Interns must be used in their academic major field. Internship programs shall not be used as a substitute for permanent job or position creation. Companies cannot use interns more than two years without creating a job. If they do not create a job in that time they will be removed from the list for one year. No company shall receive an intern if another company, who has never had an intern, is requesting one. (d) Small business support program grants will not automatically be renewed; organizations must reapply annually. Section 8. Education/Skills Development. 7 (a) Requests for education/skills development grants must be made through the application process adopted for all other business applicants. (b) Education/Skills Development projects must target job skills that are currently needed or will become needed within the next three years as identified by WorkForce Solutions, Inc. (c) The Education/Skills Development grant must be matched by the applicant by at least 50% of the cash contributed. In-kind donations/contributions will not count toward this minimum. (d) The programs must report the number of students, the number of graduates, and their location and average salary when they are ultimately hired. Failure to do so may jeopardize future applications. (e) Economic Impact, given the unique nature of these projects, may include direct, indirect and even induced economic impact, but awarded incentive grants should be matched with the educational institution's actual cash (not in-kind) participation, or exceed 50% of the value of the economic impact. (f) The grant shall be used for capital expenditures and not for operations. (g) Economic impact report should be completed by an independent third party deemed acceptable by CCREDC, on behalf of the Board. (h) Grants for internships made through the Education/Skills Development portion of the sales tax fund must meet following requirements: • Requests must be made through the application process adopted for all other business applicants. • The internships must target job skills that are currently needed or will become needed within the next three years as identified by WorkForce Solutions, Inc. • The companies using interns must pay a portion of the wage and applicable FICA payroll tax portion Abe • The internship must be through an approved acami dc or training program • The grant agreement will be with that academic or training program. • The grant recipient must implement a program to educate companies that can make use of interns, of the program specifics and how those companies may participate. Section 9. Universal Regrements. (a) Project Implementation. An authorized project funded by a business incentive under this Section must be implemented within two O years from the date of the Agreement. (b) Location or Residency Requirement. Facilities or land may be eligible for business incentives only in the event that any associated Capital Investment is located within the City. Property which is covered by an executed industrial district agreement shall be considered to be within the City for purposes of determining if a project meets location requirements. With regard to job training incentives, these may be eligible outside of the City only in the event that at least 51 % of the jobs created during the term of the Agreement are held by residents of the City. (c) Living Wage Requirement. In order to count as a permanent full-time job under this incentive program, the job should provide a "living wage" for the employee. The target living wage under this abatement program is that annual amount equal or greater than poverty level for a family of three, established by the U.S. Department of Health and Human Services Poverty Guidelines, divided by 2,080 hours per year for that year. The City has the right to 8 adjust the living wage target under these Guidelines and insert a specific target in each property Agreement to govern the abatement offered under that Agreement. (d) Health Insurance. To qualify for this incentive, an employer shall certify that it has offered a health insurance program for its employees during the term of the Agreement and in compliance with state and federal standards for healthcare coverage. (e) Utilization of Local Contractors and Suppliers. Developer agrees to exercise reasonable efforts in utilizing local contractors and suppliers in the construction of the Project, except where not reasonably possible to do so without added expense, substantial inconvenience, or sacrifice in operating efficiency in the normal course of business, with a goal of 50% of the total dollar amount of all construction contracts and supply agreements for elements that are not owner - provided or owner affiliate -provided being paid to local contractors and suppliers within the 50 mile radius of Leopard Street and Staples Street intersection. For the purposes of this section, the term "local" as used to describe manufacturers, suppliers, contractors, and labor includes firms, businesses, and persons who reside in or maintain an office within the 50 -mile radius of Leopard Street and Staples Street intersection. The Developer agrees, during the construction of the Project and for four years after Completion, to maintain written records documenting the efforts of the Developer to comply with the Local Requirement. (f) Utilization of Disadvantaged Business Enterprises. Developer agrees to exercise reasonable efforts in utilizing contractors and suppliers that are determined to be disadvantaged business enterprises, including minority business enterprises women -owned business enterprises and historically -underutilized business enterprises, in the construction of elements of the Project that are not owner -provided or owner affiliate -provided. In order to qualify as a business enterprise under this provision, the fid., must be certified by the City, the Regional Transportation Authority or another governmental intity in the jurisdiction of the home office of the business as complying with state or federal standards for qualification as such an enterprise. The Developer agrees to a goal of 30% of the otal dollar amount of all construction contracts and supply agreements, for elements of the Project that are not owner -provided or owner affiliate -provided, being paid to disadvantaged business enterprises, with a priority made for disadvantaged business enterprises which are local. The Developer agrees, during the construction of the Project and for four years after Completion, to maintain written records documenting the efforts of the Developer to comply with the DBE Requirement. For the purposes of this section, the term "local" as used to describe contractors and suppliers that are determined to be disadvantaged business enterprises, including minority business enterprises women -owned business enterprises and historically -underutilized business enterprises includes firms, businesses, and persons who reside in or maintain an office within a 50 -mile radius of Nueces County. (g) Insurance Requirements. Each recipient of business incentives shall carry worker's compensation insurance and other appropriate insurance coverage as the Board may determine is appropriate and required in the Business Incentive Agreement. 9 Section 10. Application. (a) Written Application. Any present or potential Owner or sponsor may request business incentives by filing an authorized and signed application with the President of the CCREDC. (b) Contents of Application. The application shall consist of a completed application form accompanied (when applicable) by the following: • a general description of proposed Capital Investments to the Facility; • a descriptive list of the improvements or program for which business incentives are requested; • a list of the kind, number and location of all proposed improvements of the property; • a map and property description; and, • a time schedule for undertaking and completing the proposed improvements or programs. In the case of a Modernization or Expansion project, a statement of the assessed value of the Facility, separately stated for real and personal property, shall be given for the tax year immediately preceding the application. The application form may require such financial and other information as the Corporation or City deems appropriate for evaluating the financial capacity and other relevant factors of the applicant. (c) Feasibility/Economic Impact Stud After receipt of a completed application, the President of the CCREDC shall cause to be performed an economic impact report. This report may be completed by CCREDC (or its consultant) using established accepted economic impact models such as IM PLAN, RIMS II, EMS!, or similar model. This study shall include, but not be limited to, an estimate of the economic effect of incentives, including job creation, employment enhancement and capital investment. Once completed, the study and the application will be forwarded to the Board for review and discussion before consideration of any Agreement. The costs and expenses of the feasibility/economic impact study shall be borne by the Economic Development Corporation. The economic impact report should clearly identify the direct and indirect economic impact of each project. (d) No Business Incentives if Construction or Program has commenced. No business incentive Agreement shall be approved if the application was filed after the commencement of any construction, alteration or installation of improvements related to the proposed Facility Modernization, Expansion or New Facility. Similarly, no business incentive Agreement shall be approved for any program if the application was filed after the program has been establishment or program activity has commenced. (e) Financial Information. The applicant shall provide to the Corporation, or the Corporation's appointed agent, the last three years of financial statements—company and/or personal financial statements for review and evaluation to assess the financial strength of the applicant. After receipt of the financial statements, the President of the CCREDC may cause a financial review to be performed. Upon completion, any negative findings from the financial review will be forwarded to the Board for review and discussion before consideration of an Agreement. The applicant will be allowed to address, and explain in writing, any negative findings before the Corporation takes action on an Agreement. Section 11. Approval. 10 (a) Reservation of Rights. The Board reserves the right to determine the eligibility of a project and the terms and conditions of any loan, grant or guarantees based on the mission, goals and objectives in Section 2 above. Nothing herein shall be construed to limit the authority of the Board to examine each application for business incentives before it on a case-by-case basis and determine in its sole and absolute discretion whether or not the proposed project should be granted any business incentive and whether or not it complies with these Guidelines and Criteria, is feasible, and whether or not the proposed business incentives will be to the long-term benefit of the City. (b) Project Agreement Required. Each Agreement shall also include and be accompanied by a separate Project Agreement executed between the Corporation and the City. Section 12. Agreement. (a) Contents of Business Incentive Agreement. The Agreement shall include (when applicable): • the estimated value of Capital Investment; • the commencement date and termination date of the business incentive; • the proposed use of the Facility, nature of construction, time schedule, map, property description and improvements list as provided in the application as required; • in the case of programs, the proposed program description, targeted employment market, nature and schedule of activities, facilities and equipment used to carry out activities, and complete program budget listing all sources of funding and projected expenditures; • the contractual obligations in the event of default, delinquent taxes, recapture, administration and assignment as provided in these Guidelines or other provisions that may be required for uniformity or by state law; and, • the number of permanent jobs, and wage/salary minimums for jobs created. • Commencement must occur within the time frame specified and agreed to in the agreement. (b) Time of Execution. The business incentive Agreement shall normally be considered by the Board within 60 days after the applicant has provided all necessary information and documentation. (c) Deadline for Execution. If the incentive proposal is approved by the Corporation Board of Directors, then the Owner will have ninety (90) days from the date the final Business Incentive Agreement is received by the Owner to execute the Agreement. Failure to execute the Business Incentive Agreement within ninety (90) days from date of receipt will result in the Agreement being null and void and of no effect. Section 13. Recapture. (a) Failure to Timely Comply and Continue Operations. In the event that the Owner of a Facility or program fails to timely, fully and completely comply with any one or more of the Agreement requirements, obligations, duties, terms, conditions or warranties, such failure shall be an act of default and, if not fully and completely cured and corrected, Corporation and/or City may terminate the Agreement and pursue all legal remedies as provided by law. If the Owner is not in compliance during any compliance reviews, then the Corporation, in its sole discretion, shall 11 determine the incentives that the Owner shall be required to refund. As a best practice, incentive agreements should include an appropriate graded scale of penalties negotiated on a case-by-case basis to ensure applicants adhere to performance goals and to ensure any penalties are reflective of the level of non-performance. (b) Employment Verification. Owner shall annually provide documentation, in the form of quarterly Texas Workforce Commission payroll reports or other mutually acceptable employment and payroll report, to verify compliance with new job and payroll commitments. The four quarterly reports, required to be filed with the Texas Workforce Commission, shall be due not later than the fifteenth day after the deadline for filing the fourth quarter report with the Texas Workforce Commission, each year. Corporation may request Owner to provide such documentation at any time. (c) Delinquent Taxes. In the event that the Owner allows its ad valorem taxes to become delinquent and fails to timely and properly follow the legal procedures for its protest and/or contest, the Agreement shall terminate and so shall the business incentives. (d) Utility Payments. In the event that the Owner allows its utility billing payments to become delinquent, the Agreement shall terminate and so -shall the business incentives. (e) Notice of Default. Should the Corporation and/or City determine that the Owner be in default according to the terms and conditions of its Agreement, it shall notify the Owner in writing at the address stated in the Agreement that if such is not cured within 60 days from the date of such notice (the "Cure Period"), then the Agreement may be terminated. In the event the Owner fails to cure said default during the Cure Period, the Agreement may be terminated. If default on new construction occurs at the fault of the Owner, then the Owner must provide a written explanation of the reason for the default to the Corporatif°This written explanation, and any legitimate reasons for delay, will te,taken into consideration as a possible remedy for the default. The Owner shall also notify the Corporation, in writing, explaining any delays in completing any required Agreement milestones as soon as the delays are realized. These Agreement milestones would include deadlines for completion of new construction, hiring new employees, or any other required Agreement milestones. (f) Potential Liability. After exhausting good faith attempts to address any perceived default during the Cure Period, and taking into account any extenuating circumstances that might have occurred through no fault of the Owner as determined by the Board, potential liability under an Agreement may include the immediate return of all money grants and consideration previously paid, the maximum lawful rate of interest on all money paid until fully repaid, reasonable attorney fees and costs of court to collect such money, and the termination of all further obligations made under Agreement. In addition, City and/or Corporation shall not be liable for any alleged consequential damages. Section 14. Administration. (a) Access to Facility. The Agreement shall stipulate that employees and/or designated representatives of the City will have access to the Facility or program during the term of the Agreement for inspection to determine if the terms and conditions of the Agreement are being met. All inspections will be made only after giving 24 -hours prior notice and will only be conducted in such manner as to not unreasonably interfere with the construction and/or 12 operation of the Facility or program. Inspections will be made with one or more representatives of the Owner and in accordance with its safety standards. (b) Annual Reviews. Business Incentive Agreement reviews will be conducted annually to ensure that the Owner is in compliance with the provisions of the Agreement. If the Owner is not in compliance or is in default, then the appropriate provision of the Agreement, as outlined in Section 9 herein and the Agreement, will be enforced to recover incentives paid to Owner, unless the Owner remedies the default on or before the conclusion of any Cure Period. (c) Annual Evaluation. The City, or designee, acting on behalf of the Corporation, shall annually evaluate compliance with the Agreement and report possible violations of the Agreement. As part of this evaluation, the Owner shall provide information sufficient to ensure compliance. (d) Right to Modify or Cancel. Notwithstanding anythirfg herein or in any agreement to the contrary, the Board may cancel or modify the Agreement if the Owner fails to comply with the Agreement. Section 15. Waivers/Variances The Corporation shall have discretion to vary, alter, and/or waive any guideline or criteria set forth herein when such variance, alteration, and/or waiver shall be in the public interest and in furtherance of the purposes and goals of the Corporation as set forth in its Articles of Incorporation, By-laws, Ordinance 024952, and the Act. 13 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: December 13, 2016 TO: Margie C. Rose, City Manager FROM: Dan Grimsbo, Interim Director of Utilities DanG c(�cctexas.com (361) 826-1718 Wesley Nebgen, Asst. Director -Maintenance of Lines WesleyN c(�cctexas.com (361) 826-3111 Maria Pedraza, Procurement Manager mariape(c�cctexas.com (361) 826-3176 Purchase of Neptune Water Meters CAPTION: Motion approving a supply agreement with Neptune Technology Group, Inc., of Houston, Texas for water meters for a total amount of $743,691.19, of which $557,769 has been budgeted in the Water Fund for FY2016-17, and which award is based on the cooperative purchasing agreement with the Houston -Galveston Area Council for a term of one year with an option to extend for up to one additional eight-month period. PURPOSE: This item is to approve the purchase of Neptune Water Meters for the Utilities Department. BACKGROUND AND FINDINGS: The City of Corpus Christi has approximately 96,000 metered water connections with additional new service connections being added daily. These connections, whether as part of a new connection or regular maintenance, require the installation of components allowing the accurate measurement of water usage. The value in accurate reporting of water usage is illustrated in both operational planning and collection of revenues. The City of Corpus Christi has been utilizing Neptune meters as part of normal operating practices due to their cost, accuracy, warranty and integration with our current automatic meter infrastructure (AMI). Based on historical numbers, the City of Corpus Christi invests approximately $750,000 dollars in meters and associated components every year in an effort to maintain operational and fiscal efficiencies. ALTERNATIVES: The equipment identified is the optimum choice. OTHER CONSIDERATIONS: Not applicable. CONFORMITY TO CITY POLICY: This purchase conforms to the City's purchasing policies and procedures and State statutes regulating procurement. EMERGENCY / NON -EMERGENCY: Non -emergency. DEPARTMENTAL CLEARANCES: Utilities Department - Water FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016-2017 Current Year Future Years TOTALS Line Item Budget $938,112.57 $185,922.19 $1,124,034.76 Encumbered / Expended Amount $73,708.22 $0.00 $73,708.22 This item $557,769.00 $185,922.19 $743,691.19 BALANCE $306,635.35 $0.00 $306,635.35 Fund(s): Water Comments: The initial contract term total is $743,691.19, of which $557,769.00 will be funded in FY2016-2017. The total contract expenditure will be up to $743,691.19 annually. Funding for the purchase has been approved in the FY 2016-2017 budget. RECOMMENDATION: Staff recommends approval of the motion as presented. LIST OF SUPPORTING DOCUMENTS: Supply Agreement- Neptune Water Meters Price Sheet SUPPLY AGREEMENT NO. 983 Water Meters for Utilities Department THIS Water Meters for Utitities Department Supply Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home -rule municipal corporation ("City") and Neptune Technology Group, Inc. ("Supplier"), effective for all purposes upon execution by the City Manager or the City Manager's designee ("City Manager"). WHEREAS, Supplier has bid to provide Water Meters for Utilities Department in response to Request for Bid No. n/a ("RFB"), which RFB includes the required scope of work and all specifications and which RFB and the Supplier's bid response are incorporated by reference in this Agreement as Exhibits 1 and 2, respectively, as if each were fully set out here in its entirety. 1. NOW, THEREFORE, City and Supplier agree as follows: Scope. Supplier will provide Water Meters for Utilities Department in accordance with the attached Scope of Work, as shown in Attachment A, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety. "Goods," "products", and "supplies", as used in this Agreement, refer to and have the same meaning. 2. Term. This Agreement is for 12 months. This Agreement includes an option to extend the term for up to one additional eight-month periods ("Option Period"), provided, the parties do so prior to expiration of the original term or the then -current Option Period. The decision to exercise the option to extend the term of this Agreement is, at all times, within the sole discretion of the City and is conditioned upon the prior written agreement of the Supplier and the City Manager. 3. Compensation and Payment. The total value of this Agreement is not to exceed $743,691.19, subject to approved extensions and changes. Payment will be made for goods delivered and accepted by the City within 30 days of acceptance, subject to receipt of an acceptable invoice. All pricing must be in accordance with the attached Bid/Pricing Schedule, as shown in Attachment B, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety. City of Corpus Christi Supply Agreement Standard Form Approved as to Legal Form 7/1 /16 Page 1 of 7 4. Contract Administrator. The Contract Administrator designated by the City is responsible for approval of all phases of performance and operations under this Agreement, including deductions for non-performance and authorizations for payment. The City's Contract Administrator for this Agreement is as follows: Name: Bruce Short Department: Utilities Maintenance of Lines Phone: 361-826-1221 Email: BruceS@cctexas.com 5. Insurance. Before performance can begin under this Agreement, the Supplier must deliver a certificate of insurance ("COI"), as proof of the required insurance coverages, to the City's Risk Manager and the Contract Administrator. Additionally, the COI must state that the City will be given at least 30 days' advance written notice of cancellation, material change in coverage, or intent not to renew any of the policies. The City must be named as an additional insured. The City Attorney must be given copies of all insurance policies within 10 days of the City Manager's written request. Insurance requirements are as stated in Attachment C, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety. 6. Purchase Release Order. For multiple -release purchases of products to be provided by the Supplier over a period of time, the City will exercise its right to specify time, place and quantity of products to be delivered in the following manner: any City department or division may send to Supplier a purchase release order signed by an authorized agent of the department or division. The purchase release order must refer to this Agreement, and products will remain with the Supplier until such time as the products are delivered and accepted by the City. 7. Inspection and Acceptance. Any products that are delivered but not accepted by the City must be corrected or replaced immediately at no charge to the City. If immediate correction or replacement at no charge cannot be made by the Supplier, a replacement product may be bought by the City on the open market and any costs incurred, including additional costs over the item's bid price, must be paid by the Supplier within 30 days of receipt of City's invoice. 8. Warranty. The Supplier warrants that all products supplied under this Agreement are new, quality items that are free from defects, fit for their intended purpose, and of good material and workmanship. The Supplier City of Corpus Christi Supply Agreement Standard Form Approved as to Legal Form 7/1 /16 Page 2 of 7 warrants that it has clear title to the products and that the products are free of liens or encumbrances. In addition, the products purchased under this Agreement shall be warranted by the Supplier or, if indicated in Attachment D by the manufacturer, for the period stated in Attachment D. Attachment D is attached to this Agreement and is incorporated by reference into this Agreement as if fully set out here in its entirety. 9. Quality/Quantity Adjustments. Any quantities indicated on the Bid/Pricing Schedule are estimates only and do not obligate the City to order or accept more than the City's actual requirements nor do the estimates restrict the City from ordering less than its actual needs during the term of the Agreement and including any Option Period. Substitutions and deviations from the City's product requirements or specifications are prohibited without the prior written approval of the Contract Administrator 10. Non -Appropriation. The continuation of this Agreement after the close of any fiscal year of the City, which fiscal year ends on September 30th annually, is subject to appropriations and budget approval specifically covering this Agreement as an expenditure in said budget, and it is within the sole discretion of the City's City Council to determine whether or not to fund this Agreement. The City does not represent that this budget item will be adopted, as said determination is within the City Council's sole discretion when adopting each budget. 11. Independent Contractor. Supplier will perform the work required by this Agreement as an independent contractor and will furnish such products in its own manner and method, and under no circumstances or conditions will any agent, servant or employee of the Supplier be considered an employee of the City. 12. Subcontractors. Supplier may use subcontractors in connection with the work performed under this Agreement. When using subcontractors, however, the Supplier must obtain prior written approval from the Contract Administrator if the subcontractors were not named at the time of bid. In using subcontractors, the Supplier is responsible for all their acts and omissions to the same extent as if the subcontractor and its employees were employees of the Supplier. All requirements set forth as part of this Agreement, including the necessity of providing a COI in advance to the City, are applicable to all subcontractors and their employees to the same extent as if the Supplier and its employees had performed the work. City of Corpus Christi Supply Agreement Standard Form Approved as to Legal Form 7/1 /16 Page 3 of 7 13. Amendments. This Agreement may be amended or modified only by written change order signed by both parties. Change orders may be used to modify quantities as deemed necessary by the City. 14. Waiver. No waiver by either party of any breach of any term or condition of this Agreement waives any subsequent breach of the same. 15. Taxes. The Supplier covenants to pay payroll taxes, Medicare taxes, FICA taxes, unemployment taxes and all other related taxes. Upon request, the City Manager shall be provided proof of payment of these taxes within 15 days of such request. 16. Notice. Any notice required under this Agreement must be given by fax, hand delivery, or certified mail, postage prepaid, and is deemed received on the day faxed or hand -delivered or on the third day after postmark if sent by certified mail. Notice must be sent as follows: IF TO CITY: City of Corpus Christi Attn: Bruce Short Title: Work Coordinator Address: 2726 Holly Road, Corpus Christi, Texas 78415 Fax: 361-826-1715 IF TO SUPPLIER: Neptune Technology Group, Inc. Attn: Rex Baxter Title: Senior Territory Manager Address: 1600 Alabama Highway 229 Tallassee, Alabama 36078 Fax: 334-283-7293 17. SUPPLIER AGREES TO INDEMNIFY, HOLD HARMLESS AND DEFEND THE CITY OF CORPUS CHRISTI AND ITS OFFICERS, EMPLOYEES AND AGENTS ("INDEMNITEES') FROM AND AGAINST ANY AND ALL LIABILITY, LOSS, CLAIMS, DEMANDS, SUITS AND CAUSES OF ACTION OF ANY NATURE WHATSOEVER ON ACCOUNT OF PERSONAL INJURIES (INCLUDING DEATH AND WORKERS' COMPENSATION CLAIMS), PROPERTY LOSS OR DAMAGE, OR ANY OTHER KIND OF INJURY, LOSS, OR DAMAGE, INCLUDING ALL EXPENSES OF LITIGATION, COURT COSTS, ATTORNEYS' FEES AND EXPERT WITNESS City of Corpus Christi Supply Agreement Standard Form Approved as to Legal Form 7/1/16 Page 4 of 7 FEES WHICH ARISE OR ARE CLAIMED TO ARISE OUT OF OR IN CONNECTION WITH THIS AGREEEMENT OR THE PERFORMANCE OF THIS AGREEMENT, REGARDLESS OF WHETHER THE INJURIES, DEATH OR DAMAGES ARE CAUSED OR ARE CLAIMED TO BE CAUSED BY THE CONCURRENT OR CONTRIBUTORY NEGLIGENCE OF INDEMNITEES, BUT NOT IF BY THE SOLE NEGLIGENCE OF INDEMNITEES UNMIXED WITH THE FAULT OF ANY OTHER PERSON. SUPPLIER MUST, AT ITS OWN EXPENSE, INVESTIGATE ALL CLAIMS AND DEMANDS, ATTEND TO THEIR SETTLEMENT OR OTHER DISPOSITION, DEFEND ALL ACTIONS BASED THEREON WITH COUNSEL SATISFACTORY TO THE CITY ATTORNEY, AND PAY ALL CHARGES OF ATTORNEYS AND ALL OTHER COSTS AND EXPENSES OF ANY KIND ARISING FROM ANY SAID LIABILITY, DAMAGE, LOSS, CLAIMS, DEMANDS, SUITS, OR ACTIONS. THE INDEMNIFICATION OBLIGATIONS OF SUPPLIER UNDER THIS SECTION SHALL SURVIVE THE EXPIRATION OR EARLIER TERMINATION OF THIS AGREEMENT. 18. Termination. (A) The City Manager may terminate this Agreement for Supplier's failure to perform the work specified in this Agreement or to keep any required insurance policies in force during the entire term of this Agreement. The Contract Administrator must give the Supplier written notice of the breach and set out a reasonable opportunity to cure. If the Supplier has not cured within the cure period, the City Manager may terminate this Agreement immediately thereafter. (B) Alternatively, the City Manager may terminate this Agreement for convenience upon 30 days advance written notice to the Supplier. The City Manager may also terminate this Agreement upon 24 hours written notice to the Supplier for failure to pay or provide proof of payment of taxes as set out in this Agreement. 19. Assignment. No assignment of this Agreement by the Supplier, or of any right or interest contained herein, is effective unless the City Manager first gives written consent to such assignment. The performance of this Agreement by the Supplier is of the essence of this Agreement, and the City Manager's right to withhold consent to such assignment is within the sole discretion of the City Manager on any ground whatsoever. City of Corpus Christi Supply Agreement Standard Form Approved as to Legal Form 7/1/16 Page 5 of 7 20. Severability. Each provision of this Agreement is considered to be severable and, if, for any reason, any provision or part of this Agreement is determined to be invalid and contrary to applicable law, such invalidity shall not impair the operation of nor affect those portions of this Agreement that are valid, but this Agreement shall be construed and enforced in all respects as if the invalid or unenforceable provision or part had been omitted. 21. Order of Precedence. In the event of any conflicts or inconsistencies between this Agreement, its attachments, and exhibits, such conflicts and inconsistencies will be resolved by reference to the documents in the following order of priority: A. this Agreement and its attachments B. the bid solicitation document, including addenda (Exhibit 1) C. the Supplier's bid response (Exhibit 2) 22. Certificate of Interested Parties. Supplier agrees to comply with Texas Government Code Section 2252.908, as it may be amended, and to complete Form 1295 "Certificate of Interested Parties" as part of this Agreement. 23. Governing Law. This Agreement is subject to all federal, State, and local laws, rules, and regulations. The applicable law for any legal disputes arising out of this Agreement is the law of the State of Texas, and such form and venue for such disputes is the appropriate district, county, or justice court in and for Nueces County, Texas. 24. Entire Agreement. This Agreement constitutes the entire agreement between the parties concerning the subject matter of this Agreement and supersedes all prior negotiations, arrangements, agreements and understandings, either oral or written, between the parties. (SIGNATURE PAGE FOLLOWS) City of Corpus Christi Supply Agreement Standard Form Approved as to Legal Form 7/1 /16 Page 6 of 7 SUPPLIER Signature: /2.--7' 'a2 Printed Name: Rex Baxter Title: Senior Territory Manager Date: 11/21/16 CITY OF CORPUS CHRISTI Signature: Printed Name: Title: Date: Attached and Incorporated by Reference: Attachment A: Scope of Work Attachment B: Bid/Pricing Schedule Attachment C: Insurance Requirements Attachment D: Warranty Requirements Incorporated by Reference Only: Exhibit 1: RFB No. n/a Exhibit 2: Supplier's Bid Response City of Corpus Christi Supply Agreement Standard Form Approved as to Legal Form 7/1/16 Page 7 of 7 Attachment A: Scope of Work Supply Water Meters and associated catalog parts as per HGACBUY Contract WM08-1 6. Attachment B: Bid / Pricing Schedule INACBuyCONTRACT PRICING WORKSHEET For Catalog & Price Sheet Type Purchases Contract No.: WM08-16 Date Prepared: 11,32016 This Worksheet is MUST be prepared by Contractor and given to End User. If a PO is issued, both documents faxed to H -GAC @ 713-993-4548. Therefore please type or print legibly. B°y1°g Agency: City of Corpus Christi, Texas contractor: Neptune Technology Group, Inc. contact Person: Joanna Moreno Prepared By: Rex Baxter Phone: 361-826-1649 Phone: 281-794-4267 Fax: Fax: Email: joannam@cctexas.com Email: rbaxter@neptunetg.com Catalog iPrice sheet Name. Neptune PL -33 price sheet General Description of Product: Water Meters (T -10's and HPT's) A. Catalog / Price Sheet Item being purchased - Itemize Below - Attach Additional Sheet If Necessary Quan Description Unit Pr Total 1000 ED2D21R7G8S358 3/4" t-10 METER $ 84.93 $ 84,930.00 250 ED2F21R7G8S358 1" t-10 METER $ 125.66 $ 31,415.00 100 ED2H11R7G8S358 11/2" t-10 METER $ 294.55 $ 29,455.00 125 ED2J11R7G8S358 2" t-10 METER $ 376.73 $ 47,091.25 100 ET4HR7G8S358 11/2" HPT $ 436.68 $ 43,668.00 125 ET4AR7G8S358 2" HPT $ 457.36 $ 57,170.00 100 ET4BR7G8S358 3" HPT $ 641.72 $ 64,172.00 50 ET4CR7G8S358 4" HPT $ 836.83 $ 41,841.50 20 ET4DR7G8S358 6" HPT $ 1,354.51 $ 27,090.20 10 ET4ER7G8S358 8" HPT $ 1,741.52 $ 17,415.20 5 ET4FR7G8S358 10" HPT $ 3,003.55 $ 15,017.75 500 R72G12S358 5/8" PRO -READ REGISTER $ 45.11 $ 22,555.00 1000 R72G22S358 3/4" PRO -READ REGISTER $ 45.11 $ 45,110.00 1000 R72G32S358 1" PRO -READ REGISTER $ 45.11 $ 45,110.00 500 R72G42S358 11/2" t-10 PRO -READ REGISTER $ 45.11 $ 22,555.00 500 R72G52S358 2" t-10 PRO -READ REGISTER $ 45.11 $ 22,555.00 500 R75G12S358 2" HPT PRO -READ REGISTER $ 45.11 $ 22,555.00 200 R75G22S358 3" HPT PRO -READ REGISTER $ 45.11 $ 9,022.00 100 R75G32S358 4" HPT PRO -READ REGISTER $ 45.11 $ 4,511.00 50 R75G52S358 6" HPT PRO -READ REGISTER $ 45.11 $ 2,255.50 50 R75G62S358 8" HPT PRO -READ REGISTER $ 45.11 $ 2,255.50 50 R75G02S358 10" HPT PRO -READ REGISTER $ 45.11 $ 2,255.50 3 EC3BR7G8S358 3" Compound $ 1,542.00 $ 4,626.00 3 EC3CR7G8S358 4" Compound $ 2,078.00 $ 6,234.00 3 EC3DR7G8S358 6" Compound $ 3,490.00 $ 10,470.00 5 53107-000 3" strainer $ 551.00 $ 2,755.00 5 53107-100 4" strainer $ 663.00 $ 3,315.00 4 51000-201 6" strainer $ 1,116.62 $ 4,466.48 3 52000-304 8" strainer $ 2,040.06 $ 6,120.18 3 52000-402 10" strainer $ 3,419.71 $ 10,259.13 10000 12482-002 Installation Kit $ 3.50 $ 35,000.00 2000 9601-001 Register Seal Pins $ 0.22 $ 440.00 Use Additional Sheet if all Option will not fit on this sheet. Include Total From Other Sheets, If Any: Subtotal A: $743,691.19 B. Unpublished Options, Accessory or Service items - Itemize Below - Attach Additional Sheet If Necessary (Note: Unpublished Items are any which were not submitted and priced in contractor's bid.) Quan Description Unit Pr Total :Name of Unpublished Options (Items that were not include in bid submittal)0 0 0 0 Total From Other Sheets, If Any: Subtotal B: 0 Check: Total cost of Unpublished Options (B) cannot exceed 25% of the total of the Base Unit Price plus Published Options (A+B). For this transaction the percentage is: 0°0 C. Trade -Ins / Special Discounts / Other Allowances / Freight / Installation / Miscellaneous Charges Trade -In 0 Freight 0 Special Discount 0 Subtotal C: 0 Delivery Date: 30 days ARO D. Total Purchase Price (A+B+C): $743.691.19 Attachment C: Insurance / Bond Requirements No Insurance and Bond requirements are required for the supply agreement Attachment D: Warranty Requirements Neptune T-10, HP Turbine, TRU/FLO® Compound Cold Water Meters Warranty 1. Terms of Limited Warranty. ARB® UTILITY MANAGEMENT SYSTEMS"' With respect to its Neptune T-10, HP TURBINE, TRU/FLO Compound Water Meters (collectively the "Water Meters"), Neptune Technology Group Inc. ("Neptune") warrants the following on meters sold on or after 11/1/92: The Water Meters will be, at the later of (i) the date of original purchase from Neptune or (ii) the date of original shipment from Neptune -authorized distributor of Water Meters (that later date is referred to as "the Date of Shipment") and will remain for a period of eighteen (18) months from the Date of Shipment, or twelve (12) months from date of installation, whichever comes first, free from manufacturing defects in workmanship and material. (a) Maincase. The no -lead high copper alloy or Brass maincase of the Water Meters will be at the Date of Shipment free from manufacturing defects in workmanship and material for the life of the Water Meter. (b) Frost Protection. All Neptune T-10 Cold Water Meters shipped with a synthetic polymer or cast iron bottom cap will, commencing upon the Date of Shipment, be warranted against chamber damage for a period of ten (10) years. (c) Registers. Standard, roll sealed registers of the Water Meters will be at the Date of Shipment, and shall remain for the following periods, free from manufacturing defects in workmanship and material for a period of ten (10) years. The ARB®, ProRead" (ARB VI), and E -Coder® (ARB VII) system registers are warranted for ten (10) years from Date of Shipment. All ProRead encoder receptacles shipped after January 1, 2001 shall be warranted for five years from the Date of Shipment. All other components and parts are covered under Neptune's standard one-year material and workmanship guarantee. (d) Meter Accuracy for Neptune T-10. Neptune T-10 Meters and Neptune T-10 nutating disc chambers in TRU/FLO Compound Water Meters are warranted to meet or exceed, as listed herein, accuracy standards of the AWWA Standard C700-95 for a period of: (i) five (5) years from Date of Shipment for 5/8", 3/4" and 1" meters; (8) for a period of two (2) years from the Date of Shipment for 1 1/2" and 2" meters; or (iii) the applicable registration shown below, whichever occurs first. Neptune further guarantees that the Neptune T-10 and Neptune T-10 nutating disc chambers in TRU/FLO Compound Water Meters will perform to at least Repaired Meter Accuracy Standards, according to AWWA Manual M-6 Chapter 5 (1999) Table 5.3 for an additional ten (10) years or the registration shown below, whichever occurs first. (e) Meter Accuracy for HP Turbine and TRU/FLO. The HP Turbine and TRU/FLO Compound Cold Water Meters will perform, for a period of one (1) year from the Date of Shipment, to American Water Works Association ("AWWA") accuracy standards for new water meters. SIZE EXTENDED LOW FLOW ACCURACY NEW METER ACCURACY REPAIRED METER ACCURACY & %"x'/" %a US gpm @ 95% 5 years or 500,000 gallons 500,000 gallons 1,500,000 gallons US gpm @ 95% 5 years or 750,000 gallons 750,000 gallons 2,250,000 gallons 1., a US gpm @95 % 5 years or 1,000,000 gallons 1,000,000 gallons 3,000,000 gallons 1 ,/„ / US gpm @ 95% 2 years or 1,600,000 gallons 1,600,000 gallons 5,000,000 gallons 2., 1 US gpm 95% 2 years or 2,700,000 gallons 2,700,000 gallons 8,000,000 gallons W METER 0911 CN) NEPTUNE TECHNOLOGY GROUP INC. ISO 9001 2. Warranty Return. If a Neptune Water Meter fails an accuracy test during an applicable warranty period, it may be returned to Neptune for repair or replacement at Neptune's option. An accuracy test shall be conducted by the customer according to AWWA standards. Any meter being returned for repair to Neptune under this performance guarantee must be returned with a copy of the customer's test results. If the meter is returned to Neptune without a copy of the test results or if Neptune's factory test shows the meter to meet current AW WA standards, the customer will be charged a nominal testing fee by Neptune in such cases. Neptune will repair or replace the meter at Neptune's option after the meter has been tested by Neptune. Meters repaired or replaced under the performance guarantee will be guaranteed to perform to AWWA repaired meter accuracy standards. 3. Warranties are exclusive. The warranties set forth in this certificate of warranty are in lieu of any other warranty, guarantee, or representation, whether expressed or implied, including without limitation, the warranty of merchantability and the warranty of fitness for a particular purpose. 4. Damages limited to costs of replacement and repair. If the Water Meter fails to meet the warranties set forth in Paragraph 1 of this Certificate of Warranty, Neptune, at its option shall, without charge of labor or materials, repair or replace the Water Meter or part thereof, provided that (a) the Water Meter is delivered to a Neptune representative, (b) the Water Meter is accompanied by a Return Material Authorization (RMA), and (c) all costs of delivery to Neptune are assumed by the purchaser of the Water Meter. Neptune's liability is limited to its costs of replacement and repair of the defective water meter. Damages resulting from miscalculation of water usage or lost revenue or profit are not recoverable from Neptune. It is the responsibility of the customer to periodically verify the operation and accuracy of its meters. 5. Warranties are inapplicable under certain conditions. The warranties set forth in this Certificate of Warranty do not apply to any Water Meter that has been damaged by, or subjected to, conditions which, in the opinion of Neptune, have affected the Water Meter's ability of performance, including but not limited to: misuse; improper handling, application or installation; excessive operating conditions; foreign materials in the water; aggressive water conditions; tampering or unauthorized repairs or modifications; accidental or intentional damage; acts of God. This Certificate of Warranty shall not apply if product is placed in non - recommended installation, is connected or altered by other than Neptune recommended procedures, is used with other than genuine Neptune meter registers and components, or read by equipment not approved or licensed by Neptune. Neptune makes no claims concerning operability and/or compatibility or third party reading systems. In addition, this Certificate of Warranty shall not apply if third party reading equipment is believed to have caused damage to the meter or register. In order to determine its liability, if any, under this Certificate of Warranty, Neptune shall have the right to inspect any Water Meter or part thereof that is claimed to be defective at Neptune or other location designated by Neptune. NEPTUNE'S LIABILITY WITH RESPECT TO BREACHES OF THE FOREGOING LIMITED WARRANTY SHALL BE LIMITED AS STATED HEREIN. NEPTUNE'S LIABILITY SHALL IN NO EVENT EXCEED THE PURCHASE PRICE. NEPTUNE SHALL NOT BE SUBJECT TO AND DISCLAIMS THE FOLLOWING: (1) ANY OTHER OBLIGATIONS OR LIABILITIES ARISING OUT OF BREACH OF CONTRACT OR OF WARRANTY (2) ANY OBLIGATIONS WHATSOEVER ARISING FROM TORT CLAIMS (INCLUDING NEGLIGENCE AND STRICT LIABILITY) OR ARISING UNDER OTHER THEORIES OF LAW WITH RESPECT TO PRODUCTS SOLD OR SERVICES RENDERED BY NEPTUNE, OR ANY UNDERTAKINGS, ACT OR OMISSIONS RELATING THERETO, AND (3) ALL CONSEQUENTIAL, INCIDENTAL, SPECIAL, MULTIPLE, EXEMPLARY, AND PUNITIVE DAMAGES WHATSOEVER. CN) W METER 09.11 NEPTUNE TECHNOLOGY GROUP INC. ISO 9001 ProReadTM/E-Coder® Encoder Warranty StatementRRa® Products Covered This warranty shall apply to both the ProRead Absolute Encoder and E -Coder Solid State Absolute Encoder Registers, hereinafter referred to as "Product," sold by Neptune Technology warranty is extended only to utilities, municipalities, other commercial users, and authorized distributors, hereinafter referred to as "Customer," and does NOT apply to consumers. Materials and workmanship Neptune Technology Group Inc. ("Neptune") warrants that the product shall be free from defects in manufacture and design for a period of ten (10) years from the date of shipment the "Warranty Period") when installed, serviced and operated according to Neptune's instructions. Neptune shall not be responsible for any defects in the product (whether due manufacture, or otherwise) which manifest themselves after the expiration of the Warranty Period. Neptune will repair or replace a non-performing product free of charge for ten Warranties are inapplicable under certain conditions This warranty does not include field replacement labor or materials costs, which are the responsibility of the Customer. This warranty does not apply if product is placed in installations; may have been repaired with parts not recommended by Neptune; is converted, altered or connected by other than Neptune recommended procedures; is used with Neptune components or read by equipment not approved or licensed by Neptune; or damaged due to improper care or maintenance, or improper periodic testing (please refer to guide). This warranty does not apply to any Product that has been damaged by, or subjected to, conditions which, in the opinion of Neptune, have affected the Product's ability of performance, but not limited to: misuse; improper handling; application or installation; excessive operating conditions; tampering or unauthorized repairs and modifications; accidental or intentional of God. In no event shall Neptune be liable for special, incidental, indirect or consequential damages, including, without limitation, lost revenue. THE ABOVE WARRANTY IS THE SOLE AND EXCLUSIVE WARRANTY GIVEN BY NEPTUNE WITH RESPECT TO THE PRODUCT. ALL OTHER WARRANTIES, CONDITIONS, REPRESENTATIONS, OR OTHER LEGALLY OPERATIVE PROVISIONS CONCERNING THE PRODUCT ARE HEREBY EXPRESSLY EXCLUDED. INCLUDING WITHOUT WARRANTY, CONDITION, TERM, AND REPRESENTATION OR OTHER LEGALLY OPERATIVE PROVISION AS TO MERCHANTABILITY OR FITNESS FOR A PARTICULAR PARAGRAPH IS EXPRESSLY INTENDED TO EXCLUDE FROM THIS CONTRACT ALL STATUTORY AND COMMON LAW WARRANTIES TO THE MAXIMUM EXTENT PERMITTED BY AMBIGUITY OR MISUNDERSTANDING, ALL PROBLEMS ARISING WITH THE PRODUCT AFTER THIS POINT ARE CUSTOMER'S RESPONSIBILITY. NEPTUNE'S LIABILITY SHALL IN THE PURCHASE PRICE. NEPTUNE SHALL NOT BE SUBJECT TO AND DISCLAIMS THE FOLLOWING: (1) ANY OTHER OBLIGATIONS OR LIABILITIES ARISING OUT OF BREACH OF WARRANTY; (2) ANY OBLIGATIONS WHATSOEVER ARISING FROM TORT CLAIMS (INCLUDING NEGLIGENCE AND STRICT LIABILITY) OR ARISING UNDER OTHER THEORIES OF TO PRODUCTS SOLD OR SERVICES RENDERED BY NEPTUNE, OR ANY UNDERTAKINGS, ACTS, OR OMISSIONS RELATING THERETO; AND (3) ALL CONSEQUENTIAL, INCIDENTAL, EXEMPLARY, AND PUNITIVE DAMAGES WHATSOEVER. 0 NEPTUNE TECHNOLOGY GROUP INC. W ENCODER Oe 09 MAN' SYSTEMS"" Group (such to design, (10) years. non -recommended other than Encoder damage; LIMITATION, PURPOSE. LAW. TO NO EVENT CONTRACT LAW WITH SPECIAL, GEMENT Inc. The period being materials, genuine quick install including or acts TERMS, ANY THIS AVOID ANY EXCEED OR OF RESPECT MULTIPLE, ISO BOO, „„',u=n,,v,, ® Encoder Compatibility Guarantee ARB Automatic Reading and Billing (ARB®) System (ARB V, ProRead", and E-Coder®) With the purchase of the ARB encoder metering system, Neptune will provide the assurance that the ARB System purchased today can be expanded from reading with Neptune reading with Neptune mobile products and fixed network systems. GUARANTEE OF COMPATIBILITY The Pocket ProReader RF, Advantage Probe, R900°°, E-Coder)R900i', DAP handhelds (PC9300, 9800 & CE5320B) and Neptune mobile systems are designed and built by Neptune. utility compatibility between these systems and the ARB encoder registers. For Probed Reads: When reading ARB encoders with the Pocket ProReader RF, Advantage Probe, or DAP handhelds (PC9300, 9800 and CE5320B), Neptune guarantees that the meter will match the mechanical odometer reading, or Neptune will pay the difference at the rate currently in force. For RF Reads: When reading ARB encoders connected to an R900 where the R900 reads a ProRead or ARB V encoder hourly, or in the case of E-Coder where the R900 reads the minutes, Neptune guarantees the encoder reading and the remote reading will match upon manual activation of the R900 with a magnet to force an immediate read and transmission. the E-Coder)R900i where the R900 transmission is updated every 15 minutes, Neptune will guarantee the encoder reading and remote reading to match upon this update. If the the handheld device is less than the odometer reading, Neptune will pay the difference at the rate currently in force. Damage Guarantee The Pocket ProReader RF, Advantage Probe, R900, E-Coder)R900i, DAP handhelds (PC9300 & 9800, CE5320B) and Neptune mobile systems are warranted against causing damage register during interrogation. If it is found that the Pocket ProReader RF, Advantage Probe, 8900, DAP handhelds (PC9300 & 9800, CE5320B) or Neptune mobile systems caused encoder register during interrogation, Neptune will either repair or replace the register at no charge to the utility. UTILITY MANAGEMENT SYSTEMS"" handheld This guarantees reading E-Coder In electronic to any damage 1600 Alabama shall be the without a will repair repaired (0) or five 8900 with to individual Neptune devices to the obtained every 15 the event of reading on ARB encoder to an ARB Hwy. conducted test. Any copy of the or replace meter or defective. (5) when a magnet system shall not If there are any questions concerning this Meter & Reading Information Systems Guarantee, please write to: Manager of Consumer Relations, Neptune Technology Group Inc., 229, Tallassee, Alabama 36078. If a Neptune water meter fails an accuracy test during an applicable warranty period, it may be returned to Neptune for repair or replacement at Neptune's option. An accuracy test by the customer according to AWWA standards. If foreign material causes the meter not to perform appropriately, all such materials shall be removed prior to the customer conducting meter being returned for repair to Neptune under this performance guarantee must be returned with a copy of the customer's test results. If the meter is returned to Neptune test results or if Neptune's factory test shows the meter to meet current AWWA standards, the customer will be charged a nominal testing fee by Neptune in such cases. Neptune the meter at Neptune's option after the meter has been tested by Neptune. Meters repaired or replaced under the performance guarantee will be guaranteed to perform to AWWA accuracy standards. This guarantee is void if components have not been maintained or installed according to Neptune installation and maintenance guidelines, or are otherwise damaged The accuracy guarantee will not apply where a properly formatted electronic meter reading cannot be obtained on six digit encoders. The last digit will be displayed only as a zero read remotely. As part of the encoder technology, the electronic reading from the R900 is guaranteed to match the reading on the encoder register upon manual activation of the to force an immediate read and transmission (one per hour). System damage as a result of vandalism or acts of God are not covered. Additional warranties may also apply components. Neptune's liability with respect to breaches of the foregoing warranty shall be limited as stated herein. Neptune's liability shall in no event exceed the purchase price. be subject to and disclaims the following: (1) any other obligations or liabilities arising out of breach of contract or of warranty; (2) any obligations whatsoever arising from tort claims (including negligence and strict liability) or arising under other theories of law with respect to products sold or services rendered by Neptune, or any undertakings, acts, or omissions relating thereto; and (3) all consequential, incidental, special, multiple, exemplary, and punitive damages whatsoever. THE WARRANTIES SET FORTH HEREIN ARE IN LIEU OF AND EXCLUDE ALL OTHER WARRANTIES, WHETHER EXPRESSED, IMPLIED OR STATUTORY, INCLUDING, WITHOUT LIMITATION, ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR rN\\ NEPTUNE FITNESS FOR A PARTICULAR PURPOSE. c J W ENCODER sn os TECHNOLOGY GROUP INC. tfl ,,�z�bDk, Attachment B: Bid / Pricing Schedule INACBuyCONTRACT PRICING WORKSHEET For Catalog & Price Sheet Type Purchases Contract No.: WM08-16 Date Prepared: 11,32016 This Worksheet is MUST be prepared by Contractor and given to End User. If a PO is issued, both documents faxed to H -GAC @ 713-993-4548. Therefore please type or print legibly. B°y1°g Agency: City of Corpus Christi, Texas contractor: Neptune Technology Group, Inc. contact Person: Joanna Moreno Prepared By: Rex Baxter Phone: 361-826-1649 Phone: 281-794-4267 Fax: Fax: Email: joannam@cctexas.com Email: rbaxter@neptunetg.com Catalog iPrice sheet Name. Neptune PL -33 price sheet General Description of Product: Water Meters (T -10's and HPT's) A. Catalog / Price Sheet Item being purchased - Itemize Below - Attach Additional Sheet If Necessary Quan Description Unit Pr Total 1000 ED2D21R7G8S358 3/4" t-10 METER $ 84.93 $ 84,930.00 250 ED2F21R7G8S358 1" t-10 METER $ 125.66 $ 31,415.00 100 ED2H11R7G8S358 11/2" t-10 METER $ 294.55 $ 29,455.00 125 ED2J11R7G8S358 2" t-10 METER $ 376.73 $ 47,091.25 100 ET4HR7G8S358 11/2" HPT $ 436.68 $ 43,668.00 125 ET4AR7G8S358 2" HPT $ 457.36 $ 57,170.00 100 ET4BR7G8S358 3" HPT $ 641.72 $ 64,172.00 50 ET4CR7G8S358 4" HPT $ 836.83 $ 41,841.50 20 ET4DR7G8S358 6" HPT $ 1,354.51 $ 27,090.20 10 ET4ER7G8S358 8" HPT $ 1,741.52 $ 17,415.20 5 ET4FR7G8S358 10" HPT $ 3,003.55 $ 15,017.75 500 R72G12S358 5/8" PRO -READ REGISTER $ 45.11 $ 22,555.00 1000 R72G22S358 3/4" PRO -READ REGISTER $ 45.11 $ 45,110.00 1000 R72G32S358 1" PRO -READ REGISTER $ 45.11 $ 45,110.00 500 R72G42S358 11/2" t-10 PRO -READ REGISTER $ 45.11 $ 22,555.00 500 R72G52S358 2" t-10 PRO -READ REGISTER $ 45.11 $ 22,555.00 500 R75G12S358 2" HPT PRO -READ REGISTER $ 45.11 $ 22,555.00 200 R75G22S358 3" HPT PRO -READ REGISTER $ 45.11 $ 9,022.00 100 R75G32S358 4" HPT PRO -READ REGISTER $ 45.11 $ 4,511.00 50 R75G52S358 6" HPT PRO -READ REGISTER $ 45.11 $ 2,255.50 50 R75G62S358 8" HPT PRO -READ REGISTER $ 45.11 $ 2,255.50 50 R75G02S358 10" HPT PRO -READ REGISTER $ 45.11 $ 2,255.50 3 EC3BR7G8S358 3" Compound $ 1,542.00 $ 4,626.00 3 EC3CR7G8S358 4" Compound $ 2,078.00 $ 6,234.00 3 EC3DR7G8S358 6" Compound $ 3,490.00 $ 10,470.00 5 53107-000 3" strainer $ 551.00 $ 2,755.00 5 53107-100 4" strainer $ 663.00 $ 3,315.00 4 51000-201 6" strainer $ 1,116.62 $ 4,466.48 3 52000-304 8" strainer $ 2,040.06 $ 6,120.18 3 52000-402 10" strainer $ 3,419.71 $ 10,259.13 10000 12482-002 Installation Kit $ 3.50 $ 35,000.00 2000 9601-001 Register Seal Pins $ 0.22 $ 440.00 Use Additonal Sheet if all Option will not fit on this sheet. Include Total From Other Sheets, If Any: Subtotal A: $743,691.19 B. Unpublished Options, Accessory or Service items - Itemize Below - Attach Additional Sheet If Necessary (Note: Unpublished Items are any which were not submitted and priced in contractor's bid.) Quan Description Unit Pr Total :Name of Unpublished Options (Items that were not include in bid submittal)0 0 0 0 Total From Other Sheets, If Any: Subtotal B: 0 Check: Total cost of Unpublished Options (B) cannot exceed 25% of the total of the Base Unit Price plus Published Options (A+B). For this transaction the percentage is: 0°0 C. Trade -Ins / Special Discounts / Other Allowances / Freight / Installation / Miscellaneous Charges Trade -In 0 Freight 0 Special Discount 0 Subtotal C: 0 Delivery Date: 30 days ARO D. Total Purchase Price (A+B+C): $743.69119 CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-140982 Date Filed: 11/2912016 Date Acknowledged: 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. Neptune Technology Group Tallassee, AL United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. 983 Water Meters 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling 1 Intermediary City of Corpus Christi Corpus Christi, TX United States X 5 Check only if there is NO Interested Party. ❑ 6 AFFIDAVIT I swear, or affirm, under penalty of perjury, that the above disclosure Is true and correct. tttitli1fi11 ..``,C1NDS F'p. ti • u°Mary2/0tiGcy r ` *: . >`°� �r'o '; Signature of authorized agent of contracting business entity • "OD `°i ; = Lawrence M. Russo, VP, Finance AFFI$N .qYY STAMP ISA**BOVE Sworn to �9�"• �� e me, by the said eii) ► en Lr. L Alt •• tA6 S O , this the day of E 41ti W� +� 20 ! (G' , {kigdiijlMch, witness my hand and seal of orrice.} (_ �,sta"/ -&. %-- , / 1 aitte,t U =, r •C• G J Beasley ___ Asst. Secretary X5 Steven S. Signature of officer adminisigring oath Printed name of officer administering oath Tittle of officer administering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.277 INFORMAL STAFF REPORT MEMORANDUM To: Margie C. Rose, City Manager Thru: Mark Van Vleck, Assistant City Manage/ From: Dan Grimsbo, Interim Director of Water Utilities Date: December 14, 2016 Subject: Financial Information — Water Meters (16-1370) Issue/Problem Councilwoman Vaughn requested additional information regarding $73,708.22 reported having been expended and encumbered for water meter and service connection materials in Water Fund 4010. Backaround $e Findings As of 11/22/16, $73,708.22 had been expended or encumbered in the account for water meters and service connection materials in Water Fund 4010. $48,164.64 was expended on a single purchase order to Neptune Technology Group for multiple sized water meters and registers needed to repair or replace residential and commercial water customer's equipment. $25,543.57 was encumbered for the purchase of meter box lids, meters, and connection supplies. Conclusion Purchasing guidelines were followed for all expended and encumbered funds. AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: November 22, 2016 TO: Margie C. Rose, City Manager THRU: Mark Van Vleck, Assistant City Manager markvv@cctexas.com (361) 826-3897 Valerie H. Gray, P. E., Executive Director of Public Works valerieg@cctexas.com (361) 826-3729 FROM: J. H. Edmonds, P. E., Director of Engineering Services jeffreye@cctexas.com (361) 826-3851 CAPTION: Engineering Construction Contract Tuloso Road from Leopard Street to IH 37 (Rebid) BOND 2012, Proposition 1 Motion authorizing the City Manager, or designee, to execute a construction contract with Bay, LTD. of Corpus Christi, Texas in the amount of $2,181,527.42 for Tuloso Road from Leopard Street to IH 37 Re -bid for the total base bid. (Bond 2012, Proposition 1) PURPOSE: The purpose of this Agenda Item is to obtain authority to execute a construction contract for Tuloso Road from Leopard Street to IH 37 BOND 2012 Project. BACKGROUND AND FINDINGS: This BOND 2012 project was approved on November 6, 2012. Bond 2012 Brochure description: "Tuloso Road from Interstate Highway 37 to Leopard Street — This project includes full -depth repair and widening the existing two lane rural roadway to three lane roadway with two travel lanes and a continuous left turn lane. The proposed cross section meets the requirements of a C-2 Collector, and is proposed in lieu of the A-2 Arterial designated in the current UTMP. A wider paved shoulder will be provided as a bike route. Other improvements include curb and gutter, sidewalks, ADA curb ramps, lane striping and pavement markings. Future bikeway requirements will require evaluation at the time of roadway design and shall conform to the adopted Bikeway Plan of the UTMP/Integrated Community Sustainability Plan (ICSP). This is the second time the Tuloso Road reconstruction project was bid and presented to City Council. The first bid package was designed and bid as Portland Cement Concrete (PCC) pavement with the expansion from 2 -lanes to 3 -lanes (with continuous center turn lane), new curb & gutter with new underground drainage, and improvements/relocations of private and City utilities. The initial bids were received on August 19, 2015, and presented to City Council on December 8, 2015. All bids exceeded the available funding. During the December 2015 Council meeting, there were discussions regarding potential revisions to the scope to reduce the cost. The potential revisions included using Hot Mix Asphalt Concrete (HMAC) in lieu of PCC pavement, reducing the roadway from 3 -lanes to 2 -lanes, designated turn lanes at the intersections only and without curb & gutter. Staff was directed to redesign and "REBID" the project with the proposed scope revisions. This Item is for the "REBID" of the Tuloso Road Reconstruction project. This project includes full - depth reconstruction of the existing 2 -lane rural roadway with a new 2 -lane roadway and dedicated left turn lanes at intersections. The improvements include removal and replacement of the existing Hot Mix Asphalt Concrete (HMAC) pavement with new HMAC pavement, 5' sidewalks on both sides, ADA compliant ramps, signs and pavement markings. Utility improvements include water, gas, and regrading of the existing roadside ditches. Four bids were received on the initial bid and the REBID as follows: Contractor November 16, 2016 December 8, 2015 REBID Base Bid (H MAC) Previous Base Bid (Concrete) Bay, LTD $2,181,527.42 $5,051,864.95 Haas Anderson $2,292,787.65 $5,014,449.60 Clark Pipeline $2,375,553.29 $5,128,513.71 Garrett Construction $2,421,002.50 No Bid Reytec Construction No Bid $5,298,144.00 Engineer's Estimate $2,320,875.00 $3,316,493.00 It is not anticipated that further reductions will meet the minimum requirements for the local community and the City and therefore recommend awarding the project as designed. ALTERNATIVES: 1. Authorize execution of a construction contract. (Recommended) 2. Do not authorize execution of a construction contract. (Not Recommended) OTHER CONSIDERATIONS: Maverick Engineering, Inc. (MEI) is the design engineer that was selected for this project under RFQ 2012-03. CONFORMITY TO CITY POLICY: Complies with statutory requirements for construction contracts. Conforms to FY 2016-2017 Street Capital Improvement Planning (CIP) Budget. EMERGENCY / NON -EMERGENCY: Not applicable DEPARTMENTAL CLEARANCES: Street Department FINANCIAL IMPACT: ❑ Operating ❑ Revenue X Capital ❑ Not applicable Fiscal Year 2016-2017 Project to Date Budget and Expenditures Current Year Future Years TOTALS Budget $357,622.00 $4,603,778.00 $4,961,400.00 Encumbered / Expended Amount 357,622.00 0 357,622.00 This item 0 $2,181,527.42 $2,181,527.42 Future Anticipated Expenditures This Project 0 602,000.74 602,000.74 BALANCE $0 $1,820,249.84 $1,820,249.84 Fund(s): Comments: N/A RECOMMENDATION: City staff and MEI recommend the construction contract be awarded to the lowest responsible bidder, Bay, LTD., in the amount of $2,181,527.42 re -bid for the total base bid of the Tuloso Road Project. LIST OF SUPPORTING DOCUMENTS: Project Budget Location Map Presentation Form 1295 PROJECT BUDGET Tuloso Road Bond 2012 PROJECT FUNDS AVAILABLE: Bond 2012, Proposition 1 $ 1,909,600.00 Utilities 3,051,800.00 Water 1,147,600.00 Wastewater 654,500.00 Storm Water 943,500.00 Gas 306,200.00 TOTAL FUNDS AVAILABLE $ 4,961,400.00 FUNDS REQUIRED: Construction: Construction (Bay, Ltd.) THIS ITEM 2,181,527.42 Street 1,086,175.65 Utilities 1,095,351.77 Water 417,296.90 Storm Water 558,579.87 Wastewater 95,635.00 Gas 23,840.00 Contingency (10%) 218,152.74 Construction Inspection and Testing: Construction Inspection (Estimate) 165,792.00 Construction Phase - Materials Testing Services (Rock) 20,354.00 Design: Engineer (Maverick) Original Contact and Four Amendments 390,824.00 Design Phase - Geotechnical Study and Testing (Kleinfelder) 8,500.00 Reimbursements: Total Reimbursements 305,738.00 Contract Administration (Engineering Svcs Admin/Finance/Capital Budget) 60,648.00 Engineering Services (Project Mgt/Constr Mgt) 242,590.00 Misc. (Printing, Advertising, etc.) 2,500.00 TOTAL $ 3,290,888.16 ESTIMATED PROJECT BUDGET BALANCE $ 1,670,511.84 TULOSO ROAD Corpus Christi Grande VICINITY MAP NOT TO SCALE Project Number: E12094 Tuloso Rd. IH -37 to Leopard St. Bond 2012 - ReBid CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Tuloso Road Leopard to IH 37 (BOND 2012) "RE -BID" Corpus Chr sti Engineering Council Presentation December 13, 2016 Project Vicinity �hrsti Engineering Project Location �hrsti Engineering 3 Project Scope Corpus Chr sti Engineering This provides for the award of the "RE -BID" for the project. In August 2015, staff presented the initial bids that exceeded the approved project budget and received direction from City Council to re -scope the project within or closer to the approved Bond 2012 budget. The following is the summary of the REBID scope and respective bids: • Full depth reconstruction of the 2 -lane road with designated left -turn lanes at intersections and new 5' sidewalks on both sides (deletes continuous center turn lane) • Maintain rural roadside design (deletes curb & gutter) • Re -grading roadside ditches (deletes underground drainage — no curb & gutter) • Delete wastewater line replacement (conflicts eliminated with drainage revisions) • Delete 24" waterline replacement conflicts eliminated with drainage revisions) Contractor November 16, 2016 December 8, 2015 REBID Base Bid (HMAC) Previous Base Bid (Concrete) Bay, LTD $2,181,527.42 $5,051,864.95 Haas Anderson $2,292,787.65 $5,014,449.60 Clark Pipeline $2,375,553.29 $5,128,513.71 Garrett Construction $2,421,002.50 No Bid Reytec Construction No Bid $5,298,144.00 Engineer's Estimate $2,320,875.00 $3,316,493.00 Project Schedule �hrsti Engineering 2015 2016 2017 Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Re -Bid Jan Feb Mar Apr May Jun Jul Aug IMF Construction Project Estimate: Calendar Days 240 8 Months CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-138897 Date Filed: 11/21/2016 Date Acknowledged: 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. Bay Ltd. Corpus Christi, TX United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. Transportation, Texas Department of 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. E12094 Tuloso Road from IH-37 to Leopard St (Bond 2012) REBID Total Base Bid $2,181,527.42 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary Jon, Lentz Corpus Christi, TX United States X 5 Check only if there is NO Interested Party. ❑ 6 AFFIDAVIT ��I01iill1iY1�IMI1gN% I swear, or affirm, under penalty of perjury, that the above disclosure is true and correct. I II if\ 7 )c j Signature o uthorized agent of contract ir+business tity 1t�OF� y t AFFIX NOTARYjT$A�:•It�O0�. %.,.„,�ST, MN,,,o (_l ,�1 7 OA/ Sworn to and subscribed before me, by the said , 1 �' , this the day of �W L 20 Lt.. , to certify which, witness my hand and seal of office. -$_%e9.4m40,_72),dinkjR,Lerrno.Nbieiq Pk, b I c L Signature of officer administering oath Printed name of officer administering oath Title of officer tdministering oath Forms provided by Texas Ethics Commission www.ethics.state.tx. us Version V1.0.277 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: November 14, 2016 TO: Margie C. Rose, City Manager THRU: Mark Van Vleck, Assistant City Manager markvv@cctexas.com (361) 826-3897 Valerie H. Gray, P. E., Executive Director of Public Works valerieg@cctexas.com (361) 826-3729 FROM: J. H. Edmonds, P. E., Director of Engineering Services jeffreye@cctexas.com (361) 826-3851 CAPTION: Engineering Construction Contract North Padre Island Beach Access Road 3A Bond 2014, Proposition 2 Motion authorizing the City Manager, or designee, to execute a construction contract with JE Construction Services of Corpus Christi, Texas in the amount of $340,389.04 for North Padre Island Beach Access Road 3A for total base bid and additive alternate No.1. (Bond 2014, Proposition 2) PURPOSE: The purpose of this Agenda Item is to obtain authority to execute a construction contract for North Padre Island Beach Access Road 3A. BACKGROUND AND FINDINGS: This project was approved as part of Bond 2014 Proposition 2 Street Safety, Revitalization and Capacity Improvement projects on November 4, 2014. Bond 2014 Brochure description: "North Padre Island Beach Access Roads (3A and 2) — This project includes reconstruction of Beach Access Roads on North Padre Island, including Beach Access Road 3A, and consideration will be given to other beach access roads for which the City has the responsibility of maintaining as funding allows." Beach Access Road 3A is located on North Padre Island starting at St. Bartholomew Avenue between Windward Drive and Leeward Drive and extends to the beach. Beach Access Road 2 is located on Mustang Island, approximately 7 miles north of the Park Road 22 / 361 intersection, providing access from 361 to the beach. Both roads are experiencing significant distress from age, sand migration and tidal influences. Construction projects located on the beach require coordination with many governing agencies and committees. Both projects were presented to and sanctioned by: • United States Army Corps of Engineers, • Texas General Land Office, • Nueces County Dune Committee, • Beach Management Advisory Committee, • Island Strategic Action Committee, • Watershore and Beach Advisory Committee, and • City of Corpus Christi Parks and Recreation Department. As part of the Permitting process for construction on the beach, the Nueces County Dune Committee required an extension of Access Road 3A from the Seawall approximately 140' toward the water to provide better visibility for drivers on the beach. The Committee also required construction of Access Road 2 take place in the October 2017 to December 2017 timeframe as part of the Permit requirements. Therefore, this item provides for reconstruction of Access Road 3A only at this time. This project required some minor land acquisition to better align the intersection at St. Bartholomew and Windward Drive. The City was able to trade adjoining land parcels with the property owner and the transaction was successfully completed by City Manager administrative action at no cost to the City. The project Base Bid provides for replacement of the existing Hot Mix Asphalt Concrete (HMAC) roadway with new Portland Cement Concrete (PCC), grading, slope and soil stabilization, pavement markings, and signage with the realignment at Windward within the same location on the beach as the existing roadway. Additive Alternative No. 1 provides for the requested 140' LF extension from the Nueces County Dune Committee. This project is anticipated to take approximately 8 weeks after the Notice to Proceed is issued. During construction, the contractor is required to provide continual access and full access is required over the designated Spring Break Holiday if the project is not complete. On November 30, 2016, the City received proposals from two (2) bidders as follows: Contractor Base Bid Additive Alternate 1 JE Construction Services Corpus Christi, Texas $306,620.40 $33,768.64 Mo -Con Services, Inc. Corpus Christi, Texas $293,526.68 $51,239.83 ALTERNATIVES: 1. Authorize execution of a construction contract. (Recommended) 2. Do not authorize execution of a construction contract. (Not Recommended) OTHER CONSIDERATIONS: Govind Development, LLC is the design engineer that was selected for this project under RFQ 2014-08. CONFORMITY TO CITY POLICY: Complies with statutory requirements for construction contracts. Conforms to FY 2016-2017 Street Capital Improvement Planning (CIP) Budget. EMERGENCY / NON -EMERGENCY: Not applicable DEPARTMENTAL CLEARANCES: Street Department FINANCIAL IMPACT: ❑ Operating ❑ Revenue X Capital ❑ Not applicable Fiscal Year 2016-2017 Project to Date Budget and Expenditures Current Year Future Years TOTALS Budget $232,537.15 $3,316,762.85 $3,549,300.00 Encumbered / Expended Amount 232,537.15 0.00 232,537.15 This item 0 $340,389.04 $ 340,389.04 Future Anticipated Expenditures This Project 0 149,462.81 149,462.81 BALANCE $0 $2,677,521.96 $2,826,911.00 Fund(s): Street Bond 2014, Proposition 2. Comments: Balance required for construction and completion of Beach Access Road 2. RECOMMENDATION: City staff and Govind Development recommend the construction contract be awarded to JE Construction Services in the amount of $340,389.04 for the North Padre Island Beach Access Road 3A for the total base bid and additive alternate #1. LIST OF SUPPORTING DOCUMENTS: Project Budget Location Map Presentation Form 1295 PROJECT BUDGET North Padre Island Beach Access Roads 3A Bond 2014, Proposition 2 PROJECT FUNDS AVAILABLE: Street CIP, Bond 2014, Proposition 2 $ 3,500,000 Storm Water CIP 49,300 TOTAL FUNDS AVAILABLE $ 3,549,300 FUNDS REQUIRED: Construction: Construction Road 3A (JE Construction Services) THIS ITEM 340,389.04 Contingency (10%) 34,038.90 Construction Inspection and Testing: Construction Inspection (Estimate) 17,020 Construction Phase - Materials Testing Services (estimate) (TBD) 12,000 Design: Engineer (Govind) Preliminary Design 49,200 Engineer (Govind) Engineering Design 73,935 Design Phase - Geotechnical Services (Tolunay-Wong) 13,285 Reimbursements: Total Reimbursements (Both Projects) 178,465 Contract Administration (Engineering Svcs Admin/Finance/Capital Budget) 70,986 Engineering Services (Project Mgt/Constr Mgt) 106,479 Misc. (Printing, Advertising, etc.) 1,000 Other: Staff Augmentation 4,056 TOTAL $ 722,389 * ESTIMATED PROJECT BUDGET BALANCE $ 2,826,911 * Balance required for construction of Beach Access Road 2 Beach Access Road 3A �lirJ�u�6-� Project Number: E15111 North Padre Island Beach Access Road 3A Bond 2014, Prop. 2 CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Corpus Chr sti Engineering North Padre Island Beach Access Road 3A Bond 2014, Proposition 2 Council Presentation December 13, 2016 Project Vicinity �hrsti Engineering Project Location �hrsti Engineering RELOCATED ACCESS LOCATION BEACH ACCESS ROAD 3A RECONSTRUCTION ADD ALT NO 17 ST, BARTNOLOMEW AVE LEEWARD DR WNDWARD DR. Project Scope Corpus Chr sti Engineering Improvements for the North Padre Island Beach Access Road 3A will include: • Replacement of existing Hot Mix Asphalt Concrete (HMAC) roadway with new Portland Cement Concrete (PCC), • Grading for surface drainage, slope and soil stabilization, • Pavement markings, and signage. • Additive Alternate #1 provides for a 140 ft. extension of the existing roadway limits as a condition of the Nueces County Dune Committee permit. Project Schedule �hrsti Engineering 2015 2016 2017 Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Construction Estimate: 8 week Nov Bid Dec Jan Feb Continual access to the beach will be required during construction of Beach Access Road 3A with completion of the project prior to spring break. CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5. and 6 if there are no interested parties. 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. JE Construction Services, LLC, CORPUS CHRISTI, TX United States 2 Name of governmental entity or state agency that is a party to the contract for which the form Is being Hied. City of Corpus Christi Department of Engineering Services OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-141678 Date Filed: 12/01/2016 Date Acknowledged: 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. E15111 Concrete Road Work 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling 1 Intermediary 5 Check only if there Is NO Interested Party. ❑X 6 AFFIDAVIT KAREN JUST Notary Public, Stole of Texas My Commission Expires October 30, 2018 AFFIX NOTARY STAMP / SEAL ABOVE I swear. or affirm, under penalty of perjury, that the above d sciosure is true and correct. Signature of authorized agent of contracting business entity Sworn o and subscribed before me, by the said ( r 6 ti 20 if , to certify which, witness my hand and seal of office. this the 1 E day of CP—.0h 5 gnature of officer administering oath Printed name of officer administering oath Tide of officer administering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0,277 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: TO: Margie C. Rose, City Manager December 5, 2016 THRU: Mark Van Vleck, P.E., Assistant City Manager MarkVV@cctexas.com (361) 826-3082 Valerie H. Gray, P.E., Executive Director, Public Works ValerieG@cctexas.com (361) 826-3729 FROM: Dan Grimsbo, Interim Director of Water and Utilities DanG@cctexas.com (361) 826-1718 Jeffrey H. Edmonds, P.E., Director, Engineering Services JeffreyE@cctexas.com (361) 826-3851 Engineering Construction & Design Amendment Contracts O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase I (Capital Improvement Program) CAPTION: Motion authorizing the City Manager or designee to execute Amendment No. 1 to the engineering design contract with LNV, Inc. of Corpus Christi, Texas in the amount of $91,480 for a total restated fee of $186,947 for the O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase I for design, bid and construction phase services. The motion also authorizes execution of a construction contract with American Process Group, Inc. of Tacoma, Washington in the amount of $3,750,000 for the Base Year with an additional $3,750,000 Option Year for a total not to exceed amount of $7,500,000 for the O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase I. (Capital Improvement Program) PURPOSE: The purpose of this agenda item is to obtain authority to execute a unit price construction contract and execute an engineering contract amendment needed for the O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase I. CIP Description: O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase 1 The design of the North and South Sludge Lagoons Infrastructure was deemed necessary for the construction of a sludge line extension and sludge lagoon access roads. This project provides an interim solution for pumping sludge to the East and West Pollywogs ponds and will eventually construct a permanent transfer line conveying sludge from the North/South Lagoons to the new Solids Handling and Disposal Facilities. This project also addresses the sludge lagoon access roads which are heavily deteriorated and are in need of rehabilitation to accommodate heavy equipment during maintenance and dredging operations. The implementation of this project will remove sludge from the North/South Lagoons by installing and utilizing the FLUMP equipment and constructing a new transfer line that will convey sludge to Lagoon No. 7. This project also includes cleaning the sludge deposit in Lagoon No. 7 and a feasibility study for Lagoon No. 8 to meet operational needs at the O.N. Stevens Water Treatment Plant. BACKGROUND AND FINDINGS: Potable water treatment removes suspended solids from the raw water supply by chemical and physical separation. Alum sludge is a by-product of the water clarification process. That sludge is accumulated at the O.N. Stevens Water Treatment Plant (ONSWTP) site in various ponds or basins. The last major dredging project to remove accumulated solids was completed in 2000. The sludge accumulation at O.N. Stevens is approaching levels where it can soon begin to interfere with the ability to properly treat water. On May 24, 2016, City Council awarded an engineering services contract to LNV to implement a short-term sludge removal process from Lagoon 7 using geo-tubes. During the design process, staff concluded that this method would not achieve the intended results. An alternative solution to dredge, dry and haul away sludge for disposal was therefore recommended. This action is intended to address the current sludge accumulation in Lagoon 7. At the same time a longer range sludge management plan is being developed as described in the adopted Capital Improvement Plan. This item provides the award of the construction contract that includes dredging Lagoon 7, dewatering the solids and hauling the dewatered sludge material to the Cefe Venezuela Landfill. This item also provides for the engineering services with bid phase support for the dredging project. The construction project was developed as a multi-year award, unit priced contract with an annual cost ceiling due to budgetary constraints. This procurement strategy allowed the City to obtain very competitive pricing and will allow us to maximize the amount of sludge removal that can be achieved within the available budget. All payments will be based on actual quantities measured by weight at the Cefe Valenzuela Landfill. The contract will be awarded as a base year plus one optional year at the same unit prices. Staff will award the second year based on the contractor's performance during the base year period. The optional year will be administratively authorized by the City Manager or designee within the available funding. The construction project was originally conceived as a unit priced contract with a budget and award up to $4,000,000 for each one-year performance period. This allows the City to achieve the maximum sludge removal within the available funds. The bid quantities included for the bid documents were the minimum levels required to ensure continued plant operations while a more permanent sludge management solution is implemented. The lower unit bid prices will allow the project to achieve greater volumes of dredging and to restore greater capacity in the lagoons within the available funding. Staff is recommending award at $3,750,000 rather than $4,000,000 to allow for other supporting site and electrical work that is required by this effort. That supporting work will be accomplished by separate contracts. On November 30, 2016, the City received proposals from six (6) bidders. One bid was determined non-responsive due to incomplete submittal of required documents. The remaining 5 bids were deemed responsive bids and presented in the following table: CONTRACTOR TOTAL BASE BID American Process Group, Inc. Tacoma, Washington $2,310,117.36 Denali Water Solutions LLC Russellville, Arkansas $2,382,409.00 Merrell Bros., Inc. Kokomo, Indiana $2,847,400.00 Synagro of Texas — CDR, Inc. Baltimore, Maryland $3,139,000.00 Dredgit Environmental Corporation Houston, Texas $3,717,000.00 Veolia (NON RESPONSIVE) $'1,000,000.00 La Portc, Tcxaa Engineer's Opinion of Probable Construction Cost -Base Year $4,000,000.00 * Note: The unit quantities outlined in the bid documents were for evaluation purposes. The evaluation of the apparent three (3) low bidders noted that all three did not fully comply with past experience of five similar projects within five years. However, the City's consultant and staff were able to determine each of the three (3) bidders had other relevant experience to demonstrate successful experience and capacity to perform the work. Therefore, American Process Group Inc. was determined as the lowest responsive and responsible bid and qualified for this project. ALTERNATIVES: 1. Authorize the execution of the engineering design contract. (Recommended) 2. Do not authorize the execution of the engineering design contract. (Not Recommended) OTHER CONSIDERATIONS: None CONFORMITY TO CITY POLICY: Conforms to City Fiscal Policy EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Utilities Department FINANCIAL IMPACT: ❑ Ooeratin ❑ Revenue ®Capital ❑ Not aoolicable Fiscal Year 2016-2017 Project to Date Expenditures Current Year Future Years TOTALS Line Item Budget 5,586,500 5,586,500 Encumbered / Expended Amount 95,467 95,467 This Item (American Process Group) 3,750,000 3,750,000 This Item (LNV, Inc.) 91,480 91,480 Future Anticipated Expenditures This Project 887,785 887,785 BALANCE 761,768 761,768 Fund(s): Water CIP No. 8 Comments: This project requires approximately 365 calendar days with anticipated completion in January 2018. The construction contract will result in the expenditure of an amount not to exceed $3,750,000. RECOMMENDATION: City Staff recommends approval of Amendment No. 1 to the engineering design contract with LNV, Inc. of Corpus Christi, Texas in the amount of $91,480 for a total restated fee of $186,947 for the O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase I for design, bid and construction phase services and to execute a construction contract with American Process Group, Inc. of Tacoma, Washington in the amount of $3,750,000 for the O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase I for the total base bid. The construction contract is a one-year base contract with one optional renewal year. The optional year will be administratively authorized by the City Manager or designee based on need and available funding. (Capital Improvement Program) LIST OF SUPPORTING DOCUMENTS: Project Budget Location Map Contract Presentation Form 1295 PROJECT BUDGET O.N. STEVENS WATER TREATMENT PLANT INTERMEDIATE SLUDGE REMOVAL PHASE 1 FUNDS AVAILABLE: Water CIP $5,586,500 FUNDS REQUIRED: Construction: Construction (American Process Group, Inc.) THIS ITEM 3,750,000 Contingencies (10%) 375,000 Construction Observation & Testing: Construction Observation Estimate 195,528 Testing Estimate 111,730 Engineering and Testing: Engineering Design (LNV, Inc.) 186,947 *Original 95,467 Amendment No. 1 THIS ITEM 91,480 Reimbursements: 205,528 Administration/Finance (Engineering/Capital Budget/Finance) 83,798 Engineering Services (Project Management) 111,730 Misc 10,000 TOTAL $4,824,732 PROJECT BUDGET BALANCE $761,768 *Design contract was aproved by City Council on May 24, 2016 by Motion No. M2016-052 1 6241 Walmart Supercenter San 0 Robstown 892 392 1 so n) 67 16941 116941 13161 12259 Texas State Aquarium ", Project Location ei U Corpus Christi 15501 22921 665 Corpus Christi I nternationa I Airport El 2601 Project #: E16246 O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase I (E16246) CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES CITY OF CORPUS CHRISTI AMENDMENT NO. 1 CONTRACT FOR PROFESSIONAL SERVICES The City of Corpus Christi, Texas, a Texas home -rule municipal corporation ("City") and LNV, Inc. ("Consultant"), agree to the following amendments to the Contract for Professional Services for O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase 1 (Project No. E16246): Original Contract j May 24, 2016 _--I Motion No. M2016-052 $95,4671 In the Original Contract, Exhibit "A", Section I. Scope of Services shall be amended as set forth in the attached Amendment No.1, Exhibit "A". In the Original Contract, Section III. Fees shall be amended based on the modified scope of services in the attached Amendment No. 1, Exhibit "A" for a fee not to exceed $91,480, for a total restated fee not to exceed $186,947. All other terms and conditions of the May 24, 2016 Contract for Professional Services between the City and Consultant, and of any amendments to that contract, which are not specifically addressed herein shall remain in full force and effect. CITY OF CORPUS CHRISTI LNV, J. H. Edmonds, P.E. Date /D . n S. Leyendecker, P.E City Manager ; resident 01 Navigation, Suite 300 Corpus Christi, TX 78408 RECOMMENDED (361) 883-1984 Office (361) 883-1986 Fax Ioganb@Invinc.com Operating Department Date APPROVED AS TO LEGAL FORM Assistant City Attorney Date APPROVED Office of Management and Budget Date ATTEST City Secretary Date Project Number E16246 Accounting Unit 4093-041 Account 550950 Activity El 6246 -01 -4093 -EXP Account Category 50950 Fund Name Water 2013 RVBD K'ENGINEERING DATAEXCHANGEVENNIFER`WATER' E16246 ONSWTP INTERMEDIATE SLUDGE REMOVAL CONSTRUCTION & AMD NO. 1tCONTRACT\CONTRACT DOC REV 10.1'15 LNV Solutions Today with a engineers architects surveyors Vision for Tomorrow TBPE FIRM NO. F-366 November 18, 2016 Mr. J.H. Edmonds, P.E. Director of Capital Programs City of Corpus Christi 1201 Leopard St. Corpus Christi, TX 78401 Re: AMENDMENT NO. 1 TO PROFESSIONAL SERVICES CONTRACT O.N. STEVENS WATER TREATMENT PLANT INTERMEDIATE SLUDGE REMOVAL PHASE 1 CITY PROJECT NO. E16246 Dear Mr. Edmonds, In response to the City's request, we are proposing the following $91,480.00 amendment for services associated with the ONSWTP Intermediate Sludge Removal Phase 1 Project. PROJECT DESCRIPTION: The purpose of this project is to remove the maximum quantity of sludge from the lagoons at the City of Corpus Christi's O.N. Stevens Water Treatment Plant (ONSWTP) allowable within specific program budget constraints. This project will provide ONSWTP with a solution to restore a portion of the sludge storage capacity at ONSWTP and particularly in Lagoon No. 7 (Washwater Return Basin). The consultant will design and develop bid documents for dredging and dewatering sludge from Lagoon No. 7 and hauling the dewatered sludge to Cefe Valenzuela landfill for final disposal. In addition to Design Phase services, the consultant will also provide Bid Phase and Construction Administration services. The scope of work is further detailed in the following sections. I. SCOPE OF SERVICES A. BASIC SERVICES 1. PRELIMINARY PHASE This task will not be required for this Amendment. 2. DESIGN PHASE The Scope of Work described below is in addition to the Orginal Contract tasks I.A.2.a) through I.A.2.b) (60% Design Submittal). The Consultant will develop the appropriate construction drawings, specifications and contract documents to deliver the project with a base one year contract with an option for a second year renewal. The project City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 1 of 11 generally consists of dredging, dewatering, hauling and delivering to disposal site, water treatment plant residuals (sludge) from an existing storage lagoon. The residuals will be dredged from Lagoon No. 7 (Washwater Return Basin) located on-site at O.N. Stevens Water Treatment Plant, 13101 Leopard Street, Corpus Christi, Texas (ONSWTP), with the following provisions: • The contractor will be responsible for providing all equipment, materials, labor, permits, testing, and supervision required to dredge, dewater (must pass paint filter test), haul and deliver the residuals to the disposal site. • The residuals will be disposed of at the Cefe Valenzuela Landfill, 2397 Co. Rd. 20, Robstown, TX 78380, owned by the City of Corpus Christi (approximately 20 miles from ONSWTP). • The Contractor will be responsible for conducting and providing documentation of trip tickets, manifests, paint filter tests for each load at the point of generation, moisture content tests for each load, and TCLP and TPH tests for every 25,000 CY disposed of at the landfill. • The contractor will NOT be responsible for tipping fees at the Cefe Valenzuela Landfill. • Existing contractor staging area near Hearn Rd. will be available to Contractor. Contractor will be responsible for maintaining the staging area in a condition that is suitable for their own use and will NOT be responsible for restoring the staging area to its existing condition. • Contractor award will be based on lowest responsive and qualified bidder but quantities on the Bid Form will be for evaluation purposes only. The bid documents will include hypothetical quantities that help to establish unit costs and to gain an understanding of the target quantities. • Contract Price, measurement, and payment will be based on the price per dry ton (100% solids) removed from the lagoon within a total expenditure of approximately $4M in the first year. • There will be an option for a second year, $4M renewal. Renewal will be based on Contractor's successful performance, approval by the City/Engineer and concurrence from the Contractor. • The original contract and renewal will include milestones for dry tons (DT) removed during each period. • Milestones will be approximately 3,000 DT @ 130 days and 6,000 DT @ 230 days from NTP. • The total estimated quantity of sludge to be removed is approximately 20,000 DT or 10,000 DT per year. The Scope of Work described below replaces the scope of work described in Original Contract tasks I.A.2.c) through I.A.2.e). a) Pre -Final Design Submittal (Replaces I.A.2.c) 100% Design Submittal) City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 2 of 14 The Consultant will prepare and submit, for City comment and approval, pre -final Contract Documents. The Contract Documents will include pre -final front end documents, pre -final plan sheets, and pre -final specifications which will all be developed to a 90% level of completion. b) Final Design Submittal (Replaces I.A.2.d) Final Design Submittal) The Consultant will prepare the Final Design Submittal which will consist of a final set of specifications, plan sheets, and front end documents that have addressed all comments and are signed and sealed by a professional engineer registered in the state of Texas. The consultant will also prepare the documents for distribution to the City and bidding contractors. c) Quality Assurance/Quality Control (QA/QC). (Replaces I.A.2.e) QA/Q C) The Consultant will follow established internal QA/QC procedures in order to ensure that all submittals to the City are consistent with the level of completion expected. As part of the established internal QA/QC procedures, all submittals will be reviewed by a subject matter expert who is not involved with the project design or administration. The submittal will be reviewed for general completeness, technical accuracy, and conformance with project scope and intent. Review comments will be issued and responses will be documented for each submittal. 3. BID PHASE (Replaces I.A.3. of Original Contract) This task will consist of assisting the City with conducting a project workshop, preparing the project workshop minutes, responding to bidder questions, preparing addenda, and evaluating the bids, and recommending an award to the Contractor. The City will advertise the bid and distribute the bidding documents (plans, specifications, and addenda) to the interested bidders and suppliers. a) Sampling and Bench Testing Coordination & Support During bid advertisement, the consultant will coordinate with all identified prospective bidders to allow and assist them in obtaining sludge samples from Lagoon No. 7 for analysis and bench testing. This process will allow prospective bidders to determine effectiveness of dewatering equipment and the required quantities of polymer and other dewatering aids as necessary. By determining the effectiveness and required quantities, the accuracy of the bids will be improved. b) Pre -Solicitation Workshop City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 3 of 14 After a Preliminary Solicitation has been advertised on CivCast but before the Invitation to Bidders is advertised by the City, the Consultant will assist the City in conducting a Pre -Solicitation Workshop with the City and prospective Bidders in order to make Bidders aware of any unique project component, inform Bidders of the project details, clarify Bidder or City questions and solicit comments, questions and input from the City and Bidders. The Consultant will prepare a draft agenda for City review, address the review comments and finalize the agenda, and document the workshop in writing within 5 working days. c) Bidding Coordination and Addenda Preparation The Consultant will answer City and Contractor questions, develop written responses in the form of Contract Addenda, provide (1) hard copy and electronic set of any required addenda for distribution to Bidders, and provide overall support to City during the bid advertisement period. The addenda will include, as needed, (1) electronic copy (CD) and (1) half-size set of addenda drawings for distribution by the City to interested Bidders. Addendum #1 will Addend the Preliminary Solicitation on Civcast to include all Contract Documents including specifications, technical specifications, and drawings from which Bidders will develop their bids. d) Bid Evaluation and Recommendation of Award The Consultant will tabulate and review all bids received for compliance with the requirements of the Bid Documents, including addenda. After consultation with City, the Consultant will prepare a written award recommendation based on this review and knowledge of proposed contractors' and subcontractors' past performance records. 4. CONSTRUCTION ADMINISTRATION PHASE (Replaces I.A.4. of Original Contract) The intent of the Construction Administration Phase is to assist the City in confirming that construction of the Project is carried out in accordance with the requirements of the Contract Documents and to help facilitate and enable the Work to progress in an efficient and cost-effective manner, while maintaining facility operations. The anticipated construction duration is based off of a first year original contract and a second year renewal. a) General Project Administration and Meetings The tasks described below as part of the General Project Administration and Meetings task are estimated to consist of one Pre Construction Meeting and Monthly Status Meetings for the first year original contract and a second year renewal. Also included are City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 4 of 14 approximately ninety six (96) hours for a first year's original contract and an additional ninety six (96) hours for a second year renewal for coordination, correspondence, and record keeping. These tasks are further described below. (1) As the designated Design Consultant for the project, LNV will consult with and advise the City and act as its representative during construction. The Consultant will serve as the central point of contact for the Contractor. Instructions from the City to the Contractor(s) will be issued through the Consultant, who will have authority to act on behalf of the City to the extent provided in this Scope of Work, except as otherwise provided in writing. However, The Consultant will not be responsible for the means, methods, techniques, sequences or procedures of construction selected by the Contractor(s) (except as otherwise specified in the Contract Documents) or the safety precautions and programs incident to the Work of the Contractor(s). (2) The Consultant will conduct specific inspections required by governing Codes, prepare applicable documentation and records of such inspections, and certify compliance with design requirements and governing Codes, as applicable. The Consultant will accompany visiting inspectors representing public or other agencies having jurisdiction over the Project and will record and report the outcome of these inspections. (3) The Consultant will review factory test reports as required by the Contract Documents and verify that the data reported meets the requirements of the contract documents. The Consultant will review test reports, whether by the Contractor or the Design Consultant, for compliance with quality standards and will take appropriate action to obtain additional data if necessary regarding the quality of materials and work in-place. (4) The efforts of the consultant will be directed toward providing a greater degree of confidence for the City that the completed Work of the Contractor conforms to the Contract Documents. However, the Consultant will not be responsible for the failure of Contractor to perform the Work in accordance with the Contract Documents. (5) On the basis of onsite examination of materials, equipment, and workmanship, the consultant will keep the City informed of the progress of the Work, will endeavor to guard the City against defects and deficiencies in such Work, and may disapprove or reject Work failing to conform to the Contract Documents. This task will include the following items: (6) Conduct a pre -construction conference. At the conference, the Consultant will identify field services to be provided and discuss appropriate coordination procedures. The City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 5 of 14 Consultant will prepare an agenda for the meeting and will prepare and distribute the meeting notes. (7) Provide construction administration, quality control, value engineering support and coordination: The Consultant will provide construction administration and quality control services during the course of the project to assure that the overall technical correctness of the construction phase services and that specified procedures are being followed and the Consultant's schedules are being met. The Consultant will provide coordination functions during the construction phase as follows: (a) Hold coordination meetings with the City and Contractor. (b) Coordinate with regulatory and approving agencies and utilities as required. (c) Coordinate the work of specialty sub -consultants assigned to the project. (8) Maintain and provide detailed project records and documentation during the construction phase. Project records will include correspondence, schedules, submittals, test data, project data, payments, change orders, meeting minutes, clarifications, mark-ups of drawings and specifications, Contractor daily logs and other such documentation. Daily logs will be kept to document the progress and issues associated with the Work. In particular, Contractor daily logs should include dredging progress, quantities and characteristics of sludge dredged and dewatered, moisture content of the solids at various stages of dewatering, sludge levels in the Lagoon, average sludge removal rate, and dewatering rates. Project records will be delivered to the City's representative upon completion of the construction contract. Records will be maintained at the Consultant's office. Consultant will track project specific milestones. When milestones are not met, the Consultant will make recommendations to the City as to the preffered remedy to missed milestones. Consultatnt will document missed milestones and proceed accordingly to process required notices to contractor, in accordance with the Contract Documents. Program progress tracking is further described in task I.B.10.e) — i). b) Review Submittals and Test Results (1) The Consultant will receive, log and distribute for review and approval the submittals, shop drawings, samples, test results, operations and maintenance manuals, and other data that Contractor is required to submit. The Consultant will distribute and file the submittals after review action has been taken. The Consultant will follow-up to verify that City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 6 of 14 revisions are made and resubmitted as required and will verify that such required submittals are received and approved prior to installation or payment for the materials covered. The Consultant will also perform a review of the schedule of shop drawing submissions and schedule of values prepared by Contractor and will discuss status of the submittals at construction progress meetings. The Consultant will be responsible for completing the submittal reviews within 15 business days and for monitoring the status and timeliness of responses. (2) The Consultant will review and approve product data, shop drawings, samples, test results, operations and maintenance manuals, and other data that the Contractor is required to submit. However, such reviews will be conducted only for conformance with the design concept of the Project and compliance with the information given in the Contract Documents. Such review and approval or other action will not extend to means, methods, sequences, techniques or procedures of construction selected by Contractor, or to safety precautions and programs incident thereto. (3) As part of this task, the Consultant will maintain a submittal log showing dates of submittal, transmittal action to other sub -consultants, dates of return and review action. Copies of the log will be furnished to the City and the Contractor monthly. The Consultant will also evaluate the Contractor's request for substitutions. Submittal review efforts are based on a maximum of two (2) reviews per submittal and that no more than fifty percent (50%) of the total number of first submittals will require two (2) reviews. The level of effort for this task is based on receiving 4 shop drawing submittals along with various material submittals. Not included in the scope of work for this task is the witnessing of specification compliance testing at manufacturer's factories. c) Issue Interpretations and Clarifications (1) The Consultant will act as the main point of contact for interpretation of the requirements of the Contract Documents and judge of the acceptability of the work based on the requirements shown or specified. The Consultant will be responsible for responding to Requests for Information (RFI) within 5 business days and for monitoring the status and timeliness of responses. (2) As part of this task, the Consultant will maintain a RFI log showing dates of submittal, transmittal action to other sub - consultants, dates of return, and a summary of the response. Copies of the log will be furnished to the City and the Contractor monthly. The level of effort for this task is based on receiving 10 RFIs. City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 7 of 14 (3) As specified in the General Conditions of the Contracts, the Consultant will interpret and issue decisions on claims of the Contractor(s) or the City relating to the acceptability of the work or the interpretation of the requirements of the Contract Documents or pertaining to the execution and progress of the work. The Consultant will also have authority, as the City's representative, to require special inspection or testing of the work. (4) The Consultant will issue interpretations and clarifications of the Contract Documents, as requested by the Contractor(s) or as deemed necessary by the Resident Engineer, to facilitate proper fabrication, construction, or installation of work. The Consultant will render interpretations or decisions in good faith and in accordance with the requirements of the Contract Documents (e.g., within 10 - days). (5) In the event of a claim or dispute by the Contractor, the Consultant will interpret the requirements of the Contract Documents and judge the acceptability of the work. The Consultant will make written recommendations to the City on all claims of the Contractor related to acceptability of the work, or the interpretation of the requirements of the Contract Documents pertaining to the execution and progress of work, or additional work as deemed necessary by the City. d) Site Visits The Scope of Work described below replaces the scope of work described in Oriqinal Contract task and consists of 12 additional site visits. (1) The Consultant will conduct regular visits to the site (at least one (1) per month) to familiarize themselves with the status of work, make spot checks of work -in -progress, verify conformance with the design intent, and conduct detailed coordination of construction issues. During site visits the Consultant will verify quantities and characteristics of sludge being dredged and dewatered along with moisture content of the solids at various stages of dewatering and sludge levels in the Lagoons based on Contractor daily logs in order to track and provide the data to the City monthly. A total of twenty four (24) site visits are anticipated for the duration of construction. e) Change Orders (1) The Consultant will review cost and time estimates for change orders and for Contractor's claims for additional cost or compensation due to differing site conditions, force majeure, material or equipment shortages, or other causes City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 8 of 14 in order to determine whether they are justified under the Contract. The Consultant will also provide an estimate of the additional Design Consultant costs (if any) that would be incurred as a result of the change order. (2) The Consultant will make recommendations to the City's Project Manager on the amount of additional compensation, credit, or time extension due to the Contractor. In addition, the Consultant will clarify matters and work to resolve discrepancies with the Contractor. (3) The Consultant will perform necessary design revisions in connection with change orders to reflect modifications requested by the City, or as required by unforeseen conditions. Limited hours for coordination of the resulting change order requests and any additional Design Consultant research and design efforts are included in this scope. (4) The Consultant will also perform necessary design revisions authorized by the City in connection with change orders to reflect modifications requested by the Contractor and will perform services in evaluating substitutions proposed by Contractor. Limited hours for coordination of the resulting change order requests and any additional Design Consultant research and design efforts are included in this scope. (5) The Consultant will consider and evaluate Contractor's suggestions for changes in the Contract Drawings or Specifications and respond as appropriate or as required by the Contract Documents. The Consultant will coordinate with the City and provide recommendations pertaining to the suggested design modifications. f) Substantial Completion/Final Acceptance Inspection Consultant will track project specific milestones. When milestones are not met, the Consultant will make recommendations to the City as to the preffered remedy to missed milestones. Consultatnt will document missed milestones and proceed accordingly to process required notices to contractor, in accordance with the Contract Documents. Program progress tracking is further described in task I.B.10.e) — i). (1) Following notice from the Contractor, the Consultant will conduct an inspection to determine if the Project is substantially complete in accordance with the construction documents. If the Consultant considers the work substantially complete, then the Consultant will deliver to City and the Contractor a Certificate of Substantial Completion and a list of observed items requiring completion or correction (punch list), date for completion for City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 9 of 14 g) the punch list, and recommendation for division of responsibilities between the City and the Contractor. (2) The Consultant will conduct a final inspection to determine if the finished Work has been completed to the standard required by the Contract Documents and that Contractor has fulfilled its obligations as required. This inspection will be based on the punch list and any other functional or operational deficiencies that occur in the time period between when the punch list is generated and the Final Inspection. A final list of items to be completed or corrected in accordance with the requirements of the construction documents will be prepared and submitted to the Contractor. (3) After the Contractor has completed the work of the final punch list and upon written notice from the Contractor, the Consultant will review and determine that items on the final list have been completed or corrected and make recommendations to the City concerning acceptance and final payment. Record Drawings & O&M Manuals (1) The Consultant will prepare and deliver to the City record complete electronic files for the project in AutoCAD and PDF. Record drawing information will be obtained from redlined drawings prepared by the Contractor. (2) The Consultant will compile and revicw O&M Manuals prepared by the Contractor. The Consultant will request revisions as needed and deliver final O&M Manua-. to the B. Additional Services (Allowance) 1. Permit Preparation (Same as 1.13.1. in Original Contract) a) This item is for tasks to be determined and is an allowance in which the Consultant will provide permitting support to the City and Contractor as needed. This will include any required submittals notifying TCEQ of the commencement of dredging and sludge storage operations or other associated documentation still to be determined. 2. ROW Acquisition This task will not be required for this Amendment. 3. Topographic Survey (Additional to to 1.113. of Original Contract) City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 10 of 14 a) A detailed sludge survey of Lagoon 7 and the North and South Sludge Lagoons will be performed before dredging is commenced and when solids removal is complete according to the contract to document sludge levels in the lagoons. The last sludge survey was performed in September 2016. 4. Environmental Issucs This task will not be required for this Amendment. 5. Public Involvement This task will not be required for this Amendment. 6. Subsurface Utility Exploration This task will not be required for this Amendment. 7. Construction Observation Services TBD 8. Warranty Pham (Replaces 1.6.8. of Original Contract) This task will not be required for this Amendment and is removed from the Original Contract. 9. Start -Up Services This task will not be required for this Amendment. 10. Contractor Pay Request Verification & Contract Renewal Review (Replaces I.B.10. of Original Contract) The City will have the option to renew the contract for an additional quantity of sludge and contract time based on Contractor performance. The Consultant will perform tasks during each renewal period to assist the City and Contractor in contract renewal efforts as described below. a) The Consultant will review and evaluate Contractor daily logs in order to determine anticipated dredging and dewatering rates for each subsequent contract renewal. b) Based on average dredging and dewatering rates, expected sludge production rates, and observed sludge levels, the Consultant will develop expected quantities for each subsequent contract renewal. c) The Consultant will provide suggestions for improvements to dredging and dewatering options and coordinate with City and City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 11 of 14 Contractor to implement improvements as agreed upon by City and Contractor. d) The Consultant will revise applicable plan sheets as required to reflect the new dredging limits and issue revised sheets as a new Task Order. e) The Consultant will track program progress, expenditures and available program funds by compiling Contractor pay requests and sludge removal quantities from contractor daily logs and will provide the data to the City monthly. f) The Consultant will provide regular updates to the City on funds allocated and funds remaining. g) The Consultant will meet with City staff and Contractor to provide interpretations/clarifications of the plans, specifications and/or contract procedures. h) The Consultant will coordinate with City staff on any required changes throughout the duration of the project as directed by the City. The Pay Request verification and Contract Renewal Review services described above are based on a two (2) year program and assumes an effort of approximately two hundred forty (240) hours for the first year's original contract and an additional two hundred forty (240) hours for a second year renewal. City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 12 of 14 SUMMARY OF FEES: Fee Remaining in the Original Contract is applied to this Amendment No. 1 effort and if additional fee is required for the revised scope it is shown under the "Additional for Amd. 1" column in the fee summary presented below. Basic Services Fees Original Contract Additional for Amd. 1 Total 1 Preliminary Design Phase $ - $ - $ - 2 Design Phase $ 45,105 $ 19,400 $ 64,505 3 Bid Phase $ 10,080 $ - $ 10,080 4 Construction Phase - Original Contract $ 19,035 $ - $ 19,035 - Optional Renewal Contract $ 13,735 $ 5,300 $ 19,035 Subtotal Basic Services Fees $ 87,955 $ 24,700 $ 112,655 Additional Services Fees (Allowance) Original Contract Additional for Amd. 1 Total 1 Permit Preparation $ 1,300 $ - $ 1,300 2 ROW Acquisition $ - $ - $ - 3 Topographic Survey $ 4,092 $ 8,900 $ 12,992 4 Environmental Issues $ - $ - $ - 5 Public Involvement $ - $ - $ - 6 SUE $ - $ - $ - 7 Construction Observation Services $ - $ - $ - 8 Warranty Phase $ 2,120 $ (2,120) $ - 9 Start -Up Services $ - $ - $ - 10 Contractor Pay Request Verification & Contract Renewal Review - Original Contract $ - $ 30,000 $ 30,000 - Optional Renewal Contract $ - $ 30,000 $ 30,000 Sub -Total Additional Services Fees Authorized $ 7,512 $ 66,780 $ 74,292 Total Authorized Fee $ 95,467 $ 91,480 $ 186,947 City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit "A" LNV Proj. No. 150625.001 Page 13 of 14 SCHEDULE: Date Activity TBD A/E Contract Execution (NTP) 3 Weeks after NTP Pre -Final Design Submittal 5 Weeks after NTP Final Design Submittal October 24, 2016 CIVCAST Project Outline 4 Months after NTP Award Construction/Service Contract February 2019 Dredging Operation Completion LNV shall perform said service and all acts attendant thereto with a reasonable standard of care and shall not be held to a higher standard of care unless specifically agreed to by the parties and said agreement is spelled out herein as a condition of this contract. Respectfully, Aece-eis Marcus J. Naiser, P.E. Vice President, Project Manager LNV, Inc. TBPE Firm No. F-366 (512) 381 8333 mnaiser(c�Invinc.com City Proj. No. E16246 ONSWTP Intermediate Sludge Removal Phase 1, Amd. 1 Exhibit A LNV Proj. No. 150625.001 Page 14 of 14 Arw m. City of Corpus Christi SUPPLIER NUMBER TO BE ASSIGNED 8Y CFI Y PURCHASING DIVISION CITY OF CORPUS CHRISTI DISCLOSURE OF INTEREST City of Corpus Christi Ordinance 17112, as amended, requires all persons or firms seeking to do business with the City to provide the following information. Every question must be answered. If the question is not applicable, answer with "NA". See reverse side for Filing Requirements, Certifications and definition. COMPANY NAME: LNV, Inc. P. O. BOX: STREET ADDRESS: 801 Navigation, Suite 300 FIRM IS: 1. Corporation 4. Association CITY: Corpus Christi 2 Partnership 5. Other B ZIP: 78408 3. Sole Owner DISCLOSURE QUESTIONS If additional space is necessary, please use the reverse side of this page or attach separate sheet. 1. State the names of each "employee" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name Job Title and City Department (if known) 2. State the names of each "official" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name Title AKA 3. State the names of each "board member" of the City of Corpus Christi having an "ownership interest" constituting 3°o or more of the ownership in the above named "firm." Name Board, Commission or Committee 4. State the names of each employee or officer of a "consultant" for the City of Corpus Christi who worked on any matter related to the subject of this contract and has an "ownership interest" constituting 3°'u or more of the ownership in the above named "firm." NameA A Consultant FILING REQUIREMENTS If a person who requests official action on a matter knows that the requested action will confer an economic benefit on any City official or employee that is distinguishable from the effect that the action will have on members of the public in general or a substantial segment thereof, you shall disclose that fact in a signed writing to the City official, employee or body that has been requested to act in the matter, unless the interest of the City official or employee in the matter is apparent. The disclosure shall also be made in a signed writing filed with the City Secretary. [Ethics Ordinance Section 2-349 (d)] CERTIFICATION I certify that all information provided is true and correct as of the date of this statement, that I have not knowingly withheld disclosure of any information requested; and that supplemental statements will be promptly submitted to the City of Corpus Christi, Texas as changes occur. Certifying Person: Dan S. Leyendecker, E. Title: President (Type or Print) Signature of Certifying Person: EFINITIONS Date: 4 /2,M, a. "Board member." A member of any board, commission, or committee appointed by the City Council of the City of Corpus Christi, Texas. b. "Economic benefit". An action that is likely to affect an economic interest if it is likely to have an effect on that interest that is distinguishable from its effect on members of the public in general or a substantial segment thereof. c. "Employee." Any person employed by the City of Corpus Christi, Texas either on a full or part-time basis, but not as an independent contractor. d. "Firm." Any entity operated for economic gain, whether professional, industrial or commercial, and whether established to produce or deal with a product or service, including but not limited to, entities operated in the form of sole proprietorship, as self-employed person, partnership, corporation, joint stock company, joint venture, receivership or trust, and entities which for purposes of taxation are treated as non-profit organizations. e. "Official." The Mayor, members of the City Council, City Manager, Deputy City Manager, Assistant City Managers, Department and Division Heads, and Municipal Court Judges of the City of Corpus Christi, Texas. f. "Ownership Interest." Legal or equitable interest, whether actually or constructively held, in a firm, including when such interest is held through an agent, trust, estate, or holding entity. "Constructively held" refers to holdings or control established through voting trusts, proxies, or special terms of venture or partnership agreements." g. "Consultant." Any person or firm, such as engineers and architects, hired by the City of Corpus Christi for the purpose of professional consultation and recommendation. Carpus Chr sti Engineering O.N. Stevens Water Treatment Plant Intermediate Sludge Removal Phase 1 Council Presentation December 13, 2016 Project Location Corpus Chr'sti Engineering Walmart Supercenter II Project Location Violet 0 0 0 0 Corpus Christ) International Airport n `9s cP Corpus Christi Project #: E16246 Project Vicinity Corpus Chr'sti Engineering �. .1- t it b� Norlhwesl Blvd, art SU{1¢fCEniE 3 Project Scope Corpus Chr sti Engineering • The Engineering Contract provides for the production of engineering documents and Bid Phase support to dredge, dry and haul water treatment plant sludge from ONSWTP to Cefe Venezuela Landfill. • The Construction Contract provides for the following: o Dredge solids from Lagoon 7 o De -water solids o Haul & Dispose of Solids at the Cefe Venezuela Landfill o Two one year (12 month) performance periods with second year as optional pending performance, availability of funds, and acceptance by both parties. Project Schedule Corpus Chr sti Engineering 2016 2017 2018 Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Bid & Award Construction Project Construction Estimate: 365 Calendar Days = 12 Months Projected Schedule reflects City Council award in January 2017 with anticipated construction completion by January 2018. *Note: There is an optional 2nd year performance period CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-136298 Date Filed: 11114/2016 Date Acknowledged: 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. LNV, Inc. Corpus Christi, TX United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi, Texas 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. E16246 Amendment No. 1 Professional engineering, architectural, and/or surveying services. 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary Leyendecker, Dan Corpus Christi, TX United States X Naiser, Derek San Antonio, TX United States X Viera, Robert Corpus Christi, TX United States X Trejo, Eric Corpus Christi, TX United States X Sanderfer, Byron San Antonio, TX United States X Burton, Logan Corpus Christi, TX United States X 5 Check only if there is NO Interested Party. ❑ 6 AFFIDAVIT I swear, or affirm finder penalty of perjury, that the above disclosure is true and correct. AY Pitt JESSICA RODRIGUEZ 11/%/ /49( Notary Public, State of Texas ii �/ J . e ti;;� .;r August 19, 2019 ' Signature of authorized agent of contracting business entity ��,; AFFIX NOTARY STAMP / SEAL ABOVE Sworn to and subscribed before me, by the said ) &YL V M - Vt,r .� this the `S.. day of �9 t tk1 20 1 Le , to certify which, witness my hand and seal of office. f Signa dr: of officer administering • Printed name of officer administering oath Title of officer administering oath Forms providettby Texas Ethics Commission www.ethics.state.tx.us Version V1.0.277 Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.277 CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-141575 Date Filed: 11/30/2016 Date Acknowledged: 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. American Process Group Inc. Tacoma, WA United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. Project No. E16246 ON Stevens Water Treatment Plant Intermediate Sludge Removal Phase 1 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary 5 Check only if there is NO Interested Party. X 6 AFFIDAVIT I swear, or affirm, under penalty of perjury, that the above disclosure is true and correct. Signature of authorized agent of contracting business entity AFFIX NOTARY STAMP / SEAL ABOVE c . Sworn to and subscribed before me, by the said this the i day of .�- c ;- i '' ' ' , 20 €"` , to certify which, witness my hand and seal of office. j,, --kc: Signature o nfficertf ii istering oath Printed name of officer administering oath Title of officer administering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.277 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: November 21, 2016 TO: Margie C. Rose, City Manager FROM: Belinda Mercado, Director of Information Technology (361) 826-3740 Constance Sanchez, Director of Finance ConsanceP@cctexas.com (361) 826-3227 Change order for additional Professional Services In support of Infor Public Sector (IPS) - Utility Billing Project CAPTION: Motion authorizing the City Manager, or designee, to execute a change order to the original scope of work in support of the implementation of the Infor Public Sector (IPS) for Utility Billing in the amount of $275,000. PURPOSE: The purpose of this item is to execute a change order for additional Infor consulting services for the Utility Billing Office (UBO) to allow for additional time to complete testing and the installation of the Citizen Portal for Utility Payments. BACKGROUND AND FINDINGS: In April 2013, council approved the purchase of the Infor ERP product which included the Infor Public Sector (IPS) - Utility Billing module. The Utility Billing project is the last component to implement from the original lnfor ERP Software agreement. Over the last three years, staff has implemented Infor Financials, Procurement, Human Capital, Talent Management, Payroll, and Budget modules using Infor's cloud services solution. Software currently in use by the Utility Billing Office (UBO) was first installed in 2002 and handles customer accounts, utility billing, and payment processing. Additional services are needed for additional time in the testing and installation of the system. The following is the summary of the project costs to date for the Utility Billing portion of the project. Heavily discounted due to large purchase of Infor Software in original Infor ERP Agreement. ALTERNATIVES: 1. Approve the change order for continued consulting services to complete the project. 2. Do not approve the change order for consulting services. Without approval, our vendor will not be able to assist with the completion of the project. (Not recommended). OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: The proposed purchase conforms to the City's purchasing policies and procedures and Texas State procurement laws. EMERGENCY/NON-EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Information Technology Department Finance Department Office of Management and Budget FINANCIAL IMPACT: X Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016- 2017 Software Consulting Services Total Original Cost * $51,774 $338,000 $389,744 Change order May 2016 $200,000 $200,000 Change order December 2016 $275,000 $275,000 GRAND TOTAL $275,000.00 $864,774 Heavily discounted due to large purchase of Infor Software in original Infor ERP Agreement. ALTERNATIVES: 1. Approve the change order for continued consulting services to complete the project. 2. Do not approve the change order for consulting services. Without approval, our vendor will not be able to assist with the completion of the project. (Not recommended). OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: The proposed purchase conforms to the City's purchasing policies and procedures and Texas State procurement laws. EMERGENCY/NON-EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Information Technology Department Finance Department Office of Management and Budget FINANCIAL IMPACT: X Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016- 2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item $275,000.00 $275,000.00 BALANCE Comments: Funding from Utilities: Water Fund, Wastewater Fund, Gas Fund RECOMMENDATION: Staff recommends approval of this agenda item. LIST OF SUPPORTING DOCUMENTS: Infor Change Order inl or CHANGE ORDER INTRODUCTION This Change Order document ("Change Order") is subject to all terms and conditions of the Software Services Agreement (or, if applicable, the Professional Services Agreement) between Infor (US), Inc. and Licensee with an Effective Date of May 15, 2013 (the "Services Agreement") and constitutes a change to the Services Work Order identified below by Work Order Number ("Work Order"). All terms of the Services Agreement and Work Order are incorporated herein by reference. Capitalized terms not defined in this Change Order are defined in the Services Agreement or Work Order. In the event of a conflict, the terms of this Change Order control over the terms of the Services Agreement and Work Order. 1.0 CHANGE ORDER Licensee (customer) City of Corpus Christi Project Name ERP Implementation Project Number 32381430 Project Manager Ken Matz Project Phase Acceptance Test Product(s) IPS (Hansen) 8 Work Order Number Exhibit 10 to Master Contract, Appendix D Change Number CO2015_017 Issue Number 000 Description Infor Public Sector, CIS Utility Billing Project — Go Live date change from December 1, 2016 to February 1, 2017 Requestor Belinda Mercado Identified Date 10/25/16 Prepared By Jimi Stricklin 1.1 Preliminary identification and assessment Describe the change in detail Change in the planned go -live date for Infor Public Sector, CIS Utility Billing Project from December 1st 2016 to February 1, 2017. This change also impacts the project budget, and Infor and City of Corpus Christi resource commitments. Infor resources will provide services required for additional configuration of all applications and interfaces included in the scope of work. Infor will perform unit testing prior to delivery to City and support resolution of issues after turnover. Additionally, Infor resources will provide support to extended testing activities for system test and full scale test milestones and provide leadership, guidance and support to City team in completing remaining pre -Go -Live tasks. The following are revised estimated milestone dates. Detailed project completion plan is provided in the attachment and will be maintained by mutual agreement of the project managers. 54-7 Milestone - System Test, 12/6/2016 S4-8 Milestone - Full Scale Test, 1/19/2017 54-9 Milestone - Production Readiness, 1/31/2017 The Go Live Date is moved to February 1, 2017 54-10 Milestone - Complete Post -Go -Live Support, 3/1/2017 S4-11 Milestone - Close Project, 3/8/2017 Reason for the change The decision was made to delay the go -live from December 151 2016 to February 1, 2017 to allow for additional time to complete the data conversion activities as well as fully test and validate the CIS Utility Billing solution. High level impact assessment Project timeline will increase by 3 months. Infor resources will be engaged to support the City in testing and go -live activities over the 3 month period. 1.2 Approval for detailed impact analysis (optional) Reviewer Review Date inlor Change Order (Americas PMO-v5b, Nov. 2012) 1.3 Detailed impact analysis Impact on project plan Schedule and Resource constraints Extends the project timeline by 3 months with new go -live date scheduled for February 1, 2017 Target start date for Project Extension December , 2016 Impact on resource requirements Infor resources will be engaged to support the City in testing, conversion and go -live activities over the 3 month period Additional risk The project schedule targets the following dates for completion of key activities. Missing these completion dates may require an additional change to the go -live date and result in additional delay and cost to the project. Technical risk associated with environment management. Merger /migration, environment refresh. Impact on project cost Overall Project Budget impact total of $275,000 The payment milestones will be revised to the following: A payment will be made upon Licensee's signature of this Change Order of $75,000. The remaining $200,000 will be added to the following Milestones: • S4-7 Milestone System Test - $75,000 • S4-8 Milestone Full Scale Test - $75,000 • S4-9 $50,000 inlor Change Order (Americas PMO-v5b, Nov. 2012) Estimated time and costs listed in this Change Order represent a fixed fee offer and are in addition to the estimates provided in the original Work Order. Actual project time and cost may vary from the estimates provided. Where a substantial variation from this Change Order is foreseen, both parties must agree in writing to the additional work and document the change in a subsequent Change Order. Other Projects Affected None Who needs to be notified of the change Belinda Mercado, Michael Hemandez, Gloria Posada, Infor Project Managers, Infor Project Director Comments None 2.0 CHANGE APPROVAL / PAYMENT By signing below, Licensee authorizes Infor to proceed with the work set forth in this Change Order and bill Licensee per the payment terms set forth in the original Work Order for any additional Services fees. Please return a signed copy of this Change Order to Infor PSO. THE PARTIES have executed this Change Order through the signatures of their respective authorized representatives. INFOR: Infor (US), Inc. Signature: Printed Name: Lindsay Pritchard LICENSEE: City of Corpus Christi Signature: Printed Name: Title: Associate General Counsel Title: Address: 380 St. Peter Street Address: St. Paul, MN 55102 Signature Date: November 21, 2016 Infor Change Order (Americas PMO-v5b, Nov. 2012) Address: Address: Signature Date: CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 011 Complete Nos. 1 - 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. infor (US), Inc. Alpharetta, GA United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-139588 Date Filed: 11/22/2016 Date Acknowledged: 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. XXX Services related to Utility Billing and CDR contracts 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary 5 Check only if there is NO Interested Party. ❑X 6 AFFIDAVIT `"r'tmss ELIZABETH A HAMMETT ,15 j{ NOTARY PUBLIC • MINNESOTA '""'°' MY COMMISSION EXPIRES 0113112021 AFFIX NOTARY STAMP ! SEAL ABOVE I swear, or affirm, under penal of perjury, that the above disclosure is true and correct. !;ri2 ✓::. /%/,. Signature of uthorized agent o Sworn to and subscribed before me, by the said Pisa. Gevverai CAsluist this the 20 j,, , to certify which, witness my hand and seal of office. ting business entity a '4 day of 1 i_{'4 A,)rrYY o {. Ei i T H 44. m rriE T T �.erai As s t~s n nature of officer administering oath Printed name of officer administering oath Title of officer administering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.277 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: December 13, 2016 TO: Margie C. Rose, City Manager FROM: Constance P. Sanchez, Director of Finance constancep@cctexas.com (361) 826-3227 Christine Garza, Interim Assistant Director of Management & Budget ChristineG@cctexas.com (361) 826-3221 Maria Pedraza, Procurement Manager MariaPe@cctexas.com (361) 826-3176 Comprehensive Annual Financial Report (CAFR) and Budget Book Software and Implementation Service Agreement CAPTION: Motion authorizing the City Manager or designee to execute a five-year service agreement with Gray CPA Consulting, PC, of Magnolia, Texas, for the purchase and implementation of Comprehensive Annual Financial Report (CAFR) and Budget Book software licenses for a total amount of up to $337,310, of which $182,650 will be paid in Fiscal Year 2017, and providing for a contingency amount of up to $10,000 each for the Finance Department and Budget Office related to this software procurement. PURPOSE: The purpose of this agenda item is to appropriate funds to execute a contract with Gray CPA, Consulting PC for CAFR and Budget Book software and implementation service. BACKGROUND AND FINDINGS: The City currently prepares its financial statements for the CAFR from trial balances by fund in MS Excel. Footnotes and Management's Discussion & Analysis (MD&A) are prepared in MS Word; statistical tables and Required Supplementary Information (RSI) are prepared in MS Excel. Other CAFR miscellaneous content may be in PDF or similar formats. All of these pieces are then incorporated into a single document with Adobe Acrobat Professional; headers, page numbers, and table of contents are added manually. The City currently prepares its budget book from reports from the Infor CPM system in MS Excel. The MD&A are prepared in MS Word. All graphs, charts and supplemental data are created in MS Excel. Other budget miscellaneous content such as memos, statistical data and power points may be in MS Word, PDF or similar formats. All of these pieces are then incorporated into a single document with Adobe Acrobat Professional; headers, page numbers, and table of contents are added manually. Automating the current manual processing of the CAFR report would improve quality and consistency of the report. In addition to this, it will reduce the time needed to produce the manual report. In August 26, 2016 the City of Corpus Christi through the City Purchasing issued a Request for Proposal (RFP) for CAFR and budget book software and implementation service agreement. Three proposals were submitted and evaluated. An evaluation team comprised of Finance staff and Budget staff, reviewed the proposals and scored each according to the criteria outlined in RFP. Three proposals were received and evaluated on a pass/fail evaluation criteria based on minimum qualifications. All three proposals met the minimum qualifications and proceeded to the next level of the evaluation process, which consisted on a review of the technical proposals based on the following criteria and weighting scale: Firm's Experience 5 points Team Experience 5 points Understanding of Project Scope 80 points Two proposers scored 70 points and one proposer scored much lower at 54. The two proposers invited for an interview and demonstration were Workiva Inc. and Gray CPA Consulting PC. After the interviews and demonstrations were conducted and scored by the evaluation committee on the same criteria, proposal and interview scores were then combined and price was then evaluated and price points were added for a final score. Through the evaluation process a determination was made that the highest scoring firm, Gray CPA Consulting PC would provide the best value to the City based on their technical proposal, interview/demonstration and pricing. The term of the contract will be for five years for a total amount of $337,310, plus a contingency amount of up to $10,000 each for the Finance Department and Budget Office. The total estimated cost for first year is $94,480 for Finance Department and $88,170 for Budget Office for a combined total of $182,650 ALTERNATIVES: N/A OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: This purchase conforms to the City's purchasing policies and procedures and State Statues regulating procurements. EMERGENCY / NON -EMERGENCY: Non -emergency DEPARTMENTAL CLEARANCES: Financial Services Department Budget Services Department FINANCIAL IMPACT: x Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016-2017 Current Year Future Years TOTALS Line Item Budget $182,650 $154,660.00 $337,310.00 Encumbered / Expended Amount $0.00 $0.00 $0.00 This item $182,650 $154,660.00 $337,310.00 BALANCE $0.00 $0.00 $0.00 Fund(s) General Fund Comments: Funds for the Finance Department in the amount of $140,650 have been budgeted in FY 2016-2017 in the reserve appropriation account in the General Fund — with the remaining first year contract balance for the Budget Office of $42,000 to be funded through their FY 2016-2017 operating budget. The contract balance of $154,660.00 will be funded in future years. The above Financial Impact Table does not include a contingency amount of up to $10,000 each for the Finance Department and Budget Office related to this software procurement. $337,310 Total cost of software procurement $20,000 $10,000 Contingency for each department $357,310 Total not to exceed RECOMMENDATION: Staff recommends approval of the motion as presented. LIST OF SUPPORTING DOCUMENTS: Service Agreement- Comprehensive Annual Financial Report (CAFR) and Budget Book Software and Implementation Service Agreement Evaluation Matrix SERVICE AGREEMENT NO. 877 Comprehensive Annual Financial Report (CAFR) & Budget Book Software and Implementation Services THIS Comprehensive Annual Financial Report (CAFR) & Budget Book Software and Implementation Service Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home -rule municipal corporation ("City") and Gail Gray CPA, Consulting PC ("Contractor'), effective upon execution by the City Manager or the City Manager's designee ("City Manager") . WHEREAS, Contractor has bid to provide Comprehensive Annual Financial Report (CAFR) & Budget Book Software and Implementation Service in response to Request for Bid/Proposal No. 158 ("RFB/RFP"), which RFB/RFP includes the required scope of work and all specifications and which RFB/RFP and the Contractor's bid or proposal response, as applicable, are incorporated by reference in this Agreement as Exhibits 1 and 2, respectively, as if each were fully set out here in its entirety. 1. 2. NOW, THEREFORE, City and Contractor agree as follows: Scope. Contractor will provide implementation and annual licensing or subscription for a CAFR & Budget Book Software Services ("Services") in accordance with the attached Scope of Work, as shown in Attachment A, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety, and in accordance with Exhibit 2. Term. This Agreement is for 60 months, with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or Purchasing Division. This Agreement includes an option to extend the term for up to 0 additional number -month periods ("Option Period"), provided, the parties do so prior to expiration of the original term or the then -current Option Period. The decision to exercise the option to extend the term of this Agreement is, at all times, within the sole discretion of the City and is conditioned upon the prior written agreement of the Contractor and the City Manager. 3. Compensation and Payment. The total value of this Agreement is not to exceed $ 337,310.00, subject to approved extensions and changes. Payment will be made for Services completed and accepted by the City within 30 days of acceptance, subject to receipt of an acceptable invoice. City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 1 of 8 All pricing must be in accordance with the attached Bid/Pricing Schedule, as shown in Attachment B, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety. 4. Contract Administrator. The Contract Administrator designated by the City is responsible for approval of all phases of performance and operations under this Agreement, including deductions for non-performance and authorizations for payment. The City's Contract Administrator for this Agreement is as follows: Name: Alma Iris Casas, Assistant Director of Financial Services Department: Finance Phone: 361-826-3610 Email: AlmaC@cctexas.com 5. Insurance; Bonds. (A) Before performance can begin under this Agreement, the Contractor must deliver a certificate of insurance ("COI"), as proof of the required insurance coverages, to the City's Risk Manager and the Contract Administrator. Additionally, the COI must state that the City will be given at least 30 days' advance written notice of cancellation, material change in coverage, or intent not to renew any of the policies. The City must be named as an additional insured. The City Attorney must be given copies of all insurance policies within 10 days of the City Manager's written request. Insurance requirements are as stated in Attachment C, the content of which is incorporated by reference into this Agreement as if fully set out here in its entirety. (B) In the event a payment bond, a performance bond, or both, are required of the Contractor to be provided to the City under this Agreement before performance can commence, the terms, conditions, and amounts required in the bonds and appropriate surety information are as included in the RFB/RFP or as may be added to Attachment C, and such content is incorporated here in this Agreement by reference as if each bond's terms, conditions, and amounts were fully set out here in its entirety. 6. Purchase Release Order. For multiple -release purchases of Services to be provided by the Contractor over a period of time, the City will exercise its right to specify time, place and quantity of Services to be delivered in the following manner: any City department or division may send to Contractor a purchase release order signed by an authorized agent of the department or division. The purchase release order must refer to this Agreement, and City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 2 of 8 Services will not be rendered until the Contractor receives the signed purchase release order. 7. Inspection and Acceptance. Any Services that are provided but not accepted by the City must be corrected or re -worked immediately at no charge to the City. If immediate correction or re -working at no charge cannot be made by the Contractor, a replacement service may be procured by the City on the open market and any costs incurred, including additional costs over the item's bid/proposal price, must be paid by the Contractor within 30 days of receipt of City's invoice. 8. Warranty. The Contractor warrants that all products supplied under this Agreement are new, quality items that are free from defects, fit for their intended purpose, and of good material and workmanship. The Contractor warrants that it has clear title to the products and that the products are free of liens or encumbrances. In addition, the products purchased under this Agreement shall be warranted by the Contractor or, if indicated in Attachment D by the manufacturer, for the period stated in Attachment D. Attachment D is attached to this Agreement and is incorporated by reference into this Agreement as if fully set out here in its entirety. 9. Quality/Quantity Adjustments. Any Service quantities indicated on the Bid/Pricing Schedule are estimates only and do not obligate the City to order or accept more than the City's actual requirements nor do the estimates restrict the City from ordering less than its actual needs during the term of the Agreement and including any Option Period. Substitutions and deviations from the City's product requirements or specifications are prohibited without the prior written approval of the Contract Administrator. 10. Non -Appropriation. The continuation of this Agreement after the close of any fiscal year of the City, which fiscal year ends on September 30th annually, is subject to appropriations and budget approval specifically covering this Agreement as an expenditure in said budget, and it is within the sole discretion of the City's City Council to determine whether or not to fund this Agreement. The City does not represent that this budget item will be adopted, as said determination is within the City Council's sole discretion when adopting each budget. 11. Independent Contractor. Contractor will perform the work required by this Agreement as an independent contractor and will furnish such Services in its own manner and method, and under no circumstances or conditions will any agent, servant or employee of the Contractor be considered an employee of the City. City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 3 of 8 12. Subcontractors. Contractor may use subcontractors in connection with the work performed under this Agreement. When using subcontractors, however, the Contractor must obtain prior written approval from the Contract Administrator if the subcontractors were not named at the time of bid or proposal, as applicable. In using subcontractors, the Contractor is responsible for all their acts and omissions to the same extent as if the subcontractor and its employees were employees of the Contractor. All requirements set forth as part of this Agreement, including the necessity of providing a COI in advance to the City, are applicable to all subcontractors and their employees to the same extent as if the Contractor and its employees had performed the work. 13. Amendments. This Agreement may be amended or modified only by written change order signed by both parties. Change orders may be used to modify quantities as deemed necessary by the City. 14. Waiver. No waiver by either party of any breach of any term or condition of this Agreement waives any subsequent breach of the same. 15. Taxes. The Contractor covenants to pay payroll taxes, Medicare taxes, FICA taxes, unemployment taxes and all other related taxes. Upon request, the City Manager shall be provided proof of payment of these taxes within 15 days of such request. 16. Notice. Any notice required under this Agreement must be given by fax, hand delivery, or certified mail, postage prepaid, and is deemed received on the day faxed or hand -delivered or on the third day after postmark if sent by certified mail. Notice must be sent as follows: IF TO CITY: City of Corpus Christi Attn: Alma Iris Casas Title: Assistant Director of Financial Services Address: 1201 Leopard St. 78401 Fax: 361-826-3174 IF TO CONTRACTOR: Gray CPA Consulting, PC Attn: Gail Gray Title: Principal/Owner, CPA Address: 6606 FM Ste. 148-621 Magnolia, TX 77354 City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 4 of 8 Fax: 832-553-2617 17. CONTRACTOR AGREES TO INDEMNIFY, HOLD HARMLESS AND DEFEND THE CITY OF CORPUS CHRISTI AND ITS OFFICERS, EMPLOYEES AND AGENTS ("INDEMNITEES") FROM AND AGAINST ANY AND ALL LIABILITY, LOSS, CLAIMS, DEMANDS, SUITS AND CAUSES OF ACTION OF ANY NATURE WHATSOEVER ON ACCOUNT OF PERSONAL INJURIES (INCLUDING DEATH AND WORKERS' COMPENSATION CLAIMS), PROPERTY LOSS OR DAMAGE, OR ANY OTHER KIND OF INJURY, LOSS, OR DAMAGE, INCLUDING ALL EXPENSES OF LITIGATION, COURT COSTS, ATTORNEYS' FEES AND EXPERT WITNESS FEES WHICH ARISE OR ARE CLAIMED TO ARISE OUT OF OR IN CONNECTION WITH THIS AGREEEMENT OR THE PERFORMANCE OF THIS AGREEMENT, REGARDLESS OF WHETHER THE INJURIES, DEATH OR DAMAGES ARE CAUSED OR ARE CLAIMED TO BE CAUSED BY THE CONCURRENT OR CONTRIBUTORY NEGLIGENCE OF INDEMNITEES, BUT NOT IF BY THE SOLE NEGLIGENCE OF INDEMNITEES UNMIXED WITH THE FAULT OF ANY OTHER PERSON. CONTRACTOR MUST, AT ITS OWN EXPENSE, INVESTIGATE ALL CLAIMS AND DEMANDS, ATTEND TO THEIR SETTLEMENT OR OTHER DISPOSITION, DEFEND ALL ACTIONS BASED THEREON WITH COUNSEL SATISFACTORY TO THE CITY ATTORNEY, AND PAY ALL CHARGES OF ATTORNEYS AND ALL OTHER COSTS AND EXPENSES OF ANY KIND ARISING FROM ANY SAID LIABILITY, DAMAGE, LOSS, CLAIMS, DEMANDS, SUITS, OR ACTIONS. THE INDEMNIFICATION OBLIGATIONS OF CONTRACTOR UNDER THIS SECTION SHALL SURVIVE THE EXPIRATION OR EARLIER TERMINATION OF THIS AGREEMENT. 18. Termination. (A) The City Manager may terminate this Agreement for Contractor's failure to perform the work specified in this Agreement or to keep any required insurance policies in force during the entire term of this Agreement. The Contract Administrator must give the Contractor written notice of the breach and set out a reasonable opportunity to cure. If the Contractor has not cured within the cure period, the City Manager may terminate this Agreement immediately thereafter. City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 5 of 8 (B) Alternatively, the City Manager may terminate this Agreement for convenience upon 30 days advance written notice to the Contractor. The City Manager may also terminate this Agreement upon 24 hours written notice to the Contractor for failure to pay or provide proof of payment of taxes as set out in this Agreement. 19. Assignment. No assignment of this Agreement by the Contractor, or of any right or interest contained herein, is effective unless the City Manager first gives written consent to such assignment. The performance of this Agreement by the Contractor is of the essence of this Agreement, and the City Manager's right to withhold consent to such assignment is within the sole discretion of the City Manager on any ground whatsoever. 20. Severability. Each provision of this Agreement is considered to be severable and, if, for any reason, any provision or part of this Agreement is determined to be invalid and contrary to applicable law, such invalidity shall not impair the operation of nor affect those portions of this Agreement that are valid, but this Agreement shall be construed and enforced in all respects as if the invalid or unenforceable provision or part had been omitted. 21. Order of Precedence. In the event of any conflicts or inconsistencies between this Agreement, its attachments, and exhibits, such conflicts and inconsistencies will be resolved by reference to the documents in the following order of priority: A. this Agreement and its attachments B. the bid solicitation document, including addenda (Exhibit 1) C. the Contractor's bid response (Exhibit 2) 22. Certificate of Interested Parties. Contractor agrees to comply with Texas Government Code Section 2252.908, as it may be amended, and to complete Form 1295 "Certificate of Interested Parties" as part of this Agreement. 23. Governing Law. This Agreement is subject to all federal, State, and local laws, rules, and regulations. The applicable law for any legal disputes arising out of this Agreement is the law of the State of Texas, and such form and venue for such disputes is the appropriate district, county, or justice court in and for Nueces County, Texas. 24. Entire Agreement. This Agreement constitutes the entire agreement between the parties concerning the subject matter of this Agreement and supersedes City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 6 of 8 all prior negotiations, arrangements, agreements and understandings, either oral or written, between the parties. (SIGNATURE PAGE FOLLOWS) City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 7 of 8 CONTRACTOR v GOSignature: 0 \� --� Printed Name: ( o ,A \ Cn (L t3 Title:-0CeSt Cl eh.k /lii;'1['�a Date: / V t ��/ �C'�J to CITY OF CORPUS CHRISTI Signature: Printed Name: Title: Date: Attached and Incorporated by Reference: Attachment A: Scope of Work Attachment B: Bid/Pricing Schedule Attachment C: Insurance/Bond Requirements Attachment D: Warranty Requirements Incorporated by Reference Only: Exhibit 1: RFB/RFP No. 158 Exhibit 2: Contractor's Bid/Proposal Response City of Corpus Christi Service Agreement Standard Form Approved as to Legal Form 7/1/16 Page 8 of 8 Attachment A: Scope of Work 4.1. Background Information A. The City currently prepares its financial statements for the Comprehensive Annual Financial Report (CAFR) from trial balances by fund in MS Excel. Footnotes and Management's Discussion and Analysis (MD&A) are prepared in MS Word, statistical tables and Required Supplementary Information (RSI) are prepared in MS Excel. Other CAFR Miscellaneous content may be in PDF or similar formats. All of these pieces are then incorporated into a single document with Adobe Acrobat Professional; headers, page numbers, and table of contents are added manually. B. The City currently prepares its Budget Book from reports from the Infor CPM system in MS Excel. The Management Discussion and Analysis are prepared in MS Word. All graphs, charts and supplemental data are created in MS Excel. Other Budget Miscellaneous content such as memos, statistical data and power points may be in MS Word, PDF or similar formats. All of these pieces are then incorporated into a single document with Adobe Acrobat Professional; headers, page numbers, and table of contents are added manually. C. The City of Corpus Christi's CAFR for the fiscal year ended Sept. 30, 2015, is available for review on the City's website at http://www.cctexas.com/government/financial-services/cafr/index Beginning in fiscal year 2016, the City intends to include prior year comparatives on the face of the financial statements. D. The City of Corpus Christi's Budget Books are available for review on the City's website at http://www.cctexas.com/clovernment/budget-and- management/index 4.2. CAFR and Budget Book Production General Requirements The City has defined the core requirements as follows: A. Produce GAAP compliant financial statements from imported data from City Financial and CPM Software (currently INFOR) that is not formatted beyond chart fields, amounts, fiscal year and accounting period using an integrated report writer with software mapping functionality. B. Produce all components (cover, organizational charts, graphs, text files, spreadsheets, scanned documents) of the CAFR and Budget Book using a RFP Template 5.17.16 Page 16 of 26 single software solution. C. Provide links between financial statements and other sections of the CAFR and Budget Book so that information used in multiple places only needs to be entered once. D. Publish the CAFR and Budget Book from a single software solution to a Portable Document Format (PDF). E. Provide version control with an audit trail. Ability to save and review multiple versions including the final CAFR and Budget Book. 4.3. Scope of Work: The Contractor will provide an off-the-shelf software tool to produce the City's CAFR and Budget Book and first-year implementation services in order to automate these processes. A. Import data through interfaces or data extracts and map data from INFOR financial accounting software, INFOR CPM software, MS Excel and other data bases and formats into the software solution. B. Produce financial statements from imported raw data that is not formatted or grouped before import. Allow for at least 10 different map groupings to create different reports from the same data. C. Produce financial statements on the modified accrual and accrual basis of accounting including the conversion from the modified accrual basis to the accrual basis and government -wide statements and reconciliations in accordance with GASB guidance. D. Produce financial statements that auto -calculate, link, foot and cross -foot. E. Create journal entries and track adjustments for the CAFR that dynamically update data across the statements via the journal preparation feature. Allow for posting to government -wide and by specific funds. Ability to generate calculated journal entries. F. Systematically handle data rounding to ensure balanced statements. G. Provide for multiple users to access the software solution simultaneously without overriding or creating conflicting versions. Version control and review check -off capabilities. Software should accommodate a minimum of five to seven concurrent users. H. Link numbers in the financial statements/software solution to the transmittal letter, management's discussion and analysis, footnotes, and statistical schedules. RFP Template 5.17.16 Page 17 of 26 I. Automatic pagination and linked Table of Contents. J. Drill down (at all mapping levels) to see the items making up a specific amount. K. Customizable, secure access by user, including workflow. L. Ability to archive multiple years of the CAFR or Budget Book. M. Ability to attach and save work papers within the software. N. Provide for a complete audit trail (distinguishing source systems and transactions). 0. Software updates to accommodate new CAFR and Budget reporting requirements including changes in generally accepted accounting principles, Governmental Accounting Standards Board standards and Government Finance Officers Association requirements whenever such changes occur. P. The Contractor is to provide full first-year implementation for the project. Q. Contractor shall produce the prior year's CAFR and Budget Book and establish links within the software solution and import mechanisms to other data bases. a. 80% of prior year's CAFR is to be complete by September 30, 2017; 100% complete by December 31, 2017. b. 80% of prior year's Budget Book is to be complete by July 29, 2017 and 100% by October 31, 2017. R. The Contractor shall provide maintenance and support year round. End user and technical support for all components of the system available at a minimum of 8:00 a.m. - 5:00 p.m. CT. RFP Template 5.17.16 Page 18 of 26 Page 1 Attachment B: CAFR Price Form Revised Through Negotiations Software Purchase of CAFR Software -Pricing has been modified through negotiations and shall supersede the original pricing form of services to RFP Pricing Form- Comprehensive Annual Financial Report (CAFR) and Budget Book Software and Implementation Services RFP 158. Pricing Form- Comprehensive Annual Financial Report (CAFR) and Budget Book Software and Implementation Services RFP 158 EXTENDED ITEM DESCRIPTION QTY UNIT UNIT Price PRICE 1 Software Purchase of CAFR Software 1 LS $ 0 2 Annual Cost per License or Subscription for CAFR Software 1 Year 1 5 EA $ 1,565.00 $ 7,825.00 Year 2 10 EA $ 1,565.00 $ 15,650 .00 Year 3 10 EA $ 1,565.00 $ 15,650.00 Year 4 10 EA $ 1,565.00 $ 15,650.00 Year 5 10 EA $ 1,565.00 $ 15,650.00 3 Implementation Services including reproduction of prior year CAFR 1 LS $123,295.00 Total $193,720.00 1. *Software Purchase of CAFR Software cost has been removed entirely. 2. *Annual cost per license or subscription for CAFR Software has been revised from lump sum to each. Licenses are priced at a per -user level the following breakdown is the anticipated number of licenses for year 1 through year 5. Cost per license for each user is $1,565.00. Year 1- 5 Users x 1,565.00 = $7,825 Year 2- 10 Users x 1,565.00 = $15,650 Year 3- 10 Users x 1,565.00 = $15,650 Year 4- 10 Users x 1,565.00 = $15,560 Year 5- 10 Users x 1,565.00 = $15,560 Total Annual Cost per License: $70,425.00 3. *Implementation Services including reproduction of prior year CAFR has been revised to include Software Purchase of Budget Book cost and the training costs and support costs. The following is the breakdown of the implementation cost and training Costs and Support Costs. Implementation Costs: $86,655.00 • Training Costs Combined team comprehensive training 4 -day On-site; 32 Training (CPE) Hours 32 Per Team to commence on Go Live Year 2. One-time fee of $7,200.00 • Support Costs Annual contract of unlimited & (1) 24 -hr Champion Training to commence on Go Live Year 2. Year 2-$10,000 40 -hr bundle at current standard Support Rates; 40 Support hours Per Team, all member access to commence after Go Live Year 2. Year 3-$6,480 Year 4-$6,480 Year 5-$6,480 Training and Support Costs: $36,640.00 Total Implementation Cost: $123,295.00 Grand Total of CAFR Software: $193,720.00 Proposer Signature Authorized Signat re /OJZR%zo/d Date g/1e/� Date Page 2 Attachment B: Bid/Pricing Schedule (p)GRAY CPA CONSULTING PC C DLLABCDRATIC7N EXPERIENCE TRUST CAFR Production Pricing Sheet CITY OF CORPUS CHRISTI PURCHASING DIVISION Pricing Form RFP NO. 158 CAFR Software and Implementation Services DATE: 09/08/2016 Gray CPA Consulting, PC PROPOSER AUTHORIZED LGN TURE PAGE 1 OF 2 1. Refer to "Instructions to Proposers" and Contract Terms and Conditions before completing proposal. 2. Quote your best price for each Item. 3. Prepare a separate Pricing Form for CAFR and for Budget Book. 4. In submitting this proposal, Proposer cerHRes that a. the prices in this proposal have been arrived at independently, without consultation, communication, or agreement with any other Proposer or competitor, for the purpose of restricting competition with regard to prices; b. Proposer is an Equal Opportunity Employer; and the Disclosure of Interest information on file with City's purchasing office, pursuant to the Code of Ordinances, is current and true. c. Proposer has incorporated any changes issued through Addenda to the RFP in this pri ITEM DESCRIPTION QTY UNIT TOTAL PRICE 1. Software Purchase of CAFR Software 1 LS $1,565 2. Annual Cost per License or Subscription for CAFR Software Year 1 1 LS $1,565 Year2 1 Ls $1,565 Year 3 1 LS $1,565 Year 4 1 LS $1,565 Year 5 1 LS $1,565 3. Implementation Services including reproduction of prior year CAFR 1 LS $137,605 TOTAL $146,995 Response to RFP No. 158 Page 39 of 41 Page 1 Attachment B: Budget Book Price Form Revised Through Negotiations Software Purchase of Budget Book Software -Pricing has been modified through negotiations and shall supersede the original pricing form of services to RFP Pricing Form- Comprehensive Annual Financial Report (CAFR) and Budget Book Software and Implementation Services RFP 158. Pricing Form- Comprehensive Annual Financial Report (CAFR) and Budget Book Software and Implementation Services RFP 158 EXTENDED ITEM DESCRIPTION QTY UNIT UNIT Price PRICE 1 Software Purchase of Budget Software 1 LS $ 0 2 Annual Cost per License or Subscription for Budget Book Software 1 Year 1 3 EA $ 1,565.00 $ 4,695.00 Year 2 3 EA $ 1,565.00 $ 4,695.00 Year 3 3 EA $ 1,565.00 $ 4,695.00 Year 4 3 EA $ 1,565.00 $ 4,695.00 Year 5 3 EA $ 1,565.00 $ 4,695.00 3 Implementation Services including reproduction of prior year Budget Book 1 LS $ 120,1 15.00 Total $143,590.00 1. *Software Purchase of Budget Book Software cost has been removed entirely. 2. *Annual Cost per License or Subscription for Budget Book Software has been revised from lump sum to each. Licenses are priced at a per -user level the following breakdown is the anticipated number of licenses for year 1 through year 5. Cost per license for each user is $1,565.00. Year 1- 3 Users x 1,565.00 = $4,695 Year 2- 3 Users x 1,565.00 = $4,695 Year 3- 3 Users x 1,565.00 = $4,695 Year 4- 3 Users x 1,565.00 = $4,695 Year 5- 3 Users x 1,565.00 = $4,695 Total Annual Cost per License: $23,475.00 3. *Implementation Services including reproduction of prior year Budget Book has been revised to include Software Purchase of Budget Book cost and the training costs and support costs. The following is the breakdown of the implementation cost and training Costs and Support Costs. Implementation Cost: $83,475.00 • Training Costs Combined team comprehensive training 4 -day On-site; 32 Training (CPE) Hours 32 Per Team to commence on Go Live Year 2. One-time fee of $7,200.00 • Support Costs Annual contract of unlimited & (1) 24 -hr Champion Training to commence on Go Live Year 2. Year 2-$10,000 40 -hr bundle at current standard Support Rates; 40 Support hours Per Team, all member access to commence after Go Live Year 2. Year 3-$6,480 Year 4-$6,480 Year 5-$6,480 Training Costs and Support Costs: $36,640.00 Total Implementation Costs: $120,115.00 Grand Total Budget Book Software: $143,590.00 Aa Proposer Signature Date Authorized Signat 76/2 61z o/ Date Page 2 Attachment B: Bid/Pricing Schedule )GRAYCPA CONSULTING PC CDLLABORATIc?NJ EXPERIENCE TRUST Budget Book Pricing Sheet DATE: 09/08/2016 CITY OF CORPUS CHRISTI PURCHASING DIVISION Pricing Form RFP NO. 158 Budget Book Software and Implementation Gray CPA Consulting, PC PROPOSER PAGE 1OF2 AUTH II D SIGNATUR 5. Refer to "Instrucftons to Proposers" and Contract Terms and Conditions before completing proposal. 6. Quote your best price for each Item. T. Prepare a separate Pricing Form for CAFR and for Budget Book. 8. In submitting this proposal, Proposer certifies that: a. the prices in this proposal have been arrived at independently, without consultation, communication, or agreement with any other Proposer or competitor. for the purpose of restricting competition with regard to prices; b. Proposer is an Equal Opportunity Employer; and the Disclosure of Interest information on file with City's purchasing office, pursuant to the Code of Ordinances, is current and true. c. Proposer has incorporated any changes issued through Addenda to the RFP in this pri ITEM DESCRIPTION QTY UNIT TOTAL PRICE 1. Software Purchase of Budget Book Software 1 LS $1 565 , 2. Annual Cost per License or Subscription for Budget Book Software Year 1 1 LS $1,565 Year 2 1 LS $1,565 Year 3 1 LS $1,565 Year 4 1 LS $1,565 Year 5 1 LS $1,565 3. Implementation Services including reproduction of prior year Budget Book 1 LS $136,225 TOTAL $145,615 Response to RFP No. 158 Page 40 of 41 Attachement C: Insurance/Bond Requirements I. CONTRACTOR' S LIABILITY INSURANCE A. Contractor must not commence work under this contract until all insurance required has been obtained and such insurance has been approved by the City. Contractor must not allow any subcontractor, to commence work until all similar insurance required of any subcontractor has been obtained. B. Contractor must furnish to the City' s Risk Manager and Contract Administrator one (1) copy of Certificates of Insurance with applicable policy endorsements showing the following minimum coverage by an insurance company(s) acceptable to the City's Risk Manager. The City must be listed as an additional insured on the General liability and Auto Liability policies by endorsement, and a waiver of subrogation endorsement is required on GL, AL and WC if applicable. Endorsements must be provided with Certificate of Insurance. Project name and/or number must be listed in Description Box of Certificate of Insurance. TYPE OF INSURANCE MINIMUM INSURANCE COVERAGE 30 -day advance written notice of cancellation, non -renewal, material change or termination required on all certificates and policies. Bodily Injury and Property Damage Per occurrence - aggregate COMMERCIAL GENERAL LIABILITY including: 1. Commercial Broad Form 2. Premises — Operations 3. Products/ Completed Operations 4. Contractual Liability 5. Independent Contractors 6. Personal Injury- Advertising Injury $1,000,000 Per Occurrence $2,000,000 Aggregate AUTO LIABILITY (including) 1. Owned 2. Hired and Non -Owned 3. Rented/Leased $1,000,000 Combined Single Limit WORKERS'S COMPENSATION (All States Endorsement if Company is not domiciled in Texas) Employers Liability Statutory and complies with Part II of this Exhibit. $500,000/$500,000/$500,000 C. In the event of accidents of any kind related to this contract, Contractor must furnish the Risk Manager with copies of all reports of any accidents within 10 days of the accident. II. ADDITIONAL REQUIREMENTS A. Applicable for paid employees, Contractor must obtain workers' compensation coverage through a licensed insurance company. The coverage must be written on a policy and endorsements approved by the Texas Department of Insurance. The workers' compensation coverage provided must be in statutory amounts according to the Texas Department of Insurance, Division of Workers' Compensation. An All States Endorsement shall be required if Contractor is not domiciled in the State of Texas. B. Contractor shall obtain and maintain in full force and effect for the duration of this Contract, and any extension hereof, at Contractor's sole expense, insurance coverage written on an occurrence basis by companies authorized and admitted to do business in the State of Texas and with an A.M. Best's rating of no less than A- VII. C. Contractor shall be required to submit renewal certificates of insurance throughout the term of this contract and any extensions within 10 days of the policy expiration dates. All notices under this Exhibit shall be given to City at the following address: City of Corpus Christi Attn: Risk Manager P.O. Box 9277 Corpus Christi, TX 78469-9277 D. Contractor agrees that, with respect to the above required insurance, all insurance policies are to contain or be endorsed to contain the following required provisions: • List the City and its officers, officials, employees, and volunteers, as additional insureds by endorsement with regard to operations, completed operations, and activities of or on behalf of the named insured performed under contract with the City, with the exception of the workers' compensation policy; • Provide for an endorsement that the "other insurance" clause shall not apply to the City of Corpus Christi where the City is an additional insured shown on the policy; • Workers' compensation and employers' liability policies will provide a waiver of subrogation in favor of the City; and • Provide thirty (30) calendar days advance written notice directly to City of any, cancellation, non -renewal, material change or termination in coverage and not less than ten (10) calendar days advance written notice for nonpayment of premium. E. Within five (5) calendar days of a cancellation, non -renewal, material change or termination of coverage, Contractor shall provide a replacement Certificate of Insurance and applicable endorsements to City. City shall have the option to suspend Contractor's performance should there be a lapse in coverage at any time during this contract. Failure to provide and to maintain the required insurance shall constitute a material breach of this contract. F. In addition to any other remedies the City may have upon Contractor's failure to provide and maintain any insurance or policy endorsements to the extent and within the time herein required, the City shall have the right to order Contractor to stop work hereunder, and/or withhold any payment(s) which become due to Contractor hereunder until Contractor demonstrates compliance with the requirements hereof. G. Nothing herein contained shall be construed as limiting in any way the extent to which Contractor may be held responsible for payments of damages to persons or property resulting from Contractor's or its subcontractor' s performance of the work covered under this contract. H. It is agreed that Contractor's insurance shall be deemed primary and non-contributory with respect to any insurance or self insurance carried by the City of Corpus Christi for liability arising out of operations under this contract. I. It is understood and agreed that the insurance required is in addition to and separate from any other obligation contained in this contract. 2016 Insurance Requirements Purchasing CAFR Software and Budget Book RFP 8/08/2016 my Risk Management Attachement C: Insurance/Bond Requirements Bonds are not required for this Service Agreement Attachment D: Warranty Requirements Warranty Requirements are not required in the service agreeement. CAFR and Budget Book Software and Implementation Services - RFP 158 Summary Selection Committee Score Card - Combined Scores Proposal Evaluation Max Points 100 Workiva Inc. Armes, Iowa Thales Consulting Inc. Sacramento, California Gray CPA Consulting PC. Magnolia, Texas Evaluation Criteria Minimum Qualifications Pass/Fail Pass Pass Pass Stage 1:Technical Proposal 90 Firms' Experience (5points) 2 2 2 Team Experience (5 points) 3 2 5 Understanding of Project Scope (80 points) 65 50 70 Total 70 54 70 Stage 2: Demonstration/Interview 90 Firms' Experience (5points) 2.66 5 Team Experience (5 points) 3 5 Understanding of Project Scope (80 points) 61.66 73.33 Price 10 10 9.07 Total 100 77.32 92.4 CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. Gray CPA Consulting, PC Magnolia, TX United States Certificate Number: 2016-130823 Date Filed: 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi 10/31/2016 Date Acknowledged: 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. Service Agreement #877 Implementation services for financial software to build the annual CAFR and Budget book. 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary Michelsen, Anita Magnolia, TX United States X Gray, Gail Montgomery, TX United States X 5 Check only if there is NO Interested Party. ❑ 6 AFFIDAVIT I swear, or affirm, under penalty of perjury, that the above disclosure is true and correct. + . '"f's. DANIEW MEAD j p.*: '• My Notary ID # 128866561t. Expires February 16, 2020 '�+�by. �+: Signature of author i d agent of contracting business entity AFFIX NOTARY STAMP / SEAL ABOVE Sworn to and subscribed before me, by the said --a1 \ al, , this the 0 I day of 110kietabe r 20 i (0 , to certify which, witness my hand and seal of office. A° n 1 eka CO ec_e( I ture of officer ministering oath Printed name of officer administering oath Title of officer ainistering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us AGENDA MEMORANDUM Future Agenda for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: November 18, 2016 TO: Margie C. Rose, City Manager FROM: Constance P. Sanchez, Director of Financial Services ConstanceP@cctexas.com (361) 826-3227 Approval of the City's Investment Policy and Investment Strategies CAPTION: Resolution reaffirming the City of Corpus Christi's Investment Policy and Investment Strategies for Fiscal Year 2016-2017 PURPOSE: The Public Funds Investment Act requires annual review by the governing body of its Investment Policy, and adoption of a written instrument stating that it has reviewed the investment policy and investment strategies. BACKGROUND AND FINDINGS: Under Texas Government Code, Chapter 2256, Subchapter A. Authorized Investments For Governmental Entities, the State of Texas delineates the types of investments and the investment rules that must be followed by governmental entities. This chapter is often referred to as the "Public Funds Investment Act". In accordance with the Public Funds Investment Act, the governing body must approve the City's investment policy annually. City staff is recommending reaffirmation of the existing policy. Additionally, the City has established an Investment Committee which consists of the City Manager, Assistant City Managers, City Attorney, Director of Financial Services, and Assistant Director of Management and Budget, or their designees. The Committee met on November 18, 2016 and approved the Investment Policy. ALTERNATIVES: n/a OTHER CONSIDERATIONS: n/a CONFORMITY TO CITY POLICY: This item conforms to City policy. EMERGENCY / NON -EMERGENCY: n/a DEPARTMENTAL CLEARANCES: • City Attorney's Office • Investment Committee FINANCIAL IMPACT: X Not Applicable ❑ Operating Expense ❑ Revenue ❑ CIP FISCAL YEAR: Project to Date Exp. (CIP Only) Current Year Future Years TOTALS Budget - $ - $ - $ - Encumbered/Expended amount of (date) -- - - This item - $ - $ - $ - BALANCE - $ - $ - $ - FUND(S): COMMENTS: n/a RECOMMENDATION: Staff recommends approval of the resolution as presented. LIST OF SUPPORTING DOCUMENTS: Resolution Exhibit A of Resolution — Investment Policy Resolution reaffirming the City of Corpus Christi's Investment Policy and Investment Strategies for fiscal year 2016-2017. WHEREAS, the City of Corpus Christi's Investment Policy and Investment Strategies were adopted pursuant to Resolution No. 022390 on October 24, 1995; WHEREAS, the Texas Public Funds Investment Act requires the governing body to annually review, amend as necessary, and reaffirm its investment policy and investment strategies; WHEREAS, the Investment Policy and Investment Strategies were previously reviewed for fiscal year 2015-2016 on November 16, 2015, and reaffirmed pursuant to Resolution No. 030711 on December 15, 2015; and WHEREAS, the Investment Policy and Investment Strategies were reviewed for fiscal year 2016-2017 on November 18, 2016, approved with an updated issuance date, did not require any amendments, and must be annually reaffirmed by the City Council; Therefore, be it resolved by the City Council of the City of Corpus Christi, Texas: Section 1. The City Council has reviewed the City of Corpus Christi's Investment Policy and Investment Strategies for the current fiscal year 2016-2017. A copy of the City of Corpus Christi's Investment Policy, which contains the separate Investment Strategies, is attached to this resolution as Exhibit A and is incorporated by reference into this resolution as if set out here in its entirety. Section 2. With an updated issuance date that coincides with the date this resolution is passed, the City Council reaffirms the City of Corpus Christi's Investment Policy and Investment Strategies for the current fiscal year 2016-2017 and continues the policy and strategies in full force and effect. ATTEST: CITY OF CORPUS CHRISTI Rebecca Huerta, City Secretary Dan McQueen, Mayor Corpus Christi, Texas day of , 20 The above resolution was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn CITY OF CORPUS CHRISTI, TEXAS FINANCIAL SERVICES INVESTMENT POLICY December 20, 2016 TABLE OF CONTENTS Page I. INTRODUCTION 1 II. PURPOSE 1 ID. DEFINITIONS 2 IV. INVESTMENT OBJECTIVES 4 V. AUTHORIZED INVESTMENTS AND MAXIMUM MATURITY 5 VI. INVESTMENT STRATEGIES 9 VII. DESIGNATION OF RESPONSIBILITY 11 VIII. INTERNAL CONTROLS 12 IX. COMPETITIVE SOLICITATION 13 X. AUTHORIZED COUNTER -PARTIES 14 XI. COLLATERALIZATION 15 XII. SAFEKEEPING OF CITY SECURITIES 15 XIII. INFORMATION REPORTING/PORTFOLIO EVALUATION 16 XIV. BANKING SERVICES 17 XV. ANNUAL POLICY ADOPTION 17 XVI. GENERAL PROVISIONS 17 APPENDICES A. TEXAS PUBLIC FUNDS INVESTMENT ACT 1-31 B. CODE OF ETHICS 1-8 C. RESOLUTION 1-2 D. LEGAL DEFENSE AND INDEMNIFICATION OF CITY OFFICERS AND EMPLOYEES 1 i I. INTRODUCTION The City of Corpus Christi shall invest all available monies in compliance with this Investment Policy as adopted by the City Council and authorized by the Public Funds Investment Act. Effective cash management is recognized as essential to good fiscal management. An aggressive cash management program will be pursued to maximize interest earnings as a viable and material revenue source. The City's portfolio shall be designated and managed In a manner responsive to the public trust and consistent with local, state and federal law. Investments shall be made with the primary objective of: • Preservation of capital and protection of principal; • Maintenance of sufficient liquidity to meet operating needs; • Security of city funds and investments; • Diversification of investments to minimize risk while maximizing interest earnings; and • Maximization of return on the portfolio. Earnings from Inveslments will be used in a manner that will best serve the interests of the City of Corpus Christi. Investments shall be made with judgment and care, under prevailing circumstances, that a person of prudence, discretion and intelligence would exercise in the management of that person's own affairs, not for speculation, but for investment, considering the probable safety of capital and the probable income to be derived. II. PURPOSE A. Authorization This Investment Policy is authorized by the City Council in accordance with Chapter 2256, Subchapter A of the Texas Govemment Code - The Public Funds Investment Act (the "Act" attached and incorporated as Appendix A). B. Scope This Investment Policy applies to all funds of the City, excluding pension funds, with regard to investing the financial assets of Funds, including, but not limited to: General Fund Special Revenue Funds Enterprise Funds Internal Service Funds Special Purpose Funds (within the control of Investment Officers) Capital Improvement Funds (including Bond Proceeds, Bond Reserves, Debt Service, Commercial Paper and any other debt instrument) In addition to this Policy, the investment of Bond Funds, Debt Service, and Reserve Funds shall be managed (Including the yield calculation thereon) by l their governing ordinances and Federal Law, including the Tax Reform Act of 1986 and subsequent legislation. C. Review and Amendment This Policy shall be reviewed and adopted no less than annually by the City Council on or before December 31 of each calendar year. Amendments must be adopted by the City Council. The City Council shall adopt a written instrument by ordinance or resolution stating that it has reviewed the Investment Policy. This ordinance or resolution shall record any changes made to the Investment Policy. 111. DEFINITIONS Authorized Broker/Dealer - Primary dealer and regional firms that have been selected by the federal underwriters to distribute their securities. Each authorized fine in a Broker/Dealer will offer the issue at the price authorized by the governmental agency on the initial market issuance. Authorized City Representatives — Investment Officers and City Officers authorized to execute transactions are designated in the attached and incorporated Appendix A on behalf of the City. (Specific positions so authorized are the City Treasurer, Investment Analyst, Controller, Chief Accountant, Assistant Director of Financial Services and Director of Financial Services). Authorized Investment — Authorized investments defined by this Policy with a maximum maturity are approved by the Investment Committee and City Council. All Policy authorized securities are listed in Section V. Collateral - Securities pledged by a banking institution or sold under a repurchase agreement, to guarantee City assets. All collateral must be AAA rated. The City requires U.S. Treasuries, U.S. Agency Securities or municipal obligations as collateral so that the market values can be readily determined at any point in time. Collateral requirements are defined in Section XI. Cusip Number - A cusip Is a 9 -character alphanumeric code which identifies a financial security for purposes of facilitating clearing and settlement of trades. Custodian -- An approved independent custodian charged with the safekeeping of securities owned by or pledged to the City. An independent custodian is one not affiliated with any pledging institution or counter -party. Director of Financial Services - The Director of Financial Services is the Municipal Finance Officer responsible for City investments, but not designated as an Investment Officer. The Director of Financial Services may designate the Assistant Director of Financial Services, Controller or Chief Accountant to assist in this process. Excess Cash Balances - Collected bank balances not needed to pay estimated check clearings. Failed Transaction — A transaction in which an investment is not delivered to an institution for operational or availability reasons. The security would fail to be delivered to the Custodian. 2 Institution - Any firm, bank, bank holding company, broker/dealer or Public Funds Investment Pool that offers to sell/buy a financial transaction/security to the City. All such firms must complete a Policy certification as stated by this Policy. Investment Advisor — SEC registered investment advisor contracted by the City to assist in the portfolio management process, reporting and treasury operations/controls. Investment Officers — Individuals designated by the City Council to execute investment transactions. Positions include only the City Treasurer and Investment Analyst. Investment Portfolio - All City monies and securities invested under authority of the Investment Officers. Qualified Representative — As defined by the Act, a person, who holds a position with a business organization, who is authorized to act on behalf of the business organization, and who Is one of the following: (A) For a business organization doing business that is regulated by or registered with a securities commission, a person who is registered under the rules of the National Association of Securities Dealers; (B) For a state or federal bank, a savings bank, or a state or federal credit union, a member of the loan committee for the bank or branch of the bank or a person authorized by corporate resolution to act on behalf of and bind the banking institution; (C) For an investment public funds investment pool, the person authorized by the elected official or board with authority to administer the activities of the investment public funds investment pool to sign the written instrument on behalf of the investment public funds investment pool; or (0) For an investment management firm registered under the Investment Advisers Act of 1940 (15 U.S.C. Section 80b-1 et seq.) or, if not subject to registration under that Act, registered with the State Securities Board, a person who is an officer or principal of the investment management firm. Reserve Funds - Funds designated by the City Council for specific purposes, which have not been appropriated for spending. Securities - Approved Investments designated by the Investment Committee, as defined by Section VII, to be held in the Investment Portfolio or acceptable to be pledged as Collateral to secure the monies of the City. Special Purpose Funds - Monies of non-profit corporations that Investment Officers are permitted to invest; includes such entities as the Coastal Bend Health Facilities Development Corporation, Corpus Christi Housing Finance Corporation, Corpus Christi Community Improvement Corporation, HOME Project, First Time Home Buyer, Corpus Christi Industrial Development Corporation, Corpus Christi Business and Job Development Corporation, North Padre Island Development Corporation, Corpus Christi Crime Control and Prevention District, and Corpus Christi Digital Community Development Corporation. 3 Third Party Safekeeping Institution - Any Institution not affiliated with an Institution delivering the Authorized Investment. IV. INVESTMENT OBJECTIVES The following states the investment objectives of the City in order of priority: A. Preservation and Safety of Principal Investments of the City shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall Investment Portfolio. B. Liquidity The City's Investment Portfolio must be structured in a manner which maintains the liquidity necessary to pay obligations as they become due. Sufficient cash flows must be maintained through cash flow analysis and by rapidly depositing montes and timing disbursements. Generally, Investments are matched to specific cash flow requirements such as payrolls, construction drawdown schedules, debt service payments, and other payables. Liquidity is also achieved by investing in Authorized Investments with active secondary markets or in Public Funds Investment Pools with stable net asset values. C. Investment Yield The City's Investment Portfolio shall be designed with the objective of regularly exceeding the average yield of the following benchmarks In a manner consistent with the principles of this Policy described in Section IV. A and B and reflecting the cash flow expectations and portfolio strategy of the City: Six-month average of Texpool, Texstar and Texas Daily. However, it must be recognized that differing interest rate environments will result in fluctuations. During a declining market, satisfying this objective may not be practical until Authorized Investments mature and can be re -invested, especially since preservation of capital is the first priority in the investment of monies pursuant to this Policy. For bond issues to which arbitrage restrictions apply, the primary objectives shall be to avoid negative arbitrage and to obtain market yields minimizing the costs associated with Investing such monies. D. Diversification Diversification is required because of differing liquidity needs of the City and to control risk. Diversification minimizes the risk to the overall Investment Portfolio by spreading market and credit risk as well as potential losses on individual securities or market sector thereby enhancing safety of the Investment Portfolio. 4 Through the solicitation of competitive proposals, the City shall allocate and diversify its Investments through various Institutions. The following types of Investments will be solicited from approved Institutions: 1. Obligations of the United States; including obligations that are fully guaranteed or insured by the Federal Deposit Insurance Corporation or by the explicit full faith and credit of the United States. 2. Repurchase Agreements - through a Third Party Safekeeping Institution Agreement, which includes an approved primary dealer doing business in Texas as required by the PFIA; 3. Public Funds Investment Pools - through participation agreements; 4. Certificates of Deposit - through approved local banks or a broker that has a main office or a branch office in this state and is selected from a list adopted by the investing entity. 5. Money Market Mutual Funds; 6. Guaranteed Investment Contracts (for Bond Proceeds only); and 7. Texas Term Investment Pool; The City recognizes that investment risks can result from default risk, credit volatility risk, and market price risks due to various technical and fundamental economic factors, and other complications, leading to temporary illiquidity. To control market price risks, volatile Investments shall be avoided. To control default risk, the only acceptable method of payment will be on a delivery versus payment -basis for all transactions, except Public Funds Investment Pools and repurchase agreements. Delivery versus Payment provides for payment to Institutions at the time the Investments are recorded in book entry form at the City's Third Party Safekeeping Institution, currently maintained at the Federal Reserve. For certificates of deposit, sufficient Collateral at 102% of current market values must be pledged to protect all City monies or monies under its control that exceed Federal Deposit Insurance Corporation (FDIC) coverage; the Collateral must be safe kept at a Third Party Safekeeping Institution not affiliated with the bank or bank holding company providing the certificate of deposit. V. AUTHORIZED INVESTMENTS AND MAXIMUM MATURITY The City of Corpus Christi Is authorized to invest only in the following investments. City monies, govemed by this Policy, may not be invested in other investments permitted by law unless this Policy is amended and adopted to permit such investment. A. Authorized Investments 1. Obligations of the United States or its agencies and instrumentalities, excluding mortgage backed securities, which currently include the following stated final maturities: a. Short-term U.S. Treasuries: Maximum Maturity 1.) U.S. Treasury Bills up to 365 days* 2.) U.S. Treasury Coupon Notes up to 3 years* 3.) U.S. Treasury Notes and Strips up to 3 years* 5 b. U.S. Agencies: Maximum Maturity 1.)Federal Home Loan Bank up to 2 years* 2.)Federal National Mortgage Association. up to 2 years* 3.)Federal Farm Credit up to 2 years` 4.)Federal Home Loan Mortgage Corporation up to 2 years* 5.)Federal Agricultural Mortgage Corporation up to 2 years' ;Reserve Funds invested in Treasury and Agency obligations may have a stated final maturity up to five years. 2. Repurchase Agreements up to 365 days Repurchase agreements must be fully collateralized at 102% with a defined maturity date, is secured by a combination of cash and obligations, Including obligations that are fully guaranteed or insured by the Federal Deposit Insurance Corporation or by the explicit full faith and credit of the United States placed with a primary government dealer with collateral, and safekept at a City approved Custodian, as provided under the provisions of the SIFMA (Securities Industry and Financial Markets Association) Master Repurchase Agreement. An executed agreement between the City, primary government dealer and Custodian will be on file before the City will enter into a tri -party repurchase agreement. Weekly monitoring by the City's Investment Officers or Advisor of all Collateral underlying repurchase agreements is required. More frequent monitoring may be necessary during periods of market volatility. 3. Public Funds Investment Pool up to 1 day A Public Funds Investment Pool duly created and managed in accordance with the Act to function as a money market mutual fund that marks its portfolio to market daily and, to the extent reasonably possible, which stabilizes its portfolio to market daily at $1 net asset value. If the ratio of the market value of the Public funds investment pool's portfolio divided by the book value of the portfolio is less than 99.50% or greater than 100.50%, the Public -funds investment pool's portfolio holdings shall be sold as necessary to maintain the ratio between 99.50% and 100.50%. The maximum amount that may be invested in any one public funds investment pool is five (5) percent of the total current invested balance of the Public Funds Investment Pool. The maximum total amount that may be invested In any one overnight Public Funds Investment Pool is thirty (30) percent of the Investment Portfolio. The Public Funds Investment Pool must be continuously rated no lower than AAA or AAA -m or at an equivalent rating by at least one nationally recognized rating service. Public Funds Investment Pools may contain investment securities that are not directly authorized by this Policy, so long as (1) the AAA rating is standard herein above stated is satisfied, and (11) the investment is permitted by Subchapter A of the Texas Public Funds Investment Act, Chapter 2256 of the Texas Government Code. 6 An investment pool may Invest its funds in money market mutual funds to the extent permitted by and consistent with the investment policies and objectives adopted by the investment pool. In addition to the requirements of its investment policy and any other forms of reporting, a public funds investment pool created to function as a money market fund shall report yield to its investors in accordance with regulations of the Securities and Exchange Commission applicable to reporting by money market funds. If the investment pool operates as an internet website, the information in a disclosure instrument or report must be posted on the website. 4. Collateralized and Brokered Certificates of Deposit up to 2 years Certificates of deposit or other Instruments issued by state and national banks domiciled in Texas that are: Guaranteed or insured by the Federal Deposit Insurance Corporation or Its successor; or Secured at 102% by obligations defined by Section XI of this Policy. a. Collateralized Certificates of Deposit Certificates of deposit must be fully collateralized at 102% of their market value. The City requires the bank to pledge U.S. Treasuries or U.S. Agencies as collateral as described in section V, Subdivision A.1. The Investment Officers will monitor adequacy of collateralization on a weekly basis. b. Brokered Certificates of Deposit The Investment Officer shall monitor, on no less than a weekly basis, the status and ownership of all banks issuing brokered CDs owned by the City of Corpus Christi based upon information from the FDIC, Brokered CDs will be required to have a cuslp number and be held in safekeeping at a third -party institution. If any bank has been acquired or merged with another bank in which brokered CDs are owned, the Investment Officer shall Immediately liquidate any brokered CD which is above the FDIC insurance level. 5. Money Market Mutual Fund up to 1 year A AAA -rated no-load money market mutual fund (no service charge) Is an authorized investment if: a. the money market mutual fund is registered with and regulated by the Securities and Exchange Commission; b. the money market mutual fund provides the City with a prospectus and other information required by the Securities Exchange Act of 1934 (15 U.S.C. Section 78a et seq.) or the -Investment Company Act of 1910 (15 U.S.C. Section 80a-1 et seq.); c. the money market mutual fund includes in lis Investment objectives the maintenance of a stable net asset value of $1 for each share; 7 d. the assets of the money market mutual fund are invested in those investments authorized under this Investment Policy; and e. the money market mutual fund has a dollar weighted average stated maturity of 90 days or fewer. 6. Guaranteed Investment Contracts up to 3 years Guaranteed investment contracts offer to pay a specific interest rate over a period of time, and can be structured to reflect an anticipated draw down schedule for capital improvements funded with bond proceeds. The collateral and monitoring requirements applicable to repurchase agreements shall apply to guaranteed investment contracts. A guaranteed investment contract may be utilized only in connection with the investment of bond proceeds. The maximum term of a guaranteed Investment contract shall not exceed the anticipated construction period for the capital improvement, the construction of which Is to be funded with Bond Proceeds. 7. Texas Term Investment Pool up to 1 year The Texas Term Investment Pool for fixed term investments was created as an investment pool and is a hybrid, mutual fund structure. The pool offers a fixed rate, fixed term portfolio option and is rated AAA by Standard and Poor's Ratings Services. Participants may lock In a fixed rate for a term of 60 to 365 days. B. Weighted Average Maturity In order to assure adequate liquidity and to minimize risk of loss to the Investment Portfolio due to interest rate fluctuations, investment maturities will not exceed the anticipated cash flow requirements of the Funds. Maturity guidelines by Fund are as follows: The weighted average maturity (WAM) of the overall portfolio shall be no more than 365 days. 1. Operating Funds The maximum weighted average maturity of Operating Funds shall be 365 days. The Investment Officers will monitor the maturity level and adjust as appropriate throughout the fiscal year. 2. Capital Improvement Funds The maximum weighted average maturity of Capital Improvement Funds shall be 365 days. The Authorized Investment maturity of that portion of the City Portfolio that represents Capital Improvement Funds (bond proceeds, reserve funds, debt service and Commercial Paper) shall be determined considering: a. The anticipated cash flow requirements of the Capital Improvement Funds; and b. The "temporary period" as defined by Federal income tax law during 8 which time bond proceeds may be Invested at an unrestricted yield. Bond proceeds subject to yield restriction shall be invested considering that yield restriction to avoid a challenge to the City's related indebtedness qualification as an obligation, the interest in which is not subject to federal taxation under section 103 of the internal Revenue Code of 1986 as amended_(the "IRC"). Bond proceeds subject to yield restriction shall be invested considering the anticipated cash flow requirements of the Capital Improvement Funds. For ail bond proceeds controlled by the tax-exempt bond provisions of the IRC a complete yield analysis shall be performed to assure compliance with the IRC. An annual rebate calculation shall be performed to assure compliance with IRC. An annual rebate calculation shall be performed to determine the City's rebate liability at the end of each respective bond issue's five-year term. On the third anniversary of the respective issue date for each bond issue, bond proceeds from such issue will be yield restricted as required by the IRC. 3. Reserve Funds Established by Operative Bond Funds or by the City Council. The following Reserve Funds may be invested up to five years In U.S. Treasuries or Agencies: Maximum Choke Canyon Fund 4050 $10,000,000 City monies governed by this Policy may not be invested in other investments permitted by law unless (i) such investments are specifically authorized for the investment of these monies by an ordinance adopted by the City Council issuing bonds or other debt obligations or (11) this Policy is amended to permit such investment. C. Methods to Monitor Investment Market Price The City monitors the market price of investments obtained from Texpooi's securities pricing service or the Bloomberg system which is made available through the City's authorized institutional brokers. The City may also obtain market price information from other nationally recognized sources of financial information such as the Wall Street Journal. VI. INVESTMENT STRATEGIES A. Investment Maturity Diversification A minimum of 15% of the total investment portfolio shall be held in Authorized Investments with maturity dates of 90 days or less for liquidity. U.S. Treasuries/Agencies may be purchased for longer-term maturities (greater than one year) but shall not exceed 40% of the total investment portfolio to preserve liquidity. The weighted average maturity limitation of the overall Investment Portfolio takes these requirements into account to protect liquidity and allow flexibility for market environments. Daily Authorized investment reports shall monitor and address 9 whether these diversification requirements are being met. Unless approved by the investment Committee, the target percentages specified shall not be exceeded for temporary periods greater than thirty (30) days without the investment Officers taking corrective action. B. Strategies 1. Operating and CIP Funds Investment strategies for operating funds and capital improvement funds have as their primary objective the assurance that anticipated cash flows are matched with adequate investment iiquidity. The secondary objective is to create an Investment Portfolio structure, which will experience minimal volatility during economic cycles. To accomplish this strategy, the City will purchase high credit quality, short -to -intermediate term investments primarily in a laddered structure. To pay for anticipated disbursements, Authorized Investments will be laddered to correspond with the projected cash flow needs of the City. Investments maturing that are acquired on the short end of the yield curve 90 days or fess will meet immediate cash needs. A few Authorized Investments are purchased on the intermediate part of the yield curve (1- 3 year maturity) to lock in higher interest rates when rates are projected to decline due to the economic cycle of the economy. The dollar weighted average investment maturity of 365 days or Tess will be calculated using the stated final maturity dates of each investment. 2. Debt Service Funds Investment strategies for debt service funds shall have as the primary objective the assurance that debt service payment obligations are timely met. 3. Debt Service Reserve Funds investment strategies for debt service reserve funds shall have as the primary objective the ability to generate a dependable revenue stream with a low degree of volatility. In accordance with the specific bond authorization document, investments should be of high credit quality, with short -to -Intermediate-term maturities and a maximum weighted average maturity of one year. 4. Special Purpose Funds investment strategies for Special Purpose Funds will have as their primary objective the assurance that anticipated cash flows are matched with adequate Authorized investment iiquidity. The stated final maturity dates and weighted average maturity shall be structured on the project completion date. These Investment portfolios shall Include highly liquid investments to allow for flexibility and unanticipated project outlays. 10 C. Achieving Investment Yield Objectives The City will utilize a conservative buy and hold strategy for the majority of the investment Portfolio with investment selection based on legality, appropriateness, liquidity, and risk/return considerations. This strategy recognizes the unique needs of individual funds and provides for their recognized cash flow needs. The remaining portion of the Investment Portfolio may be invested actively and the reasons for doing so are: 1. Passive investment provides for: a. Investments targeted to pay upcoming anticipated disbursements. b. Liquidity to provide for a measure of anticipated disbursements and c. Laddering and diversification to manage market and credit risk. 2. Active investment provides for: a. The ability to improve yields in the investment Portfolio by riding the yield curve during business cycle recovery and expansion periods. Interest rates on longer maturities typically exceed those on shorter maturities. Therefore, longer maturities (that can be held to maturity, if necessary) are purchased in anticipation of selling later at the same or lower interest rate, improving the total retum during the holding period. b. The ability to improve market sector diversification by swapping out of one investment into another for a better total retum, to realign for disbursement projections, or to extend or shorten maturity depending on economic forecasts. The City Manager, or his designee, is required to approve any Investment that must be sold at a loss. All gains and Tosses will be reported to the City Council and Investment Committee no Tess frequently than on a quarterly basis. VII. DESIGNATION OF RESPONSIBILITY A. investment Committee An Investment Committee, consisting of City Manager, Assistant City Managers, Director of Financial Services (or if vacant, Assistant Director of Financial Services), City Attorney, Assistant Director of Financial Services/Management and Budget shall meet at least quarterly to determine operational strategies and to monitor investment results. The Investment Committee will be responsible for monitoring, reviewing and making recommendations regarding the City's Investment Portfolio to the City Council. The Investment Committee will review quarterly investment reports before 11 submission to the City Council and will, on no Tess than an annual basis, review and adopt a list of authorized broker/dealers prepared by the City. The Investment Committee shall include in its deliberation such topics as: economic outlook, Investment Portfolio diversification, maturity structure, risk and performance of the portfoilo(s). B. Investment Officers The authority to invest City funds and the execution of any documentation necessary to evidence the investment of City funds is granted to the Investment Officers. The City Treasurer and the investment Analyst are the designated Investment Officers responsible for the daily operation of the investment program. Investment Officers will prepare monthly and quarterly reports, maintain information on counter -parties, monitor collateral, and attend training as required by the Act. As required by the Act, each Investment Officer shall attend ten hours of training in accordance with the Act within 12 months of assuming responsibilities and attend Bhours of training that begins on the first day of that local government's fiscal year and consists of the two consecutive fiscal years after that date. Training should include topics such as investment controls, security risk, market risks, diversification of the investment portfolio and compliance with Texas laws. The Investment Committee approves investment — training seminars presented by the following organizations: Government Finance Officers Association Government Finance Officers Association of Texas Government Treasurers Organization of Texas Association of Public Treasurer's of the US & Canada Texas Municipal League University of North Texas Center for Public Management If the Investment Officer desires to attend an investment -training seminar presented by another organization for training credit, such seminar must be approved by the Director of Financial Services. C. Investment Advisor The City Council may contract with an investment management firm registered under the Investment Advisers Act of 1940 (15 U.S.C. Section BOb-1 et seq.) to provide for the investment and management of City funds. The initial contract made under authority of this subsection may not be for a term conger than two years. A renewal or extension of the contract must be made by the City Council by ordinance or resolution. VIII. INTERNAL CONTROLS The City Treasurer will establish a system of intemal controls over the investment activities of the City and document such controls in the investment Procedures Manual. These internal controls shall be approved by the Director of Financial Services. 12 A. Standard of Care Investments shall be made with the same judgment and care, under prevailing circumstances, that a person of prudence, discretion, and intelligence would exercise in the management of the person's own affairs, not for speculation, but for investment, considering the probable safety of capital and the probable income to be derived. Prudent investment is to be judged by the Investment Portfolio as a whole, not on individual Investments. In the case of a loss required rating, if liquidation is necessary due to a public funds investment pool losing its AAA rating or for other reasons, liquidation will be done in a prudent manner consistent with the investment objectives of this Policy and as provided in 2256.021 of the Government Code the Act. The Investment Officer shall monitor, on no less than a weekly basis, the credit rating on all authorized investments in the portfolio based upon independent information from a nationally recognized rating agency. If any security fails below the minimum rating required by Policy, the Investment Officer shall notify the City Manager, Director of Finance and City Council of the loss of rating, conditions affecting the rating and possible loss of principal with liquidation options available, within two weeks after the loss of the required rating. Investment Officers and the Investment Advisor shall perform their duties strictly in accordance with the adopted Investment Policy. Investment Officers acting in good faith and in accordance with these policies and procedures shall be relieved of personal liability if exceptions are reported on a timely basis and prudent actions are taken to reduce potential loss. The Investment Committee and officers are Indemnified as provided by City ordinance attached and incorporated as Appendix D. B. Ethics Investment Officers, Investment Committee members and employees involved in the investment process shall comply with the City's Code of Ethics attached and incorporated as Appendix B which requires disclosure of financial interests by April of each year. These individuals shall refrain from personal business activities that could conflict with proper execution of the investment program or which could impair the ability to make impartial investment decisions. Officers and employees shall disclose to the City Council any material investment decisions. Officers and employees shall disclose to the council any material financial interest in institutions that conduct investment or banking transactions with the City. Any Investment officer who has a personal or business relationship with an organization seeking to sell an investment to the City shall file a statement disclosing that relationship or interest. Disclosure statements required under this subsection must be filed. 1X. COMPETITIVE SOLICITATION Except for Repurchase Agreements, Guaranteed investment Contracts, and Public Funds Investment Pools, any new issue investment will be purchased through an Authorized Broker/Dealer or directly through the issuer. investment 13 Officers identify the best rate prior to the purchase of an Authorized Investment that meets the City's cash flow needs at the time. Any Institution authorized to participate in the City's investment program must meet Collateral pledge requirements outlined in Section XI of these guidelines and must submit annual financial reports. X. AUTHORIZED COUNTER -PARTIES A. Broker/Dealers Any broker/dealer seeking to sell an Authorized Investment to the City is required to complete the questionnaire approved by the Investment Committee and furnish supporting documentation required by the Investment Committee. Information on the firms shall be maintained by the investment Officers or the Investment Advisor. Securities qualifying as Authorized Investments shall only be purchased through those institutions approved by the investment Committee. B. Policy Certification Investments shalt only be made with those Institutions who have executed a written certification in a form acceptable to the City, executed by a Qualified Representative of that Institution, and substantially to the effect that the Institution has: 1. Received, thoroughly reviewed and acknowledged, in writing, receipt and understanding of this Policy. 2. Acknowledged that the Institution has implemented reasonable procedures and controls in an effort to preclude investment transactions conducted between the institution and the City that are not authorized by this Policy. C. Investments shall only be made with those institutions who have met the qualifications and standards established by the City's Investment Committee and set forth in the Investment Procedures Manual. D. The Investment Committee shall, at least annually, review, revise, and adopt a list of qualified brokers that are authorized to engage in investment transactions with the City. E. The City Treasurer will request the Investment Committee to authorize deletion of institutions for: 1. Slow response time; 2. Inability to compete with other authorized firms; 3. insufficient market information on technical or fundamental expectations based on economic indicators; 4. Failed transactions or continuing operational difficulties; 5. Unwillingness to continue to abide by this Policy; the provisions listed in IX.A.; 14 6. Other reasons as approved by the Investment Committee. XI. COLLATERALIZATION It is imperative that the securities in the Investment Portfolio be protected through independent safekeeping and all time deposits and demand bank cash balances be protected with sufficient collateral at a minimum of 102% daily of current market values to guard against market and volatility risk. A. Pledged Collateral for Time and Demand Deposits Depository collateral is pledged to and not owned by the City. Ail collateral shall be held by a custodian approved by the City under an executed collateral agreement. The market value of pledged collateral for time and demand deposits must be at least 102% of the principal plus accrued interest. All collateral shall be held by an independent custodian outside the holding company of the pledging bank. Original evidence of City collateralization in the form of original safekeeping receipts will be provided to the City Treasurer and will be maintained in the City Treasurer's Office. The custodian will provide a monthly listing of collateral describing the securities and giving a market value. An investment officer will approve and release all pledged collateral. The Investment Officers will monitor adequacy of collateralization on a weekly basis. B. Collateral Substitution Collateralized investments and certificates of deposit often require substitution of Collateral. Any institution must contact the Investment Officers for approval and settlement. The substituted collateral's value will be calculated and substitution approved if its value is equal to or greater than the required collateral value. Substitution is allowable for all transactions, but should be limited, to minimize the City's potential administrative problems. C. Collateral Reductions Should the collateral's market value exceed the required amount, any Institution may request approval from the investment Officer to reduce collateral. Collateral reductions may be permitted only if the City's records indicate that the collateral's market value exceeds the required amount. D. Prohibited Securities Investment securities described in Section 2256.009(b), Government Code, shall not be eligible for use as collateral of City monies governed by this Policy. XII. SAFEKEEPING OF CITY SECURITIES A. Third Party Safekeeping Agreement The City shall utilize its banking services depository or other banks for the safekeeping of City owned securities. The delivery of all securities into safekeeping will be done on a delivery versus payment basis. 15 B. Safekeeping of Certificate of Deposit Collateral Ail Collateral securing bank and savings and loan deposits must be held by a Third Party Safekeeping institution approved by the City, or Collateral may be held at the Federal Reserve Bank. C. Safekeeping of Repurchase Agreement Collateral Repurchase Agreement Collateral is restricted to U.S. Treasuries and must be delivered to a Third -Party Safekeeping Institution with which the City has (subject to the limitation described in Section XI.D above) established a third -party safekeeping agreement. D. Guaranteed Investment Agreement Collateral Guaranteed investment contract collateral is restricted to U.S. Treasuries and Agencies (subject to the limitation described In Section XI.D above) and must be delivered to a Third -Party Safekeeping Institution with which a third -party safekeeping agreement has been established pursuant to the terms of the guaranteed investment contract. XIII. INFORMATION REPORTINGIPORTFOLIO EVALUATION A. The City Treasurer and Investment Analyst as designated Investment Officers are responsible for reporting to the Investment Committee and City Council on a quarterly basis in accordance with the Act. B. Quarterly investment Reports are to include the following in accordance with the Act: a. Combined Investment Portfolio Report of Market versus Book Values b. Combined Portfolio Composition c. Individual Portfolio Composition d. Cash and Cash Equivalents, U.S. Treasuries and Investments Greater than One year e. Combined Summary of Investment Transactions f. Combined Investment Portfolio - Weighted Average Maturity g. Investment Revenue h. Analysis of Excess Collateral Coverage i. Aggregate Activity Per Broker j. Comparison of Investment Returns to Benchmarks k. Investment Portfolio Report — Lake Texans Project and Packery Channel Project I. Bond Funds by Issue m. Pools and Money Market Accounts - Approved institutional Brokers n. Economic and Interest Rate Forecast o. Glossary p. Compliance Statement q. Quarterly investment Committee Meeting Minutes 16 Internal Reporting/Evaluation in addition, the following reports are to be submitted on a monthly basis: 1) Cash position by bank account 2) Collateral position 3) Investment transactions C. External Reporting/Evaluations On a quarterly basis, any institution holding City time or demand deposits will provide to the Investment Officers for the institution's review a copy of the balance sheet and income statement for the Call Report for review. All depository and brokerage institutions will provide annual audited financial statements. Any Public Funds investment Pools must provide reports and disdosure statements as required by the Act. D. Record Retention The City follows the guidelines of retaining records for five years from City's current fiscal year, as recommended in the Texas State Library Municipal Records Manual or may be authorized by the City's local records management guidelines. XIV. BANKING SERVICES All depository services are provided in the City's main depository agreement. Other services such as credit cards, direct deposit of payroll or other services may be administered through separate agreements. To aggressively invest Excess Cash Balances, controlled disbursements accounts, zero balance accounts and other cash management tools may be employed. XIV. ANNUAL POLICY ADOPTION This Policy will be reviewed and adopted by the City Council no less than annually. The accepting ordinance resolution will include a description of all changes made to this policy. XVI. GENERAL PROVISIONS A. Audits and Inspections During regular business hours and as often as the Investment Officers deem necessary, the institution providing certificates of deposit will make available for examination by the City Manager, his duly authorized agent, accountant, or legal representative, such records and data to assure the pledge of Collateral, availability of Collateral, and financial stability of the Institution. B. Compliance with Laws 17 Each Institution agrees to comply with all federal, state, and local laws, rules, regulations, and ordinances. The personnel or officers of such Institution shall be fully qualified and authorized under federal, state, and local law to perform the services set out under this Policy. Each Institution shall permit the investment Officers to audit, examine, and make excerpts or transcripts from such records and to make audits of all contract, invoices, materials, and other data relating to applicable Investments. C. Performance Audits The City's Annual External Financial Audit shall include a compliance audit of management controls on Investments and adherence to this Policy. If the City invests in other than money market mutual funds, investment public funds investment pools or accounts offered by its depository in the form of certificates of deposit or money market accounts; the quarterly reports prepared by Investment Officers for the City Council must be formally reviewed at least annually by an independent auditor. The results of the review must be reported to the City Council by that auditor. D. Investment Policy Resolution. The resolution authorizing this Investment Policy is attached hereto as Appendix C. APPENDIX A Texas Public Funds Investment Act Texas Government Code, Chapter 2256 Subchapter A GOVERNMENT CODE TITLE 10. GENERAL GOVERNMENT SUBTITLE F. STATE AND LOCAL CONTRACTS AND FUND MANAGEMENT CHAPTER 2256. PUBLIC FUNDS INVESTMENT SUBCHAPTER A. AUTHORIZED INVESTMENTS FOR GOVERNMENTAL ENTITIES Sec. 2256.001. SHORT TITLE. This chapter may be cited as the Public Funds Investment Act. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Sec. notes, and maintained investment 2256.002. DEFINITIONS. In this chapter: (1) "Bond proceeds" means the proceeds from the sale of bonds, other obligations issued by an entity, and reserves and funds by an entity for debt service purposes. (2) plus "Book value" means the original acquisition cost of an or minus the accrued amortization or accretion. (3) "Funds" means public funds in the custody of a state agency or local government that: (A) are not required by law to be deposited in the state treasury; and (B) the investing entity has authority to invest. (4) "Institution of higher education" has the meaning assigned by Section 61.003, Education Code. (5) "Investing entity" and "entity" mean an entity subject to this chapter and described by Section 2256.003. (6) "Investment pool" means an entity created under this code to invest public funds jointly on behalf of the entities that participate in the pool and whose investment objectives in order of priority are: (A) preservation and safety of principal; (B) liquidity; and (C) yield. (7) "Local government" means a municipality, a county, a school district, a district or authority created under Section 52(b)(1) or (2), Article III, or Section 59, Article XVI, Texas Constitution, a fresh water 1 supply district, a hospital district, and any political subdivision, authority, public corporation, body politic, or instrumentality of the State of Texas, and any nonprofit corporation acting on behalf of any of those entities. (8) "Market value" means the current face or par value of an investment multiplied by the net selling price of the security as quoted by a recognized market pricing source quoted on the valuation date. (9) "Pooled fund group" means an internally created fund of an investing entity in which one or more institutional accounts of the investing entity are invested. (10) "Qualified representative" means a person who holds a position with a business organization, who is authorized to act on behalf of the business organization, and who is one of the following: (A) for a business organization doing business that is regulated by or registered with a securities commission, a person who is registered under the rules of the National Association of Securities Dealers; (B) for a state or federal bank, a savings bank, or a state or federal credit union, a member of the loan committee for the bank or branch of the bank or a person authorized by corporate resolution to act on behalf of and bind the banking institution; (C) for an investment pool, the person authorized by the elected official or board with authority to administer the activities of the investment pool to sign the written instrument on behalf of the investment pool; or (D) for an investment management firm registered under the Investment Advisers Act of 1940 (15 U.S.C. Section 80b-1 et seq.) or, if not subject to registration under that Act, registered with the State Securities Board, a person who is an officer or principal of the investment management firm. (11) "School district" means a public school district. (12) "Separately invested asset" means an account or fund of a state agency or local government that is not invested in a pooled fund group. (13) "State agency" means an office, department, commission, board, or other agency that is part of any branch of state government, an 2 institution of higher education, and any nonprofit corporation acting on behalf of any of those entities. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1421, Sec. 1, eff. Sept. 1, 1997; Acts 1999, 76th Leg., ch. 1454, Sec. 1, eff. Sept. 1, 1999. Sec. 2256.003. AUTHORITY TO INVEST FUNDS; ENTITIES SUBJECT TO THIS CHAPTER. (a) Each governing body of the following entities may purchase, sell, and invest its funds and funds under its control in investments authorized under this subchapter in compliance with investment policies approved by the governing body and according to the standard of care prescribed by Section 2256.006: (1) a local government; (2) a state agency; (3) a nonprofit corporation acting on behalf of a local government or a state agency; or (4) an investment pool acting on behalf of two or more local governments, state agencies, or a combination of those entities. (b) In the exercise of its powers under Subsection (a), the governing body of an investing entity may contract with an investment management firm registered under the Investment Advisers Act of 1940 (15 U.S.C. Section 80b-1 et seq.) or with the State Securities Board to provide for the investment and management of its public funds or other funds under its control. A contract made under authority of this subsection may not be for a term longer than two years. A renewal or extension of the contract must be made by the governing body of the investing entity by order, ordinance, or resolution. (c) This chapter does not prohibit an investing entity or investment officer from using the entity's employees or the services of a contractor of the entity to aid the investment officer in the execution of the officer's duties under this chapter. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1999, 76th Leg., ch. 1454, Sec. 2, eff. Sept. 1, 1999. Sec. 2256.004. APPLICABILITY. (a) This subchapter does not apply ra. (1) a public retirement system as defined by Section 802.001; (2) state funds invested as authorized by Section 404.024; (3) an institution of higher education having total endowments of at least $95 million in book value on May 1, 1995; (4) funds invested by the Veterans' Land Board as authorized by Chapter 161, 162, or 164, Natural Resources Code; (5) registry funds deposited with the county or district clerk under Chapter 117, Local Government Code; or (6) a deferred compensation plan that qualifies under either Section 401(k) or 457 of the Internal Revenue Code of 19B6 (26 U.S.C. Section 1 et seq.), as amended. (b) This subchapter does not apply to an investment donated to an investing entity for a particular purpose or under terms of use specified by the donor. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 505, Sec. 24, eff. Sept. 1, 1997; Acts 1997, 75th Leg., ch. 1421, Sec. 2, eff. Sept. 1, 1997; Acts 1999, 76th Leg., ch. 62, Sec. 8.21, eff. Sept. 1, 1999; Acts 1999, 76th Leg., ch. 1454, Sec. 3, eff. Sept. 1, 1999. Sec. 2256.005. INVESTMENT POLICIES; INVESTMENT STRATEGIES; INVESTMENT OFFICER. (a) The governing body of an investing entity shall adopt by rule, order, ordinance, or resolution, as appropriate, a written investment policy regarding the investment of its funds and funds under its control. (b) The investment policies must: (1) be written; (2) primarily emphasize safety of principal and liquidity; (3) address investment diversification, yield, and maturity and the quality and capability of investment management; and (4) include: (A) a list of the types of authorized investments in which the investing entity's funds may be invested; (B) the maximum allowable stated maturity of any individual investment owned by the entity; (C) for pooled fund groups, the maximum dollar -weighted average maturity allowed based on the stated maturity date for the portfolio; (D) methods to monitor the market price of investments acquired with public funds; (E) a requirement for settlement of all transactions, except investment pool funds and mutual funds, on a delivery versus payment basis; and (F) procedures to monitor rating changes in investments acquired with public funds and the liquidation of such investments consistent with the provisions of Section 2256.021. (c) The investment policies may provide that bids for certificates of deposit be solicited: (1) orally; (2) in writing; (3) electronically; or (4) in any combination of those methods. (d) As an integral part of an investment policy, the governing body shall adopt a separate written investment strategy for each of the funds or group of funds under its control. Each investment strategy must describe the investment objectives for the particular fund using the following priorities in order of importance: (1) understanding of the suitability of the investment to the financial requirements of the entity; (2) preservation and safety of principal; (3) liquidity; (4) marketability of the investment if the need arises to liquidate the investment before maturity; (5) diversification of the investment portfolio; and (6) yield. (e) The governing body of an investing entity shall review its investment policy and investment strategies not less than annually. The governing body shall adopt a written instrument by rule, order, ordinance, or resolution stating that it has reviewed the investment policy and investment strategies and that the written instrument so adopted shall 5 record any changes made to either the investment policy or investment strategies. (f) Each investing entity shall designate, by rule, order, ordinance, or resolution, as appropriate, one or more officers or employees of the state agency, local government, or investment pool as investment officer to be responsible for the investment of its funds consistent with the investment policy adopted by the entity. If the governing body of an investing entity has contracted with another investing entity to invest its funds, the investment officer of the other investing entity is considered to be the investment officer of the first investing entity for purposes of this chapter. Authority granted to a person to invest an entity's funds is effective until rescinded by the investing entity, until the expiration of the officer's term or the termination of the person's employment by the investing entity, or if an investment management firm, until the expiration of the contract with the investing entity. In the administration of the duties of an investment officer, the person designated as investment officer shall exercise the judgment and care, under prevailing circumstances, that a prudent person would exercise in the management of the person's own affairs, but the governing body of the investing entity retains ultimate responsibility as fiduciaries of the assets of the entity. Unless authorized by law, a person may not deposit, withdraw, transfer, or manage in any other manner the funds of the investing entity. (g) Subsection (f) does not apply to a state agency, local government, or investment pool for which an officer of the entity is assigned by law the function of investing its funds. Text of subsec. (h) as amended by Acts 1997, 75th Leg., ch. 685, Sec. 1 (h) An officer or employee of a commission created under Chapter 391, Local Government Code, is ineligible to be an investment officer for the commission under Subsection (f) if the officer or employee is an investment officer designated under Subsection (f) for another local government. Text of subsec. (h) as amended by Acts 1997, 75th Leg., ch. 1421, Sec. 3 6 (h) An officer or employee of a commission created under Chapter 391, Local Government Code, is ineligible to be designated as an investment officer under Subsection (f) for any investing entity other than for that commission. (i) An investment officer of an entity who has a personal business relationship with a business organization offering to engage in an investment transaction with the entity shall file a statement disclosing that personal business interest. An investment officer who is related within the second degree by affinity or consanguinity, as determined under Chapter 573, to an individual seeking to sell an investment to the investment officer's entity shall file a statement disclosing that relationship. A statement required under this subsection must be filed with the Texas Ethics Commission and the governing body of the entity. For purposes of this subsection, an investment officer has a personal business relationship with a business organization if: (1) the investment officer owns 10 percent or more of the voting stock or shares of the business organization or owns $5,000 or more of the fair market value of the business organization; (2) funds received by the investment officer from the business organization exceed 10 percent of the investment officer's gross income for the previous year; or (3) the investment officer has acquired from the business organization during the previous year investments with a book value of $2,500 or more for the personal account of the investment officer. (j) The governing body of an investing entity may specify in its investment policy that any investment authorized by this chapter is not suitable. (k) A written copy of the investment policy shall be presented to any person offering to engage in an investment transaction with an investing entity or to an investment management firm under contract with an investing entity to invest or manage the entity's investment portfolio. For purposes of this subsection, a business organization includes investment pools and an investment management firm under contract with an investing entity to invest or manage the entity's investment portfolio. Nothing in this subsection relieves the investing entity of the responsibility for monitoring the investments made by the investing entity 7 to determine that they are in compliance with the investment policy. The qualified representative of the business organization offering to engage in an investment transaction with an investing entity shall execute a written instrument in a form acceptable to the investing entity and the business organization substantially to the effect that the business organization has: (1) received and reviewed the investment policy of the entity; and (2) acknowledged that the business organization has implemented reasonable procedures and controls in an effort to preclude investment transactions conducted between the entity and the organization that are not authorized by the entity's investment policy, except to the extent that this authorization is dependent on an analysis of the makeup of the entity's entire portfolio or requires an interpretation of subjective investment standards. (1) The investment officer of an entity may not acquire or otherwise obtain any authorized investment described in the investment policy of the investing entity from a person who has not delivered to the entity the instrument required by Subsection (k). (m) An investing entity other than a state agency, in conjunction with its annual financial audit, shall perform a compliance audit of management controls on investments and adherence to the entity's established investment policies. (n) Except as provided by Subsection (0), at least once every two years a state agency shall arrange for a compliance audit of management controls on investments and adherence to the agency's established investment policies. The compliance audit shall be performed by the agency's internal auditor or by a private auditor employed in the manner provided by Section 321.020. Not later than January 1 of each even - numbered year a state agency shall report the results of the most recent audit performed under this subsection to the state auditor. Subject to a risk assessment and to the legislative audit committee's approval of including a review by the state auditor in the audit plan under Section 321.013, the state auditor may review information provided under this section. If review by the state auditor is approved by the legislative audit committee, the state auditor may, based on its review, require a state agency to also report to the state auditor other information the 8 state auditor determines necessary to assess compliance with laws and policies applicable to state agency investments. A report under this subsection shall be prepared in a manner the state auditor prescribes. (o) The audit requirements of Subsection (n) do not apply to assets of a state agency that are invested by the comptroller under Section 404.024. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 685, Sec. 1, eff. Sept. 1, 1997; Acts 1997, 75th Leg., ch. 1421, Sec. 3, eff. Sept. 1, 1997; Acts 1999, 76th Leg., ch. 1454, Sec. 4, eff. Sept. 1, 1999; Acts 2003, 78th Leg., ch. 785, Sec. 41, eff. Sept. 1, 2003. Amended by: Acts 2011, 82nd Leg., R.S., Ch. 1004 (H.B. 2226), Sec. 1, eff. June 17, 2011. Sec. 2256.006. STANDARD OF CARE. (a) Investments shall be made with judgment and care, under prevailing circumstances, that a person of prudence, discretion, and intelligence would exercise in the management of the person's own affairs, not for speculation, but for investment, considering the probable safety of capital and the probable income to be derived. Investment of funds shall be governed by the following investment objectives, in order of priority: (1) preservation and safety of principal; (2) liquidity; and (3) yield. (b) In determining whether an investment officer has exercised prudence with respect to an investment decision, the determination shall be made taking into consideration: (1) the investment of all funds, or funds under the entity's control, over which the officer had responsibility rather than a consideration as to the prudence of a single investment; and (2) whether the investment decision was consistent with the written investment policy of the entity. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. 9 Sec. 2256.007. INVESTMENT TRAINING; STATE AGENCY BOARD MEMBERS AND OFFICERS. (a) Each member of the governing board of a state agency and its investment officer shall attend at least one training session relating to the person's responsibilities under this chapter within six months after taking office or assuming duties. (b) The Texas Higher Education Coordinating Board shall provide the training under this section. (c) Training under this section must include education in investment controls, security risks, strategy risks, market risks, diversification of investment portfolio, and compliance with this chapter. (d) An investment officer shall attend a training session not less than once each state fiscal biennium and may receive training from any independent source approved by the governing body of the state agency. The investment officer shall prepare a report on this subchapter and deliver the report to the governing body of the state agency not later than the 180th day after the last day of each regular session of the legislature. Amended by Acts 1995, 74th Leg., ch Acts 1997, 75th Leg., ch. 73, Sec. Leg., ch. 1421, Sec. 4, eff. Sept. 1454, Sec. 5, eff. Sept. 1, 1999. Amended by: Acts 2011, 82nd Leg., R.S., C 17, 2011. . 402, Sec. 1, 1, eff. May 9, 1, 1997; Acts eff. Sept. 1, 1995; 1997; Acts 1997, 75th 1999, 76th Leg., ch. h. 1004 (H.B. 2226), Sec. 2, eff. June This section was amended by the 84th Legislature. Pending publication of the current statutes, see H.B. 870 and H.B. 1148, 84th Legislature, Regular Session, for amendments affecting this section. Sec. 2256.008. INVESTMENT TRAINING; LOCAL GOVERNMENTS. (a) Except as provided by Subsections (b) and (e), the treasurer, the chief financial officer if the treasurer is not the chief financial officer, and the investment officer of a local government shall: (1) attend at least one training session from an independent source approved by the governing body of the local government or a designated investment committee advising the investment officer as provided for in the investment policy of the local government and 10 containing at least 10 hours of instruction relating to the treasurer's or officer's responsibilities under this subchapter within 12 months after taking office or assuming duties; and (2) except as provided by Subsections (b) and (e), attend an investment training session not less than once in a two-year period that begins on the first day of that local government's fiscal year and consists of the two consecutive fiscal years after that date, and receive not less than 10 hours of instruction relating to investment responsibilities under this subchapter from an independent source approved by the governing body of the local government or a designated investment committee advising the investment officer as provided for in the investment policy of the local government. (b) An investing entity created under authority of Section 52(b), Article III, or Section 59, Article XVI, Texas Constitution, that has contracted with an investment management firm under Section 2256.003(b) and has fewer than five full-time employees or an investing entity that has contracted with another investing entity to invest the entity's funds may satisfy the training requirement provided by Subsection (a)(2) by having an officer of the governing body attend four hours of appropriate instruction in a two-year period that begins on the first day of that local government's fiscal year and consists of the two consecutive fiscal years after that date. The treasurer or chief financial officer of an investing entity created under authority of Section 52(b), Article III, or Section 59, Article XVI, Texas Constitution, and that has fewer than five full-time employees is not required to attend training required by this section unless the person is also the investment officer of the entity. (c) Training under this section must include education in investment controls, security risks, strategy risks, market risks, diversification of investment portfolio, and compliance with this chapter. (d) Not later than December 31 each year, each individual, association, business, organization, governmental entity, or other person that provides training under this section shall report to the comptroller a list of the governmental entities for which the person provided required training under this section during that calendar year. An individual's reporting requirements under this subsection are satisfied by a report of the individual's employer or the sponsoring or organizing entity of a training program or seminar. 11 (e) This section does not apply to a district governed by Chapter 36 or 49, Water Code. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1421, Sec. 5, eff. Sept. 1, 1997; Acts 1999, 76th Leg., ch. 1454, Sec. 6, eff. Sept. 1, 1999; Acts 2001, 77th Leg., ch. 69, Sec. 4, eff. May 14, 2001. Amended by: Acts 2011, 82nd Leg., R.S., Ch. 1004 (H.B. 2226), Sec. 3, eff. June 17, 2011. Sec. 2256.009. AUTHORIZED INVESTMENTS: OBLIGATIONS OF, OR GUARANTEED BY GOVERNMENTAL ENTITIES. (a) Except as provided by Subsection (b), the following are authorized investments under this subchapter: (1) obligations, including letters of credit, of the United States or its agencies and instrumentalities; (2) direct obligations of this state or its agencies and instrumentalities; (3) collateralized mortgage obligations directly issued by a federal agency or instrumentality of the United States, the underlying security for which is guaranteed by an agency or instrumentality of the United States; (4) other obligations, the principal and interest of which are unconditionally guaranteed or insured by, or backed by the full faith and credit of, this state or the United States or their respective agencies and instrumentalities, including obligations that are fully guaranteed or insured by the Federal Deposit Insurance Corporation or by the explicit full faith and credit of the United States; (5) obligations of states, agencies, counties, cities, and other political subdivisions of any state rated as to investment quality by a nationally recognized investment rating firm not less than A or its equivalent; and (6) bonds issued, assumed, or guaranteed by the State of Israel. (b) The following are not authorized investments under this section: 12 (1) obligations whose payment represents the coupon payments on the outstanding principal balance of the underlying mortgage-backed security collateral and pays no principal; (2) obligations whose payment represents the principal stream of cash flow from the underlying mortgage-backed security collateral and bears no interest; (3) collateralized mortgage obligations that have a stated final maturity date of greater than 10 years; and (4) collateralized mortgage obligations the interest rate of which is determined by an index that adjusts opposite to the changes in a market index. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1999, 76th Leg., ch. 1454, Sec. 7, eff. Sept. 1, 1999; Acts 2001, 77th Leg., ch. 558, Sec. 1, eff. Sept. 1, 2001. Amended by: Acts 2011, 82nd Leg., R.S., Ch. 1004 (H.B. 2226), Sec. 4, eff. June 17, 2011. Sec. 2256.010. AUTHORIZED INVESTMENTS: CERTIFICATES OF DEPOSIT AND SHARE CERTIFICATES. (a) A certificate of deposit or share certificate is an authorized investment under this subchapter if the certificate is issued by a depository institution that has its main office or a branch office in this state and is: (1) guaranteed or insured by the Federal Deposit Insurance Corporation or its successor or the National Credit Union Share Insurance Fund or its successor; (2) secured by obligations that are described by Section 2256.009(a), including mortgage backed securities directly issued by a federal agency or instrumentality that have a market value of not less than the principal amount of the certificates, but excluding those mortgage backed securities of the nature described by Section 2256.009(b); or (3) secured in any other manner and amount provided by law for deposits of the investing entity. (b) In addition to the authority to invest funds in certificates of deposit under Subsection (a), an investment in certificates of deposit 13 made in accordance with the following conditions is an authorized investment under this subchapter: (1) the funds are invested by an investing entity through: (A) a broker that has its main office or a branch office in this state and is selected from a list adopted by the investing entity as required by Section 2256.025; or (B) a depository institution that has its main office or a branch office in this state and that is selected by the investing entity; (2) the broker or the depository institution selected by the investing entity under Subdivision (1) arranges for the deposit of the funds in certificates of deposit in one or more federally insured depository institutions, wherever located, for the account of the investing entity; (3) the full amount of the principal and accrued interest of each of the certificates of deposit is insured by the United States or an instrumentality of the United States; and (4) the investing entity appoints the depository institution selected by the investing entity under Subdivision (1), an entity described by Section 2257.041(d), or a clearing broker-dealer registered with the Securities and Exchange Commission and operating pursuant to Securities and Exchange Commission Rule 15c3-3 (17 C.F.R. Section 240.15c3-3) as custodian for the investing entity with respect to the certificates of deposit issued for the account of the investing entity. Amended by Acts 1995, 74th Leg., ch. 32, Sec. 1, eff. April 28, 1995; Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1421, Sec. 6, eff. Sept. 1, 1997. Amended by: Acts 2005, 79th Leg., Ch. 128 (H.B. 256), Sec. 1, eff. September 1, 2005. Acts 2011, 82nd Leg., R.S., Ch. 1004 (H.B. 2226), Sec. 5, eff. June 17, 2011. Sec. 2256.011. AUTHORIZED INVESTMENTS: REPURCHASE AGREEMENTS. (a) A fully collateralized repurchase agreement is an authorized investment under this subchapter if the repurchase agreement: (1) has a defined termination date; 14 (2) is secured by a combination of cash and obligations described by Section 2256.009(a)(1); and (3) requires the securities being purchased by the entity or cash held by the entity to be pledged to the entity, held in the entity's name, and deposited at the time the investment is made with the entity or with a third party selected and approved by the entity; and (4) is placed through a primary government securities dealer, as defined by the Federal Reserve, or a financial institution doing business in this state. (b) In this section, "repurchase agreement" means a simultaneous agreement to buy, hold for a specified time, and sell back at a future date obligations described by Section 2256.009(a)(1), at a market value at the time the funds are disbursed of not less than the principal amount of the funds disbursed. The term includes a direct security repurchase agreement and a reverse security repurchase agreement. (c) Notwithstanding any other law, the term of any reverse security repurchase agreement may not exceed 90 days after the date the reverse security repurchase agreement is delivered. (d) Money received by an entity under the terms of a reverse security repurchase agreement shall be used to acquire additional authorized investments, but the term of the authorized investments acquired must mature not later than the expiration date stated in the reverse security repurchase agreement. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Amended by: Acts 2011, 82nd Leg., R.S., Ch. 1004 (H.S. 2226), Sec. 6, eff. June 17, 2011. Sec. 2256.0115. AUTHORIZED INVESTMENTS: SECURITIES LENDING PROGRAM. (a) A securities lending program is an authorized investment under this subchapter if it meets the conditions provided by this section. (b) To qualify as an authorized investment under this subchapter: (1) the value of securities loaned under the program must be not less than 100 percent collateralized, including accrued income; (2) a loan made under the program must allow for termination at any time; 15 (3) a loan made under the program must be secured by: (A) pledged securities described by Section 2256.009; (B) pledged irrevocable letters of credit issued by a bank that is: (i) organized and existing under the laws of the United States or any other state; and (ii) continuously rated by at least one nationally recognized investment rating firm at not less than A or its equivalent; or (C) cash invested in accordance with Section: (i) 2256.009; (ii) 2256.013; (iii) 2256.014; or (iv) 2256.016; (4) the terms of a loan made under the program must require that the securities being held as collateral be: (A) pledged to the investing entity; (B) held in the investing entity's name; and (C) deposited at the time the investment is made with the entity or with a third party selected by or approved by the investing entity; (5) a loan made under the program must be placed through: (A) a primary government securities dealer, as defined by 5 C.F.R. Section 6801.102(f), as that regulation existed on September 1, 2003; or (B) a financial institution doing business in this state; and (6) an agreement to lend securities that is executed under this section must have a term of one year or less. Added by Acts 2003, 78th Leg., ch. 1227, Sec. 1, eff. Sept. 1, 2003. Sec. 2256.012. AUTHORIZED INVESTMENTS: BANKER'S ACCEPTANCES. A bankers' acceptance is an authorized investment under this subchapter if the bankers' acceptance: (1) has a stated maturity of 270 days or fewer from the date of its issuance; 16 (2) will be, in accordance with its terms, liquidated in full at maturity; (3) is eligible for collateral for borrowing from a Federal Reserve Bank; and (4) is accepted by a bank organized and existing under the laws of the United States or any state, if the short-term obligations of the bank, or of a bank holding company of which the bank is the largest subsidiary, are rated not less than A-1 or P-1 or an equivalent rating by at least one nationally recognized credit rating agency. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Sec. 2256.013. AUTHORIZED INVESTMENTS: COMMERCIAL PAPER. Commercial paper is an authorized investment under this subchapter if the commercial paper: (1) has a stated maturity of 270 days or fewer from the date of its issuance; and (2) is rated not less than A-1 or P-1 or an equivalent rating by at least: (A) two nationally recognized credit rating agencies; or (B) one nationally recognized credit rating agency and is fully secured by an irrevocable letter of credit issued by a bank organized and existing under the laws of the United States or any state. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Sec. 2256.014. AUTHORIZED INVESTMENTS: MUTUAL FUNDS. (a) A no- load money market mutual fund is an authorized investment under this subchapter if the mutual fund: (1) is registered with and regulated by the Securities and Exchange Commission; (2) provides the investing entity with a prospectus and other information required by the Securities Exchange Act of 1934 (15 U.S.C. Section 78a et seq.) or the Investment Company Act of 1940 (15 U.S.C. Section 80a-1 et seq.); (3) has a dollar -weighted average stated maturity of 90 days or fewer; and 17 (4) includes in its investment objectives the maintenance of a stable net asset value of $1 for each share. (b) In addition to a no-load money market mutual fund permitted as an authorized investment in Subsection (a), a no-load mutual fund is an authorized investment under this subchapter if the mutual fund: (1) is registered with the Securities and Exchange Commission; (2) has an average weighted maturity of less than two years; (3) is invested exclusively in obligations approved by this subchapter; (4) is continuously rated as to investment quality by at least one nationally recognized investment rating firm of not less than AAA or its equivalent; and (5) conforms to the requirements set forth in Sections 2256.016(b) and (c) relating to the eligibility of investment pools to receive and invest funds of investing entities. (c) An entity is not authorized by this section to: (1) invest in the aggregate more than 15 percent of its monthly average fund balance, excluding bond proceeds and reserves and other funds held for debt service, in mutual funds described in Subsection (b); (2) invest any portion of bond proceeds, reserves and funds held for debt service, in mutual funds described in Subsection (b); or (3) invest its funds or funds under its control, including bond proceeds and reserves and other funds held for debt service, in any one mutual fund described in Subsection (a) or (b) in an amount that exceeds 10 percent of the total assets of the mutual fund. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1421, Sec. 7, eff. Sept. 1, 1997; Acts 1999, 76th Leg., ch. 1454, Sec. 8, eff. Sept. 1, 1999. Sec. 2256.015. AUTHORIZED INVESTMENTS: GUARANTEED INVESTMENT CONTRACTS. (a) A guaranteed investment contract is an authorized investment for bond proceeds under this subchapter if the guaranteed investment contract: (1) has a defined termination date; (2) is secured by obligations described by Section 2256.009(a)(1), excluding those obligations described by Section 18 2256.009(b), in an amount at least equal to the amount of bond proceeds invested under the contract; and (3) is pledged to the entity and deposited with the entity or with a third party selected and approved by the entity. (b) Bond proceeds, other than bond proceeds representing reserves and funds maintained for debt service purposes, may not be invested under this subchapter in a guaranteed investment contract with a term of longer than five years from the date of issuance of the bonds. (c) To be eligible as an authorized investment: (1) the governing body of the entity must specifically authorize guaranteed investment contracts as an eligible investment in the order, ordinance, or resolution authorizing the issuance of bonds; (2) the entity must receive bids from at least three separate providers with no material financial interest in the bonds from which proceeds were received; (3) the entity must purchase the highest yielding guaranteed investment contract for which a qualifying bid is received; (4) the price of the guaranteed investment contract must take into account the reasonably expected drawdown schedule for the bond proceeds to be invested; and (5) the provider must certify the administrative costs reasonably expected to be paid to third parties in connection with the guaranteed investment contract. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1421, Sec. 8, eff. Sept. 1, 1997; Acts 1999, 76th Leg., ch. 1454, Sec. 9, 10, eff. Sept. 1, 1999. Sec. 2256.016. AUTHORIZED INVESTMENTS: INVESTMENT POOLS. (a) An entity may invest its funds and funds under its control through an eligible investment pool if the governing body of the entity by rule, order, ordinance, or resolution, as appropriate, authorizes investment in the particular pool. An investment pool shall invest the funds it receives from entities in authorized investments permitted by this subchapter. An investment pool may invest its funds in money market mutual funds to the extent permitted by and consistent with this 19 subchapter and the investment policies and objectives adopted by the investment pool. (b) To be eligible to receive funds from and invest funds on behalf of an entity under this chapter, an investment pool must furnish to the investment officer or other authorized representative of the entity an offering circular or other similar disclosure instrument that contains, at a minimum, the following information: (1) the types of investments in which money is allowed to be invested; (2) the maximum average dollar -weighted maturity allowed, based on the stated maturity date, of the pool; (3) the maximum stated maturity date any investment security within the portfolio has; (4) the objectives of the pool; (5) the size of the pool; (6) the names of the members of the advisory board of the pool and the dates their terms expire; (7) the custodian bank that will safekeep the pool's assets; (8) whether the intent of the pool is to maintain a net asset value of one dollar and the risk of market price fluctuation; (9) whether the only source of payment is the assets of the pool at market value or whether there is a secondary source of payment, such as insurance or guarantees, and a description of the secondary source of payment; (10) the name and address of the independent auditor of the pool; (11) the requirements to be satisfied for an entity to deposit funds in and withdraw funds from the pool and any deadlines or other operating policies required for the entity to invest funds in and withdraw funds from the pool; and (12) the performance history of the pool, including yield, average dollar -weighted maturities, and expense ratios. (c) To maintain eligibility to receive funds from and invest funds on behalf of an entity under this chapter, an investment pool must furnish to the investment officer or other authorized representative of the entity: (1) investment transaction confirmations; and 20 (2) a monthly report that contains, at a minimum, the following information: (A) the types and percentage breakdown of securities in which the pool is invested; (B) the current average dollar -weighted maturity, based on the stated maturity date, of the pool; (C) the current percentage of the pool's portfolio in investments that have stated maturities of more than one year; (D) the book value versus the market value of the pool's portfolio, using amortized cost valuation; (E) the size of the pool; (F) the number of participants in the pool; (G) the custodian bank that is safekeeping the assets of the pool; (H) a listing of daily transaction activity of the entity participating in the pool; (I) the yield and expense ratio of the pool, including a statement regarding how yield is calculated; (J) the portfolio managers of the pool; and (K) any changes or addenda to the offering circular. (d) An entity by contract may delegate to an investment pool the authority to hold legal title as custodian of investments purchased with its local funds. (e) In this section, "yield" shall be calculated in accordance with regulations governing the registration of open-end management investment companies under the Investment Company Act of 1940, as promulgated from time to time by the federal Securities and Exchange Commission. (f) To be eligible to receive funds from and invest funds on behalf of an entity under this chapter, a public funds investment pool created to function as a money market mutual fund must mark its portfolio to market daily, and, to the extent reasonably possible, stabilize at a $1 net asset value. If the ratio of the market value of the portfolio divided by the book value of the portfolio is less than 0.995 or greater than 1.005, portfolio holdings shall be sold as necessary to maintain the ratio between 0.995 and 1.005. In addition to the requirements of its investment policy and any other forms of reporting, a public funds investment pool created to function as a money market mutual fund shall 21 report yield to its investors in accordance with regulations of the federal Securities and Exchange Commission applicable to reporting by money market funds. (g) To be eligible to receive funds from and invest funds on behalf of an entity under this chapter, a public funds investment pool must have an advisory board composed: (1) equally of participants in the pool and other persons who do not have a business relationship with the pool and are qualified to advise the pool, for a public funds investment pool created under Chapter 791 and managed by a state agency; or (2) of participants in the pool and other persons who do not have a business relationship with the pool and are qualified to advise the pool, for other investment pools. (h) To maintain eligibility to receive funds from and invest funds on behalf of an entity under this chapter, an investment pool must be continuously rated no lower than AAA or AAA -m or at an equivalent rating by at least one nationally recognized rating service. (i) If the investment pool operates an Internet website, the information in a disclosure instrument or report described in Subsections (b), (c)(2), and (f) must be posted on the website. (j) To maintain eligibility to receive funds from and invest funds on behalf of an entity under this chapter, an investment pool must make available to the entity an annual audited financial statement of the investment pool in which the entity has funds invested. (k) If an investment pool offers fee breakpoints based on fund balances invested, the investment pool in advertising investment rates must include either all levels of return based on the breakpoints provided or state the lowest possible level of return based on the smallest level of funds invested. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1421, Sec. 9, eff. Sept. 1, 1997. Amended by: Acts 2011, 82nd Leg., A.S., Ch. 1004 (H.B. 2226), Sec. 7, eff. June 17, 2011. 22 Sec. 2256.017. EXISTING INVESTMENTS. An entity is not required to liquidate investments that were authorized investments at the time of purchase. Added by Acts 1995, 74th Leg., ch. 76, Sec. 5.46(a), eff. Sept. 1, 1995; Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Amended by Acts 1997, 75th Leg., ch. 1421, Sec. 10, eff. Sept. 1, 1997. Sec. 2256.019. RATING OF CERTAIN INVESTMENT POOLS. A public funds investment pool must be continuously rated no lower than AAA or AAA -m or at an equivalent rating by at least one nationally recognized rating service. Added by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Amended by Acts 1997, 75th Leg., ch. 1421, Sec. 11, eff. Sept. 1, 1997. Amended by: Acts 2011, 82nd Leg., R.S., Ch. 1004 (H.B. 2226), Sec. 8, eff. June 17, 2011. Sec. 2256.020. AUTHORIZED INVESTMENTS: INSTITUTIONS OF HIGHER EDUCATION. In addition to the authorized investments permitted by this subchapter, an institution of higher education may purchase, sell, and invest its funds and funds under its control in the following: (1) cash management and fixed income funds sponsored by organizations exempt from federal income taxation under Section 501(f), Internal Revenue Code of 1986 (26 U.S.C. Section 501(f)); (2) negotiable certificates of deposit issued by a bank that has a certificate of deposit rating of at least 1 or the equivalent by a nationally recognized credit rating agency or that is associated with a holding company having a commercial paper rating of at least A-1, P-1, or the equivalent by a nationally recognized credit rating agency; and (3) corporate bonds, debentures, or similar debt obligations rated by a nationally recognized investment rating firm in one of the two highest long-term rating categories, without regard to gradations within those categories. Added by Acts 1995, 74th Leg., ch. 402, Sec_ 1, eff. Sept. 1, 1995. 23 Sec. 2256.0201. AUTHORIZED INVESTMENTS; MUNICIPAL UTILITY. (a) A municipality that owns a municipal electric utility that is engaged in the distribution and sale of electric energy or natural gas to the public may enter into a hedging contract and related security and insurance agreements in relation to fuel oil, natural gas, coal, nuclear fuel, and electric energy to protect against loss due to price fluctuations. A hedging transaction must comply with the regulations of the Commodity Futures Trading Commission and the Securities and Exchange Commission. If there is a conflict between the municipal charter of the municipality and this chapter, this chapter prevails. (b) A payment by a municipally owned electric or gas utility under a hedging contract or related agreement in relation to fuel supplies or fuel reserves is a fuel expense, and the utility may credit any amounts it receives under the contract or agreement against fuel expenses. (c) The governing body of a municipally owned electric or gas utility or the body vested with power to manage and operate the municipally owned electric or gas utility may set policy regarding hedging transactions. (d) In this section, "hedging" means the buying and selling of fuel oil, natural gas, coal, nuclear fuel, and electric energy futures or options or similar contracts on those commodities and related transportation costs as a protection against loss due to price fluctuation. Added by Acts 1999, 76th Leg., ch. 405, Sec. 48, eff. Sept. 1, 1999. Amended by: Acts 2007, Both Leg., R.S., Ch. 7 (S.B. 495), Sec. 1, eff. April 13, 2007. Sec. 2256.0202. AUTHORIZED INVESTMENTS: MUNICIPAL FUNDS FROM MANAGEMENT AND DEVELOPMENT OF MINERAL RIGHTS. (a) In addition to other investments authorized under this subchapter, a municipality may invest funds received by the municipality from a lease or contract for the management and development of land owned by the municipality and leased for oil, gas, or other mineral development in any investment authorized to be made by a trustee under Subtitle B, Title 9, Property Code (Texas Trust Code). 24 (b) Funds invested by a municipality under this section shall be segregated and accounted for separately from other funds of the municipality. Added by Acts 2009, Blst Leg., R.S., Ch. 1371 (S.B. 894), Sec. 1, eff. September 1, 2009. Sec. 2256.0203. AUTHORIZED INVESTMENTS: PORTS AND NAVIGATION DISTRICTS. (a) In this section, "district" means a navigation district organized under Section 52, Article III, or Section 59, Article XVI, Texas Constitution (b) In addition to the authorized investments permitted by this subchapter, a port or district may purchase, sell, and invest its funds and funds under its control in negotiable certificates of deposit issued by a bank that has a certificate of deposit rating of at least 1 or the equivalent by a nationally recognized credit rating agency or that is associated with a holding company having a commercial paper rating of at least A-1, P-1, or the equivalent by a nationally recognized credit rating agency. Added by Acts 2011, 82nd Leg., R.S., Ch. 604 (H.B. 2346), Sec. 1, eff. September 1, 2011. Sec. 2256.0204. AUTHORIZED INVESTMENTS: INDEPENDENT SCHOOL DISTRICTS. (a) In this section, "corporate bond" means a senior secured debt obligation issued by a domestic business entity and rated not lower than "AA-" or the equivalent by a nationally recognized investment rating firm. The term does not include a debt obligation that: (1) on conversion, would result in the holder becoming a stockholder or shareholder in the entity, or any affiliate or subsidiary of the entity, that issued the debt obligation; or (2) is an unsecured debt obligation. (b) This section applies only to an independent school district that qualifies as an issuer as defined by Section 1371.001. (c) In addition to authorized investments permitted by this subchapter, an independent school district subject to this section may purchase, sell, and invest its funds and funds under its control in 25 corporate bonds that, at the time of purchase, are rated by a nationally recognized investment rating firm "AA-" or the equivalent and have a stated final maturity that is not later than the third anniversary of the date the corporate bonds were purchased. (d) An independent school district subject to this section is not authorized by this section to: (1) invest in the aggregate more than 15 percent of its monthly average fund balance, excluding bond proceeds, reserves, and other funds held for the payment of debt service, in corporate bonds; or (2) invest more than 25 percent of the funds invested in corporate bonds in any one domestic business entity, including subsidiaries and affiliates of the entity. (e) An independent school district subject to this section may purchase, sell, and invest its funds and funds under its control in corporate bonds if the governing body of the district: (1) amends its investment policy to authorize corporate bonds as an eligible investment; (2) adopts procedures to provide for: (A) monitoring rating changes in corporate bonds acquired with public funds; and (B) liquidating the investment in corporate bonds; and (3) identifies the funds eligible to be invested in corporate bonds. (f) The investment officer of an independent school district, acting on behalf of the district, shall sell corporate bonds in which the district has invested its funds not later than the seventh day after the date a nationally recognized investment rating firm: (1) issues a release that places the corporate bonds or the domestic business entity that issued the corporate bonds on negative credit watch or the equivalent, if the corporate bonds are rated "AA-" or the equivalent at the time the release is issued; or (2) changes the rating on the corporate bonds to a rating lower than "AA-" or the equivalent. (g) Corporate bonds are not an eligible investment for a public funds investment pool. Added by Acts 2011, 82nd Leg., R.S., Ch. 1347 (S.B. 1543), Sec. 1, eff. June 17, 2011. 26 Sec. 2256.0205. AUTHORIZED INVESTMENTS; DECOMMISSIONING TRUST. (a) In this section: (1) "Decommissioning trust" means a trust created to provide the Nuclear Regulatory Commission assurance that funds will be available for decommissioning purposes as required under 10 C.F.R. Part 50 or other similar regulation. (2) "Funds" includes any money held in a decommissioning trust regardless of whether the money is considered to be public funds under this subchapter. (b) In addition to other investments authorized under this subchapter, a municipality that owns a municipal electric utility that is engaged in the distribution and sale of electric energy or natural gas to the public may invest funds held in a decommissioning trust in any investment authorized by Subtitle B, Title 9, Property Code. Added by Acts 2005, 79th Leg., Ch. 121 (S.B. 1464), Sec. 1, eff. September 1, 2005. Sec. 2256.021. EFFECT OF LOSS OF REQUIRED RATING. An investment that requires a minimum rating under this subchapter does not qualify as an authorized investment during the period the investment does not have the minimum rating. An entity shall take all prudent measures that are consistent with its investment policy to liquidate an investment that does not have the minimum rating. Added by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Sec. 2256.022. EXPANSION OF INVESTMENT AUTHORITY. Expansion of investment authority granted by this chapter shall require a risk assessment by the state auditor or performed at the direction of the state auditor, subject to the legislative audit committee's approval of including the review in the audit plan under Section 321.013. Added by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Amended by Acts 2003, 76th Leg., ch. 785, Sec. 42, eff. Sept. 1, 2003. 27 Sec. 2256.023. INTERNAL MANAGEMENT REPORTS. (a) Not less than quarterly, the investment officer shall prepare and submit to the governing body of the entity a written report of investment transactions for all funds covered by this chapter for the preceding reporting period. (b) The report must: (1) describe in detail the investment position of the entity on the date of the report; (2) be prepared jointly by all investment officers of the entity; (3) be signed by each investment officer of the entity; (4) contain a summary statement of each pooled fund group that states the: (A) beginning market value for the reporting period; (B) ending market value for the period; and (C) fully accrued interest for the reporting period; (5) state the book value and market value of each separately invested asset at the end of the reporting period by the type of asset and fund type invested; (6) state the maturity date of each separately invested asset that has a maturity date; (7) state the account or fund or pooled group fund in the state agency or local government for which each individual investment was acquired; and (8) state the compliance of the investment portfolio of the state agency or local government as it relates to: (A) the investment strategy expressed in the agency's or local government's investment policy; and (B) relevant provisions of this chapter. (c) The report shall be presented not less than quarterly to the governing body and the chief executive officer of the entity within a reasonable time after the end of the period. (d) If an entity invests in other than money market mutual funds, investment pools or accounts offered by its depository bank in the form of certificates of deposit, or money market accounts or similar accounts, the reports prepared by the investment officers under this section shall be formally reviewed at least annually by an independent auditor, and the 28 result of the review shall be reported to the governing body by that auditor. Added by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Amended by Acts 1997, 75th Leg., ch. 1421, Sec. 12, eff. Sept. 1, 1997. Amended by: Acts 2011, 82nd Leg., A.S., Ch. 1004 (H.B. 2226), Sec. 9, eff. June 17, 2011. Sec. 2256.024. SUBCHAPTER CUMULATIVE. (a) The authority granted by this subchapter is in addition to that granted by other law. Except as provided by Subsection (b), this subchapter does not: (1) prohibit an investment specifically authorized by other law; or law. (2) authorize an investment specifically prohibited by other (b) Except with respect to those investing entities described in Subsection (c), a security described in Section 2256.009(b) is not an authorized investment for a state agency, a local government, or another investing entity, notwithstanding any other provision of this chapter or other law to the contrary. (c) Mortgage pass-through certificates and individual mortgage loans that may constitute an investment described in Section 2256.009(b) are authorized investments with respect to the housing bond programs operated by: (1) the Texas Department of Housing and Community Affairs or a nonprofit corporation created to act on its behalf; (2) an entity created under Chapter 392, Local Government Code; or (3) an entity created under Chapter 394, Local Government Code. Added by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Sec. 2256.025. SELECTION OF AUTHORIZED BROKERS. The governing body of an entity subject to this subchapter or the designated investment committee of the entity shall, at least annually, review, revise, and 23 adopt a list of qualified brokers that are authorized to engage in investment transactions with the entity. Added by Acts 1997, 75th Leg., ch. 1421, Sec. 13, eff. Sept. 1, 1997. Sec. 2256.026. STATUTORY COMPLIANCE. All investments made by entities must comply with this subchapter and all federal, state, and local statutes, rules, or regulations. Added by Acts 1997, 75th Leg., ch. 1421, Sec. 13, eff. Sept. 1, 1997. SUBCHAPTER B. MISCELLANEOUS PROVISIONS Sec. 2256.051. ELECTRONIC FUNDS TRANSFER. Any local government may use electronic means to transfer or invest all funds collected or controlled by the local government. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Sec. 2256.052. PRIVATE AUDITOR. Notwithstanding any other law, a state agency shall employ a private auditor if authorized by the legislative audit committee either on the committee's initiative or on request of the governing body of the agency. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995. Sec. 2256.053. PAYMENT FOR SECURITIES PURCHASED BY STATE. The comptroller or the disbursing officer of an agency that has the power to invest assets directly may pay for authorized securities purchased from or through a member in good standing of the National Association of Securities Dealers or from or through a national or state bank on receiving an invoice from the seller of the securities showing that the securities have been purchased by the board or agency and that the amount to be paid for the securities is just, due, and unpaid. A purchase of securities may not be made at a price that exceeds the existing market value of the securities. 30 Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1423, Sec. 8.67, eff. Sept. 1, 1997. Sec. 2256.054. DELIVERY OF SECURITIES PURCHASED BY STATE. A security purchased under this chapter may be delivered to the comptroller, a bank, or the board or agency investing its funds. The delivery shall be made under normal and recognized practices in the securities and banking industries, including the book entry procedure of the Federal Reserve Bank. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1423, Sec. 8.68, eff. Sept. 1, 1997. Sec. 2256.055. DEPOSIT OF SECURITIES PURCHASED BY STATE. At the direction of the comptroller or the agency, a security purchased under this chapter may be deposited in trust with a bank or federal reserve bank or branch designated by the comptroller, whether in or outside the state. The deposit shall be held in the entity's name as evidenced by a trust receipt of the bank with which the securities are deposited. Amended by Acts 1995, 74th Leg., ch. 402, Sec. 1, eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1423, Sec. 8.69, eff. Sept. 1, 1997. 3i APPENDIX a Code of Ethics ARTICLE V. - CODE OF ETHICS'' DIVISION 1. - RULES OF CONDUCT Sec. 2-310. - Preamble. The purpose of this code of ethics is to promote public trust by establishing rules of conduct for city council members, board members, and employees; by providing a fair process for receiving and adjudicating complaints; and by requiring periodic financial disclosure. The rules of conduct form the basis for possible sanctions, and are therefore intended to clearly define proper conduct so that those who must comply may understand the rules and carry out their responsibilities consistently with the rules. It is recognized that situations with ethical implications will arise outside the prohibitions of the rules; in such situations, council members, board members, and employees are encouraged to keep in mind the ideal of the public trust and to conduct themselves in a manner to avoid the appearance of impropriety even where not compelled by the rules. if a council member believes that he/she should abstain from voting on an item to avoid the appearance of impropriety, as encouraged by this code of ethics Ordinance, or who in discussing or voting on an issue is unable to take an unbiased position, that council member shall be disqualified from discussions about and subsequent voting for that item under this city ordinance. The city recognizes that city council members are also tnembers of the society and, therefore, cannot and should not be without arty personal and economic interest in the decisions and policies of government; that city council members retain their rights as citizens 10 interests of a personal or economic nature and their rights to publicly express their views on matters of general public interest. It is not the intent of this ordinance to diminish the rights of city council members as citizens of the community. However, city council members may not use their positions in dealing with the city manager or city employees to advance their personal economic interest, their families' economic interest, or the entities in which they have n substantial interest. (Ord. No. 23772, § 1, 9-21-1999; Ord. No. 028170, § 1, 5-12-2009; Ord. No. 028271, § 2, 8-18-2009; Ord. No. 029428, § 1,3-27-2012) • Sec. 2-311. - Standards. The following rules of conduct apply to all council members, board members, and employees: Special privileeg.s. (1) You shall not use your office for private advancement or gain or to secure special privileges or exemptions for yourself or others. (2) You shall not grant any special consideration, treatment or advantage to any person or group beyond that which is available to others generally. (3)(a)You shall not use city facilities, personnel, equipment or supplies for purposes unrelated to the interests of the city, except to the extent such arc lawfully available to the public. Notwithstanding the foregoing sentence, Corpus Christi police officers, airport public safety officers and municipal court marshals may wear their city -issued uniforms, badges, and other uniform attire, may use their city - issued radios, and may carry their city -issued weapons, on approved off-duty law enforcement employment; and Corpus Christi fire fighters may wear their city -issued uniforms, badges, and other unifonn attire, and use their city -issued radios on approved off-duty fire watch employment. (b) You may not spend or authorize the spending of public funds for political advertising. This prohibition does not apply to a communication that factually describes the purposes of a measure if the communication does not advocate passage or defeat of the measure. This paragraph shall be construed consistently with Texas Election Code Section 255.003. 1 (4) Unless you are a council member, you shall nut use the prestige of your position with the city on behalf of any political party or cause. (5) You shall maintain appropriate relationships with other officials, employees, customers, defendants, and individuals receiving services from you or your organizational unit, and shall not use your position to engage in any inappropriate personal relationships. Gifts: (6) You shall not accept or solicit any money, property, service or other thing of value by way of gift, favor, loan or otherwise that might reasonably tend to influence you in the discharge of your official duties or which you know or should have known was offered with the intent to influence or reward your official conduct. (6)(a)Special applications. Subsection 2-311(5) does not include: (1) A gifi to a city official or employee relating to a special occasion, such as a wedding, anniversary, graduation, birth, illness, death, or holiday, provided that the value of the gift is fairly commensurate with the occasion and the relationship between the donor and recipient; (2) Advancement fur or reimbursement of reasonable expenses for travel in connection with official duties provided by third parties must be disclosed in the travel report; payment for or reimbursement of expenses for travel in excess of authorized rates under city policy will be treated as a personal gift to the official or employee for any applicable reporting requirement; (3) A public award or reward for meritorious service or professional achievement, provided that the award or reward is reasonable in light of the occasion and it is not prohibited under Texas Penal Code Section 36.08 (Gift to Public Servant by Person Subject to His Jurisdiction); (4) A loan from a lending institution made in its regular course of business on the same terms generally available to the public; (5) A scholarship or fellowship awarded on the same terms and based on the same criteria that are applied to other applicants; (6) Any solicitation for civic or charitable causes; (7) Admission to an event in which the city official or employee is participating in connection with his or her spouse's position; (8) Ceremonial and protocol gifts presented to city officials from a foreign government or international or multinational organization and accepted for the City of Corpus Christi; (9) Admission to a widely attended event, such as a convention, conference, symposium, forum, panel discussion, dinner, viewing, reception or similar event, offered by the sponsor of the event, and unsolicited by the city official or employee, if attending or participating in an official capacity, including: (A) the official or employee participates in the event as a speaker or panel participant by presenting information related to matters before the city; or (B) the official or employee performs a ceremonial function appropriate to that individual's position with the city; or (C) attendance at the event is appropriate to the performance of the official duties or representative function of the official or employee; (10) Admission to a charity event provided by the sponsor of the event, where the offer is unsolicited by the city official or employee; (11) Admission to training or education program or other program, including meals and refreshments furnished to all attendees, if such training is related to the official or employee's official duties and the training is in the interest of the city. (7) In the event you receive any gift or loan of property or services on behalf of the city, you shall promptly deliver such gift or loan to the city manager for official acceptance and inventory of the city. Conflicts of interest: 2 (8)(A) If a contract ar business transaction involving the city, in which you or one of your relatives have a conflict of interest or potential conflict of interest comes before you in the performance of your official duties, you shall take the following actions: (i) Immediately make a written disclosure of your interest in the matter to the city secretary and city manager. (ii) Abstain from any vote or decision. (iii) Not participate in any discussion on the matter with members of the council, the city manager, or city employees. (B) You may not use your position to influence the action of a city official or employee in the performance of their duties related to a contract or business transaction in which you or one of your relatives have a conflict of interest ar potential conflict of interest. (C) if you were initially not aware that you or a relative has a conflict or potential conflict of interest, you must comply with (7)(A) as soon as you become aware that you have or should have been aware that you have the conflict or potential conflict of interest. (D) However, you inay apply for city services or discuss your personal interest with a city representative on behalf of your own interest if you notify the city secretary and city manager in writing that you have a personal interest in a matter that requires action by the city, and that you are acting strictly in your private capacity, and not as a member of the city council or board or as a city employee and you advise any member of the city council, city board or commission, or any city employee you are dealing with that you are appearing only in your private capacity. (9) You shall not engage in any outside activities or employment which will conflict or be incompatible with the full and proper discharge of your official duties, impair your independent judgment in the performance of your duties, or reflect discredit upon the city. (10) You shall not represent any other private person, or group or interest in any action or proceeding against or adverse to the interest of the city or in any litigation in which the city is a party. (1 1) You shall not represent any other private person or group in any action or proceeding in the municipal courts of the city which was instituted by city officers or employees in the course of their official duties. (12) You shall not receive any fee or compensation For your official services from any source other than the city except as may be provided by law or authorized by the city council. Actions udret:ce to the citjv: (13) You shall not disclose information that could adversely affect the property or affairs of the city, except as required by law. (14) You shall not knowingly perform or refuse to perform any act in order to deliberately thwart the execution of federal, state or local laws or regulations or the achievement of any official city programs. (15) You shall not engage in any felony crime, misdemeanor involving moral turpitude, or other conduct that reflects discredit on the city. Provisions for council members: (16) As a city council member, individually, you shall not have a substantial interest in any contract with the City of Carpus Christi. (17) In order to preserve and promote independent advice and decisions from city boards and the integrity of the independent board process as a council member, you shall not speak before any city board, commission or committee except on behalf of your own financial interest; in which case, you shall publicly state the nature of your financial interest and that you are appearing only in your private capacity. (18) As a council member, you shall not give any orders to any employee except through the city manager as provided by the City Charter. 3 (19) Asa council tnember, you shall not participate in the process for the appointment of or the confirmation of the appointment of a member to a board, commission or committee of the city, or to the governing body of an independent entity all or part of whose members are appointed by the city council, after you are aware that an individual seeking, being promoted for, or being considered for the position: (1) Is related to you within a degree described by Section 573.002, Texas Government Code; (2) Is your employer; (3) Is a director or officer of a business entity (as defined in Section 171.001, Texas Local Government Code) which is your employer; or (4) Owns ten (10) per cent or more of the voting stock or shares of a business entity which is your employer. Provisions for board members: (20) As a board member, you shall not have a substantial interest in any contract with the city in which your board or commission, or the city department related thereto, has jurisdiction. (21) As a board member, you shall not represent or appear on behalf of the private interest of others before your board, commission or committee, the city council, or any board which has appellate jurisdiction over your board, commission or committee, concerning a matter which is within the subject matter jurisdiction of your board. (This rule does not prohibit you from appearing on behalf of your own financial interest even though others may have the same or a similar interest.) Provisions for employees: (22) As an employee you shall not have an interest in any contract with the city. This prohibition docs not include any employment contract which may be authorized for the employee, a contract of sale for real property or a contract for services which are available for all citizens. (23) Unless previously recommended by the city manager, and approved by the ethics commission, as an employee, you shall not, within twelve (12) months after leaving city employment, represent any other person or organization in any fonnal or informal appearance with the city council or any other agency or employee of the city concerning a project for which you had responsibility as an employee. (24) As an employee, you shall not represent or appear on behalf of the private interest of others before the city council or any board, commission or committee of the city. (This rule does not prohibit you from appearing on behalf of your own financial interest even though others may have the same or a similar interest). (25) As an employee, you may not be employed by any business or individual who has business dealings with or for your department, including any work that is subject to review or inspection by your department, even if you do not personally review or inspect the work of the business or individual. (26) As an employee, you may not violate the confidentiality or privacy of an individual, including a juvenile and adult defendants or detainees or juvenile clients being counseled through a city programa, unless it is to seek emergency assistance or consultation services from within the city's program or school campus; the individual has threatened to harm themselves or others; or to provide details of any criminal activity or enterprise. (Ord. No. 20781, § 1, 9-19-1989; Ord. No. 20913, § 1,-1-1990; Ord. No. 23772, § 2, 9-21-1999; Ord. No. 24613, § 1, 10-9-2001; Ord. No. 025769, § 1, 5-25-2004; Ord. No. 027642, § 1,4-8-2008; Ord. No. 028170, § 1, 5- 12-2009; Ord. No. 028271, § 2, 8-18-2009; Ord. No. 029428, § 1, 3-27-2012; Ord. No. 029467, § I, 5-8-2012) • See. 2-312. - Definitions. The following definitions apply to the above rules of conduct: Board member: A member army board, commission or committee of the city, including the board of any corporation created by the city. 4 Conflict of interest: Any interest, reasonable expectation of an economic benefit, substantial interest, or anticipated substantial interest in a matter or business transaction involving the city that could influence an individual's ability to make an impartial decision. Economic benefit: An action that is likely to affect an economic interest if it is likely to have an effect on that interest that is distinguishable from its effect on members of the public in general or a substantial segment thereof. Emislnree: Any person employed by the city, whether under civil service or not, including part-time employees and employees of any corporation created by the city. Interest: Any direct or indirect pecuniary or material benefit in a contract or transaction other than: (1) An interest which is shared by and available to all other persons similarly situated; or (2) A remote or incidental interest which would not increase or decrease materially due to the action of the city or is less than two hundred dollars ($200.00) in value; or (3) An interest of a subcontractor which has no direct contractual relationship with the city, is receiving fair and reasonable compensation, and is not operating as a subterfuge to circumvent the code of ethics; or (4) An interest in real property acquired by the city which could otherwise be accomplished only through eminent domain provided that the property must be acquired for a public purpose and just compensation must be paid under the Texas Constitution after obtaining an independent appraisal. Relative: Spouse, father, mother, brother, sister, son, daughter, spouse's children, father-in-law, mother- in-law, brother-in-law, sister-in-law, son-in-law, daughter-in-law and adoptive relationships being treated the same as natural relationships. Substantial interest': Any interest in a business entity if the person or relative owns ten (10) per cent or more of voting stock or shares of the business entity or owns ten (10) per cent or more or five thousand dollars ($5,000.00) or more of the fair market value of the business entity or funds received from the business entity exceeds ten (10) per cent or more of the person's gross income for the previous year. A person has a substantial interest in real property if he or his relative controls or has an equitable or legal ownership interest with a fair market value of two thousand five hundred dollars ($2,500.00) or more. (Ord. No. 20781, § 1, 9-19-1989; Ord. No. 028170, § 2, 5-12-2009; Ord. No. 028271, § 3, 8-18-2009; Ord. No. 029428, § 1, 3-27-2012) • Sec. 2-313. - Effect of violation. A violation of these rules of conduct shall subject the council member, board member or employee to appropriate disciplinary proceedings, but such violation shall not render the action of the city voidable by the city unless the action would not have been approved without the vote of the person who violated the rules of conduct. (Ord. No. 20781, § 1, 9-19-1989) • Sec. 2-314. - Exceptions to abstention requirement. The requirement that a council member or board member abstain from voting on a matter or participating in discussion as contained in rule 7 of the rules of conduct shall not apply in the following situations, provided that such person has complied with the requirements of written disclosure of the interest: 5 (a) In the event a majority of the members of the council or the board, commission or committee have filed a written disclosure of a conflict of interest on the matter and would be required to abstain; or (b) On the final approval of the budget when the person has abstained from a separate vote taken on the particular budget item pertaining to the conflict of interest and action or that particular item has been resolved. (Ord. No. 20781, § 1, 9-19-1989) Cross reference— Rules of conduct, ti 2-311. • See. 2-315. - Freedom of expression. Nothing contained in the code of ethics shall abridge the right of any citizen, whether or not a council member, board member or employee, to exercise his or her right of expression under the U.S. or Texas Constitutions. (Ord. No. 20781, fi 1, 9-19-1989) • Sec. 2-316. - Lobbyist registration. Subsection A. Persons required to register as lobbyists. (a) A person who engages in lobbying must register with the city secretary if, with respect to any client, the person engages in lobbying activities for compensation. (b) The following persons are not required to register under subsection (a): (1) Media outlets. A person who owns, publishes or is employed by: (A) a newspaper, (B) any other regularly published periodical; (C) a radio station; (D) a television station; (E) a wire service; or (F) any other bona fide news medium that in the ordinary course of business disseminates news, opinions, or paid advertisements that directly or indirectly oppose or promote municipal questions to seek to Influence official action relating thereto, if the person does not engage in other activities that require registration under Part E. This subsection docs not exempt the news media or a person whose relation to the news media is only incidental to a lobbying effort or if a position taken or advocated by a media outlet directly impacts, affects, or seeks to influence a municipal question in which the media outlet has a direct or indirect economic interest. (2) Mobilizing entity- con.stitucrrts, A person whose only lobbying activity is to encourage or solicit the members, employees, or owners (including shareholders) of an entity by whom the person is compensated to communicate directly with one or more city officials to influence municipal questions. This exception is intended to apply to neighborhood and other similar not-for-profit organizations. (3) Governmental cooties Governmental entitles and their officers and employees, provided the communications relate solely to subjects of governmental interest concerning the respective governmental bodies and the city. (4) Unknow /1 niuuic ipal (potions. A person who does not know and has no reason to know that a municipal question is pending at the time of contact with a city official. (5) Dispute resolution, An attorney or other person whose contact with a city official is made solely as part of resolving a dispute with the city, provided that the contact is solely with city officials who do not vote on or have final authority over any municipal question involved and so long as such an 6 attorney complies with Rule 4.02 of the Texas Disciplinary Rules of Professional Conduct, as amended. Subsection B. Dcfnilions. The following words and phrases have the meaning ascribed to them in this section unless the context requires otherwise: (a) City official means the members of the city council, city manager, deputy and assistant city managers, city secretary, city attorney, assistant city attorneys, depanmcnt heads, municipal court judges, and all members of any board, commission or committee of the city, including the board of any corporation created by the city. (b) Client inenns any person on whose behalf lobbying is conducted. In the case of a coalition or association that employs or retains other persons to conduct lobbying activities, the client is the coalition or association and not its individual members. (c) Compensation means money, service, facility or other thing of value or financial benefit that is received or is to be received in retum for or in connection with services rendered or to be rendered. Compensation does not include u payment made to any individual regularly employed by a person if (I) the payment ordinarily would be made regardless of whether the individual engaged in lobbying activities and (2) lobbying activities are not pan of the individual's regular responsibilities to the person making the payment. Compensation does not include the financial gain that a person may realize as a result of the determination of a municipal question, unless that gain is in the form of a contingent fee. (d) Lobby or lobbying means any oral or written communication (including an electronic communication) to a city official, made directly or indirectly by any person in an effort to influence or persuade an official to favor or oppose, recotnmend or not recommend, vote for or against, or take or refrain from taking action on any municipal question. The teen lobby or lobbying does not include a communication: (1) merely requesting; information or inquiring about the facts or status of any municipal question, matter, or procedure, and not attempting to influence a city official; (2) made by a public official or employee acting in his or her official capacity; (3) made by a representative of a media organization if the purpose of the communication is gathering and disseminating news and information to the public; (4) made in a speech, article, publication, or other material that is distributed and made available to the public, or through radio, television, cable television, or any other medium of mass communication; (5) made at a meeting open to the public under the Open Meetings Act; (6) made in the form of a written comment filed in the course of a public proceeding or any other communication that is made on the record in a public proceeding; (7) made in writing as a petition for official action and required to be a public record pursuant to established city procedures; (8) made in writing to provide information in response to an oral or written request by a city official for specific information; (9) the content of which is compelled by law; (10) made in response to a public notice soliciting communications from the public and directed to the official specifically designated in the notice to receive such communications; (1 1) tnade on behalf of an individual with regard to that individual's employment or benefits: (12) made by a fact witness or expert witness at an official proceeding; or (I 3) made by a person solely on behalf of that individual, his or her spouse, or his or her minor children. 7 (e) Municipal question means a public policy issue of a discretionary nature pending or impending before city council or any board or commission, including but not limited to proposed action, or proposals for action, in the form of ordinances, resolutions, motions, recommendations, reports, regulations, policies, nominations, appointments, sanctions, and bids, including the adoption of specifications, awards, grants, or contracts. The term municipal question does not include the day-to- day application, administration, or execution of city programs and policies. Subsection C. Registration. (a) A registration fonn shall be completed and filed by a person required to register prior to the commencement of lobbying activity for a client. (b) A separate registration form must be filed for each client. (c) The registration shall be on n form prescribed by the city secretary and shall include, to the extent applicable: (1) the full name, phone number, permanent address, and nature of the business of: (A) the registrant; (B) the client; (C) any lobbying ftrtn for which the registrant is an agent or employee with respect to the client; and (D) each employee or agent of the registrant who has acted or whom the registrant expects to act as a lobbyist on behalf of the client; (2) a statement of all municipal questions on which the registrant will lobby for the client. (d) A registrant shall rile an amended registration if the information contained in the current registration changes or is incorrect. (c) A registrant may file a termination of registration when no longer required to register. (Ord. No. 23772, § 3, 9-21-1999) • Secs. 2-317-2-319. - Reserved. S APPENDIX C Resolution Resolution reaffirming the City of Corpus Christi's Investment Policy and Investment Strategies for fiscal year 2016-2017. WHEREAS, the City of Corpus Christi's Investment Policy and Investment Strategies were adopted pursuant to Resolution No. 022390 on October 24, 1995; WHEREAS, the Texas Public Funds Investment Act requires the governing body to annually review, amend as necessary, and reaffirm its investment policy and investment strategies; WHEREAS, the Investment Policy and Investment Strategies were previously reviewed for fiscal year 2015-2016 on November 16, 2015, and reaffirmed pursuant to Resolution No. 030711 on December 15, 2015; and WHEREAS, the Investment Policy and Investment Strategies were reviewed for fiscal year 2016-2017 on November 18, 2016, approved with an updated issuance date, did not require any amendments, and must be annually reaffirmed by the City Council; Therefore, be it resolved by the City Council of the City of Corpus Christi, Texas: Section 1. The City Council has reviewed the City of Corpus Christi's Investment Policy and Investment Strategies for the current fiscal year 2016-2017. A copy of the City of Corpus Christi's Investment Policy, which contains the separate Investment Strategies, is attached to this resolution as Exhibit A and is incorporated by reference into this resolution as if set out here in its entirety. Section 2. With an updated issuance date that coincides with the date this resolution is passed, the City Council reaffirms the City of Corpus Christi's Investment Policy and Investment Strategies for the current fiscal year 2016-2017 and continues the policy and strategies in full force and effect. ATTEST: CITY OF CORPUS CHRISTI Rebecca Huerta, City Secretary Dan McQueen, Mayor Corpus Christi, Texas day of , 20 The above resolution was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn APPENDIX D Legal Defense and Indemnification of City officers and Employees APPENDIX D Corpus Christi Code of Ordinances Chapter 39 Personnel Article I In General Sec. 39-14. - Legal defense and indemnification of city officers and employees. (a) Definitions. For the purposes of this section the term "officer" shall include any elected or appointed official of the city; and the term "employee" shall include all employees of the city, whether under civil service or not, including firemen and policemen, and shall include authorized volunteers, working under a volunteer program approved by the city manager. (b) Indemnification. Any officer or employee who is liable for the payment of any claims or damages arising out of the course and scope of employment shall be entitled to indemnification by the city provided that the acts or omissions resulting in such liability were done in good faith and without malicious or felonious intent. For the purposes of this section, the term "arising out of the course and scope of employment" shall not include any action which occurs during a period of time in which the officer or employee is engaged in outside employment or is rendering contractual services to someone other than the city. Whether the acts were done in good faith, without malicious or felonious intent, and within the course and scope of employment shall be determined by the city, and such determination shall be final for the purposes of the representation and indemnity of this section; provided, however, that in the event such representation and indemnity have been denied by the city, if upon a trial on the merits the city determines that the officer or employee was acting in good faith, without malicious or felonious intent and within the scope of employment the indemnification hereunder shall be granted and reasonable legal expenses incurred in the defense of the claim reimbursed. The city shall not be liable for any settlement of any such claim or suit effected without consent, and the city reserves the right to assert any defense and make any settlement of any claim or suit that it deems expedient. (c)Represenwtion in actions. The city shall have the right and duty to provide legal representation through the city attorney, or in its discretion through the selection of outside legal counsel, to any officer or employee sued in connection with any claim for damages or other civil action against such person arising out of the course and scope of employment, provided that such officer or employee is entitled to indemnification as set forth in this section. Such legal representation shall be provided at no cost to the officer or employee, and any officer or employee may have his or her own counsel assist in the defense at the sole expense of the officer or employee. The officer or employee shall cooperate fully with the city in preparation and presentation of the case, and the failure to cooperate shall waive such officer's or employee's right to representation and indemnity under this section. (d) Citv:s defenses. Nothing in this section shall be construed as waiving the city's defense of governmental immunity to it or its employees or officers in any action brought against the city or such officer or employee. For any suit or claim arising under the Texas Tort Claims Act, the indemnity provided by this section shall be limited to the statutory limits applicable to the city provided in said Act, as amended. (e) Notice. The provisions of this section shall apply only where the city has been given notice of the action brought against any city officer or employee within ten (10) days of service of process upon the officer or employee. (f) DircipIinanv actions_ Nothing in this section shall prevent the city from taking disciplinary action against any officer or employee for conduct defended or indemnified by the city under this section, either before or after conclusion of the civil suit. (g) Suis in behalf of the city. Nothing in this section shall require the city to indemnify any officer or employee for recoveries made against him ar her in suits by or on behalf of the city. The city council may, however, authorize the city attorney to represent any officer ar employee in a suit brought by a taxpayer in behalf of the city against the officer or employee. (Ord. No. 14320, § I, 5-17-1978; Ord. No. 17867, §§ I 3, 10-5-1983; Ord. No. 19863, § 1, 7-21-1987; Ord. No. 19864, § 1, 7-21-1987) Editor's note— Formerly numbered § 39-16. 1 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: December 2, 2016 TO: Margie C. Rose, City Manager FROM: Constance P. Sanchez, Director of Financial Services ConstanceP©cctexas.com (361) 826-3227 Appointment of Financial Advisor for Issuance of Utility System Revenue Refunding Bonds CAPTION: Motion authorizing the appointment of and approving the contract for M. E. Allison, & Co., as Financial Advisor for the issuance of the "City of Corpus Christi, Texas Utility System Junior Lien Revenue Refunding Bonds, Series 2017", in an amount not to exceed $51,300,000. PURPOSE: The City plans on refunding City of Corpus Christi, Texas Utility System Variable Rate Junior Lien Revenue Improvement Bonds originally issued to pay a portion of the costs of construction of Mary Rhodes Pipeline, Phase II, with City -issued refunding bonds to be purchased by the Texas Water Development Board through its Drinking Water State Revolving Fund in an amount not to exceed $51,300,000 (which includes the Texas Water Development Board's bond origination fees and other costs of issuance, as well as the amount necessary to repay the original bonds). BACKGROUND AND FINDINGS: Issuance of bonds requires utilization of a financing team which is usually made up of three parts: the financial advisor, bond counsel, and the underwriting syndicate. This agenda item authorizes the appointment of M. E. Allison & Co., Inc. as financial advisor for this transaction and approves the contract for the transaction. See the Financial Advisor's contract. Norton Rose Fulbright US LLP is currently under contract with the City to serve as the City's bond counsel and will serve as the second part of our financing team. The third part of the financing team is the underwriters. Since these bonds will be purchased by the Texas Water Development Board, no underwriters will be needed for this transaction. ALTERNATIVES: n/a OTHER CONSIDERATIONS: n/a CONFORMITY TO CITY POLICY: This item conforms to City policy. EMERGENCY / NON -EMERGENCY: n/a DEPARTMENTAL CLEARANCES: • Bond Counsel • City Attorney's Office FINANCIAL IMPACT: X Not Applicable ❑ Operating Expense ❑ Revenue ❑ CIP FISCAL YEAR: Project to Date Exp. (CIP Only) Current Year Future Years TOTALS Budget - - - - Encumbered/Expended amount of (date) - - - - This item - - - - BALANCE - - - - FUND(S): CIP Funds COMMENTS: n/a RECOMMENDATION: Staff recommends approval of the motion as presented. LIST OF SUPPORTING DOCUMENTS: Financial Advisor Contract Form 1295 TELEPHONE AREA CODE 210 930 4.000 INVESTMENT BANKERS 950 gaat amide Roca, Juond �?2oox Ja�t �ua, Jeaae. 7820.9-M.91 December 2, 2016 City of Corpus Christi, Texas 1201 Leopard Corpus Christi, TX 78401 TELECOPIER AREA CODE 210 930 400' Re: Up to $51,300,000 City of Corpus Christi, Texas Utility System Junior Lien Revenue Refunding Bonds, Series 2017 tt1'tt•r•****1' rttt•r.***************.**********t**ttt*t**t**t*t*t***ti'*t* t K***tt* r•r-r.:r. In regard to serving as the City's financial advisor and consultant, we submit the following proposal or agreement for your approval and acceptance. 1. Term. This Agreement shall be terminated by the delivery to the Purchaser of all the securities described above, whether delivered all at one time or in installments. It may be extended for an additional period by mutual agreement in writing. This agreement may be terminated at any time by either of us by giving thirty (30) days written notice to the other party. 2. Duties. The duties and responsibilities to be performed under this agreement include consulting and advising the City in the development and implementation of a financing plan for the issuance and sale of up to $51,300,000* City of Corpus Christi, Texas Utility System Junior Lien Revenue Refunding Bonds, Series 2017. 3. Compensation. The fee will be based on the amount of proceeds of the issue, and computed on the attached schedule, Exhibit A. The fee will be due and payable from the proceeds of the Bonds. We would expect to be reimbursed for actual out-of-pocket expenses for telephone, photocopies, facsimile transmissions, printing, computer, if any, and travel incurred in connection with ratings, municipal bond insurance or Closing of such financing(s). 4. Special Conditions. In addition to the terms and obligations herein contained, this proposal and agreement is subject to the following special conditions: a) M. E. Allison & Co., Inc. will incur and pay on behalf of the City the approved expenses in relation to the issuance of the Bonds and will submit said expenses for reimbursement at Closing. Approved expenses will include, but not be limited to, printing, shipping and posting of Official Statement, printing of Bonds, and travel expenses in relation thereto, Bond sale advertisements, municipal bond insurance premiums, Attorney General's fees, etc. (b) The City will pay Bond Attorney, Rating Agency fees and Paying Agent/Registrar directly or will direct M. E. Allison & Co., Inc. to pay these fees on behalf of the City from the cost of issuance proceeds subsequent to the closing of the bond transaction. Preliminary, subject to change. Continued ... December 2, 2016 City of Corpus Christi, Texas Attn: Constance Sanchez Director of Finance Page 2 (c) The City will at all times remain responsible for all fees incurred on behalf of the City in relation to the proposed bond issue. In the event the contemplated issue is not completed, the City will not owe the financial advisory fee to M. E. Allison & Co., Inc., but the City will remain responsible for all expenses incurred by the Firm on behalf of the City as well as all direct expenses of the City including Bond Attorney and Rating Agency fees. 5. This proposal is submitted in duplicate originals. When accepted by the City, it will constitute the entire agreement between the City and the undersigned for the purpose and considerations herein specified. Your acceptance will be indicated by proper signatures of your authorized officers or representatives on both copies and the returning of one executed copy to us. Respectfully submitted, M. E. ALLISON & CO., INC. By Au orized Representative ACCEPTED on behalf of the City of Corpus Christi, Texas the day of , 2016. Authorized Official ATTEST: City Secretary *Preliminary, subject to change December 2, 2016 City of Corpus Christi, Texas Attn: Constance Sanchez Director of Finance Page 3 EXHIBIT A FINANCIAL ADVISORY FEE SCHEDULE GENERAL OBLIGATION BONDS More than And Not More than $ $ 250,000 250,000 350,000 350,000 500,000 500,000 700,000 700,000 1,000,000 1,000,000 1,500,000 1,500,000 5,000,000 5,000,000 10,000,000 10,000,000 20,000,000 20,000,000 No Limit $7,500 plus $20.00 per $1,000 for all ov $9,500 plus $10.00 per $1,000 for all ov $10,500 plus $8.00 per $1,000 for all ov $11,700 plus $7.00 per $1,000 for all ov $13,100 plus $6.00 per $1,000 for all ov $14,900 plus $5.00 per $1,000 for all ov $17,400 plus $3.00 per $1,000 for all ov $27,900 plus $1.65 per $1,000 for all ov $36,150 plus $1.00 per $1,000 for all ov $46,150 plus $0.85 per $1,000 for all ov er $150,000 er $250,000 er $350,000 er $500,000 er $700,000 er $1,000,000 er $1,500,000 er $5,000,000 er $10,000,000 er $20,000,000 REVENUE BONDS, COMBINATION TAX AND REVENUE CERTIFICATES OF OBLIGATION, REFUNDING BONDS, OBLIGATIONS USING A REVENUE SOURCE AS REPAYMENT, DIRECT SUBSIDY OBLIGATIONS OR LEASE PURCHASE In the event the Bonds to be issued are Revenue Bonds or Combination Tax and Revenue Certificates of Obligation, Refunding Bonds, Obligations using a revenue source as repayment, Direct Subsidy Obligations or Lease Purchase, the fee shall be the amount computed from the above schedule, plus 25%. CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-142187 Date Filed: 12/02/2016 Date Acknowledged: 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. M. E. Allison & Co., Inc. San Antonio, TX United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi, TX 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. 2017 URRfdg - FA Financial Advisory Services 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary Seal, Michael San Antonio, TX United States X Seal, Mark San Antonio, TX United States X Allison, Christopher San Antonio, TX United States X Allison Jr., Al San Antonio, TX United States X 5 Check only if there is NO Interested Party. ❑ 6 AFFIDAVIT . , I swear, or affirm, under penalty of perjury, that the above disclosure is true and correct. I // /00' 44011P I — o Y_n ti CHRISTOPHER AWSON :• , ' MY COMMISSION WIRES *: i• . MARCH 11, 2020 %-;. NOTARY ID: 13057925-7 AFFIX NOTARY STAMP / SEAL ABOVE Sworn to and subscribed before me, by the said 20 Ile , to certify which, witness my hand Sig ure of authorized agent . contracting business entity f w.'k SCw 1 , this the .4na day of QCW 114,✓ and seal of office. tit►e sioeL,. Alt:J,►.0 prys:ILL,4. Signature of o icer administering oath Printed name of officer administering oath Title of officer administering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: November 28, 2016 TO: Margie C. Rose, City Manager FROM: Constance P. Sanchez, Director of Financial Services ConstanceP@cctexas.com (361) 826-3227 Application for Financial Assistance from the Texas Water Development Board CAPTION: Resolution requesting financial assistance from the Texas Water Development Board for the refunding of City obligations previously issued to pay certain costs of designing and constructing improvements to the City's Utility System; authorizing City staff and consultants to coordinate the submission of the application to the Texas Water Development Board for funding from its Drinking Water State Revolving Fund; and other matters in connection therewith. PURPOSE: The City of Corpus Christi is interested in refunding $49,585,000 of City of Corpus Christi, Texas Utility System Variable Rate Junior Lien Revenue Improvement Bonds, Series 2015B (the "Refunded Bonds") originally issued to pay a portion of the costs of construction of Mary Rhodes Pipeline, Phase II with City -issued refunding bonds to be purchased by the Texas Water Development Board through its Drinking Water State Revolving Fund. The Drinking Water State Revolving fund is a financial assistance program administered by the Texas Water Development Board and accessed by local governments across the State of Texas. Texas Water Development Board financings provide subsidized interest rates that are lower than those obtainable by the City directly in the capital markets. Receipt of these subsidized interest rates will provide the City with significantly lower borrowing costs for the remaining life of its refunding bonds (new bonds) when compared to the remaining life of the Refunded Bonds (old bonds). The City is now seeking authorization to submit an application to the Texas Water Development Board for financial assistance (in the form of the Texas Water Development Board's commitment to purchase the City's refunding bonds at subsidized rates of interest) in an amount not to exceed $51,300,000. This amount includes the Texas Water Development Board's bond origination fees and other costs of issuance, as well as the amount necessary to repay the Refunded Bonds. BACKGROUND AND FINDINGS: On June 17, 2014, the City Council authorized the issuance of up to $155,000,000 of City of Corpus Christi, Texas, Utility System Junior Lien Revenue Bonds for the construction of Mary Rhodes Pipeline, Phase II. Authorization was given to issue both fixed rate bonds and variable rate bonds in an effort to provide the City with the most flexibility at that time, legally available. The City was considering leasing some of the water flowing through the pipeline to industrial customers - an occurrence which would require that bonds sold to fund a proportionate amount of the pipeline's cost would no longer be eligible for tax-exempt treatment (for gross income calculation under federal tax law) and would have to be converted to taxable debt. To accommodate this possibility, the City issued the Refunded Bonds (which reflected the rough proportionality of approximately 1/3 of the pipeline's cost — which equated to the maximum amount of pipeline capacity that the City believed could have been sold to industrial customers) as variable rate obligations in an initial term -rate, interest -mode that expires on July 15, 2017 (but which the City can early terminate on or after January 15, 2017). Since the City no longer plans to lease water to industrial customers, the Refunded Bonds must be refunded or remarketed into a new interest rate period not later than July 15, 2017. Since the City preserved the ability at the time the Refunded Bonds were originally issued to seek financial assistance of the type now contemplated, the City now wishes to pursue this opportunity to refund the Refunded Bonds with long- term, fixed and subsidized interest rate bonds through a sale of refunding bonds to the Texas Water Development Board. The interest rate charged by the Texas Water Development Board is 1.25% below the municipal market index called MMD (Municipal Market Data). This rate is lower than what the City could obtain using its own ratings by accessing the capital markets in a traditional bond sale. Utilization of the Texas Water Development Board funding option is being recommended especially since we are in an environment where interest rates are expected to rise, and the City is obligated to remarket or refund the Refunded Bonds not later than the deadline identified above regardless of whether this opportunity is pursued or not. This agenda item is requesting approval to submit an application with the Texas Water Development Board seeking financial assistance in the form of its purchase of the City's refunding bonds. ALTERNATIVES: n/a OTHER CONSIDERATIONS: n/a CONFORMITY TO CITY POLICY: This item conforms to City policy. EMERGENCY / NON -EMERGENCY: n/a DEPARTMENTAL CLEARANCES: • Bond Counsel • City Attorney's Office • Financial Services • Utilities Department FINANCIAL IMPACT: X Not Applicable ❑ Operating Expense ❑ Revenue ❑ CIP FISCAL YEAR: Project to Date Exp. (CIP Only) Current Year Future Years TOTALS Budget - - - - Encumbered/Expended amount of (date) - - - - This item - $ - - $ - BALANCE - $ - - $ - FUND(S): COMMENTS: n/a RECOMMENDATION: Staff recommends approval of the resolution as presented. LIST OF SUPPORTING DOCUMENTS: Resolution RESOLUTION NO. RESOLUTION REQUESTING FINANCIAL ASSISTANCE FROM THE TEXAS WATER DEVELOPMENT BOARD FOR THE REFUNDING OF CITY OBLIGATIONS PREVIOUSLY ISSUED TO PAY CERTAIN COSTS OF DESIGNING AND CONSTRUCTING IMPROVEMENTS TO THE CITY'S UTILITY SYSTEM; AUTHORIZING CITY STAFF AND CONSULTANTS TO COORDINATE THE SUBMISSION OF THE APPLICATION TO THE TEXAS WATER DEVELOPMENT BOARD FOR FUNDING FROM ITS DRINKING WATER STATE REVOLVING FUND; AND OTHER MATTERS IN CONNECTION THEREWITH. WHEREAS, the City of Corpus Christi, Texas (the City) deems it necessary to apply to the Texas Water Development Board (the Board) for financial assistance; and WHEREAS, in accordance with the rules and regulations of the Board, which govern the procedures in making such an application, the governing body of the City is required to pass a resolution to accompany such application; now, therefore, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI THAT: 1. The City hereby requests that the Board, from its Drinking Water State Revolving Fund, grant financial assistance to the City in the amount not to exceed $51,300,000 by the purchase of obligations of the City (the Refunding Bonds), and the receipt of the largest amount of grant funds lawfully available from the Board, for refunding certain of the City's outstanding debt obligations, being those obligations identified as "CITY OF CORPUS CHRISTI, TEXAS UTILITY SYSTEM VARIABLE RATE JUNIOR LIEN REVENUE IMPROVEMENT BONDS, SERIES 2015B", the proceeds of such obligations having been expended for the purposes of constructing improvements to the City's combined utility system, as designed by the City's consulting engineer. The Refunding Bonds will be issued by the City in one or more series. 2. The City Manager or Director of Financial Services of the City is hereby authorized to execute and submit to the Board the application for such financial assistance, and the City Manager or Director of Financial Services of the City, together with bond counsel, financial advisors and consulting engineers named in such application, are authorized to appear before the Board in support of such application and to make the required assurances and representations to the Board in accordance with the rules, regulations, and policies of the Board. 3. A certified copy of this Resolution shall be attached to the application for financial assistance herein authorized to be prepared and submitted to the Board, and the City Secretary of the City is authorized and directed to prepare and certify such number of copies of this Resolution as may be required for purposes of supporting the submission of such application to the Board. 27682701.2 4. The recitals contained in the preamble hereof are hereby found to be true, and such recitals are hereby made a part of this Resolution for all purposes and are adopted as a part of the judgment and findings of the City. 5. All resolutions, or parts thereof, which are in conflict or inconsistent with any provision of this Resolution are hereby repealed to the extent of such conflict, and the provisions of this Resolution shall be and remain controlling as to the matters resolved herein. 6. This Resolution shall be construed and enforced in accordance with the laws of the State of Texas and the United States of America. 7. If any provision of this Resolution or the application thereof to any person or circumstance shall be held to be invalid, the remainder of this Resolution and the application of such provision to other persons and circumstances shall nevertheless be valid, and the City hereby declares that this Resolution would have been enacted without such invalid provision. 8. It is officially found, determined, and declared that the meeting at which this Resolution is adopted was open to the public and public notice of the time, place, and subject matter of the public business to be considered at such meeting, including this Resolution, was given, all as required by Chapter 551, as amended, Texas Government Code. 9. This Resolution shall be in force and effect from and after its final passage, and it is so resolved. 27682701.2 -2- PASSED, ADOPTED AND APPROVED on the 20th day of December, 2016. CITY OF CORPUS CHRISTI, TEXAS Mayor Attest: City Secretary (SEAL) APPROVED THIS 20TH DAY OF DECEMBER, 2016: City Attorney 27682701.2 -3- THE STATE OF TEXAS COUNTY OF NUECES CITY OF CORPUS CHRISTI § § § § § I, the undersigned, City Secretary of the City of Corpus Christi, Texas, do hereby certify that the above and foregoing is a true, full and correct copy of a resolution passed by the City Council of the City of Corpus Christi, Texas (and of the minutes pertaining thereto) on the 20th day of December, 2016, authorizing the City to request financial assistance from the Texas Water Development Board, which resolution is duly of record in the minutes of said City Council, and said meeting was open to the public, and public notice of the time, place and purpose of said meeting was given, all as required by Texas Government Code, Chapter 551. EXECUTED UNDER MY HAND AND SEAL OF SAID CITY, THIS THE 20TH DAY OF DECEMBER, 2016. 27682701.2 -4- City Secretary That the foregoing resolution was read for the first time and passed on this the 20th day of December, 2016, by the following vote: Dan McQueen Rudy Garza Carolyn Vaughn Paulette Guajardo Ben Molina Michael Hunter Lucy Rubio Joe McComb Greg Smith PASSED AND APPROVED, this the day of ATTEST: Rebecca Huerta Dan McQueen City Secretary Mayor 27682701.2 AGENDA MEMORANDUM Public Hearing/First Reading Ordinance for the City Council Meeting of December 13, 2016 Second Reading Ordinance for the City Council Meeting of December 20, 2016 DATE: November 28, 2016 TO: Margie C. Rose, City Manager THROUGH: E. Jay Ellington, Interim Assistant City Manager JayEll@cctexas.com 361-826-3042 FROM: Rudy Bentancourt, Director of Housing and Community Development RudyB@cctexas.com 361-826-3021 Substantial Amendment to the FY2015-2016 Consolidated Annual Action Plan CAPTION: Ordinance amending the fiscal year (FY) 2015-2016 Consolidated Annual Action Plan (CAAP), previously adopted by Ordinance No. 030544, for the Community Development Block Grant (CDBG), the Emergency Solutions Grant (ESG), and the HOME Investment Partnerships (HOME) Programs; to authorize the City Manager or designee to execute and submit all necessary documents with the U.S. Department of Housing and Urban Development (HUD) for the following Substantial Amendment to the FY2015-2016 CAAP: 1. Cancellation of a FY 15 Community Development Block Grant (CDBG) project; 2. Addition of a CDBG project; and 3. Addition of an Emergency Solutions Grant (ESG) project; and further to authorize the City Manager or designee to execute funding agreements and all other documents necessary to implement the Substantial Amendment to the FY2015-2016 CAAP with organizations for approved projects. PURPOSE: In accordance with HUD and the City of Corpus Christi's (City) 5 -year Consolidated Annual Action Plan (CAAP), "Substantial Amendments" are required to amend each CAAP which will trigger a comment period once motion is approved (24 CFR 91.105). A "Substantial Change" is defined by the City to be: a proposed new activity which cannot reasonably be construed to have been included within the programmatic intent of the adopted application or in the commitment of funds to a specific project, or an activity which was identified in the adopted application or in the commitment of funds to a specific project, or an activity that is proposed to be altered in terms of its purpose, scope, location, or beneficiaries to such an extent that it can no longer reasonably be construed as the activity reviewed by the public and approved by the City Council. BACKGROUND AND FINDINGS: In FY2015-2016 and during the adoption of the FY2015-2016 CAAP, the City of Corpus Christi's Housing and Community Development (HCD) Department set aside $200,000 for a "to be determined" project under the scope of Land Acquisition and/or Homeless Facility Rehabilitation. During this time, HCD was in communication with The Salvation Army (TSA) to award the CDBG funding to its Center of Hope which will soon be under construction. At the finalizing of the funding agreement, The Salvation Army head quarters in Atlanta decided not to pursue the CDBG funding and to end negotiations. In order to commit the CDBG funding to a project which falls in line with the goals and objectives of the City's 5 -year Consolidated Action Plan, HCD is hereby requesting the funding to be "redirected" to the Ben Garza Park Ball Field Improvement Project (Project). The Project will include the enhancement of Ben Garza Park located at 1815 Howard. The park is 10.85 acres and provides recreational space for the immediate neighborhood which includes single family homes, apartments, homeless shelters and assisted housing units. This project will include the improvement to two existing youth baseball/softball fields including light and irrigation. This park is listed as a major investment park in the 2012 Parks and Recreation Master Plan. During the same FY2015-2016 CAAP, an uncommitted balance of $50,000 was left remaining in the Emergency Solutions Grant (ESG) Program allocation from HUD. HCD is hereby requesting this amount of $50,000 be awarded to The Salvation Army which will be used under the activity of Rapid Re -housing for homeless veterans. The funds will allow TSA to identify homeless veterans and rapidly re -house them into permanent housing and provide case management for a period of three (3) months up to two (2) years. ALTERNATIVES: "Not Applicable" OTHER CONSIDERATIONS: "Not Applicable" CONFORMITY TO CITY POLICY: Council approval to amend each project is required for the change in the CAAP to take effect. EMERGENCY / NON -EMERGENCY: Non -emergency DEPARTMENTAL CLEARANCES: Legal Finance FINANCIAL IMPACT: Not applicable Fiscal Year: 2015- 2016 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE Fund(s): Comments: N/A RECOMMENDATION: Staff recommends the approval of this agenda item. LIST OF SUPPORTING DOCUMENTS: Ordinance CDBG Proposed Amendment Attachment ESG Proposed Amendment Attachment Ordinance amending the fiscal year (FY) 2015-2016 Consolidated Annual Action Plan (CAAP), previously adopted by Ordinance No. 030544, for the Community Development Block Grant (CDBG), the Emergency Solutions Grant (ESG), and the HOME Investment Partnerships (HOME) Programs; to authorize the City Manager or designee to execute and submit all necessary documents with the U.S. Department of Housing and Urban Development (HUD) for the following Substantial Amendment to the FY2015-2016 CAAP: 1. Cancellation of a FY 15 Community Development Block Grant (CDBG) project; 2. Addition of a CDBG project; and 3. Addition of an Emergency Solutions Grant (ESG) project; and further to authorize the City Manager or designee to execute funding agreements and all other documents necessary to implement the Substantial Amendment to the FY2015-2016 CAAP with organizations for approved projects. Whereas, with proper notice to the public and in accordance with HUD regulations, three public hearings were held, the first and second on February 4th and 12th, 2015, and the third during a meeting of the City Council, in the Council Chambers on Tuesday, June 23, 2015. All hearings were held at City Hall, in the City of Corpus Christi, during which all interested persons were allowed to appear and be heard; and Whereas, the City Council determined on July 14, 2015, that Ordinance No. 030544 would best serve public health, necessity, convenience and the general welfare of the City of Corpus Christi and its citizens. Whereas, in accordance with HUD and the City of Corpus Christi's (City) 5 -year CAAP, "Substantial Amendments" are required to amend each CAAP which will trigger a comment period, such public hearing to be held during a meeting of the City Council, in the Council Chambers on Tuesday, December 13, 2016. Whereas, the City Council has determined that amending Ordinance No. 030544 would best serve public health, necessity, convenience and the general welfare of the City of Corpus Christi and its citizens. Now therefore, be it ordained by the City Council of the City of Corpus Christi, Texas: Section 1. That the FY2015-2016 CAAP, which includes the CDBG, the ESG, and the HOME Programs, is amended as follows: 1) Cancellation of a FY15 CDBG project — Land Acquisition and or Homeless Facility Rehabilitation; 2) Addition of a CDBG project — Ben Garza Park Ball Field Improvements; and 3) Addition of an ESG project - The Salvation Army Rapid Re -housing for Homeless Veterans. Section 2. That the City Manager or the City Manager's designee is authorized: @BCL@8805727C • to submit the Substantial Amendment to the FY2015-2016 CAAP to HUD, and • to amend Substantial Amendment to the FY2015-2016 CAAP if required by HUD. Section 3. That the City Manager or the City Manager's designee is authorized: • to execute funding agreements and all other documents necessary to implement the Substantial Amendment to the FY2015-2016 CAAP with organizations for approved projects. @BCL@8805727C That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb That the foregoing ordinance was read for the second time and passed finally on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb PASSED AND APPROVED, this the day of , 2016. ATTEST: Rebecca Huerta City Secretary @BCL@8805727C Dan McQueen Mayor ADOPTED FY2015 CDBG PROGRAM FY2015 CDBG Allocation Reprogrammed Funds Program Income from Demolition Liens and Property Clearance Program Income from Rehabilitation Program (Revolving Loan Fund estim TOTAL FUNDS AVAILABLE FOR FY2015 CDBG PROGRAM $2,460,214 $496,930 $40,000 $1,085,000 $4,082,144 # PROJECT & DESCRIPTION City Council Adopt 1 HCD - CDBG Program Administration (Community Dev. Division) This project will fund 6.25 FTE staff salaries and administrative costs: 1 Administrator, 1.75 -Sr. Management Assistants (1 at 100% and 1 at .75%), 3 -Contract Administrators (1 at 100% and 2 at 50%), and .50 Management Aide. Staff is responsible for administering the Community Development Block Grant (CDBG), the HOME Investment Partnership (HOME), and Emergency Solutions Grant (ESG) Programs. Staff interprets CDBG, HOME, and ESG federal regulations, conducts public hearings/meetings, reviews proposed projects and activities to determine funding and eligibility, monitors subrecipients for program compliance, provides technical assistance, conducts environmental assessments of funding projects/activities, and enforces Davis Bacon Federal wage rate requirements. The amount indicates 18% of allowed 20% of administrative costs. $460,000 2 HCD - Rehabilitation Services (Housing Division) This is the operating budget for 15 FTE staff that service the various housing programs administered by HCD: 1 -Director (at 60%), 1 -Program Manager, 1- Operations Supervisor, 1 -Administration Supervisor, 3 - Property Advisors, 4 -Loan Officers, 1 -Mortgage Servicing Aide, 1- Managment Assistant (at 40%), 1-Managment Aide, and 2 Sr. Staff Assistants. The staff manage and administer the Single Family Rehabilitation Loan Program, Minor Home Repair Grant Program, $10,000 Homebuyer Assistance Program, the Type A Homebuyer Program, and Mortgage Servicing which manages the servicing of 800 loans provided through the Single Family Rehabilitation Loan Program. Services include collection of loan payments, escrowing of insurance and property taxes, payment of insurance and property taxes, preparing end of year escrow analysis, and providing release of liens on loans that are paid off. Services provided include applicant in -take, loan processing, loan settlement, Homebuyer Education, construction monitoring, project estimating, and development of specifications and drawings. $840,112 3 HCD - Minor Home Repair Grant Program Minor repair grants up to $10,500 for repairs which include lead based paint testing as required by HUD regulations on houses built prior to 1978 . Repairs consist of roof repairs, plumbing electrical, heating, and minor structural repairs. Lead based activities may include actual work or testing required to meet the lead based paint requirements. Assistance through this program is provided to very low income homeowners who are 65 years old or older or disabled. Program Income - $60,000 Entitlement - $165,000 $225,000 4 HCD - Single Family Rehabilitation The Single Family Rehabilitation Loan Program benefits only low- and very low-income homeowners. The Program provides zero percent and three percent interest loans to homeowners interested in rehabilitating their homes. Funds requested will be used to provide rehabilitation and reconstruction loans; demolition grants; relocation grants and lead base paint grants for remedial activities. Rehabilitation Loan Program. Program Income - $825,000 $825,000 1 Proposed Amendment # PROJECT & DESCRIPTION City Council Adopt Proposed Amendment 5 HCD - Appliance Replacement Grant Program The Appliance Replacement Grant Program is designed to provide energy efficient appliances for low- and very low-income homeowners. Eligible applicants will be homeowners already income and program approved and receiving assistance from either the Minor Home Repair Grant Program or the Single Family Rehabilitation Program. The grant will provide up to $6,000 per home which will cover the installation of energy efficient top load washer/dryer, refrigerator, and oven, as well as the removal of the existing non-working or energy efficient appliances. Program Income - $200,000 $200,000 6 Parks and Recreation - Play for All Playground at Salinas Park The Play for All Playground Project will bring Corpus Christi its first accessible full scale play structure featuring slides, swings, play decks, and interactive elements for youth of all ages and abilities. The fall zone will be a uniformed surface allowing access throughout the entire play zone. The site for the playground is located adjacent to the Miracle Field, a fully accessible ball field in Salinas Park. This placement will allow for the use of existing ADA accessible parking spots and sidewalks. This project will fall in line with the Parks and Recreation Master Plan of "Creating ADA accessible playgrounds and equipment" and "improvements at Community and Regional Parks". The proposed park will be a place where families who have children with differing abilities: physical, cognitive, sensory, social and communicative, can play together. $300,000 7 Police - Code Enforcement Program The Code Enforcement request is to fund staffing for salaries to support 6 full time employees (FTE's): 5-Code Enforcement Property Advisors (100%) and 1- Senior Account Clerk/Administrative Support (100%) which includes a total of $307,032. Funding will be for salaries and approximately $10,000 for training through classes, seminars and/or conferences for education opportunities, and for certifications required for code enforcement. The CE Property Advisors are responsible for the inspection of properties within CDBG eligible areas for violations of approximately seventy-five (75) health, safety, and welfare related City Codes. All CDBG eligible census tracts in the city meet, per Resolution, HUD's criteria for a deteriorating area and meet the national objective of serving the low income citizens. The Senior Account Clerk provides administrative support to the Code Enforcement Property Advisors by processing compliance requests through the mail and researching property owner's name and address. $307,032 8 Police - Demolition Program This program consists of the demolition of substandard structures determined to be health and safety issues and 51% or more deterioration of the general structure. The demolition of these structures is an abatement measure as deemed necessary by the Building Code and Public Safety Officials. The removal of unsafe structures is a priority for neighborhood revitalization within the community and as a goal established by City Council for livable neighborhoods. Each structure will be assessed and surveyed as building case, providing the property owner an opportunity to resolve the substandard conditions within the parameters of the City's Building Codes. The substandard structures will be demolished under the authority of a judge's ruling via Environmental Municipal Court and the Demolition Grant Program that allows the property owner to voluntarily agree to have their structure demolished. Program Income: $25,000; Entitlement: $175,000 $200,000 2 # PROJECT & DESCRIPTION City Council Adopt Proposed Amendment 9 Police - Clearance of Vacant Properties Program This project consists of clearance of vacant properties in regards to the removal of accumulation of litter and solid waste and the mowing of high weeds and dangerous weeds; to include, abatement of unsightly and unsanitary matter in all CDBG eligible areas. The City may charge an abatement cost and place a lien against the properties to cover the cost incurred. Program Income: $15,000; Entitlement: $185,000 $200,000 3 # PROJECT & DESCRIPTION City Council Adopt Proposed Amendment CDBG NON-PROFIT ORGANIZATIONS 1 Amistad Community Health Center Funds requested will replace elevator and rehabilitate/renovate the second floor bathrooms to meet ADA requirements. The second floor will continue to expand and maintain direct services targeting the population of 200% below federal poverty guidelines. Second floor facility services include: behavioral health, marketplace enrollment, case management and health care education. Capital Contribution: $100,000 $200,000 2 The Salvation Army - Public Services The Salvation Army's Shelter and Food Program serves individuals and families with incomes of less than $15,000 per year who are homeless or at risk of homelessness. The request is for program costs of providing meals to the homeless and very low income individuals and families in the Salvation Army Shelter. Capital Contribution: $2,589,000 $25,000 3 Land Acquisition and/or Homeless Facility Rehabilitation Funding proposed will provide land acquisition and/or facility rehabilitation for the homeless individuals and families in Corpus Christi. The funding will provide a facility located inside the Corpus Christi city limits and will provide an array of services for homeless individuals and families. $200,000 $ - 4 Coastal Bend Center for Independent Living Project will provide wheelchair ramps and accessible home modifications to low income people with disabilities. Funds will supply a minimum of sixteen (16) homes with minor modifications to include wheel chair ramps and a minimum of four (4) homes with modifications to include, but not limited to: walk-in showers, grab bars, accessible toilets, door widening, accessible cabinets, sinks and toilets and chair lifts and other related accessible modifications in order to gain independence. $100,000 add Ben Garza Park Ball Field Improvements The project will include the enhancement of Ben Garza Park located at 1815 Howard, Corpus Christi, Texas. The park is 10.85 acresand provices recreational space for the immediate neighborhood. The Ben Garza Park is listed as a major investment park in the 2012 Parks and Recreation Master Plan. The project will include the improvement of two existing youth baseball/softball fields including lighting and irrigation. The department will partner with the Police Athletic League to schedule games and practices at the ballfields. $0 $ 200,000.00 Total Non -Profit $525,000 Total City Projects $3,557,144 Overall Total $4,082,144 4 ADOPTED FY2015 EMERGENCY SOLUTIONS GRANT (ESG) PROGRAM FY2015 ESG Allocation $228,138 # PROJECT & DESCRIPTION City Council Adopt 1 City of Corpus Christi - ESG Administrative Cost Administrative Cost is being requested to fund a staff person at .50 FTE for the overall administration of the Emergency Solutions Grant Program. These functions include the financial oversight, compliance, and technical assistance components of the program. $16,138 2 Catholic Charities of Corpus Christi Funding requested for the ESG Activity Component of Homeless Prevention -Case Management and short- and medium-term rental assistance. $30,000 3 Corpus Christi Hope House Funding requested for the ESG Activity Components of Emergency Shelter -Essential Services and Shelter Operations; Homeless Prevention -Case Management and short and medium term rental assistance; and Rapid Re -housing Case Management and short and medium term assistance. $22,000 4 South Texas Substance Abuse Recovery Services, Inc. (STSARS) Funding requested for the ESG Activity Component of Homeless Prevention -Case Management and short- and medium- term rental assistance. $30,000 5 Wesley Community Center Funding requested for the ESG Activity Component of Emergency Shelter -Essential Services and Shelter Operations. $10,000 6 Corpus Christi Metro Ministries Funding requested for the ESG Activity Components of Emergency Shelter -Essential Services and Shelter Operations; Homeless Prevention -Case Management and short- and medium term rental assistance; and Rapid Re -housing -Case Management and short - and medium term assistance. $30,000 7 The Salvation Army Funding requested for the ESG Activity Components of Emergency Shelter -Essential Services and Shelter Operations; Homeless Prevention -Case Management and short- and medium term rental assistance; and Rapid Re -housing -Case Management and short - and medium term assistance. $30,000 8 Mary McLeod Bethune Day Nursery, Inc. Funding requested for the ESG Activity Component of Emergency Shelter -Essential Services and Shelter Operations. $10,000 add The Salvation Army Funding requested for the ESG Activity Components of Case Management and Rapid Re -housing for Homeless Veterans $0 Overall Total** $178,138 1 AGENDA MEMORANDUM Public Hearing and First Reading for the City Council Meeting of December 13, 2016 Second Reading for the City Council Meeting of December 20, 2016 DATE: November 21, 2016 TO: Margie C. Rose, City Manager FROM: Julio Dimas, Interim Director, Development Services Department JulioD@cctexas.com (361) 826-3276 Rezoning for property located on 2310, 2314, 2316, 2318 Dempsey Street. CAPTION: Case No. 1116-01 Scott Electric Co.: A change of zoning from the "RS -6" Single -Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to the "IL" Light Industrial District. The property to be rezoned is described as four lots composed of Shoreline Park, Block 8, consisting of Southeast 40' of Lot 9; Northwest 10' of Lot 9, all of Lot 10, and Southeast 20' of Lot 11; West 30' of Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; located on Dempsey Street between Lexington Avenue and North Port Avenue. PURPOSE: The purpose of this item is to allow construction of a storage building. RECOMMENDATION: Planning Commission and Staff Recommendation (November 2, 2016): Denial of the change of zoning from the "RS -6" Single -Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to the "IL" Light Industrial District, and in lieu thereof, staff recommends extending the "RS-6/SP" Single - Family 6 District with a Special Permit to all four lots subject to special conditions. Vote Results For: 5 Against: 0 Absent: 2 BACKGROUND AND FINDINGS: As detailed in the attached report, the applicant is requesting a rezoning from the "RS -6" Single -Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to the "IL" Light Industrial District to allow the construction of a 4,000 square foot storage building to store electrical and air conditioning parts and material. The proposed rezoning is not consistent with Plan CC Future Land Use map's designation of the property as medium density single family residential. However, the proposed storage building is completely within the lots owned by Scott Electric Co. which currently function as a commercial business and will not alter the aesthetics of the current buffer and standard screening fence. ALTERNATIVES: 1. Deny the request. 2. Approve the "RS-6/SP" District as recommended. 3. Approve the "IL" district (requires 3/4 vote) OTHER CONSIDERATIONS: Not Applicable CONFORMITY TO CITY POLICY: The subject property is located within the boundary of the Central Business Area Development Plan. The proposed rezoning to the "IL" Light Industrial District is inconsistent with Plan CC and the Future Land Use Map which designate the area as Medium Density Single Family Residential. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Legal and Planning Commission FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital • •Not applicable Fiscal Year: 2016- 2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE Fund(s): Comments: None LIST OF SUPPORTING DOCUMENTS: Ordinances- "RS-6/SP"; "IL" Presentation - Aerial Map Planning Commission Final Report Ordinance amending the Unified Development Code ("UDC"), upon application by Scott Electric Co. ("Owner"), by changing the UDC Zoning Map in reference to a 0.5847 acre tract of land composed of four lots in Shoreline Park, Block 8, Southeast 40' of Lot 9; Northwest 10' of Lot 9, all of Lot 10, and Southeast 20' of Lot 11; West 30' of Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; from the "RS -6" Single - Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to the "RS-6/SP" Single -Family 6 District with a Special Permit for all four lots; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. WHEREAS, the Planning Commission has forwarded to the City Council its final report and recommendation regarding the application of Scott Electric Co. ("Owner"), for an amendment to the City of Corpus Christi's Unified Development Code ("UDC") and corresponding UDC Zoning Map; WHEREAS, with proper notice to the public, public hearings were held on Wednesday, November 2, 2016, during a meeting of the Planning Commission when the Planning Commission recommended denial of the requested "IL" Light Industrial District and, in lieu thereof, approval of the change of zoning from the"RS-6" Single - Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to the"RS- 6/SP" Single -Family 6 District with a Special Permit for all four lots, and on Tuesday, December 13, 2016, during a meeting of the City Council, during which all interested persons were allowed to appear and be heard; and WHEREAS, the City Council has determined that this amendment would best serve the public health, necessity, convenience and general welfare of the City of Corpus Christi and its citizens. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. Upon application by Scott Electric Co. ("Owner"), the Unified Development Code ("UDC") of the City of Corpus Christi, Texas ("City"), is amended by changing the zoning on a 0.5847 a tract of land composed of four lots composed of Shoreline Park, Block 8, consisting of the following four lots: Southeast 40' of Lot 9; Northwest 10' of Lot 9, all of Lot 10, and Southeast 20' of Lot 11; West 30' of Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; located on Dempsey Street between Lexington Avenue and North Port Avenue (the "Property"), from the from the"RS-6" Single -Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to "RS-6/SP" Single -Family 6 District with a Special Permit (Zoning Map No. 046045), as shown in Exhibits "A," and "B". Exhibit A, which is the plat of the Property, and Exhibit B, which is a site plan to accompany the plat, are attached to and incorporated in this ordinance by reference as if fully set out herein in their entireties. SECTION 2. The Special Permit granted in Section 1 of this ordinance is subject to the Owner following the conditions listed below: 1. Uses: The only uses authorized by this Special Permit other than uses permitted by right in the base zoning district is the outdoor storage of company and/or employee vehicles and a storage building for parts and material of air conditioners and electrical work. 2. Lighting: All security lighting must be shielded and directed away from adjacent residences and nearby streets. Cut-off shields are required for all lighting. No light projection is permitted beyond the property line near all public roadways and residential development. 3. Landscape Strip: A ten (10) foot wide visual landscape strip shall be installed and maintained running parallel to, in front of, and in the distance of the required six (6) foot standard screening fence. 4. Screening Fence: A six (6) foot standard screening fence shall be installed and maintained to provide a visual barrier between the vehicular storage yard/building and the surrounding neighborhood. 5. Hours of Operation: The hours of operation shall be the same as the business hours of operation from 7:00 AM to 5:30 PM Monday through Friday. 6. Time Limit: In accordance with the UDC, this Special Permit shall be deemed to have expired within twelve (12) months of this ordinance, unless a complete building permit application has been submitted, and the Special Permit shall expire if the allowed use is discontinued for more than six consecutive months. SECTION 3. The official UDC Zoning Map of the City is amended to reflect changes made to the UDC by Section 1 of this ordinance. SECTION 4. The UDC and corresponding UDC Zoning Map of the City, made effective July 1, 2011, and as amended from time to time, except as changed by this ordinance, both remain in full force and effect. SECTION 5. To the extent this amendment to the UDC represents a deviation from the City's Comprehensive Plan, the Comprehensive Plan is amended to conform to the UDC, as it is amended by this ordinance. SECTION 6. All ordinances or parts of ordinances specifically pertaining to the zoning of the Property and that are in conflict with this ordinance are hereby expressly repealed. SECTION 7. Publication shall be made in the City's official publication as required by the City's Charter. K:\DevelopmentSvcs\SHARED\ZONING CASES \2016\1116-01 Scott Electric\Council Documents\Ordinance -Special Permit_1116-01 Scott Electric Co.docx Page 2 of 3 That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb That the foregoing ordinance was read for the second time and passed finally on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb PASSED AND APPROVED on this the day of , 2016. ATTEST: Rebecca Huerta City Secretary Dan McQueen Mayor K:\DevelopmentSvcs\SHARED\ZONING CASES \2016\1116-01 Scott Electric\Council Documents\Ordinance -Special Permit_1116-01 Scott Electric Co.docx Page 3 of 3 SHORELINE PARE ADDITION BLOC u, LOT 9R STATE OF TEXAS COHN, OF NUECES THIS FINAL PLAT OF THE HEREIN DESCRIBED PROPER, D AS APPROVED ON BEHALF OF THE C. OF CORP. CHRIST, TEXAS BY E BEING A MINOR PLAT OF LOTS TO 12, BLOC» THIS THMIDii 0000F iiwi iii 11111 DEPARTMENT OF DEVELOPMENT SERVICES SHORELINE PARD ADDITION AS RECORDED IN VOLUME 4, PAGE 2431 RR CORPUS CHRISTI, NUECES COUNTY, TEXAS INTERIM DIRECTOR OF DEVELOPMENT SERVICES NOTES THE UNIFIED NT CODE AND suD=CT TO CHANGE AS THE ,DNING MAY CHANGE= FOUND =INCH IRON RODS AT ALL LOT CORNERS, PE PAL BLOC, CORN =RS, ETCALN LESS OTH ER, ISE SPECIFIED, = ACIJENOTES ACRES OF LAND SEZDENOTES SrUARE FEET OF LAND ELI=LENOTES BUILDING LINE U EADENOTES UTILITY EASEMENT DEZDENOTES DRAINAGE EASEMENT CL=LENOT ES CENTERLINE OF ROAD= AY D ZITIENOTES DRILL HOLE "SL DENOTES SET =LL IRON ROD THIS PROPERTY LIES = ITHIN FLOOD YLLIEC,COMMUNITY ,==-6,, PANEL 01 rrry OF CORPUS CHRISTI, DATED =, AN D ISNOT = ITHI N THEIR, YEAR FLOOD PLAN= = THE RECEIVING = ATER FOR THE STORM =ATER RUNOFF FROM THIS PROPERTY IS THECORPUS CHRISTI INNER HARBOR=THE Tee= HAS CLAGSIFIED THE ,UATIC LIFE USE FOR THECORPUS CHRISTI INNER HARBOR AS INTERMEDIATE" TOT, AA,ED AREA IS 2==ACREZNCLUDING STREET DEDICATION= = BASIS OF BEARINGS ARE T HE BEARINGS FROM SUNNYSIDE ADDITION ASRECORDED IN VOLUME 2, PAGE = STATE OF TEX. COUN, OF NUECES E S COM ELECTRIC COMPANY, HERE. CERT, THAT El- E ARE THE OD NERS OF LOT. BLOC E E AS EMBRACED E I TH I N E BOUNDS OF THE FOREGOING MAP,HAT I= E HAVE HAD SAID LAND SU RV,ED AS SHOE N =HAT STREETS AN D PARD AS SHOD N ARE DEDICATED TO THE PUB. FOREVERSTHAT ALL EASEMENTS ARE DEDICATED TO THE PUBLIC FOR THE INSTALLS -FON, OPERATION AND USE OF THE PU BLIC UT LIT ESE.AT THIS MAP AS MADE FOR THE PU RPOSES OF DESCRIPTION AND DEDICATION E THIS THE OF = 1'111111111111111 MIZE HOPE, 0= N ER STATE OF TEXAS COUNTY OF NUECES STATE OF TEXAS COUN, OF NUECES THIS FINAL PLAT OF THE HEREIN DESCRIBED PROPER, AS APPROVED ON BEHALF OF THE C. OF CORP. CHRIST, TEXAS BY E DEPARTMENT OF DEVELOPMENT SERVICES THIS THE OF DEVELOPMENT SERVICES ENGINEER STATE OF TEX. CO., OF NUECES I SARA SAN., CLERE OF THE COUN, COURT, IN AND FOR NUECES COUN, TEXAS, HEREBY CERT, SD AT THE FOREGOING INSTRUMENT ONTED THE =MAY OF ITH ITS CERTIFICATE OF AUTH ENT CATION E AS FILED FOR RE.120 IN MY OFFICE THIS D OF I 201 VOLUME Dsm, PAGE EE= a1 EMI szocLoc_ DEM AND DU, RECORDED D ITN E. MY HAND AND SEAL OF OFFICE IN CORP. CHRISTI, TEXAS, THIS THE =MAY OF 0101000. STATE OF TEXAS CO., OF NUECES fi59Nesouices _001 P7aFu st Refinery °hn eS) Buffalo St 35 j..P.e_101_ 3_I__£ 1 CI iorpont' MIIIH9J ?A`o/ rA r Sla '"m 5 upauk m �_ Up Rlver Rd_;_,, Ljpd(1 SC VICINITY MAP (N.T.S.) I, RONALD A VOSS, A REGISTERED PROFESSIONAL LAN SURVEYOR OF VOSS ENGINEERING, INC, HAVE PREPARED THE FOREGOING MAP FROM SURVEY MADE ON THE GROUND UNDER MY DIRECTION AND IS TRUE AND CORRECT TO THE BEST OF MY MOD LE.E, INFORMATION AND BELIEFS HAVE BEEN ENGAGED UNDER .NTRACT TO SET ALL CORNERS . SHOD N HEREIN AND TO COMPLETE SUCH OPERATIONS D ITHOUT DELAY, THIS THE „ r. DEIDDDEC0=IDDEBD1D SEAL BEFORE ME, THE UNDERSIGNED AU TH ORI,, ON THIS DAY PERSONAL, APPEARED M I DE HOPE DNOD N TO ME TO BE THE PERSON D HOSE NAME IS SUBSCRIBED TO THE FOREGOING INSTRUMENT OF D RITIN G AN ACM OE LEDGED TO ME THAT THEY EXECUTED THE SAME FOR THE PURPOSES AND CONSIDER/N-110N THEREIN EXPRE.ED AND IN THE CAPACI, THEREIN STATEDD GIVEN UN DER MY HAND AND SEAL OF OFFICE, THIS THE --r-r-rm DAY OF 1111,11,11 _L pm— NOTARY PU BLIC IN AND FOR NUECES COE TEXAS p=vo° ,a � LOT 1 RONALD A,OSS REGISTERED PROFESSIONAL LAN SURVEYOR No=9, LOT 2 LOT 3 S}1CILLL1r li I ll{ ADDITION VOL. S, P. 28 AL.1L_\.(:.T) 0 DH. S 60° 36' OC" E LOT 4 LOT 5 2 20.3'5' DI MPSEY STREET Exhibit "A" Ett a� zl. VOSS ENGINEERING, INC. ENGINEERING AND LAND SURVEYING 11 1 GREEN! 1 OOD DRIVE, CORPUS CHRISTI, TEXAS! 41 PHONE: l 111 !11111 4! 11202 FAX: l u 1 111111 11 !141 SI 0' 15' 30' 60' GRAPHIC SCALE: 1" - 30' DATE: REVISED: OFFICE: LOB Lt Ou29s201 L RV u RG 1 uuLD 14 FIRM NOLLFL1uu SHORELINE PARE ADDITION BLOCS E, LOT 9R <15 P.P. - PDXI F:R POT P. G.V. -GTS VALVE 0 UTILITY PLAN Exhibit "B" LOT LT Rusou rs1 P451 Ciigo ., Refinery - CiTgo Refinery S5 / 3 o BOYaIo St �ny�afi,Antelope St Buc Stadium VICINITY MAP (N.T.S.) LOT 2 LOT 3 LOT 4 LOT 5 SH0121.1,IN I. PARK ADDITIO, VOL. 3, 1'. 28 . 2I n a o 7771,7 1'RUPOSFID BUILDING LOT 9R 25,447.3 S.P. 0.584 AC. )3?5 LOT SLr, h �.. 1551 R 11FT) AL IN 60° 36' 00' sos -5' L DEMI' Ll ST EFT I 311' 20 Brennan. VOSS ENGINEERING, INC. ENGINEERING AND LAND SURVEYING GREEN 002 DRIVE, CORPUS CHRISTI, TEXAS 41 PHONE'. 1 4 202 FAX 1 4 9 0' 15' 30' 60' GRAPHIC SCALE: 1" = 30' DATE: REVISED: OFFICE: LOB LC 01129201 L RV u RG 1 uuL014 FIRM NOLFLIuu Ordinance amending the Unified Development Code ("UDC"), upon application by Scott Electric Co. ("Owner"), by changing the UDC Zoning Map in reference to 0.5847 acre tract of land composed of four lots in Shoreline Park, Block 8, Southeast 40' of Lot 9; Northwest 10' of Lot 9, all of Lot 10, and Southeast 20' of Lot 11; West 30' of Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; from the "RS -6" Single - Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to the "IL" Light Industrial District; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. WHEREAS, the Planning Commission has forwarded to the City Council its final report and recommendation regarding the application of Scott Electric Co. ("Owner"), for an amendment to the City of Corpus Christi's Unified Development Code ("UDC") and corresponding UDC Zoning Map; WHEREAS, with proper notice to the public, public hearings were held on Wednesday, November 2, 2016, during a meeting of the Planning Commission when the Planning Commission recommended approval of the change of zoning from the "RS -6" Single -Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to the "IL" Light Industrial District, and on Tuesday, December 13, 2016, during a meeting of the City Council, during which all interested persons were allowed to appear and be heard; and WHEREAS, the City Council has determined that this amendment would best serve the public health, necessity, convenience and general welfare of the City of Corpus Christi and its citizens. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. Upon application made by Scott Electric Co. ("Owner"), the Unified Development Code ("UDC") of the City of Corpus Christi, Texas ("City"), is amended by changing the zoning on a 0.58474 a tract of land composed of four lots composed of Shoreline Park, Block 8, consisting of the following four lots: Southeast 40' of Lot 9; Northwest 10' of Lot 9, all of Lot 10, and Southeast 20' of Lot 11; West 30' of Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; located on Dempsey Street between Lexington Avenue and North Port Avenue (the "Property"), from the"RS-6" Single - Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to the "IL" Light Industrial District (Zoning Map No. 046045 ), as shown in Exhibits "A" and "B." Exhibit A, which is the plat of the Property, and Exhibit B, which is a site plan to accompany the plat, are attached to and incorporated in this ordinance by reference as if fully set out herein in their entireties. SECTION 2. The official UDC Zoning Map of the City is amended to reflect changes made to the UDC by Section 1 of this ordinance. SECTION 3. The UDC and corresponding UDC Zoning Map of the City, made effective July 1, 2011, and as amended from time to time, except as changed by this ordinance, both remain in full force and effect. SECTION 4. To the extent this amendment to the UDC represents a deviation from the City's Comprehensive Plan, the Comprehensive Plan is amended to conform to the UDC, as it is amended by this ordinance. SECTION 5. All ordinances or parts of ordinances specifically pertaining to the zoning of the Property and that are in conflict with this ordinance are hereby expressly repealed. SECTION 6. Publication shall be made in the City's official publication as required by the City's Charter. K:\DevelopmentSvcs\SHARED\ZONING CASES\2016\1116-01 Scott Electric\Council Documents\Ordinance_1116-01_Scott Electric Co.docx Page 2 of 3 That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb That the foregoing ordinance was read for the second time and passed finally on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb PASSED AND APPROVED on this the day of , 2016. ATTEST: Rebecca Huerta City Secretary Dan McQueen Mayor K:\DevelopmentSvcs\SHARED\ZONING CASES\2016\1116-01 Scott Electric\Council Documents\Ordinance_1116-01_Scott Electric Co.docx Page 3 of 3 SHORELINE PARE ADDITION BLOC u, LOT 9R STATE OF TEXAS COHN, OF NUECES THIS FINAL PLAT OF THE HEREIN DESCRIBED PROPER, D AS APPROVED ON BEHALF OF THE C. OF CORP. CHRIST, TEXAS BY E BEING A MINOR PLAT OF LOTS TO 12, BLOC» THIS THMIDii 0000F iiwi iii 11111 DEPARTMENT OF DEVELOPMENT SERVICES SHORELINE PARD ADDITION AS RECORDED IN VOLUME 4, PAGE 2431 RR CORPUS CHRISTI, NUECES COUNTY, TEXAS INTERIM DIRECTOR OF DEVELOPMENT SERVICES NOTES THE UNIFIED NT CODE AND suD=CT TO CHANGE AS THE ,DNING MAY CHANGE= FOUND =INCH IRON RODS AT ALL LOT CORNERS, PE PAL BLOC, CORN =RS, ETCALN LESS OTH ER, ISE SPECIFIED, = ACIJENOTES ACRES OF LAND SEZDENOTES SrUARE FEET OF LAND ELI=LENOTES BUILDING LINE U EADENOTES UTILITY EASEMENT DEZDENOTES DRAINAGE EASEMENT CL=LENOT ES CENTERLINE OF ROAD= AY D ZITIENOTES DRILL HOLE "SL DENOTES SET =LL IRON ROD THIS PROPERTY LIES = ITHIN FLOOD YLLIEC,COMMUNITY ,==-6,, PANEL 01 rrry OF CORPUS CHRISTI, DATED =, AN D ISNOT = ITHI N THEIR, YEAR FLOOD PLAN= = THE RECEIVING = ATER FOR THE STORM =ATER RUNOFF FROM THIS PROPERTY IS THECORPUS CHRISTI INNER HARBOR=THE Tee= HAS CLAGSIFIED THE ,UATIC LIFE USE FOR THECORPUS CHRISTI INNER HARBOR AS INTERMEDIATE" TOT, AA,ED AREA IS 2==ACREZNCLUDING STREET DEDICATION= = BASIS OF BEARINGS ARE T HE BEARINGS FROM SUNNYSIDE ADDITION ASRECORDED IN VOLUME 2, PAGE = STATE OF TEX. COUN, OF NUECES E S COM ELECTRIC COMPANY, HERE. CERT, THAT El- E ARE THE OD NERS OF LOT. BLOC E E AS EMBRACED E I TH I N E BOUNDS OF THE FOREGOING MAP,HAT I= E HAVE HAD SAID LAND SU RV,ED AS SHOE N =HAT STREETS AN D PARD AS SHOD N ARE DEDICATED TO THE PUB. FOREVERSTHAT ALL EASEMENTS ARE DEDICATED TO THE PUBLIC FOR THE INSTALLS -FON, OPERATION AND USE OF THE PU BLIC UT LIT ESE.AT THIS MAP AS MADE FOR THE PU RPOSES OF DESCRIPTION AND DEDICATION E THIS THE OF = 1'111111111111111 MIZE HOPE, 0= N ER STATE OF TEXAS COUNTY OF NUECES STATE OF TEXAS COUN, OF NUECES THIS FINAL PLAT OF THE HEREIN DESCRIBED PROPER, AS APPROVED ON BEHALF OF THE C. OF CORP. CHRIST, TEXAS BY E DEPARTMENT OF DEVELOPMENT SERVICES THIS THE OF DEVELOPMENT SERVICES ENGINEER STATE OF TEX. CO., OF NUECES I SARA SAN., CLERE OF THE COUN, COURT, IN AND FOR NUECES COUN, TEXAS, HEREBY CERT, SD AT THE FOREGOING INSTRUMENT ONTED THE =MAY OF ITH ITS CERTIFICATE OF AUTH ENT CATION E AS FILED FOR RE.120 IN MY OFFICE THIS D OF I 201 VOLUME Dsm, PAGE EE= a1 EMI szocLoc_ DEM AND DU, RECORDED D ITN E. MY HAND AND SEAL OF OFFICE IN CORP. CHRISTI, TEXAS, THIS THE =MAY OF 0101000. STATE OF TEXAS CO., OF NUECES fi59Nesouices _001 P7aFu st Refinery °hn eS) Buffalo St 35 j..P.e_101_ 3_I__£ 1 CI iorpont' MIIIH9J ?A`o/ rA r Sla '"m 5 upauk m �_ Up Rlver Rd_;_,, Ljpd(1 SC VICINITY MAP (N.T.S.) I, RONALD A VOSS, A REGISTERED PROFESSIONAL LAN SURVEYOR OF VOSS ENGINEERING, INC, HAVE PREPARED THE FOREGOING MAP FROM SURVEY MADE ON THE GROUND UNDER MY DIRECTION AND IS TRUE AND CORRECT TO THE BEST OF MY MOD LE.E, INFORMATION AND BELIEFS HAVE BEEN ENGAGED UNDER .NTRACT TO SET ALL CORNERS . SHOD N HEREIN AND TO COMPLETE SUCH OPERATIONS D ITHOUT DELAY, THIS THE „ r. DEIDDDEC0=IDDEBD1D SEAL BEFORE ME, THE UNDERSIGNED AU TH ORI,, ON THIS DAY PERSONAL, APPEARED M I DE HOPE DNOD N TO ME TO BE THE PERSON D HOSE NAME IS SUBSCRIBED TO THE FOREGOING INSTRUMENT OF D RITIN G AN ACM OE LEDGED TO ME THAT THEY EXECUTED THE SAME FOR THE PURPOSES AND CONSIDER/N-110N THEREIN EXPRE.ED AND IN THE CAPACI, THEREIN STATEDD GIVEN UN DER MY HAND AND SEAL OF OFFICE, THIS THE --r-r-rm DAY OF 1111,11,11 _L pm— NOTARY PU BLIC IN AND FOR NUECES COE TEXAS p=vo° ,a � LOT 1 RONALD A,OSS REGISTERED PROFESSIONAL LAN SURVEYOR No=9, LOT 2 LOT 3 S}1CILLL1r li I ll{ ADDITION VOL. S, P. 28 AL.1L_\.(:.T) 0 DH. S 60° 36' OC" E LOT 4 LOT 5 2 20.3'5' DI MPSEY STREET Exhibit "A" Ett a� zl. VOSS ENGINEERING, INC. ENGINEERING AND LAND SURVEYING 11 1 GREEN! 1 OOD DRIVE, CORPUS CHRISTI, TEXAS! 41 PHONE: l 111 !11111 4! 11202 FAX: l u 1 111111 11 !141 SI 0' 15' 30' 60' GRAPHIC SCALE: 1" - 30' DATE: REVISED: OFFICE: LOB Lt Ou29s201 L RV u RG 1 uuLD 14 FIRM NOLLFL1uu SHORELINE PARE ADDITION BLOCS E, LOT 9R <15 P.P. - PDXI F:R POT P. G.V. -GTS VALVE 0 UTILITY PLAN Exhibit "B" LOT LT Rusou rs1 P451 Ciigo ., Refinery - CiTgo Refinery S5 / 3 o BOYaIo St �ny�afi,Antelope St Buc Stadium VICINITY MAP (N.T.S.) LOT 2 LOT 3 LOT 4 LOT 5 SH0121.1,IN I. PARK ADDITIO, VOL. 3, 1'. 28 . 2I n a o 7771,7 1'RUPOSFID BUILDING LOT 9R 25,447.3 S.P. 0.584 AC. )3?5 LOT SLr, h �.. 1551 R 11FT) AL IN 60° 36' 00' sos -5' L DEMI' Ll ST EFT I 311' 20 Brennan. VOSS ENGINEERING, INC. ENGINEERING AND LAND SURVEYING GREEN 002 DRIVE, CORPUS CHRISTI, TEXAS 41 PHONE'. 1 4 202 FAX 1 4 9 0' 15' 30' 60' GRAPHIC SCALE: 1" = 30' DATE: REVISED: OFFICE: LOB LC 01129201 L RV u RG 1 uuL014 FIRM NOLFLIuu Aerial Overview 1 N Aerial Map At N Staff Recommendation Denial of the change of zoning from the "RS -6" Single -Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to the "IL" Light Industrial District, and In lieu thereof, staff recommends extending the "RS-6/SP" Single -Family 6 District with a Special Permit to all four lots subject to six conditions : 3 Conditions 1. Uses: The only uses authorized by this Special Permit other than uses permitted by right in the base zoning district is the outdoor storage of company and/or employee vehicles and a storage building for parts and material of air conditioners and electrical work. 2. Lighting: All security lighting must be shielded and directed away from adjacent residences and nearby streets. Cut-off shields are required for all lighting. No light projection is permitted beyond the property line near all public roadways and residential development. 3. Landscape Strip: A ten (10) foot wide visual landscape strip shall be installed and maintained running parallel to, in front of, and in the distance of the required six (6) foot standard screening fence. Conditions 4. Screening Fence: A six (6) foot standard screening fence shall be installed and maintained to provide a visual barrier between the vehicular storage yard/building and the surrounding neighborhood. 5. Hours of Operation: The hours of operation shall be the same as the business hours of operation from 7:00 AM to 5:30 PM Monday through Friday. 6. Time Limit: In accordance with the UDC, this Special Permit shall be deemed to have expired within twelve (12) months of this ordinance, unless a complete building permit application has been submitted, and the Special Permit shall expire if the allowed use is discontinued for more than six consecutive months. PLANNING COMMISSION FINAL REPORT Case No. 1116-01 HTE No. 16-10000038 Planning Commission Hearing Date: November 2, 2016 Applicant & Legal Description Applicant/Owner: Scott Electric Co. Representatives: Chris Flores Legal Description/Location: Four lots composed of Shoreline Park, Block 8, consisting of the following four lots: Southeast 40' of Lot 9; Northwest 10' of Lot 9, all of Lot 10, and Southeast 20' of Lot 11; West 30' of Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; located on Dempsey Street between Lexington Avenue and North Port Avenue. Zoning Request From: "RS -6" Single -Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit To: "IL" Light Industrial Area: 0.5847 acres Purpose of Request: To allow construction of a storage building. Existing Zoning and Land Uses Existing Zoning District Existing Land Use Future Land Use Site "RS -6" Single -Family 6 & "RS-6/SP" Single- Family 6 with a Special Permit Industrial Medium Density Single Family Residential North"RS-6" "IL" Light Industrial & Single -Family 6 Low Density Residential & Light Industrial Medium Density Single Family Residential South "RS -6" Single -Family 6 Vacant, Low Density Residential & Industrial Medium Density Single Family Residential & Mixed Use East "IL" Light Industrial Light Industrial Medium Density Single Family Residential West "RS -6" Single -Family 6 Vacant & Low Density Residential Medium Density Single Family Residential ADP, Map & Violations Area Development Plan: The subject property is located within the boundary of the Central Business Area Development Plan and is planned for commercial uses fronting Port Avenue and medium density residential uses fronting Lexington Avenue on all of Block 8 where the subject property is located. The proposed rezoning to the "IL" Light Industrial District is not consistent with the adopted Future Land Use Map or the Central Business Area Development Plan. Map No.: 046045 Zoning Violations: None Staff Report Page 2 Transportation Transportation and Circulation: The subject property has approximately 205 feet of street frontage along Dempsey Street, which egresses onto Port Avenue that the Urban Transportation Plan designates as an "Al" Arterial. The maximum desirable average daily trips (ADT) for a designated "Al" is 15,000 to 24,000 daily trips. The subject property is located on the north side of Dempsey Street approximately 95 feet west of Port Avenue. Street R.O.W. Street Urban Transportation Plan Type Proposed Section Existing Section Traffic Volume (2015/2016) Port Avenue "Al" Minor Arterial Undivided 95' ROW 64' paved 72' ROW 58' paved 14 277 ADT Dempsey Street Local Residential 50' ROW 28' paved 43' ROW 27' paved N/A Staff Summary: Requested Zoning: The applicant is requesting a rezoning from the "RS -6" Single - Family 6 District and the"RS-6" Single -Family 6 District with a Special Permit District to the "IL" Light Industrial District to allow the construction of a storage building. Development Plan: The proposed rezoning is within the Shoreline Park Subdivision. The applicant is proposing a storage building on a 0.5847 acre tract of land. The proposed storage building will cross three of the four lots and be 40 feet by 100 feet, totaling 4,000 square feet of building area. It will be used to store electrical and air conditioning parts and material which is already stored on sight in smaller buildings. A buffer yard of 10 feet along with a 6 foot standard screening fence would be required along the property lines abutting the "RS -6" Single -Family 6 District and is already in place along with a 6 foot standard screening fence to provide a visual barrier for the surrounding neighborhood. The site is proposed to have access from Dempsey Street and Port Avenue. Existing Land Uses & Zoning: The subject property is currently being used for commercial vehicle storage and zoned "RS-6/SP" Single -Family 6 with a Special Permit District. Scott Electric Co. also owns the lots north of the subject property and is being used as commercial vehicle and parts storage that is zoned "IL" Light Industrial and "IL/SP" Light Industrial with a Special Permit District. South of the subject property is a commercial business, single-family residential, and two vacant lots zoned "IL" Light Industrial District and "RS -6" Single -Family 6 District, respectively. East of the subject property there are more lots owned by Scott Electric Co. which are also being used and are commercially zoned "IL" Light Industrial District. West of the subject property are vacant lots zoned "RS -6" Single -Family 6 District. AICUZ: The subject property is not located in one of the Navy's Air Installation Compatibility Use Zones (AICUZ). K:\DevelopmentSvcs\SHARED\ZONING CASES\2016\1116-01 Scott Electric\Council Documents\Report for CC_1116-01_Scott Electric Co.docx Staff Report Page 3 Plan CC & Area Development Plan Consistency: The subject property is located within the boundary of the Central Business Area Development Plan which designates the subject property for medium density residential uses. The proposed rezoning to the "IL" Light Industrial District is inconsistent with Plan CC and the Future Land Use Map which designate the area as Medium Density Single Family Residential. Additionally, the following are pertinent elements of Plan CC and the Central Business Area Development Plan that should be considered: • Promote financial incentives for business investments that offer the potential for strong catalytic impacts, and structure incentives to provide the maximum public benefits. (Plan CC, Element 4, Goal 2, Strategy 2) • Encourage the development of a high-quality workforce across a wide range of occupations and skill levels that meets the current and emerging needs of local businesses and makes workforce a positive factor for business prospects. (Plan CC, Element 4, Goal 2, Strategy 3) • Encourage improvements of the port area and its facilities according to the Port of Corpus Christi's Strategic Plan. (Plan CC, Element 4, Goal 7, Strategy 1) • Promote expansions of local businesses and target innovative and entrepreneurial businesses for relocation, and attract high -wage jobs in fields such as tourism, science, technology, and green or clean industries that create a vibrant economy. (OBJECTIVE Economic Development 1, Central Business Area Development Plan) • Mixed-use districts are being actively encouraged, and locations for new mixed- use centers are being identified, providing live -work -shop opportunities that minimize travel needs. The properties located along Shoreline Boulevard have been identified as areas that shall be considered for tourist -related and residential mixed uses, with limited office or non -tourism related business uses. (POLICY Live -Work Units 1.2, Central Business Area Development Plan) Plat Status: The subject property is currently comprised of four platted lots. In order to construct the proposed storage building, the property needs to be replatted. Department Comments: • The proposed rezoning deviates from Plan CC: o Uses typically found in the "IL" Light Industrial District should be prohibited along Dempsey Street and Lexington Avenue which the future land use maps designates as Medium Density Single Family Residential. o The proposed storage building is completely within the lots owned by Scott Electric Co. which currently function as a commercial business and will not alter the aesthetics of the current buffer and standard screening fence. • It is Staff's opinion that the proposed rezoning would negatively impact the surrounding residential properties and the property to be rezoned is inconsistent with the Future Land Use Plan's designation of the property as a Medium Density Single Family Residential use. • An "IL" Light Industrial District would allow uses that are not compatible with the surrounding residential subdivision and could potentially increase traffic through residential areas on Dempsey Street and Lexington Avenue, which are local residential streets. Staff Report Page 4 • Staff's opinion is that a storage building does not decrease the residential desirability of this neighborhood. This is one of the findings required per Plan CC when deciding which commercial uses to allow within residential areas. • Property was previously rezoned in 2008 for an "SP" with conditions that created compatibility. • It is Staff's opinion that a Special Permit with conditions could continue to work in this situation. Planning Commission and Staff Recommendation: Denial of the change of zoning from the "RS -6" Single -Family 6 District and "RS-6/SP" Single -Family 6 District with a Special Permit to the "IL" Light Industrial District, and in lieu thereof, staff recommends extending the "RS-6/SP" Single -Family 6 District with a Special Permit to all four lots subject to the following six conditions: 1. Uses: The only uses authorized by this Special Permit other than uses permitted by right in the base zoning district is the outdoor storage of company and/or employee vehicles and a storage building for parts and material of air conditioners and electrical work. 2. Lighting: All security lighting must be shielded and directed away from adjacent residences and nearby streets. Cut-off shields are required for all lighting. No light projection is permitted beyond the property line near all public roadways and residential development. 3. Landscape Strip: A ten (10) foot wide visual landscape strip shall be installed and maintained running parallel to, in front of, and in the distance of the required six (6) foot standard screening fence. 4. Screening Fence: A six (6) foot standard screening fence shall be installed and maintained to provide a visual barrier between the vehicular storage yard/building and the surrounding neighborhood. 5. Hours of Operation: The hours of operation shall be the same as the business hours of operation from 7:00 AM to 5:30 PM Monday through Friday. 6. Time Limit: In accordance with the UDC, this Special Permit shall be deemed to have expired within twelve (12) months of this ordinance, unless a complete building permit application has been submitted, and the Special Permit shall expire if the allowed use is discontinued for more than six consecutive months. Vote Results: For: 5 Opposed: 0 Absent: 2 K:\DevelopmentSvcs\SHARED\ZONING CASES\2016\1116-01 Scott Electric\Council Documents\Report for CC_1116-01_Scott Electric Co.docx Staff Report Page 5 Public Notification Number of Notices Mailed — 26 within 200 -foot notification area 2 outside notification area As of November 21, 2016: In Favor — 1 inside notification area — 0 outside notification area In Opposition — 1 inside notification area — 0 outside notification area Totaling 2.43% of the land within the 200 -foot notification area in opposition. Attachments: 1. Location Map (Existing Zoning & Notice Area) 2. Application 3. Public Comments Received (if any) RS -6 4 �4* � el, 4,448 'Ate.SU':JE T PR�PE�-T�l� M 4, * le91s iff Aff,b,. 7p0 44k* "31 Mp�F� R� � �� � ii414 SSP/0'8 0 ;16 M4 p14 p 29 m� *****, #1 M-34 Fc m Fs co RM -1 400 m 3 0 Feet Date Great- •: 10/17/2016 PreparedBlvetteM Departm nt Of evelopMent Seffices CASE: 1116-01 ZONING & NOTICE AREA RM -1 Multifamily 1 RM -2 Multifamily 2 RM -3 Multifamily 3 ON Professional Office RM -AT Multifamily AT CN -1 Neighborhood Commercial CN -2 Neighborhood Commercial CR -1 CR -2 CG -1 CG -2 CI CBD CR -3 FR H BP Resort Commercial Resort Commercial General Commercial General Commercial Intensive Commercial Downtown Commercial Resort Commercial Farm Rural Historic Overlay Business Park IL Light Industrial IH Heavy Industrial PUD Planned Unit Dev. Overlay RS -10 Single -Family 10 RS -6 Single -Family 6 RS -4.5 Single -Family 4.5 RS -TF Two -Family RS -15 Single -Family 15 RE Residential Estate RS-TH Townhouse SP Special Permit RV Recreational Vehicle Park RMH Manufactured Home Subject Property O Owners with 200' buffer in favor 4 Owners within 200' listed on v Owners attached ownership table A in opposition r ,� SUBJECT v,J IPRO;PERTY� CHANNEL LEOPARD AGNES LOCATION MAP City of Corpus Christi /6-10 p�?us e,.. >i_ ._h r A *PC 7652 : Development Services Dept. P.O. Box 9277 Corpus Christi, Texas 78468-9277 ( 24 626-3240 at Located at 2406 Leopard Street REZONING APPLICATION ^N '—►" � C1fe3, ,__ Case No.. Map No.. D LI 6D'S Hearing Date: Proj.Mgr: Hearing Location: City Hall. Council Chambers. 1201 Leopard Street Hearing Time: 5:30 p.m. . A MAXIMUM OF FIVE REZONINGS CASES ARE SCHEDULED PER HEARING. • INCOMPLETE APPUCATIONS WILL NOT BE ACCEPTED. - Scott FtP,ctrir; (^(1 [;ht ICfClclhpr Ftf�rP,C Iili�nw.awi.: - - .. 'WriicK4t P"C1SG11 . . Mailing Address:P.O. Box 1819 orpus Christi City:Cstate:TX zip:78403 Phone:3� 61 )884-6326 E-mail: Cell: (361 )533-3480 2. Property Owner(s)=Mike Hope Mailing Address:P•O• Box 1819 Contact Person :Christopher Flores ( City:Corpus Christi State:TX zIP:78403 Phone: (361 )884-6326 E-mail Cell: ( ) 3. Subject Property Address; See Attached Sheet Area of Request (SF/acres): Current Zoning & Use: RS -C. Rs - /SP Proposed Zoning & Use. { L 12 -Digit Nueces County Tax 1D: ,__ ,_ _ _ _ _ _ _ _ _ Subdivision Name: See Attached Sheet Block: Lot(s): Legal Description if not platted:See Attached Sheet 4. Submittal Requirements: Date Held 10-3-16 : with City Staff Priscilla Ramirez Early Assistance Meeting: ❑ Land Use Statement L Disclosure of Interest ❑ Copy of Warranty Deed IF APPLICABLE: Peak Hour Trip Form (If request Is Inconsistent exhibit with Future Land Use Plan) • Site Plan for PUD or Special Permit if property includes un -platted land (sealed by RPLS) 0 Lien Holder Authorization ■J Metes & Bounds Description with I certify that I have provided the City of Corpus Christi with a complete application for review; that I am authorized to initiate this rezoning s or on behalf of the Property Owner(s); and the information provided is accurate. j/cS Owner nt's Signature Applicant's Signature Christopher Flores Owner or Agent's Printed Name Applicant's Printed Name - Office Use Only: Date Received: PD -5— 1 jt O - Received. By; � ^ ADP: C�8 Rezoning Fee: 111.0-7 • SO + PUD Fee_ pr + Sign Fee a ° =Total Fee / 1 027 • Sf, No. Signs Required (11 $10/sign Sign Posting Date: KADEVELOPMENTSVCSISMAREDLLAND DEVELOPMENT APPLICATION FORmswiEzOteraizorritatiAPPLICATiON 2015 DOC fuspIt ne.l+'1Q. ffrw 1: orm r:ev Property ID Tax ID 1. 200021058 2. 200021064 3. 200021073 4.200021076 Supplement Document Land area Legal Description 8013-0008-0090 0.1148 Acre Shoreline PK SE40' LT 9 BK 8 5000.0 Sqft 8013-0008-0095 0.2296 Acre Shoreline PK NW10' LT 9, All LT 10 & SE20' 10000.0 Sqft of LT 11 BK 8. 8013-0008-0120 0.1148 Acre Shoreline PK W30' LT 11 & E10' of LT 12 BK 8 5000.0 Sift 8013-0008-0125 0.1255 Acre Shoreline PK W43.75' of LT 12 BK 8 5468.0 Sqft Total Land Area 0.5847 Acre / 25,468 Sqft LAND USE STATEMENT 1. State the purpose of the request and include applicable background information as to the development plan for the property, i.e., usage of property, number and square footage(s) of existing and/or proposed building(s)/unit(s), building(s)/unit(s) height, parking plans/spaces, phasing schedule of development, number of employee(s) associated with the office, business or industrial development, hours of operation, modification or demolition plans for existing structure(s), type, area and setback of signage, etc. * Scott Electric Co. is requesting a re -zoning in order to build a new 40' x 100' (4000 sqf) storage building. This building will be strictly for storage of electrical and a/c parts and material. The hous of operation will be the same as our business hours ...Monday thru Friday 7:OOam - 5:30pm. Identify the existing land uses adjoining the area of request: North - Business -Scott Electric Main Office South - Business- GIS Const. LLC East - Business- Bradleys West - Residential- Lexington Ave C:UlSERS\TANYAR.0001OESKTOP'DAILY USEIANNIKA4LAND USE STATEMENT FOR ZONING.DOC DISCLOSURE OF INTERESTS City of Corpus Christi Ordinance 17112, as amended, requires all persons or firms seeking to do business with the City to provide the following information. Every question must be answered. If the question is not applicable, answer with "NA". NAME: Scott Electric Co. STREET: 2001 N. Port Ave CITY: Corpus Christi ZIP: 78403 FIRM is:°Corporation °Partnership ()Sole Owner °Association °Other DISCLOSURE QUESTIONS If additional space is necessary, please use the reverse side of this page or attach separate sheet. 1. State the names of each "employee" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm". Name N/A Job Title and City Department (if known) 2. State the names of each "official" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm". Name N/A Title 3. State the names of each "board member" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm". Name N/A Board, Commission, or Committee 4. State the names of each employee or officer of a "consultant" for the City of Corpus Christi who worked on any matter related to the subject of this contract and has an "ownership interest" constituting 3% or more of the ownership in the above named "firm". Name Consultant N/A CERTIFICATE certify that all information provided is true and correct as of the date of this statement, that I have not knowingly withheld disclosure of any information requested; and that supplemental statements will be promptly submitted to the City of Corpus Christi, Texas as changes occur. Certifying Person: Christopher Flores (Print Name) Signature of Certifying Person: Title: Manager Date: 10-3-16 K:IDEVELOPMENTSVCSLSHAREDILAND DEVELOPMENTWPPLICATICN F. P.ISIREZONINGIDISCLOSURE OF INTERESTS STATEMENT_5 12.2615 DOC PEAK HOUR TRAFFIC (PHT) FORM Development Services 2406 Leopard Street, Corpus Christi, TX 78408 Phone: (361)826-3240 www.cctexas com A Traffic Impact Analysis (TIA) determination must be made prior to the submittal of any rezoning application, site plan or street closure request. The Peak Hour Traffic Generation (PHT) Form is required to be completed for developments that are projected to contain 500 or fewer weekday peak hour (A.M. or P.M.) trips (UDC Section 3.29.4). Property Address: 1919 N. Port Ave Legal Description (Subdivision, Lot, Block): Applicant Name: Scott Electric Co. Address: City/StatelZip: Corpus Christi, TX 78403 Telephone: 361-884-6326 Email: Application Status (Select One)• a Rezoning a Site PIanJJStreet Closure Existing Land Use Tract Acres Unit of Measure Zoning Land Use I.T.E. Code A.M. Trip Rate Peak A.M. Tris P.M. Trip Rate Peak P.M. Trips D• sb 0-64-K-6 p 1 U_o ori °- 0.5-c a s6 fee Proposed Land Use Tract Acres Unit of Measure Zoning Land Use I.T.E. Code A.M. Trip aleTriipsRatteTrrips Rale Peak A.M. Trips P.M. Trip Rate Peak P.M. Trips 0' e/ 1f4� L Y\ ,210 Or/y a]] f, c - I ce- Total p, 77— Total Ar OZ Abutting Streets Street Name Access Proposed To Street? Pavement Width (FT) ROW Width (FT) N.Port Ave Existing Dempsey St. Existing John St. Existing For City Use Only A Traffic impact Analysis IS required. The consultant preparing the TIA must meet with JZthe City to discuss the scope and requirements of the analysis prior to beginning the TIA. A Traffic Impact Analysis is NOT required. The proposed traffic generated does not 111 exceed the established threshold. The Traffic Impact Analysis has been waived for the following reason(s): Reviewed By: Date: 10-3-16 Note: This completed and reviewed form must a:company any subsequent appliatiun for the IDENTICAL project CHANGES to the proposed project will require a new TIA determination to be made. APPOINTMENT OF AGENT As owner of the subject property, i hereby appoint the person designated below to act for me, as my agent in this request. Name of Agent: Christoher Flores Mailing Address: P.O. Box 1819 City: Corpus Christi Home Phone: () State: TX Zip: 78403 Business Phone: ( 361 ) 884-6326 Cell: ( 361 ) 533-3480 I acknowledge and affirm that I will be legally bound by the words and acts of my agent, and by my signature below, I fully authorize my agent to: Be the point of contact between myself and the City of Corpus Christi; make legally binding representations of fact and commitments of every kind on my behalf; grant legally binding waivers of rights and releases of liabilities of every kind on my behalf; consent to legally binding modifications; conditions, and exceptions on my behalf; and, to execute documents on my behalf which are legally binding on me. 1 understand that the City of Corpus Christi will deal only with a fully authorized agent. At any time it should appear that my agent has Tess than full authority to act, then the application may be suspended and I will have to personally participate in the disposition of the application. I understand that all communications related to this application are part of an official proceeding of City government and, that the City will rely upon statements made by my agent. Therefore, I agree to hold harmless and indemnify the City of Corpus Christi, its officers, agents, employees, and third parties who act in reliance upon my agent's words and actions from all damages, attorney fees, interest and costs arising from this matter. If my property is owned by a corporation, partnership, venture, or other legal entity, then I certify that I have the legal authority to make this binding appointment on behalf of the entity, and every reference herein to "I", "my", or "me" is a reference to the entity. *Signature of Agent: nor. Printed/Typed Name of Agent: Christopher Flo - s *Signature of Property Owner: Printed/Typed Name of Property Owner: Mike Hope Title: Manager Date: 10-3-16 Title:VP Date: 10-3-16 *Signature of Property Owner: Title: Printed/Typed Name of Property Owner: Date: *Signature of Property Owner: Title: Printed/Typed Name of Property Owner: Date: *Application must be signed by the individual applicant, each partner of a partnership, or by an authorized officer of a corporation or association. D.W.Brown.APPOINTMENT OF AGENT2-I9-09.doc Persons with disabilities planning to attend this meeting, who may require special services, are requested to contact the Development Services Department at least 48 hours in advance at (361) 826-3240. Personas con incapacidades, que tienen la intenci6n de asistir a este iuntayy gue recuieren servicios especialese les suclica cue den aviso 48 horas antes de la junta Hernando al departamento de servicios de desarrollo, al ni mero (361) 826-3240. If you wish to address the Commission during the meeting and your English is limited, please call the Development Services Department at (361) 826-3240 at least 48 hours in advance to request an interpreter be present during the meeting. Si usted desea. diriairse a la commission durante la junta y su in,gles es limitedo. favor de Hamar al departamento de servicios de desarrollo al ntmeroj361) 826-3240 al menos 48 horas antes de la junta riara solicitar un interprete. ser presente durante la junta. CITY PLANNING COMMISSION PUBLIC HEARING NOTICE Rezoning Case No. 1116-01 Scott Electric, Co. has petitioned the City of Corpus Christi to consider a change of zoning from the "RS - 6" Single -Family 6 District and "RS-6/SP" Single Family 6 District with a Special Permit to the "IL" Light Industrial, resulting in a change to the Future Land Use Map from low density residential uses to light industrial uses. The property to be rezoned is described as: Being four Tots composed of Shoreline Park, Block 8, consisting of Southeast 40' of Lot 9; Northwest 10' of Lot 9, all Lot 10, and Southeast 20' Lot 11; West 30' Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; located on Dempsey Street between Lexington Avenue and North Port Avenue. The Planning Commission may recommend to City Council approval or denial, or approval of an intermediate zoning classification and/or Special Permit. Approval of a change of zoning, if inconsistent with the City's Comprehensive Plan, will also have the effect of amending the Comprehensive Plan to reflect the approved zoning. The Planning Commission will conduct a public hearing for this rezoning request to discuss and formulate a recommendation to the City Council. The public hearing will be held on Wednesday, November 2_, 2016, during one of the Planning Commission's regular meetings, which begins at 5:30 p.m., in the City Council Chambers, 1201 Leopard Street. You are invited to attend this public hearing to express your views on this rezoning request. For more information, please call (361) 826-3240. TO BE ON RECORD, THIS FORM MUST BE FILLED OUT, SIGNED BY THE CURRENT PROPERTY OWNER(S) AND MAILED IN ITS ENTIRETY TO THE DEVELOPMENT SERVICES DEPARTMENT, P. O. BOX 9277, CORPUS CHRISTI, TEXAS 78469- 9277. ANY INFORMATION PROVIDED BELOW BECOMES PUBLIC RECORD. NOTE: In accordance with the Planning Commission By -Laws, no discussion shall be held by a member or members of this Commission with an applicant or appellant concerning an application or appeal, either at home or office, or in person, by telephone call or by letter. Printed Name: ,1 _) . e`' f ? - Address: ) 2 1 POT4 1°t til 1 City/State:( ,, j 5 i. '1 0-1 ,-/-!! 70) ?)6 IN FAVOR ( ) IN OPPOSITION Phone: 5 7700 REASON: SEE MAP ON REVERSE SIDE Property Owner ID: 29 HTE# 16-10000038 ,40// Signature Case No. 1116-01 Project Manager. Brenda Joyas City of Corpus Christi Development Services Dept. P.O. Box 9277 Corpus Christi, Texas 78469 29 855700010010 GIS CONSTRUCTION LLC 1821 N Port Ave Corpus Christi, TX 78401 LJ.S. POSTAGE i» PITNEY BOWES • ��dp9Nr ZIP 78412 $ 000.465 02 4Yf 00003406170CT 21 2016 CASE: 1116-01 SUBJECT PROPERTY WITH ZONING 1771 Subject ICLJ Property 6111-1 Ib1Mam1r11 RM -2 MuRMamrly 2 RM.T IfunMamHy OX Prd.a.Ion.l Olrk. RM AT MuttlfamIly AT CNA Neighborhood Cornmerabi Cle.2 Neighborhood Commercial CR -1 Romer Commercial CR -2 Rewe Commercial CG•1 Gen.nl Cornm.mla CG -2 General Cammerthl C1 Menebe Commercial CSD Downtown Commercial CR 3 R.aort Commercial FR Farm Rural H Historic Overlay OP Boehm Para IL tight Industrial N 1 Heavy Induatnal PUD Planned tine Der. Overby 1113•10 Single -Family 19 RS4 SIng4.FamIly 0 03-45 !Ingle-Pamlly 4.1 RS.TF TormiamII R5 -1a tmg1 Famlry 16 Ile 001ld0rdlal Estate O 3.114 Townhouse 3P Special Permit Ry Recembaul Whine Palls RMH Wnul.tlur.d Hoene SUBJECT PROPERTY !LOCATION MAP, 1:4 Er City of Corpus Christi { Persons with disabilities planning to attend this meeting, who `mai require special services, are requested to contact the Development Services Department at least 48 hours in advance at (361) 826-3240. Personas con incapacidades, oue tienen Ia intencian de asistir a este junta y glue requieren servicios especiales, se les suplica que den aviso 48 horas antes de Ia junta Ilamando al departamento de servicias de desarrollo, al n imero (361) 826-3240. If you wish to address the Commission during the meeting and your English is limited, please call the Development Services Department at (361) 826-3240 at least 48 hours in advance to request an interpreter be present during the meeting. Si usted desea dirigirse a _la commission durante Ia junta v su innles es limited°, favor de Ilamar al de•artamento de servicios de d-sarrollo al niimero 361 826-3240 al menos 48 horas antes de la 'unta •ara solicitar un interDrete ser presente durante la junta. CITY PLANNING COMMISSION PUBLIC HEARING NOTICE Rezoning Case No. 1116-01 Scott Electric, Co. has petitioned the City of Corpus Christi to consider a change of zoning from the "RS - 6" Single -Family 6 District and "RS-6/SP" Single Family 6 District with a Special Permit to the "IL" Light Industrial, resulting in a chane to the Future Land Use Map from low density residential uses to light industrial uses. The property to be rezoned is described as Being four lots composed of Shoreline Park, Block 8, consisting of Southeast 40' of Lot 9; Northwest 10' of Lot 9, all Lot 10, and Southeast 20' Lot 11; West 30' Lot 11 and East 10' of Lot 12; West 43.75' of Lot 12; located on Dempsey Street between Lexington Avenue and North Port Avenue. The Planning Commission may recommend to City Council approval or denial, or approval of an intermediate zoning classification and/or Special Permit. Approval of a change of zoning, if inconsistent with the City's Comprehensive Plan, will also have the effect of amending the Comprehensive Plan to reflect the approved zoning. The Planning Commission will conduct a public hearing for this rezoning request to discuss and formulate a recommendation to the City Council. The public hearing will be held on Wednesday, November 2, 2016, during one of the Planning Commission's regular meetings, which begins at 5:30 p.m., in the City Council Chambers, 1201 Leopard Street. You are invited to attend this public hearing to express your views on this rezoning request. For more information, please call (361) 826-3240. TO BE ON RECORD, THIS FORM MUST BE FILLED OUT, SIGNED BY THE CURRENT PROPERTY OWNERS) AND MAILED IN ITS ENTIRETY TO THE DEVELOPMENT SERVICES DEPARTMENT, P. O. BOX 9277, CORPUS CHRISTI, TEXAS 78469- 9277. ANY INFORMATION PROVIDED BELOW BECOMES PUBLIC RECORD. NOTE: In accordance with the Planning Commission By -Laws, no discussion shall be held by a member or members of this Commission with an applicant or appellant concerning an application or appeal, either at home or office, or in person, by telephone call or by letter. Printed Name: Address:, * 0 1,1/ City/State;,/ '1i ( ) 1N FAVOR 3 IN OPPOSITION Phone: er.V REASON: SEE MAP ON REVERSE SIDE 'roperly Owner ID 21 HTE# 16-10000038 Signature mo7) Case No. 1116-01 Project Manager. Brenda Joyas 1 City of Corpus Christi • Development Services Dept. P.O. Box 9277 Corpus Christi, Texas 78469 21 801300010070 WEATHERSBY-GRAY VANECIA & VALENCIA BUGGS 11826 Mill Valley Rd Houston, TX 77048 U SI POSTAGE») PITNEY BOWES / =or aMk.i ��a�rrrnl►� va�ar ��r ZIP 78412 $ 000x46$ 02 411 0000340617 OCT 21 304" CASE: 1116-01 SUBJECT PROPERTY WITH ZONING EASubject Property RU.1 Mxhllamly 1 R142 Mumramly 2 8113 1.1U11Ramul2 ON Prore..lxnal Office Rel AT Muhllamly AT CN.1 Nelphnprhoml Commercial CN3 Neighborhood Commercial C11•1 Resort Commercial CR -2 CO -2 CSO CR3 FR M pP Resort Commercial General Cemmettul G eneral Commercial MMnelf Comm.relll D owntown Commercial Meat Commercial Fern Rural Hlalalc Overlay Soames' Palk 11. Llghl MAW trial N Iraey InpuHrnl Pu0 Planned Unit Oe.. Overlay 11.10 ample-Famly 10 RSA Single -Family l 034.1 Simple -Family 4A O 1.10 TWO.Famlly 1115•1l llnple•Famly 11 RE Reeldentlal0 lU RS -T24 Townhouse lP Special Fermi RV Recreational Vehicle Park 1W4 ihmulaclu.4 Home i R ;4- 1./ 1/1 SUBJECT , PROPERTY �Ox[J-- LOCATION MAP] aRhIt Ode Chnelbtl nl or M•RNaphtha' S rivond M' �r o° Er M City or Ccous Christi AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of December 13, 2016 Second Reading Ordinance for the City Council Meeting of December 20, 2016 DATE: TO: Margie C. Rose, City Manager November 17, 2016 THRU: Annette Rodriguez, M.P.H., Director of Public Health Annetter@cctexas.com 361.826.7205 FROM: William Milan Uhlarik, M.B.A., A.R.M., Assistant Director of Public Health Williamu2@cctexas.com 361.826.1348 Acceptance of the grant contract for the Nutrition Services Section/Women, Infants and Children (NSS/WIC) grant and appropriation of the funds for the contract period October 1, 2016 through September 30, 2017; and ratifying acceptance of the grant agreement to begin October 1, 2016. CAPTION: Ordinance authorizing the City Manager or designee to execute all documents necessary to accept, amend, and appropriate a grant contract for the Women, Infant and Children's Nutrition Program (WIC) grant in the amount of $1,012,631.00, from the Texas Department of State Health Services in the Health Grants Fund No. 1066, to provide funds for the WIC program for the contract period October 1, 2016, through September 30, 2017; and ratifying acceptance of the grant agreement to begin October 1, 2016. PURPOSE: To provide funds for personnel costs, supplies and other expenses to run The Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) that provides supplemental foods, health care referrals, and nutrition education for eligible low-income pregnant, breastfeeding, and non -breastfeeding postpartum women, and to infants and children up to age five who are found to be at nutritional risk within the State of Texas. BACKGROUND AND FINDINGS: Population Served: The WIC target population are low-income, nutritionally at risk: • Pregnant women (through pregnancy and up to 6 weeks after birth or after pregnancy ends). • Breastfeeding women (up to infant's 1st birthday) • Nonbreastfeeding postpartum women (up to 6 months after the birth of an infant or after pregnancy ends) • Infants (up to 1st birthday). WIC serves 53 percent of all infants born in the United States. • Children up to their 5th birthday. Benefits The following benefits are provided to WIC participants: • Supplemental nutritious foods • Nutrition education and counseling at WIC clinics • Screening and referrals to other health, welfare and social services Program Delivery WIC is not an entitlement program as Congress does not set aside funds to allow every eligible individual to participate in the program. WIC is a Federal grant program for which Congress authorizes a specific amount of funds each year for the program. WIC is • administered at the Federal level by FNS • administered by 90 WIC state agencies, through approximately 47,000 authorized retailers. • WIC operates through 1,900 local agencies in 10,000 clinic sites, in 50 State health departments, 34 Indian Tribal Organizations, the District of Columbia, and five territories (Northern Mariana, American Samoa, Guam, Puerto Rico, and the Virgin Islands). Examples of where WIC services are provided: • county health departments • hospitals • mobile clinics (vans) • community centers • schools • public housing sites • migrant health centers and camps • Indian Health Service facilities ALTERNATIVES: Refuse the grant and discontinue providing Women, Infants, and Children services for the community. OTHER CONSIDERATIONS: None FINANCIAL IMPACT: • •Operating • •Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016- 2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item $1,012,631.00 $1,012,631.00 BALANCE $1,012,631.00 $1,012,631.00 Fund(s): Grant Comments: The grant does not require a cash or in-kind match by the City. RECOMMENDATION: Staff recommends approval of this agenda item. CONFORMITY TO CITY POLICY: Council approval required for acceptance of grant and appropriation of grant funds. EMERGENCY / NON -EMERGENCY: Non -Emergency. This item requires two readings and ratification of the grant contract to begin October 1, 2016. DEPARTMENTAL CLEARANCES: Corpus Christi-Nueces County Public Health District Legal Department Finance - Federal Grants and Office of Management and Budget. LIST OF SUPPORTING DOCUMENTS: Contract No. 2017-049800-001 Ordinance Ordinance authorizing the City Manager or designee to execute all documents necessary to accept, amend, and appropriate a grant contract for the Women, Infant and Children's Nutrition Program (WIC) grant in the amount of $1,012,631.00, from the Texas Department of State Health Services in the Health Grants Fund No. 1066, to provide funds for the WIC program for the contract period October 1, 2016, through September 30, 2017; and ratifying acceptance of the grant agreement to begin October 1, 2016. Be it ordained by the City Council of the City of Corpus Christi, Texas: Section 1: The City Manager or designee is authorized to execute all documents necessary to accept and appropriate a total grant amount of $1,012,631.00, from the Texas Department of State Health Services in the Health Grants Fund No. 1066, for the contract period of October 1, 2016, through September 30, 2017, to provide funds for the WIC program. Section 2: The City Manager or designee is authorized to execute any future amendments to the grant contract which extend the contract period or increase or decrease the amount of the grant. Section 3: Further the City Council ratifies acceptance of the grant to begin as of October 1, 2016. A copy of the executed grants shall be filed in the office of the City Secretary. That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb That the foregoing ordinance was read for the second time and passed finally on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb PASSED AND APPROVED, this the day of 2016. ATTEST: Rebecca Huerta City Secretary Dan McQueen Mayor SIGNATURE DOCUMENT FOR DEPARTMENT OF STATE HEALTH SERVICES CONTRACT No. 2017-049800-001 UNDER THE WOMEN, INFANT AND CHILDREN'S NUTRITION PROGRAM GRANT PROGRAM 1. PURPOSE The Department of State Health Services ("System Agency"), a pass-through entity, and Corpus Christi-Nueces County Public Health District (City) ("Grantee") (each a "Party" and collectively the "Parties") enter into the following grant contract to provide funding for Women, Infant and Children's Nutrition Program (the "Contract"). H. LEGAL AUTHORITY This Contract is authorized by and in compliance with the provisions of 42 U.S.C. § 1786, 7 CFR Part 246, and Chapter 32 of the Texas Health & Safety Code. II. DURATION This Contract is effective on October 1, 2016 and terminates on September 30, 2017, unless renewed or terminated pursuant to the terms and conditions of the Contract. The System Agency, at its own discretion, may extend this Contract subject to terms and conditions mutually agreeable to both Parties. III. BUDGET The total amount of this Contract will not exceed ONE MILLION TWELVE THOUSAND SIX HUNDRED THIRTY-ONE DOLLARS (81,012,631.00). All expenditures under the Contract will be in accordance with ATTACHMENT A, STATEMENT OF WORK. IV. CONTRACT REPRESENTATIVES The following will act as the Representative authorized to administer activities under this Contract on behalf of their respective Party. System Agency Department of State Health Services 1100 W. 49th Street, Austin, TX 78756 Attention: Cynthia Wright, DSHS Contract Manager cynthia.wright@dshs.state.tx.us Grantee Corpus Christi-Nueces County Public Health District (City) 1201 Leopard St., Corpus Christi, TX 78401 Attention: Margie Rose margier@cctexas.com Sysient Agency Contract No.2017-049800.001 Page 1 of3 v. 02.012016 V. LEGAL NOTICES Any legal notice required under this Contract shall be deemed delivered when deposited by the System Agency either in the United States mail, postage paid, certified, return receipt requested; or with a common carrier, overnight, signature required, to the appropriate address below: System Agency Department of State Health Services Attention: Lisa Hernandez 1100 W. 49th Street, MC 1911 Austin, TX 78756 Grantee Corpus Christi-Nueces County Public Health District (City) 1201 Leopard St., Corpus Christi, TX 78401 Attention: Margie Rose Notice given by Grantee will be deemed effective when received by the System Agency. Either Party may change its address for notice by written notice to the other Party. VL ADDITIONAL GRANT INFORMATION Federal Award Identification Number (FAIN): 16166TX506W 1003 Federal Award Date: 10/01/16 thru 09/30/17 Name of Federal Awarding Agency: United States Department of Agriculture Food and Nutrition Service CFDA Name and Number: 10.557 Awarding Official Contact Information: FNS Southwest Regional Office Food and Nutrition Service 1100 Commerce Street, Room 522 Dallas, TX 75242-9980 Telephone: (214) 290-9810 DUNS: 069457784 v. 02.01.2016 SIGNATURE PAGE FOLLOWS 5yslem Agency Contract No.2017-049800-001 Page 2 ora SIGNATURE PAGE FOR SYSTEM AGENCY CONTRACT No.2017-049800-101 HEALTH AND HUMAN SERVICES COMMISSION GRANTEE Charles Smith Name: Executive Commissioner Title: Date of execution: Date of execution: THE FOLLOWING ATTACHMENTS TO SYSTEM AGENCY CONTRACT NO. 2017-049800-001 ARE HEREBY INCORPORATED BY REFERENCE: ATTACHMENT A - STATEMENT OF WORK ATTACHMENT B - UNIFORM TERMS AND CONDITIONS ATTACHMENT C - GENERAL AFFIRMATIONS ATTACHMENT D -SUPPLEMENTAL & SPECIAL CONDITIONS ATTACHMENT E - FEDERAL ASSURANCES AND CERTIFICATIONS ATTACHMENT F - FFATA ATTACHMENT G -DATA USE AGREEMENT ATTACHMENT H-NoN-ExcLusIVE L1ST OF APPLICABLE LAWS v. 02.01.2016 ATTACHMENTS FOLLOW System Agency Contract Na.2017-0.19800-001 Page 3 ora Approved as to form: ! l • k Agit As $cant City Attorr Fo. Attorney 1 ATTACHMENT A STATEMENT OF WORK I GRANTEE RESPONSIBILITIES Grantee will: A. Perform professional, administrative and clerical services necessary to determine eligibility, provide food benefits, and provide appropriate nutrition education and counseling to qualified women, infants and children in a specified geographic area. Grantee shall ensure adequate staff coverage and uninterrupted delivery of services. Services shall be performed according to the statutes, rules, policies, and directives of the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) and/or as directed by the United States Department of Agriculture (USDA) as referenced in this Contract. During the term of this Contract, the USDA may issue regulations, instructions, policies and/or directives, which may be incorporated into the current System Agency WIC Program Policy and Procedures Manual and program rules. B. Provide services within the state boundaries of Texas and in the approved clinic locations described in Grantee's approved application which is incorporated herein by reference and made a part of this Contract. C. Assist System Agency or USDA in the collection of data that will identify benefits of this nutrition intervention program and furnish financial, health, nutrition education and any other special reports in a timely manner as required by System Agency's WIC Program policies and procedures for the compilation of such data. D. Determine eligibility of applicants through assessment of their categorical income, residence and nutritional status, and provide nutrition education and counseling to eligible participants. E. Become and maintain designation as a Mother -Friendly Worksite in accordance with 25 Tex. Admin. Code § 31.1. F. Appoint a Grantee WIC Director/Supervisor. G. Train Local Agency staff. The term "Local Agency" is defined at 7 CFR § 246.2. H. Conduct outreach to potential participants. 1. Complete surveys as requested. J. Complete part one, part two, or both, as follows: 1. Part Onc: Coordinate with System Agency to visit the physical address of a proposed grocery store outlet and determine i fa store exists. Grantee shall send System Agency an email correspondence indicating findings. 2. Part Two: In accordance with current System Agency WIC policies and procedures, coordinate with System Agency to schedule and conduct an on-site evaluation of the WIC authorized vendor upon request by System Agency and complete the On-site Evaluation within thirty (30) days and submit the form electronically to System Agency within one (I) business day. System Agency Contract No. 2017-049800-001 v.04.22.2016 Page 1 ATTACHMENT A STATEMENT OF WORK K. Determine participants' access to health care, medical care and other human services, and make appropriate referrals. Grantee shall have a system in place to provide participants with appropriate health services or make appropriate referrals to health care providers under written agreements that ensure confidentiality of participants' personal information. L. Issue pre -numbered WIC Electronic Benefit Transfer (EBT) cards furnished by System Agency to qualified participants who shall use such EBT cards to obtain specified food items from participating vendors; maintain complete accountability and security of al l WIC EBT cards received from System Agency. Grantee shall be held financially responsible for all unaccounted WIC EBT cards and/or for the redeemed value of those issued to ineligible participants. In addition, Grantee shall be held financially liable for issuance of infant formula instruments that are not authorized or prescribed according to the System Agency WIC Policy and Procedures Manual. M. Permit System Agency or its agent to install telecommunications equipment at all Grantee WIC clinics and administrative offices using Management Information System (MIS), or software on a network or stand-alone personal computer. Grantee is required to permit installation at all its permanent WIC sites. Grantee will notify System Agency not less than forty-five (45) days prior to the relocation ofa site or the deployment of a new site to allow System Agency or its agent to install telecommunications equipment. N. Connect portable computers (e.g. notebooks or laptops) that use MIS software daily to a System Agency -provided telecommunications access point to transfer data to and receive updates from System Agency. Data transfer and update connection must be made on each day that Grantee provides WIC services. Portable computers may use the provided wireless connection or go to any of the Grantee's permanent WIC sites far data transfer. O. Review the immunization records of WIC Program applicants/participants to ensure that immunizations are current. Make appropriate referrals to health care providers for necessary immunizations according to WIC Program policy. P. Offer services during extended hours of operation outside the traditional times of 8:00 a.m. to 5:00 p.m., Monday through Friday, according to the Grantee's System Agency -approved Annual Plan of Operations, which incorporated by reference and made a part of this Contract. Q. Implement or expand Grantee's Breastfeeding Peer Counseling program to provide training and salary of peer counselors who assist pregnant and breastfeeding WIC program participants in normal breastfeeding situations. Provide clients with after-hours peer counseling services. Funding for this activity will be contingent on availability and written approval by System Agency. R. Implement or expand Grantee's Breastfeeding Peer Dad Program if approved by the System Agency. System Agency Contract No. 2017-049800-001 v. 06.771016 page 2 ATTACHMENT A STATEMENT OF WORK 1. If selected by the System Agency to participate in the Breastfeeding Peer Dad Program, Grantee shall submit to System Agency for review and approval a quarterly activity report in a format designated by System Agency. The activity report shall include goals and objectives, strategies, activities, timeline of events and performance measures for implementing and evaluating the program. Grantee shall submit the activity report to System Agency within 30 calendar days after the end of the each quarter during the Contract term. S. Implement special projects according to System Agency -approved plan related to nutrition education, outreach or breastfeeding if project is requested by Grantee and approved by System Agency. Funding for special projects is contingent upon availability and approval in writing by System Agency of the Grantee's plan for the special project. T. Implement lactation services for WIC program participants who have breastfeeding problems that are beyond the scope of practice of Grantee's WIC staff and/or peer counselors using International Board Certified Lactation Consultants (IBCLC)orthe most qualified equivalent. Lactation services may also include Local Agencystafftraining and the provision of lactation equipment. System Agency will provide written approval of Grantee's plan to use lactation funding. U. Ensure adequate staff coverage and uninterrupted delivery of WIC services ifany member of Grantee's staff is approved in writing by System Agency to participate in the System Agency's dietetic Internship program. This internship will consist of no less than 1,200 hours of supervised learning experiences in a variety ofnutrition-related facilities. Grantee is responsible for: I. Designating a WIC Nutritionist, preferably a registered dietitian, to be the Community Nutrition WIC Preceptor and oversee and evaluate intern's performance for the Community Nutrition (CN)/WIC portion of the System Agency dietetic internship. 2. The Community Nutrition Preceptor to ensure that the dietetic interns meet all requirements, standards and required supervised practice hours for the CN Supervised Practice as outlined by the System Agency's WIC Program. 3. Ensuring that the intern is not used for regular WIC duties during the internship period. 4. Collecting pay -back monies from intern in the event that the intern does not fulfill dietetic internship local agency contract requirements. Monies must be retumed to System Agency. V. Stock System Agency provided manual pumps, single -user electric breast pumps and mufti -user electric breast pumps, collection kits, and purchase additional sized flanges. Distribute the appropriate pumps, kits, and/or additional sized flanges to eligible WIC participants. System Agency reserves the right to withhold payment if Grantee fails to accurately complete and submit online breast pump receiving reports within three (3) business days of receiving a System Agency breast pump delivdry as documented in the current WIC Local Agency policy and procedure manual. System Agency Contract No. 2017.049800-001 v. 06.22?016 Page 3 ATTACHMENT A STATEMENT OF WORK W. Implement or expand Grantee's use of a Registered Dietitian (RD) who is registered with the Commission on Dietetic Registration to provide for Grantee that includes, but not limited to: assistance with quality assurance, staff training, assistance with the Annual Nutrition Education and Breastfeeding plan, individual counseling for high-risk participants, and facilitated discussion classes. X. Implement or expand the obesity grant now named the Improving the Client Experience (ICE) grant. The ICE grant will enable Grantee to develop and implement initiatives and strategies to improve the client experience and alleviate client "pain points," thus improving the quality of services and client satisfaction. Examples of Grantee initiatives to access these funds include, but are not limited to, enhancing nutrition education activities such as cooking demonstrations, gardening activities, and supermarket tours; improving the WIC participant shopping experience by using funding for vendor liaison expenses to ensure local area grocery stores are complying with policies; cultivating Grantee staffand participant collaborations by making the clinic environment more conducive to open communication with round tables, sofas, etc.; incorporating materials and methods that will improve customer service and clinic flow; and upgrading the clinic to make it more child -friendly. Grantee shall submit proposed initiatives and required reports in a frequency and format designated by System Agency for review and approval. if selected by System Agency, Grantee shall appoint a grant coordinator to oversee the implementation and evaluation of each initiative. Y. Ifselected by System Agency, serve as an Innovation Center to implement special nutrition education and retention projects as proposed to System Agency. Innovation Center projects include, but not limited to, emotion -based counseling techniques, telecommunication health and nutrition support via web -cam, phone, and/or e-mail, parent- child support groups, child -friendly activities, unique group nutrition education including physical activity, hands-on components, or cooking demonstrations, program evaluations, community education and outreach, and other special projects related to health and behavior change proposed by the Grantee if approved by System Agency. Grantee shall designate an Innovation Lead who is responsible for overseeing local agency staff training, implementation, and evaluation of Center activities. Grantee shall participate in activities as requested by System Agency, including but not limited to, providing observation and training activities to staff from other WIC local agencies, writing news articles, participating in training and evaluation efforts, attending workgroup meetings, and presenting progress on activities to various audiences Grantee activities will comply with written Innovation Center plan submitted and approved by DSHS which is incorporated by reference. Grantee will submit reports in a frequency and in a format designated by System Agency. Z. Grantee shall resolve all possible dual participation records each month. System Agency reserves the right to withhold payment if Grantee fails to accurately resolve all possible System Agency Contract No. 2017-049800-001 v. 06 22.2016 page 4 ATTACHMENT A STATEMENT OF WORK dual participation records within three (3) months from the month of the automated alert within the MIS system. AA. All activities related to WIC program, including timeframes, budget, and any revisions shall be approved by System Agency. BB. Submit to System Agency the following deliverables in a format designated by System Agency: 1. Monthly WIC Local Agency Performance Measure Report submitted by the 15th calendar day of the following month; and 2. Monthly Extended Hours Summary Report submitted by the 15t' calendar day ofthe following month. II. PERFORMANCE MEASURES The System Agency will monitor the Grantee's performance ofthe requirements in this Attachment A and compliance with the Contract's terms and conditions. The following performance measures will be used to assess, in part, Grantee's effectiveness in providing the services described in the Contract, without waiving the enforceability of any of the other terms of the contract. A. Grantee shall ensure: I. An average of 95% of families each quarter who participate in WIC Program by receiving food benefits shall also receive nutrition education classes or individual counseling services to coincide with food instrument issuance; 2. An average of 20% of all pregnant women who enter the WIC Program each quarter shall be certified as eligible during the period ofthe first trimester of their pregnancy; 3. An average of 80% of clients a quarter who are enrolled in the WIC Program, excluding dual participants, transfer locked and/or migrant clients, shall participate as food benefit recipients each month (breast-feeding infants are also included in the client count); and 4. 100% of participants who indicate during the enrollment process for the WIC Program that they have no source of health care shall be referred to at least one (1) source of health care at certification of eligibility. III. INVOICE AND PAYMENT A. Grantee will request monthly payments using the State of Texas Purchase Voucher (Form B-13) at http://www.dshs.texas.gov/grants/forms.shtm and submit with any supporting documentation by electronic mail to DSHS Contract Development and Support Branch at WicVouchers@dshs.state.tx.us. System Agency Contract No. 2017-044800-001 v.06.22.2016 Page 5 ATTACHMENT A STATEMENT OF WORK . Grantee shall indicate separately on the face of the State of Texas Purchase Voucher, the costs associated with nutrition education, breast-feeding, and other administrative costs. B. Grantee will submit Financial Status Reports (FSR) by electronic mail to the DSHS Contract Development and Support Branch at W icVouchers("a dshs.state.tx.us by the last business day of the month following the end of each quarter of the Contract term for review and financial assessment. C. Grantee will be paid on a cost categorical basis and in accordance with the terms of this Contract. D. All payments made by System Agency to Grantee under this Contract will be reimbursements subject to the following requirements, conditions and stipulations: I. All categories of costs billed to System Agency and allocation of such costs, shall be in accordance with the Pian to Allocate Direct Costs (PADC) submitted by Grantee and accepted by the System Agency. This document is incorporated in the Contract by reference. 2. System Agency will reimburse Grantee for administrative costs incurred when determining eligibility, providing appropriate nutrition education and counseling, issuing WIC Electronic Benefit Transfer (EBT) cards, making participant referrals, vendor evaluation, outreach, start-up costs and general administrative support. 3. Administrative costs will be reimbursed based on actual costs, but not to exceed the "maximum reimbursement" based upon the sum of the participants who were issued WIC EBT cards each month plus infants who do not receive any WIC EBT cards whose breastfeeding mothers were participants to the extent that the total so derived does not exceed Grantee's total assigned caseload within any given month. Surplus funds (the amount by which maximum reimbursements exceed actual costs) can be accumulated and carried forward within the Contract term. 4. The participant caseload will be assigned by System Agency by giving written notice to Grantee. The participant caseload is subject to change upon written notice to Grantee from System Agency with Grantee's concurrence. Grantee assumes liability for all food costs resulting from Grantee exceeding its assigned caseload. The number of individuals served in excess of assigned caseload are not to be included in the calculation of earned administrative funds as described below. 5. Grantee may be allowed the option of receiving a two (2) month cash advance in accordance with current System Agency's WIC program policy and procedures. 6. Surplus encumbered by September 30 shall be billed and vouchers received by System Agency no later than 45 calendar days following the Contract term. System Agency Contract No. 2017-049800-001 v. 06.22.2016 Page 6 ATTACHMENT A STATEMENT OF WORK E. Grantee shall earn administrative funds at the rate of S14.08 for each participant served as defined in this Contract. Grantee agrees that: 1. Grantee shall identify and document separately not less than 19% of total administrative costs as expenditures directly related to nutrition education and counseling. Nutrition education and counseling expenditures shall be supported by documentation of participant attendance or non-attendance within the WIC Program. 2. System Agency will reimburse Grantee for administrative expenses at a rate not greater than 5.26 times the amount of properly documented expenditures for nutrition education and counseling, but not more than is earned based on actual participation not to exceed Grantee's assigned participant caseload, plus any incentive funds allocated to Grantee by System Agency. 3. System Agency will reimburse Grantee's indirect costs by one of the following: a. Amount calculated in accordance with Grantee's current vaiid federally negotiated indirect cost rate (IDCR), b. Amount calculated in accordance with Grantee's accepted System Agency Cost AI location Plan (CAP). System Agency will limit CAP reimbursement at twenty (20) percent applied to Grantee's total direct salaries plus benefits reimbursed by System Agency, or d. A Grantee that has never negotiated an IDCR may elect to charge a de minimis rate of 10% of modified total direct costs. 4. System Agency will identify annually to Grantee an amount of funds that shall be spent for breastfeeding promotion. The allocation of breastfeeding funds to Grantee will be based on Grantee's proportional share of the statewide combined total of pregnant and breastfeeding participants as reported to System Agency. 5. System Agency reserves the right to withhold a proportionate amount of earned administrative funds when evidence exists that nutrition education and/or breastfeeding promotion is not being provided by Grantee, or Grantee is not complying with the provisions of USDA and/or System Agency directives. 6. System Agency may amend or terminate the Contract if available funds become reduced, depleted, or unavailable during the term of the Contract to the extent that the WIC Program is unable to provide administrative funding at the rate(s) stated in this Contract. System Agency will notify Grantee if a change in funding occurs and Grantee will have sixty (60) days to provide written notice to System Agency with intention to terminate this contract. 7. During the term of the Contract, System Agency may, at its sole discretion, unilaterally adjust the base reimbursement rate as defined in this attachment Wit is in the best interest of System Agency and if administrative WIC Grant funds change. System Agency Contract No. 2017-049800-001 v. 06.22.2016 Page 7 ATTACHMENT A STATEMENT OF WORK 8. System Agency may, at its sole discretion, pay for additional goods or services, as specified in this attachment, if provided by Grantee during the term of the Contract and not otherwise paid during the Contract term if it is in the best interest of System Agency. If Grantee exceeds the amount of earned administrative funds as stated above, Grantee shall continue to bill System Agency for the services provided. If additional funds become available at a later date for the provision of these services, System Agency may elect to pay Grantee a share of these funds. 9. System Agency may provide extended hours funding to Grantee for participants who are provided WIC services outside the normal traditional hours to the extent that federal funding is available. System Agency Contract No. 2017-049800-001 v. 06?3?016 Page 8 HHSC Uniform Terms and Conditions Version 2.13 Published and Effective July 15, 2018 Responsible Office Chief Counsel EIJ* iii TEXAS Health and Human Services Commission Health and Human Services Commission HHSC Uniform Terms and Conditions - Grant Version 2.13 TABLE OF CONTENTS ARTICLE L DEFINITIONS AND INTERPRETIVE PROVISIONS 4 1.01 Definitions 4 1.02 Interpretive Provisions 5 ARTICLE I1 Payment Methods and Restrictions 6 2.01 Payment Methods 6 2.03 Final Billing Submission 6 2.03 Financial Status Reports (FSRs) 7 3.04 Debt to State and Corporate Status 7 3.05 Application of Payment Due 7 2.06 Use of Funds 7 2.07 Use for Match Prohibited 7 2.08 Program Income 7 2.09 Nonsupplanting 8 ARTICLE III. STATE AND FEDERAL FUNDING 8 3.0I Funding 8 3.02 No debt Against the State 8 3.03 Debt to State... 8 3.04 Recapture of Funds 8 ARTICLE IV AIlowable Costs and Audit Requirements 9 4.01 Allowable Costs. 9 4.02 Independent Single or Program -Specific Audit 10 4.03 Submission of Audit 10 Article V AFFIRMATIONS, ASSURANCES AND CERTIFICATIONS 11 5.01 General Affirmations 11 5.02 Federal Assurances 11 5.03 Federal Certifications 11 ARTICLE VI OWNERSHIP AND INTELLECTUAL PROPERTY 11 6.01 Ownership 11 6.02 Intellectual Property 11 ARTICLE VII RECORDS, AUDIT, AND DISCLOSURE 11 7.01 Books and Records 11 7.02 Access to records, books, and documents 12 v 0603 16 Grantee Uniform Terms and Conditions Page 2 of 19 7.03 Response/compliance with audit or inspection findings 12 7.04 SAO Audit 12 7.05 Confidentiality 13 7.06 Public Information Act 13 ARTICLE VIII CONTRACT MANAGEMENT AND EARLY TERMINATION 13 8.01 Contract Management 13 8.02 Termination for Convenience 13 8.03 Termination for Cause 13 8.04 Equitable Settlement 14 ARTICLE IX MISCELLANEOUS PROVISIONS 14 9.01 Amendment 14 9.02 Insurance 14 9.03 Legal Obligations 14 9.04 Permitting and Licensure 14 9.05 Indemnity 15 9.06 Assignments 15 9.07 Relationship of the Parties 15 9.08 Technical Guidance Letters 16 9.09 Governing Law and Venue 16 9.11 Survivability 16 9.12 Force Majeure 17 9.13 No Waiver of Provisions 17 9.14 Publicity 17 9.15 Prohibition on Non -compete Restrictions 17 9.16 No Waiver of Sovereign Immunity 17 9.17 Entire Contract and Modification 17 9.18 Counterparts 17 9.19 Proper Authority.... 18 9.20 Employment Verification 18 9.21 Civil Rights 18 v 06.43 16 Grantee Uniform Terms and Conditions Page 3 of 19 ARTICLE L DEFINITIONS AND INTERPRETIVE PROVISIONS 1.01 Definitions As used in this Contract, unless the contcxt clearly indicates otherwise, the following terms and conditions have the meanings assigned below: "Amendment" means a written agreement, signed by the parties hereto, which documents changes to the Contract other than those permitted by Work Orders or Technical Guidance Letters, as herein defined. "Attachment" means documents, terms, conditions, or additional information physically added to this Contract following the Signature Document or included by reference, as if physically, within the body of this Contract. "Contract" means the Signature Document, these Uniform Terms and Conditions, along with any Attachments, and any Amendments, or Technical Guidance Letters that may be issued by the System Agency, to be incorporated by reference herein for all purposes if issued. "Deliverable" means a work product prepared, developed, or pmcured by Grantee as part of the Services under the Contract for the use or benefit of the System Agency or the State of Texas. "Effective Date" means the date agreed to by the Parties as the date an which the Contract takes effect. "System Agency" means HHSC or any of the agencies of the State of Texas that are overseen by HHSC under authority granted under State law and the officers, employees, and designees of those agencies. These agencies include: the Department of Aging and Disability Services, the Department of Assistive and Rehabilitative Services, the Department of Family and Protective Services, and the Department of State Health Services. "Federal Fiscal Year" means the period beginning October I and ending September 30 each year, which is the annual accounting period for the United States government. "GAAP" means Generally Accepted Accounting Principles. "GASB" means the Governmental Accounting Standards Board. "Grantee" means the Party receiving funds under this Contract, if any. "Health and Human Services Commission" or "HFC" means the administrative agency established under Chapter 531, Texas Government Code or its designee. "HUB" means Historically Underutilized Business, as defined by Chapter 2161 of the Texas Government Code. "Intellectual Property" means inventions and business processes, whether or not patentable; works of authorship; trade secrets; trademarks; service marks; industrial designs; and creations 9. 0603 16 Grantee Uniform Terms and Conditions Page 4 of 19 that are subject to potential legal protection incorporated in any Deliverable and first created or developed by Grantee, Grantee's contractor or a subcontractor in performing the Project. "Mentor Protege" means the Comptroller of Public Accounts' leadership program found at: http://www. wind o w.s ta te. tx.us/procurement/prog/hub'mentorpmtege/. "Parties" means the System Agency and Grantee, collectively. "Party" means either the System Agency or Grantee, individually. "Program" means the statutorily authorized activities of the System Agency under which this Contract has been awarded. "Praiect" means specific activities of the Grantee that are supported by funds provided under this Contract. "Public Information Act" or "PIA" means Chapter 552 of the Texas Government Code. "Statement of Work" means the description of activities performed in completing the Project, as specified in the Contract and as may be amended. "Signature Document" means the document executed by both Parties that specifically sets forth all of the documents that constitute the Contract. "Solicitation" means the document issued by the System Agency under which applications for Program funds were requested, which is incorporated herein by reference for all purposes in its entirety, including alI Amendments and Attachments. "Solicitation Response" means Grantee's full and complete response to the Solicitation, which is incorporated herein by reference for all purposes in its entirety, including any Attachments and addenda. "State Fiscal Year" means the period beginning September 1 and ending August 31 each year, which is the annual accounting period for the State of Texas. "State of Texas Tcxtrrrmvet" means Texas Administrative Code, Title 34, Part 1, Chapter 5, Subchapter C, Section 5.22, relative to travel reimbursements under this Contract, if any. "Technical Guidance Letter" or "TGL" means an instruction, clarification, or interpretation of the requirements of the Contract, issued by the System Agency to the Grantee. 1.02 Interpretive Provisions a. The meanings of defined terms are equally applicable to the singular and plural forms of the defined terms. b. The words "hereof," "herein," "hereunder," and similar words refer to this Contract as a whole and not to any particular provision, section, Attachment, or schedule of this Contract unless otherwise specified. c. The term "including" is not limiting and means "including without limitation" and, unless otherwise expressly provided in this Contract, (i) references to contracts (including this Contract) and other contractual instruments shall be deemed to include all subsequent v 06.03.16 Grantee Uniform Terms and Conditions Page 5 of 19 Amendments and other modifications thereto, but only to the extent that such Amendments and other modifications are not prohibited by the terms of this Contract, and (ii) references to any statute or regulation are to be construed as including all statutory and regulatory provisions consolidating, amending, replacing, supplementing, or interpreting the statute or regulation. d. Any references to "sections," "appendices," or "attachments" are references to sections, appendices, or attachments of the Contract. e. Any references to agreements, contracts, statutes, or administrative rules or regulations in the Contract are references to these documents as amended, modified, or supplemented from time to time during the term of the Contract. f. The captions and headings of this Contract are for convenience of reference only and do not affect the interpretation of this Contract. g. All Attachments within this Contract, including those incorporated by reference, and any Amendments are considered part of the terms of this Contract. h. This Contract may use several different limitations, regulations, or policies to regulate the same or similar matters. All such limitations, regulations, and policies are cumulative and each will be performed in accordance with its terms. i. Unless otherwise expressly provided, reference to any action of the System Agency or by the System Agency by way of consent, approval, or waiver will be deemed modified by the phrase "in its sole discretion." j. Time is of the essence in this Contract. ARTICLE II PAYMENT METHODS AND RESTRICTIONS 2.0I Payment Methods Except as otherwise provided by the provisions of the Contract, the payment method will be one or more of the following: a. cost reimbursement. This payment method is based on an approved budget and submission of a request for reimbursement of expenses Grantee has incurred at the time of the request; b. unit rate/fee-for-service. This payment method is based on a fixed price or a specified rate(s) or fee(s) for delivery of a specified unit(s) of service and acceptable submission of all required documentation, forms and/or reports; or c. advance payment. This payment method is based on disbursal of the minimum necessary funds to cany out the Program or Project where the Grantee has implemented appropriate safeguards. This payment method will only be utilized in accordance with governing law and at the sole discretion of the System Agency. Grantees shall bill the System Agency in accordance with the Contract. Unless otherwise specified in the Contract, Grantee shall submit requests for reimbursement or payment monthly by the last business day of the month following the month in which expenses were incurred or services provided. Grantee shall maintain all documentation that substantiates invoices and make the documentation available to the System Agency upon request. 2.02 Final Billing Submission Unless otherwise provided by the System Agency, Grantee shall submit a reimbursement or payment request as a final close-out invoice not later than forty-five (45) calendar days following + 16 43.16 Grantee 1. niform Terms and Conditions Page 6 o(19 the end of the term of the Contract. Reimbursement or payment requests received in the System Agency's offices more than forty-five (45) calendar days following the termination of the Contract may not be paid. 2.03 Financial Status Reports (FSRs) Except as otherwise provided in these General Provisions or in the terms of any Program Attachment(s) that is incorporated into the Contract, for contracts with categorical budgets, Grantee shall submit quarterly FSRs to Accounts Payable by the last business day of the month following the end of each quarter of the Program Attachment term for System Agency review and financial assessment. Grantee shall submit the final FSR no later than forty-five (45) calendar days following the end of the applicable term. 2.04 Debt to State and Corporate Status Pursuant to Tex. Gov. Code § 403.055, the Department will not approve and the State Comptroller will not issue payment to Grantee if Grantee is indebted to the State for any reason, including a tax delinquency. Grantee, if a corporation, certifies by execution of this Contract that it is current and will remain current in its payment of franchise taxes to the State of Texas or that it is exempt from payment of franchise taxes under Texas law (Tex. Tax Code §§ 171.00I et seq.). If tax payments become delinquent during the Contract term, all or part of the payments under this Contract may be withheld until Grantee's delinquent tax is paid in full. 2.05 Application of Payment Due Grantee agrees that any payments due under this Contract will be applied towards any debt of Grantee, including but not limited to delinquent taxes and child support that is owed to the State of Texas. 2.06 Use of Funds Grantee shall expend funds provided under this Contract only for the provision of approved services and for reasonable and allowable expenses directly related to those services. 2.07 Use for Match Prohibited Grantee shall not use funds provided under this Contract for matching purposes in securing other funding without the written approval of the System Agency. 2.08 Program Income Income directly generated from funds provided under this Contract or earned only as a result of such funds is Program Income. Unless otherwise required under the Program, Grantee shall use the addition alternative, as provided in UGMS § _25(g)(2), for the use of Project income to further the Program, and Grantee shall spend the Program Income on the Project. Grantee shall identify and report this income in accordance with the Contract, applicable law, and any programmatic guidance. Grantee shall expend Program Income during the Contract term and may not carry Program Income forward to any succeeding term. Grantee shall refund program income to the System Agency if the Program Income is not expended in the term in which it is earned. The System Agency may base future funding levels, in part, upon Grantee's proficiency in identifying, billing, collecting, and reporting Program Income, and in using it for the purposes and wider the conditions specified in this Contract. v 06.03 16 Grantee Uniform Terms and Conditions Page 7 of 19 2.09 Nonsupplanting Grantee shall not use funds from this Contract to replace or substitute for existing funding from other but shall use funds from this Contract to supplement existing state or local funds currently available. Grantee shall make a good faith effort to maintain its current level of support. Grantee may be required to submit documentation substantiating that a reduction in state or local funding, if any, resulted for reasons other than receipt or expected receipt of funding under this Contract. ARTICLE III. STATE AND FEDERAL FUNDING 3.01 Funding This Contract is contingent upon the availability of sufficient and adequate funds. If funds become unavailable through lack of appropriations, budget cuts, transfer of funds between programs or agencies, amendment of the Texas General Appropriations Act, agency consolidation, or any other disruptions of current funding for this Contract, the System Agency may restrict, reduce, or terminate funding under this Contract. This Contract is also subject to immediate cancellation or termination, without penalty to the System Agency, if sufficient and adequate funds are not available. Grantee will have no right of action against the System Agency if the System Agency cannot perform its obligations under this Contract as a result of lack of funding for any activities or functions contained within the scope of this Contract. In the event of cancellation or termination under this Section, the System Agency will not be required to give notice and will not be liable for any damages or losses caused or associated with such termination or cancellation. 3.02 No debt Against the State The Contract will not be construed as creating any debt by or on behalf of the State of Texas. 3.03 Debt to State If a payment law prohibits the Texas Comptroller of Public Accounts from making a payment, the Grantee acknowledges the System Agency's payments under the Contract will be applied toward eliminating the debt or delinquency. This requirement specifically applies to any debt or delinquency, regardless of when it arises. 3.04 Recapture of Funds The System Agency may withhold all or part of any payments to Grantee to offset overpayments made to the Grantee. Overpayments as used in this Section include payments (i) made by the System Agency that exceed the maximum allowable rates; (ii) that are not allowed under applicable laws, rules, or regulations; or (iii) that are otherwise inconsistent with this Contract, including any unapproved expenditures. Grantee understands and agrees that it will be liable to the System Agency for any costs disallowed pursuant to financial and compliance audit(s) of funds received under this Contract. Grantee further understands and agrees that reimbursement of such disallowed costs will be paid by Grantee from funds which were not provided or otherwise made available to Grantee under this Contract. v 064116 Grantee Uniform Terns and Conditions Page 8 of 19 ARTICLE IV ALLOWABLE COSTS AND AUDIT REQUIREMENTS 4.01 AIlowable Costs. System Agency will reimburse the allowable costs incurred in performing the Project that are sufficiently documented. Grantee must have incurred a cost prior to claiming reimbursement and within the applicable term to be eligible for reimbursement under this Contract. The System Agency will determine whether costs submitted by Grantee are allowable and eligible for reimbursement. If the System Agency has paid funds to Grantee for unallowable or ineligible costs, the System Agency will notify Grantee in writing, and Grantee shall return the funds to the System Agency within thirty (30) calendar days of the date of this written notice. The System Agency may withhold all or part of any payments to Grantee to offset reimbursement for any unallowable or ineligible expenditure that Grantee has not refunded to the System Agency, or if financial status report(s) required under the Financial Status Reports section are not submitted by the due date(s). The System Agency may take repayment (recoup) from funds available under this Contract in amounts necessary to fulfill Grantee's repayment obligations. Applicable cost principles, audit requirements, and administrative requirements include - Applicable Entity Applicable Cost Principles Audit Requirements Administrative Requirements State, Local and Tribal Governments 2 CFR, Part 225 2 CFR Part 200, Subpart F and UGMS 2 CFR Part 200 and UGMS Educational Institutions 2 CFR, Part 220 2 CFR Part 200, Subpart F and UGMS 2 CFR Part 200 and UGMS Non -Profit Organizations 2 CFR, Part 230 2 CFR Part 200, Subpart F and UGMS 2 CFR Part 200 and UGMS For-profit Organization other than a hospital and an organization named in OMB Circular A-122 (2 CFR Part, 230) as not subject to that circular. 48 CFR Part 31, Contract Cost Principles Procedures, or uniform cost accounting standards that comply with cost principles acceptable to the federal or state awarding agency 2 CFR Part 200, Subpart F and UGMS 2 CFR Part 200 and UGMS v 0603 16 Grantee Uniform Terms and Conditions Page 9 of 19 OMB Circulars will be applied with the modifications prescribed by UGMS with effect given to whichever provision imposes the more stringent requirement in the event of a conflict. 4.02 Independent Single or Program -Specific Audit If Grantee, within Grantee's fiscal year, expends a total amount of at least SEVEN HUNDRED FIFTY THOUSAND DOLLARS (S750,000) in federal funds awarded, Grantee shall have a single audit or program -specific audit in accordance with the 2 CFR 200. The S750,000 federal threshold amount includes federal funds passed through by way of state agency awards. If Grantee, within Grantee's fiscal year, expends a total amount of at least S750,000 in state funds awarded, Grantee must have a single audit or program -specific audit in accordance with UGMS, State of Texas Single Audit Circular. For-profit Grantees whose expenditures meet or exceed the federal or state expenditure thresholds stated above shall follow the guidelines in 2 CFR 200 or UGMS, as applicable, for their program -specific audits. The HHSC Office of Inspector General (OIG) will notify Grantee to complete the Single Audit Status Registration Form. If Grantee fails to complete the Single Audit Status Form within thirty (30) calendar days after notification by 01G to do so, Grantee shall be subject to the System Agency sanctions and remedies for non-compliance with this Contract. The audit must be conducted by an independent certified public accountant and in accordance with applicable OMB Circulars, Government Auditing Standards, and UGMS. Grantee shall procure audit services in compliance with this section, stale procurement procedures, as well as with the provisions of UGMS 4.03 Submission of Audit Within thirty (30) calendar days of receipt of the audit reports required by the Independent Single or Program -Specific Audit section, Grantee shall submit one copy to the System Agency as directed in this Contract. The Grantee will also submit a copy of the Independent Single or Program -Specific Audit to the OIG, at the following address: Health and Human Services Commission Office of Inspector General Compliance/Audit, Mail Code 1326 P.O. Box 85200 Austin, Texas 78708-5200 Electronic submission to OIG should be addressed as follows: Dani. ficlding@a hhsc.state.tx,us If Grantee fails to submit the audit report as required by the Independent Single or Program - Specific Audit section within thirty (30) calendar days of receipt by Grantee of an audit report, Grantee shall be subject to the System Agency sanctions and remedies for non-compliance with this Contract. t 06.03 16 Grantee Uniform Terms and Conditions Page 10of19 ARTICLE V AFFIRMATIONS, ASSURANCES AND CERTIFICATIONS 5.01 General Affirmations Grantee certifies that, to the extent General Affirmations are incorporated into the Contract under the Signature Document, the General Affirmations have been reviewed and that Grantee is in compliance with each of the requirements reflected therein. 5.02 Federal Assurances Grantee further certifies that, to the extent Federal Assurances are incorporated into the Contract under the Signature Document, the Federal Assurances have been reviewed and that Grantee is in compliance with each of the requirements reflected therein. 5.03 Federal Certifications Grantee further certifies, to the extent Federal Certifications are incorporated into the Contract under the Signature Document, that the Federal Certifications have been reviewed, and that Grantee is in compliance with each of the requirements reflected therein. In addition, Grantee certifies that ft is In compliance with all applicable federal laws, rules, or regulations, as they may pertain to this Contract. ARTICLE VI OWNERSHIP AND INTELLECTUAL PROPERTY 6.01 Ownership The System Agency will own, and Grantee hereby assigns to the System Agency, all right, title, and interest in all Deliverables. 6.02 Intellectual Property a. The System Agency and Grantee will retain ownership, all rights, title, and interest in and to, their respective pre-existing Intellectual Property. A license to either Party's pre-existing Intellectual Property must be agreed to under this or another contract. b. Grantee grants to the System Agency and the State of Texas a royalty -free, paid up, worldwide, perpetual, non-exclusive, non -transferable license to use any Intellectual Property invented or created by Grantee, Grantee's contractor, or a subcontractor in the performance of the Project. Grantee will require its contractors to grant such a license under its contracts. ARTICLE VII RECORDS, AUDIT, AND DISCLOSURE 7.01 Books and Records Grantee will keep and maintain under GAAP or GASB, as applicable, full, true, and complete records necessary to fully disclose to the System Agency, the Texas State Auditor's Office, the United States Government, and their authorized representatives sufficient information to determine compliance with the terms and conditions of this Contract and all state and federal rules, regulations, and statutes. Unless otherwise specified in this Contract, Grantee will maintain legible copies of this Contract and all related documents for a minimum of seven (7) years after the termination of the contract period or seven (7) years after the completion of any litigation or dispute involving the Contract, whichever is later. v.060316 Grantee Uniform Terms and Conditions Page l l of 19 7.02 Access to records, books, and documents In addition to any right of access arising by operation of law, Grantee and any of Grantee's affiliate or subsidiary organizations, or Subcontractors will permit the System Agency or any of its duly authorized representatives, as well as duly authorized federal, state or local authorities, unrestricted access to and the right to examine any site where business is conducted or Services are performed, and all records, which includes but is not limited to financial, client and patient records, books, papers or documents related to this Contract. If the Contract includes federal funds, federal agencies that will have a right of access to records as described in this section include: the federal agency providing the funds, the Comptroller General of the United States, the General Accounting Office, the Office of the Inspector General, and any of their authorized representatives. In addition, agencies of the State of Texas that will have a right of access to records as described in this section include: the System Agency, HHSC, HHSC's contracted examiners, the State Auditor's Office, the Texas Attorney General's Office, and any successor agencies. Each of these entities may be a duly authorized authority. If deemed necessary by the System Agency or any duly authorized authority, for the purpose of investigation or hearing, Grantee will produce original documents related to this Contract. The System Agency and any duly authorized authority will have the right to audit billings both before and after payment, and all documentation that substantiates the billings_ Grantee will include this provision concerning the right of access to, and examination of, sites and information related to this Contract in any Subcontract it awards. 7.03 Response/compliance with audit or inspection findings a. Grantee must act to ensure its and its Subcontractor's compliance with all corrections necessary to address any finding of noncompliance with any law, regulation, audit requirement, or generally accepted accounting principle, or any other deficiency identified in any audit, review, or inspection of the Contract and the goods or services provided hereunder. Any such correction will be at Grantee or its Subcontractor's sole expense. Whether Grantee's action corrects the noncompliance will be solely the decision of the System Agency. b. As part of the Services, Grantee must provide to HHSC upon request a copy of those portions of Grantee's and its Subcontractors' intemal audit reports relating to the Services and Deliverables provided to the State under the Contract. 7.04 SAO Audit Grantee understands that acceptance of funds directly under the Contract or indirectly through a Subcontract under the Contract acts as acceptance of the authority of the State Auditor's Office (SAO), or any successor agency, to conduct an audit or investigation in connection with those funds. Under the direction of the legislative audit committee, an entity that is the subject of an audit or investigation by the SAO must provide the SAO with access to any information the SAO considers relevant to the investigation or audit. Grantee agrees to cooperate fully with the SAO or its successor in the conduct of the audit or investigation, including providing all records requested. Grantee will ensure that this clause concerning the authority to audit funds received indirectly by Subcontractors through Grantee and the requirement to cooperate is included in any Subcontract it awards. v tl6D3 16 Grantee Uniform Terms and Conditions Page 12or19 7.05 Confidentiality Any specific confidentiality agreement between the Parties takes precedent over the terms of this section. To the extent permitted by law, Grantee agrees to keep all information confidential, in whatever form produced, prepared, observed, or received by Grantee. The provisions of this section remain in full force and effect following termination or cessation of the services performed under this Contract. 7.06 Public Information Act Information related to the performance of this Contract may be subject to the PIA and will be withheld from public disclosure or released only in accordance therewith. Grantee must make all information not otherwise excepted from disclosure under the PIA available in portable document file (".pdf') format or any other format agreed between the Parties. ARTICLE VIII CONTRACT MANAGEMENT AND EARLY TERMINATION 8.01 Contract Management To ensure full performance of the Contract and compliance with applicable Iaw, the System Agency may take actions including: a. Suspending all or part of the Contract; b. Requiring the Grantee to take specific corrective actions in order to remain in compliance with term of the Contract; c. Recouping payments made to the Grantee found to be in error, d. Suspending, limiting, or placing conditions on the continued performance of the Project; e. Imposing any other remedies authorized under this Contract; and f. Imposing any other remedies, sanctions or penalties permitted by federal or state statute, law, regulation, or rule. 8.02 Termination for Convenience The System Agency may terminate the Contract at any time when, in its sole discretion, the System Agency determines that termination is in the best interests of the State of Texas. The termination will be effective on the date specified in HHSC's notice of termination. 8.03 Termination for Cause Except as otherwise provided by the U.S. Bankruptcy Code, or any successor law, the System Agency may terminate the Contract, in whole or in part, upon either of the following conditions: a. Material Breach The System Agency will have the right to terminate the Contract in whole or in part if the System Agency determines, at its sole discretion, that Grantee has materially breached the Contract or has failed to adhere to any laws, ordinances, rules, regulations or orders of any public authority having jurisdiction and such violation prevents or substantially impairs performance of Grantee's duties under the Contract. Grantee's misrepresentation in any aspect of Grantee's Solicitation Response, if any or Grantee's addition to the Excluded Parties List System (EPLS) will also constitute a material breach of the Contract. b. Failure to Maintain Financial Viability v.060316 Grantee Uniform Terms and Conditions Page 13 of 19 The System Agency may terminate the Contract if, in its sole discretion, the System Agency has a good faith belief that Grantee no longer maintains the financial viability required to complete the Services and Deliverables, or otherwise fully perform its responsibilities under the Contract. 8.04 Equitable Settlement Any early termination under this Article will be subject to the equitable settlement of the respective interests of the Parties up to the date of termination. ARTICLE IX MISCELLANEOUS PROVISIONS 9.01 Amendment The Contract may only be amended by an Amendment executed by both Parties. 9.02 Insurance Unless otherwise specified in this Contract, Grantee will acquire and maintain, for the duration of this Contract, insurance coverage necessary to ensure proper fulfillment of this Contract and potential liabilities thereunder with financially sound and reputable insurers licensed by the Texas Department of Insurance, in the type and amount customarily carried within the industry as determined by the System Agency. Grantee will provide evidence of insurance as required under this Contract, including a schedule of coverage or underwriter's schedules establishing to the satisfaction of the System Agency the nature and extent of coverage granted by each such policy, upon request by the System Agency. In the event that any policy is determined by the System Agency to be deficient to comply with the terms of this Contract, Grantee will secure such additional policies or coverage as the System Agency may reasonably request or that are required by law or regulation. If coverage expires during the term of this Contract, Grantee must produce renewal certificates for each type of coverage. These and all other insurance requirements under the Contract apply to both Grantee and its Subcontractors, if any. Grantee is responsible for ensuring its Subcontractors' compliance with all requirements. 9.03 Legal Obligations Grantee will comply with all applicable federal, state, and local laws, ordinances, and regulations, including all federal and state accessibility laws relating to direct and indirect use of information and communication technology. Grantee will be deemed to have knowledge of all applicable laws and regulations and be deemed to understand them. In addition to any other act or omission that may constitute a material breach of the Contract, failure to comply with this Section may also be a material breach of the Contract. 9.04 Permitting and Licensure At Grantee's sole expense, Grantee will procure and maintain for the duration of this Contract any state, county, city, or federal license, authorization, insurance, waiver, permit, qualification or certification required by statute, ordinance, law, or regulation to be held by Grantee to provide the goods or Services required by this Contract. Grantee will be responsible for payment of all taxes, assessments, fees, premiums, permits, and licenses required by law. Grantee agrees to be responsible for payment of any such government obligations not paid by its contactors or subcontractors during performance of this Contract. Grantee Uniform Terms and Conditions Page 14 of 19 I. 060316 9.05 Indemnity To THE EXTENT ALLOWED BY LAW, GRANTEE WILL DEFEND, INDEMNIFY, AND HOLD HARMLESS TIIE STATE OF TEXAS AND ITS OFFICERS AND EMPLOYEES, AND THE SYSTEM AGENCY AND ITS OFFICERS AND EMPLOYEES, FROM AND AGAINST ALL CLAIMS, ACTIONS, SUITS, DEMANDS, PROCEEDINGS, COSTS, DAMAGES, AND LIABILITIES, INCLUDING ATTORNEYS' FEES AND COURT COSTS ARISING OUT OF, OR CONNECTED WITH, OR RESULTING FROM: B. GRANTEE'S PERFORMANCE OF THE CONTRACT, INCLUDING ANY NEGLIGENT ACTS OR OMISSIONS OF GRANTEE, OR ANY AGENT, EMPLOYEE, SUBCONTRACTOR, OR SUPPLIER OF GRANTEE, OR ANY THIRD PARTY UNDER THE CONTROL OR SUPERVISION OF GRANTEE, IN THE EXECUTION OR PERFORMANCE OF THIS CONTRACT; OR b. ANY BREACH OR VIOLATION OF A STATUTE, ORDINANCE, GOVERNMENTAL REGULATION, STANDARD, RULE, OR BREACH OF CONTRACT BY GRANTEE, ANY AGENT, EMPLOYEE, SUBCONTRACTOR, OR SUPPLIER OF GRANTEE, OR ANY THIRD PARTY UNDER THE CONTROL OR SUPERVISION OF GRANTEE, IN THE EXECUTION OR PERFORMANCE OF THIS CONTRACT; OR c. EMPLOYMENT OR ALLEGED EMPLOYMENT, INCLUDING CLAIMS OF DISCRIMINATION AGAINST GRANTEE, ITS OFFICERS, OR ITS AGENTS; OR d. WORK UNDER THIS CONTRACT THAT INFRINGES OR MISAPPROPRIATES ANY RIGHT OF ANY THIRD PERSON OR ENTITY BASED ON COPYRIGHT, PATENT, TRADE SECRET, OR OTHER INTELLECTUAL PROPERTY RIGHTS. GRANTEE WILL COORDINATE ITS DEFENSE WITH THE SYSTEM AGENCY AND ITS COUNSEL. THIS PARAGRAPH IS NOT INTENDED TO AND WILL NOT BE CONSTRUED TO REQUIRE GRANTEE TO INDEMNIFY OR HOLD HARMLESS TIIE STATE OR THE SYSTEM AGENCY FOR ANY CLAIMS OR LIABILITIES RESULTING SOLELY FROM THE GROSS NEGLIGENCE OF THE SYSTEM AGENCY OR ITS EMPLOYEES. THE PROVISIONS OF THIS SECTION WILL SURVIVE TERMINATION OF THIS CONTRACT. 9.06 Assignments Grantee may not assign all or any portion of its rights under, interests in, or duties required under this Contract without prior written consent of the System Agency, which may be withheld or granted at the sole discretion of the System Agency. Except where otherwise agreed in writing by the System Agency, assignment will not release Grantee from its obligations under the Contract. Grantee understands and agrees the System Agency may in one or more transactions assign, pledge, or transfer the Contract. This assignment will only be made to another State agency or a non -state agency that is contracted to perform agency support. 9.07 Relationship of the Parties Grantee is, and will be, an independent contractor and, subject only to the terms of this Contract, will have the sole right to supervise, manage, operate, control, and direct performance of the details incident to its duties under this Contract. Nothing contained in this Contract will be deemed or construed to create a partnership or joint venture, to create relationships of an employer-employee or principal -agent, or to otherwise create for the System Agency any v 0603 16 Grantee Uniform Terms and Conditions Page 15 of 19 liability whatsoever with respect to the indebtedness, liabilities, and obligations of Grantee or any other Party. Grantee will be solely responsible for, and the System Agency will have no obligation with respect to: a. Payment of Grantee's employees for all Services performed; b. Ensuring each of its employees, agents, or Subcontractors who provide Services or Deliverables under the Contract are properly licensed, certified, or have proper permits to perform any activity related to the Work; c. Withholding of income taxes, FICA, or any other taxes or fees; d. Industrial or workers' compensation insurance coverage; c. Participation in any group insurance plans available to employees of the State of Texas; f. Participation or contributions by the State to the State Employees Retirement System; g. Accumulation of vacation leave or sick leave; or h. Unemployment compensation coverage provided by the State. 9.08 Technical Guidance Letters In the sole discretion of the System Agency, and in conformance with federal and state law, the System Agency may issue instructions, clarifications, or interpretations as may be required during Work performance in the form of a Technical Guidance Letter. A TGL must be in writing. and may be delivered by regular mail. electronic mail. or facsimile transmission. Any TGL issued by the System Agency will be incorporated into the Contract by reference herein for all purposes when it is issued. 9.09 Governing Law and Venue This Contract and the rights and obligations of the Parties hereto will be governed by, and construed according to, the laws of the State of Texas, exclusive of conflicts of law provisions. Venue of any suit brought under this Contract will be in a court of competent jurisdiction in Travis County, Texas unless otherwise elected by the System Agency. Grantee irrevocably waives any objection, including any objection to personal jurisdiction or the laying of venue or based on the grounds of forum non conveniens, which it may now or hereafter have to the bringing of any action or proceeding in such jurisdiction in respect of this Contract or any document related hereto. 9.10 Severability If any provision contained in this Contract is held to be unenforceable by a court of law or equity, this Contract will be construed as if such provision did not exist and the non - enforceability of such provision will not be held to render any other provision or provisions of this Contract unenforceable. 9.11 Survivability Termination or expiration of this Contract or a Contract for any reason will not release either party from any liabilities or obligations in this Contract that the parties have expressly agreed will survive any such termination or expiration, remain to be performed, or by their nature would be intended to be applicable following any such termination or expiration, including maintaining confidentiality of information and records retention. v 06 03 16 Grantee Uniform Terms and Conditions Page 16 of 19 9.12 Force Majeure Except with respect to the obligation of payments under this Contract, if either of the Parties, after a good faith effort, is prevented from complying with any express or implied covenant of this Contract by reason of war; terrorism; rebellion; riots; strikes; acts of God; any valid order, rule, or regulation of governmental authority; or similar events that are beyond the control of the affected Party (collectively referred to as a "Force Majeure"), then, while so prevented, the affected Party's obligation to comply with such covenant will be suspended, and the affected Party will not be liable for damages for failure to comply with such covenant. In any such event, the Party claiming Force Majeure will promptly notify the other Party of the Force Majeure event in writing and, if possible, such notice will set forth the extent and duration thereof. 9.13 No Waiver of Provisions Neither failure to enforce any provision of this Contract nor payment for services provided under it constitute waiver of any provision of the Contract. 9.14 Publicity Except as provided in the paragraph below, Grantee must not use the name of, or directly or indirectly refer to, the System Agency, the State of Texas, or any other State agency in any media release, public announcement, or public disclosure relating to the Contract or its subject matter, including in any promotional or marketing materials, customer lists, or business presentations. Grantee may publish, at its sole expense, results of Grantee performance under the Contract with the System Agency's prior review and approval, which the System Agency may exercise at its sole discretion. Any publication (written, visual, or sound) will acknowledge the support received from the System Agency and any Federal agency, as appropriate. 9.15 Prohibition on Non -compete Restrictions Grantee will not require any employees or Subcontractors to agree to any conditions, such as non -compete clauses or other contractual arrangements that would limit or restrict such persons or entities from employment or contracting with the State of Texas. 9.16 No Waiver of Sovereign Immunity Nothing in the Contract will be construed as a waiver of sovereign immunity by the System Agency. 9.17 Entire Contract and Modification The Contract constitutes the entire agreement of the Parties and is intended as a complete and exclusive statement of the promises, representations, negotiations, discussions, and other agreements that may have been made in connection with the subject matter hereof. Any additional or conflicting terms in any future document incorporated into the Contract will be harmonized with this Contract to the extent possible by the System Agency. 9.18 Counterparts This Contract may be executed in any number of counterparts, each of which will be an original, and all such counterparts will together constitute but one and the same Contract. v_060316 Grantee Uniform Terms and Conditions Page 17 of 19 9.19 Proper Authority Each Party hereto represents and warrants that the person executing this Contract on its behalf has full power and authority to enter into this Contract. Any Services or Work performed by Grantee before this Contract is effective or after it ceases to be effective are performed at the sole risk of Grantee with respect to compensation. 9.20 Employment Verification Grantee will confirm the eligibility of all persons employed during the contract term to perform duties within Texas and all persons, including subcontractors, assigned by the contractor to perform work pursuant to the Contract. 9.21 Civil Rights a. Grantee agrees to comply with state and federal anti -discrimination laws, including: 1. Title VI of the Civil Rights Act of 1964 (42 U.S.C. §2000d et seq.); 2. Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. §794); 3. Americans with Disabilities Act of 1990 (42 U.S.C. §12101 et seq.); 4. Age Discrimination Act of 1975 (42 U.S.C. §§6101-6I07); 5. Title DC of the Education Amendments of 1972 (20 U.S.C. §§1681-1688); 6. Food and Nutrition Act of200S (7 U.S.C. §2011 et seq.); and 7. The System Agency's administrative rules, as set forth in the Texas Administrative Code, to the extent applicable to this Agreement. Grantee agrees to comply with all amendments to the above -referenced laws, and all requirements imposed by the regulations issued pursuant to these laws. These laws provide in part that no persons in the United States may, on the grounds of race, color, national origin, sex, age, disability, political beliefs, or religion, be excluded from participation in or denied any aid, care, service or other benefits provided by Federal or State funding, or otherwise be subjected to discrimination. b. Grantee agrees to comply with Title VI of the Civil Rights Act of 1964, and its implementing regulations at 45 C.F.R. Part 80 or 7 C.F.R. Part 15, prohibiting a contractor from adopting and implementing policies and procedures that exclude or have the effect of excluding or !inviting the participation of clients in its programs, benefits, or activities on the basis of national origin. State and federal civil rights laws require contractors to provide alternative methods for ensuring access to services for applicants and recipients who cannot express themselves fluently in English. Grantee agrees to take reasonable steps to provide services and information, both orally and in writing, in appropriate languages other than English, in order to ensure that persons with limited English proficiency are effectively informed and can have meaningful access to programs, benefits, and activities. c. Grantee agrees to post applicable civil rights posters in areas open to the public informing clients of their civil rights and including contact information for the HHS Civil Rights Office. The posters are available on the HHS website at: bttp:"°www.hhsc.state.tx.us/about hhsc'civil-riahts/brochures-nosters.shtml v 06 03 16 Grantee Uniform Terms and Conditions Page 18 of 19 d. Grantee agrees to comply with Executive Order 13279, and its implementing regulations at 45 C.F.R. Part 87 or 7 C.F.R. Part 16. These provide in part that any organization that participates in programs funded by direct financial assistance from the United States Department of Agriculture or the United States Department of Health and Human Services shall not discriminate against a program beneficiary or prospective program beneficiary on the basis of religion or religious belief. e. Upon request, Grantee will provide HHSC Civil Rights Office with copies of all of the Grantee's civil rights policies and procedures. f. Grantee must notify HHSC's Civil Rights Office of any civil rights complaints received relating to its performance under this Agreement. This notice must be delivered no more than ten (10) calendar days after receipt of a complaint. Notice provided pursuant to this section must be directed to: HHSC Civil Rights Office 701 W. 51m Street, Mail Code W206 Austin, Texas 78751 Phone Toll Free: (888) 388-6332 Phone: (512) 438-4313 TTY Toll Free: (877) 432-7232 Fax: (512) 438-5885. 06.03 16 Grantee Uniform Terms and Conditions Page 19 of 19 e4, c.,, E C GENERAL AFFIRMATIONS By entering into this Contract, Contractor affirms, without exception, as follows: Contractor represents and warrants that these General Affirmations apply to Contractor and all of Contractor's principals, officers, directors, shareholders, partners, owners, agents, employees, Subcontractors, independent contractors, and any other representatives who may provide services under, who have a financial interest in, or otherwise are interested in this Contract. 2. Contractor represents and warrants that all statements and information provided to the Enterprise Agency are current, complete, and accurate. This includes all statements and information relating in any manner to this Contract and any solicitation resulting in this Contract. 3. Contractor has not given, has not offered to give, and does not intend to give at any time hereafter any economic opportunity, future employment, gift, loan, gratuity, special discount, trip, favor, or service to a public servant in connection with this Contract. 4. Under Section 2155.004, Texas Government Code (relating to financial participation in preparing solicitations), Contractor certifies that it is not ineligible to receive this Contract and acknowledges that this Contract may be terminated and payment withheld if this certification is inaccurate. 5. Under Section 2155.006, Texas Government Code (relating to convictions and penalties regarding Hurricane Rita, Hurricane Katrina, and other disasters), Contractor certifies that it is not ineligible to receive this Contract and acknowledges that this Contract may be terminated and payment withheld if this certification is inaccurate. 6. Under Section 2261.053, Texas Government Code (relating to convictions and penalties regarding Hurricane Rita, Hurricane Katrina, and other disasters), Contractor certifies that it is not ineligible t0 receive this Contract and acknowledges that this Contract may be terminated and payment withheld if this certification is inaccurate. 7. Under Section 231.006, Texas Family Code (relating to delinquent child support), Contractor certifies that it is not ineligible to receive the specified grant, loan, or payment and acknowledges that this Contract may be terminated and payment may be withheld if this certification is inaccurate. 8. Contractor certifies that: (a) the entity executing this Contract; (b) its principals; (c) its Subcontractors; and (d) any personnel designated to perform services related to this Contract arc not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any federal Department or Agency. This certification is made pursuant to the regulations implementing Executive Order 12549 and Executive Order 12689, Debarment and Suspension, 2 C.F.R. Part 376, and any relevant regulations promulgated by the Department or Agency funding this project. This provision shall be included in its entirety in Contractor's Subcontracts if payment in whole or in part is from federal funds. 9. Contractor certifies that it, its principals, its Subcontractors, and any personnel designated to perform services related to this Contract are eligible to participate in this transaction and have not been subjected to suspension, debarment, or similar ineligibility determined by any federal, state, or local governmental entity. 10. Contractor certifies it is in compliance with all State of Texas statutes and rules relating to procurement; and that (a) the entity executing this Contract; (b) its principals; (c) its Subcontractors; and (d) any personnel designated to perform services related to this Contract are not listed on the federal government's terrorism watch list described in Executive Order 13224. Entities ineligible for federal procurement are listed at Jjttos://www,sam.gov/portal/yyblicfSAM/, which Contractor may Enterprise Agency Contract No. 2017-049800-001 Page I of3 review in making this certification. Contractor acknowledges that this Contract may be terminated and payment withheld if this certification is inaccurate. This provision shall be included in its entirety in Contractor's Subcontracts if payment in whole or in part is from federal funds. 11. In accordance with Texas Government Code Section 669.003 (relating to contracting with the executive head of a state agency), Contractor certifies that it (1) is not the executive head of the Enterprise Agency; (2) was not at any time during the past four years the executive head of the Enterprise Agency; and (3) does not employ a current or former executive head of the Enterprise Agency. 12. Contractor represents and warrants that it is not currently delinquent in the payment of any franchise taxes owed the State of Texas under Chapter 171 of the Texas Tax Code. 13. Contractor represents and warrants that payments to Contractor and Contractor's receipt of appropriated or other funds under this Contract are not prohibited by Sections 556.005, 556.0055, or 556.008 of the Texas Government Code (relating to use of appropriated money or state funds to employ or pay lobbyists, lobbying expenses, or influence legislation). 14. Contractor represents and warrants that it will comply with Texas Government Code Section 2155.4441, relating to the purchase of products produced in the State of Texas under service contracts. 15. Pursuant to Section 2252.901, Texas Government Code (relating to prohibitions regarding contracts with and involving former and retired state agency employees), Contractor will not allow any former employee of the Enterprise Agency to perform services under this Contract during the twelve (12) month period immediately following the employee's last date of employment at the Enterprise Agency. 16. Contractor acknowledges that, pursuant to Section 572.069 of the Texas Government Code, a former state officer or employee of the Enterprise Agency who during the period of state service or employment participated on behalf of the Enterprise Agency in a procurement or contract negotiation involving Contractor may not accept employment from Contractor before the second anniversary of the date the officer's or employee's service or employment with the Enterprise Agency ceased. 17. Contractor understands that the Enterprise Agency does not tolerate any type of fraud. The Enterprise Agency's policy is to promote consistent, legal, and ethical organizational behavior by assigning responsibilities and providing guidelines to enforce controls. Violations of law, agency policies, or standards of ethical conduct will be investigated, and appropriate actions will be taken. MI employees or contractors who suspect fraud, waste or abuse (including employee misconduct that would constitute fraud, waste, or abuse) are required to immediately report the questionable activity to both the Health and Human Services Commission's Office of the Inspector General at 1-800-436-6184 and the State Auditor's Office. Contractor agrees to comply with all applicable laws, rules, regulations, and Enterprise Agency policies regarding fraud including, but not limited to, HHS Circular C-027. 18. Contractor represents and warrants that it has not violated state or federal antitrust laws and has not communicated its bid for this Contract directly or indirectly to any competitor or any other person engaged in such line of business. Contractor hereby assigns to Enterprise Agency any claims for overcharges associated with this Contract under 15 U.S.C. § 1, et seq., and Texas Business and Commerce Code § 15.01, et seq. 19. Contractor represents and warrants that it is not aware of and has received no notice of any court or governmental agency proceeding, investigation, or other action pending or threatened against Contractor or any of the individuals or entities included numbered paragraph 1 of these General Affirmations within the five (5) calendar years immediately preceding the execution of this Contract that would or could impair Contractor's performance under this Contract, relate to the contracted or similar goods or services, or otherwise be relevant to the Enterprise Agency's consideration of entering Enterprise Agency Contract No. 2017-049800-001 Page2of3 into this Contract. If Contractor is unable to make the preceding representation and warranty, then Contractor instead represents and warrants that it has provided to the Enterprise Agency a complete, detailed disclosure of any such court or governmental agency proceeding, investigation, or other action that would or could impair Contractor's performance under this Contract, relate to the contracted or similar goods or services, or otherwise be relevant to the Enterprise Agency's consideration of entering into this Contract. In addition, Contractor represents and warrants that it shall notify the Enterprise Agency in writing within five (5) business days of any changes to the representations or warranties in this clause and understands that failure to so timely update the Enterprise Agency shall constitute breach of contract and may result in immediate termination of this Contract. 20. Contractor understands, acknowledges, and agrees that any false representation or any failure to comply with a representation, warranty, or certification made by Contractor is subject to all civil and criminal consequences provided at law or in equity including, but not Iimited to, immediate termination of this Contract. 21. Contractor represents and warrants that it will comply with all applicable laws and maintain all permits and Iicenses required by applicable city, county, state, and federal rules, regulations, statues, codes, and other laws that pertain to this Contract. 22. Contractor represents and warrants that the individual signing this Contract is authorized to sign on behalf of Contractor and to bind Contractor. REMAINDER OF PAGE INTENTIONALLY LEFT BLANK Enterprise Agency Contract No. 2017-049800-001 Page 3 of 3 ATTACHMENT D SUPPLEMENTAL & SPECIAL CONDITIONS SUPPLEMENTAL CONDITIONS THE FOLLOWING SUPPLEMENTAL CONDITIONS APPLY TO THIS CONTRACT AND MODIFY THE HHS UNIFORM TERMS AND CONDITIONS Section 2.03 Financial Status Reports (FSRs), of the Health and Human Services Commission Uniform Terms and Conditions — Grant, Version 2.13, is revised to read as follows: Except as otherwise provided in these Uniform Terms and Conditions or in the terms of any Attachments) that is incorporated into the Contract, for contracts with categorical budgets, Grantee shall submit quarterly FSRs to DSHS Contract Development and Support Branch (CDSB) by the last business day of the month following the end of each quarter of the Program Attachment term for System Agency review and financial assessment. Grantee shall submit the final FSR no later than forty-five (45) calendar days following the end of the applicable term. Article IV, Allowable Costs and Audit Requirements of the Health and Human Services Commission Uniform Terms and Conditions Grant, Version 2.13 is modified to include: 4.04 Cost Allocation Plan. a. Grantee shall implement and follow the applicable Cost Allocation Plan. b. Grantee shall submit a Cost Allocation Plan on the format approved by System Agency to the DSHS Contract Oversight and Support Section, Mail Code 1326, P.O. Box 149347, Austin, Texas 78714-9347, or by email to: coscap(r)dshs.state.tx.uu, or to such other email address or follow such other process as requested by System Agency, no later than the 60th calendar clay after the effective date of the Contract, except when a Grantee has a current Cost Allocation Plan on file with the System Agency. If Grantee's plan is the same as the plan previously submitted to System Agency, by signing this Contract, Grantee certifies that its current Cost Allocation Plan for the current year is the same as the plan previously submitted. c. If the Cost Allocation Plan changes during the Contract term, Grantee shall submit a new Cost Allocation Plan to the Contract Oversight and Support Section within 30 calendar days after the effective date of the change. Section 9.21 Civil Rights, of the Health and Human Services Commission Uniform Terms and Conditions -- Grant, Version 2.13, is modified 10 add the following: g. Grantee shall comply with all provisions required by implementing the regulations of the Department of Agriculture, 7 CFR. Part 246, 248; Department of Justice Guidelines for Enforcement of Title VI; 28 CFR § 50.3 and 28 CFR Part 42; and Food & Nutrition Service (FNS) directives and guidelines, to the effect that no person will, on the grounds of race, color, national origin, sex, age, or disability be excluded from participation under any program or activity for which Grantee receives federal financial assistance from FNS; and hereby gives assurance that it shall immediately take measures necessary to implement this Contract. h. Grantee shall compile data, maintain records and submit reports, as required, to permit effective enforcement of the nondiscrimination laws and permit authorized USDA and System Agency personnel, during normal working hours, to review such records, books, and accounts as needed to ascertain compliance with the nondiscrimination laws. The Department of Agriculture, Food and Nutrition Service (USDA), has the right to seek judicial enforcement if Grantee violates any nondiscrimination laws. This Assurance is binding on Grantee, its successors, transferees, and assignees, as long as they receive assistance or retain possession of any assistance from the v. 03.10.2016 Page 1 Non -Profit ATTACHMENT D SUPPLEMENTAL & SPECIAL CONDITIONS Department of Agriculture. The person or persons whose signatures appear on the Contract are authorized to sign this Assurance on behalf of Grantee. Article IX Miscellaneous Provisions of the Health and Human Services Commission Uniform Terms and Conditions — Grant, Version 2.13, is modified by adding the following: Section 9.22 Equipment and Supplies a. Reportable Capital Assets. Grantee shall maintain an inventory of reportable capital assets placed in the custody of the Grantee by System Agency. Grantee shall conduct an annual inventory for each administrative and clinic site and submit to DSHS Property Management in a format and upon a delivery date designated by System Agency. Grantee shall administer a program of maintenance, repair and protection of assess under this Contract so as to assure their full availability and usefulness. In the event Grantee is indemnified, reimbursed, or otherwise compensated for any loss of, destruction of, or damage to the assess provided under this Contract, it shall use the proceeds to repair or replace said assets. b. Grant Purchased Equipment. Equipment means tangible personal property having a useful lifetime of more than one year and a per-unit acquisition cost that exceeds the lesser of the capitalization level established by the of 55,000 or more. Grantee shall inventory all equipment, and report the inventory on the DSHS Contractor's Property Inventory Report form. c. Supplies. 1. Supplies are defined as consumable items necessary to carry out the services under this Contract including medical supplies, drugs, janitorial supplies, office supplies, patient educational supplies, software, and any items of tangible personal property other than those defined as equipment above. 2. Tangible personal property includes controlled assets, including firearms, regardless of the acquisition cost, and the following assets with an acquisition cost of 5500 or more, but less than 55,000, which includes desktop and laptop computers (including notebooks, tablets and similar devices), non-portable printers and copiers, emergency management equipment, communication devices and systems, medical and laboratory equipment, and media equipment are also considered Supplies. 3. Prior approval by System Agency of the purchase of Controlled Assets is not required, but such purchases must be reported on the DSHS Contractor's Property inventory Form as detailed in this section. d. Property Inventory and Protection of Assets. 1. Grantee shall maintain an inventory of equipment, supplies defined as controlled assets, and property described in this Section and submit an annual cumulative report of the equipment and other property on DSHS Contractor's Property Inventory Report to the DSHS Contract Oversight and Support Section, Mail Code 1326, P.O. Box 149347, Austin, Texas 78714-9347, no later than October 1? of each year. The report is located at: httn:J.Wvvw.dshs.state.tx.us.c_ontracts/fonns.shtin. Grantee shall maintain, repair, and prosect assets under this Contract to assure their full availability and usefulness. v. 03.10.2016 Page 2 Non -Profit ATTACHMENT D SUPPLEMENTAL & SPECIAL CONDITIONS 3. V Grantee is indemnified, reimbursed, or otherwise compensated for any loss of, destruction of, or damage to the assets provided or obtained under this Contract, Grantee shall use the proceeds to repair or replace those assets. c. Assets as Collateral Prohibited. Grantees on a cost reimbursement payment method shall not encumber equipment purchased with System Agency funds without prior written approval from the System Agency. f. Disposition of Property. 1. Grantee shall follow the procedures in the American Hospital Association's (AHA) "Estimated Useful Lives of Depreciable Hospital Assets" in disposing, at any time during or after the Contract term, of equipment purchased with System Agency funds, except when federal or state statutory requirements supersede or when the equipment requires licensure or registration by the state, or when the acquisition price of the equipment is equal to or greater than 55,000. g• 2. All other equipment not listed in the AHA reference (other than equipment that requires licensure or registration or that has an acquisition cost equal to or greater than 55,000) will be controlled by the requirements of UGMS. 3. 1f, prior to the end of the useful life, any item of equipment is no longer needed to perform services under this Contract, or becomes inoperable, or if the equipment requires licensure or registration or had an acquisition price equal to or greater than $5,000, Grantee shall request disposition approval and instructions in writing from the contract manager assigned to this Contract. 4. After an item reaches the end of its useful life, Grantee shall ensure that disposition of any equipment is in accordance with Generally Accepted Accounting Principles, and any applicable federal guidance. Closeout of Equipment. At the end of the term of a Contract that has no additional renewals or that will not be renewed (Closeout), or when a Contract is otherwise terminated, Grantee shall submit to the contract manager assigned to this, an inventory of equipment purchased with grant funds and request disposition instructions for such equipment. All equipment purchased with grant funds must be secured by Grantee at the time of Closeout, or termination of this Contract, and must be disposed of according to System Agency's disposition instructions, which may include return of the equipment to System Agency or transfer of possession to another System Agency contractor, at Grantee's expense. Article IX Miscellaneous Provisions of the Health and Human Services Commission Uniform Terms and Conditions —Grant, Version 2.13, is modified by adding the following: Section 9.23 Contracts with Subrecipient and Vendor Subcontractors. a. Grantee may enter into contracts with subrecipient subcontractors unless restricted or otherwise prohibited in the Contract. b. Prior to entering into a subrecipient agreement equaling or exceeding 5100,000, Grantee shall obtain written approval from System Agency. v. 03.10.2016 Page 3 Non -Profit ATTACHMENT D SUPPLEMENTAL & SPECIAL CONDITIONS c. Grantee shall establish written policies and procedures for competitive procurement and monitoring of subcontracts and shall produce a subcontracting monitoring plan. d. Grantee shall monitor subrecipient subcontractors for both financial and programmatic performance and shall maintain pertinent records that must be available for inspection by System Agency. e. Grantee shall ensure that subcontractors are fully aware of the requirements placed upon them by state/federal statutes, rules, and regulations and by the provisions of this Contract f. Contracts with all subcontractors, whether vendor or subrecipient, must be in writing and include the following: 1. Name and address of all parties and the subcontractor's Vendor Identification Number (VIN) or Employee Identification Number (EIN); 2. Detailed description of the services to be provided; 3. Measurable method and rate of payment and total not -to -exceed amount of the contract; 4. Clearly defined and executable termination clause; and 5. Beginning and ending dales that coincide with the dates of the Contract. g. Grantee is responsible to System Agency for the performance of any subcontractor. Article VIII Contract Management and Early Termination Provision of the Health and Human Services Commission Uniform Terms and Conditions -- Grant, Version 2.13, is modified by adding the following: 8.05 Termination by Grantee If Grantee seeks to terminate this Contract, Grantee shall give System Agency no less than sixty (60) calendar days prior written notice and shall submit a transition plan to ensure client services are not disrupted. SPECIAL CONDITIONS Section 1.01 Notice of Legal Matter or Litigation. Grantee shall notify the contract manager assigned to this Contract of any litigation or legal matter related to or affecting this Contract within seven calendar days of becoming aware of the litigation or legal matter. Section 1.02 Notice of a Contract Action. Grantee shall notify their assigned contract manager assigned to the Contract if Grantee has had any contract suspended or terminated far cause by any local, slate or federal department or agency or nonprofit entity within five days of becoming aware of the action and include the following a. Reason for such action; b. Name and contact information of the local, state or federal department or agency or entity; c. Date of the contract; d. Date of suspension or termination; and e. Contract or case reference number. Section 1.03 Notice of Bankruptcy. Grantee shall notify in writing their assigned contract manager of its plan to seek bankruptcy protection within five days of such action by Grantee. Section 1.04 Notice of Criminal Activity and Disciplinary Actions. v. 03.10.2016 Page 4 Non -Profit ATTACHMENT D SUPPLEMENTAL & SPECIAL CONDITIONS a. Grantee shall immediately report in writing the contract manager assigned to the Contract when the Grantee has knowledge or reason to believe any that they or any person with ownership or controlling interest in the organization/business, or their agent, employee, subContractor or volunteer that is providing services under this Contract has engaged in any activity that: 1. Would constitute a criminal offense equal to or greaser than a Class A misdemeanor, and 2. Reasonably would constitute grounds for disciplinary action by a state or federal regulatory authority; or 3. Has been placed on community supervision, received deferred adjudication, or been indicted for or convicted of a criminal offense relating to involvement in any financial matter, federal or state program or felony sex crime. b. Grantee shall not permit any person who engaged, or was alleged to have engaged, in any activity subject to reporting under this section to perform direct client services or have direct contact with clients, unless otherwise directed in writing by System Agency. Section 1.05 Grantee's Notification of Change of Contact Person or Key Personnel. Within ten days shall notify in writing the contract manager assigned to the Contract of any change enumerated in the Grantee's Contact Person or Key Personnel. Section 1.06 Notice of IRS or TWC Insolvency. Grantee shall notify in writing their assigned contract manager their insolvency, incapacity or outstanding unpaid obligations to the Internal Revenue Service (IRS) or Texas Workforce Commission within 5 days of the date of becoming aware of such. Section 1.07 Disaster Services. In the event of a local, state, or federal emergency, including natural, man- made, criminal, terrorist, and/or bioterrorism events, declared as a state disaster by the Governor, or federal disaster by the appropriate federal official, Grantee may be called upon to assist System Agency in providing the fallowing services: a. Community evacuation; b. Health and medical assistance; c. Assessment of health and medical needs; d. Health surveillance; e. Medical care personnel; f Health and medical equipment and supplies; g. Patient evacuation; h. In-hospital care and hospital facility status; i. Food, drug and medical device safety j. Worker health and safety; k. Mental health and substance abuse; 1. Public health information; m. Vector control and veterinary services; and n. Victim identification and mortuary services. Section 1.08 Consent by Non -Parent or Other State Law to Medical Care of a Minor. Unless federal law applies, when a Grantee provides medical, dental, psychological or surgical treatment to a minor without parental consent, either directly or through contracts with subContractors, before the Grantee provides treatment to minor unless informed consent to treatment is obtained pursuant to Texas Family Code Chapter 32. v. 03.10.2016 Page 5 Non -Profit ATTACHMENT D SUPPLEMENTAL & SPECIAL CONDITIONS Section 1.09 Services and Information for Persons with Limited English Proficiency. a. Grantee shall take reasonable steps to provide services and information both orally and in writing, in appropriate languages other than English, to ensure that persons with limited English proficiency are effectively informed and can have meaningful access to programs, benefits and activities. b. Grantee shall identify and document on the client records the primary language/dialect of a client who has limited English proficiency and the need for translation or. interpretation services and shall not require a client to provide or pay for the services of a translator or interpreter. c. Grantee shall make every effort to avoid use of any persons under the age of 18 or any family member or friend of the client as an interpreter for essential communications with a client with limited English proficiency unless the client has requested that person and using the person would not compromise the effectiveness of services or violate the client's confidentiality and the client is advised that a free interpreter is available. Section 1.10 Third Party Payors. Except as provided in this Contract, Grantee shall screen all clients and may not bill the System Agency for services eligible for reimbursement from third party payors, who are any person or entity who has the legal responsibility for paying for all or part of the services provided, including commercial health or liability insurance carriers, Medicaid, or other federal, state, Iocal and private funding sources. As applicable, the Grantee shall: a. Enroll as a provider in Children's Health Insurance Program and Medicaid if providing approved services authorized under this Contract that may be covered by those programs and bill those programs for the covered services; b. Provide assistance to individuals to enroll in such programs when the screening process indicates possible eligibility for such programs; c. Allow clients that are otherwise eligible for System Agency services, but cannot pay a deductible required by a third party payor, to receive services up to the amount of the deductible and to bill the System Agency for the deductible; d. Not bill the System Agency for any services eligible for third party reimbursement until all appeals to third party payors have been exhausted; e. Maintain appropriate documentation from the third party payor reflecting attempts to obtain reimbursement; f. Bill all third party payors for services provided under this Contract before submitting any request for reimbursement to System Agency; and g. Provide third party billing functions at no cost to the client. Section 1.11 HIV/AIDS Model Workplace Guidelines. Grantee shall implement System Agency's policies based on the Human Immunodeficiency Virus/Acquired Immunodeficiency Syndrome (HIV AIDS), AIDS Model Workplace Guidelines for Businesses at http:/iwww.dshs.state.tx.us/hivstd/policy'policies.shtm, State Agencies and State Grantees Policy No. 090.021. Grantee shall also educate employees and clients concerning HIV and its related conditions, including AIDS, in accordance with the Texas. Health & Safety Code §§ 85.112-114. Section 1.12 Medical Records Retention. Grantee shall retain medical records in accordance with 22 TAC §165.1(b) or other applicable statutes, Hiles v. 03.10.2016 Page 6 Non -Profit ATTACHMENT D SUPPLEMENTAL & SPECIAL CONDITIONS and regulations governing medical information. Grantee shall maintain full and complete records concerning WIC Program operations and the following requirements: a. Records shall include, but not be limited to, information pertaining to financial operations, food delivery systems, food benefit issuance and redemption, equipment purchases and inventory, certification, nutrition education, civil rights and fair hearing procedures. b. If United States Department of Agriculture (USDA) deems any of the WIC program records to be of historical interest, it may require System Agency or the Grantee to forward such records to the USDA whenever either entity is disposing of them. c. All records shall be available during normal business hours for representatives of the USDA, System Agency and the Comptroller General of the United States to inspect, audit, and copy. Any reports or other documents resulting from the examination of such records that are publicly released may not include confidential applicant or participant information. Section 1.13 Notice of a License Action. Grantee shall notify their contract manager of any action impacting its license to provide services under this Contract within five days of becoming aware of the action and include the following: a. Reason for such action; b. Name and contact information of the local, state or federal department or agency or entity, c. Date of the license action; and d. License or case reference number. Section 1.14 Interim Extension Amendment. a. Prior to or on the expiration date of this Contract, the Parties agree that this Contract can be extended as provided under this Section. b. System Agency shall provide written notice of interim extension amendment to the Grantee under one of the following circumstances: 1. Continue provision of services in response to a disaster declared by the governor; or 2. To ensure that services are provided to clients without interruption. c. System Agency will provide written notice of the interim extension amendment that specifies the reason far it and period of time for the extension. d. Grantee will provide and invoice for services in the same manner that is stated in the Contract. e. An interim extension under Section (b)(I) above shall extend the term of the contract not longer than 30 days after governor's disaster declaration is declared unless the Parties agree to a shorter period of time. f. An interim extension under Section (b)(2) above shall be a one-time extension for a period of time determined by System Agency. Section 1.15 Electronic and Information Resources Accessibility and Security Standards. a. Applicability. The following Electronic and Information Resources (EIR) requirements apply to the Contract because the Grantee performs services that include EIR that System Agency employees are v. 03.10.2016 Page 7 Non -Profit ATTACHMENT D SUPPLEMENTAL & SPECIAL CONDITIONS required or permitted to access or members of the public are required or permitted to access. This Section does not apply to incidental uses of EIR in the performance of the Agreement, unless the Parties agree that the EER will become property of the State of Texas or will be used by System Agency's clients or recipients after completion of the Agreement. Nothing in this section is intended to prescribe the use of particular designs or technologies or to prevent the use of alternative technologies, provided they result in substantially equivalent or greater access to and use of a Product. b. Definitions. For purposes of this Section: "Accessibility Standards" means accessibility standards and specifications for Texas agency and institution of higher education websites and EIR set forth in 1 TAC Chapter 206 and/or Chapter 213. "Electronic and Information Resource?' means information resources, including information resources technologies, and any equipment or interconnected system of equipment that is used in the creation, conversion, duplication, or delivery of data or information. The term includes telephones and other telecommunications products, information kiosks, transaction machines, Internet websites, multimedia resources, and office equipment, including copy machines and fax machines. "Electronic and Information Resources Accessibility Standards" means the accessibility standards for electronic and information resources contained in 1 Texas Administrative Code Chapter 213. "Product" means information resources technology that is, or is related to EIR. "Web Site Accessibility StandardslSpecilications" means standards contained in Volume 1 Tex. Admin. Code Chapter 206(c) Accessibility Requirements. Under Tex. Gov't Code Chapter 2054, Subchapter M, and implementing rules of the Texas Department of Information Resources, System Agency must procure Products and services that comply with the Accessibility Standards when those Products are available in the commercial marketplace or when those Products are developed in response to a procurement solicitation. Accordingly, Grantee must provide electronic and information resources and associated Product documentation and technical support that comply with the Accessibility Standards. c. Evaluation, Testing, and Monitoring. 1. System Agency may review, test, evaluate and monitor Grantee's Products and services, as well as associated documentation and technical support for compliance with the Accessibility Standards. Review, testing, evaluation and monitoring may be conducted before and after the award of a contract. Testing and monitoring may include user acceptance testing. Neither the review, testing (including acceptance testing), evaluation or monitoring of any Product or service, nor the absence of review, testing, evaluation or monitoring, will result in a waiver of the State's right to contest the Grantee's assertion of compliance with the Accessibility Standards. 2. Grantee agrees to cooperate fully and provide System Agency and its representatives timely v. 03.10.2016 Page 8 Non -Profit ATTACHMENT D SUPPLEMENTAL & SPECIAL CONDITIONS access to Products, records, and other items and information needed to conduct such review, evaluation, testing, and monitoring. d. Representations and Warranties. 1. Grantee represents and warrants that: i. As of the Effective Date of the Contract, the Products and associated documentation and technical support comply with the Accessibility Standards as they exist at the time of entering the Agreement, unless and to the extent the Parties otherwise expressly agree in writing; and ii. If the Products will be in the custody of the state or a System Agency client or recipient after the Contract expiration or termination, the Products will continue to comply with Accessibility Standards atter the expiration or termination of the Contract Term, unless System Agency or its clients or recipients, as applicable, use the Products in a manner that renders it noncompliant. 2. In the event Grantee becomes aware, or is notified that the Product or service and associated documentation and technical support do not comply with the Accessibility Standards, Grantee represents and warrants that it will, in a timely manner and at no cost to System Agency, perform all necessary steps to satisfy the Accessibility Standards, including remediation, replacement, and upgrading of the Product or service, or providing a suitable substitute. 3. Grantee acknowledges and agrees that these representations and warranties are essential inducements on which System Agency relies in awarding this Contract. 4. Grantee's representations and warranties under this subsection will survive the termination or expiration of the Contract and will remain in full force and effect throughout the useful life of the Product. e. Remedies. 1. Under Tex. Gov't Code § 2054.465, neither the Grantee nor any other person has cause of action against System Agency for a claim of a failure to comply with Tex. Gov't Code Chapter 2054, Subchapter M, and rules of the Department of Information Resources. 2. In the event ofa breach of Grantee's representations and warranties, Grantee will be liable for direct, consequential, indirect, special, or liquidated damages and any other remedies to which System Agency may be entitled under this Contract and other applicable law. This remedy is cumulative of any other remedies to which System Agency may be entitled under this Contract and other applicable law. Section 1.16 Chlld Abuse Reporting Requirement. a. Grantees shall comply with child abuse and neglect reporting requirements in Texas Family Code Chapter 261. This section is in addition to and does not supersede any other legal obligation of the Grantee to report child abuse. b. Grantee shall develop, implement and enforce a written policy that includes at a minimum the System Agency's Child Abuse Screening, Documenting, and Reporting Policy for Grantees/Providers and train all staff on reporting requirements. c. Grantee shall use the DSHS Child Abuse Reporting Form located at www.dshs.state.tx.us/childabusereporting as required by the System Agency. Grantee shall retain v. 03.10.2016 Page 9 Non -Profit ATTACHMENT D SUPPLEMENTAL & SPECIAL CONDITIONS reporting documentation on site and make it available for inspection by System Agency. d. If Grantee chooses to interview a client to determine if an affirmative defense to prosecution exists, as defined by System Agency, which would allow them under the System Agency policy to not make a report of child abuse, the Grantee shall conduct these interviews in the following manner. 1. For ineligible clients, the interview shall be conducted after the entire WIC visit is done. For eligible clients, the interview may occur at the point in time when all WIC activities, including communication of eligibility and individual counseling, are completed with the exception of food instrument issuance. 2. The interview shall be conducted only by a competent authority or a supervisor and in a confidential setting. 3. Prior to asking the client any questions, the interviewer shall inform the client that the questions have no bearing on the client's WIC eligibility and receipt of services. Section 1.17 Additional Requirements a. Grantee shall comply with all applicable federal and state laws, rules, regulations, standards, and guidelines in effect on the beginning date of this Attachment as amended, including, but not limited to: 1. Uniform Federal Assistance Regulations, 7 CFR Parts 15, 15a, 15b, 246, 248, 3016, 3017 and 3018; 2. WIC Program and Farmers' Market Nutrition Program Rules, 25 Texas Administrative Code, §§ 31.11-31.37; and 3. Child Nutrition Act of 1966, as amended, 42 USC 1786. 4. Uniform Grant Guidance Federal Regulations, 2 CFR. Part 200; b. The following documents are incorporated by reference and made a part of this Contract: I. DSHS Standards for Public Health Clinic Sen'ices, revised August 2004, or latest revision; 2. USDA Food and Nutrition Service (FNS) Guidelines; 3. USDA FNS Instructions issued under the FNS Directives Management System. v. 03.10.2016 Page 10 Non -Profit ASSURANCES - NON -CONSTRUCTION PROGRAMS OMB Number 4040-0007 Expiration Date 01/3112019 Pubixreporting burden for this collection of information is estimated to average 15 minutes per response, including time for reviewing instal' ons, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of info►rnation. Send comments regarding the burden estimate or any other aspect of this collection of information, including suggestions for redeac*q this burden. to the Office of Management and Budget, Paperwork Reduction Project (0348-0040), Washington DC 20503 PLEASE DO NOT RETURN YOUR COMPLETED FORM TO THE OFFICE OF MANAGEMENT AND BUDGET. SEND IT TOTHE ADDRESS PROVIDED BY THE SPONSORING AGENCY. W011:: Certain of these assurances may not be applicable to your project or program. If you have questions, please contact the awarding agency. Further, certain Federal awarding agencies may require applicants to certify to additional assurances If such is the case, you will be notified. As the duly authorized representative of the applicant, I certify that the applicant_ 1. Has the legal authority to apply for Federal assistance and the Institutional, managerial and financial capability (including funds sufficient to pay the non -Federal share of project cost) to ensure proper planning, management and completion of the project described in this application, 2. Will give the awarding agency, the Comptroller General of the United States and, if appropriate, the State. through any authorized representative, access to and the right to examine all records, books, papers, or documents related to the award; and will establish a proper accounting system in accordance with generally accepted accounting standards or agency directives, 3. Will establish safeguards to prohibit employees from using their positions for a purpose that constitutes or presents the appearance of personal or organizational conflict of interest, or personal gain 4. Will initiate and complete the work within the applicable time frame after receipt of approval of the awarding agency. 5. Will comply with the Intergovernmental Personnel Act of 1970 (42 U.S C. §§4728-4763) relating to prescribed standards for merit systems for programs funded under one of the 19 statutes or regulations specified in Appendix A of OPM's Standards for a Merit System of Personnel Administration (5 C F R 900, Subpart F) 6. IAhll comply with all Federal statutes relating to nondiscrimination These include but are not limited to (a) Tide Vi of the Civil Rights Act of 1964 (P L 88-352) which prohibits discrimination on the basis of race color or national origin; (b) Title IX of the Education Amendments of 1972, as amended (20 U.S.0 §§1681- 1683, and 1685-1686) which prohibits discrimination on the basis of sex; (c) Section 504 of the Rehabilitation Previous Edition Usable Act of 1973, as amended (29 U.S.0 §794). which proh=buts discrimination on the basis of handicaps (d) the Age Discrimination Act of 1975, as amended (42 U S.C. §§6101-6107) which prohibits discrimination on the basis of age, (e) the Drug Abuse Office and Treatment Act of 1972 (P L 92-255), as amended, relating to nondiscrimination on the basis of drug abuse; (1) the Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act 011970 (P.L. 91-616), as amended, relating to nondiscrimination on the basis of alcohol abuse or alcoholism; (g) §§523 and 527 of the Public Health Service Act of 1912 (42 U 5 C §§290 cid-3 and 290 ee- 3), as amended, relating to confidentiality of alcohol and drug abuse patient records; (h) Title VIII of the Civil Rights Act of 1968 (42 U.S C. §§3601 et seq.), as amended, relating to nondiscrimination in the sale, rental or financing of housing; (1) any other nondiscrimination provisions in the specific statute(s) under which application for Federal assistance is being made. and, 0) the requirements of any other nondiscnmination statute(s) which may apply to the application. 7 Will comply, or has already complied, with the requirements of Titles 11 and 111 of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (P.L 91-646) which provide for fair and equitable treatment of persons displaced or whose property is acquired as a result of Federal or federally -assisted programs. These requirements apply to all interests in real property acquired for project purposes regardless of Federal participation in purchases. 8 Will comply, as applicable, with provisions of the Hatch Act (5 U.S.C. §§1501-1508 and 7324-7328) which limit the political activities of employees whose pnncipal employment activities are funded in whole or in part with Federal funds, Standard Form 424E (Rev. 7-97) Authorized for Local Reproduction Prescribed by OMB GlrcuiarA-102 1. Will comply, as applicable, with the provisions of the Davis - Bacon Act (40 U.S.0 §§276a to 276a-7). the Copeland Act (40 U.S.C. §275c and 18 U S C. §874), and the Contract Work Hours end Safety Standards Act (40 U.S.C. §§327- 333), regarding labor standards for federally -assisted construction subagreements. 10, Will comply, if applicable, with flood insurance purchase requirements of Section 102(8) of the Flood Disaster Protection Act of 1973 (P.L 93-234) which requires recipients in a special flood hazard area to participate in the program and to purchase flood insurance If the total cost of Insurable construction and acquisition is 510,000 or more 11 Will comply with environmental standards which may be prescribed pursuant 10 the Following. (a) institution of environmental quality control measures under the National Environmental Policy Act of 1969 (P,L. 91-190) and Executive Order (BO) 11514, (b) notification of violating facilities pursuant to EO 11738; (c) protection of wetlands pursuant to ED 11990; (d) evaluation of flood hazards in floodplains in accordance with EO 11988; (a) assurance of project consistency with the approved State management program developed under the Coastal Zone Management Act of 1972 (16 U.S C §§1451 et seq.), (f) conformity of Federal actions to State (Clean Air) Implementation Plans under Section 176(c) of the Clean Air Act of 1955, as amended (42 U.S.0 §§7401 et seq.); (g) protection of underground sources of drinking water under the Safe Drinking Water Act 011974, as amended (Pl. 93-523); and, (h) protection of endangered species under the Endangered Species Act of 1973, as amended (P.L 93- 205). 12 Will comply with the Wld and Scenic Rivers Act of 1968 (16 U.S.C. §§1271 el seq.) related to protecting components or potential components of the national wild and scenic rivers system. 13, Will assist the awarding agency in assuring compliance with Section 106 of the National Historic Preservation Act of 1966, as amended (16 U.S.C. §470), EO 11593 (Identification and protection of historic properties), and the Archaeological and Historic Preservation Act of 1974 (16 U.S.C. §§469a-1 et seq.), 14, W11 comply with P.L 93-348 regarding the protection of human subjects Involved in research, development, and related activities supported by this award of assistance 15. Will comply with the Laboratory Animal Welfare Act of 1966 (P.L 89-544, as amended, 7 U.S.C. §§2131 et seq.) pertaining to the care, handling, and treatment of warm blooded animals held for research, teaching, or other activities supported by this award of assistance. 16. {Ahll comply with the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. §§4801 et seq.) which prohibits the use of lead-based paint In construction or rehabilitation of residence structures. 17. Will cause to be performed the required financial and compliance audits in accordance with the Single Audit Act Amendments of 1996 and OMB Circular No, A-133, "Audits of Stales, Local Governments, and Non -Profit Organizations " 18. Will comply with all applicable requirements of all other Federal laws, executive orders, regulations, and policies governing this program. 19. Will comply with the requirements of Section 106(g) of the Trafficking Victims Protection Act (TVPA) of 2000, as amended (22 U.S.C. 7104) which prohibits grant award recipients or a sub -recipient from (1) Engaging In severe forms of trafficking In persons during the period of time that the award is in effect (2) Procuring a commercial sex act during the period of time that the award is in effect or (3) Using forced labor in the performance of the award or subawards under the award. SIGNATURE OF AUTHORIZED CERTIFYING OFFICIAL APPLICANT ORGANIZATION jpu Clrhst.Nuoase County Pubic Health D1sWct (Ciy) 1 TITLE Ars ^t Director at PuWYc Healit DATE SUBMITTED minim Standard Farm 4240Ulm 7.47t each CERTIFICATION REGARDING LOBBYING Certification for Contracts, Grants, Loans, and Cooperative Agreements The undersigned certifies, to the best of his or her knowledge and belief. that (1) No Federal appropriated funds have been paid or wilt be paid, by or on behalf of the undersigned, to any person for influendng or attempting to Influence an officer or employee of an agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress In connection with the awarding of any Federal contract, the making of any Federal grant, the making of.any Federal loan, the entering into of any cooperative agreement, and the extension, continuadan. renewal. amendment. or modification al any Federal =tract, grant, ban, or cooperative agreement (2) II any funds other than Federal appropriated funds have been paid or will be paid to any person for Influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant toan, or cooperative agreement, the undersigned shall complete and submit Standard FamrLLL, "Disclosure of Lobbying Activities," in accordance with its instructions (3) The undersigned shall require that the language of this certification be Included In the award documents for all subawards at ell tiers (including subcontracts, subgrants and contracts under grants, loans, and cooperative agreements) and that all subredplenls shall certify and disclose accordingly This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered Into Submission of this certification Is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, US Code Any person who falls to fie the required certification shall be subject to a civil penalty of not less than 510,000 and not more than 5100.000 for each such failure Statement far Loan Guarantees and Loan Insurance The undersigned stales, to the best of his or her knowledge and belief, that If any funds have been paid or will be paid to any person for influencing or attempting to Influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this commitment providing for the United States to Insure or guarantee a loan, the undersigned shall complete and submit Standard Farm -LLL, "Disclosure of Lobbying Activities," in accordance with Its instructions Submission or this statement is a prerequisite for making or entering into this transaction Imposed by section 1352. Me 31, U.S Code Any person who (aUs to file the required statement shall be subject to a civil penalty of not less than 510,000 and not more Than 5100.000 for each such failure, • APPLICANT'S ORGANIZATION [Corpus Christ-Nueces County Public Heat 0istf Act (CIN) • PRINTED NAME AND TITLE OF AUTHORIZED REPRESENTATIVE Prefix. Mr. • Last Nance Titre ' First Name Wtiiiam Uhlatik Mont Direclor or Public He lth ' ❑ATE M;ddle Name Suffix. Milan 101112016 _4E Za C4' Fiscal Federal Funding Accountability and Transparency Act (FFATA) CERTIFICATION The certifications enumerated below represent material facts upon which DSHS relies when reporting information to the federal government required under federal law. If the Department later determines that the Contractor knowingly rendered an erroneous certification, DSHS may pursue all available remedies in accordance with Texas and U.S. law. Signor further agrees that it will provide immediate written notice to DSHS if at any time Signor leams that any of the certifications provided for below were erroneous when submitted or have since become erroneous by reason of changed circumstances. if the Sianor cannot certify all of the statements contained in this section. Signor must provide written notice to DSHS detailing which of the below statements it cannot certify and why. Legal Name of Contractor: Corpus Christi- Nueces County Public Health District Primary Address of Contractor: 1702 Horne Road Corpus Christi, TX 78416-1902 ZIP Code: 9 -digits Required www.usos.com 7 8 4 1 6 1 9 0 2 FFATA Contact # 1 Name, Email and Phone Number: Constance Sanchez Constancep@cctexas. com 361-826-3227 FFATA Contact #2 Name, Email and Phone Number. Blandina Costley Blandlnac@cctexas.com 361-826-7252 DUNS Number: 9 -digits Required www.sam.eov 0 7 State of Texas Comptroller Vendor Identification Number (VIN) 14 Digits 1 7 4 6 f oTo T5 T7 14 0T2 Printed Name of Authorized Representative Margie Rose Title of Authorized Representative City Manager Signature of Authorized Representative bate Department of State Health Services Form 4734 — June 2013 Fiscal Federal Funding Accountability and Transparency Act (FFATA) CERTIFICATION As the duly authorized representative (Signor) of the Contractor, 1 hereby certify that the statements made by me in this certification form are true, complete and correct to the best of my knowledge. Did your organization have a gross income, from all sources, of less than $300,000 in your previous tax year? D Yes ® No If your answer is "Yes", skip questions "A", "B", and "C" and finish the certification. If your answer is "No", answer questions "A" and "B". A. Certification Rewarding % of Annual Gross from Federal Awards. Did your organization receive 80% or more of its annual gross revenue from federal awards during the preceding fiscal year? ❑ Yes ® No B. Certification Regarding Amount of Annual Gross from Federal Awards. Did your organization receive $25 million or more in annual gross revenues from federal awards in the preceding fiscal year? ❑ Yes ® No If your answer is "Yes" to both question "A" and "B", you must answer question "C". If your answer is "No" to either question "A" or "B", skip question "C" and finish the certification. C. Certification Regarding Public Access to Compensation Information. Does the public have access to information about the compensation of the senior executives in your business or organization (including parent organization, all branches, and all affiliates worldwide) through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78m(a), 78o(d)) or section 6104 of the Internal Revenue Code of 1986? ❑ Yes ❑ No If your answer is "Yes" to this question, where can this information be accessed? If your answer is "No" to this question, you must provide the names and total compensation of the top five highly compensated officers below. For example: John Blum:500000;Mary Redd:50000;Eric Gant:400000;Todd Platt.300000; Sally Tom:300000 Provide compensation information here: 2 Department of State Health Services Form 4734 — June 2013 III IS Cnntraei No. 2017-049500.001 DATA USE AGREEMENT BETWEEN THE TEXAS HEALTH AND HUMAN SERVICES ENTERPRISE AND CORPUS CHRISTI-NUECES COUNTY PUBLIC HEALTH DISTRICT ("CONTRACTOR") This Data Use Agreement ("DUA"), effective as of the date signed below ("Effective Date"), is entered into by and between the Texas Health and Human Services Enterprise agency TEXAS DEPARTMENT OF STATE HEALTH SERVICES ("HHS"), and CORPUS CHRISTI-NUECES COUNTY PUBLIC HEALTH DISTRICT, a political subdivision of the State of Texas ("CONTRACTOR"), and incorporated into the terms of HHS Contract No. 2017-049800-001, in Travis County, Texas (the "Base Contract"). ARTICLE I. PURPOSE; APPLICABILITY; ORDER OF PRECEDENCE The purpose of this DUA is to facilitate creation, receipt, maintenance, use, disclosure or access to Confidential Information with CONTRACTOR, and describe CONTRACTOR's rights and obligations with respect to the Confidential Information. 45 CFR 164.504(e)(1)-(3). This DUA also describes HHS's remedies in the event of CONTRACTOR's noncompliance with its obligations under this DUA. This DUA applies to both Business Associates and contractors who arc not Business Associates who create, receive, maintain, use, disclose or have access to Confidential lnformati9n on behalf of HAS, its programs or clients as described in the Base Contract. As of the Effective Dale of this DUA, if any provision of the Base Contract, including any General Provisions or Uniform Terms and Conditions, conflicts with this DUA, this DUA controls. ARTICLE 2. DEFINITIONS For the purposes of this DUA, capitalized, underlined terms have the meanings set forth in the following: Health Insurance Portability and Accountability Act of 1996, Public Law 104-191 (42 U.S.C. §1320d, el seq.) and regulations thereunder in 45 CFR Parts 160 and 164, including all amendments, regulations and guidance issued thereafter, The Social Security Act, including Section 1137 (42 U.S.C. §§ 1320b-7), Title XVI of the Act; The Privacy Act of 1974, as amended by the Computer Matching and Privacy Protection Act of 1988, 5 U.S.C. § 552a and regulations and guidance thereunder; Internal Revenue Code, Title 26 of the United Stales Code and regulations and publications adopted under that code, including QRS Publication 1075; OMB Memorandum 07-18; Texas Business and Commerce Code Ch. 521; Texas Government Code, Ch. 552, and Texas Government Code §2054.1125. In addition, the following terns in this DUA [redefined as follows: "Authorized Purpose" means the specific purpose or purposes described in the Statement of Work of the Base Contract for CONTRACTOR to fulfill its obligations under the Base Contract, or any other purpose expressly authorized by HHS in writing in advance. "Authorized User" means a Person: (1) Who is authorized to create, receive, maintain, have access to, process, view, handle, examine, interpret, or analyze Confidential Information pursuant to this DUA; HHS Data Use Agreement (modified v. 8.3) Local Health Departments October 21,2015 Page 1 of 15 11 IS CtrurcL Nu 2017-049800.0 0, (2) For whom CONTRACTOR warrants and represents has a demonstrable need to create, receive, maintain, use, disclose or have access to the Confidential Information; and (3) Who has agreed in writing to be bound by the disclosure and use Iimitations pertaining to the Confidential Information as required by this DUA. "Confidential Information" means any communication or record (whether oral, written, electronically stored or transmitted, or in any other form) provided to or made available to CONTRACTOR, or that CONTRACTOR may, for an Authorized Purpose, create, receive, maintain, use, disclose or have access to, that consists of or includes any or all of the following: (1) Client Information; (2) Protected Health Information in any form including without limitation, EIectronic protected Health Information or Unsecured Protected Health Information (herein "PHI"); (3) 5ensitivepersonal Information defined by Texas Business and Commerce Code Ch. 521; (4) Federal Tax Information; (5) Individually Identifiable Health Information as related to HIPAA, Texas HIPAA and Personal Identifvins Information under the Texas Identity Theft Enforcement and Protection Act; (6) Social Security Administration Data, including, without limitation, Medicaid information; (7) All privileged work product; (8) All information designated as confidential under the constitution and laws of the State of Texas and of the United States, including the Texas Health & Safety Code and the Texas Public Information Act, Texas Government Code, Chapter 552. "Legally Authorized Representative" of the Individual, as defined by Texas law, including as provided in 45 CFR 435.923 (Medicaid); 45 CFR 164.502(g)(1) (HIPAA); Tex. Occ. Code § 151.002(6); Tex. H. & S. Code §166.164; and Estates Code Ch. 752. ARTICLE 3. CONTRACTOR'S DUTIES REGARDING CONFIDENTIAL INFORMATION 3.01 Obligations of CONTRACTOR CONTRACTOR agrees that: (A) CONTRACTOR will exercise reasonable care and no less than the same degree of care CONTRACTOR uses to protect its own confidential, proprietary and trade secret information to prevent any portion of the Confidential Information from being used in a manner that is not expressly an Authorized Purpose under this DUA or as Require4 by Law. 45 CFR 164.502(b)(1); 45 CFR 164.514(d) (B) Except as Reauired by LAw, CONTRACTOR will not disclose or allow access to any portion of the Confidential Information to any Person or other entity, other than Authorized HHS Data Use Agreement (modified v. 8.3} Local Health Departments October 21,2015 Page 2 of 15 ffFIS Contract No 201 7-04g800-00. se s Workforce or $ubcont{act2rs (as defined in 45 CER. of CONTRACTOR who have completed training in confidentiality, privacy, security and the importance of promptly reporting any Event or Breach to CONTRACTOR's management, to carry out CONTRACTOR'S obligations in connection with the Authorized Purpose. HHS, at its election, may assist CONTRACTOR in training and education on specific or unique HHS processes, systems and/or requirements. CONTRACTOR will produce evidence of' completed training to HHS upon request. 45 C.F.1& 164.308(a)(5)(1); Texas Health & Safely Code §181.101 (C) CONTRACTOR will establish, implement and maintain appropriate sanctions against any member of its Workforce or Subcontractor who fails to comply with this DUA, the Base Contract or applicable law. CONTRACTOR will maintain evidence of sanctions and produce it to HHS upon request.45 CER. 164.308(a)(110i)(C);164.530(e);164.410(b);164.530(6)(1) (D) CONTRACTOR will not, except as otherwise permitted by this DUA, disclose or provide access to any Confidential Information on the basis that such act is Required by Law without notifying either HHS or CONTRACTOR's own legal counsel to determine whether CONTRACTOR should object to the disclosure or access and seek appropriate relief. CONTRACTOR will maintain an accounting of all such requests for disclosure and responses and provide such accounting to HHS within 48 hours of HHS' request. 45 CFR 164504(e)(2)(ii)(A) (E) CONTRACTOR will not attempt to re -identify or further identify Confidential Information or De -identified Information, or attempt to contact any Individuals whose records are contained in the Confidential Information, except for an Authorized Purpose, without express written authorization from HHS or as expressly permitted by the Base Contract. 45 CFR 164.502(d)(2)rW and (ii) CONTRACTOR will not engage in prohibited marketing or sale of Confidential Information. 45 CFR 164.501,164.508(x)(3) and (4); Texas Health & Safety Cade Ch. 181.002 (F) CONTRACTOR will not permit, or enter into any agreement with a Subcontractor to, create, receive, maintain, use, disclose, have access to or transmit Confidential Information to carry out CONTRACTOR's obligations in connection with the Authorized Purpgsq on behalf of CONTRACTOR, unless Subcontractor agrees to comply with all applicable laws, rules and regulations. 45 CFR 164 502(e)(1)(ii); 164.504(e)(1)(1) and (2). (G) CONTRACTOR is directly responsible for compliance with, and enforcement of, all conditions for creation, maintenance, use, disclosure, transmission and Destruction of Confidential Information and the acts or omissions of Subcontractors as may be reasonably necessary to prevent unauthorized use. 45 CFR 164.504(e)(5); 42 CFR 431300, et seq. (H) If CONTRACTOR maintains fHf in a Designated Record Set which is Confidential Information and subject to this Agreement, CONTRACTOR will make PHI available to HHS in a Designated Record Set upon request. CONTRACTOR will provide PHI to an Individual, or Legally Authorized Representative of the Individual who is requesting PHI in compliance with the requirements of the HIPAA Privacy Regulations. CONTRACTOR will release PHI in accordance with the HIPAA Privacy Regulations upon receipt of a valid written authorization. CONTRACTOR will make other Confidential Information in CONTRACTOR's possession available pursuant to the requirements of HIPAA or other applicable law upon a determination of a Breach of Unsecured PHI as defined in HIPAA. CONTRACTOR will maintain an accounting of alI such disclosures and provide it to HHS within 48 hours of HHS' request. 45 CFR 164.524and 164.504(e)(2)(1)(E). HHS Data Use Agreement (modified v. 8.3) Local Health Departments October 21,2015 Page 3 of 15 111IS, Contract No 2017-O4%SOO-0O1 (1) If is subject to this Agreement, CONTRACTOR will make PHI as required by HIPAA available to HHS for review subsequent to CONTRACTOR's incorporation of any amendments requested pursuant to HIPAA. 45 CFR 164.504(e)(2)(ii)(E) and (F). (J) If PHI is subject lo this Agreement, CONTRACTOR will document and make available to HHS the PHI required to provide access, an accounting of disclosures or amendment in compliance with the requirements of the HIPAA Privacy Regulations. 45 CFR 164.504(e)(2)(19(G) and 164.52& (K) If CONTRACTOR receives a request for access, amendment or accounting of fffl from an individual with a right of access to information subject to this DUA, it will respond to such request in compliance with the HIPAA Privacy Regulations. CONTRACTOR will maintain an accounting of all responses to requests for access to or amendment of PHI and provide it to HHS within 48 hours of HAS' request. 45 CFR 164.504(e)(2). (L) CONTRACTOR will provide, and will cause its Subcontractors and agents to provide, to HHS periodic written certifications of compliance with controls and provisions relating to information privacy, security and breach notification, including without limitation information related to data transfers and the handling and disposal of Confidential lnfomuilion. 45 CFR 164.308; 164.530(c); 1 TAC 202. (M) Except as otherwise limited by this DUA, the Base Contract, or law applicable to the Confidential Information, CONTRACTOR may use PHI for the proper management and administration of CONTRACTOR or to carry out CONTRACTOR's legal responsibilities. Except as otherwise Iimited by this DUA, the Base Contract, or law applicable 10 the Confidential Information. CONTRACTOR may disclose PHI for the proper management and administration of CONTRACTOR, or to carry out CONTRACTOR's legal responsibilities, if: 45 CFR 164.504(e)(4)(A). (I) Disclosure is Required by Law, provided that CONTRACTOR complies with Section 3.01(D); or (2) CONTRACTOR obtains reasonable assurances from the person or entity to which the information is disclosed that the person or entity will; (a)Maintain the confidentiality of the Confidential Information in accordance with this DUA; (b) Use or further disclose the information only as Required by Lqw or for the Authorized Purpose for which it was disclosed to the Person; and (c)Notify CONTRACTOR in accordance with Section 4.01 deny Event or Breach of Confidential Information of which the person discovers or should have discovered with the exercise of reasonable diligence. 45 CFR 164.504(e)(4)(h)(B)• (N) Except as otherwise limited by this DUA, CONTRACTOR will, if required by law and requested by HHS, use commercially reasonable efforts to use PHI to provide data aggregation services to HHS, as that term is defined in the HIPAA, 45 C.F.R. §I64.501 and permitted by j-IIPAA. 45 CFR 164.504(e)(2)()(B) HHS Data Usc Agreement (modified v. 8.3) Local Health Departments October 21,2015 Page 4 of 15 I I I1S Contract Nu. 20! 7.049S00•f01 (0) CONTRACTOR will, on the termination or expiration of this DUA or the Base Contract, at its expense, send to HI -IS or Destroy, at HHS's election and to the extent reasonably feasible and permissible by law, all onfidential Information received from HHS or created or maintained by CONTRACTOR or any of CONTRACTOR's agents or Subcontractors on HHS's behalf if that data contains Confidential Information. CONTRACTOR will certify in writing to HHS that all the Confidential Information that has been created, received, maintained, used by or disclosed to CONTRACTOR, has been Destroyed or sent to HHS, and that CONTRACTOR and its agents and Subcontractors have retained no copies thereof. Notwithstanding the foregoing, HHS acknowledges and agrees that CONTRACTOR is not obligated to send to HHSC and/or Destroy any Confidential Information if federal Iaw, state law, the Texas State Library and Archives Commission records retention schedule, and/or a litigation hold notice prohibit such delivery or Destruction. If such delivery or Destruction is not reasonably feasible, or is impermissible by law, CONTRACTOR will immediately notify HHS of the reasons such delivery or Destruction is not feasible, and agree to extend indefinitely the protections of this DUA to the Confidential InSQrmation and limit its further uses and disclosures to the purposes that make the return delivery or Destruction of the Confidential InformatiQR not feasible for as long as CONTRACTOR maintains such Confidential Information. 45 CFR 164.504(e)(2)(ii)(J) (P) CONTRACTOR will create, maintain, use, disclose, transmit or Destroy Confidential Information in a secure fashion that protects against any reasonably anticipated threats or hazards to the security or integrity of such information or unauthorized uses. 45 CFR 164.306; 164.530(c) (Q) If CONTRACTOR accesses, transmits, stores, and/or maintains Confidential Information, CONTRACTOR will complete and return to HHS at infosecurityQhhsc.state.tx.us the HHS information security and privacy initial inquiry (SPI) at Attachment 1 . The SPI identifies basic privacy and security controls with which CONTRACTOR must comply to protect HHS Confidential Jnforrtation. CONTRACTOR will comply with periodic security controls compliance assessment and monitoring by HHS as required by state and federal law, based on the type of Confidential Information CONTRACTOR creates, receives, maintains, uses, discloses or has access to and the Authorized Purpose and level of risk. CONTRACTOR's security controls will be based on the National Institute of Standards and Technology (NIST) Special Publication 800-53. CONTRACTOR will update its security controls assessment whenever there are significant changes in security controls for HHS Confidential Information and will provide the updated document to HHS. HHS also reserves the right to request updates as needed 10 satisfy state and federal monitoring requirements. 45 CFR 164.306. (R) CONTRACTOR will establish, implement and maintain reasonable procedural, administrative, physical and technical safeguards to preserve and maintain the confidentiality, integrity, and availability of the Confidential Information, and with respect to PHI, as described in the HIPAA Privacy and Security Regulations, or other applicable laws or regulations relating to Confidential Information, to prevent any unauthorized use or disclosure of Confidential Information as long as CONTRACTOR has such Confidential Information in its actual or constructive possession. 45 CFR 164.308 (administrative safeguards); 164.310 (physical safeguards); 164.312 (technical safeguards); 164.530(c)(privacy safeguards). (S) CONTRACTOR will designate and identify, a Person or Perpors as Privacy Official 45 CFR 164.530(a)(1) and Jnforipation Security Official, each of whom is authorized to act on behalf of CONTRACTOR and is responsible for the development and implementation of the privacy and security requirements in this DUA. CONTRACTOR will provide name and current address, phone number and e-mail address for such designated officials to HHS upon execution of HHS Data Use Agreement (modified v. 8.3) Local Health Departments October 21,2015 Page 5 of 15 tEl IS Contr3et Nu. 2017-041 this DUA and prior to any change. if such persons fait to develop and implement the requirements of the DUA, CONTRAC'T'OR will replace them upon HHS request. 45 CFR 164.308(a)(2). (T) CONTRACTOR represents and warrants that its Authorized Users each have a demonstrated need to know and have access to Confidential Information solely to the minimum extent necessary to accomplish the Author}zed Purxose pursuant to this DUA and the Base Contract, and further, that each has agreed in writing to be bound by the disclosure and use limitations pertaining to the Confidential Information. contained in this DUA. 45 CFR 164.502; 164.514(4). (U) CONTRACTOR and its 5ubcnntractors will maintain an updated, complete, accurate and numbered list of Authorized Users, their signatures, titles and the date they agreed to be bound by the terms of this DUA, at all times and supply it to HHS, as directed, upon request. (V) CONTRACTOR will implement, update as necessary, and document reasonable and appropriate policies and procedures for privacy, security and preach, of Confidential information and an incident response plan for an Event or Breach, to comply with the privacy, security and breach notice requirements of this DUA prior to conducting work under the Statement of Work. 45 CFR 164.308; 164.316; 164.514(4); 164.530C1(1). (W) CONTRACTOR will produce copies of its information security and privacy policies and procedures and records relating to the use or disclosure of Confidential Information received from, created by, or received, used or disclosed by CONTRACTOR for an Authorized Purpose for HHS's review and approval within 30 days of execution of this DUA and upon request by HHS the following business day or other agreed upon time frame. 45 CFR 164.308; 164.514(4). (X) CONTRACTOR will make available to HHS any information HHS requires to fulfill HHS's obligations to provide access to, or copies of, PHI in accordance with HIPAA and other applicable laws and regulations relating to Confidential Information. CONTRACTOR will provide such information in a time and manner reasonably agreed upon or as designated by the Secretary of the U.S. Department of Health and Human Services, or other federal or state law. 45 CFR 164.504(4(2)6)(1). (Y) CONTRACTOR will only conduct secure transmissions of Confidential Jnforrnation whether in paper, oral or electronic forth, in accordance with applicable rules, regulations and laws. A secure transmission of electronic Confidential Information in motion includes, but is not limited to, Secure File Transfer Protocol (SFTP) or Encryption at an appropriate level. If required by rule, regulation or law, HHS Confidential Information al rest requires Encryption unless there is other adequate administrative, technical, and physical security. All electronic data transfer and communications of Confidential Information will be through secure systems. Proof of system, media or device security and/or Encryption must be produced to HHS no later than 48 hours after HHS's written request in response to a compliance investigation, audit or the Discovery of an Event or Breach. Otherwise, requested production of such proof will be made as agreed upon by the parties. De -identification of MIS Confidential Information is a means of security. With respect to de -identification of �Hl, "secure" means de -identified according to HIPAA Privacy standards and regulatory guidance. 45 CFR 164.312; 164.530(d). (Z) For each type of Confidential Information CONTRACTOR creates, receives, maintains, uses, discloses, has access to or transmits in the performance of the Statement of Work, CONTRACTOR will comply with the following laws rules and regulations, only to the extent applicable and required by law: HHS Data Use Agreement (modified v. 83) Local Health Departments October 21,2015 Page 6of15 III IS Contract No. 2017 -040S00 -Of I • Title 1, Part 10, Chapter 202, Subchapter B, Texas Administrative Code; • The Privacy Act of 1974; • OMB Memorandum 07-16; • The Federal Information Security Management Act of 2002 (FISMA); • The Health Insurance Portability and Accountability Act of 1996 (HIPAA) as defined in the DUA; • Internal Revenue Publication 1075 Tax Information Security Guidelines for Federal, State and Local Agencies; • National Institute of Standards and Technology (NIST) Special Publication 800- 66 Revision I — An Introductory Resource Guide for Implementing the Health Insurance Portability and Accountability Act (HIPAA) Security Rule; • NIST Special Publications 800-53 and 800-53A -- Recommended Security Controls for Federal Information Systems and Organizations, as currently revised; • NIST Special Publication 800-47 Security Guide for Interconnecting Information Technology Systems; • NIST Special Publication 800-88, Guidelines for Media Sanitization; • NIST Special Publication 800-111, Guide to Storage of Encryption Technologies for End User Devices containing PHI; and Any other State or Federal law, regulation, or administrative rule relating to the specific HHS program area that CONTRACTOR supports on behalf of HHS. (AA) Notwithstanding anything to the contrary herein, CONTRACTOR will treat any Personal Identifying Information it creates, receives, maintains, uses, transmits, destroys and/or discloses in accordance with Texas Business and Commerce Code, Chapter 521 and other applicable regulatory standards identified in Section 3.01(Z), and Individually Identifiable Health Information CONTRACTOR creates, receives, maintains, uses, transmits, destroys and/or discloses in accordance with HIPAA and other applicable regulatory standards identified in Section 3.01(Z). ARTICLE 4. BREACH NOTICE, REPORTING AND CORRECTION REQUIREMENTS 4.01 Breach or Event Notification to HHS. 45 CFR 164.400-414. (A) CONTRACTOR will cooperate fully with HHS in investigating, mitigating to the extent practicable and issuing notifications directed by HHS, for any Event or Breach of Confidential Information to the extent and in the manner determined by HHS. HHS Data Use Agreement (modified v. 8.3) Local Health Departments October 21,2015 Pap 7of15 i I IS Contrnci No 2- (B)- (B) CONTRACTOR'S obligation begins at the Discovery of an Event or Breach and continues as long as related activity continues, until all effects of the Event are mitigated to HHS's reasonable satisfaction (the "incident response period"). 45 CFR 164.404. (C) Breach Notice: (1) Initial Notice. (a) For federal information, including without limitation, Federal ALc Information, Social Security Administration Data, and Medicaid Client Information, within the first, consecutive clock hour of Discovery, and for all other types of Confidential Information not more than 24 hours after Discovery, or in a timeframe otherwise approved by HHS in writing, initially report to HHS's Privacy and Security Officers via email at privacy®HHSC.state.tx.us and to the HHS division responsible for this DUA; and IRS Publication 1075; Privacy Act of 1974, as amended by the Computer Matching and Privacy Protection Act of 1988, 5 U.S.C. § 552a; OMB Memorandum 07-16 as cited in HHSC-CMS Contracts for information exchange. (b) Report all information reasonably available to CONTRACTOR about the Event or Breach of the privacy or security of Confidential Information. 45 CFR 164.410. (c) Name, and provide contact information to HHS for, CONTRACTOR's single point of contact who will communicate with HHS both on and off business hours during the incident response period. (2) Formal Notice. No later than two business days after the Initial Notice above, provide formal notification to privacy@HHSC.state.tx.us HHSC.state.tx.us and to the HHS division responsible for this DUA, including all reasonably available information about the Event or preach, and CONTRACTOR's investigation, including without limitation and to the extent available: For (a) - (m) below: 45 CFR 164.400-414. (a) The date the Event or Breach occurred; (b) The date of CONTRACTOR's and, if applicable, Subcontractor's Discovery; (c) A brief description of the Event or Breach; including how it occurred and who is responsible (or hypotheses, if not yet determined); (d) A brief description of CONTRACTOR's investigation and the status of the investigation; (e) A description of the types and amount of Confidential Information involved; (f) Identification of and number of all Individuals reasonably believed to be affected, including first and last name of the Individual and if applicable the, Legally Authorized Representative, last known address, age, telephone number, HHS Data Use Agreement (modified v. 8.3) Local Health Departments October21,2015 Page 8 of 15 and email address if it is a preferred contact method, to the extent known or can be reasonably determined by CONTRACTOR at that time; (g) CONTRACTOR's initial risk assessment of the Event or EIreach demonstrating whether individual or other notices are required by applicable law or this DUA for HHS approval, including an analysis of whether there is a low probability of compromise of the Confidential Information or whether any legal exceptions to notification apply, (h) CONTRACTOR's recommendation for HI-IS's approval as to the steps Individuals and/or CONTRACTOR on behalf of Individuals, should take to protect the Individuals from potential harm, including without limitation CONTRACTOR's provision of notifications, credit protection, claims monitoring, and any specific protections for a Legally Authorized Representative to take on behalf of an Individual with special capacity or circumstances; (i) The steps CONTRACTOR has taken to mitigate the harm or potential harm caused (including without limitation the provision of sufficient resourves to mitigate); (j) The steps CONTRACTOR has taken, or will take, to prevent or reduce the likelihood of recurrence of a similar event or Bread;; (k) Identify, describe or estimate the Persons, Workforce, Subcontractor, or Individuals and any law enforcement that may be involved in the Event or Breach: (I) A reasonable schedule for CONTRACTOR to provide regular updates during normal business hours to the foregoing in the future for response to the Event or Breach, but no Tess than every three (3) business days or as otherwise directed by ISIS, including information about risk estimations, reporting, notification, if any, mitigation, corrective action, root cause analysis and when such activities are expected to be completed; and (m) Any reasonably available, pertinent information, documents or reports related to an gvent or Breach that HHS requests following Discovery. 4.02 Investigation, Response and Mitigation. 45 CFR 164.308, 310 and 312; 164530 (A) CONTRACTOR will immediately conduct a full and complete investigation, respond to the Event or Breach, commit necessary and appropriate staff and resources to expeditiously respond, and report as required to and by H:HS for incident response purposes and for purposes of HHS's compliance with report and notification requirements, to the reasonable satisfaction of HHS. (B) CONTRACTOR will complete or participate in a risk assessment as directed by HHS following an Event or Breach, and provide the final assessment, corrective actions and mitigations to HHS for review and approval. (C) CONTRACTOR will fully cooperate with HHS to respond to inquiries and/or proceedings by state and federal authorities, persons and/or Individuals about the Event or Breach. 11115 Data Use Agreement (modified v. 8.3) Local Health Departments October 21,2015 Page 9 of 15 11115 Contract No. 2017-0-it1S00 001 (D) CONTRACTOR will fully cooperate with HHS's efforts to seek appropriate injunctive relief or otherwise prevent or curtail such Event or Breach, or to recover or protect any Confidential Information, including complying with reasonable corrective action or measures, as specified by HHS in a Corrective Action Plan if directed by HHS under the Base Contract. 4.03 Breach Notification to Individuals and Reporting to Authorities. Tex. Bus. & Comm. Code §52L053; 45 CFR 164.404 (Individuals), 164.406 (Media); 164.408 (Authorities) (A) HHS may direct CONTRACTOR to provide Breach notification to Individuals, regulators or third -parties, as specified by HHS following a Breach. (B) CONTRACTOR shall give HHS an opportunity to review and provide feedback to CONTRACTOR and to confirm that CONTRACTOR's notice meets all regulatory requirements regarding the time, manner and content of any notification to jndividuals, regulators or third -parties, or any notice required by other state or federal authorities. HHS shall have len (10) business days to provide said feedback to CONTRACTOR. Notice letters will be in CONTRACTOR's name and on CONTRACTOR's letterhead, unless otherwise directed by HHS, and will contain contact information, including the name and title of CONTRACTOR's representative, an email address and a toll-free telephone number, if required by applicable law, rule, or regulation, for the Individual to obtain additional information. (C) CONTRACTOR will provide HHS with copies of distributed and approved communications. (D) CONTRACTOR will have the burden of demonstrating to the reasonable satisfaction of HHS that any notification required by HHS was timely made. If there are delays outside of CONTRACTOR's control, CONTRACTOR will provide written documentation of the reasons for the delay. (E) If HHS delegates notice requirements to CONTRACTOR, HHS shall, in the time and manner reasonably requested by CONTRACTOR, cooperate and assist with CONTRACTOR's information requests in order to make such notifications and reports. ARTICLE 5. STATEMENT OF WORK "Statement of Work" means the services and deliverables to be performed or provided by CONTRACTOR, or on behalf of CONTRACTOR by its Subcontractors or agents for HHS that are described in detail in the Base Contract. The Statement of Work, including any future amendments thereto, is incorporated by reference in this DUA as ifset out word-for-word herein. ARTICLE 6. GENERAL PROVISIONS 6.01 Oversight of Confidential Information CONTRACTOR acknowledges and agrees that HHS is entitled to oversee and monitor CONTRACTOR's access to and creation, receipt, maintenance, use, disclosure of the Confidential Information to confirm that CONTRACTOR is in compliance with this DUA. 6.02 HHS Commitment and Obligations HHS Data Use Agreement (modified v. 8.3) Local Health Departments October 21,2015 Page 10 of 15 t It 15 Contract No 2017-049500-001 HHS will not request CONTRACTOR to create, maintain, transmit, use or disclose PHI in any manner that would not be permissible under applicable law if done by HHS. 6.03 HHS Right to Inspection At any time upon reasonable notice to CONTRACTOR, or if HHS determines that CONTRACTOR has violated this DUA, HHS, directly or through its agent, will have the right to inspect the facilities, systems, books and records of CONTRACTOR to monitor compliance with this DUA. For purposes of this subsection, HHS's agent(s) include, without limitation, the HHS Office of the Inspector General or the Office of the Anomey General of Texas, outside consultants or legal counsel or other designee. 6.04 Term; Termination of DUA; Survival This DUA will be effective on the date on which CONTRACTOR executes the DUA, and will terminate upon termination of the Base Contract and as set forth herein. If the Base Contract is extended or amended, this DUA shall be extended or amended concurrent with such extension or amendment. (A) HHS may immediately terminate this DUA and Base Contract upon a material violation of this DUA. (B) Termination or Expiration of this DUA will not relieve CONTRACTOR of its obligation to return or Destroy the Confidential Information as set forth in this DUA and to continue to safeguard the Confidential Information until such time as determined by HHS. (C) If HHS determines that CONTRACTOR has violated a material term of this DUA; HHS may in its sole discretion: (1) Exercise any of its rights including but not Iimited to reports, access and inspection under this DUA and/or the Base Contract; or (2) Require CONTRACTOR to submit to a Corrective Action Plan, including a plan for monitoring and plan for reporting, as HHS may determine necessary to maintain compliance with this DUA; or (3) Provide CONTRACTOR with a reasonable period to cure the violation as determined by HHS; or (4) Terminate the DUA and Base Contract immediately, and seek relief in a court of competent jurisdiction in Texas. Before exercising any of these options, HHS will provide written notice to CONTRACTOR describing the violation, the requested corrective action CONTRACTOR may take to cure the alleged violation, and the action HHS intends to take if the alleged violated is not timely cured by CONTRACTOR. (D) If neither termination nor cure is feasible, HHS shall report the violation to the Secretary of the U.S. Department of Health and Human Services. (E) The duties of CONTRACTOR or its Subcontractor ,under this DUA survive the expiration or termination of this DUA until all the Confidential Information is Destroyed or returned to HHS, as required by this DUA. HHS Data Use Agreement (modified v. 8.3) Local Health Departments October 21,2015 Page 11 of 15 11115 Contract No 2017-049800.001 6.05 Governing Law, Venue and Litigation (A) The validity, construction and performance of this DUA and the legal relations among the Parties to this DUA will be governed by and construed in accordance with the laws of the State of Texas. (B) The Parties agree that the courts of Texas, will be the exclusive venue for any litigation, special proceeding or other proceeding as between the parties that may be brought, or arise out of, or in connection with, or by reason of this DUA. 6.06 Injunctive Relief (A) CONTRACTOR acknowledges and agrees that HHS may suffer irreparable injury if CONTRACTOR or its Subcontractor fails to comply with any of the Terms of this DUA with respect to the Confidential Information or a provision of HIPAA or other laws or regulations applicable to Confidential Information. (B) CONTRACTOR further agrees that monetary damages may be inadequate to compensate HHS for CONTRACTOR's or its Subcontractor's failure to comply. Accordingly, CONTRACTOR agrees that HHS will, in addition to any other remedies available to it at law or in equity, be entitled to seek injunctive relief without posting a bond and without the necessity of demonstrating actual damages, to enforce the terms of this DUA. 6.07 Responsibility. To the extent permitted by the Texas Constitution, laws and rules, and without waiving any irununities or defenses available to CONTRACTOR as a governmental entity, CONTRACTOR shall be solely responsible for its own acts and omissions and the acts and omissions of its employees, directors, officers, Subcontractors and agents. HHS shall be solely responsible for its own acts and omissions. 6.08 Insurance (A) As a governmental entity, and in accordance with the limits of the Texas Tort Claims Act, Chapter 101 of the Texas Civil Practice and Remedies Code, CONTRACTOR either maintains commercial insurance or self -insures with policy limits in an amount sufficient to cover CONTRACTOR'S liability arising under this DUA. CONTRACTOR will request that HHS be named as an additional insured. HI-ISC reserves the right to consider alternative means for CONTRACTOR to satisfy CONTRACTOR's financial responsibility under this DUA. Nothing herein shall relieve CONTRACTOR of its financial obligations set forth in this DUA if CONTRACTOR fails to maintain insurance. (B) CONTRACTOR will provide HHS with written proof that required insurance coverage is in effect, at the request of HHS. 6.08 Fees and Costs Except as otherwise specified in this DUA or the Base Contract, if any legal action or other proceeding is brought for the enforcement of this DUA, or because of an alleged dispute, contract violation, Event, Breach, default, misrepresentation, or injunctive action, in connection with any of the provisions of this DUA, each party will bear their own legal expenses and the other cost incurred in that action or proceeding. HHS Data Use Agreement (modified v. 8.3) Local Health Departments October 21,2015 Page 12 of 15 I II IS Contract No. 20I7 -049S00-00 I 6.09 Entirety of the Contract This DUA is incorporated by reference into the Base Contract as an amendment thereto and, together with the Base Contract, constitutes the entire agreement between the parties. No change, waiver, or discharge of obligations arising under those documents will be valid unless in writing and executed by the party against whom such change, waiver, or discharge is sought to be enforced If any provision of the Base Contract, including any General Provisions or Uniform Terms and Conditions, conflicts with this DUA, this DUA controls. 6.10 Automatic Amendment and Interpretation If there is (i) a change in any law, regulation or rule, state or federal, applicable to HIPPA and/or Confidential Information, or (ii) any change in the judicial or administrative interpretation of any such law, regulation or rule„ upon the effective date of such change, this DUA shall be deemed to have been automatically amended, interpreted and read so that the obligations imposed on HHS and/or CONTRACTOR remain in compliance with such changes. Any ambiguity in this DUA will be resolved in favor of a meaning that permits HHS and CONTRACTOR to comply with }IIPAA or any other law applicable to Confidential Information. ARTICLE 7. AU'T'HORITY To EXECtrrE The Parties have executed this DUA in their capacities as stated below with authority to bind their organizations on the dates set forth by their signatures. IN WITNESS HEREOF, HHS and CONTRACTOR have each caused this DUA to be signed and delivered by its duly authorized representative: TEXAS HEALTH AND HUMAN SERVICES CONTRACTOR BY: NAME: TITLE: DATE: ,201 . BY: NAME: TITLE: DATE: ,201 HHS Data Use Agreement (modified v.8,3) Local Health Departments October 21,2015 Page 13 of 15 ATTACHMENT H DSHS NON-EXCLUSIVE LIST OF APPLICABLE LAWS Contractor is responsible for reviewing and complying with any applicable statutes, rules, regulations, executive orders and policies. To the extent applicable to Contractor, Contractor shall comply with the following: a. Statutes, rules, regulations, and DSHS policy (and any of their subsequent amendments) that collectively prohibit discrimination, exclusion from or !imitation of participation in programs, benefits or activities or denial of any aid, care, service or other benefit on the basis of race, color, national origin, limited English proficiency, sex, sexual orientation (where applicable), disabilities, age, substance abuse, political belief or religion: 1. Title VI of the Civil Rights Act of 1964, 42 USC §§ 2000d et seq.; 2. Title IX of the Education Amendments of 1972, 20 USC §§ 1681-1683, and 1685-1686; 3. Section 504 of the Rehabilitation Act of 1973, 29 USC § 794(a); 4. Americans with Disabilities Act of 1990, 42 USC §§ 12101 et seq.; 5. Age Discrimination Act of 1975, 42 USC §§ 6101-6107; 6. Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act of 1970, 42 USC § 290dd (b)(1); 7) 45 CFR Parts 80, 84, 86 and 91; 7. U.S. Department of Labor, Equal Employment Opportunity E.O. 11246; 8. Tex. Labor Code Chapter 21; 9. Food Stamp Act of 1977 (7 USC §§ 2011 et seq.); 10. Executive Order 13279, 45 CFR Part 87 or 7 CFR Part 16 regarding equal treatment and opportunity for religious organizations; 11. Drug Abuse Office and Treatment Act of 1972, 21 USC §§ 1101 et seq., relating to drug abuse; 12. Public Health Service Act of 1912, §§ 523 and 527, 42 USC § 290dd 2, and 42 CFR pt. 2, relating to confidentiality of alcohol and drug abuse patient records; 13. Title Vlll of the Civil Rights Act of 1968, 42 USC §§ 3601 et seq., relating to nondiscrimination in housing; and 14. DSHS Policy AA 5018, Non-discrimination Policy for DSHS Programs; b. Immigration Reform and Control Act of 1986, 8 USC § 1324a, and Immigration Act of 1990, 8 USC 1101 et seq., as amended by Public Law113-4 (March 7, 2013), regarding employment verification; and Illegal Immigration Reform and immigrant Responsibility Act of 1996; c. Pro -Children Act of 1994, 20 USC §§ 6081-6084, and the Pro -Children Act of 200I, 20 USC § 7183, regarding the non-use of alI tobacco products; d. National Research Service Award Act of 1971, 42 USC §§ 289a-1 el seq., and 6601 (P.L. 93-348 and P.L. 103-43), regarding human subjects involved in research; e. Hatch Political Activity Act, 5 USC §§ 1501-1508 and 7324-26, which limits the political activity of employees whose employment is funded with federal funds; f. Fair Labor Standards Act, 29 USC §§ 201 et seq., and the Intergovernmental Personnel Act of 1970, 42 USC §§ 4701 et seq., as applicable, concerning minimum wage and maximum hours; g. Texas Government Code Chapter 469 pertaining to eliminating architectural barriers for persons with disabilities; h. Texas Workers' Compensation Act, Texas Labor Code Chapters 401-406, and 28 Texas Administrative Code (TAC) pt. 2, regarding compensation for employees' injuries; i. The Clinical Laboratory Improvement Amendments of 1988, 42 USC § 263a, regarding the regulation and certification of clinical laboratories; j. The Occupational Safety and Health Administration Regulations on Blood Borne Pathogens, 29 CFR §1910.1030, or Title 25 Tex. Admin Code Chapter 96 regarding safety standards for handling blood borne pathogens; k. Laboratory Animal Welfare Act of 1966, 7 USC §§ 2131 et seq., pertaining to the treatment of laboratory animals; 1. Environmental standards pursuant to the following: v 01 01 2016 Nei ATTACHMENT H DSHS NON-EXCLUSIVE LIST OF APPLICABLE LAWS 1. Institution of environmental quality control measures under the National Environmental Policy Act of 1969, 42 USC §§ 4321-4347 and Executive Order 11514 (35 Fed. Reg. 4247), "Protection and Enhancement of Environmental Quality;" 2. Notification of violating facilities pursuant to Executive Order 11738 (40 CFR Part 32), "Providing for Administration of the Clean Air Act and the Federal Water Pollution Control Act with respect to Federal Contracts, Grants, or Loans;" 3. Protection of wetlands pursuant to Executive Order 11990, 42 Fed. Reg. 26961; 4. Evaluation of flood hazards in floodplain in accordance with Executive Order 11988, 42 Fed. Reg.2695I and, if applicable, flood insurance purchase requirements of Section 102(a) of the Flood Disaster Protection Act of 1973 (P.L. 93-234); 5. Assurance of project consistency with the approved State Management program developed under the Coastal Zone Management Act of 1972, 16 USC §§ 145I et seq.; 6. Federal Water Pollution Control Act, 33 USC §§ 1251 et seq.; 7. Protection of underground sources of drinking water under the Safe Drinking Water Act of 1974, 42 USC §§ 300f -300j; 8. Protection of endangered species under the Endangered Species Act of 1973, 16 USC §§ 1531 et seq.; 9. Conformity of federal actions to state clean air implementation plans under the Clean Air Act of 1955, 42 USC §§ 7401 et seq.; 10. Wild and Scenic Rivers Act of 1968, 16 USC §§ 1271 et seq., related to protecting certain river systems; and m. Lead -Based Paint Poisoning Prevention Act, 42 USC §§ 4821 et seq., prohibiting the use of lead- based paint in residential construction or rehabilitation; n. lntergovernmental Personnel Act of 1970, 42 USC §§ 4278-4763, regarding personnel merit systems for programs specified in Appendix A of the federal Office of Program Management's Standards for a Merit System of Personnel Administration, 5 CFR Part1200 et seq; o. Titles 11 and 111 of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of, 42 USC §§4601 et seq (PL 91-646), relating to fair treatment of persons displaced or whose property is acquired as a result of Federal or federally -assisted programs; p. Davis -Bacon Act, 40 USC §§ 3141-3148; q. Copeland Act, 40 USC §§ 276c and 18 USC § 874; r. Contract Work Hours and Safety Standards Act, 40 USC § 3702 et seq., regarding labor standards for federally -assisted construction subagreements; s. National Historic Preservation Act of 1966, § 106,16 USC § 470; Executive Order 11593; and the Archaeological and Historic Preservation Act of 1974 (16 USC §§ 469a -I et seq.) regarding historic property to the extent necessary to assist DSHS in complying with the Acts; t. Trafficking Victims Protection Act of 2000, Section 106(g) (22 USC § 7104); u. Executive Order 13513 (Oct. 1, 2009), Federal Leadership on Reducing Text Messaging While Driving, October 1, 2009, if required by a federal funding source of this Contract; v. Whistleblower Protection Enhancement Act (5 U.S.C. 2302(b)(8)) and Texas Whistleblower Act (Tex.Gov. Code Chapter 554); and w. Requirements of any other applicable state and federal statutes, executive orders, regulations, rules and policies. v 02 012016 N .2 AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of December 13, 2016 Second Reading Ordinance for the City Council Meeting of December 20, 2016 DATE: TO: Margie C. Rose, City Manager November 4, 2016 FROM: Fred Segundo, Director of Aviation FredS@cctexas.com (361) 289-0171 ext. 1213 Authorize lease agreement with Driscoll Children's Hospital (DCH) for hangar and office space at Corpus Christi International Airport for purposes of establishing a ground ambulance service facility for pediatric patients. CAPTION: Ordinance authorizing the City Manager or designee to execute a lease agreement with Driscoll Children's Hospital for hangar, office and parking space at the Corpus Christi International Airport for a lease term of three years, with an option to renew for two additional one-year periods. PURPOSE: The agreement sets out the terms and conditions between Corpus Christi International Airport (CCIA) and Driscoll Children's Hospital (DCH) to allow DCH to lease hangar, office and parking space at 302 International Drive on airport property. DCH plans to renovate the property and base its ground ambulance team at the airport. The ambulance team will transport pediatric patients between CCIA and DCH. Currently Sterling Air Service provides contractual air ambulance to DCH and has a separate hangar lease with CCIA. BACKGROUND AND FINDINGS: Driscoll Children's Hospital (DCH) was built in 1953 and serves as the primary hospital for children in Corpus Christi and the surrounding areas. DCH is a 189 -bed pediatric tertiary care center with pediatric specialists representing 32 medical and 13 surgical specialties. Care is offered throughout South Texas, including Corpus Christi, the Rio Grande Valley, Victoria and Laredo. In 2015, DCH had more than 159,000 patient visits including 40,000 patients seen at South Texas' first emergency room created specifically for pediatrics. In August 2015, Sterling Air Service received City Council approval to lease hangar space at CCIA. Shortly thereafter, DCH representatives contacted airport staff about leasing property in proximity to Sterling Air as the two entities work together to transport pediatric patients. Relocation of DCH's ground ambulance team to CCIA will provide operating efficiencies and better response times. Airport staff recommended the hangar /office facility located on 302 International Drive which encompasses 91,250 square feet of space. The subject airport property was previously leased and operated by Corpus Christi Helicopter until 2013 and most recently has been used by the Airport for equipment storage and a staging area for City Fire response vehicle. Driscoll Children's Hospital DCH will pay a fair market monthly rental fee of $915.50 as determined by the independent appraisal firm, Aviation Management Consulting Group (AMCG). DCH will make improvements of up to $200,000 which will offset monthly rent. The facility and improvements will remain the property of the City/CCIA. ALTERNATIVES: No viable alternative exists. OTHER CONSIDERATIONS: N/A EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Legal Financial Services Management and Budget FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016- 2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget $8,352,710 $8,352,710 Encumbered / Expended Amount 0 0 This item (additional revenue) 8,240 $8,240 BALANCE $8,360,950 $8,360,950 Fund(s): Airport Fund - 4610 Comments: None RECOMMENDATION: Staff recommends approval of the ordinance as presented. LIST OF SUPPORTING DOCUMENTS: Ordinance Lease Agreement Exhibits A, B, C, D Picture of Building Ordinance authorizing the City Manager or designee to execute a lease agreement with Driscoll Children's Hospital for hangar, office and parking space at the Corpus Christi International Airport for a lease term of three years, with an option to renew for two additional one-year periods. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. The City Manager, or designee, is authorized to execute a lease agreement with Driscoll Children's Hospital for land and improvements at the Corpus Christi International Airport for a lease term of three years, with an option to renew for two additional one-year periods, for the purpose of facilitating Lessee's aeronautical services and in consideration of the payment of monthly rental fees, which may be abated by completion of tenant renovations of the building, as stated in the lease. SECTION 2. The lease agreement is effective upon approval of the City Council and execution by the City Manager or designee. That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb That the foregoing ordinance was read for the second time and passed finally on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb PASSED AND APPROVED this the day of , 2016. ATTEST: CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary Dan McQueen Mayor LEASE AGREEMENT BETWEEN THE CITY OF CORPUS CHRISTI AND DRISCOLL CHILDREN'S HOSPITAL This lease agreement (the "Lease") is made by and between the City of Corpus Christi ("City"), acting by and through its City Manager or his designee ("City Manager"), and Driscoll Children's Hospital ("Lessee"), a Texas non-profit corporation. WHEREAS, the City owns the Corpus Christi International Airport ("Airport") and has authority to lease land and improvements at the Airport; WHEREAS, the Airport is managed by the Director of Aviation ("Aviation Director"); WHEREAS, the parties desire to enter into this Lease for land and improvements, to include use of office space, hangar space, and parking spaces for the purpose of facilitating the provision of Lessee's aeronautical services; and, NOW, THEREFORE, in consideration of the terms, conditions, and mutual covenants contained in this Lease, the Parties agree as follows: Section 1. Premises. City leases to the Lessee the real property and existing improvements as depicted in the attached Exhibits A and B ("Premises"), such exhibits being incorporated by reference into this Lease, and physically located at 302 International Drive, Corpus Christi, Nueces County, Texas. The Premises is generally described as follows: approximately 3,096 square feet of office space; approximately 3,000 square feet of hangar space; and approximately 85,154 square feet of surface area, including 18 parking spaces of uncovered parking located closest to the office space. The Premises is designated and known, for the sole purpose of locating and identifying the leased area granted by this instrument, as the "Driscoll Children's Hospital Ground Ambulance Service Facility." Section 2. Term. The term of this Lease is for three years and commences upon final approval by the City's City Council and execution of this instrument by the City Manager ("Effective Date"). The term may be extended for two additional 12 -month periods by written mutual consent of the parties. Section 3. Rent. A. So long as Lessee continually uses the entire Premises solely for Lessee's aeronautical use, annual rent for the Premises is as shown in Exhibit B, with the initial monthly payment being due on the Effective Date of this Lease and subsequent rental payments of 1/12th the annual amount due on the 1st of each month following the expiration of the initial month of the Lease. Lessee may choose to pay the rent due for the term in advance at any time. Notwithstanding the rent rates set out in Exhibit B, the rent amounts are subject to adjustment under subsections B and C of this section. Page 1 of 15 B. Rental rates for all Airport real properties are adjusted on a five-year cycle and based on a fair market appraisal conducted by the City. The next appraisal is scheduled to be completed on or about November 18, 2016. The City reserves the right to adjust the rent in accordance with its adopted policy or Federal Aviation Administration ("FAA") requirements. For purposes of determining the fair market value by appraisal, the values determined by the appraiser will be final. Lessee shall have the right to terminate the Lease with 30 days advance written notice should the rental rate increase more than 20%. C. Adjusted rental rates are effective beginning on the 61st day following completion of the final appraisal. D. Notwithstanding Section 11 of this Lease, Lessee has agreed to make improvements to the Premises within the first month of occupancy. Improvement costs are presently unknown. The City agrees to abate monthly rent payments in lieu of City reimbursement up to the monthly rent amount due with proof of completed improvements. In no event shall the City abate more than the total sum of rent due during the term of this Agreement, and the cost of any such improvements not abated monthly shall be borne solely by Lessee without any right to reimbursement or offset. Section 4. City and Lessee Representatives. The City Manager designates the Aviation Director as agent to receive all rent, notices, and reports due under this Lease. The contact person for the Lessee is Jeremy Goodman. Section 5. Use of Premises. A Lessee shall have the right to use and occupy the Premises solely for the operation of Lessee's aeronautical services and shall use the Premises for no other purpose without the express written consent of the Aviation Director. B. Lessee may not use or occupy, permit the Premises to be used or occupied, nor do or permit anything to be done in, on, or at the Premises in a manner that would, in any way, void or make voidable any insurance then in force with respect to the Premises or operations at the same or that would make it impossible to obtain the insurance required to be furnished by Lessee under this Lease. C. Lessee will not make any unlawful use of the Premises nor permit any unlawful use thereof and will not commit, or permit anyone else to commit, any act which is a nuisance or annoyance to the City or to adjacent property owners or tenants, or which might, in City's sole judgment, appreciably damage City's goodwill or reputation or tend to injure or depreciate the value of the Premises or any improvements located thereon. D. City Temporary Use. Lessee acknowledges that the City reserves the right to temporarily use the Premises, at no cost to the City, as a pre- or post -emergency evacuation, storage, or operations facility if deemed necessary by the City Manager. E. City is not required to make any expenditure nor incur any obligation or liability of any kind whatsoever in connection with the financing, construction, maintenance, or repair of the Premises. F. Partial Destruction. If the Premises is partially damaged due to acts of God, fire, or other casualty to the extent that Lessee cannot use that portion of the Premises for its intended Page 2 of 15 purpose, then, at Lessee's option, this Lease may be suspended or terminated until the damage is repaired. If the Lease is suspended, Lessee and City will mutually agree on a time period for Lessee to repair the damages to the Premises. If the Lease is terminated, the rent will be abated from the date of the casualty, provided, however, that Lessee must use its insurance proceeds to repair or replace the damaged Premises to its condition at the time of lease execution. Any remaining insurance proceeds after all repair costs have been expended and the Premises restored will be paid to Lessee. The City Manager is the sole judge of the extent of damage to the Premises. Section 6. Parking. Parking space is available adjacent to the office space, as shown in Exhibit B, on an exclusive basis and may be used for parking cars and other passenger motor vehicles used by the Lessee and its customers, guests, and patrons and persons or companies doing business with Lessee. Lessee acknowledges that use of the parking space shall fully comply with all of the Airport's rules and regulations for parking and vehicle usage at the Premises and adjacent parking areas and shall require users, customers, patrons, and guests of Lessee to do so as well. Section 7. Signs. Lessee may install City ordinance compliant signs on the Premises at its sole cost; provided, however, that the Lessee has obtained the Aviation Director's prior written consent as to the size, type, design and location of these signs or other corporate identification, which consent shall not be unreasonably withheld or delayed. Section 8. Right to Amend. If the FAA or its successor agency requires modifications or amendments to this Lease as a condition precedent to the granting of funds to the City for Airport improvements, Lessee agrees to consent to the modifications or amendments to the Lease as may be reasonably required, provided, however, Lessee will not be required to pay any increased rent, change the use of the Premises, or accept a relocation or reduction in size of the Premises until Lessee and Airport have fully executed an amendment to this Lease that is mutually satisfactory to both parties regarding any terms or conditions of this Lease affected by said actions of the FAA. Section 9. Subordination to U.S./FAA Requirements. This Lease is subordinate to the provisions of any existing or future agreement between the City, acting through the Airport, and the United States of America relating to the operation or maintenance of the Airport, where the execution of said agreement(s) is required as a condition to the expenditure of federal funds for the development of the Airport. If the effect of said agreement(s) with the United States, either under this Section 9 or under Section 8 above, is to remove any or all of the Premises from the control of Airport or to substantially destroy the value of the Premises, then this Lease shall terminate immediately without any further obligation on part of City to Lessee. Section 10. Development of Improvements. A. Lessee shall not construct improvements upon the Premises without the prior written approval of the Aviation Director and the City's Director of Engineering Services. Where required by law, approval of the City is subject to the concurrence of the FAA. Any constructed improvements must substantially conform to the plans, specifications, and requirements approved by the City and FAA, if applicable. B. ANY APPROVALS BY THE CITY UNDER THIS SECTION INCLUDING, BUT NOT LIMITED TO, APPROVALS OF PLANS AND SPECIFICATIONS, INSPECTION OF WORK, DESIGN, OR CONSTRUCTION ARE NOT TO BE CONSTRUED AS A REPRESENTATION, Page 3 of 15 WARRANTY, OR STATEMENT AS TO THE QUALITY, SOUNDNESS, OR SAFETY OF THE DESIGN AND CONSTRUCTION OF ANY OF THE IMPROVEMENTS (INCLUDING, WITHOUT LIMITATION, THE EXISTING IMPROVEMENTS) OR FACILITIES RELATED THERETO. C. When required by the City, Lessee will furnish to the City two sets of complete plans and specifications for improvements proposed to be placed or constructed on the Premises and complete as -built plans following completion of construction. No work may be performed by Lessee or its contractors without the prior written approval of such plans by the City, acting through its Aviation Director and its Director of Engineering Services. D. Upon termination of this Lease, ownership of any improvements constructed by Lessee on the Premises during the term of this Lease reverts to the City free and clear of all liens, claims, and other encumbrances or adverse interest in the Premises or the Improvements located thereon. Section 11. Lessee's Repair and Maintenance Obligations. A. Premises. Lessee, at its own expense, shall maintain the Premises and improvements in good appearance and in a good, safe condition. Lessee shall maintain all leasehold improvements on the Premises (including, without limitation, parking lots, sidewalks, roofs, walls, partitions, floors, ceilings, windows, doors, and glass, and all furnishings, fixtures, and equipment therein). Lessee shall provide janitorial service and maintenance to keep the interior and exterior of the Premises and improvements in a clean, attractive, and sanitary condition at all times. Any landscaping must be well-maintained and kept in a neat and tidy condition by the Lessee. Lessee shall repair any and all damage caused to real and personal property of City occurring on the Premises as a result of the willful or negligent acts or omissions of Lessee, its officers, employees, agents, guests, or invitees. B. Quality of Maintenance. It is the intent of the City and Lessee that the Premises and improvements will be repaired and maintained in a manner that shall keep the Improvements intact, in good repair, and in a condition so that said Improvements will be usable at the end of the Lease. Lessee must comply with the maintenance obligations and with all - applicable governmental laws, rules, or regulations. The Aviation Director is the sole judge of the quality of Lessee's maintenance, which must be reasonable and consistent with other properties. The Aviation Director may at any time, during City's normal business hours, upon prior notice unless an emergency exists, enter upon the Premises to determine if the maintenance requirements of this Lease are being complied with by Lessee. The Aviation Director must notify Lessee in writing of any default in maintenance or repair. If the required maintenance or repair in the Aviation Director's notice to Lessee is not commenced within 10 business days after receipt of such written notice, or is not diligently prosecuted to completion, the Aviation Director may, but is not obligated to do so, enter upon the Premises and perform the subject maintenance or repair. Lessee agrees to reimburse the Airport for its cost plus a 15% administrative fee within 30 days after the Aviation Director's written demand therefore, together with copies of all paid receipts for such repairs and maintenance. Lessee will develop, within 30 days of execution of this Lease, a preventative maintenance plan regarding the improvements and provide a copy to the Aviation Director. C. Correct Hazards. Lessee must immediately correct or cause to be corrected any hazardous or potentially hazardous condition on the Premises upon knowledge thereof, or after receipt of notice from the Aviation Director. At the Aviation Director's reasonable discretion, the operations in the Premises, or affected portion of the Premises, may be restrained or stopped Page 4 of 15 until the hazardous or potentially hazardous condition is removed or corrected. Section 12. Security. Lessee, its officers, employees, agents, contractors, and invitees must comply with all applicable federal and local security regulations, as the same may be amended. To the extent allowed by law, Lessee covenants to indemnify and hold harmless City, its officers, and employees from any charges, fines, or penalties that may be assessed or levied by the FAA or Transportation Security Administration by reason of the negligent or intentional failure of Lessee, its officers, employees, agents, contractors, or invitees to comply with security regulations, regardless of whether the fine, charge, or penalty is levied against the City or the Lessee. Section 13. CFR Part 77 Requirements. Lessee covenants to comply with the notification and review requirements set out in Part 77 of the FAA Regulations 14 CFR Part 77, as amended, if Lessee plans to construct or modify any structure, antenna, or building located on the Premises or to be constructed on the Premises as an Improvement. Section 14. Control of Structures. Lessee shall not erect nor permit the erection of any structure, antenna, or building, nor permit the growth of any tree on the Premises, which has its highest point above a mean sea level elevation established by FAA and the City as a height limitation on said structure, antenna, building, or object. The City may enter the Premises and remove the encroaching structure, antenna, building, or object without notice and at Lessee's expense plus an additional administrative charge of 15%. Section 15. Aerial Approaches. The Aviation Director may take any action necessary to protect the Airport's aerial approaches against obstruction, including the right to prevent Lessee from erecting or permitting to be erected any building or structure on or adjacent to the Airport which, in the Aviation Director's opinion, would limit the usefulness of the Airport or constitute a hazard to aircraft. Section 16. Hazardous Substances and Materials. A. For the purposes of this Lease, "hazardous substance or material" means and refers to one or more of the following: 1) Asbestos; 2) Any substance, material or waste defined as a "hazardous waste" pursuant to Section 1004 of the Resource Conservation and Recovery Act (42 U.S.C. Section 6901, et. seq.); 3) Any substance, material or waste defined as a "hazardous substance" pursuant to Section 101 of the Comprehensive Environmental Response, Compensation and Liability Act (42 U.S.C. Section 9601, et. seq.); 4) Any substance, material or waste defined as a "regulated substance" pursuant to Subchapter IX of the Solid Waste Disposal Act (42 U.S.C. Section 6991, et. seq.); and 5) Any substance, material or waste which is reasonably considered by the City to pose an actual or potential threat to persons or property in, around, or on the Premises. Page 5 of 15 B. Lessee shall comply with all environmental laws, rules, regulations, orders and permits applicable to the use of the Premises and improvements including, but not limited to, required National Pollutant Discharge Elimination System Permits and all applicable laws relating to the use, storage, generation, treatment, transportation, or disposal of hazardous or regulated substances. Except for the hazardous substances governed by and transported in full compliance with the transportation laws of the state or federal government, Lessee must not knowingly use, store, generate, treat, transport, or dispose of any hazardous or regulated substances, materials, or waste on or near the Premises without the Aviation Director's prior written approval and without first obtaining all required permits and approvals from all authorities having jurisdiction over the operations conducted on the Premises. No fuel storage tanks shall be located or permitted on the Premises. C. If Lessee determines that a threat to the environment including, but not limited to, a release, discharge, spill or deposit of a hazardous substance or regulated substance has occurred or is occurring which affects or threatens to affect the Premises or the persons, structures, equipment, or other property upon the Premises or the Airport, Lessee must immediately notify by oral report in person or by telephone, to be promptly confirmed in writing, the Aviation Director as required by law or regulation. Lessee must cooperate fully with the Aviation Director in promptly responding to, reporting, and remedying a threat to the environment including, without limitation, a release or threat of release of a hazardous or regulated substance into the drainage system, soil, ground or surface water, waters, or atmosphere in accordance with applicable law or as authorized or approved by any federal, state, or local agency having authority over environmental matters. D. Lessee shall keep a readily accessible file of Materials Safety Data Sheets ("MSDS") for each hazardous material or substance on the Premises or transported, in accordance with federal and state transportation laws, which file must be posted and immediately available to any Airport employee who responds to a report of a discharge of a hazardous substance or material on the Premises. Lessee will require any operator of the facilities on the Premises to use best efforts to determine which hazardous substance or material was accidentally discharged and ensure that the MSDS sheet is available for the first responders to the Premises. E. Lessee will cause prompt remediation and the payment of all costs associated with any action or inaction of Lessee that directly or indirectly prevents the City, acting through the Airport, from materially conforming to all then applicable environmental laws, rules, regulations, orders, or permits relating to the Premises. The rights and obligations set forth in this section shall survive the expiration or earlier termination of this Lease. F. Lessee shall furnish to the Aviation Director, within five days of receipt by Lessee, copies of any and all notices or correspondence directed to Lessee or any other party at the Premises from any governmental entity, other entity, or person indicating a violation or possible violation of any laws, rules, or regulations including, without limitation, any law, rule, or regulation regarding hazardous materials or substances (as such term is defined in this Lease). Section 17. Nondiscrimination/Affirmative Action. A. Nondiscrimination—General. Lessee for itself, and as a requirement for any sublessee, their personal representatives, successors in interest, and assigns, as a part of the consideration hereof covenants that: (1) no person on the grounds of race, creed, color, religion, sex, age, national origin, handicap, or political belief or affiliation will be excluded from Page 6 of 15 participation in, denied the benefits of or otherwise be subjected to discrimination in the use of the Premises; (2) in the construction of any improvements on, over, or under the Premises and the furnishing of services thereon, no person on the grounds of race, color, religion, sex, age, national origin, handicap, or political belief or affiliation will be excluded from participation in, denied the benefits of, or otherwise be subject to discrimination; (3) Lessee will cause to the best of its ability the Premises and Improvements to be in compliance with all other requirements imposed by or pursuant to 14 CFR Part 152, Subpart E Non Discrimination in Aid Program and Title VI of the Civil Rights Act of 1964 and 49 CFR, Subtitle A, Part 21, Nondiscrimination in Federally Assisted Programs of the Department of Transportation, and as said Title and Regulations may be amended, and with other applicable state or federal laws or regulations, as amended. B. Nondiscrimination—Business Owner. This agreement is subject to the requirements of the U.S. Department of Transportation's regulations, 49 CFR Part 23. The concessionaire or contractor (Lessee) agrees that it will not discriminate against any business owner because of the owner's race, color, national origin, or sex in connection with the award or performance of any concession agreement, management contract, or subcontract, purchase or lease agreement, or other agreement covered by 49 CFR Part 23. The concessionaire or contractor (Lessee) agrees to include the above statements in any subsequent concession agreement or contract covered by 49 CFR Part 23 that it enters and causes those businesses to similarly include the statements in further agreements. C. Remedy for Breach. If the Lessee is found by a final verdict of a court of competent jurisdiction to have deliberately breached a non-discrimination covenant, or to have permitted any sublessee to deliberately breach a non-discrimination covenant, the City may immediately enforce the remedies directed by the Court's decision, which may include the City's right to reenter the Premises, retake possession thereof, and terminate the Lease. This provision is not effective until the procedures of Title 49, Code of Federal Regulations, Part 21 are completed, including exercise of any rights to appeal. D. Affirmative Action. The Lessee will undertake any affirmative action program if required by 14 CFR Part 152, Subpart E, to ensure that the Lessee will not exclude any person from participating in any employment activity covered by 14 CFR Part 152, Subpart E, on the grounds of race, creed, color, national origin, sex, age, or disability. The Lessee will not exclude any person on these grounds from participation in or the receipt of the service or benefit of any program or activity covered by the subpart. The Lessee further understands that it will require its covered sub organizations, if any, to provide assurances to the City that they will also undertake any required affirmative action programs, if required, and require assurances from their sub -organizations, if required pursuant to 14 CFR Part 152, Subpart E. Lessee, at no expense to the City, shall comply with any applicable requirements of the Americans with Disabilities (ADA), as it may be amended, with respect to the Premises and its improvements. Section 18. Compliance with Laws. A. General. Lessee covenants to promptly observe, comply with and execute, and shall cause any sublessee to promptly observe, comply with and execute, the provisions of any and all present and future governmental laws, ordinances, rules, regulations, requirements, orders and directions applicable to the use and occupancy of the Premises. A material breach of this covenant, which is not remedied within any permitted cure period, may be cause for City's exercising its rights under the Lease. During any period of Lessee's good faith challenge to any such laws, ordinances, rules, regulations, requirements, orders and directions in a court Page 7 of 15 of competent jurisdiction, Lessee's inaction shall not be deemed a breach of this Lease. B. Federal. Lessee shall comply and shall require any sublessee to comply with all applicable federal laws, rules, and regulations including, without limitation, the Drug Free Workplace Act, the Violence in the Workplace Act, the Americans with Disabilities Act, and any other acts the U.S. Congress passes that apply to the uses and operations at the Premises. C. State. Lessee shall comply with all applicable laws, rules, and regulations of the State of Texas. D. Local. Lessee shall comply with all applicable City ordinances, and rules and regulations promulgated by the Aviation Director. Section 19. Acceptance of Premises Disclaimer. LESSEE ACKNOWLEDGES THAT IT IS LEASING THE PREMISES "AS IS" WITH ALL FAULTS INCLUDING, BUT NOT LIMITED TO, ANY AND ALL POLLUTANTS, ASBESTOS, UNDERGROUND STORAGE TANKS, AND ANY OTHER HAZARDOUS MATERIALS AS MAY EXIST ON THE PREMISES AND THAT NEITHER CITY NOR ANY EMPLOYEE OR AGENT OF CITY HAS MADE ANY REPRESENTATIONS OR WARRANTIES AS TO THE CONDITION OF SUCH PREMISES. LESSEE ACKNOWLEDGES AND AGREES THAT LESSEE HAS BEEN PROVIDED, TO ITS SATISFACTION, THE OPPORTUNITY TO INSPECT THE PREMISES FOR ANY DEFECTS AS TO THE SUITABILITY OF SUCH PROPERTY FOR THE PURPOSE TO WHICH LESSEE INTENDS TO PUT THE PREMISES AND IS RELYING ON ITS OWN INSPECTION. THIS LEASE IS SUBJECT TO ALL COVENANTS, EASEMENTS, RESERVATIONS, RESTRICTIONS, AND OTHER MATTERS OF RECORD AND NOT OF RECORD APPLICABLE TO THE PREMISES. Section 20. Fiscal Year. By execution of this Lease, Lessee acknowledges that the continuation of any contract after the close of any fiscal year of the City, which fiscal year ends on September 30 annually, is subject to budget approval and sufficient appropriations by the City Council for such contract item as an expenditure in the next fiscal budget. The City does not represent nor warrant to Lessee that a budget item providing for this Lease in any future fiscal budget will be actually adopted, as that determination is within the sole discretion of the City Council at the time of adoption of each fiscal budget. In the event the Lease is not continued, the City will reimburse the Lessee the cost of improvements on a pro -rata basis. Section 21. City's Obligations. A. City agrees to operate the Corpus Christi International Airport as a public airport during the term of this Lease, subject to the assurances given by the City to the United States Government. B. In exchange for Lessee's promise to maintain the Premises, the City agrees to make water and wastewater services available to the Premises property line on the same basis as it is made available to all businesses operating at the Airport. Lessee must procure and pay for all utility usage, such as gas, water, wastewater, cable, Internet, and telephone charges that are supplied to the Premises during the term of the Lease as the charges become due and payable. IN NO EVENT WILL THE CITY BE LIABLE FOR ANY INTERRUPTION OR FAILURE IN THE SUPPLYING OF ANY UTILITIES TO THE PREMISES, INCLUDING THOSE WHICH THE CITY Page 8 of 15 HAS AGREED TO FURNISH. C. The City shall provide reasonable notice if ingress and egress to the Premises will be interrupted due to maintenance. If City causes Lessee's ingress or egress to be interrupted for more than 24 hours, the City will consider rent reduction for days of non-use. Section 22. Insurance. Lessee must provide insurance in the amounts and types of coverages required by the City's Risk Manager or the Risk Manager's designee ("Risk Manager") as are set out in the attached Exhibit C, the content of which is incorporated into this Lease as if set out herein in its entirety. Lessee must cause certificate(s) of insurance to be provided to the Aviation Director and Risk Manager not less than 30 days prior to the annual anniversary date of the Effective Date of this Lease. The Risk Manager will annually assess the level and types of insurance required by the Lessee. The Risk Manager may increase or decrease the level or types of insurance by giving Lessee notice not less than 60 days prior to the annual anniversary date of the Effective Date of the Lease. Lessee shall have 30 days to procure the changed insurance and provide written proof of insurance to the Aviation Director and Risk Manager. Section 23. Indemnification. A. LESSEE SHALL INDEMNIFY, HOLD HARMLESS, AND DEFEND THE CITY OF CORPUS CHRISTI AND ITS OFFICERS, EMPLOYEES, REPRESENTATIVES, AND AGENTS (COLLECTIVELY, "INDEMNITEES") FROM AND AGAINST ANY AND ALL LIABILITY, LOSS, CLAIMS, DEMANDS, LIENS, JUDGMENTS, FINES, PENALTIES, AWARDS, LAWSUITS, CAUSES OF ACTION, AND EXPENSES OF ANY NATURE WHATSOEVER INCLUDING, BUT NOT LIMITED TO, STRICT LIABILITY CLAIMS AND ALL EXPENSES OF LITIGATION (INCLUDING MEDIATION AND ARBITRATION), COURT COSTS, REASONABLE ATTORNEYS' FEES, AND EXPERT WITNESS FEES, ON ACCOUNT OF PERSONAL INJURIES (INCLUDING WORKERS' COMPENSATION AND DEATH CLAIMS), PROPERTY LOSS OR DAMAGE, OR ANY OTHER KIND OF DAMAGES, WHICH ARISE OR ARE CLAIMED TO ARISE OUT OF OR IN CONNECTION WITH THIS LEASE OR THE PERFORMANCE OF THIS LEASE, REGARDLESS OF WHETHER THE INJURIES, DEATH, OR DAMAGES ARE CAUSED OR ARE CLAIMED TO BE CAUSED BY THE CONCURRENT OR CONTRIBUTORY NEGLIGENCE OF INDEMNITEES, BUT NOT IF BY THE SOLE NEGLIGENCE OF INDEMNITEES UNMIXED WITH THE FAULT OF ANY OTHER PERSON OR PARTY LESSEE MUST, AT ITS OWN EXPENSE, INVESTIGATE ALL CLAIMS AND DEMANDS, ATTEND TO THEIR SETTLEMENT OR OTHER DISPOSITION, DEFEND ALL ACTIONS BASED THEREON WITH COUNSEL SATISFACTORY TO INDEMNITEES, AND PAY ALL CHARGES OF ATTORNEYS AND ALL OTHER COSTS AND EXPENSES OF ANY KIND ARISING FROM OR OUT OF ANY OF SAID LIABILITY, LOSS, CLAIMS, DEMANDS, SUITS, CAUSES OF ACTION, OR DAMAGES. THE INDEMNIFICATION OBLIGATIONS OF LESSEE UNDER THIS SECTION SURVIVE THE EXPIRATION OR EARLIER TERMINATION OF THIS LEASE. B. Notice of Claim or Action. Notwithstanding the above indemnifications, Lessee must give the Aviation Director and Risk Manager written notice of any accident or other matter covered under this section and forward to the Aviation Director and Risk Manager copies of every notice, demand, claim, summons, or other process communication received within 10 days of Lessee's receipt of same. Page 9 of 15 Section 24. Assignment and Sublease. A. Lessee shall not assign this Lease or sublease the Premises or any part thereof or mortgage, pledge, or hypothecate its leasehold interest, or grant any concession or license within the Premises without the express prior written consent of the City, such consent being within the sole discretion of the City, and any attempt to do any of the foregoing shall be void and of no effect. In the event of any such assignment or sublease, attempted assignment or sublease, or should Lessee, in any other nature of transaction, allow or attempt to allow anyone to occupy the Premises or any portion thereof, City shall upon such occurrence have the right and option to terminate and cancel this Lease effective upon 10 days written notice to Lessee given by City at any time thereafter, and City may terminate and cancel either as to the entire Premises or as to only the portion thereof which Lessee assigned, subleased, attempted to assign or sublease, or otherwise allowed some other party's occupancy. Lessee shall be liable for payment of the fair market value of rents for the portion of the Premises used without consent of the City, such fair market value to be determined by resort and review of the Airport's current property appraisal report. In the event the City elects to terminate this Lease as to the aforesaid portion of the Premises, then the rent as to the remainder of the Premises may thereafter be reduced as appropriate and as determined by the City. This prohibition against assigning, subletting, attempting to assign or sublet, and allowing or attempting to allow occupancy by another without the City's consent is to be construed to include a prohibition against any assignment, subletting, or occupancy by operation of law. B. In any case where the City consents to a sublease of the leasehold, Lessee will remain liable for the performance of all terms, conditions, covenants, duties, and obligations of this Lease including, without limitation, the obligation to pay any and all sums required by this Lease to be paid and faithful adherence and performance of all indemnity provisions provided in this Lease. Section 25. Termination. A. Termination by Lessee. Without limiting any other rights and remedies to which Lessee may be entitled by common law, statutory law, or as elsewhere provided in this Lease, this Lease may be terminated by Lessee at any time upon the occurrence of one or more of the following events: 1) The City's permanent abandonment of the Airport; 2) The lawful assumption by the U. S. Government, or any authorized agency thereof, of the operation, control, or use of the Airport, or of any substantial part or parts thereof, which substantially restricts the Lessee from operating at the Premises for a minimum of 180 calendar days; 3) The issuance by any court of competent jurisdiction of an injunction that prevents or restrains the use of the Airport or the Premises that continues for at least 180 days; or 4) The default by the City in the performance of any covenant or obligation to be performed by the City and such failure to remedy the default continues for a period in excess of 60 days after receipt from Lessee of written notice to remedy the same. B. Termination by City. Without limiting any other rights and remedies to which City may be entitled at common law, statutory law, or as elsewhere provided in this Lease, this Lease may be terminated by the City if Lessee: Page 10 of 15 1) Is in arrears in paying the rent, fees, or other charges due under the Lease for 10 business days or more after written notice; 2) Becomes insolvent; takes the benefit of any present or future insolvency statute; makes a general assignment for the benefit of creditors; files a voluntary petition in bankruptcy or a petition or answer seeking a reorganization or the readjustment of its indebtedness under the federal bankruptcy laws or under any other law or statute of the United States or of any state thereof; or consents to the appointment of a receiver, trustee, or liquidator of all or substantially all of its property; 3) Has a petition filed under any part of the federal bankruptcy laws, or an action sought under any present or future insolvency law or statute, against Lessee and which is not dismissed within 30 days after the filing date; 4) Abandons the Premises ["abandon" shall mean failing to use the Premises for aeronautical activities and services as defined in current FAA Order 5190.6B FAA Airport Compliance Manual for a period in excess of 90 days; or 5) Otherwise defaults in the performance of any of other material covenant of this Lease and continues the default for thirty (30) days, or such other time as may be provided herein, after receipt of written notice from the Aviation Director of the default. If the default cannot reasonably be cured within said 30 days or within any other time as set out in the notice of default, Lessee shall not be deemed in default if Lessee commences the remedy process within the applicable period and thereafter diligently prosecutes the same to completion within a reasonable time period as agreed to by the Aviation Director; otherwise, Lessee will be determined to be in default. C. City's Right to Entry upon Termination. If the Lease is terminated, the City may enter upon the Premises. In the event of termination, the Aviation Director may enter onto the Premises to remove any and all persons or property from the Premises and place any property in storage for the account of and at the expense of Lessee. Excluding personal property provided at the Premises by the City which forms part of the granted use under this Lease, all personal property on the Premises except Protected Health Information (PHI) as defined by the Health Insurance Portability Accountability Act (HIPAA) is hereby subjected to a contractual landlord's lien to secure payment of delinquent rent and other sums due and unpaid under this Lease, any and all exemption laws are hereby expressly waived in favor of said landlord's lien; and it is agreed that said landlord's lien is not a waiver of any statutory or other lien given, or which may be given, to City but is in addition thereto. In the case of termination by either party, if Lessee fails to remove any of its furniture, fixtures, equipment, or other personal property from the Premises within ten (10) days following the termination of this Lease, Aviation Director may, at his option, take title to said personal property, remove the same, and sell the property found on the Premises at a public or private sale with proceeds of the sale applied first to the cost of the sale, then to the cost of storage of the property, if any, and then to the indebtedness of Lessee, with the surplus, if any, to be mailed to Lessee at the address herein designated. To the extent allowed by law, Lessee further agrees to hold harmless and indemnify City, including its officers, agents, and employees, against, from any loss or damage or claim arising out of City's action in collecting monies owed to it under this paragraph, except for any loss, damage, or claim caused by the gross negligence or willful misconduct of City or its employees. Page 11 of 15 D. Notice of Termination. If an event of material default occurs, and after due written notice identifying the default the defaulting party has failed to cure or failed to commence to cure, the complaining party may at any time after the expiration of any such cure period terminate this Lease by providing written notice of termination to the defaulting party. The Lease will be terminated on the date specified in the notice but not sooner than 10 business days after the postmarked date of the notice. E. Improvements Revert to City. Except for the right of Lessee to remove personal property at the expiration of the Lease, ownership of all improvements placed or constructed on the Premises by Lessee revert to the City upon the expiration or earlier termination of this Lease. Section 26. Re -delivery of Premises. Upon the expiration or earlier termination of this Lease, Lessee shall deliver the Premises to the City peaceably, quietly, and in as good condition as the same now are or may be hereafter improved by Lessee or City, normal use and wear excepted. Section 27. Holdover. Any holding over by Lessee of the Premises after the expiration of this Lease will be on a month-to-month tenancy at sufferance not to exceed 18 months, at the then current monthly rent, and subject to surrender upon 30 days' prior written notice. Failure to timely surrender the Premises following written notice subjects Lessee to a monthly holdover fee of 125% of the then -current fair market rental value for the Premises. Section 28. Notices. A. With the exception of immediate notices to be provided to the City under the hazardous materials/substances provision of Section 17 and the indemnification provisions of Section 24 of this Lease, all notices required to be sent under this Lease are deemed sufficient if in writing and sent by certified mail, return receipt requested, postage prepaid, or by overnight delivery service with proof of delivery, or delivered in person, and as properly addressed below: If to City: If to Lessee: Director of Aviation Corpus Christi International Airport 1000 International Drive Corpus Christi, TX 78406 Driscoll Children's Hospital 3533 South Alameda Corpus Christi, Texas 78411 B. Either party may change the address to which notice must be addressed under this section by providing the other party with notice of the new address under any of the methods set out in this section. Section 29. Disclosure of Interest; Conflicts of Interest. A. The City's Code of Ordinances, Section 2-349, as amended, requires all persons seeking to do business with the City to complete and provide a "Disclosure of Interest" form of the type attached to this Lease as Exhibit D. The content of the completed Exhibit D by Lessee is incorporated into this Lease by reference as if fully set out in this section. Lessee is obligated to provide an updated Disclosure of Interest should any information submitted in Exhibit D and incorporated into this Lease by reference change during the pendency of this Lease for approval by the City Council and prior to the City's execution of the same. Page 12 of 15 B. Additionally, Lessee agrees, in compliance with Texas statutory requirements, to electronically complete and file Form 1295 "Certificate of Interested Parties" on the Texas Ethics Commission's website and to provide the certified, executed, and notarized form to the City as a condition of this Lease. Section 30. General Provisions. A. Mineral Rights. The City expressly reserves all water, gas, oil, and mineral rights in and under the soil beneath the Premises in which it holds an interest and reserves the right to conduct or provide for testing and removal of any such City -owned water, gas, oil, or minerals from the Premises. B. No Waiver of Forfeiture. Any failure or neglect of the City or Lessee at any time to declare a forfeiture of this Lease for any breach or default whatsoever hereunder does not waive City's or Lessees right thereafter to declare a forfeiture for like or other or succeeding breach or default. C. Force Majeure. Neither City nor Lessee will be deemed to be in breach of this Lease if either is prevented from performing any of its obligations under this Lease by reason of force majeure. "Force Majeure" for the purposes of this Lease means any prevention, delay, or stoppage due to strikes, lockouts, labor disputes, acts of God to include severe inclement weather and sustained periods of rain or snow, civil commotion, fire or other casualty, and other causes beyond the reasonable control of the party obligated to perform and claiming the force majeure. All of the foregoing events excuse the performance by either party for a period equal to any prevention, delay, or stoppage, including the obligations imposed with regard to commencement or payment of rental and other charges to be paid by Lessee pursuant to this Lease and the obligation of City to deliver the Premises. D. Rules and Regulations. Lessor has adopted minimum operational standards ("Minimum Standards") and rules and regulations ("Rules and Regulations"), which shall govern Lessee in the use of the Premises and all common facilities, a copy of each of which has been furnished to the Lessee and are incorporated herein by reference. Lessee agrees to comply fully at all times with these governing documents. Lessor, in its sole discretion, shall have the right to amend, modify, and alter these Minimum Standards and Rules and Regulations from time to time in a reasonable manner and may introduce other regulations as deemed necessary for the purpose of assuring the safety, welfare, convenience, and protection of property of Lessor, Lessee, and all other tenants and customers of the Airport; provided, however, that Lessor shall give Lessee reasonable advance notice of any such amendments, modifications, or alternations of the Minimum Standards and Rules and Regulations. E. Venue. Venue for any action brought under this Lease lies in Nueces County, Texas, where the Lease was executed and will be performed. F. No Third Party Benefit. No provision of this Lease creates a third party claim against the City or the Lessee beyond that which may legally exist in the absence of any such provision. G. Permits, Licenses, and Taxes. Lessee shall procure all permits and licenses, pay all charges, fees, and taxes including, but not limited to, all payroll taxes, Medicare taxes, FICA taxes, unemployment taxes, and all other related taxes according to Internal Revenue Circular E Page 13 of 15 "Employer's Tax Guide," Publication 15, as it may be amended, and give all notices and respond to all communications that are necessary and incident to the due and lawful conduct of business at and occupancy of the Premises by Lessee. Lessee must provide proof of payment of any tax within 10 days after the City Manager's written request for the same. H. Trash and Refuse. Lessee must arrange for the collection and lawful disposal of all trash and other refuse resulting from operations on the Premises; must provide and use suitable, sealed fireproof receptacles approved by the Aviation Director for all trash and other refuse generated by the use of the Premises; must prohibit the piling of boxes, barrels, or other similar items in or within view from a public area; and must pay, or cause to be paid, the costs associated with trash removal and disposal. I. Delegation. Any obligations of the Lessee required by this Lease may be delegated to any approved sublessee by the terms of the sublease agreement between the parties, provided, however, that any such delegation shall not relieve Lessee of its liability, responsibilities, and obligations under this Lease. J. Publication. Lessee must pay all newspaper publication costs, if any, for this Lease as required by the City Charter. (EXECUTION PAGE FOLLOWS) Page 14 of 15 EXECUTED IN DUPLICATE ORIGINALS this day of , 2016 ATTEST: CITY OF CORPUS CHRISTI: Rebecca Huerta City Secretary Approved as to legal form: Margie Rose City Manager Elizabeth Hundley, Assistant City Attorney for Miles Risley, City Attorney Driscoll ildren's Hospital: Eric Hamon <' Executive Vice President Chief Financial Officer Date: /7/ Z.r/�a ACKNOWLEDGMENT STATE OF /e56/5 COUNTY OF 44�2c'7 KNOW ALL BY THESE PRESENTS: This instrument was acknowledged before me on " ` v Z , 2016, by Eric Hammon, Executive Vice President and Chief Financial Officer of Driscoll Children's Hospital, a Texas nonprofit corporation, on behalf of the corporation. e4••••U N's NANCY C. FUENTES My Notary ID # 6828524 -1,1••••••;.4-X Expires May 31, 2020 Aejye Notary Public, State of '-moi-1 ATTACHED AND INCORPORATED BY REFERENCE: Exhibit A – Aerial Depiction of Premises Exhibit B – Metes and Bounds Layout of the Premises and Lease Rate Exhibit C – Insurance Requirements Exhibit D – Disclosure of Interests, completed form Page 15 of 15 LEASE BOUNDARY AREA CONTAINING =2.09 ACRES (91,250 SgFt,) OF LAND WHICH INCLUDES THE BUILDING AND THE HANGAR AREA OF '5,199.42 SgFt. CORPUS CHRISTI INTERNATIONAL AIRPORT - 68' N 88d-78' E = 365' SITE PLAN CCIA CORPUS CHRISTI INTERNATIONAL AIRPORT EXHIBIT A DRISCOLL AMBULANCE FACILITIES SITE PLAN Prepared by: Approved by: Seale: N,T.S, CEELINOJr. MTapia Date: 07-22-2016 EXHIBIT B BOUNDARY SURVEY EAST SIDE T—HANGER DEVELOPMENT AREA= 91,250SgFt. 2.09 Acres CORPLJS CHRISTI INTERNATIONAL AIRPORT CORPUS CHRISTI. TEXAS ($ 0.12 per Sq.Ft. annually) FND 5/5" IR —/ 0 N.W. CORNER Pt.2 N 88d -18'E=130' LOT 1, RLOp( 1 INTERNATIONAL • N OU571ML TRACTS \VOL 40. PC. 32, N.R.N.C. %.1 ,306,0W 74 T.17,175,238.48 Pt.1 L __ PI NSON OR HIGHWAY 44 PROJECT LOCATION 1{ CORPUS CHRISTI INTERNATIONAL AIRPORT LOCATION MAP Pt -3 Pt -6 z ▪ N 88d -18'E=6$' AREA = 2.09 ACRES PI- BLOCK 22 J.C. RUSSELL FARM BLOCKS Vol. 3, Pg. 53 M.R.N.C.T. (CORPUS CHRISTI INTERNATIONAL AIRPORT) POINT OF BEGINNING 137.19 EXISTING BLDG- N 88d -18'E=167' Pt.5 Pt -9 N 88d-18 W = 365' S ?d-42' W - 250' EXHIBIT C INSURANCE REQUIREMENTS I. LESSEE'S LIABILITY INSURANCE A. Lessee must not commence occupancy of Property located at the Corpus Christi International Airport under this contract until all insurance required has been obtained and such insurance has been approved by the City. Lessee must not allow any sub -lessee to commence work until all similar insurance required of any sub -lessee has been obtained. B. Lessee must furnish to the City's Risk Manager and Director of Aviation Dept. two (2) copies of Certificates of Insurance with applicable policy endorsements showing the following minimum coverage by an insurance company(s) acceptable to the City's Risk Manager. The City must be listed as an additional insured on the General liability and Auto Liability policies, and a waiver of subrogation is required on all applicable policies. Endorsements must be provided with Certificate of Insurance. Project name and/or number must be listed in Description Box of Certificate of Insurance. TYPE OF INSURANCE MINIMUM INSURANCE COVERAGE 30 -day advance written notice of cancellation, non -renewal, material change or termination required on all certificates and policies. Bodily Injury and Property Damage Per occurrence - aggregate Commercial General Liability including: 1. Commercial Broad Form 2. Premises — Operations 3. Products/ Completed Operations 4. Contractual Liability 5. Independent Lessees 6. Personal Injury- Advertising Injury $1,000,000 Per Occurrence AUTO LIABILITY (including) 1. Owned 2. Hired and Non -Owned 3. Rented/Leased $500,000 Combined Single Limit Or Texas State Minimum Limits for Personal Autos. $30,000/$60,000/$25,000 WORKERS' COMPENSATION All states endorsement required if Lessee is not domiciled in State of Texas. EMPLOYER'S LIABILITY Statutory $500,000 /$500,000 /$500,000 PERSONAL PROPERTY INSURANCE Lessee, at their own expense, shall be responsible for insuring all owned, leased or rented personal property. C. In the event of accidents of any kind related to this contract, Lessee must furnish the Risk Manager with copies of all reports of any accidents within 10 days of the accident. II. ADDITIONAL REQUIREMENTS A. Applicable for paid employees, Lessee must obtain workers' compensation coverage through a licensed insurance company. The coverage must be written on a policy and endorsements approved by the Texas Department of Insurance. The workers' compensation coverage provided must be in an amount sufficient to assure that all workers' compensation obligations incurred by the Lessee will be promptly met. An All States Endorsement shall be required if Lessee is not domiciled in the State of Texas. B. Lessee shall obtain and maintain in full force and effect for the duration of this Contract, and any extension hereof, at Lessee's sole expense, insurance coverage written on an occurrence basis by companies authorized and admitted to do business in the State of Texas and with an A.M. Best's rating of no less than A- VII. C. Lessee shall be required to submit a copy of the replacement Certificate of Insurance to City at the address provided below within 10 days of any change made by the Lessee or as requested by the City. Lessee shall pay any costs incurred resulting from said changes. All notices under this Exhibit shall be given to City at the following address: City of Corpus Christi Attn: Risk Manager P.O. Box 9277 Corpus Christi, TX 78469-9277 D. Lessee agrees that, with respect to the above required insurance, all insurance policies are to contain or be endorsed to contain the following required provisions: • List the City and its officers, officials, employees, and volunteers, as additional insureds by endorsement with regard to operations, completed operations, and activities of or on behalf of the named insured performed under contract with the City, with the exception of the workers' compensation policy; • Provide for an endorsement that the "other insurance" clause shall not apply to the City of Corpus Christi where the City is an additional insured shown on the policy; • Workers' compensation and employers' liability policies will provide a waiver of subrogation in favor of the City; and • Provide thirty (30) calendar days advance written notice directly to City of any, cancellation, non- renewal, material change or termination in coverage and not less than ten (10) calendar days advance written notice for nonpayment of premium. E. Within five (5) calendar days of a cancellation, non -renewal, material change or termination of coverage, Lessee shall provide a replacement Certificate of Insurance and applicable endorsements to City. City shall have the option to suspend Lessee's performance should there be a lapse in coverage at any time during this contract. Failure to provide and to maintain the required insurance shall constitute a material breach of this contract. F. In addition to any other remedies the City may have upon Lessee's failure to provide and maintain any insurance or policy endorsements to the extent and within the time herein required, the City shall have the right to order Lessee to stop work hereunder, and/or withhold any payment(s) which become due to Lessee hereunder until Lessee demonstrates compliance with the requirements hereof. G. Nothing herein contained shall be construed as limiting in any way the extent to which Lessee may be held responsible for payments of damages to persons or property resulting from Lessee's or its sub - lessee's performance of the work covered under this contract. H. It is agreed that Lessee's insurance shall be deemed primary and non-contributory with respect to any insurance or self insurance carried by the City of Corpus Christi for liability arising out of operations under this contract. I. It is understood and agreed that the insurance required is in addition to and separate from any other obligation contained in this contract. 2016 Insurance Requirements Aviation Dept. Driscoll Children's Hospital — Hanger Lease Agreement 1/25/2015 ds Risk Management SUPPLIER NUMBER TO BE ASSIGNED BY CII Y PURCHASING DIVISION City of Corpus Christi EXHIBIT D CITY OF CORPUS CHRISTI DISCLOSURE OF INTEREST Corpus Christi Code § 2-349, as amended, requires all persons or firms seeking to do business with the City to provide the following information. Every question must be answered. If the question is not applicable, answer with "NA". See next page for Filing Requirements, Certification and Definitions. COMPANY NAME: t S C flt ` CkKirefJ STREET ADDRESS: ?531 1 y e(tR- Idn? (-1=r( P.O. BOX: CITY: C\ -eu Sk STATE: 1>c ZIP: ?t•( NOp • af- FIRM IS: 1. Corporation 2. Partnership ❑ 3. Sole Owner 0 4. Association ❑ 5. Other ❑ if additional space is necessary, please use the reverse side of this page or attach separate sheet. 1. State the names of each "employee" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name rib/A (I Job Title and City Department (if known) 2. State the names of each "official" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name C( ) R-1( Title 3. State the names of each "board member" of the City of Corpus Christi having an `ownership interest" constituting 3% or more of the ownership in the above named "firm." Name �(1--(( Board, Commission or Committee 4. State the names of each employee or officer of a "consultant" for the City of Corpus Christi who worked on any matter related to the subject of this contract and has an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name CC kff\- Consultant FILING REQUIREMENTS If a person who requests official action on a matter knows that the requested action will confer an economic benefit on any City official or employee that is distinguishable from the effect that the action will have on members of the public in general or a substantial segment thereof, you shall disclose that fact in a signed writing to the City official, employee or body that has been requested to act in the matter, unless the interest of the City official or employee in the matter is apparent. The disclosure shall also be made in a signed writing filed with the City Secretary. [Ethics Ordinance Section 2-349 (d)]. CERTIFICATION I certify that all information provided is true and correct as of the date of this statement, that I have not knowingly withheld disclosure of any information requested, and that supplemental statements will be promptly submitted to the City of Corpus Christi, Texas, as changes occur. Certifying Person: Signature of Certifying Person: Title: Exc j: P4- c_FED. Date: /// /7(L /, DEFINITIONS a. "Board member." A member of any board, commission, or committee of the city, including the board of any corporation created by the city. b. "Economic benefit". An action that is likely to affect an economic interest if it is likely to have an effect on that interest that is distinguishable from its effect on members of the public in general or a substantial segment thereof. c. "Employee." Any person employed by the city, whether under civil service or not, including part- time employees and employees of any corporation created by the city. d. "Firm." Any entity operated for economic gain, whether professional, industrial or commercial, and whether established to produce or deal with a product or service, including but not limited to, entities operated in the form of sole proprietorship, as self-employed person, partnership, corporation, joint stock company, joint venture, receivership or trust, and entities which for purposes of taxation are treated as non-profit organizations. e. "Official." The Mayor, members of the City Council, City Manager, Deputy City Manager, Assistant City Managers, Department and Division Heads, and Municipal Court Judges of the City of Corpus Christi, Texas. f. "Ownership Interest." Legal or equitable interest, whether actually or constructively held, in a firm, including when such interest is held through an agent, trust, estate, or holding entity. "Constructively held" refers to holdings or control established through voting trusts, proxies, or special terms of venture or partnership agreements. g. "Consultant." Any person or firm, such as engineers and architects, hired by the City of Corpus Christi for the purpose of professional consultation and recommendation. Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.277 CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-130702 Date Filed: 10/31/2016 Date Acknowledged: 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. Driscoll Children's Hospital Corpus Christi, TX United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. XXX Lease Agreement 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary 5 Check only if there is NO Interested Party. X 6 AFFIDAVIT I swear, or affirm, under penalty of p-' ury, that the above disclosure is true and correct. 4'4hELIDA L SALINAS i' '° MY COMMISSION EXPIRES :�;,t�i",�Et October 12, 2017 AFFIX Sworn 20 NOTARY STAMP / SEAL ABOVE to and subscribed before me, by the said (ro , to certify which, witness my hand ...S _r ..4v i Signa - of authorize. agent of contracting business entity S day of — °`Oh , this the 31 and seal of office. Order L -Su (t !gy)-Fur`i Pie6 (1 Oka,,t, c: -e -, Signature of officer administering oath Printed name of officer administering oath Title of officer administering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.277 VERIFICATION OF SELF-INSURANCE Driscoll Children's Hospital (DCH) has arranged to afford its Hospital Professional Liability and Comprehensive General Liability coverage through a formal self-insurance program. The terns, conditions and exclusions of that coverage are on file in the office of the DCH's Risk Management. This document verifies the following self-insured limits for the plan year beginning 12:01 a.m., May 1, 2016 and ending 12:01 a.m., May 1, 2017. Comprehensive General Liability: $ 1,000,000.00/ $1,000,000.00 each occurrence (bodily injury and property damage combined single limit) aggregate (where applicable) Description of Operations/Locations/Special Items: Location: 402 Hanger Lane, Block 22, Corpus Christi, Texas 78406 Additional Insured: City of Corpus Christi Any claims or incidents should be reported to: Holder of Verification & Address: Driscoll Children's Hospital 3533 S. Alameda St. Corpus Christi, Texas 78411 Attn: Risk Management The City of Corpus Christi PO Box 9277 Corpus Christi, TX 78469 In the event of a conflict between the limits shown on this form and the limits afforded under the Holder's contract with the Covered Person or Entity, the lesser of the two limits applies. SIGNED: C-Itt..wGL Pa- uthorized Representative DATE: August 11, 2016 THIS VERIFICATION IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE HOLDER OF THIS VERIFICATION. THIS VERIFICATION DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED UNDER THE SELF-INSURANCE PROGRAM. VERIFICATION OF SELF-INSURANCE Driscoll Children's Hospital (DCH) has arranged to afford its Hospital Professional Liability and Comprehensive General Liability coverage through a formal self-insurance program. The terns, conditions and exclusions of that coverage are on file in the office of the DCH's Risk Management. This document verifies the following self-insured limits for the plan year beginning 12:01 a.m., May 1, 2016 and ending 12:01 a.m., May 1, 2017. Comprehensive General Liability: $ 1,000,000.00/ $1,000,000.00 Description of Operations/Locations/Special Items: Location: 402 Hanger Lane, Block 22, Corpus Christi, Texas 78406 Additional Insured: City of Corpus Christi Any claims or incidents should be reported to: Holder of Verification & Address: each occurrence (bodily injury and property damage combined single limit) aggregate (where applicable) Driscoll Children's Hospital 3533 S. Alameda St. Corpus Christi, Texas 78411 Attn: Risk Management The City of Corpus Christi PO Box 9277 Corpus Christi, TX 78469 In the event of a conflict between the limits shown on this form and the limits afforded under the Holder's contract with the Covered Person or Entity, the lesser of the two limits applies. SIGNED: C a, PLS-�Q.d- ut�d Representative DATE: August 11, 2016 THIS VERIFICATION IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE HOLDER OF THIS VERIFICATION. THIS VERIFICATION DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED UNDER THE SELF-INSURANCE PROGRAM. DRISC-1 OP ID: DJ '4�---- CERTIFICATE OF LIABILITY INSURANCE DATE(MMIDD/YYYY) 08/11/2016 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER Borden Insurance P. O. Box 1066 Corpus Christi, TX 78403-1066 Wally Goodman CONTACT NAME: Borden Insurance INC NoExt): NE 361-882-6543 I (V, No): 361-654-2008 E-MAIL ADDRESS: mail@bordenins.com INSURER(S) AFFORDING COVERAGE NAIC # INSURER A : Liberty Mutual Fire Ins Co INSURED Driscoll Children's Hospital P.O. Box 6530 Corpus Christi, TX 78411 INSURER B : Liberty Insurance Corporation INSURER C : INSURER D : INSURER E : INSURER F : COVERAGES CERTIFICATE NUMBER: • THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSRT LTR TYPE OF INSURANCE ADDL SUBR INSD WVD -------- POLICY NUMBER POLICY EFF POLICY EXP (MM/DD/YYYY) (MM/DD/YYYY) --- LIMITS COMMERCIAL GENERAL LIABILITY EACH OCCURRENCE $ CLAIMS -MADE OCCUR DAMAGE TO RENTED PREMISES (Ea occurrence) $ MED EXP (Any one person) $ PERSONAL & ADV INJURY $ GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $ POLICY [ PE0 I J LOC OTHER: PRODUCTS - COMP/OP AGG $ S AUTOMOBILE LIABILITY CO a INEDD1 SINGLE LIMIT (EaA $ 2,000,000 X ANY AUTO AS2691449259026 05/01/2016 05/01/2017 BODILY INJURY (Per person) S ALL OWNED AUTOS SCHEDULED AUTOS BODILY INJURY(Per accident ) $ HIRED AUTOS NON -OWNED AUTOS PROPERTY DAMAGE (Per accident) $ S UMBRELLA LIAB _ OCCUR EACH OCCURRENCE $ EXCESS LIAB CLAIMS -MADE AGGREGATE $ DED RETENTION $ $ B WORKERS COMPENSATIONPER AND EMPLOYERS' LIABILITY X STATUTE I OTH- ER ANY PROPRIETOR/PARTNER/EXECUTIVE Y/" OFFICER/MEMBER EXCLUDED? N / A WA769D449259016 05/01/2016 05/01/2017 E.L. EACH ACCIDENT $ 1,000,000 (Mandatory in NH) If E.L. DISEASE - EA EMPLOYEE $ 1,000,000 yes, describe under DESCRIPTION OF OPERATIONS below E.L. DISEASE - POLICY LIMIT $ 1,000,000 DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) **see attached CERTIFICATE HOLDER CANCELLATION City of Corpus Christi Attn: Risk Management P.O. Box 9277 Corpus Christi, TX 78469-9277 ACORD 25 (2014/01) CITY -02 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE >ieoattne VIA" erantcieat © 1988-2014 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD NOTEPAD INSURED'S NAME Driscoll Children's Hospital DRISC-1 OP ID: DJ PAGE 2 Date 08/11/2016 Auto - Designated Insured CA 20 48 (Any person or organization whom you have agreed in writing to add as an additional insured, but only to coverage and minimum limits of insurance required by the written agreement, and in no event to exceed either the scope of coverage or the limits of insurance provided in this policy.) (Blanket) Auto - Waiver of Transfer of Rights of Recovery Against Others to Us CA T3 40 as per written contract (Blanket) Workers Compensation - Blanket Waiver of Subrogation as per written contract NOTEPAD: HOLDER CODE CITY -02 INSURED'S NAME Driscoll Children's Hospital DRISC-1 PAGE 3 OP ID: DJ Date 08/11/2016 30 Day Notice of Cancellation except 10 for non-payment of premium included for Auto and WC PRODUCER Borden Insurance P. O. Box 1066 Corpus Christi, TX 78403-1066 Wally Goodman CERTIFICATE NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. PERIOD WHICH THIS THE TERMS, ILBR TYPE OF INSURANCE '!ANDD,, SUER LTR ' ;NSD' WVD POLICY NUMBER ' POLICY EFF POLICY EXP LIMITS ' (M MIDD/YYYY) (MMIDDIYYYY) COMMERCIAL GENERAL LIABILITY 1---'-------_ ; i CIAIMS-MADE . OCCUR I GEN'L AGGREGATE LIMIT APPLIES PER• POLICY • J'LCT IOC OTI-ILR. EACH OCCURRENCE 5 DAMAGE 10 RENTED PREMISES (Ea occurrence) 5 ; MED EXP (Any one person) 5 PERSONAL 8 ADV INJURY 5 GENERAL AGGREGATE 5 PRODUCTS - COMP/OP AGG 5 5 AUTOMOBILE LIABILITY A X I ANY AUTO I-1 ALL OWNED ! I SCHEDULED AUTOS 'AUTOS : NON -OWNED! _ HIRED AUTOS I AUTOS AS2691449259026i 1 COMBINED SINGLE LIMI I 5 'I_(Ea accident) 05/01/2016 05/01/2017 ; BODILY INJURY (Per person) S BODILY INJURY (Per accident) S PROPERTY DAMAGI s ,. (Per accident) S 2,000,000 --I UMBRELLA LIAR OCCUR J EXCESS LIAB • , CLAIMS -MADE, j EACI OCCURRI NCI: 5 I AGGREGATE 5 5 ' DED : RETFNTION S WORKERS COMPENSATIONI AND EMPLOYERS' LIABILITY B .ANY PROPRIF_=T'OR/PARTNER/EXECUTIVE YIN Iii ! 01 I ;CFR/ME: MISER EXCI UDCD9 l J N / A' (Mandatory in NH) - , If yes. describe under DESCRIPTION OF OPERATIONS below. i :WA769D449259016 ' PER 0111 • X STAT [G Eft_ ' 05/01/2016;05/01/2017 EL EACH ACCIDENT s — - - -- - - f_.I_. DISEASE - I._A I-.MPLOYL G. 5 E.I. DISEASE - POLICY LIMIT • S 1,000,000 1,000,000 1,000,000 DESCRIPTION OF OPERATIONS / LOCATIONS 1 VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) **see attached ,4COR0 CERTIFICATE OF LIABILITY INSURANCE DRISC-1 OP ID: DJ DATE (MM/DD/YYYY) 08/11/2016 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s)._- INSURED Driscoll Children's Hospital P.O. Box 6530 Corpus Christi, TX 78411 CONT NAMEACT Borden Insurance PHONE 361-882-6543 FAX No): 361-654-2008 (AIC, No,Ext); _-- _ - _- __.. E-MAIL mail@bordenins.com ADDRESS: INSURER(S) AFFORDING COVERAGE INSURER A : Liberty Mutual Fire Ins Co INSURER B : Liberty Insurance Corporation INSURER C : INSURER D : INSURER E : INSURER F : NAIC d REVISION NUMBER: CERTIFICATE HOLDER CANCELLATION City of Corpus Christi Attn: Risk Management P.O. Box 9277 Corpus Christi, TX 78469-9277 CITY -02 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE 0,431JC:3,-, tit Ene.outive yl.. 5 est4ent ACORD 25 (2014/01) © 1988-2014 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD NOTEPAD INSURED'S NAME Driscoll Children's Hospital DRISC-1 OP ID: DJ Auto - Designated Insured CA 20 48 (Any person or organization whom you have agreed in writing to add as an additional insured, but only to coverage and minimum limits of insurance required by the written agreement, and in no event to exceed either the scope of coverage or the limits of insurance provided in this policy.) (Blanket) Auto - Waiver of Transfer of Rights of Recovery Against Others to Us CA T3 40 as per written contract (Blanket) Workers Compensation - Blanket Waiver of Subrogation as per written contract PAGE 2 Date 08/11/2016 NOTEPAD: HOLDER CODE CITY -02 DRISC-1 INSURED'S NAME Driscoll Children's Hospital OP ID: DJ 30 Day Notice of Cancellation except 10 for non-payment of premium included for Auto and WC PAGE 3 Date 08/11/2016 .■•■■■II1111111I■i■■■■■. id Driscoll f AR CHILDREN'S HOSPITAL DRISCOLL CHILDREN'S HOSPITAL TRANSPORT TEAM PROPOSED CCIA FACILITY EXTERIOR ELEVATION o Driscoll e CHILDREN'S HOSPITAL 615 N_ UPPER BROADWAY SUITE 1250 CORPUS CHRISTI, Tx 7847J0050 T. 361.884 3295 :361.88+3298 www_clkarch cam AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of December 13, 2016 Second Reading Ordinance for the City Council Meeting of December 20, 2016 DATE: November 21, 2016 TO: Margie C. Rose, City Manager FROM: Dan Grimsbo, Interim Director of Water Utilities (361) 826-1689, DanG@cctexas.com Ordinance Adjusting Water rates for Public Agency Customers CAPTION: Ordinance amending the Code of Ordinances, City of Corpus Christi, Chapter 55, Utilities, Section 55-50 (a)(2)e regarding Resale Treated Water Rates and Section 55-50 (b) regarding debt service component of raw water cost adjustment; providing for publication and effective date of January 1, 2017. PURPOSE: To amend the Code of Ordinances for the revision of treated and raw water rates for public agency customers that are under contract for one year rate adjustments. BACKGROUND AND FINDINGS: The City of Corpus Christi has treated water and/or raw water supply agreements with area public agencies including South Texas Water District (STWA), San Patricio Municipal Water District (SPMWD), Nueces County Water Control and Improvement District No. 4 (NCWCID#4), and the Violet Water Supply Corporation (Violet WSC). The price to be charged for treated water sold to the noted public agencies is the published rate for water service established by this ordinance, including the public agency for resale treated water volume rates for water delivered through City -owned facilities. Per the contracts, the raw water cost adjustment (RWCA) as well as treated water rates will be calculated on an annual basis utilizing the current rate model. The FY 2016-2017 budget includes estimates of revenues generated from increased fees and rates and new fee/rates necessary to fund specific projects and/or cover existing operating costs. ALTERNATIVES: Council may choose not to amend the Code of Ordinances. OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: This item conforms to City Policies. EMERGENCY / NON -EMERGENCY: Non -emergency DEPARTMENTAL CLEARANCES: Water, Legal, Office of Management and Budget, Finance FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital X Not applicable Fiscal Year: 2016-2017 Project to Date Expenditures Current Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE Fund(s): n/a Comments: Revenues for this item were included in the FY2016-2017 budget. RECOMMENDATION: Approval of Ordinance as submitted. LIST OF SUPPORTING DOCUMENTS: Ordinance Ordinance amending the Code of Ordinances, City of Corpus Christi, Chapter 55, Utilities, Section 55-50 (a)(2)e regarding Resale Treated Water Rates and Section 55-50 (b) regarding debt service component of raw water cost adjustment; providing for publication and effective date of January 1, 2017 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. Section 55-50, subsection (a)(2)e of the Code of Ordinances regarding Resale Treated Water Rates is revised with new rates as shown in underlined text below to be effective on January 1, 2017. Sec. 55-50. - Schedule. (a) Base rates for water service. The rates for water service are as follows: (1) Monthly minimum charges. a. Metered treated water customers. 1. Inside city limits ("ICL"): Meter Size (Inches) Effective January 1, 2016 1 Residential 5/8 —% Commercial 5/8 —% Residential and Commercial 1 11/2 2 3 $12.14 12.14 18.21 30.35 60.70 97.12 Page 1 4 194.24 6 303.50 8 and larger 607.00 Large Volume Any size 22,784.00 Temporary construction 1 18.21 11/2 30.35 2 60.70 2. Outside city limits ("OCL"): Meter Size (Inches) Effective January 1, 2016 Residential 5/8 —% $ 14.57 Commercial 5/8 —% Residential and Commercial 1 11/2 14.57 21.85 36.42 Page 2 2 72.84 3 116.54 4 233.09 6 364.20 8 and larger 728.40 Large Volume Any size 38,015.00 Temporary construction 1 21.85 1% 36.42 2 72.84 b. Untreated water customers. TEffective January 1, i 2016 Minimum monthly service charge, water districts/municipalities with raw water supply contracts executed after January 1, 1997 $417.99 Minimum monthly service charge for public agency for resale untreated water without a raw water supply contract executed after January 1, 1997 1 254.57 Minimum monthly service charge, industrial 436.88 Minimum monthly service charge, domestic 14.55 Page 3 Minimum annual service charge, domestic 145.62 Minimum monthly service charge, agricultural irrigation water service 218.29 Minimum monthly service charge, temporary construction water service 291.05 Minimum monthly service charge, temporary large volume industrial untreated water customers obtaining water, which is under contract to the city, from a reservoir under the exclusive control of a river authority 1,679.64 Minimum monthly charge for public agency for resale untreated water customer without a raw water supply contract executed after January 1, 1997: If the charge based on the volume of water taken in a monthly billing period is less than $254.57, the customer shall be billed $254.57, unless a valid water supply contract between the customer and city that was executed prior to January 1, 1997, provides for a minimum annual payment. If a valid water supply contract between the customer and city executed prior to August 1, 2000, provides for a minimum annual payment, the customer shall pay the minimum annual payment under the contract. c. Blended water customers. Effective January 1, 2016 Any size $36,280.00 (2) Monthly volume charges per 1,000 gallons. a. Residential rate. 1. Inside city limits: Effective January 1, 2016 7 First 2,000 Gallons J Minimum* Next 4,000 Gallons 1 $6.07 Next 9,000 Gallons 6.980 Page 4 Over 15,000 Gallons 7.59 *Use the minimum charges in subsection (a)(1). 2. Outside city limits: Effective January 1, 2016 1 First 2,000 Gallons Minimum* Next 4,000 Gallons $2.34 Next 9,000 Gallons 2.92 Over 15,000 Gallons *Use the minimum charges in subsection (a)(1). b. Commercial rate. 1. Inside city limits: 3.65 Effective January 1, 2016 First 2,000 Gallons Minimum* Over 2,000 Gallons *Use the minimum charges in subsection (a)(1). 2. Outside city limits: $6.781 Effective January 1, 2016 Page 5 First 2,000 Gallons Minimum* Over 2,000 Gallons $3.012 *Use the minimum charges in subsection (a)(1). c. Golf course and athletic field irrigation water inside city limits. 1 Effective January 1, 2016 1 First 2,000 Gallons Over 2,000 Gallons Minimum* $3.092 *Use the minimum charges in subsection (a)(1) for ICL customer. d. Residential irrigation water on separate meter. 1. Inside city limits: Meter Size (Inches) Effective January 1, 2016 First 2,000 Gallons Minimum* Over 2,000 Gallons $7.59 2. Outside city limits Meter Size (Inches) Effective January 1, 2016 First 2,000 Gallons Minimum* Over 2,000 Gallons $3.65 Page 6 r e. Resale treated water rates. 1. Treated water rates purchased for resale where the water is taken and metered at the site of treatment are hereby set as follows: Effective January 1, 2016 January 1, 2017 First 2,000 Gallons Over 2,000 Gallons Minimum* $1.332 $1.331 *Use the minimum charges in subsection (a)(1). 2. Treated water rates purchased for resale where the water is delivered to the resale entity through city facilities are hereby set as follows: Effective January 1, 2016 January 1, 2017 First 2,000 Gallons Over 2,000 Gallons Minimum* $1.96'1 $1.930 *Use the minimum charges in subsection (a)(1). f. Large volume treated water customers. A commercial treated water customer who agrees to pay for a minimum of ten million (10,000,000) gallons of treated water per month is considered a large volume treated water customer. Once a customer has elected to become a large volume treated water customer, the customer will be billed as a large volume treated water customer until the customer notifies the city and requests reclassification as a commercial customer in writing. However, a commercial customer may not elect to become a large volume treated water customer more than once in any twelve-month period. 1. Inside city limits: Effective January 1, 2016 First 10,000,000 Gallons Minimum* Page 7 Each Additional 1,000 Gallons $5.686 *Use the minimum charges in subsection (a)(1). 2. Outside city limits: Effective January 1, 2016 1 First 10,000,000 Gallons Minimum* Each Additional 1,000 Gallons $1.998 *Use the minimum charges in subsection (a)(1). g. Large volume blended water customers. A commercial blended water customer who agrees to purchase a minimum of ten million (10,000,000) gallons of blended water per month is considered a large volume blended water customer. 1. Inside city limits: Effective January 1, 2016 First 10,000,000 Gallons Minimum* Each Additional 1,000 Gallons *Use the minimum charges in subsection (a)(1). 2. Outside city limits: $3.628 r Effective January 1, 2016 First 10,000,000 Gallons Minimum* Page 8 Each Additional 1,000 Gallons $0.127 *Use the minimum charges in subsection (a)(1). 3. Peaking factor. [To be determined.] h. Temporary water service. 1. Treated water. A. Inside city limits: Effective January 1, 2016 First 2,000 Gallons Minimum* Over 2,000 Gallons $6.781 *Use the minimum charges in subsection (a)(1). B. Outside city limits: Effective January 1, 2016 1 First 2,000 Gallons Minimum* Over 2,000 Gallons $3.012 *Use the minimum charges in subsection (a)(1). 2. Untreated water. A. Inside city limits: Effective January 1, 2016 Page 9 First 2,000 Gallons Minimum* Over 2,000 Gallons 2 x RWCA *Use the minimum charges in subsection (a)(1). B. Outside city limits: Effective January 1, 2016 1 First 2,000 Gallons Over 2,000 Gallons Minimum* 2 x RWCA *Use the minimum charges in subsection (a)(1). i. Agricultural irrigation water outside city limits. *Use the minimum charges in subsection (a)(1). J. Public agency for resale untreated water rates. The rates for the purchase of untreated water purchased by a public agency, which does not have a raw water supply contract with the city executed after January 1, 1997, is the average of the monthly raw water cost adjustments, established under subsection (b) of this section, for the period used to determine the composite cost of untreated water under the city's current contract with the public agency. k. Temporary large volume industrial untreated water customers obtaining water, which is under contract to the city, from a reservoir under the exclusive control of a river authority. Page 10 Effective January 1, 2016 First 2,000 Gallons Minimum* Over 2,000 Gallons 2 x RWCA *Use the minimum charges in subsection (a)(1). J. Public agency for resale untreated water rates. The rates for the purchase of untreated water purchased by a public agency, which does not have a raw water supply contract with the city executed after January 1, 1997, is the average of the monthly raw water cost adjustments, established under subsection (b) of this section, for the period used to determine the composite cost of untreated water under the city's current contract with the public agency. k. Temporary large volume industrial untreated water customers obtaining water, which is under contract to the city, from a reservoir under the exclusive control of a river authority. Page 10 *Use the minimum charges in subsection (a)(1). (b) Raw water cost adjustment (RWCA). In addition to the charges for the base rates for water service, established in subsection (a), a separate charge for the costs of raw water, the RWCA, will be added to each consumers bill, except public agency for resale untreated water customers without a raw water supply contract executed after January 1, 1997. (A public agency for resale untreated water customer without a raw water supply contract executed after January 1, 1997, will pay the lower of the composite cost, as defined in its contract with the city or the rate for public agency for resale untreated water customers without a raw water supply contract executed after January 1, 1997, specified in subsection (a)(2)g. of this section.) The RWCA will be based on projected system -wide raw water sales, adjusted for water losses. The RWCA will be calculated every odd -numbered year no later than October 1 to be effective the following January of even -numbered years using the adopted utility rate model. Two (2) subsequent years' RWCA will be calculated according to the following procedures, and then an average rate determined which will yield raw water required revenues over a two-year period: (1) Use projected system -wide water sales based on historical consumption and projected growth, with adjustments for water losses. (2) Include the annual budgeted cost of debt service. Bond payments, amortization of deferred losses on refundings, and other debt service costs shall be applied to the RWCA in the same proportion as the raw water activities proportion of the original bond proceeds. (3) Include budgeted expenditures for purchases of water. (4) Include purchases of water rights, amortized over the duration of the water right agreement. (5) Budgeted expenditures for capital items shall be included as follows: a. The expense of acquiring a capital item that costs not more than five hundred thousand dollars ($500,000.00) shall be charged in the year in which it is acquired. b. The expense of acquiring a capital item that costs more than five hundred thousand dollars ($500,000.00) shall be amortized over the number of years used to calculate depreciation expenses, with the half-year convention used in the year of acquisition. (6) All operating and maintenance expenditures shall be charged based on annual budgeted amounts. These expenditures include operation and maintenance of dams, reservoirs, pipelines, wells, pumping stations, and related interfund charges. All expenses for consultants, engineering, legal services, and administration shall be charged based on annual budgeted amounts in the proportion to which they apply to raw water issues. (8) Expenses related to the acquisition and transportation of emergency water supplies shall be included in the RWCA for the following fiscal year, unless foreseen and budgeted in advance, in which case they are included in the year budgeted. Miscellaneous revenues related to raw water activity, such as oil and gas lease revenues and rentals, is applied as an offset based on annual budgeted amounts. (7) (9) Page 11 Effective January 1, 2016 First acre foot or fraction thereof Minimum* Over acre foot $1,206.98 per acre foot or fraction thereof *Use the minimum charges in subsection (a)(1). (b) Raw water cost adjustment (RWCA). In addition to the charges for the base rates for water service, established in subsection (a), a separate charge for the costs of raw water, the RWCA, will be added to each consumers bill, except public agency for resale untreated water customers without a raw water supply contract executed after January 1, 1997. (A public agency for resale untreated water customer without a raw water supply contract executed after January 1, 1997, will pay the lower of the composite cost, as defined in its contract with the city or the rate for public agency for resale untreated water customers without a raw water supply contract executed after January 1, 1997, specified in subsection (a)(2)g. of this section.) The RWCA will be based on projected system -wide raw water sales, adjusted for water losses. The RWCA will be calculated every odd -numbered year no later than October 1 to be effective the following January of even -numbered years using the adopted utility rate model. Two (2) subsequent years' RWCA will be calculated according to the following procedures, and then an average rate determined which will yield raw water required revenues over a two-year period: (1) Use projected system -wide water sales based on historical consumption and projected growth, with adjustments for water losses. (2) Include the annual budgeted cost of debt service. Bond payments, amortization of deferred losses on refundings, and other debt service costs shall be applied to the RWCA in the same proportion as the raw water activities proportion of the original bond proceeds. (3) Include budgeted expenditures for purchases of water. (4) Include purchases of water rights, amortized over the duration of the water right agreement. (5) Budgeted expenditures for capital items shall be included as follows: a. The expense of acquiring a capital item that costs not more than five hundred thousand dollars ($500,000.00) shall be charged in the year in which it is acquired. b. The expense of acquiring a capital item that costs more than five hundred thousand dollars ($500,000.00) shall be amortized over the number of years used to calculate depreciation expenses, with the half-year convention used in the year of acquisition. (6) All operating and maintenance expenditures shall be charged based on annual budgeted amounts. These expenditures include operation and maintenance of dams, reservoirs, pipelines, wells, pumping stations, and related interfund charges. All expenses for consultants, engineering, legal services, and administration shall be charged based on annual budgeted amounts in the proportion to which they apply to raw water issues. (8) Expenses related to the acquisition and transportation of emergency water supplies shall be included in the RWCA for the following fiscal year, unless foreseen and budgeted in advance, in which case they are included in the year budgeted. Miscellaneous revenues related to raw water activity, such as oil and gas lease revenues and rentals, is applied as an offset based on annual budgeted amounts. (7) (9) Page 11 (10) Apply the credit for levelized Choke Canyon debt payments to city rate payers' RWCA. (The escalating payment schedule on the Choke Canyon debt was levelized through the creation of a reserve fund. In the initial years, payments greater than the debt service were made, with the excess going into the reserve fund. This excess was paid through a rate surcharge on ICL and OCL metered treated water customers. Now that bond payments exceed the levelized payment amount, the reserve fund is drawn on to make up the difference. Since only ICL and OCL metered treated water customers participated in building the reserve fund, the drawing on the reserve fund is only credited to the RWCA assessed against ICL and OCL metered treated water customers.) (11) Include funds necessary to collect 1.35 times coverage required on current annual debt service in order to comply with bond covenants, and improve the financial position and bond ratings of the city's water fund. (12) Include funds necessary to establish and maintain an operating reserve fund with a target amount of twenty-five (25) per cent (or three (3) months) of annual operating expenses for the fiscal year. (13) Include funds necessary to establish and operate a water capital reserve fund with a target amount of two (2) per cent of the respective annual water capital improvements program for the fiscal year or two million dollars ($2,000,000.00) (whichever is greater). (14) Include funds necessary to establish and maintain a future water resources reserve fund (water supply development reserve) with an ultimate target balance of thirty million dollars ($30,000,000.00), and an annual contribution of approximately two million dollars ($2,000,000.00) per fiscal year. Revenue from this water supply development reserve will be deposited into a fund set aside for this purpose. (15) The minimum operating or capital reserves amounts are intended to provide for unplanned, unbudgeted expenses and revenue shortfalls, and will not be used for routine expenses. (16) Determine the amount of over or under collections that have resulted from difference between budgeted and actual expenses and offsetting revenues and the difference between projected and actual volume of water sold for the prior two (2) years. Any funds realized in excess of annual expenses are available for either supplementing minimum operating or capital reserves, for addition to the capital funds for discretionary cash capital funding of the water utility, or to create and maintain a reserve to level out large fluctuations in raw water charges is authorized. Apply any remaining amount as an adjustment to the RWCA. (c) Definitions. Costs of raw water is the total of all costs of acquiring, producing, storing, conserving, and transporting untreated water from its source to the city's treatment facility and all other points of diversion. These costs include, but are not limited to, the costs of: Construction, including debt service, operation, and maintenance of dams and reservoirs. Construction, including debt service, operation, and maintenance of raw water supply transmission pipelines. Construction, including debt service, operation, and maintenance of wells. Construction, including debt service, operation, and maintenance of facilities capable of converting wastewater effluent, salt water, and brackish ground water into water suitable for municipal, industrial, or agricultural uses. Acquisition of new water supplies and water rights, including the establishment and funding of a reserve dedicated to offset the costs of acquisition of additional water rights and the implementation of long range water resource development and related capital improvements. Construction, operation, and maintenance of facilities to reduce water losses from water resources due to evaporation or the release of water from a reservoir due to the operation of law. Page 12 Acquisition and transportation of emergency water supplies, including the costs of transporting water by vessel or pipelines from other regions. Water supply development and protection, including consultants' studies and reports, investigations, legal fees, court costs, and any other costs related to the development or protection of the water supply. Administrative costs, including overhead and the portion of the city's general administrative costs applicable to the activities enumerated in this definition. (d) The raw water cost adjustment shall be calculated on an annual basis for those large volume wholesale customers with contracts containing such provisions. (Ord. No. 9472, 8-27-1969; Ord. No. 11613, 8-8-1973; Ord. No. 12208, §§ 1, 2, 8-7-1974; Ord. No. 14140, §§ 1-3, 1-25-1978; Ord. No. 16446, §§ 1, 2, 8-12-1981; Ord. No. 16593 § 1, 10-14-1981; Ord. No. 17166, §§ 1-3, 7-28-1982; Ord. No. 17762, §§ 1, 2, 8-3-1983; Ord. No. 18351, §§ 1, 2, 7-24-1984; Ord. No. 18587, §§ 1, 2, 12-4-1984; Ord. No. 20411, §§ 1, 2, 7-26-1988; Ord. No. 21001, § 1, 10-9-1990; Ord. No. 21438, §§ 1-4, 7-21-1992; Ord. No. 21814, § 1(a) -(c), 12-14-1993; Ord. No. 22741, § 1, 11- 12-1996; Ord. No. 22832, § 1, 1-28-1997; Ord. No. 22879, § 1, 3-25-1997; Ord. No. 23706, § 1, 7-20- 1999; Ord. No. 23910, § 1, 1-11-2000; Ord. No. 24132, § 1, 7-25-2000; Ord. No. 24531, § la, 7-24-2001; Ord. No. 24969, § 1, 7-23-2002; Ord. No. 25386, § 1, 7-22-2003; Ord. No. 025866, § 1, 7-27-2004; Ord. No. 026368, § 1, 7-26-2005; Ord. No. 026900, § 1, 7-25-2006; Ord. No. 027355, § 1, 7-24-2007; Ord. No. 027781, § 1, 7-22-2008; Ord. No. 028256, § 1, 7-28-2009; Ord. No. 028686, § 1, 7-20-2010; Ord. No. 029158, § 1, 7-26-2010; Ord. No. 029386, § 1, 2-28-2012; Ord. No. 029584, § 1, 7-31-2012; Ord. No. 029917, § 1, 7-30-2013; Ord. No. 030242, § 2(Exh. A), 7-29-2014; Ord. No. 030295, § 1, 9-23-2014; Ord. No. 030605, § 1, 9-8-2015; Ord. No. 030718, § 1, 12-15-2015) That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb That the foregoing ordinance was read for the second time and passed finally on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb Page 13 PASSED AND APPROVED, this the day of , 2016. ATTEST: Rebecca Huerta City Secretary Dan McQueen Mayor Page 14 AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of December 13, 2016 Second Reading Ordinance for the City Council Meeting of December 20, 2016 DATE: TO: Margie C. Rose, City Manager 11/22/2016 FROM: Julio Dimas, Interim Director, Development Services Juliod@cctexas.com (361) 826-3276 Approval of agreement and appropriating funds for MPM Development, L.P., for the construction of water arterial transmission and grid main line CAPTION: Ordinance authorizing city manager or designee to execute a water arterial transmission and grid main construction and reimbursement agreement ("Agreement") with MPM Development, L.P. ("Developer"), for the construction of a water arterial transmission and grid main line and appropriating $7,324.00 from the No. 4030 Arterial Transmission and Grid Main Trust Fund to reimburse the Developer in accordance with the Agreement. PURPOSE: MPM Development, L.P., is required to install 255 linear feet of 12 -inch water arterial grid main extension in order to provide adequate water to a proposed residential subdivision development. The subdivision is located east of Ennis Joslin Road, south of Holly Road, and north of Wooldridge Road. BACKGROUND AND FINDINGS: Per Section 8.5.1.0 (1) Credits and Reimbursements of the Unified Development Code ("UDC"), MPM Development, L.P., is requesting a Reimbursement Agreement for the development of Parkview Unit 5 as shown on the final plat. The subdivision is located east of Ennis Joslin Road, south of Holly Road, and north of Wooldridge Road. The development requires the extension of 255 linear feet of 12 -inch water arterial grid main in order to provide adequate water to the property. A layout of existing and proposed improvements is included as Exhibit 3. The 12 -inch waterline is eligible for full reimbursement from the Water Arterial Transmission and Grid Main Trust Fund. The Water Master Plan calls for the construction of a 12 -inch water arterial grid main south of Holly Road on Oso Parkway. If the actual costs for installation of such arterial transmission and mains are greater than the lot or acreage fee, the developer shall be reimbursed (less any lot or acreage fee credits) from funds available from the Water Arterial Transmission and Grid Main Trust Fund for that portion of the arterial transmission and grid main installed by the developer. In this case, the total construction cost of the 12 -inch water arterial grid main is $18,426.00 minus the lot/acreage fee of $11,102.00 which equals $7,324.00. ALTERNATIVES: Disapproval of the Reimbursement Agreement. OTHER CONSIDERATIONS: None CONFORMITY TO CITY POLICY: The developer will be extending a water grid main to serve the proposed residential development and has requested a Reimbursement Agreement, as provided in the Unified Development Code. EMERGENCY / NON -EMERGENCY: Non -emergency DEPARTMENTAL CLEARANCES: Legal Finance FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital ❑ Not Applicable Fiscal Year: 2016-2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget $2,447,144.16 Encumbered / Expended Amount $1,081,240.93 This item $ 7,324.00 BALANCE $1,358,579.23 Fund(s): Water Arterial Transmission Grid Main Trust Fund Comments: RECOMMENDATION: Staff recommends approval of the ordinance. LIST OF SUPPORTING DOCUMENTS: Ordinance Maps ORDINANCE AUTHORIZING CITY MANAGER OR DESIGNEE TO EXECUTE A WATER ARTERIAL TRANSMISSION AND GRID MAIN LINE CONSTRUCTION AND REIMBURSEMENT AGREEMENT ("AGREEMENT") WITH MPM DEVELOPMENT, L.P., ("DEVELOPER"), FOR THE CONSTRUCTION OF A WATER ARTERIAL TRANSMISSION AND GRID MAIN LINE AND APPROPRIATING $7,324.00 FROM THE NO. 4030 ARTERIAL TRANSMISSION AND GRID MAIN TRUST FUND TO REIMBURSE THE DEVELOPER IN ACCORDANCE WITH THE AGREEMENT. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. The City Manager, or designee, is authorized to execute a water arterial transmission and grid main construction and reimbursement agreement ("Agreement"), attached hereto, with MPM Development, L.P., ("Developer"), for the extension of a 12 -inch water arterial transmission and grid main line, including all related appurtenances, for the development of Parkview Unit 2 Subdivision, Corpus Christi, Nueces County, Texas. SECTION 2. Funding in the amount of $7,324.00 is appropriated from the No. 4030 Arterial Transmission and Grid Main Line Trust Fund to reimburse the Developer for the construction of the water arterial transmission and grid main line improvements in accordance with the Agreement. That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb That the foregoing ordinance was read for the second time and passed finally on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb PASSED AND APPROVED, this the day of 2016. ATTEST: Rebecca Huerta City Secretary Dan McQueen Mayor WATER ARTERIAL TRANSMISSION AND GRID MAIN CONSTRUCTION AND REIMBURSEMENT AGREEMENT STATE OF TEXAS § COUNTY OF NUECES § This Water Arterial Transmission and Grid Main Reimbursement Agreement ("Agreement") is entered into between the City of Corpus Christi ("City"), a Texas home - rule municipality, P.O. Box 9277, Corpus Christi, Texas, 78469-9277, and MPM Development, LP ("Developer "), 426 S. Staples, Corpus Christi, Texas 78401. WHEREAS, the Developer, in compliance with the Unified Development Code ("UDC"), proposes to final plat the Property as shown on the attached final plat known as Parkview Unit 2 ("Development"), as shown in Exhibit 1 (attached and incorporated); WHEREAS, under the UDC and as a condition of such plat of Parkview Unit 5, Developer is required to construct a public waterline in order to record such plat; WHEREAS, Developer has submitted an application for reimbursement of the costs of extending a 12 -inch waterline from the existing 12 -inch waterline located on the south side of Holly Road for a distance of 255 linear feet in order to connect to water grid main along Holly Road and consistent with the Unified Development Code (Exhibit 2); WHEREAS, it is in the best interests of the City to have the 12 -inch waterline on Holly Road for a distance of 255 linear feet installed by Developer in conjunction with the final plat; WHEREAS, Resolution No. 026869 authorized the acceptance of applications to be eligible for reimbursement in the future when funds are fully available in, and are appropriated by City Council, the Arterial Transmission and Grid Main Line Trust Fund as per the UDC, Section 8.5.1.C(1), and WHEREAS, Chapter 212 of the Texas Local Government Code authorizes a municipality to make a contract with a Developer of a subdivision or land in the municipality to construct public improvements related to the subdivision or land; NOW, THEREFORE, in consideration set forth hereinafter and in order to provide a coordinated waterline construction project, the City and Developer agree as follows: Subject to the terms of this Agreement and the plat of Parkview Unit 5, Developer will construct the 12 -inch waterline for and on behalf of the City in accordance with the plans and specifications as are approved by the City Engineer on behalf of the City. 1. REQUIRED CONSTRUCTION The Developer shall construct the 12 -inch waterline improvements, in compliance with the City's UDC and under the plans and specifications approved by the Development Services Engineer. 2. PLANS AND SPECIFICATIONS a. The Developer shall contract with a professional engineer, acceptable to the City's Development Services Engineer, to prepare plans and specifications for the construction of the 12 -inch waterline, as shown in Exhibit 3, with the following basic design: 1. Install 255 linear feet of 12 -inch PVC waterline pipe. 2. Install one (1) cap tapped for 2 inch 3. Install one (1) lump sum traffic control plan b. The plans and specifications must comply with City Water Distribution Standards and Standard Specifications. c. Before the Developer starts construction the plans and specification must be approved by the City's Development Services Engineer. 3. SITE IMPROVEMENTS Prior to the start of construction of the 12 -inch waterline improvements, Developer shall acquire and dedicate to the City the required additional utility easements "Easements", if necessary for the completion of the 12 -inch waterline. If any of the property needed for the Easements is owned by a third party and Developer is unable to acquire the Easements through reasonable efforts, then the City will use its powers of eminent domain to acquire the Easements. 4. PLATTING FEES Developer shall pay to the City of Corpus Christi the required acreage fees and pro -rata fees as required by the UDC for the area of the improvements for the construction of the 12 -inch waterline. The required acreage fees Developer is to pay to the City under the UDC for the 12 -inch waterline improvements will be credited to Developer provided that an application for credit, including cost - supporting documentation, has been submitted to the Assistant City Manager of Development Services prior to the installation of the 12 -inch waterline and is approved. 5. DEVELOPER AWARD CONTRACT FOR IMPROVEMENTS Developer shall award a contract and complete the improvements to 12 -inch waterline, under the approved plans and specifications, by December 20, 2017. 6. TIME IS OF THE ESSENCE Arterial Tran and Grid Main Reimb Agmt MPM Development, LP -Parkview Unit 2 vFinal Standard Form Reimbursement Agreement Template Version 1.0 3.29.16 Page 2 of 10 Time is of the essence in the performance of this contract. 7. PROMPT AND GOOD FAITH ACTIONS The parties shall act promptly and in good faith in performing their duties or obligations under this Agreement. If this Agreement calls for review or inspections by the City, then the City's reviews or inspections must be completed thoroughly and promptly. 8. DEFAULT The following events shall constitute default: a. Developer fails to engage a professional engineer for the preparation of plans and specifications by the 10th calendar day after the date of approval by City Council. b. Developer's professional engineer fails to submit the plans and specifications to the City's Director of Engineering Services by the 40th calendar day after the date of approval by City Council. c. Developer fails to award a contract for the construction of the project, according to the approved plans and specifications, by the 70th calendar day after the date of approval by City Council. d. Developer's contractor does not reasonably pursue construction of the project under the approved plans and specifications. e. Developer's contractor fails to complete construction of the project, under the approved plans and specifications, on or before December 20, 2017. f. Either the City or Developer otherwise fails to comply with its duties and obligations under this Agreement. 9. NOTICE AND CURE a. In the event of a default by either party under this Agreement, the non - defaulting party shall deliver notice of the default, in writing, to the defaulting party stating, in detail the nature of the default and the requirements to cure such default. b. After delivery of the default notice, the defaulting party has 15 business days from the delivery of the default notice ("Cure Period") to cure the default. c. In the event the default is not cured by the defaulting party within the Cure Period, then the non -defaulting party may pursue its remedies in this section. d. Should Developer fail to perform any obligation or duty of this Agreement, the City shalt give notice to Developer, at the address stated above, of the Arterial Tran and Grid Main Reimb Agmt MPM Development, LP -Parkview Unit 2 vFinal Standard Form Reimbursement Agreement Template Version 1.0 3.29.16 Page 3 of 10 need to perform the obligation or duty, and should Developer fail to perform the required obligation or duty within 15 days of receipt of the notice, the City may perform the obligation or duty, charging the cost of such performance to Developer by reducing the reimbursement amount due Developer. e. In the event of an uncured default by the Developer, after the appropriate notice and cure period, the City has all its common law remedies and the City may: 1. Terminate this Agreement after the required notice and opportunity to cure the default. 2. Refuse to record a related plat or issue any certificate of occupancy for any structure to be served by the project. 3. Perform any obligation or duty of the Developer under this agreement and charge the cost of such performance to Developer. Developer shall pay to City the reasonable and necessary cost of the performance within 30 days from the date Developer receives notice of the cost of performance. In the event that Developer pays the City under the preceding sentence, and is not otherwise in default under this Agreement, then the Agreement shall be considered in effect and no longer in default. f. In the event of an uncured default by the City after the appropriate notice and cure period, the Developer has all its remedies at law or equity for such default. 10. FORCE MAJEURE a. The term "force majeure" as employed in this Agreement means and refers to acts of God; strikes, lockouts, or other industrial disturbances; acts of public enemies; insurrections; riots; epidemic; landslides; lightning; earthquakes; fires; hurricanes; storms; floods; washouts; droughts; arrests; civil disturbances; explosions; or other causes not reasonably within the control of the party claiming the inability. b. If, by reason of force majeure, either party is rendered wholly or partially unable to carry out its obligations under this Agreement, then the party shall give written notice of the full particulars of the force majeure to the other party within ten (10) business days after the occurrence or waive the right to claim it as a justifiable reason for delay. The obligations of the party giving the required notice, to the extent affected by the force majeure, are suspended during the continuance of the inability claimed, but for no longer period, and the party shall endeavor to remove or overcome such inability with all reasonable dispatch. Arterial Tran and Grid Main Reimb Agmt MPM Development, LP -Parkview Unit 2 vFinal Standard Form Reimbursement Agreement Template Version 1.0 3.29.16 Page 4of10 11. NOTICES a. Any notice or other communication required or permitted to be given under this Agreement must be given to the other Party in writing at the following address: 1. If to the Developer: Mossa Moses Mostaghasi General Partner MPM Development, LP 426 S. Staples Corpus Christi, Texas 78401 2. If to the City: City of Corpus Christi 1201 Leopard Street (78401) P.O. Box 9277 Corpus Christi, Texas 78469 ATTN: Assistant City Manager Development Services b. Notice required by the paragraph may be by United States Postal Service, First Class Mail, Certified, Return Receipt Requested, postage prepaid; by a commercial delivery service that provides proof of delivery, delivery prepaid; or by personal delivery. c. Either party may change of address for notices by giving notice of the change under the provisions of this section. 12. THIRD -PARTY BENEFICIARY Developer's contracts with the professional engineer for the preparation of the plans and specifications for the construction of the project, contracts for testing services, and with the contractor for the construction of the project must provide that the City is a third party beneficiary of each contract. 13. PERFORMANCE AND PAYMENT BONDS Developer shall require its contractor for the construction of the project, before beginning the work, to execute with Developer and the City a performance bond if the contract is in excess of $100,000 and a payment bond if the contract is in excess of $25,000. The performance and payment bond must comply with Texas Government Code, Chapter 2253 and must be in the form and substance as attached to this Agreement. 14. WARRANTY Developer shall fully warranty the workmanship of and function of the 12 -inch waterline improvements and the construction thereof for a period of one year from and after the date of acceptance of the facilities by the City Engineer. 15. REIMBURSEMENT a. Subject to the appropriation of funds, the City will reimburse the Developer 100% of the reasonable cost of the 12 -inch waterline improvements, not to exceed $7,324.00. See attached cost estimate (Exhibit 4). Arterial Tran and Grid Main Reimb Agmt MPM Development, LP -Parkview Unit 2 vFinal Standard Form Reimbursement Agreement Template Version 1.0 3.29.16 Page 5 of 10 b. Subject to the appropriation of funds, the City agrees to reimburse the Developer on a monthly basis upon invoicing for work performed. The reimbursement will be made no later than 30 -days from the date of the invoice. Developer shall submit all required performance bonds and proof of required insurance under the provisions of this Agreement as detailed in Exhibit 5. c. To be eligible for reimbursement, the work completed in a good and workmanlike manner, and must have been inspected and accepted by the City. The City agrees to conduct periodic inspections and approve the progress of the work at key points during construction. d. In the event that this Agreement is terminated by the City at a time when there has been a partial completion and partial payment for the improvements, then the City shall only reimburse Developer for its costs that were legitimately incurred towards the completion of the improvements that have been inspected and accepted by the City up to the time that there is an uncured default by the Developer. 16. INDEMNIFICATION DEVELOPER, COVENANTS TO FULLY INDEMNIFY, SAVE AND HOLD HARMLESS THE CITY OF CORPUS CHRISTI, ITS OFFICERS, EMPLOYEES, AND AGENTS, ("INDEMNITEES") AGAINST ANY AND ALL LIABILITY, DAMAGE, LOSS, CLAIMS, DEMANDS SUITS AND CAUSES OF ACTION OF ANY NATURE WHATSOEVER ASSERTED AGAINST OR RECOVERED FROM CITY ON ACCOUNT OF INJURY OR DAMAGE TO PERSON INCLUDING, WITHOUT LIMITATION ON THE FOREGOING, WORKERS COMPENSATION AND DEATH CLAIMS, OR PROPERTY LOSS OR DAMAGE OF ANY OTHER KIND WHATSOEVER, TO THE EXTENT ANY INJURY, DAMAGE, OR LOSS MAY BE INCIDENT TO, ARISE OUT OF, BE CAUSED BY, OR BE IN ANY WAY CONNECTED WITH, EITHER PROXIMATELY OR REMOTELY, WHOLLY OR IN PART, THE DEVELOPER'S FAILURE TO COMPLY WITH ITS OBLIGATIONS UNDER THIS AGREEMENT OR TO PROVIDE CITY WATER SERVICE TO THE DEVELOPMENT, INCLUDING INJURY, LOSS, OR DAMAGE WHICH ARISE OUT OF OR ARE IN ANY MANNER CONNECTED WITH, OR ARE CLAIMED TO ARISE OUT OF OR BE IN ANY MANNER CONNECTED WITH THE CONSTRUCTION, INSTALLATION, EXISTENCE, OPERATION, USE, MAINTENANCE, REPAIR, RESTORATION, OR REMOVAL OF THE PUBLIC IMPROVEMENTS ASSOCIATED WITH THE DEVELOPMENT DESCRIBED ABOVE, INCLUDING THE INJURY, LOSS OR DAMAGE CAUSED BY THE SOLE OR CONTRIBUTORY NEGLIGENCE OF THE INDEMNITEES OR ANY OF THEM, REGARDLESS OF WHETHER THE INJURY, DAMAGE, LOSS, VIOLATION, EXERCISE OF RIGHTS, ACT, OR OMISSION IS CAUSED OR IS CLAIMED TO BE CAUSED BY THE CONTRIBUTING OR CONCURRENT NEGLIGENCE OF INDEMNITEES, OR ANY OF THEM, BUT NOT IF CAUSED BY THE SOLE NEGLIGENCE OF INDEMNITEES, OR ANY OF THEM, UNMIXED WITH THE FAULT OF ANY OTHER PERSON OR ENTITY, AND INCLUDING ALL Arterial Tran and Grid Main Reimb Agmt MPM Development, LP -Parkview Unit 2 vFinal Standard Form Reimbursement Agreement Template Version 1.0 3.29.16 Page 6 of 10 EXPENSES OF LITIGATION, COURT COSTS, AND ATTORNEYS FEES, WHICH ARISE, OR ARE CLAIMED TO ARISE, OUT OF OR IN CONNECTION WITH THE ASSERTED OR RECOVERED INCIDENT. THIS INDEMNITY SPECIFICALLY INCLUDES ALL CLAIMS, DAMAGES, AND LIABILITIES OF WHATEVER NATURE, FORESEEN OR UNFORESEEN, UNDER ANY HAZARDOUS SUBSTANCE LAWS, INCLUDING BUT NOT LIMITED TO THE FOLLOWING: (A) ALL FEES INCURRED IN DEFENDING ANY ACTION OR PROCEEDING BROUGHT BY A PUBLIC OR PRIVATE ENTITY AND ARISING FROM THE PRESENCE, CONTAINMENT, USE, MANUFACTURE, HANDLING, CREATING, STORAGE, TREATMENT, DISCHARGE, RELEASE OR BURIAL ON THE PROPERTY OR THE TRANSPORTATION TO OR FROM THE PROPERTY OF ANY HAZARDOUS SUBSTANCE. THE FEES FOR WHICH THE DEVELOPER SHALL BE RESPONSIBLE UNDER THIS SUBPARAGRAPH SHALL INCLUDE BUT SHALL NOT BE LIMITED TO THE FEES CHARGED BY (I) ATTORNEYS, (II) ENVIRONMENTAL CONSULTANTS, (III) ENGINEERS, (IV) SURVEYORS, AND (V) EXPERT WITNESSES. (B) ANY COSTS INCURRED ATTRIBUTABLE TO (I) THE BREACH OF ANY WARRANTY OR REPRESENTATION MADE BY DEVELOPER/OWNER IN THIS AGREEMENT, OR (II) ANY CLEANUP, DETOXIFICATION, REMEDIATION, OR OTHER TYPE OF RESPONSE ACTION TAKEN WITH RESPECT TO ANY HAZARDOUS SUBSTANCE ON OR UNDER THE PROPERTY REGARDLESS OF WHETHER OR NOT THAT ACTION WAS MANDATED BY THE FEDERAL, STATE OR LOCAL GOVERNMENT. THIS INDEMNITY SHALL SURVIVE THE EXPIRATION OR EARLIER TERMINATION OF THE AGREEMENT. 17. ASSIGNMENT OF AGREEMENT This Agreement may be assigned by Developer to another with the written consent of the City's City Manager. 18. COVENANT RUNNING WITH THE LAND This Agreement is a covenant running with the land, Parkview Unit 2, a subdivision in Nueces County, Texas, and must be recorded in the Official Public Records of Nueces County, Texas. The duties, rights, and obligations of the Agreement are binding on and inure to the benefit of the Developer's successors or assigns. 19. DISCLOSURE OF OWNERSHIP INTERESTS Developer further agrees, in compliance with the City Ordinance No. 17110, to complete, as part of this Agreement, the Disclosure of Ownership interests form attached hereto as Exhibit 6. Arterial Tran and Grid Main Reimb Agmt MPM Development, LP -Parkview Unit 2 vFinal Standard Form Reimbursement Agreement Template Version 1.0 3.29.16 Page7of 10 20. AUTHORITY All signatories signing this Agreement warrant and guarantee that they have the authority to act on behalf of the entity represented and make this Agreement binding and enforceable by their signature. 21. EFFECTIVE DATE This Agreement shall be executed in one original, which shall be considered one instrument. *This Agreement becomes effective and is binding upon, and inures to the benefit of the City and Developer from and after the date that all original copies have been executed by all signatories. EXECUTED IN ONE original, *this _ day of , 2016. SIGNATURES FOUND ON PAGES 9 and 10. Arterial Tran and Grid Main Reimb Agmt MPM Development, LP -Parkview Unit 2 vFinal Standard Form Reimbursement Agreement Template Version 1.0 3.29.16 Page 8 of 10 Developer Mossa Moses Mostaghasi, General Partner MPM Development, LP 426 S. Staples Corpus Christi, Texas 78401 By: M General Pa er THE STATE OF TEXAS § COUNTY OF NUECES § This instrument was signed by Mossa Moses Mostaghasi, neral Partner, for M M Development, LP, and acknowledged before me on the 1 day of , 2016. otary Pu . ic, State exas TANYA ROJAS My Commission Expires October 15, 2017 Arterial Tran and Grid Main Reimb Agmt MPM Development, LP -Parkview Unit 2 vFinal Standard Form Reimbursement Agreement Template Version 1.0 3.29.16 Page 9 of 10 CITY OF CORPUS CHRISTI: ATTEST: By: By: Rebecca Huerta Dan McGinn City Secretary Development Services Director THE STATE OF TEXAS § COUNTY OF NUECES § This instrument was signed by Rebecca Huerta, City Secretary, for the City of Corpus Christi, Texas, and acknowledged before me on the day of 2016. Notary Public, State Of Texas THE STATE OF TEXAS § COUNTY OF NUECES § This instrument was signed by Dan McGinn, Development Services Director, for the City of Corpus Christi, Texas, and acknowledged before me on the day of , 2016. Notary Public, State Of Texas APPROVED AS TO FORM: This day of _ , 2016. Assistant City Attorney For the City Attorney Arterial Tran and Grid Main Reimb Agmt MPM Development, LP -Parkview Unit 2 vFinal Standard Form Reimbursement Agreement Template Version 1.0 3.29.16 Page 10 of 10 STATE Or 11145 1 cam', or 4g0055 1 TIL 4A, 7f11J. LN1. IP, 101054 QATW4 Tl41 K ARE RS OR1404S Or 1441 4.440 EI4g4CED 10744 1K MAIRRt5 Cr DC FOY0R4 PIAT, SMUT 7D A LEN N 41405 a 11441 RE HAVE HAD S46 LAID 9111Ett0 110 SUMVECI) AS SWIM 1511 51R3ETS 414 EA.E1141S 4.y SHOPO 4149E ®4 1ERE167LCIC OE0[*TC t8 14 4401 P5V, 53' 1517 415D. ARE WEST DEMATE13 TO tit RAE 1150 rOA TER. 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KS ow 51 n' :5' L 5000' 7000 ffiwlxt',1135 es751,10's' 14, DO528'38.42V 788.32' 19991C. n 04. 75 A Er A GT. SER 32. llels 1 r 7. V. •0. P 41 - a3, 115. vPU DEVEEOPUEIIT. LLP PLAT OF PARKVIEW UNIT 2 (CONTINUED) CORPUS CHRISTI, NUECES COUNTY, TEXAS BASS 6 WELSH ENGINEERING FIRM fa f-52, 3354 S. ALAMEDA ST CORPUS CHRISTI, TCMAS 72404 15 1[ Powers 5/111356 gar. 115.19.0-340.99, x11 .0, gar PIM SCALL . JJAe 09E7 11 0r e 0 23' 50' 17C SCALE. r'• 50' 2.416 N co r`PPnovm +lryJ� Pa - JUN a - PLANNING COMMISSION HRT 17 2418 1 — �MO?! ,09) am AIiOH 13 Exhibit 1 APPLICATION FOR WATER LINE REIMBURSEMENT We, MPM Development, LP, P.O. Box 331308, Corpus Christi, Texas 78463, owners and developers of the proposed Parkview Unit 2 Subdivision, hereby request reimbursement of $7,324.00, as provided for by City Ordinance No. 17092. $18,426.00 is the construction cost, including 11% Engineering, Surveying, and Testing, in excess of the acreage fee, as shown by the cost supporting documents attached herewith. THE STATE OF TEXAS Le" —1p Mossa Mostaghasi, President Date MPM Development, LP. COUNTY OF NUECES § This instrument was acknowledged before me on . 1 J\RO___ LcZ 2016, by Mo` Mostaghasi, President of MPM Development, LP. _ ` J", �1 ........... A AAAA . A "SPY 1 � r*.‘ ID# 12457807-3 Notary Public C t„r•�.,,,� STATE OF TEXAS < '"'.'!wpln:-• My Comm. Exp. 06-08.2019 v v.- v. v v v- v v v CERTIFICATION r Nuec The information submitted with this application for reimbursement has been reviewed and determined to be correct. Reimbursement is subject to: (a) Sufficiency of funds in the Grid Main Trust Fund, and (b) Appropriation and approval by the City Council. P -t t 111,/ 2.1) Development Services Engineer Date) EXHIBIT 2 PAGE 1 OF 2 APPLICATION FOR WATER LINE CREDIT We, MPM Development, LP, P.O. Box 331308, Corpus Christi, Texas 78463, owners and developers of proposed Parkview Unit 2 subdivision, hereby apply for $11,102.00 credit towards the water acreage lot fee for the installation of the water grid main as provided for by City Ordinance No. 17092. $18,426.00 is the construction cost, including 11% Engineering, Surveying, and Testing, as shown by the cost supporting documents attached herewith. THE STATE OF TEXAS COUNTY OF NUECES Mossa Mostaghasi, President MPM Development, LP. § trgi Date This instrument was acknowledged before me on , 2016, by Mossa Mostaghasi, President of MPM Development, LP. CINDY BUENO Nota blic in and for or the State of Texas EXHIBIT 2 PAGE 2 OF 2 PUB= O OPROVI OAC NTS TO PAHRWOM UNE 2 CORPUS CHMSTg9 NUECES COUNTY TEXAS ▪ M • a rNO.�d.ur•r•m. .Nr YYKIYU�e•••••••• •/.YNia INN ▪ Nam W. CNN. ...IS WI▪ N M•i M.r Mrt R.Ir W N ON My IN NM • MTN NM .r.i•C �� 6▪ 26 • r:°pw• .666 NTT( ILMIE EldSmlli.flidOES t N ..r. N M NAM IN 0 w • OO New PIM f RONIN ON r MO o PPP. TO 1 ..N .•••r NMI al wNR ry .W 14•••••=1•N w41 v NNW.. NEON MN .. r .Naw. EP - ••••••Trot+ ▪ um. 1116CNN666r •. n .fa . w w 6 6 a 6 66. w rr� Iia IL wN• . Nr Os r../+•.r .. PINS... ANNE oi�. r •••• INN �:.•.aa RM. d.a..r •/. ud.rW w WN 'yds r MN. •.•N.. R l0 NCI IR NEN MN OM u LOT •.. rN •tomawr 6 ...N a M.P. P.. LEO= — PROPOSED Fau11E3_ SRI'., t^ 1.•••••• NOT •••rs• a •••••• Olt Nr.r rr ••••••••• ••••• NLLNNIP ••••• �• • • N. 616 �e•:d ..l L.. 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SI r NW r.ew.sr CALL BEFORE YOU OIC! �a11M .•Nre.AIh. tn:rn u 1-416696.. GENERAL NOTES. •••••••ANN 4 NMNN •m w.. Ny t IN.-YN1 .1 NaOY666 •Wr.•ON Nip Ir N 06 OOP rN 61112ppm6'Nl .,a MI owe 661. PPP 0161011.11=21N -219X • PPP 12611 126 .NRrY�a NI .N 666 6.16 a 16 i a•. NN fs 611 • aN 6.116.N 1111.011 .meqor ▪ 66 PIO et 66666 Po _ 6. y 616...e.. N•.r r rr..• swr Poi 6 MI Ndens WNW •aaleaS SHFFF ROE; SMELT 1 SHEET 2 SNEEO 3 SHEET 4 SHEET 5 1IFAi1151 HAP [DAR SHEET AND w5CE1LmE0US 1NF00ua110N PRANG. ER4Da1G AND DRAINAGE PLAN. STREET ARI STOW SEWER PROFILES SANITARY SERV AND PATER PLAN AMO SANITART SEWER PROBES STORu PATER POLLUTION PREVE1RIOtl PINI. ESTIMATE SUUUART AND BASE PAPS STREET AND 5OERAIX DETAILS D .pealy*pled by Rama S Pneurnuthu. PE EU[15 0AnaS PRNIaTMDAL PE. oNOerelopmenl Services. meaty d Corpus ChNELA e tnil.rm.o.U1 plcceeaasco t aa11S Dolr 201&07.15 11:1716 6 Mr 126 pol. 6.66 4 r.r r r.• 'r` w iN a.r 61 X11— ' pm PIs NY.S jiv.s 7 N a.241.9 .em1104 hrt 00411 TVb raw [HT1 1/4-1411 MSS A10 REE.H E1tCs1EERn1C n 0061.•140 . 0 -le }M a mama 11001 caws awn IV. M. PUBLIC IMPROVEMENTS TO PORKY I Eli IN(T 2 CORPUS 0.1s/ESTI, 14.EEES CO. 14 COVER SMELT AND MISCELLANEOUS IIFORILLtl[aN Exhibit 3 Page 1 of 5 1 re rrO......rN:: 582501'0 00' 0• E �y. vpd• P- O a 06 1 ru r. 1IP 1.503A Jcp .• 6...w •• 115 10 15 Y 2.00 C, 300 4.00 OA. Al AIal,nlon 1 .t AL NA 10o 099000. UP 5 00 6.00 0 7. Ate ,---\-..-- _� i riff, r ---- tl t..WrM •R•a `y 1 - `r .L%t5NI. o..f. r;.2-1. - •nx itr. — L •S nt rt4w 2.12 is "k II v. • u. r � i ,r r. \ .w PI VAFO. 0100 1 OM I a 41 MP 00 1.1-14110•nta 611 10'0101•. 1 ram • •A w ....y . 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Potfcotho.P.E.. o-0erdoplent 5e15Kn. w.atra Conus GVn% ernairratropecrtrAnos IM17.00 WS[ 2016.07.15111•&47 4590 BASS 441 •CISH EN0INEERING n .r �wr�l sm C0110 PUBLIC [HPR0VE/ENOS To PNMv1EV VAT 2 113PP11s EHRIs11. WELTS CO. Ta PAVING, GRADING AND CRA [NAM PLAN. STREET 410 5n71N SEVER PROFILES w r w n w • .•.. 0.9 .0 Pop WS RAMO we* 100± Exhibit 3 Page 2 of 5 10 2+00 3 00 4100 rm • ITt 15.372./, Lan 1 a 5, 7,; 5+00 6.00 ane K... ZE,P3_151 • I •••• • PP,. 5 • .1 or.. .6" ••• 15 • 0 433 7.0505 10 5 ;5m 10 2400 POY-i - 55 1 INT •ii• 14140 PAY PPCSEPX DR 1 3+00 4+00 5,00 6+00 INC 7+00 LLrrajs .... - .4. • do. :rnr an, 8 00 ,5 ID 5 ppona - SS ME C 5850 RENO PARR OR I • • P 1+00 15 10 2.0a 3+00 4+00 5+03 6+03 - . ...-,.. 1 ---.7,-. 1 'r• •,-."-- -1 „,,„r ;1 \ir . ...... r o 1171 P741.1,1i, 8 - . •D1, rje I t, 2:Fril. ' I C I - issossr,....'.W...../ 0 007II .„/5 61I 2• 1II';2•-E .25 r / ri . rP 51 ,-/i. 1.5 s —I ; i 1 . , 1 1 -. 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PIMP 175C or PL r M. , .____ s 1 ::.I . \i. • 10 2+00 3 00 4100 rm • ITt 15.372./, Lan 1 a 5, 7,; 5+00 6.00 ane K... ZE,P3_151 • I •••• • PP,. 5 • .1 or.. .6" ••• 15 • 0 433 7.0505 10 5 ;5m 10 2400 POY-i - 55 1 INT •ii• 14140 PAY PPCSEPX DR 1 3+00 4+00 5,00 6+00 INC 7+00 LLrrajs .... - .4. • do. :rnr an, 8 00 ,5 ID 5 ppona - SS ME C 5850 RENO PARR OR I • • P 1+00 15 10 2.0a 3+00 4+00 5+03 6+03 is 00 10 0 15 10 PROFILE - 55 Low -13" (00-011S pro5.F1 PAM( OR Utak les to meet TCEQ and Fay Standards for Horizontal !and Vertical Separation 2+00 3.00 I •• S._=--1•114 •• 15.,.• gat ‘`..-Ft: FROPRE - 55 !spa 10S245.7 ST1 15 10 11•1•404.0,....4 **oar aram....11.01$ DIgNally kred try Patna S. 5 Penman PE. m.Ratru D5Pottsomsths6RL osDavelOpment Serfices ouoQty siCaps. Chd110 1. emall.ratnapexcte00tatm,c•115 D1542016.07.15 1147:13 415-017 6855 4501 YO:L_SH 0854502488551 .0.•0800••0. 1.50. 005.• 4.10.1 000111 coma •••••. 15*01 P.M PVILIC INPROVCW.NTS 70 PAINVIEV MIT 2 CORPUS C5501511, PAJECES CO.. Ts SANITARY SEYEP AND vATER PLAN, SANITARY SEVER PRIX-ILES • rr sr tzuri1=1 ar Jgii. SCALE, r. LI Exhibit 3 Page 3 of 5 ...-,.. ---.7,-. 1.• ...L... •• ...A-7 'r• •,-."-- ;1 ,....4 7.r .'•••••7; 2410...., ;1 \ir . ...... ____ d. 1171 7,'.7 - .,.. ,... • LI itg lri ,-/i. 1.5 is 00 10 0 15 10 PROFILE - 55 Low -13" (00-011S pro5.F1 PAM( OR Utak les to meet TCEQ and Fay Standards for Horizontal !and Vertical Separation 2+00 3.00 I •• S._=--1•114 •• 15.,.• gat ‘`..-Ft: FROPRE - 55 !spa 10S245.7 ST1 15 10 11•1•404.0,....4 **oar aram....11.01$ DIgNally kred try Patna S. 5 Penman PE. m.Ratru D5Pottsomsths6RL osDavelOpment Serfices ouoQty siCaps. Chd110 1. emall.ratnapexcte00tatm,c•115 D1542016.07.15 1147:13 415-017 6855 4501 YO:L_SH 0854502488551 .0.•0800••0. 1.50. 005.• 4.10.1 000111 coma •••••. 15*01 P.M PVILIC INPROVCW.NTS 70 PAINVIEV MIT 2 CORPUS C5501511, PAJECES CO.. Ts SANITARY SEYEP AND vATER PLAN, SANITARY SEVER PRIX-ILES • rr sr tzuri1=1 ar Jgii. SCALE, r. LI Exhibit 3 Page 3 of 5 :�; L - L .l 1 -'--1_ i. NS- �__i.r.S.R.� .Ria.9/0-rsw��y. I I �; J IL '. I « L_,it ..w� �I 0 r:a:s ■ I t � '1IG « 1 E.-— —�— •„ 1 77.4 ar='----1J 1 '11 Ti t --11— — —114 i --- -- ---'"' _.... • • w 1 . of .4Swwee SR121 250000 ' — 610. Ras Pr WINNE CO we WO In. RR -- -w- Ir 1 • w I " 3 w i o • h 9 I E P. • • 4. 50538'421,-•/17.31% ¢:IS Y 4 i I I --I .3YJ I1 I I 1 1111•17 MI MOP. PUP PIP Katy ww r.r...as gowns.rw crar• Pat 110. lo•111 VT MIN .1E0 NM .re •1r oold• r,OrW. NO 32. lural .5. 0000001. LIP ESTIMATE SUMMARY ma- r PE PPE 11. ••• 011 •Ma r 111 .sr ar.o .. r r4.orp,.o• P -...w lw .5•K. u. IC OM lry%Orru....:T�•am da • '4 V V WATFP BASE MAP j l**Uf ea 111 wUw TYPICAL SECT1QN STABILIZED .CONSTRUCTION. ENTRANCE PILLN411N PRLVLNSIRM PINES 0•0 • • mss �• - OW imuywMY .tM . Y ••••••• nM100 010•01, 100 Me ply.. POPE Pi 101 10101 W. 0111 Prt. 00.00011. • Mt 1 O�•.I.R.ai MSR y • ••••• ••• •a • w_mur iw.Arra ... K X1.1. s 0101. Kw ••rEP •• M. M KW •l 1 u nart mom n• w'M worm 1110. 01. ma 11.1110 0110.0 P14•10 PIMP..• ••••w: .•S,Y••.0:k0. o'er. a+�rt�"w1wwrn.61. mo�..0 .11711.1.0 1001-0 0•00110, • 601..• 11001 MT Sr P. Mt 11013011 4011 000 Pt 110. MAIIIPT 1•0111. 010 000 MI esiomurn rmummI En ODO�OQ�I NM Q esporpostE titanclignaltg Enlimaiim P9_LwY m TQI RallniiaA Alailm 1 w•"y.y.r 09i5»7 **dIN RYrui •. OLL rM1RA•ML PmlmmPh. PLO.0ewleprwlR Serwnt FM", '•"�" W.{r7&Cmp*Cl.raa ,'•y..j e.ra.t%w•OKrleuumn 'US DAM 101A07.1S 11,47ll4S00` SCBMENtAteON SCAM PENCE BASS NAS WELSH EIICY.ELRHC h grtl*.TGe e1 7-51 ]G.. t 'L* NMI N.N PER nut r.tl. PUBLIC IMPROVEIEHTS TO PARKVIEV WIT 2 CORPUS EMI TL WECES CO.. TO 57000 RATER POt1N%7N PREVENTION PINI ESTIVATE Swu.R1 AMO BASE IMPS n' S. la w 44r v. ram im w qui ,at. t><zl� cr.. y �1 . an 1. �` 44.4 mat_ s . Exhibit 3 Page 4of5 J TYPICAL STREET SECTION - SD ROW 0 a r."•. kr smmi Mil= ins=1 jrilli IML 1•11t Mao YMMill wN l la Myter... rim••••••••••i 'MVM Slw.at.Il(M mi ISM la/ Gr MON•tral• ..M.. vr. n.. a.� pal pOZ-LOC SIGN SUPPORT ASSEUBLY 11403 WM, ill MEE CM MOO. DETAIL - END OF ROAD BARRICADE INSTALLATION (TYPE OLI - AR OBJECT IAARKERS) Mn 11C ISAANUI S.MIL X 1M I.E .IE.S SM1E1 IM iK 40.0 x1.0.1 STOP SLN e1S141AD7. T l R2swMAI/COELEOTOR. MORTAL MNEMECIAMS No" signed b/ Rama S. PattonINhL PE DN:CN-RRna S. POttor.ut2u.P.E. a•Denekpmenl Scotian, ou•CRya/Corpus[MRs muNKad 1pgccee+asw aDS Dec 201627.15 11,4241 -2 9R BASS 40 RUSH D CAMEEPING 41 alrw. In r-11 aH 1 ...an sign cleat ale6 131.1 IMO. Pup. t' IMPROVEMENTS TO PARAVEEY UNIT 2 CORPUS CHRIST I WEE(S t , TA STREET AND SIDEWALK OETNL5 ma. saa 1..1 h JLas3 ran Y� o s. o. ve..y Exhibit 3 Page 5 of 5 NIXON M. WELSH, P.E RPLS Email NixMW@aol com BASS WELSH ENGINEERING TX Registration No. F-52 Survey Registration No. 100027-00 P.O. Box 6397 Corpus Christi, TX 78466-6397 PARKVIEW UNIT 2 OVERALL CONSTRUCTION ESTIMATE CORPUS CHRISTI. NUECES COUNTY. TX 07/12/16 361 882-5521.- FAX 361 882-1265 I. STREET & SURFACE ITEMS NO. DESCRIPTION QUANTITY UNIT UNIT PRICE AMOUNT 1 2" HMAC 5208 SY 18.00 93,744 00 2. 6" CURB & GUTTER 3700 LF 14 00 51,800 00 3. 8" LIMESTONE BASE 6853 SY 18.00 123,354 00 4. 8" LIME STABILIZED SUBGRADE W/GEOGRID 6853 SY 7 00 47,971 00 5 4" THICK RIC WALK 15264 SF 4.00 61,056.00 6 STREET SIGNS 3 LF 250.00 750 00 7. CLEARING & GRUBBING 1 LS 1,000.00 1,000 00 8 EXCAVATION 1 LS 58,000.00 58,000 00 9 END OF ROAD BARRICADE 1 EA 650.00 650 00 II. STORM SEWER ITEMS NO. 1. 15" RCP 2. 18" RCP 3. 21" RCP HDPE 4. 24" RCP 5. 36" RCP 6 5' INLET DESCRIPTION TOTAL STREET & SURFACE ITEMS 5438,325.00 QUANTITY UNIT UNIT PRICE AMOUNT 189 LF 35.00 6,615 00 331 LF 40.00 13,240.00 905 LF 46 00 41,630 00 193 LF 52.00 10,036 00 109 LF 65.00 7,085 00 14 EA 2,700.00 37,800.00 TOTAL STORM SEWER ITEMS $116,406.00 III. SANITARY SEWER ITEMS NO. DESCRIPTION QUANTITY UNIT UNIT PRICE AMOUNT 1. 8" PVC 1595 LF 58.00 92,510 00 2 FIBERGLASS MANHOLE 4' DIAMETER 7 EA 4,200.00 29,400 00 3. 4" OR 6" PVC SERVICE 61 EA 800.00 48,800.00 TOTAL SANITARY SEWER ITEMS $170,710.00 IV. WATER ITEMS NO. DESCRIPTION QUANTITY UNIT UNIT PRICE AMOUNT 1. 8" PVC PIPE 220 LF 38.00 8,360.00 2. 8" MJ TEE 1 EA 475.00 475.00 3. 8" GATE VALVE 1 EA 1,200.00 1,200.00 4. 8" CAP 1 EA 250.00 250.00 5. 6" PVC PIPE 1683 LF 32.00 53,856 00 6. FIRE HYDRANT ASSEMBLY 3 EA 3,400.00 10,200 00 7. 6" GATE VALVE W/BOX 6 EA 1,000.00 6,000 00 8. 6" TEE, DI 5 EA 350.00 1,750 00 9. 6" CAP TAPPED FOR 2" 2 EA 350.00 700 00 9. 6" EL, 90° DI 3 EA 350.00 1,050 00 10. WATER SERVICE, SINGLE 7 EA 400.00 2,800.00 11. WATER SERVICE, DOUBLE 27 EA 450.00 12.150.00 TOTAL WATER ITEMS $98,791.00 V. WATER ITEMS REIMBURSEABLE BY CITY NO. DESCRIPTION QUANTITY UNIT UNIT PRICE AMOUNT Exhibit 4 Page 1 of 2 NIXON M WELSH, P.E. R P LS Email: NixMW@aol.com 1. 12" PVC PIPE 2. 12" CAP TAPPED FOR 2" 3. TRAFFIC CONTROL BASS WELSH ENGINEERING TX Registration No. F-52 Survey Registration No. 100027-00 P.Q. Box 6397 Corpus Christi, TX 78466-6397 255 361 882-5521-- FAX 361 882-1265 EA EA EA TOTAL REIMBURSEABLE WATER ITEMS VI. MISCELLANEOUS ITEMS NO. DESCRIPTION 1. BLANK 2" AND 4" CONDUIT FOR AEP 2. TRAFFIC CONTROL & BARRICADING PLAN (DURING CONSTRUCTION) 3. TRENCH SAFETY FOR EXCAVATIONS (SANITARY SEWER & STORM SEWER PIPES OF ALL SIZES) 4. STORM WATER POLLUTION PREVENTION 15011 -ALL EST XLS 60.00 300.00 1,000.00 QUANTITY UNIT UNIT PRICE 400 LF 15.00 1 LS 2,500.00 4847 LF 2.00 1 LS 2,500.00 TOTAL MISCELLANEOUS ITEMS I. STREET & SURFACE ITEMS II. STORM SEWER ITEMS III. SANITARY SEWER ITEMS IV. WATER ITEMS V. WATER ITEMS REIMBURSEABLE VI. MISCELLANEOUS ITEMS SUBTOTAL 11% ENGINEERING, SURVEYING & TESTING TOTAL CONSTRUCTION COST -NiliVN M. WELSH :i 15,300.00 300.00 1.000.00, $16,600.00 AMOUNT 6,000.00 2,500.00 9,694.00 2.500.00 520,694.00 $438,325.00 116,406.00 170,710.00 98,791.00 16,600.00 20,694.00 5861,526.00 94.767.86 $956,293.86 Exhibit 4 Page 2 of 2 NIXON M WELSH, P E , R.P LS Email NixMW@aol corn BASS WELSH ENGINEERING TX Registration No. F-52 Survey Registration No. 100027-00 P.O. Box 6397 Corpus Christi, TX 78466-6397 PARKVIEW UNIT 2 WATER REIMBURSEMENT ESTIMATE CORPUS CHRISTI, NUECES COUNTY, TX 6/2/16 361 882-5521- FAX 361 882-1265 NO. DESCRIPTION QUANTITY UNIT UNIT PRICE AMOUNT 1 12" PVC PIPE 255 LF 60.00 15,300 00 2. 12" CAP TAPPED FOR 2" 1 EA 300.00 300 00 3 TRAFIC CONTROL DURING CONSTRUCTION 1 LS 1,000.00 1.000.0_0 TOTAL 516,600.00 15011-WTR REIMS EST XLS 11% SURVEYING, ENGINEERING 8 TESTING 1.626,00 SUBTOTAL 518,426.00 LESS WATER ACREAGE FEE -11.102.00 TOTAL AMOUNT REIMBURSEABLE 57,324.00 40f. SH •.N.�/-. M. WA • icisr "E Page 1 of 1 •1 INSURANCE REQUIREMENTS I. CONTRACTOR'S LIABILITY INSURANCE A. Contractor shall not commence work under this agreement until all insurance required herein has been obtained and approved by the City's Risk Manager or designee. Contractor must not allow any subcontractor to commence work until all similar insurance required of the subcontractor has been so obtained. B. Contractor shall furnish to the Risk Manager or designee two (2) copies of Certificates of Insurance, with applicable policy endorsements showing the following minimum coverage by an insurance company(s) acceptable to the Risk Manager or designee. The City must be listed as an additional insured for the General Liability policy and Business Auto Liability policy, and a waiver of subrogation is required on all applicable policies. TYPE OF INSURANCE MINIMUM INSURANCE COVERAGE 30 -Day Notice of Cancellation required on all certificates or by policy endorsement(s) Bodily injury and Property Damage Per Occurrence / aggregate COMMERCIAL GENERAL LIABILITY 1. Broad Form 2. Premises — Operations 3. Products/Completed Operations Hazard 4. Contractual Liability 5. Broad Form Property Damage 6. Independent Contractors 7. Personal and Advertising Injury 8. Professional Liability (if applicable) 9. Underground Hazard (if applicable) 10. Environmental (if applicable) $1,000,000 Per Occurrence $2,000,000 Aggregate BUSINESS AUTOMOBILE LIABILITY 1. Owned 2. Hired & Non -owned 3. Rented & Leased $1,000,000 Combined Single Limit WORKERS' COMPENSATION (for paid employees) EMPLOYER'S LIABILITY Which Complies With The Texas Workers' Compensation Act And Paragraph II Of This Exhibit. $500,000 / $500,000 / $500,000 PROPERTY INSURANCE Contractor shall be responsible for insuring all owned, rented, or leased personal property for all perils. C. In the event of accidents of any kind related to this project, Contractor shall furnish the Risk Manager with copies of all reports of such accidents within ten (10) days of the accident. Exhibit 5 Page 1 of 3 II. ADDITIONAL REQUIREMENTS A. Contractor must obtain workers' compensation coverage through a licensed insurance company in accordance with Texas law. The contract for coverage must be written on a policy and endorsements approved by the Texas Department of Insurance. The coverage provided must be in amounts sufficient to assure that all workers' compensation obligations incurred will be promptly met. An "All States endorsement shall be included for Companies not domiciled in Texas. B. Contractor shall obtain and maintain in full force and effect for the duration of this Contract, and any extension hereof, at Contractor's sole expense, insurance coverage written on an occurrence basis, by companies authorized and admitted to do business in the State of Texas and with an A.M. Best's rating of no Tess than A- VII. C. Contractor shall be required to submit replacement certificate of insurance to City at the address provided below within 10 days of the requested change. Contractor shall pay any costs incurred resulting from said changes. All notices under this Article shall be given to City at the following address: City of Corpus Christi Attn: Risk Management P.O. Box 9277 Corpus Christi, TX 78469-9277 (361) 826-4555- Fax # D. Contractor agrees that with respect to the above required insurance, all insurance policies are to contain or be endorsed to contain the following required provisions: • List the City and its officers, officials, employees, volunteers, and elected representatives as additional insured by endorsement, or comparable policy language, as respects to operations, completed operations and activities of, or on behalf of, the named insured performed under contract with the City. • The "other insurance" clause shall not apply to the City of Corpus Christi where the City is an additional insured shown on the policy; • Workers' compensation and employers' liability policies will provide a waiver of subrogation in favor of the City; and • Provide thirty (30) calendar days advance written notice directly to City of any suspension, cancellation, non -renewal or material change in coverage, and not Tess than ten (10) calendar days advance written notice for nonpayment of premium. E. City shall have the option to suspend Contractor's performance should there be a lapse in coverage at any time during this contract. Failure to provide and to maintain the required insurance shall constitute a material breach of this contract. F. In addition to any other remedies the City may have upon Contractor's failure to provide and maintain any insurance or policy endorsements to the extent and within the time herein required, the City shall have the right to order Contractor to stop work hereunder, and/or withhold any payment(s) which become due to Contractor hereunder until Contractor demonstrates compliance with the requirements hereof. Exhibit 5 Page 2 of 3 G. Nothing herein contained shall be construed as limiting in any way the extent to which Contractor may be held responsible for payments of damages to persons or property resulting from Contractor's or its subcontractor's performance of the work covered under this agreement. H. It is agreed that Contractor's insurance shall be deemed primary and non-contributory with respect to any insurance or self insurance carried by the City of Corpus Christi for liability arising out of operations and completed operations and activities under this agreement. I. It is understood and agreed that the insurance required is in addition to and separate from any other obligation contained in this agreement. Exhibit 5 Page 3 of 3 s s City of Corpus Christi DISCLOSURE OF INTERESTS City of Corpus Christi, Teras Depanment of Development Smites P 0 Box 9277 Corpus Christi, Texas 78469-9277 (361)826.3240 Located al 2406 Leopard Street (Comer of Leopard St and Pon Ave ) City of Corpus Christi Ordinance 17112, as amended, requires all persons or firms seeking to do business with the City to provide the following information. Every question must be answered. If the question is not applicable, answer with "NA". NAME: MPM Development, LP STREET: PO Box 331308 CITY: Corpus Christi ZIP: 78463 FIRM is: 0 Corporation [Partnership ❑ Sole Owner ❑ Association ❑ Other DISCLOSURE QUESTIONS If additional space is necessary, please use the reverse side of this page or attach separate sheet. 1. State the names of each "employee" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm". Name Job Title and City Department (if known) N/A N/A 2. State the names of each `official" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm". Name Title N/A N/A 3. State the names of each "board member" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm". Name Board, Commission, or Committee N/A N/A 4. State the names of each employee or officer of a "consultant" for the City of Corpus Christi who worked on any matter related to the subject of this contract and has an "ownership interest" constituting 3% or more of the ownership in the above named "firm". Name Consultant N/A NIA CERTIFICATE I certify that all information provided is true and correct as of the date of this statement, that I have not knowingly withheld disclosure of any information requested: and that supplemental statements will be promptly submitted to the City of Corpus Christi, Texas as changes occur. Certifying Person: Mossa Mostaghasi (Print) Signature of Certifying Person: Title: President Date: 1-22-16 1,..,,DEVELOPS,IENTSVi HARED I AND DEVELOPMI ,j1" ORDINANCE ADSI/t.ISTRAT10C APPLICATION FORMS FORMS AS PER LEGALV2011tDISCLOSURE OF INTERESTS Page 1 of 2 STATE\IENTI 27 t2 DOC Exhibit 6 DEFINITIONS a. "Board Member". A member of any board, commission or committee appointed by the City Council of the City of Corpus Christi, Texas. b. "Employee". Any person employed by the City of Corpus Christi, Texas, either on a full or part time basis, but not as an independent contractor. c. "Firm". Any entity operated for economic gain, whether professional, industrial or commercial and whether established to produce or deal with a product or service, including but not limited to, entities operated in the form of sole proprietorship, as self-employed person, partnership, corporation, joint stock company, joint venture, receivership or trust and entities which, for purposes of taxation, are treated as non-profit organizations. d. "Official". The Mayor, members of the City Council, City Manager, Deputy City Manager, Assistant City Managers, Department and Division Heads and Municipal Court Judges of the City of Corpus Christi, Texas. e. "Ownership Interest"_ Legal or equitable interest. whether actually or constructively held, in a firm, including when such interest is held through an agent, trust, estate or holding entity. "Constructively held" refers to holding or control established through voting trusts, proxies or special terms of venture or partnership agreements. f. "Consultant". Any person or firm, such as engineers and architects, hired by the City of Corpus Christi for the purpose of professional consultation and recommendation. K.IDEVELOPMENTSVCS'SHAREDLLAND DEVELOPAIENTIORDINANCE ADMINISTRATIONIAPPLICATION FOR.%IS,FORMS AS PER LEGAL12OI21DISCLOSLIRE OF INTERESTS STATEMENTI 27 12 DOC Pa e 2 of 2 Exhibit 6 9 Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.1021 CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1 - 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-77046 Date Filed: 06/27/2016 Date Acknowledged: 1 - Name of business entity filing form, and the city, state and country of the business entity's place of business. MPM Development, LP Corpus Christi, TX United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi Development Services 3 Provide the identification number used by the governmental entity or state agency to track or identity the contract, and provide a description of the services, goods, or other property to be provided under the contract. Parkview Unit 2 Water Reimbursement 4 Name of Interested Party City,State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary 5 Check if is NO Interested Party. only there X 6 AFFIDAVIT I swear, or affirm, under penalty of perjury, that the above disclosure is true and correct. Signature of authorized agent of contracting business entity w AFFIX NOTARY STAMP / SEAL ABOVE { , , Sworn to and subscribed before me, by the . `` lM -L � D "� I��, this the day of 20 , to certify which, witness my h:. d 4an a oo w _ — _ BUENO #1178588.3 ry Public ' OF TEXAS EXP. 1 1- i . 4.0,:`, •. n ;p.n, CINDY � �•r ID , `V F - ` Notary `.-.7=,.........;�; STATE q t'FTF,,. My Comm. Signature of officer administering oath Printed name + o c— . • • oath Title of officer administering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0.1021 Vicinity Map VICINITY MAP PARKVIEW UNIT 2 o -I i PARKVIEW UNIT 2 1 Aerial Overview AERIAL OVERVIEW PARKVIEW UNIT 2 t N Aerial AERIAL MAP PARKVIEW UNIT 2 3 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 13, 2016 Action Item for the City Council Meeting of December 20, 2016 DATE: TO: November 29, 2016 Margie C. Rose, City Manager FROM: Stacie Talbert Anaya, Interim Director, Parks and Recreation Department StacieT@cctexas.com 361-826-3464 Resolution of support for 2019 Texas Recreation and Park Society (TRAPS) Annual Institute Bid with event to be held February 26, 2019 through March 1, 2019 CAPTION: Resolution of the City of Corpus Christi, Texas dedicating resources to support the bid for the 2019 Texas Recreation and Park Society Institute and Expo. PURPOSE: To provide support for a bid to host the 2019 TRAPS Annual Institute and Expo in Corpus Christi, Texas. The Department will request Hotel Occupancy Tax funds during the FY19 budget process in support of this bid. BACKGROUND AND FINDINGS: The Texas Recreation and Park Society (TRAPS) is an educational non-profit 501(c)3 organization of parks, recreation and leisure service providers in the State of Texas. The TRAPS mission is to provide professional development, advocacy and resources to all who enhance the quality of life through parks, open spaces and recreation. The TRAPS Board of Directors and Institute Site Selection Task Force will be considering bids for the 2019 TRAPS Institute and Expo next summer. The Institute averages between 800-1,200 attendees, including approximately 600-900 delegates, speakers and volunteers; and an average of 225 exhibitors who meet annually to interact, network and learn about trends, new products and services. The economic impact to a community ranges from $250,000 to $500,000. The Corpus Christi Convention and Visitors Bureau (CVB) and Corpus Christi Parks and Recreation Department (PARD) will work together to identify a host hotel, coordinate training and exhibit space, meeting and hotel rooms and associated networking socials. This conference has most recently been held in Abilene and Galveston. The 2017 conference will be held in Irving, Texas. Corpus Christi hosted the conference in 2014 and reviews were very good. Over 1,260 delegates attend the conference and the estimated economic impact to the community was in excess of $300,000. ALTERNATIVES: Do not approve the resolution and cancel bid submission to host the event. OTHER CONSIDERATIONS: None CONFORMITY TO CITY POLICY: Council resolution of support required for conference bid submissions. EMERGENCY / NON -EMERGENCY: Non -emergency DEPARTMENTAL CLEARANCES: Legal, Finance FINANCIAL IMPACT: ❑ Operating Revenue ❑ Capital X Not applicable Fiscal Year: 2018- 2019 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered/ Expended Amount This item BALANCE Fund(s): Hotel Occupancy Tax Funds (FY19) Comments: None RECOMMENDATION: Staff recommends approval of this resolution LIST OF SUPPORTING DOCUMENTS: Resolution Resolution of the City of Corpus Christi, Texas dedicating resources to support the bid for the 2019 Texas Recreation and Park Society Institute and Expo WHEREAS, the City of Corpus Christi, acting through its Parks and Recreation Department, is authorized to submit a bid with the Corpus Christi Convention and Visitors Bureau to host the 2019 Texas Recreation and Park Society (TRAPS) Annual Institute and Expo, and WHEREAS, the City of Corpus Christi, Texas acknowledges the criteria and requirements specified in the site selection criteria for bid to host the Annual TRAPS Institute; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: Section 1. That the City Council for the City of Corpus Christi, Texas endorses the bid submission to host the 2019 Texas Recreation and Park Society (TRAPS) in Corpus Christi, Texas and is committed to providing the necessary resources to perform all functions consistent with the bid to host the 2019 Texas Recreation and Park Society Annual Institute and Expo in Corpus Christi, Texas. Section 2. This Resolution shall be and become effective immediately upon and after its adoption and approval. PASSED AND APPROVED this the day of 2016. ATTEST: CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary Dan McQueen Mayor Corpus Christi, Texas of The above resolution was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn AGENDA MEMORANDUM Emergency Action Item for the City Council Meeting of December 20, 2016 DATE: TO: Margie C. Rose, City Manager December 15, 2016 THRU: Annette Rodriguez, Director of Public Health Annetter@cctexas.com 361.826.7205 FROM: William Milan Uhlarik, M.B.A., A.R.M., Assistant Director of Public Health Williamu2@cctexas.com 361.826.1348 Ordinance approving the Intergovernmental Transfer (IGT) and appropriation of funds for the Texas Medicaid Managed Care Initiative 1115 Waiver — Childhood Healthy Weight Obesity Project for the period October 1, 2015 through September 30, 2016. CAPTION: Ordinance authorizing the advance of up to $482,992.80 from the No. 1046 Health Medicaid Waiver Fund to the Texas Health and Human Services Commission (TXHHSC) and in turn the Centers for Medicare and Medicaid Services (CMS) for the City's local match for City projects under the Corpus Christi - Nueces County Public Health District's (CCNCPHD) 1115 Transformation Waiver; funds to be repaid from the CMS by January 31, 2017; Additionally, authorizing the City Manager, or designee, to execute all documents necessary to accept and appropriate the award fund upon receipt in the amount of approximately $1,102,220.00 from CMS and the TXHHSC to implement a program to reduce and prevent obesity in children and adolescents for the period of October 1, 2015 through September 30, 2016; to ratify acceptance of the award fund to begin as of October 1, 2015; and declaring an emergency. PURPOSE: The program allowed the CCNCPHD to implement the MEND ("M -Mind, E- Exercise, N -Nutrition, D -Do It!") Program. MEND was a community based childhood obesity prevention program that addressed the obesity epidemic among children in our region by applying an internationally recognized, evidence -based method for supporting and coaching underserved, minority, and other families to achieve better nutrition and physical activity habits. This is the final payment for the 5 year project approved by CMS. Funds are received after the goals for the program are reached. BACKGROUND AND FINDINGS: CMS approved the State's request for a new Medicaid demonstration waiver entitled "Texas Healthcare Transformation and Quality Improvement Program" in accordance with section 1115 of the Social Security Act. Texas Medicaid Managed Care Initiative also referred to as the "1115 Waiver". This waiver authorizes Texas to establish a Delivery System Reform Incentive Payments (DSRIP) program. Initiatives under the DSRIP program are designed to provide incentive payments to hospitals, public health departments, behavioral health centers, as well as, other eligible providers, to invest in delivery system reforms that increase access to health care, improve the quality of care, and enhance the health of patients and families they serve. ALTERNATIVES: Not to accept funds for which the CCNCPHD has already provided services. OTHER CONSIDERATIONS: None FINANCIAL IMPACT: • •Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2017 Project to Date Expenditures (CIP only) Current Year Amended Budget Future Years TOTALS Line Item Budget 0 0 Expended Amount 0 0 This item 1,102,220.00 1,102,220.00 BALANCE 1,102,220.00 1,102,220.00 Fund(s): 1046 Health Medicaid Waiver Fund Comments: The Intergovernmental Transfer (IGT) requires approximately a 40%/60% ratio in order to receive DSRIP funds. This finalizes the MEND's 5 -year project. RECOMMENDATION: Staff recommends approval of this agenda item. CONFORMITY TO CITY POLICY: Council approval required for acceptance and appropriation of "1115 Waiver" DSRIP funds. EMERGENCY / NON -EMERGENCY: Emergency. Payment is needed by the first week in January 2017. This will be the finalization of the MEND 5 -year project. DEPARTMENTAL CLEARANCES: Corpus Christi-Nueces County Public Health District City Attorney's Office Financial Services Department - Federal Grants Division Office of Management and Budget. LIST OF SUPPORTING DOCUMENTS: Ordinance Ordinance authorizing the advance of up to $482,992.80 from the No. 1046 Health Medicaid Waiver Fund to the Texas Health and Human Services Commission (TXHHSC) and in turn the Centers for Medicare and Medicaid Services (CMS) for the City's local match for City projects under the Corpus Christi - Nueces County Public Health District's (CCNCPHD) 1115 Transformation Waiver; funds to be repaid from the CMS by January 31, 2017; Additionally, authorizing the City Manager, or designee, to execute all documents necessary to accept and appropriate the award fund upon receipt in the amount of approximately $1,102,220.00 from CMS and the TXHHSC to implement a program to reduce and prevent obesity in children and adolescents for the period of October 1, 2015 through September 30, 2016; to ratify acceptance of the award fund to begin as of October 1, 2015; and declaring an emergency. Be it ordained by the City Council of the City of Corpus Christi, Texas: Section 1. That an advance is authorized to be made up to $482,992.80 from the No. 1046 Health Medicaid Waiver Fund to the TX HHSC and in turn the CMS for the City's local match for City projects under the CCNCPHD's 1115 Transformation Waiver; funds to be repaid from the CMS by January 31, 2017; and Section 2. Additionally, the City Manager, or designee, is authorized to execute all documents necessary to accept and appropriate the award fund upon receipt in the amount of approximately $1,102,220.00, from CMS and the TXHHSC to implement a program to reduce and prevent obesity in children and adolescents for the period of October 1, 2015 through September 30, 2016; and to ratify acceptance of the award fund to begin as of October 1, 2015. Section 3. Upon the written request of the Mayor or five Council members, copy attached, the City Council: (1) finds and declares an emergency due to the need for immediate action necessary for the efficient and effective administration of City affairs, and (2) suspends the Charter rule that requires consideration of and voting upon ordinances at two regular meetings so that this ordinance is passed and takes effect upon first reading as an emergency measure on this the 20th day of December, 2016. ATTEST: CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary Corpus Christi, Texas Day of Dan McQueen Mayor TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance an emergency exists requiring suspension of the Charter rule as to consideration and voting upon ordinances at two regular meetings: I/we, therefore, request that you suspend said Charter rule and pass this ordinance finally on the date it is introduced, or at the present meeting of the City Council. Respectfully, Respectfully, Council Members Dan McQueen Mayor The above ordinance was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn AGENDA MEMORANDUM Public Hearing and First Reading for the City Council Meeting of December 13, 2016 Second Reading for the City Council Meeting of December 20, 2016 DATE: October 27, 2016 TO: Margie C. Rose, City Manager FROM: Daniel McGinn, Interim Director, Development Services Department DanielMc@cctexas.com (361) 826-3595 Street Closure for a portion of Airline Road, located south of Lipes Boulevard and north of President's Drive and west of Rodd Field Road. CAPTION: Ordinance closing, vacating, and abandoning a previously developed and surfaced 67,693 -square foot (1.55 acres) portion of a public right-of-way, as shown on the recorded plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68, Pages 392 and 393, Map Records of Nueces County, Texas, and requiring the abutting owners to comply with specified conditions; and providing an effective date. PURPOSE: The purpose of this item is to close, vacate, and abandon a portion of a public right-of-way that is owned by the City of Corpus Christi that is no longer needed by the City of Corpus Christi and the properties to be vacated to be returned to the abutting owners. BACKGROUND AND FINDINGS: City of Corpus Christi (Owner) is requesting the closure, vacation, and abandonment of a previously developed and surfaced 67,693 -square foot portion (1.55 acres) of a public right-of-way, dedicated by Plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68, Pages 392 and 393, Map records of Nueces County, Texas. The closure, vacation and abandonment of a previously developed public street right-of-way is being requested by City staff. City staff recommends that payment of the fair market value be waived because City Code, Sec. 49-12, (c)(4) of which the City Code of Ordinances eliminates payment of the fair market value when an abandoned street is initiated by the City, as it is in this case. The abutting Owners have been advised of and concur with the conditions of the public street right-of-way closure, vacation and abandonment ordinance. ALTERNATIVES: Denial of the street closure. This will force the city to continue mowing and maintaining the area in question which doesn't serve any purpose due to the new relocated Airline Road where it meets Rodd Field Road. OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: The conditions of the ordinance are in compliance with City of Corpus Christi, Code of Ordinances §49-12 (a), as amended and approved on July 13, 2004, by Ordinance No. 025816. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: None of the City departments and franchised utility companies have objection to the proposed public right-of-way abandonment as long as a Utility Easement is maintained over the entire vacated and abandoned area. FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital • •Not applicable Fiscal Year: 2016- 2017 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE Fund(s): Comments: None RECOMMENDATION: Staff recommends approval of the ordinance. Owners must comply with the following conditions: a. A Utility Easement is maintained over the entire vacated and abandoned area. b. The Maintenance responsibilities including mowing for the abandoned and vacated area reverts to the abutting owners. c. Failure to comply with all the conditions outlined in this Ordinance will hereby make the Ordinance null and void. LIST OF SUPPORTING DOCUMENTS: Ordinance with Exhibits Aerial Maps Ordinance closing, vacating, and abandoning a previously developed and surfaced 67,693 -square foot (1.55 acres) portion of a public right-of-way, as shown on the recorded plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68, Pages 392 and 393, Map Records of Nueces County, Texas, and requiring the abutting owners to comply with specified conditions; and providing an effective date. WHEREAS, the City of Corpus Christi is initiating the closure, vacation, and abandonment of a previously developed and surfaced 67,693 -square foot portion (1.55 acres) of a public right-of-way, dedicated by Plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68, Pages 392 and 393, Map Records of Nueces County, Texas; WHEREAS, with proper notice to the public, a public hearing was held on Tuesday, December 13, 2016, during a meeting of the City Council, during which all interested parties and citizens were allowed to appear and be heard; WHEREAS, no payment of the fair market value will be required for the City initiated closure; WHEREAS, upon approval by the City Council and issuance of the ordinance, all grants of streets closures will be recorded at the City's expense in the real property Official Deed and Map Records of Nueces County, Texas, in which the subject portion of the property is located, with a copy of the recording retained by the City; and WHEREAS, it has been determined that it is feasible and advantageous to the City of Corpus Christi to close, vacate, and abandon the subject portion of the previously developed and surfaced 67,693 -square foot portion (1.55 acres) of a public right-of-way, dedicated by Plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68, Pages 392 and 393, Map Records of Nueces County, Texas, subject to compliance by the abutting Owners with the conditions specified in this ordinance; BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. Pursuant to Article X, §1(a) (11) of the City Charter, the previously developed and surfaced 67,693 -square foot portion (1.55 acres) of a public right-of-way, dedicated by Plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68, Pages 392 and 393, Map records of Nueces County, Texas is closed, abandoned and vacated by the City of Corpus Christi ("City"), subject to the abutting Owners compliance with the conditions specified in Section 2 of this ordinance. Exhibit "Al" and Exhibit "A2" which is the metes and bounds description of the subject portion, Exhibit "B1" and Exhibit "B2" which is the graphical representation for the metes and bounds description, and Exhibit "C," which is the location map, are attached to and incorporated in this ordinance by reference as if each were fully set out herein in their entireties. SECTION 2. The closure, abandonment and vacation of the public street right-of-way described in Section 1 of this ordinance is expressly conditioned upon the abutting Owners compliance with the following requirements: a. A Utility Easement is maintained over the entire vacated and abandoned area. b. The Maintenance responsibilities including mowing for the abandoned and vacated area reverts to the abutting owners. c. Failure to comply with all the conditions outlined in this Ordinance will hereby make the Ordinance null and void. SECTION 3. This ordinance takes effect upon adoption. That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb That the foregoing ordinance was read for the second time and passed finally on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb PASSED AND APPROVED on this the day of , 2016. ATTEST: Rebecca Huerta Dan McQueen City Secretary Mayor Exhibit A-1 E9- Development Services Airline Road — Street Closure STATE OF TEXAS COUNTY OF NUECES BEING a tract of land containing 29,513 square feet (0.68 acres) of land out of Lots 2, 3 and 4, Block 1, Brighton Park Addition No. 2, a map of which is recorded in Volume 68, Page 568, Map Records of Nueces County, Texas and being a portion of Airline Road located between the south boundary of !Apes Boulevard and the north boundary of President's Drive, as shown on the recorded plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68, Pages 392 and 393, Map Records of Nueces County, Texas. This 29,513 square foot tract being more fully described by metes and bounds as follows: Commencing at the intersection of the existing south boundary of Lipes Boulevard with the existing west boundary of said Airline Road, same being the east boundary of said Manhattan Estates Unit 6, for the northeast corner (no monumentation found or set) of said Lot 1, Block 4, said Manhattan Estates Unit 6, from which corner a found 5/8 inch iron found bears South 61°18'29" East, a distance of 0.22 feet; Thence, South 02°06'11" West, along the existing west boundary of Airline Road, same being the east boundary of said Manhattan Estates Unit 6, a distance of 32.18 feet and thence South 61°13'05" East, a distance of 33.57 feet for the Point of Beginning and the northwest corner (no monumentation found or set) of this tract and for the northwest corner of Block i, Brighton Park Addition No. 2, a map of which is recorded in Volume 68, Page 568, Map Records of Nueces County, Texas; Thence, with the westerly projection of the existing south boundary of re-routed Airline Road, parallel with its centerline and 42.50 feet distant there from, South 61°13'05" East, a distance of 33.57 feet to the east boundary of said Airline Road for the northeast corner (no monumentation found or set) of this tract; Thence, with the east boundary of said Airline Road, same being the east boundary of this tract, South 02°06' 11" West, a distance of 976.23 feet to a 5/8 inch iron rod found for the southeast corner of this tract; Thence, with the southerly boundary of this tract, North 87°53'49" West, a distance of 30.00 feet to the centerline of said Airline Road for the southwest corner (no monumentation found or set) of this tract; Thence, North 02°06'11" East, with the centerline of said Airline Road and the west boundary of this tract, at 1.06 feet pass a nail and disc found in the centerline of said Airline Road, in all a total distance of 991.90 feet to the Point of Beginning and containing 29,513 square feet (0.68 acres) of land. Bearings shown are based on the west boundary of Brighton Park Addition No. 2 (Volume 68, Page 568, Map Records of Nueces County, Texas) as monumented on the ground and shown as North 02°06'11" West on said recorded plat of Brighton Park Addition No. 2. STATE OF TEXAS COUNTY OF NUECES 1, Russell D. Ochs, a Registered Professional Land Surveyor, hereby certi1 that the foregoing field notes were prepared by me from a land survey made on the ground under my supervision. CO•Plc. E . This the 6th day of October, 2016 wvisK o, Russell D. Ochs, R.P.L.S. State of Texas License No. 5241 K 1Engineering\Survey\PROJECTSUN-F 9 -DEV SERVICES -AIRLINE ROAD CLOSU ROAD CLOSURE-2015-FNA-1.docx RUSSELL D. OCAS y N _A 90 5241 ; Ess10. SUR 5Winal Documents\JN-E9-DEV SERVICES AIRLINE Page 1ori ebsdect, �C4's 344 "POINT OF COMMENCEMENT" 96E DETAH "A' S 0706'11" W 32.18' "POINT OF BEGINNING" S 61'13'05" E 33.57' 5 61'13'05" E 33.57' LOT 2, BLOCK 1 BRIGHTON PARK ADDITION VOL. 68, PGS. 394-395, MRNCT W r P 0 *43 AScr�4 SR diff (SO. ` \ �.ry.G. �.,�,I ARE BASED ON B 1N SHO* 8ASED THE WEST BOUNDARY OF BRIGHTON PARK ADDITION NO.2 (UL 68, PG. 568, M.R.N.C.T.) AS MONUMENTED ON THE GROUND AND SHOWN AS NORTH 0706'11" WEST ON SAID RECORDED PLAT OF BRIGHTON PARK ADD/T?ON NO.2 MAP TO ACCOMPANY FJELDNOTES A tract of land containing 29,513 square feet (0.68 acres) of land out of lots 2, 3 end 4, Block 1, Brighton Park Addition No. 2, a map of which is recorded in Volume 68, Page 588, Map Records of Nueces County, Texas end being a portion of Airline Road located between the south boundary of Lipes Boulevard and the north boundary of President's Drive, as shown on the recorded plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68. Pages 392 and 393, Map Records of Humes County, Texas. POB - POINT OF BEGINNING POC - POINT OF COMMENCEMENT NMFS - NO MONUMENTATION FOUND OR SET MRNCT - MAP RECORDS OF NUECES COUNTY. 1EXAS OPRNCT - OFFICIAL PUBLIC RECORDS OF NUECES COUNTY. TEXAS I.R. - IRON ROD U.E. - UTILITY EASEMENT 200 400 600 — - - IRE - EXHIBIT B-1 4IrfI CITY of CORPUS CHRISTI, TEXAS Engineering Services Survey Division 361-826-3551 ' Date: 70/5/2016 Checked 8y: ROION I sitar 1 OF I Drown By: JJS Project E9 -DEV SERVICES-AlRUNE ROAD -CLOSURE K1&rapine«irwlsw+eyIPRDJfCTSAJN-E1-ALV ,SEAwcE5-MILMIE Raw CLOSURE -201A JN -E9 -DEV SERVICES -A LNYE ROAD cLOSUiE 201...dep Exhibit A-2 E9- Development Services Airline Road — Street Closure STATE OF TEXAS COUNTY OF NUECES BEING a tract of land containing 38,180 square feet (0.88 acres) of land and being a portion of Airline Road located between the south boundary of I;.ipes Boulevard and the north boundary of President's Drive, as shown on the recorded plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 68, Pages 392 and 393, Map Records of Nueces County, Texas. This 38,180 square foot tract being more fully described by metes and bounds as follows: Commencing at the intersection of the existing south boundary of Lipes Boulevard with the existing west boundary of said Airline Road, same being the east boundary of said Manhattan Estates Unit 6, for the northeast corner (no monumentation found or set) of said Lot 1, Block 4, said Manhattan Estates Unit 6, from which corner a found 5/8 inch iron found bears South 6i '18'29" East, a distance of 0.22 feet; Thence, South 02°06'11" West, along the existing west boundary of Airline Road, same being the east boundary of said Manhattan Estates Unit 6, a distance of 32.18 feet for the Point of Beginning and the northwest corner (no monumentation found or set) of this tract; Thence, with the westerly projection of the existing south boundary of re-routed Airline Road, parallel with its centerline and 42.50 feet distant there from, South 61°13'05" East, a distance of 33.57 feet to the centerline of said Airline Road for the northeast corner (no monumentation found or set) of this tract and for the northwest corner of Block 1, Brighton Park Addition No. 2, a map of which is recorded in Volume 68, Page 568, Map Records of Nueces County, Texas; Thence, with the centerline of said Airline Road, same being the east boundary of this tract, and the west boundary of said Brighton Park Addition No. 2, South 02°06'11" West, a distance of 1265.12 feet for the southeast corner (no monumentation found or set) of this tract; Thence, with the south boundary of this tract, North 87°53'49" West, a distance of 30.00 feet to the west boundary of said Airline Road, same being the east boundary of Manhattan Estates Unit 6, to a 5/8 inch iron rod with a Bass & Welsh cap found for a corner of Lot 19, Block 2, said Manhattan Estates Unit 6 and for the southwest comer of this tract; Thence, with the east boundary of said Manhattan Estates Unit 6, same being west boundary of said Airline Road and of this tract, North 02°06' 11" East, a distance of 1280.19 feet to the Point of Beginning and containing 38,180 square feet (0.88 acres) of land. Bearings shown are based on the west boundary of Brighton Park Addition No. 2 (Volume 68, Page 568, Map Records of Nueces County, Texas) as monumented on the ground and shown as North 02°06'11" West on said recorded plat of Brighton Park Addition No. 2. STATE OF TEXAS COUNTY OF NUECES I, Russell D. Ochs, a Registered Professional Land Surve or, hereby certify that the foregoing field notes were prepared by me from a land survey made on the ground under my s This the 6th day of October, 2016 Jul ,AA &. o,k Russell D. Ochs, R.P.L.S. State of Texas License No. 5241 K:lEngineering\Survey\PROJECTSVN-E9-DEV SERVICES-AIRL CLOSURE-20151FnaI DocumentsUN-E9-DEV SERVICES -AIRLINE ROAD CLOSURE-2015-FN-A-2.docx Page 1 of 1 ekr 664 'POINT OF COMMENCEMENT" SEE DETAIL -A- S 02'06'11" W 32.18' 'P01NT OF BEGINNING- S " E 33..5757'' LOT 2. BLOCK 1 BRIGHTON PARK ADDITION VOL 68, PGS. 394-395, MRNCT z SD Q 0 0 azoor (so. 44, r BEARINGS SHOWN ARE BASED ON THE WEST BOUNDARY OF BRIGHTON PARK ADDn7ON N0.2 (VOL. 68 PG 568, M.R.N.C.T.) AS MONUMENTED ON THE GROUND AND SHOWN AS NORTH 0706'11" WEST ON SAID RECORDED PLAT OF BRIGHTON PARK ADDITION N0.2 FD. 5,er 1. CAP w' 0 MAP TO ACCOMPANY FIELDNOTES A tract of land containing 38,180 square feet (0.88 acres) of land and being a portion of Airline Road located between the south boundary of Lipes Boulevard and the north boundary of President's Drive, as shown on the recorded plat of Manhattan Estates Unit 6, a map of which is recorded in Volume 88, Pages 392 and 393, Map Records of Nueces County, Texas P06 = POINT OF BEGINNING POC = POINT OF COMMENCEMENT NMFS = NO MONUMENTATION FOUND OR SET MRNCT - MAP RECORDS OF NUECES COUNTY, TEXAS OPRNCT = OFFICIAL PUBLIC RECORDS OF NUECES COUNTY, TEXAS I.R. = IRON ROD U.E. = UT1UTY EASEMENT 200 400 600 S — — EXHIBIT B-2 n 4;411 CITY of CORPUS CHRISTI. TEXAS Engineering Services Survey Division 361-826-3551 Data 10/5/2016 Checked 9y: RO\ON I SHEET 1 of 1 Dn m 9y: JJS Project E9 -DEV SERVICES -MUNE ROAD -CLOSURE Kl l rl l -ED-DEV SERVICES- UME ROOD cLOSr 20151 JN-1:9-0EV SERVICES A1RLOVE ROAD CLOSURE-2015.dwp EXHIBIT "C" AERIAL MAP AERIAL OVERVIEW AIRLINE ROAD 1 N AERIAL MAP STREET CLOSURE 1852 MEMORANDUM INFORMAL STAFF REPORT To: Margie C. Rose, City Manager }& Thru: Mark Van Vleck, P.E., Assistant City Manager /A G' /J From: Julio Dimas, CFM,Interim Director of Development Service Date: December 15, 2016 Subject: Property Value for Airline Rd.closure Issue / Problem: During the December 13, 2016 City Council meeting, Development Services presented an item proposing the closure of an existing portion of a right of way (ROW) of the old Airline Rd. portion that is no longer in use as a road. Staff recommended that payment to the adjacent property owners be waived because it was a City initiated closure and the City has no practical use of the old ROW. Some Council Members requested that Development Services look into the value of the land and present that to them on the second reading. Backaround and Findinas: In researching the property, it has been determined that the City acquired that land only as an easement via a dedication and not as a fee simple acquisition. The total area of the proposed closure is approximately 1.55 acres. The dimensions of the ROW is approximately 60 ft. wide and approximately 1000 ft. long. Since there are some utilities inside the proposed closure, the City will retain the entire width and length of the property, a Utility Easement for future access and maintenance of the utilities. Conclusion: After a comparison of the adjacent property values, based on Nueces County Appraisal District values, the estimated value of the property is approximately $500,000. However, due to the fact that the ROW was acquired by easement and not fee simple, the City cannot sell the land. AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of December 20, 2016 Second Reading Ordinance for the City Council Meeting of January 10, 2017 DATE: December 1, 2016 TO: Margie C. Rose, City Manager FROM: Robert Rocha, Fire Chief rrocha@cctexas.com (361) 826-3932 Acceptance of a grant from the Coastal Bend Regional Advisory Council in the amount of $2,831.00 to support the Emergency Medical Services (EMS) operation. CAPTION: Ordinance authorizing the City Manager or designee to accept a grant from the Coastal Bend Regional Advisory Council in the amount of $2,831; and appropriating $2,831 from the Coastal Bend Regional Advisory Council into the No. 1056 Ambulance Grant Fund to purchase supplies to support the delivery of emergency medical services for the Corpus Christi Fire Department. PURPOSE: The Coastal Bend Regional Advisory Council on Trauma (CBRAC) has forwarded to the City a check as a grant in the amount of $2,831.00. This is a direct grant for the benefit of the City's Emergency Medical Service (EMS) operations. No application was required. With these grant funds the EMS Division will purchase Ferno Adult Traction Splints, EZ -10 needles and two Scoop Stretchers. This is the sixteenth year the Coastal Bend Regional Advisory Council has distributed similar grants. These funds originated from the Texas Department of State Health Services and are routed to the Coastal Regional Advisory Council for distribution. Every Emergency Medical Services agency within the twelve county Coastal Bend who is actively participating in the CBRAC is eligible to receive a portion of these monies. The amount of funding to be received by each agency is based on the number of trauma emergencies the agency responds to on an annual basis. BACKGROUND AND FINDINGS: None ALTERNATIVES: If we don't accept the grant, we will have to seek alternative funding. OTHER CONSIDERATIONS: None CONFORMITY TO CITY POLICY: Council approval of ordinance to accept and appropriate grant funds. EMERGENCY / NON -EMERGENCY: Staff is requesting a non -emergency reading to this routine, non -controversial item. DEPARTMENTAL CLEARANCES: Legal Finance — Grants and Office of Management and Budget FINANCIAL IMPACT: X Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016-2017 Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item $2,831.00 $2,831.00 BALANCE $2,831.00 $2,831.00 Fund(s Comments: None RECOMMENDATION: Staff recommends approval of this ordinance to execute all documents necessary to accept the grant and appropriate the funds in the amount of $2,831.00 LIST OF SUPPORTING DOCUMENTS: 1) Ordinance 2) Award Letter Ordinance Authorizing the City Manager or designee to accept a grant from the Coastal Bend Regional Advisory Council in the amount of $2,831; and appropriating $2,831 from the Coastal Bend Regional Advisory Council into the No. 1056 Ambulance Grant Fund to purchase supplies to support the delivery of emergency medical services for the Corpus Christi Fire Department BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. The City Manager or designee is authorized to accept a grant from the Coastal Bend Regional Advisory Council in the amount of $2,831. SECTION 2. That $2,831 is appropriated in the No. 1056 Ambulance Grant Fund to purchase supplies to support the delivery of emergency medical services for the Corpus Christi Fire Department. 1 That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 201_, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb That the foregoing ordinance was read for the second time and passed finally on this the day of , 20 _, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb PASSED AND APPROVED, this the day of , 20_ ATTEST: Rebecca Huerta City Secretary Dan McQueen Mayor 2 Coastal Bend Regional Advisory Council (CBRAC) Trauma Service Area U (TSA -U) P.O. Box 18460, Corpus Christi, TX, 78480 361-939-7177 phone 361-939-7117 fax www.cbrac.org October 27, 2016 Battalion Chief Brandon Stowers Corpus Christi Fire Department 2406 Leopard Street Suite 200 Corpus Christi TX 78408 Dear Chief Stowers, This letter is an explanation of the EMS/COUNTY EMS -County Assistance program otherwise known as the EMS County Grant. Funds come from the Department of State Health Services and are distributed through the regional RAC/TSA. Locally it is Coastal Bend Regional Advisory Council/ TSA -U. These funds are to assist in the enhancement and delivery of patient care in each Trauma Service Area. These funds can only be used by eligible EMS providers for the following: supplies, operational expenses, education and training, Equipment, vehicles and/or communications systems. EMS eligibility is determined by these things: Trauma runs that are reported to the Office of EMS/Trauma Systems Coordination (OEMS/TS). Agency must be Texas licensed EMS Provider providing 911 and/or emergency transfer service in the TSA -U area. And eligibility is also based on participation in the CBRAC. This participation is outlined in the CBRAC bylaws located at 1%-m, .cbrac.ol g. CCFD fulfilled all the requirements and has been awarded $2831.00 for FY 16 with contract dates 6/15/2016 to 8/31/2017. Sincerely, .144 hirlee Tomlin on, Executive Assistant CBRAC, EMTF-ii shirlee6Debrac.org CBRAC isa 501(c}(3) non -pm lit organization with an office located at 725 Elizabeth Street, Suite 4. Corpus Christi. TX. 78404 AGENDA MEMORANDUM First Reading of Ordinance for the City Council Meeting of December 20, 2016 Second Reading of Ordinance for the City Council Meeting of January 10, 2017 DATE: December 1, 2016 TO: Margie C. Rose, City Manager FROM: Robert Rocha, Fire Chief rrocha@cctexas.com (361) 826-3932 Acceptance of a check from Koch Companies Public Sector, LLC in the amount of $10,000.00 as a donation from their 2016 Helping Heroes Grant Program. CAPTION: Ordinance authorizing the City Manager or designee to accept a grant from Koch Companies Public Sector, LLC 2016 Helping Heroes Grant Program in the amount of $10,000.00 to be used to purchase a hydrofluoric acid monitor, a hazmat training simulator and a MagPatch system; and appropriating $10,000.00 from Koch Companies Public Sector; LLC into the Fire Grant Fund No. 1062. PURPOSE: Koch Companies Public Sector, LLC has forwarded to the Corpus Christi Fire Department a check in the amount of $10,000.00 as a grant from their Helping Heroes Grant Program. The funds are to be used to purchase a Hydrofluoric Acid Monitor; a HazSim Training Simulator which replicates a live incident during training by simulating air monitoring readings; and a MagPatch System which temporarily patches ruptured containers of hazardous materials. No application was required. BACKGROUND AND FINDINGS: None ALTERNATIVES: If we don't accept the grant, we will have to seek alternative funding. OTHER CONSIDERATIONS: None CONFORMITY TO CITY POLICY: Council approval of ordinance to accept and appropriate grant funds. EMERGENCY / NON -EMERGENCY: Staff is requesting a non -emergency reading to this routine, non -controversial item. DEPARTMENTAL CLEARANCES: Legal Finance — Grants and Office of Management and Budget FINANCIAL IMPACT: X Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2016-2017 Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item $10,000.00 $10,000.00 BALANCE $10,000,00 $10,000.00 Fund(s): Fire Grant Fund Comments: None RECOMMENDATION: Staff recommends approval of this ordinance to execute all documents necessary to accept the grant and appropriate the funds in the amount of $10,000.00. LIST OF SUPPORTING DOCUMENTS: 1) Ordinance 2) Charitable Contribution Receipt Ordinance Authorizing the City Manager or designee to accept a grant from Koch Companies Public Sector, LLC 2016 Helping Heroes Grant Program in the amount of $10,000.00 to be used to purchase a hydrofluoric acid monitor, a hazmat training simulator and a MagPatch system; and appropriating $10,000.00 from Koch Companies Public Sector, LLC into the Fire Grant Fund No. 1062 BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. The City Manager or designee is authorized to accept a grant from Koch Companies Public Sector, LLC 2016 Helping Heroes Grant Program in the amount of $10,000.00 to be used to purchase a hydrofluoric acid monitor, a hazmat training simulator and a MagPatch system SECTION 2. That $10,000.00 from Koch Companies Public Sector, LLC is appropriated in the Fire Grant Fund No. 1062 to be used to purchase a hydrofluoric acid monitor, a hazmat training simulator and a MagPatch system. That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2016, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb That the foregoing ordinance was read for the second time and passed finally on this the day of , 2017, by the following vote: Dan McQueen Ben Molina Rudy Garza Lucy Rubio Paulette Guajardo Greg Smith Michael Hunter Carolyn Vaughn Joe McComb PASSED AND APPROVED, this the day of , 2017. ATTEST: Rebecca Huerta City Secretary Dan McQueen Mayor [t KOCH. KOCH COMPANIES PUBLIC SECTOR, LLC Legal, Government, Public Affairs CHARITABLE CONTRIBUTIONS RECEIPT Name of Organization: City of CC Fire Department Address: 2406 Leopard St, Ste 300 Corpus Christi, TX 78401 Type of Organization: 501 (c) 3 Public Charitable Amount Received: $10,000.00 Check # / Date: 101707 / 10-28-2016 Purpose of Contribution: 2016 Helping Heroes Grant HF Monitor, HazSim Training Simulator & MagPatch System Value of Goods Or Services Provided in Exchange For This Contribution: $ $0 (If the amount shown above differs from your records, please show corrected amount on this staieTnent) *This value will most often be $O unless goods or services were provided in exchange for the contribution. Examples include meals at a charity dinner, tickets for employees, etc. (As required by the United States Omnibus Budget Reconciliation Act of 1993, this is documentary evidence for any available federal income tax deductions for this contribution.) Signature aL4A14,15t Title r - Date 1l /c/16 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 20, 2016 Action Item for the City Council Meeting of January 10, 2017 DATE: November 10, 2016 TO: Margie C. Rose, City Manager FROM: Tom Tagliabue, Director, Intergovernmental Relations tomtag@cctexas.com 361.826.3850 RESOLUTION Adopting the City of Corpus Christi's State Legislative Agenda for the 85th Texas Legislature and the Federal Legislative Agenda for the 115th United States Congress. CAPTION: Resolution adopting the City of Corpus Christi's State Legislative Priorities for the 85th Texas Legislature and Federal Legislative Priorities for the 115h U.S. Congress. PURPOSE: The City Council regularly adopts a legislative agenda prior to a new state and federal legislative session convening. The resolution identifies the policy and appropriations priorities of the City Council for the 85th Regular Session of the Texas Legislature, which runs from January 10, 2017, until May 29, 2017, and the 115th United States Congress, which convenes on January 3, 2017 until January 3, 2019 (two annual sessions). BACKGROUND AND FINDINGS: The City's General State Legislative Policy (below) is used to guide the City's contract lobbyists and the Intergovernmental Relations Department in evaluating state and federal legislative proposals not covered by the City's specific legislative policy initiatives. General State Legislative Polio The City SUPPORTS legislation and/or The City OPPOSES legislation and/or administrative administrative actions that: actions that: Protect and enhance City revenues. Undermine the principle of home rule and local control by the City. Reduces or eliminates costs to the City. Results in the loss of revenue or negatively impacts potential revenue growth to the City. Supports local control. Diminishes the authority of cities to regulate and manage their growth and development. Protects policies previously established by City leadership through the Charter, ordinances, resolutions, and master plans. Nullifies or undermines the City's policies contained in existing provisions of the Charter, ordinances, resolutions, and master plans, unless such changes expand the City's ability to manage its own affairs. Provides increased educational opportunities and job creation/retention for the citizens of Corpus Christi and the Coastal Bend region through the Port of Corpus Christi authority, public schools, community colleges and universities Imposes unfunded mandates that requires any expenditures by the City unless all costs are fully reimbursed by the mandating governmental entity. The City's IGR Department identified three levels of importance on state legislative issues, which the City Council selects for each of the state appropriations or policy recommendations. ✓ Priority — means the City will actively pursue and support/oppose the policy, including, if necessary, seeking introduction and passage of legislation. This would include purely local Corpus Christi bills, as well as very important legislation of statewide application. ✓ Actively Support/Oppose — means the City will aggressively attempt to influence passage/defeat of a measure if it is introduced by some other entity. ✓ Endorse — means the City will make its support or opposition known, but will not actively pursue the issue. ALTERNATIVES: The Council can choose to: 1. Adopt the resolutions. 2. Not adopt the resolutions. 3. Make revisions to the resolutions. OTHER CONSIDERATIONS: Additional legislative priority items may be presented to Council in the future as topics and circumstances warrant. CONFORMITY TO CITY POLICY: n/a EMERGENCY / NON -EMERGENCY: Non -emergency DEPARTMENTAL CLEARANCES: (if applicable — list departments and/or boards and commissions that reviewed because they were impacted by action) FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital X Not applicable Fiscal Year: 2016-2017 Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE Fund(s): Comments: None RECOMMENDATION: Staff recommends adoption of the resolutions. LIST OF SUPPORTING DOCUMENTS: Resolution Presentation 115th Congress Federal Legislative Agenda 85th Legislative Session State Priorities Texas Municipal League Policy Recommendations Texas Recreation and Parks Legislative Priorities TCAP Legislative Agenda TSCPA Legislative Agenda UCCCofC Legislative Agenda 1-14 Federal Agenda 2017 -combined -congressional -calendar Resolution ###### Adopting the City of Corpus Christi's State Legislative Priorities for the 85th Texas Legislature and Federal Legislative Priorities for the 115h U.S. Congress WHEREAS, the 115th United States Congress will convene on January 3, 2017 for two annual sessions and is scheduled to adjourn on January 3, 2019; and WHEREAS, the City of Corpus Christi, its residents, businesses, industry, governments, agencies and institutions benefit significantly from federal programs and services provided in the community and are greatly impacted by congressional legislative activities; and WHEREAS, The City's Intergovernmental Relations (IGR) Department is responsible for monitoring state and federal governmental activities, developing legislative programs approved by City Council, managing the City's legislative consultant, and coordinating legislative activities with other public and private sector entities and municipal advocacy organizations; and WHEREAS, for many years, the City of Corpus Christi has contracted with Larry Meyers of Meyers & Associates, LLC, in Washington, D.C., to assist with monitoring and advocating the City's federal legislative policy agenda; and WHEREAS, it is necessary to provide guidance for the City's officers and representatives in conducting the City's legislative efforts and relations; and WHEREAS, to be successful, this ever -evolving business and policy environment requires close contact and constant communication with legislative leadership, external legislative consultants, municipal advocacy organizations, statewide municipal partners, community leadership, and community stakeholders; and WHEREAS, the City will communicate, collaborate and work supportively with the United States Conference of Mayors, the National League of Cities, the National Community Development Association, the Alliance for Interstate 69 Texas, the Interstate 14 Coalition, and any other like-minded municipally -based federal organizations to further mutual goals; and Now, therefore, be it resolved by the City Council of the City of Corpus Christi, Texas: SECTION 1. The City Council generally SUPPORTS federal legislation and/or administrative actions that: • Protect and enhance City revenues; • Reduce or eliminates costs to the City; • Furthers local control; Page 1 of 5 • Protects policies previously established by City leadership through Charter, ordinances, resolutions and master plans; and • Provides increased educational opportunities and job creation/retention for the citizens of Corpus Christi and the Coastal Bend region through the Port of Corpus Christi authority, public schools, community colleges and universities. SECTION 2. The City Council generally OPPOSES federal legislation and/or administrative actions that: • Undermine the principle of home rule and local control by the City; • Results in the loss of revenue or negatively impacts potential revenue growth to the City; • Diminishes the authority of cities to regulate and manage their growth and development; • Nullify or undermine the City's policies contained in existing provisions of the Charter, ordinances, resolutions, and master plans, unless such changes expand the City's ability to manage its own affairs; and • Imposes unfunded mandates that requires any expenditures by the City unless all costs are fully reimbursed by the mandating governmental entity. SECTION 3. The City Council adopts the following policy issues as its federal legislative agenda for the two annual sessions of the 115th Congress: A. PRIORITIES Prohibit the Department of Defense Site Clearinghouse from authorizing construction of a wind farm within a certain distance of a military installation if the proposed project interferes with the navigational radar and poses a threat to national security, pilot safety or public safety. Authorize City and Navy to exchange City -owned land in clear zones of Navy landing fields for Navy -owned land on State Highway 358. Support passage of a National Defense Authorization Act which provides a predictable budgetary structure and minimizes the uncertainty and indecision of sequestration. Eliminate the Production Tax Credit for wind farms within a certain distance of a military installation if the proposed project interferes with the navigational radar and poses a threat to national security, pilot safety or public safety and support legislation as proposed by U.S. Senator John Cornyn to achieve this goal. Support the Marketplace Fairness Act, which allows states to tax sales from out-of-state online vendors. Oppose legislation eliminating the tax exempt status of municipal bonds. Page 2 of 5 Support legislation directing federal agencies to classify all investment grade municipal securities as High Quality Liquid Assets. Support continued investment in the development of Interstate 69 and Marine Highway 69 as an international freight corridor providing strategic intermodal connections from the Texas -Mexico border and ultimately through eight states to the US -Canada border. Support restructuring the City's debt with the U.S. Bureau of Reclamation on the Choke Canyon Reservoir. B. ACTIVELY SUPPORT Support Water Quality Improvement Act advocated by the US Conference of Mayors' Water Council. Creates Integrated Planning Permit lasting a minimum of five years, but no more than 10 years. Clarifies definition of "attainable water quality" by mandating that it be both "technically achievable" and "economically affordable". Eases EPA enforcement penalties for cities that do integrated planning Prohibit the Army Corps of Engineers and the Environmental Protection Agency from redefining "waters of the United States", which expands the definition of which surface waters and wetlands are subject to the Clean Water Act's regulatory requirements and protection. Support reauthorization of the Water Resources Development Act to include authorization to widen and deepen the Corpus Christi Ship Channel. Support legislation to direct the National Cybersecurity and Communications Integration Center, at the Department of Homeland Security, to coordinate with State and local governments on securing their information systems. Support continued funding and oppose further cuts of Community Development Block Grants and HOME program through the U.S. Department of Housing and Urban Development. Support funding to prevent, prepare for, and respond to Zika virus, other vector-borne diseases, and related health outcomes. Prohibit the US Department of Agriculture from using funds, from any program, to support ethanol blender pumps. Support funding to continue investment in the development of Interstate 14 (the Gulf Coast Strategic Military Highway) to provide the energy production area of West Texas and the various Texas military facilities improved access to Corpus Christi and the Gulf Coast. Support amendment to add another segment from the Permian Basin to the Interstate 14 designation to better connect Corpus Christi to West Texas. Page 3 of 5 Oppose increases in overweight trucks on federal highways above the current 80,000 pounds limit. Support policies and legislation initiatives to protect and expand the military presence in Corpus Christi. Enact re -authorization of the Federal Aviation Administration to provide stability, predictability and reliability to airports, pilots, airlines, and the aviation industry. Support Immigration Reform legislation, which: creates a broad, humane and timely path to citizenship; supports local economic growth while protecting the rights and labor standards of all workers; upholds immigrants' due process rights and the rights of those seeking refuge, and offers robust local implementation and immigrant integration support SECTION 4. The City Council endorses the legislative priorities and recommendations of affiliate professional, trade, community and services organizations in which the City, its elected officials, and/or staff in their official capacity are members of or serve on the boards of directors, when those policy recommendations are aligned with the mission of the City and are not in conflict with a specific policy adopted by the City Council. Those entities may include, but are not limited to the United States Conference of Mayors, the National League of Cities, the National Community Development Association, the Alliance for Interstate 69 Texas, I-14 Gulf Coast Strategic Military Highway Coalition, Building America's Future, Association of Defense Communities, Army Aviation Association of America, the Coalition for Sustainable Flood Insurance, the United Corpus Christi Chamber of Commerce, the South Texas Military Facilities Task Force, the Corpus Christi Convention and Visitors Bureau, Del Mar College, Texas A&M University Corpus Christi, Workforce Solutions of the Coastal Bend, the Corpus Christi Housing Authority, and the Coastal Bend Council of Governments. SECTION 5. The Legislative Priorities remain in effect until amended by the City Council. SECTION 6. The City Manager is directed to distribute these Legislative Priorities to the local legislative delegation, legislative leadership, external legislative consultants, municipal advocacy organizations, federal municipal partners, community leadership, and community stakeholders to solicit their advice and support. This resolution takes effect upon City Council approval on this the day of , 2016. ATTEST: THE CITY OF CORPUS CHRISTI Rebecca Huerta Dan McQueen City Secretary Mayor Page 4 of 5 Corpus Christi, Texas of The above resolution was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn Page 5 of 5 Adopting Legislative Priorities 115th United States Congress And 85th Texas Legislature Council Presentation December 20, 2016 General Legislative Policy The City SUPPORTS legislation and/or The City OPPOSES legislation and/or administrative administrative actions that: actions that: Protect and enhance City revenues. Undermine the principle of home rule and local control by the City. Reduces or eliminates costs to the City. Results in the loss of revenue or negatively impacts potential revenue growth to the City. Supports local control. Diminishes the authority of cities to regulate and manage their growth and development. Protects policies previously established by City leadership through the Charter, ordinances, resolutions, and master plans. Nullifies or undermines the City's policies contained in existing provisions of the Charter, ordinances, resolutions, and master plans, unless such changes expand the City's ability to manage its own affairs. Provides increased educational opportunities and job creation/retention for the citizens of Corpus Christi and the Coastal Bend region through the Port of Corpus Christi authority, public schools, community colleges and universities Imposes unfunded mandates that requires any expenditures by the City unless all costs are fully reimbursed by the mandating governmental entity. Levels of Activity ✓ Priority - means the City will actively pursue and support/oppose the policy, including, if necessary, seeking introduction and passage of legislation. This would include purely local Corpus Christi bills, as well as very important legislation of statewide application. ✓ Actively Support/Oppose - means the City will aggressively attempt to influence passage/ defeat of a measure if it is introduced by some other entity • Endorse - means the City will make its support or opposition known, but will not actively pursue the issue. 3 Important Dates Key Dates Events 11/14/16 Pre -Filing of Bills Begins for 85th Regular Session 01/03/17 115th Congress Convenes, Washington, D.C. 01/10/17 85th Regular Session Texas Legislature Convenes, Austin, TX 01/20/17 New President/ Vice President Inaugurated, Washington, D.C. 02/08/17 Coastal Bend Day in Austin 03/10/17 Bill Filing Deadline for 85th Regular Session 05/29/17 85th Texas Legislature Adjourns Sine Die 06/18/17 Deadline for Governor to sign or veto bills Larry Meyers Meyers + Associates, LLC Washington, D.C. Contract Lobby Team Snapper Carr Focused Advocacy Austin, TX Brandon Aghamalian Focused Advocacy Austin, TX 5 Federal Agenda PRIORITY (8), including 2 proactive 3 Military Base Protection (2 proactive) 4 Tax 1 Transportation ACTIVELY SUPPORT (11) 3 Water, 3 Transportation, 1 Aviation, 1 Energy, 1 Cybersecurity, 1 CDBG, 1 Public Health State Agenda PRIORITY (12) 5 Municipal Governance 4 Military Base Protection 1 each — Higher Education, Windstorm, Streets ACTIVELY SUPPORT (11) 5 Transportation 1 each - Public Health, Cybersecurity, Taxation, Air Quality, Tourism, Wastewater Questions? Tom Tagliabue Director, Intergovernmental Relations Snapper Carr & Brandon Aghamalian Focused Advocacy Larry Meyers Meyers & Associates, LLC City of Corpus Christi Federal Legislative Priorities 115th Congress 2017-2018 The political landscape in Washington, D.C., which results from elections and the turnover in legislative branches and governmental agencies, shapes the business environment in which the Intergovernmental Relations (IGR) Department operates. It is constantly evolving due to those elected and administrative leadership outcomes, changes in statutes and regulations, changes in the economy, changes in community needs, and any number of other forces. The IGR Department's responsibility is to navigate the political environment to achieve the City's legislative, administrative and regulatory policy and funding needs. In Washington, D.C., where congressional gridlock has existed for many years due to partisan differences, the November 8, 2016 election, will usher in a new Presidential administration, but not the control of the U.S. Senate and House of Representatives. The flow of legislation, appropriations of funds, appointments of key federal officials, rulemaking decisions and regulations from federal agencies could drastically change as a result of the elections. The Texas congressional delegation could provide some stability as there was little turnover (only two new members). Neither of Texas' U.S. Senators was up for election this cycle. With control of the U.S. House remaining with the Republican Party, Texans are likely to chair seven standing committees. This gives Texas significant legislative potential. The governance structure of local, state, and federal governments with inter -mingled programs, financing, and customers creates a demand for intergovernmental cooperation. To be successful, this ever -evolving business environment requires close contact and constant communication with legislative leadership, external legislative consultants, municipal advocacy organizations at the state and national level, statewide municipal partners, community leadership, and community stakeholders. The IGR Department must monitor an array of issues impacting municipalities — including structure and governance, finance, workforce, land use regulation, planning, zoning, housing, construction, utilities, law enforcement, fire protection, tax policy, tourism, transportation, economic development, environmental issues, and more. The IGR Department must utilize information technology, enhance personal contacts, and engage additional resources to ensure the City's legislative, administrative and regulatory policy and funding needs are communicated effectively. The City contracts with well-connected, experienced and highly professional lobbyists at the state and federal level to assist with its advocacy and communications efforts. The City's federal lobbyist is Larry Meyers of Meyers + Associates, LLC. At the local level, the IGR Department must work with local and regional stakeholders, officials, agencies and organizations to create partnerships to further community support. Relationship building and the exchange of information and ideas is gained through participation and service Page 1 of 8 on committees, attendance at organization meetings, and sponsorship of community functions which align with the City's goals and mission. The Budget Control Act of 2011 (commonly referred to as sequestration), which mandates federal budget cuts between 2013 and 2021 split evenly between defense spending (except war spending) and discretionary domestic spending (except entitlements like Social Security and Medicaid) will continue to impact federal programs and services. As the home of Naval Air Station Corpus Christi, the Corpus Christi Army Depot, the U.S. Coast Guard Sector Corpus Christi, numerous federal agency offices, and the Padre Island National Seashore, federal spending cuts could cause impacts in the future. Significant effort will be required of the City, its elected leaders, its dedicated staff and essential stakeholders to deliver successful outcomes during the two annual sessions of the 115th Congress. The City generally supports bills that: • Protects and enhances City revenues. • Reduces or eliminates costs to the City. • Supports local control. • Protects policies previously established by City leadership through the Charter, Ordinances, • Resolutions or Master Plans. • Provides increased educational opportunities for the citizens of Corpus Christi and the Coastal Bend region by supporting its public schools, community colleges and universities. The City generally opposes bills that: • Undermines the principles of Home Rule and Local Control. • Results in the loss of revenue or negatively impacts potential revenue growth. • Diminishes the authority of cities to regulate and manage their growth and development. • Nullifies or undermines the City' s policies contained in existing provisions of the Charter, • Ordinances, Resolutions and Master Plans - unless such changes expand the City' s ability to manage its own affairs. • Imposes unfunded mandates that require any expenditure by the City unless all costs are full reimbursed by the mandating governmental entity. Page 2 of 8 Specific legislative priorities of the City of Corpus Christi for the 115th Congress include: PRIORITIES Military 1. Require significant new requirements for the Department of Defense (DoD) Siting Clearinghouse before authorizing construction of a wind farm if the proposed project interferes with the navigational radar and poses a threat to national security, pilot safety and public safety. Previous Bill: NDAA amendment by Sen. Ted Cruz (R -TX) and Rep. M Thornberry (R -TX), 114th Session Background: The DoD Siting Clearinghouse presently evaluates a project's impact on military operations and readiness, including impacts to air operations, but it fails to take a comprehensive look at the cumulative impacts of existing and proposed turbines and how that impacts navigational radar and the threat to national security and pilot and public safety. 2. Authorize City and Navy to exchange City -owned land in clear zones of Navy landing fields for Navy -owned land on State Highway 358. Previous Bill: none Background: The Navy wants title to all land in Clear Zones to prevent incompatible development. Over the last 20+ years the City has acquired parcels within Clear Zones on behalf of the Navy. The Navy owns property fronting on SH 358 it considers excess and would like to trade with the City. 3. Support passage of a National Defense Authorization Act which provides a predictable budgetary structure and minimizes the uncertainty and indecision of sequestration. Previous Bill: H.R.4512 by Rep. A. Smith (D -WA); S. 2303 by Sen. 1 McCain (R -AZ), 114th Session Background: The Budget Control Act of 2011 (commonly called "sequestration") specified $917 billion of cuts in discretionary domestic (except for entitlements like Social Security and Medicaid) and defense (except for wars) spending over 10 years in exchange for the initial debt limit increase. The DoD has warned continued cuts could affect national defense, force readiness, acquisition/procurement, and training Tax Code 4. Eliminate the Production Tax Credit for wind farms within a certain distance of a military installation if the proposed project interferes with the navigational radar and poses a threat to national security, pilot safety and public safety. Previous Bill: S. 3428 by Sen. 1 Cornyn (R -TX), 114th Session Background: The Production Tax Credit is a federal incentive that provides financial support for the development of renewable energy facilities. The renewable energy projects receive a 2.3 -cent per kilowatt-hour (kWh) incentive for the first 10 years of a renewable energy Page 3 of 8 facility's operation. Originally enacted in 1992 the credit has outlived its original purpose and now gives the wind industry an economic incentive it no longer needs. 5. Support the Marketplace Fairness Act, which allows states to tax sales from out-of-state online vendors. Previous bill: S 698 by Sen. M Enzi (R -WY), 114th Session Background: Currently, brick and mortar retailers are unfairly put at a 5-10 percent competitive disadvantage by following the law and collecting sales tax at the time of purchase. Remote online retailers are not required to do so. Marketplace fairness simply allows states and local governments the option of enforcing existing sales tax laws on remote sales. It does not create new taxes or increase existing ones. It will not have any impact on federal revenues or expenditures. By allowing local governments to collect an estimated $23 billion in uncollected sales taxes on remote sales that are already owed, communities around the country can better provide essential services such as infrastructure, education, health and public safety. The National League of Cities, National Governors Association, National Conference of State Legislatures, The Council of State Governments, National Association of Counties, The United States Conference of Mayors and International City/Council Management Association all support the Marketplace Fairness Act. 6. Oppose legislation eliminating the tax exempt status of municipal bonds. Previous Bill: none Background: The exemption is not a special interest loophole and should not be treated as such. Municipal bonds are the primary way local and state governments finance infrastructure, and have been for over a century. Over two-thirds of all public infrastructure projects in the United States are financed by municipal bonds. Voters and governmental bodies approve issuance of these bonds, which are then purchased by private individuals, mutual funds and financial institutions. The interest gained by these investors is exempt from the federal income tax, and has been since the tax was instituted in 1913. Local governments save an average of 25 to 30 percent on interest costs with tax-exempt municipal bonds. The exemption is similar to the exemption for federal Treasury bonds — another stable investment vehicle — from state and local taxes. 7. Support legislation to direct the Federal Deposit Insurance Corporation, the Board of Governors of the Federal Reserve System and the Office of the Comptroller of the Currency to classify all investment grade municipal securities as High Quality Liquid Assets. Previous bill: HR 2209 by Rep. L. Messer (R -IN), 114th Session Background: A 2016 agreement by the Federal Reserve, the Office of the Comptroller of the Currency, and the Federal Deposit Insurance Corporation to new liquidity standards designed to strengthen the banking system through clarifying credit and liquidity standards for banks' capital requirements. However, in the agreement, they failed to include a very strong and stable investment category with deep funding markets - municipal securities. NLC has long argued that failure to classify municipal securities as High Quality Liquid Asset not only overlooks an investment category that contributes to greater market stability, but that this omission would have negative effects on the municipal securities market and communities across the country by significantly reducing the appeal of municipal securities, resulting in Page 4 of 8 increased borrowing costs for state and local governments to finance desperately needed infrastructure projects. Transportation 8. Support funding to continue investment in the development of Interstate 69 (along US Highway 59, US Highway 77, US Highway 281, US Highway 84, Interstate 2 and State Highway 44) and Marine Highway 69 (the Gulf Intracoastal Waterway) as an international freight corridor providing strategic intermodal connections from the Texas -Mexico border and ultimately through eight states to the US -Canada border. Previous Bill: HR 22 by Rep. R. Davis (R -IL) 114th Session Background: A total of 205 miles have been added to the Interstate Highway System so far including 117 miles in the Rio Grande Valley and 74 miles in the Houston area plus segments at Texarkana and Corpus Christi. The I-69 system highways in Texas already serve as major goods movement routes with a high ratio of trucks to passenger vehicles. Page 5 of 8 ACTIVELY SUPPORT Water Support Water Quality Improvement Act advocated by the US Conference of Mayors' Water Council. Creates Integrated Planning Permit lasting a minimum of five years, but no more than 10 years. Clarifies definition of "attainable water quality" by mandating that it be both "technically achievable" and "economically affordable". Eases EPA enforcement penalties for cities that do integrated planning. Previous bill: HR 6182 by Rep. B. Gibbs (R -OH), 114th Session Prohibit the Army Corps of Engineers and the Environmental Protection Agency from redefining "waters of the United States", which expands the definition of which surface waters and wetlands are subject to the Clean Water Act's regulatory requirements and protection. Previous bill: SJR 22 by Sen. J. Ernst (R -IA), HJR 59 by Rep. A. Smith (R -NE), HR 594 by Rep. P. Gosar (R -AZ), 114th Session Support reauthorization of the Water Resources Development Act to include authorization to widen and deepen the Corpus Christi Ship Channel. Previous bill: HR 5303 by Rep. B. Schuster (R -PA), S 2848 by Sen. J. Inhofe (R -OK), 114th Session Transportation Support funding to continue investment in the development of Interstate 14 (the Gulf Coast Strategic Military Highway) to provide the energy production area of West Texas and the various Texas military facilities improved access to Corpus Christi and the Gulf Coast. Support amendment to add another segment from the Permian Basin to the Interstate 14 designation. Previous Bill: Introduction anticipated by Rep. B. Babin (R -TX), 114th Session Oppose increases in overweight trucks on federal highways above the current 80,000 pounds limit. Aviation Enact re -authorization of the Federal Aviation Administration to provide stability, predictability and reliability to airports, pilots, airlines, and the aviation industry. Energy Prohibit the US Department of Agriculture from using funds, from any program, to support ethanol blender pumps. Previous Bill: Amendments offered to S 2016 by Sen. L. Murkowski (R -AK), 114th Session Page 6 of 8 Cybersecurity Support legislation to direct the National Cybersecurity and Communications Integration Center, at the Department of Homeland Security, to coordinate with State and local governments on securing their information systems. The Center will: assist in the identification of system vulnerabilities and possible solutions for State and local information security systems, develop a web portal to communicate available tools for State and locals, provide technical training for State and local cybersecurity analysts, provide assistance in implementing cybersecurity tools upon request, providing privacy and civil liberties training, and inform State and locals on the current cybersecurity guidelines already developed at the federal level. Previous bill: HR 3869 by Rep. W. Hurd (R -TX, 114th Session Community Development Block Grants Support continued funding and oppose further cuts of Community Development Block Grants and HOME program through the U.S. Department of Housing and Urban Development. Public Health Support funding to prevent, prepare for, and respond to Zika virus, other vector-borne diseases, and related health outcomes. Previous Bill: HR5958 by Rep. C. Clawson (R -FL), 114th Session Page 7 of 8 Federal Stakeholder Organizations The City works closely with a number of federal stakeholder organizations, exchanging information, monitoring legislation, reaching out to congressional offices, and working on mutual goals and priorities. Among the organizations in which the City is a member, include: • U.S. Conference of Mayors • National League of Cities • Interstate 69 Coalition (Texas, Louisiana, Arkansas, Tennessee, Mississippi, Indiana, Kentucky, and Michigan) • I-14 Gulf Coast Strategic Military Highway Coalition • National Community Development Association • Building America's Future • Association of Defense Communities • Army Aviation Association of America • Coalition for Sustainable Flood Insurance • National Association of Government Web Professionals • American Institute of Certified Public Accountants (AICPA) Page 8 of 8 City of Corpus Christi Legislative Priorities 8th 5Regular Session 2017 Outlook on 2017 The political landscape in Washington, D.C., and Austin, TX, which result from elections and the turnover in legislative branches and governmental agencies, shape the business environment in which the Intergovernmental Relations (IGR) Department operates. It is constantly evolving due to those elected and administrative leadership outcomes, changes in statutes and regulations, changes in the economy, changes in community needs, and any number of other forces. The IGR Department's responsibility is to navigate the political environment to achieve the City's legislative, administrative and regulatory policy and funding needs. In Texas, the 85th Regular Session of the Texas Legislature will convene on January 10, 2017, with significantly less turnover than previous sessions. With only one statewide office (Railroad Commissioner) up this election, very little change is expected in the operation and administration of Texas government. There are only three new State Senators out of 31 (approximately 10 percent turnover) and 24 new State Representatives out of 150 (approximately 16 percent turnover). Both chambers remain majority Republican members. The governance structure of local, state, and federal governments with inter -mingled programs, financing, and customers creates a demand for intergovernmental cooperation. To be successful, this ever -evolving business environment requires close contact and constant communication with legislative leadership, external legislative consultants, and municipal advocacy organizations at the state and national level, statewide municipal partners, community leadership, and community stakeholders. The IGR Department must monitor an array of issues impacting municipalities — including structure and governance, finance, workforce, land use regulation, planning, zoning, housing, construction, utilities, law enforcement, fire protection, tax policy, tourism, transportation, economic development, environmental issues, and more. The IGR Department must utilize information technology, enhance personal contacts, and engage additional resources to ensure the City's legislative, administrative and regulatory policy and funding needs are communicated effectively. The City contracts with well-connected, experienced and highly professional lobbyists (Snapper Carr and Brandon Aghamalian of Focused Advocacy) at the state level to assist with its advocacy and communications efforts. At the local level, the IGR Department must work with local and regional stakeholders, officials, agencies and organizations to create partnerships to further community support. Relationship building and the exchange of information and ideas is gained through participation and service on committees, attendance at organization meetings, and sponsorship of community functions which align with the City's goals and mission. Page 1 of 7 Texas state government includes more than 150 agencies and institutions of higher education. Governor Greg Abbott, Lieutenant Governor Dan Patrick and Speaker of the House Joe Straus sent a letter to all state agencies in July 2016 directing them to reduce their budget requests by four percent for the 2018-2019 biennial budget. The state leaders expect the price of oil to remain depressed impacting state revenues. The legislature also faces significant cost increases and service demands for the state's foster care system, shoring up state retirement systems, social service programs, and public and higher education. Speaker of the House Straus identified his priorities for the 85th Session including reforming the broken state foster care system (which he deemed "urgent" since a court ruled the system is unconstitutional), expanding student opportunity grants, also known as "set asides," (which is opposed by Lt. Governor Patrick) and reforming a broken school finance system. The Speaker also indicated appropriations for the next biennium will need to be strategic and prudent because tax collections were a billion dollars lower than last year. There is a faction of state legislators with an anti -local government bias and will support legislation to place further burdens on or restrict authority of local governments. The Texas Municipal League (TML) reported beginning with the 2015 legislative session the once legislatively revered concept of local control became a bad word and is now to be avoided because critics now believe it results in local regulatory differences (i.e. "patchwork quilt" of city rules). Critics believe local control is inefficient for businesses to operate differently in every city and consider differences, such as zoning, sign and building ordinances, land use restrictions, plastic bag bans, regulations on transportation network companies, pay day and auto title lenders, an assault on their "liberty". These protectors of "liberty" support the centralization of decision- making in Austin and tell those harmed by state -imposed rules (or the lack thereof') that it's a small price to pay for a level playing field across the state. Ironically, the "liberty" groups are equally critical of federally -imposed regulatory uniformity on the states as an overreach. The biggest threat to local government authority will come from the Lieutenant Governor and Texas Senate, where property tax caps, appraisal caps, easing tax rollbacks, and other proposals to erode local control, are likely to emanate. Several Texas Senate interim committees pursued studies in 2016 with the intent of laying the groundwork for legislative proposals in 2017 to restrict the abilities of local governments. Besides tax issues, the Senate is exploring key municipal service issues like annexation, eminent domain, debt issuance and finance, and economic development programs. Local governments, including cities, counties, school districts, junior college districts, hospital and emergency service districts, water and wastewater districts, municipal management districts, navigation districts, drainage districts, and others will continue to spend the majority of their efforts in 2017 trying to prevent bills which weaken local control. Page2of7 PRIORITIES Municipal Governance Support the continued ability of local officials to determine the amount of revenue necessary to provide critical services for the protection, safety and welfare of its residents and oppose stricter revenue caps, which would limit the City's ability to meet the needs of its rapidly growing population. Support the continued ability of local elected officials to responsibly manage growth through annexation and protect the rights of city taxpayers, who bear the costs of providing services to the region's growing population and oppose eroding its annexation authority without any financial assistance from the state. Support the continued ability of local elected officials to pass ordinances for the benefit and best interests of their constituents. Oppose changes to the eminent domain laws. Oppose pre-emption of its existing ordinances, such as the regulation of transportation network companies, pay day and auto title lenders, red light cameras, and others which protect the public, health, safety and welfare of its residents. Military Base Protection and Enhancement Increase FY 2018-2019 biennial appropriation to $60 million for the Defense Economic Adjustment Assistance Grant (DEAAG) Program to invest in preserving jobs and economic sustainability of Texas military installations. Prohibit construction of wind turbines within a reasonable distance of a military installation. Prohibit school districts from granting Chapter 313, Tax Code, tax abatements for wind farms within a reasonable distances of a military installation Add a provision to the seller's disclosure notice to make buyers of certain residential property aware that the property could be located near a military installation and could be affected by high noise or air installation compatible use zones or other operations. Page3of7 Higher Education Encourage the Texas A&M University System, the Board of Regents, communities within Nueces County and Kleberg County to discuss and review the potential merger of Texas A&M University -Corpus Christi and Texas A&M University -Kingsville comprehensively and be inclusive of all groups. Oppose any legislation or proposal that would adversely affect, be harmful or detrimental to those affected communities. Windstorm Insurance Oppose revisions to the reforms achieved in SB 900 (84th Regular Session, 2015), including the restructuring of the governing board to put policyholders on equal footing with insurance industry members, establishing TWIA financial structure that provides a stable, sustainable and affordable rate structure capable of covering a 1 -in -100 year storm, requiring member insurance companies to pay allowable assessments sooner, establishing a small statewide catastrophic storm fund for excess losses, and structuring a more financially beneficial re -insurance program. Street Funding Support legislation that would allow local elected officials and/or voters to consider additional funding options for cities to address streets, sidewalks and other transportation needs that are not otherwise met by current funding sources. Page 4 of 7 ACTIVELY SUPPORT Transportation Support reliable, sustainable and predictable funding for the Texas Department of Transportation (TxDOT) to build and maintain Texas' highways, roads, bridges, and multi -modal transportation infrastructure to protect the health, safety and welfare of the traveling public. Support continued policy of non -diversion of revenue from the State Highway Fund. Support funding for TxDOT to continue investment in the development of Interstate 69 (along US Highway 59, US Highway 77, US Highway 281, US Highway 84, Interstate 2 and State Highway 44) and Marine Highway 69 (the Gulf Intracoastal Waterway) as an international freight corridor providing strategic intermodal connections from the Texas -Mexico border and ultimately through eight states to the US -Canada border. Support funding for TxDOT to continue investment in the development of Interstate 14 (the Gulf Coast Strategic Military Highway) to provide the energy production area of West Texas and the various Texas military facilities improved access to Corpus Christi and the Gulf Coast. Support legislative efforts to fully implement Propositions 1 and 7 and ensure equitable distribution of funding among the districts. Oppose any efforts to reduce anticipated funding from these two revenue sources. Ensure there is sufficient funding for engineering, right-of-way acquisition, and related project development costs to ensure that high priority projects are made shovel -ready for these new revenue sources. Public Health Support regulating the sale, storage, transportation, and disposal of scrap or used tires, including an adequate fee structure to implement strategies to eliminate potential mosquito breeding sites for the Zika, West Nile, and other viruses. Cybersecurity Amend Open Meetings Act (Chapter 551, Government Code), to clarify existing authorization for closed sessions on cybersecurity threats. Taxation Amend the Texas Tax Code making the State's sales tax on large marine vessels competitive with other coastal states. Page5of7 Air Quality Maximize funding at the Texas Commission on Environmental Quality to assist near non - attainment communities remain in compliance with newly revised U.S. Environmental Protection Agency National Ambient Air Quality Standard for Ozone. Tourism Oppose changes to the school start date law (4th Monday in August), which allows Texans to vacation through August, bringing millions of sales tax dollars to the Coastal Bend. Wastewater Oppose bills that negatively impacts the gains made by the SSO bill last session (SB 912, 84th Regular Session 2015) or biosolids land application (HB 2248 and HB 2460, 84th Regular Session 2015). Page6of7 ENDORSE Municipal Affiliate Legislative Recommendations • Texas Municipal League See Attachment A • Texas Recreation and Parks Society (TRAPS) See Attachment B Legislative Priorities of these affiliate entities are to be determined: • Texas Mayors of Military Communities • Texas Coalition for Affordable Power • Transportation Advocates of Texas • Alliance for I-69 Texas • Gulf Coast Strategic Military Highway Coalition • Texas Chapter of Solid Waste Association of North America (TxSWANA) • Water Environment Association of Texas (WEAT) • Texas Water Conservation Association (TWCA) • Texas Society of Certified Public Accountants • Government Finance Officers Association of Texas (GFOAT) • Texas Court Clerks Association (TCCA) • Texas Municipal Courts Association • Texas Court Clerks Association • Texas Association of Municipal Information Officers (TAMIO) Page7of7 RESOLUTIONS APPROVED TO THE MEMBERSHIP OF THE TEXAS MUNICIPAL LEAGUE October 6, 2016 Austin, Texas CONTENTS 1. Committee on Annexation and Regulation of Development 1 2. Committee on Revenue and Finance 5 3. Committee on Utilities and Transportation 11 4. Committee on General Government 15 5. Private Lessees Open Carry Signage 19 6. Sales Tax Reallocation 21 7. Texas Municipal Retirement System Cost of Living Adjustment Provisions 23 8. Defense Economic Adjustment Assistance Grant Program 25 9. PEG Fees Use, Texas Workforce Commission Funding for Veterans, Affordable and Workforce Housing, Economic Development Incentives, and State -Issued Cable Franchises 27 10. Street Maintenance Sales and Use Tax 28 11. Court Costs, Fines, and Fees 29 12. Recognition of Service 31 13. Member Cities' Service Fees 33 1. A RESOLUTION ADOPTING THE REPORT OF THE 2016 TML LEGISLATIVE POLICY COMMITTEE ON ANNEXATION AND REGULATION OF DEVELOPMENT WHEREAS, the 2016 TML Legislative Policy Committee on Annexation and Regulation of Development was appointed by TML President C.J. Wax in early 2016; and WHEREAS, more than 50 municipal officials from cities of every size across the state served on the Committee; and WHEREAS, the Committee studied numerous issues relating to annexation and regulation of development; and WHEREAS, the Committee has completed its work and has drafted the attached report; NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the attached report of the TML Legislative Policy Committee on Annexation and Regulation of Development be accepted and adopted. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. ATTEST: Bennett Sandlin, Executive Director 1 APPROVED: C.J. Wax, President TEXAS MUNICIPAL LEAGUE LEGISLATIVE POLICY COMMITTEE ON ANNEXATION AND REGULATION OF DEVELOPMENT Summary of Actions Taken May 6, 2016 1. Annexation The Committee voted to recommend that TML oppose legislation that would erode municipal annexation authority. 2. Eminent Domain The Committee voted to recommend that TML oppose legislation that would further erode a city's ability to condemn property for a public use. 3. Zoning The Committee voted to recommend that TML oppose legislation that would erode municipal comprehensive planning and zoning authority, or that would modify existing procedures in any detrimental way. The Committee voted to recommend that TML oppose legislation that would restrict a city's ability to adopt or amend zoning regulations, or vest or otherwise create a property right in a zoning classification. 4. Regulatory Takings The Committee voted to recommend that TML oppose legislation that would establish a standard or process for determining economic loss and related compensation resulting from a regulatory action. 5. Religious Land Use The Committee voted to recommend that TML oppose legislation that would further erode a city's ability to regulate religious or charitable organizations. 2 6. Permit Vesting The Committee voted to recommend that TML oppose legislation that would enact adverse amendments to the permit vesting statute (Chapter 245 of the Local Government Code). The Committee voted to recommend that TML support legislation that would make beneficial changes to the permit vesting statute (Chapter 245 of the Local Government Code). 7. Special Districts The Committee voted to recommend that TML oppose legislation that would allow special districts to form in a city or its extraterritorial jurisdiction without the city's permission, or that would impose additional requirements on cities relating to special districts. 8. Development Exactions The Committee voted to recommend that TML oppose legislation that would reduce municipal authority to require exactions related to and required by new development, or that would erode the authority of cities to adopt and enforce minimum development standards. 9. Uniform Building Codes and Building Permit Fees The Committee voted to recommend that TML oppose legislation that would erode a city's ability to make amendments to model building codes. The Committee voted to recommend that TML postpone until the August 19, 2016, meeting of the General Government Committee a decision about whether the League should support legislation that would repeal the prohibition against mandatory residential fire sprinklers, and the Committee instructed staff to seek more information from the City of Tomball and the Texas Fire Chiefs Association. The Committee voted to recommend that TML oppose legislation that would further restrict a city's ability to impose building fees. 10. Extraterritorial Jurisdiction The Committee voted to recommend that TML oppose legislation that would erode municipal authority in the extraterritorial jurisdiction. 3 11. Impact Fees The Committee voted to recommend that TML oppose legislation that erode municipal authority over impact fees or that would exempt any entity from paying municipal impact fees. 12. Tree Preservation Ordinances The Committee voted to recommend that TML oppose legislation that would erode municipal authority in relation to tree preservation requirements. 13. Oil and Gas Regulation The Committee voted to oppose legislation that would further erode municipal authority over oil and gas development. 14. Other The Committee voted to form a subcommittee to study whether a position related to the expansion of general law city authority is appropriate at this time. The Committee voted to oppose legislation that would erode the ability of a city to amortize nonconforming uses, including those in a flood plain. 4 2. A RESOLUTION ADOPTING THE REPORT OF THE 2016 TML LEGISLATIVE POLICY COMMITTEE ON REVENUE AND FINANCE WHEREAS, the 2016 TML Legislative Policy Committee on Revenue and Finance was appointed by TML President C.J. Wax in early 2016; and WHEREAS, more than 50 municipal officials from cities of every size across the state served on the Committee; and WHEREAS, the Committee studied numerous issues relating to revenue and finance; and WHEREAS, the Committee has completed its work and has drafted the attached report; NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the attached report of the TML Legislative Policy Committee on Revenue and Finance be accepted and adopted. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. ATTEST: Bennett Sandlin, Executive Director 5 APPROVED: C.J. Wax, President TEXAS MUNICIPAL LEAGUE LEGISLATIVE POLICY COMMITTEE ON REVENUE AND FINANCE Summary of Actions Taken May 27, 2016 1. Appraisal Caps The Committee voted to recommend that TML oppose legislation that would negatively expand appraisal caps. The Committee voted to recommend that TML oppose legislation that would erode the concept that appraisals must reflect the true market value of property. The Committee voted to recommend that TML take no position on legislation that would authorize a council -option reduction in the current ten -percent cap on annual appraisal growth. 2. Revenue, Tax, and Expenditure Caps The Committee voted to recommend that TML oppose legislation that would impose a revenue cap of any type, including a reduced rollback rate, mandatory tax rate ratification elections, lowered rollback petition requirements, limitations on overall city expenditures, exclusion of the new property adjustment in effective rate and rollback rate calculations, or legislation that lowers the rollback rate and gives a city council the option to re -raise the rollback rate. 3. Effective and Rollback Rate "Reform" The Committee voted to recommend that TML support legislation that would simplify the effective tax rate calculation for notice purposes only, provided the legislation would have no effect on the underlying effective tax rate and rollback tax rate calculations themselves, nor upon the hold harmless exemptions to those rates. 4. Property Tax Eemptions The Committee voted to recommend that TML oppose legislation that would impose new property tax exemptions that substantially erode the tax base. 5. Tax Freezes The Committee voted to recommend that TML oppose legislation that would impose a property tax freeze that can be implemented by any mechanism other than council action. 6 6. Equity Appraisals The Committee voted to recommend that TML support legislation that would make beneficial amendments to the equity appraisal statute. 7. Sales Price Disclosure The Committee voted to recommend that TML support legislation that would require mandatory disclosure of real estate sales prices. 8. "Prop 2" Pollution Control Exemption The Committee voted to recommend that TML oppose legislation that would extend the "Prop 2" pollution control property tax exemption to processes, facilities, or end products. 9. Homestead Property Tax Exemptions The Committee voted to recommend that TML oppose legislation that would impose new mandatory homestead exemptions or exemption increases. The Committee voted to recommend that TML support legislation that would allow a council - option city homestead exemption, expressed as a percentage or flat -dollar amount. 10. Retention of Mineral Rights at Tax Sale The Committee voted to recommend that TML form a subcommittee to study whether a position related to a city's retention of mineral rights for properties that are bid -off to the city after a tax sale is appropriate at this time. 11. Sales Tax Exemptions The Committee voted to recommend that TML oppose legislation that would impose any sales tax exemption that would substantially erode the tax base. The Committee voted to recommend that TML oppose legislation that would lengthen or broaden the scope of the current sales tax holiday. 12. General and Dedicated Sales Tax Rates 7 The Committee voted to recommend that TML support legislation that would authorize a city to adjust the general revenue sales tax rate or renew a dedicated sales tax using a combined ballot proposition. 13. Expansion of Sales Tax Base The Committee voted to recommend that TML support legislation that would expand the sales tax base, but only if the city tax base fully benefits from the expansion. The Committee voted to recommend that TML oppose legislation that would expand the sales tax base without fully benefitting the city tax base. 14. Streamlined Sales Tax Project/Sales Tax Sourcing The Committee voted to recommend that TML support legislation that would convert the sales tax reallocation process from a ministerial process into a more formalized administrative process that would, at a minimum, require prior notice to all affected parties. The Committee voted to recommend that TML support legislation that would toll the four-year "look -back provision" relating to collection of unpaid city sales tax, but only in the case of nonpayment by a business and not misallocation among cities. The Committee voted to recommend that TML oppose legislation that would alter the city share or the calculation or sourcing of city sales taxes. 15. Type A/Type B Economic Development Sales Tax The Committee voted to recommend that TML take no position on legislation that would broaden the authority of Type A or Type B sales tax corporations. The Committee voted to recommend that TML oppose legislation that would limit the authority of Type A or Type B sales tax corporations statewide, but take no position on legislation that is regional in scope and that is supported by some cities in that region. The Committee voted to recommend that TML support legislation that allows the collection of economic development sales tax so long as bonds, projects, and other obligations exist for the corporation. 16. Emergency Services Districts (ESDs) and Sales Taxes The Committee voted to recommend that TML support legislation that would authorize cities— in relation to annexation, planned annexation, voluntary annexation, or negotiated annexation - 8 to replace some or all emergency services district (ESD) sales taxes in an area with city sales taxes, provided an ESD's existing sales tax debt is proportionately and reasonably provided for in some manner. The Committee voted to recommend that TML support legislation that would permit a municipal development district's sales tax, notwithstanding a competing emergency services district (ESD) sales tax, to apply in the extraterritorial jurisdiction, as current law allows, provided an ESD' s existing sales tax debt is proportionately and reasonably provided for in some manner. The Committee voted to recommend that TML support legislation that would allow cities to remove themselves from an ESD if the city is capable of providing services to the area. The Committee voted to recommend that TML support legislation that would require city council approval for an ESD to expand into a city's corporate limits or ETJ. 17. Issuing City Debt The Committee voted to recommend that TML oppose legislation that would expand election requirements for issuance of any city debt, impose a petition/election procedure where none currently exists, or that would otherwise erode the ability of a city to issue debt in any way. 18. Local Parks Funding The Committee voted to recommend that TML support legislation that would provide a fair and equitable distribution of the sporting good sales tax revenues for state and local parks. The Committee voted to recommend that TML oppose legislation that would implement appropriation riders that set Texas Recreation and Parks Accounts (TRPA) funding No. 467 & Large County and Municipality Recreation and Parks Account No. 5007 funds for specific projects or locales. The Committee voted to recommend that TML support legislation that would create a constitutional dedication of sporting goods sales tax revenues for use in state and local parks that would directly benefit parks, recreation, open space, trails and tourism. The Committee voted to recommend that TML support legislation that would pass through federal dollars used for parks, recreation, open space, trails, and tourism from any of the following, but not limited to, the United States Department of the Interior Land and Water Conservation Fund (LWCF), the Sport Fish Restoration Boat Access program and the United States Department of Transportation Recreation Trails program. 9 The Committee voted to recommend that TML support legislation that would directly benefit parks, recreation, open space, trails, tourism, health and wellness (i.e. utility corridors and mobility). The Committee voted to recommend that TML oppose legislation that would be detrimental to parks, recreation, open space, trails, and tourism (i.e. non-use of eminent domain for recreational purposes). 19. Major Events Reimbursement Program The Committee voted to recommend that TML oppose legislation that would limit or eliminate the current flexibility of the Major Events Reimbursement Program as a tool for cities to attract or host major events and conventions. 20. City Depository Services Agreements The Committee voted to recommend that TML support legislation that would either lengthen the total term of a city depository services agreement or that would allow cities the ability to renew their depository services agreements beyond the current five-year term. 21. Public Funds Investment Act Training The Committee voted to recommend that TML support legislation that would clarify current law to exempt city officials in cities with little or no investments from the Public Fund Investment Act's continuing training requirement, pursuant to the intent of H.B. 1148 (2015). 22. Medicaid Expansion The Committee voted to recommend that TML take no position on legislation that would expand Medicaid in Texas. 23. Cost of Unfunded Mandates in Fiscal Notes The Committee voted to recommend that TML support legislation that would require the Legislative Budget Board to include in all fiscal notes attached to legislation the estimated cost of unfunded mandates for local governments. 10 3. A RESOLUTION ADOPTING THE REPORT OF THE 2014 TML LEGISLATIVE POLICY COMMITTEE ON UTILITIES AND TRANSPORTATION WHEREAS, the 2016 TML Legislative Policy Committee on Utilities and Transportation was appointed by TML President C.J. Wax in early 2016; and WHEREAS, more than 50 municipal officials from cities of every size across the state served on the Committee; and WHEREAS, the Committee studied numerous issues relating to utilities and transportation; and WHEREAS, the Committee has completed its work and has drafted the attached report; NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the attached report of the TML Legislative Policy Committee on Utilities and Transportation be accepted and adopted. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. ATTEST: Bennett Sandlin, Executive Director 11 APPROVED: C.J. Wax, President TEXAS MUNICIPAL LEAGUE LEGISLATIVE POLICY COMMITTEE ON UTILITIES AND TRANSPORTATION Summary of Actions Taken June 3, 2016 1. The Turnback Program The Committee voted to recommend that TML oppose legislation, or state budget strategies, that would remove or negate the strictly voluntary nature of highway turnbacks. 2. Local and State Transportation Funding The Committee voted to recommend that TML support legislation that would: a. allow for greater flexibility by cities to fund local transportation projects; amend or otherwise modify state law to help cities fund transportation projects; or provide municipalities with additional funding options and resources to address transportation needs that the state and federal governments are unable or unwilling to address. b. discontinue the diversion of transportation revenues to non -transportation purposes and appropriate all revenues from highway user fees and taxes to fund transportation. c. provide additional funding to the Texas Department of Transportation for transportation projects that would benefit cities, so long as existing funding formulas are followed. d. authorize a local option election to increase the local sales tax cap from 2 to 2.25 cents. e. provide local, state, and federal transportation funding for rail as one component of transportation infrastructure. f. provide additional funding for transportation mobility projects and increased local control over those projects. 3. Billboards The Committee voted to recommend that TML oppose legislation that would erode municipal authority over billboards or that would place any unfunded mandate on cities relating to billboards. The Committee voted to recommend that TML support legislation that would increase municipal authority over Texas Department of Transportation logo signs. (Note: the Committee directed staff to provide additional briefing materials related to this issue for the August 19 meeting of the Legislative Policy Committee on General Government.) 4. Transportation Network Companies The Committee voted to recommend that TML oppose legislation that would preempt city regulations governing transportation network companies and licensing their drivers. 12 5. Overweight/Oversize Vehicles The Committee voted to recommend that TML oppose legislation that would increase the permissible size or weight of vehicles under state law. 6. Rights -of -Way The Committee voted to recommend that TML oppose legislation that would erode the authority of a city to be adequately compensated for the use of its rights-of-way. The Committee voted to recommend that TML oppose legislation that would erode municipal authority over the management and control of rights-of-way. The Committee voted to recommend that TML oppose legislation or rules that would erode the provisions of Chapter 66 of the Utilities Code, which relates to state -issued cable franchises. 7. Utility Relocation The Committee voted to recommend that TML oppose legislation that would erode municipal authority to require utility companies to pay the costs of relocating their facilities in a timely manner as required by current law. 8. Solid Waste Franchises The Committee voted to recommend that TML oppose legislation that would limit a city's authority to enter into a solid waste franchise. 9. County Recycling Programs The Committee directed staff to provide further briefing materials on this issue for the August 19 meeting of the Legislative Policy Committee on General Government. 10. Wastewater Reuse The Committee voted to recommend that TML oppose legislation that would erode local control or reduce municipal ownership and/or control over effluent and water reuse projects. 11. Water Operators The Committee voted to direct staff to, in conjunction with the City of Alpine, move forward with efforts to find a solution to the scarcity of water/wastewater operators in the state. 12. PUC Water Rate Jurisdiction 13 The Committee voted to recommend that TML oppose legislation or state agency action authorizing any state agency to assert jurisdiction over the rates and services provided by a municipally owned utility inside the city limits. 13. Speed Enforcement in School Zones The Committee voted to recommend that TML support legislation that would allow cities to use automated speed enforcement in school zones. 14 4. A RESOLUTION ADOPTING THE REPORT OF THE 2016 TML LEGISLATIVE POLICY COMMITTEE ON GENERAL GOVERNMENT WHEREAS, the 2016 TML Legislative Policy Committee on General Government was appointed by TML President C.J. Wax in early 2016; and WHEREAS, more than 130 municipal officials from cities of every size across the state served on the Committee; and WHEREAS, the Committee studied numerous issues relating to general government; and WHEREAS, the Committee has completed its work and has drafted the attached report; NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the attached report of the TML Legislative Policy Committee on General Government be accepted and adopted. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. ATTEST: Bennett Sandlin, Executive Director 15 APPROVED: C.J. Wax, President REPORT OF THE TML LEGISLATIVE POLICY COMMITTEE ON GENERAL GOVERNMENT A. Seek Introduction and Passage of legislation that would: 1. Add a tenth criteria of "location of an emergency services station" to the state criteria related to the proper placement of a traffic signal on a state highway. 2. Exempt a candidate forum from the definition of a "meeting" under the Texas Open Meetings Act. 3. Repeal the archaic requirement that an official city newspaper must be entered as second-class postal matter. 4. Allow charter amendment elections to occur in compliance with the two-year requirement of the Texas Constitution by construction of the uniform election dates in the Texas Election Code. B. Support legislation that would: 1. Grant general law cities additional authority to annex areas wholly surrounded by cities. 2. Authorize a city council to opt -in to requiring residential fire sprinklers in newly constructed single-family dwellings. 3. Enact a statewide ban on texting while driving, so long as a city may impose more stringent requirements related to cell phone use while driving. 4. Clarify the authority of general law cities to enact sex offender residency restrictions. 5. Clarify the administration and execution of the licensed carry law, so long as such legislation does not erode current municipal authority. 6. Make beneficial, clarifying amendments to Government Code Section 2252.908 (the "contracts reporting" law). 7. Extend the deadline for cities to change the date of their general elections to a different uniform election date. 8. Allow a more equitable way of distributing court fines that would result in a higher percentage of fines being kept local, where the laws are enforced, the court is held, and the fines are collected. 16 9. Make confidential information related to animal adoptions. 10. Provide relief from vexatious Public Information Act requests. 11. Clarify Local Government Code Chapter 176's application to city employees and agents and other beneficial clarifying amendments. 12. Prevent further exploitative payday and auto title lending practices. 13. Clarify the treatment of animal shelter veterinarians under the Veterinary Licensing Act. 14. Clarify the authority of a city to take ownership of a stray animal upon the expiration of a hold period. C. Oppose legislation that would: 1. Erode municipal authority to regulate short-term rentals. 2. Erode municipal authority in any way, impose an unfunded mandate, or otherwise be detrimental to cities. 3. Repeal or limit school bus stop -arm camera authority. 4. Make participation in Government Code Chapter 2267 (the "public/private partnership" law) mandatory. 5. Further erode local control as it pertains to retirement issues. 6. Enact detrimental amendments to Local Government Code Chapter 143 (the "civil service" law). 7. Make meet and confer mandatory or expand the current meet and confer law. 8. Make collective bargaining mandatory or impose expanded collective bargaining rights. 9. Substantively change or expand the scope of the current disease presumption law. 10. Eliminate any of the current uniform election dates. 11. Increase state regulation of local ballot language or the initiative and referendum process. 17 12. Impose additional state fees or costs on municipal court convictions or require municipal courts to collect fine revenue for the state. 13. Limit the authority of municipal courts to assess appropriate sanctions, while protecting the rights of municipal court defendants. 14. Erode municipal governmental immunity. 15. Limit or prohibit the authority of city officials to use municipal funds to communicate with legislators. 16. Limit or prohibit the authority of the Texas Municipal League to use any revenue, however derived, to communicate with legislators. 17. Require the reporting of lobbying activities beyond the requirements in current law. 18. Preempt or prohibit the regulation of payday and auto title lenders by a city. 19. Impose a statewide smoking ban that would preempt existing or future municipal smoking bans. 20. Provide for state preemption of municipal authority in general. D. Take no position on legislation that would: 1. Standardize red light photo enforcement systems, so long as the underlying authority is not eliminated. (Further, the committee recommends that TML defer to the Texas Red Light Coalition on more detailed matters relating to revisions to red light camera policy.) E. Other 1. The Committee voted to recommend that — separate -and -apart from the 2017 legislative process — the TML Board of Directors consider reviewing the issue of general law city authority. 2. The Committee voted to recommend that, should legislation be filed that relates to immigration and that would affects cities, League staff should seek the guidance of the TML Executive Committee regarding the League' s position on such legislation. 18 5. A RESOLUTION TO SEEK INTRODUCTION AND PASSAGE OF LEGISLATION TO AMEND TEXAS PENAL CODE, SECTIONS 30.06 AND 30.07, TO AUTHORIZE PRIVATE LESSEES TO POST SIGNAGE PROHIBITING POSSESSION OF HANDGUNS ON PROPERTY LEASED FROM A GOVERNMENTAL ENTITY. WHEREAS, Subsections 30.06(e) and 30.07(e) of the Texas Penal Code present exceptions to the Trespass By License Holder provisions for concealed and open carry, respectively, whereby notices prohibiting possession of handguns by licensed carriers may not be placed about premises owned or leased by a governmental entity; and WHEREAS, the Legislature's stated focus in enacting Subsection 30.06(e) was on local governmental entities that were prohibiting concealed handguns from public places, and the same can be fairly implied in its adoption of Subsection 30.07(e); and WHEREAS, as noted in Tex. Att'y Gen. Op. No. KP -0108 regarding Subsection 30.06(e), "[n]othing in the text of the statute itself nor in the legislative history suggests that the Legislature considered whether private entities that leased property from a governmental entity were required to allow the carrying of handguns on the property that they lease," and the same may be said for Subsection 30.07(e); and WHEREAS, these exceptions operate to unreasonably restrict rights of private lessees of government-owned property, present significant implications for local governmental entities that lease government-owned properties to private lessees, and unnecessarily undermine local governmental entities' ability to freely lease public property for private use; and WHEREAS, these exceptions should be amended to authorize private lessees to post signage prohibiting possession of handguns on property leased from a governmental entity; and WHEREAS, this proposed amendment would preserve the Legislature's stated intent of preventing governmental entities from prohibiting concealed (and open) carry of handguns in public places while authorizing private lessees of government-owned property to freely operate the leased premises in their independent discretion, thus levelling the playing field for governmental entity lessors; and WHEREAS, the Texas Municipal League Board of Directors finds that amending Texas Penal Code, Sections 30.06 and 30.07, to authorize private lessees to post signage prohibiting possession of handguns on property leased from a governmental entity will benefit municipal governmental bodies in general. NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the League seek introduction and passage of legislation to amend Texas Penal Code, Sections 30.06 and 30.07, to authorize private lessees to post signage prohibiting possession of handguns on property leased from a governmental entity. 19 PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. ATTEST: Bennett Sandlin, Executive Director 20 APPROVED: (z)d,),/ C.J. Wax, President 6. A RESOLUTION TO SEEK INTRODUCTION AND PASSAGE OF LEGISLATION TO AUTHORIZE A COMBINED BALLOT PROPOSITION FOR REALLOCATION OF DEDICATED OR SPECIAL PURPOSE SALES TAX REVENUES TO THE GENERAL REVENUE SALES AND USE TAX FUND AND A LOCAL ELECTION TO INCREASE OR DECREASE THE TYPE B SALES AND USE TAX RATE WITHIN THE JURISDICTION. WHEREAS, the 84th Legislature adopted H.B. 157 authoring municipalities to reallocate local sales and use tax revenues so long as the combined rate does not exceed the prescribed 2% maximum; and WHEREAS, this legislation left unaddressed two (2) significant process impediments restraining local implementation of this authority: (a) Tax Code, Section 321.409, allows a combined ballot proposition for reallocation of dedicated or special purpose sales tax revenues to another dedicated or special purpose sales tax revenue fund, but not to the general revenue sales and use tax fund; and (b) there is no statutory authorization for a local election to increase or decrease the Type B sales and use tax rate within the jurisdiction, such as authorized for the Type A sales and use tax rate via Local Government Code, Section 504.258; and WHEREAS, efficient local sales and use tax administration would be facilitated by authorizing a combined ballot proposition for reallocation of dedicated or special purpose sales tax revenues to the general revenue sales and use tax fund and a local election to increase or decrease the Type B sales and use tax rate within the jurisdiction; and WHEREAS, the Texas Municipal League Board of Directors finds that authorizing a combined ballot proposition for reallocation of dedicated or special purpose sales tax revenues to the general revenue sales and use tax fund and a local election to increase or decrease the Type B sales and use tax rate within the jurisdiction will benefit municipal governmental bodies in general. NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the League seek introduction and passage of legislation to authorize a combined ballot proposition for reallocation of dedicated or special purpose sales tax revenues to the general revenue sales and use tax fund and a local election to increase or decrease the Type B sales and use tax rate within the jurisdiction. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. 21 ATTEST: Bennett Sandlin, Executive Director 22 APPROVED: C.J. Wax, President 7. A RESOLUTION RELATING TO THE TEXAS MUNICIPAL RETIREMENT SYSTEM; SUPPORTING ADDITIONAL FLEXIBILITY OR ALTERNATIVES IN REGARD TO COST OF LIVING ADJUSTMENTS FOR RETIREES WHEREAS, local governments are subject to increasing economic stresses as they struggle to provide important municipal services while balancing their budgets with increasingly less money; and WHEREAS, cities wish to support the dedicated public employees and retirees who have worked many years to service the citizens of these cities; and WHEREAS, most Texas cities are members of the Texas Municipal Retirement System (TMRS); and WHEREAS, current TMRS requirements provide that a City granting a cost of living adjustment (COLA) on a repeating basis must provide for that adjustment regularly, and that a City that opted out of such repeating COLAs is required to include all prior years in which the cost of living adjustment was not made before they can start a repeating COLA again (the "catch up" provision); and WHEREAS, if a City was forced to cease the annual repeating COLA for economic reasons, the "catch up" provision are very difficult, if not impossible, to meet; and WHEREAS, the Texas Municipal Retirement System has been better managed and funded than many other retirement systems and cities support the prudent fiscal management of the system; and WHEREAS, cities also wish to maintain sound fiscal policies and the ability to provide an increase for retirees must be managed within the framework of sound fiscal policies; and WHEREAS, several cities which were forced to stop the repeating COLA in recent years, including the City of Colleyville, desire to start the repeating COLA, but cannot do so under the required "catch up" provisions; and WHEREAS, many cities request that alternatives, which would benefit the cities, their employees, and their retirees, to the current system be made through the passage of legislation where needed, including alternatives such as forgiveness provision for cities who stopped the regular repeating COLA payments prior to 2012, or the ability to make periodic percentage increase to retiree pension payments without reference to a cost of living index. NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the League take no position on legislation that amends the affected provisions of the Texas Government Code to allow for greater flexibility in 23 retiree pension increases and provide for a forgiveness provision for cities who stopped the regular repeating COLA payments without reference to a cost of living index. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. ATTEST: Bennett Sandlin, Executive Director 24 APPROVED: C.J. Wax, President 8. A RESOLUTION RELATING TO THE APPROPRIATION OF $60 MILLION FOR THE FISCAL YEARS 2018-2019 BIENNIUM FOR THE STATE OF TEXAS TO THE DEFENSE ECONOMIC ADJUSTMENT ASSISTANCE GRANT (DEAAG) PROGRAM WHEREAS, the 15 major Army, Navy, Air Force, and National Guard installations throughout Texas are vital to national security and the State of Texas; and WHEREAS, the Texas Comptroller's recent study proved Texas 15 major military installations generate $136.4 billion in economic activity and $81.3 billion in gross domestic product each year, supporting more than 800,000 Texas jobs and $48 billion in personal income for our citizens; and WHEREAS, Texas has unencumbered airspace, ground maneuver space, and open water for training of all branches of service with virtually every weapon system as well as some of the most diverse topography for excellent training scenarios, the weather provides for the ability to train year round and deployments from Texas installations are efficient due to airfields, road systems, and rail transportation to ports in the state and, finally, the cost of living at Texas installations are some of the lowest in the country; and WHEREAS, these military installations are also part of the fabric of many communities and are a source of great pride, provide skilled workforce, add to population growth, and have significant economic impact; and WHEREAS, the 84th Texas Legislature appropriated $30 million in Fiscal Years 2016-2017 to the Texas Military Preparedness Commission Defense Economic Adjustment Assistance Grant fund to assist defense communities that have been, or may potentially be, impacted by a past or future Base Realignment and Closure (or BRAC) action, to obtain economic assistance to mitigate or prevent or otherwise positively affect their local economy through funded projects; and WHEREAS, the FY 16-17 appropriation was sufficiently to fund only nine projects in seven communities in the first two rounds of DEAAG awards, and the demand for funding far exceeded available funds with approximately 26 total applications valued at more than $72 million were submitted during the first two rounds. NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the League seek introduction and passage of the General Appropriations Act for FYs 2018-2019 that includes increased DEAAG funding. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. 25 ATTEST: Bennett Sandlin, Executive Director 26 APPROVED: C.J. Wax, President 9. A RESOLUTION RELATING TO CITY OF SAN MARCOS' POLICY RECOMMENDATIONS NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the League: 1. Support state or federal legislation that would expand the use of public, education, and government (PEG) fees to include operational and related costs associated with PEG channels. 2. Support additional appropriations for the Texas Workforce Commission Skills for Veterans initiative that dedicates funding to address the training needs of post -9/11 veterans returning home and entering the Texas Workforce. 3. Support legislations and additional appropriations for affordable and workforce housing that allows for the expansion and preservation of diverse, affordable homes in cities. 4. Oppose legislation that would erode a city' s incentive options to enhance its economic development efforts to promote retention and expansion of existing retailers, restaurants, developers, commercial businesses and primary employers and to attract new business. 5. Oppose state or federal legislation or rules that would negatively affect the provisions of chapter 66 of the Utilities code, which relates to state -issued cable franchises. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. ATTEST: Bennett Sandlin, Executive Director 27 APPROVED: C.J. Wax, President 10. A RESOLUTION IN SUPPORT OF LEGISLATION THAT WOULD EXTEND THE AUTHORIZED TERM FOR THE COLLECTION OF MUNICIPAL SALES AND USE TAXES FOR STREET MAINTENANCE WHEREAS, the City of West Orange, Texas is a small city within the State of Texas who has adopted a Municipal Sales and Use Tax for street maintenance as authorized by Chapter 327 of the Texas Tax Code; and WHEREAS, continuation of such, municipal Sales and Use Tax requires an election every four years; and WHEREAS, it would be beneficial to all small cities who have adopted this tax for Chapter 327 to be amended to authorize an indefinite, or at least extended, term for the continuation of such Municipal Sales and Use Tax for street maintenance; NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the League support legislation amending Chapter 327 of the Texas Tax Code to authorize the collection of Municipal Sales and Use Taxes for street maintenance for an indefinite, or at least extended, term instead of the four (4) years provided by current law, since such Municipal Sales and Use Taxes for street maintenance promote the health, safety, and welfare of the citizens of all small communities and should not require the expense and uncertainty of a new election every four (4) years to extend the term of such beneficial source of revenue. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. ATTEST: Bennett Sandlin, Executive Director 28 APPROVED: C.J. Wax, President 11. A RESOLUTION IN SUPPORT OF LEGISLATION THAT WOULD WAIVE THE $30.00 ADMINISTRATIVE FEE FOR POLITICAL SUBDIVISIONS THAT PARTICIPATE IN THE FAILURE TO APPEAR PROGRAM IN CASES THAT ARE DISMISSED, A PERSON PERFORMS COMMUNITY SERVICE, SERVES TIME IN JAIL IN LIEU OF PAYMENT OF FINES OR FEES, OR ANY OTHER CASE WHEN NO COSTS OR FEES ARE COLLECTED WHEREAS, during the 74th Legislative Session, S.B. 1504 was passed, authorizing the Texas Department of Public Safety (DPS) to contract with political subdivisions to deny renewal of the driver license for failure to appear on certain traffic violations (Failure to Appear Program) (FTA); and WHEREAS, the bill also authorized the DPS to contract with a private vendor (currently referred to as "Omni Base") to implement the FTA Program; and WHEREAS, any political subdivision participating in said program is required to pay an administrative fee of $30.00 for each underlying traffic violation, of which $20.00 is to be submitted to the state comptroller, $6.00 to Omni Base and $4.00 retained by the political subdivision; and WHEREAS, the bill originally waived the administrative fee to both the comptroller and Omni Base in the event that court costs, fines and fees were not received by the local political subdivision, such as in cases where the defendant was deemed indigent by the court, the case was dismissed, the defendant died, or the defendant performed community service or served jail time in lieu of payment of any fees or costs; and WHEREAS, Omni Base and DPS are now attempting to collect the $30.00 administrative fee, (pursuant to the Texas Administrative Code Title 37 Art. 1 Chap. 15 Subchapter G Rule Sec. 15.119) even if the case was dismissed or the defendant performed community service or served jail time in lieu of payment of any fees or costs; and WHEREAS, this places an undue hardship on a political subdivision to make payments to Omni Base and the state comptroller in cases where they are not receiving the administrative fees from the defendants; and WHEREAS, many political subdivisions will be required to cease participating in the FTA Program due to this undue burden unless there is legislation to support the waiver of the $30.00 administrative fee in the above cited examples as was originally intended. NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the League support legislation amending the Texas Administrative Code Title 37 Art. 1 Chap. 15 Subchapter G Rule Sec. 15.119 (and any other applicable legislation) to waive the $30.00 administrative fee in the event that court costs, fines and fees are not received by the local political subdivisions (e.g. the case was dismissed, 29 the defendant performs community service or serves jail time in lieu of court costs, fines and fees). PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. ATTEST: Bennett Sandlin, Executive Director 30 APPROVED: C.J. Wax, President 12. IN SUPPORT OF TEXAS ASSOCIATION OF BLACK CITY COUNCIL MEMBERS 30 YEARS OF SERVICE WITH THE TEXAS MUNICIPAL LEAGUE WHEREAS, in 1986 the Texas Association of Black City Council Members (TABCCM) was established to assist and empower black local elected officials and their constituents. Today, members of TABCCM continue their excellence by fulfilling its purpose through opportunities for the advancement of economic growth, education, and exchange of better practices, ideas and knowledge; and WHEREAS, TABCCM is a pillar of strength and representation of and for the community through fifteen regions, and municipalities across the great State of Texas. TABCCM serves as an official clearinghouse for access to information about public policy and legislative issues affecting its membership and Texas cities; and, serve as a vital resource for capacity building in local neighborhoods for revitalization and preservation; advocate for increased voter participation and education in the political process; and WHEREAS, TABCCM's mentorship for "rising" leadership fosters relationships in support of the development and education of strong future leaders through mentoring its students to attend historically black universities and colleges. The mentorship program encourages youth to participate in civic engagement with local elected officials, attend new council members' orientation while promoting voter education which maintains the enhancement of a student's overall success; and WHEREAS, for the past decade, TABCCM presented over 40 African-American high school graduates and college undergraduates with more than $45K in scholarships through the support of the Eugene McCray Scholarship Committee (EMSC) and the T.J. Patterson Sr. Annual Golf Tournament which is the association's largest educational fundraiser; and NOW, THEREFORE, BE IT RESOLVED by the delegates assembled at this 2016 Annual Conference of the Texas Municipal League that the League celebrates TABCCM thirty years of excellence as an official affiliate with Texas Municipal League and is recognized as a trailblazer for equity and inclusion for its members and respective communities. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. APPROVED: C.J. Wax, President 31 ATTEST: Bennett Sandlin, Executive Director 32 13. A RESOLUTION INCREASING TML MEMBER CITIES' SERVICE FEES WHEREAS, TML member city service fees were last increased in 2013; and WHEREAS, in June 2015, the TML Board adopted a "Reserve Zones Policy" to determine what actions should be taken when adopting each year's budget; and WHEREAS, pursuant to that policy, the current reserve is at approximately 48.8 percent of annual operating costs; and WHEREAS, that level is consistent with "Zone 2" of the policy, which calls for regular, modest fee increases and deficit budgeting in legislative years only; and WHEREAS, even with a five percent service fee increase, roughly one-half of the League's member cities will pay less then $47 per month in service fees and an additional 40 percent will pay no more than $301 per month; and WHEREAS, the cost of providing the League's services continues to climb; and WHEREAS, the TML Board has unanimously determined that it is in the best interest of the League to raise its member cities' service fees. NOW, THEREFORE, BE IT RESOLVED that TML member city service fees shall be increased by five percent; and BE IT FURTHER RESOLVED that this increase shall be effective for all TML member city service fees payable on or after January 1, 2017. PASSED AND APPROVED by the membership of the Texas Municipal League this 6th day of October, 2016, at Austin, Texas. ATTEST: Bennett Sandlin, Executive Director 33 APPROVED: C.J. Wax, President 2016-2017 Legislative Platform The Texas Recreation and Park Society's (TRAPS) primary objectives in the 85th Session of the Texas Legislature: 1. Support passage of legislation that would provide a fair and equitable distribution of the sporting good sales tax revenues for state and local parks. 2. Oppose legislative appropriation riders that set Texas Recreation and Parks Accounts (TRPA) funding No. 467 & Large County and Municipality Recreation and Parks Account No. 5007 funds for specific projects or locales. 3. Support passage of legislation that would create a constitutional dedication of sporting goods sales tax revenues for use in state and local parks that would directly benefit parks, recreation, open space, trails and tourism. 4. Support the pass through of federal dollars used for parks, recreation, open space, trails, and tourism from any of the following, but not limited to, the United States Department of the Interior Land and Water Conservation Fund (LWCF), the Sport Fish Restoration Boat Access program and the United States Department of Transportation Recreation Trails program. 5. Support legislation that would directly benefit parks, recreation, open space, trails, tourism, health and wellness (i.e. utility corridors and mobility). 6. Oppose legislation and/or unfunded mandates that would be detrimental to parks, recreation, open space, trails, and tourism (i.e. non-use of eminent domain for recreational purposes). Physical Address: 18593 FM 1431, Jonestown, TX 78645 Mailing Address: P.O. Box 5188, Jonestown, TX 78645 Website: http://www.traps.org PHONE: (512) 267-5550 • FAX: (512) 267-5557 • E-MAIL: traps@traps.org TEXAS COALITION FOR AFFORDABLE POWER Legislative Agenda Because high energy costs can impact municipal budgets and the ability to fund essential services, TCAP, as part of its mission, actively promotes affordable energy policies, including at the Texas Legislature. Affordable power in a fully competitive market also means economic development for our communities and a better life for our citizens. TCAP members are committed to making electric deregulation work. Recommendations for a more competitive electric market: Oppose One -Way Rate -making Imagine if our taxes went up every time a single state agency increased expenditures. Texans wouldn't stand for such a knee-jerk, unreasoned budgetary response. And yet it's just this sort of fiscally irresponsible thinking that utility officials peddle as good policy when it comes to setting electric rates. Known as "streamlined," "alternative" or "one-way" rate -making, these utility proposals would lead to near automatic rate increases and often without consideration of mitigating factors, such revenue increases for the utility or offsetting savings. These proposals are known as one-way rate -making because they work only in one way: against ratepayers. TCAP will oppose any legislation to extend such unfair rate -making schemes in Texas, or that further undermine consumer protections in the rate -setting process. Keeping an even playing field for consumers Texas law grants cities "original jurisdiction" over utility rates charged within city limits. This means cities can fight against unfair rate hikes and can defend their citizens' interests in rate cases at the Texas Public Utility Commission and the Texas Railroad Commission. But some monopoly utilities businesses with no free-market competitors have pressed to undermine city regulatory authority. TCAP will oppose any such legislation. Avoid Changes in the Market Structure that will Increase Wholesale Costs TCAP opposes the creation of unnecessary subsidies for big power generators. By definition, such subsidies violate the free-market principles upon which the Texas wholesale electricity market is based. Policymakers should reject all proposals for "capacity markets" in which generators get paid even when they do not operate. Reduce Confusion in the Retail Electricity Market Texas electricity consumers should have access to uniform, standard -offer products. These will help reduce confusion in the retail electricity market and allow for apples -to -apples comparisons in pricing deals. CHAIRMAN'S AND EXECUTIVE DIRECTOR'S MESSAGE TSCPA's Agenda for the 2017 Legislative Session By Kathryn W. Kapka, CPA 1 2016-2017 TSCPA Chairman and John Sharbaugh, CAE 1 TSCPA Executive Director/CEO hile many CPAs are beginning to turn their attention to the upcoming tax season and year- end audits, some TSCPA members are also looking ahead to the 85th session of the Texas Legislature that convenes in January. The Texas Legislature only meets in odd -numbered years from January to May and much can happen during that time. By the time the session begins, TSCPA will be ready with a legislative agenda. The Legislative Advisory Committee (LAC), with volunteers from all across the state, considers the legislative landscape as it impacts the accounting profession and recommends a specific agenda for TSCPA prior to each session. Once approved by the Executive Board, all the volunteers involved in the legislative process become acquainted with the agenda. At its October meeting, the LAC recommended that the agenda items include TSCPA seeking to repeal Gov. Code Sec. 2266, Texas Exception to GASB Statement 45 requiring reporting liabilities for Other Post -Retirement Benefits (OPRB). In 2009, the Legislature passed a bill that excused state and local governments in Texas from complying with Governmental Accounting Standards Board (GASB) Statement 45, which requires reporting liabilities for OPRBS. Although TSCPA opposed the bill, we were unable to keep it from passing. However, we were successful in getting the bill amended so that it was not mandatory and each local government could choose whether or not to comply with the requirement. The law established a new acceptable accounting standard for something called "pay as you go" accounting, which simply meant you didn't have to recognize liabilities if you didn't want to. As a result, CPAs would not be able to give an entity using this exception a clean opinion, because the entity would not be complying with generally accepted accounting principles (GAAP). The first year the law was in effect, the state of Texas and Travis County tried to use the exception. The state auditor refused to give the state a clean opinion unless they revised the statements, which resulted in the state issuing two sets of financial statements, one of which complied with GAAP and got a good opinion from the state auditor; the other was not reviewed by the state auditor. Travis County's auditor was unable to give a clean opinion on the county's financials. GASB would like the law to be repealed, but to do so will require a repeal of Government Code Section 2266. 4 ss THE TEXAS LEGISLATURE ONLY MEETS IN ODD -NUMBERED YEARS FROM JANUARY TO MAY AND MUCH CAN HAPPEN DURING THAT TIME. The other item the LAC proposed for TSCPA's legislative agenda is to oppose any efforts to levy a sales tax on professional services. Opposition to sales taxes on professional services has been a long- standing legislative position for TSCPA and we will be monitoring all new tax bills in case it becomes an issue during the upcoming session. The LAC also considered possible changes to the Texas Public Accountancy Act (TPAA) as follows, but decided to defer those changes until 2019 when the TPAA will undergo sunset review: • firm mobility, • unilateral international credential recognition, • retired CPA status, • transfer of CPA exam credits, and • response to a North Carolina Dental Board case. Please see the Capitol Interest article of this Today's CPA magazine for more details about the upcoming legislative session. While this is the proposed agenda, no session passes without issues arising that were not anticipated. TSCPA has a monitoring system in place to detect bills of potential interest and a network of CPAs who volunteer as key persons for individual legislators. These efforts enables us to take action as needed if bills in any way impact CPAs and the accounting profession. ■ Kathryn W. Kapka, CPA is a full-time faculty member in the University of Texas at Tyler's College of Business. She can be contacted at kkapka@uttyler.edu. John Sharbaugh can be contacted at jsharbaugh@ tscpa.net. Today's CPA JOUnited Corpus Christi CHAMBER of COMMERCE Legislative Agenda 85th Texas State Legislature The United Corpus Christi Chamber of Commerce's agenda for the 85th Texas Legislative Session builds on the progress of recent years while committing to address long-term challenges. The Chamber will continue to lead initiatives to strengthen our business climate, drive improvements in education, attract and retain the best and brightest workforce from around the world, promote a regulatory climate that offers stability and predictability to investors and advocate for public policies that strategically manage our region's growth to ensure a high quality of life for all. Economic Development: The Chamber supports • Appropriating sufficient funding to maintain the Texas Enterprise Fund balance of at least $200 million per biennium, to attract high-value companies to Texas. The TEF helps persuade large job -creating companies to choose Texas. Since its 2004 inception, the TEF helped Texas create more than 70,000 direct and 250,000 indirect jobs and $21 billion in capital investment. • The Texas Economic Development Act incentive program in Chapter 313, to attract capital investment projects to Texas. Since 2009, these projects have garnered more than $21.1 billion in investments and a projected $47.3 billion investment over the lifetime of the projects' agreements. • Protecting economic development tools which attract new jobs and companies to Texas, including but not limited to: Skills Development Fund, CPRIT, Sales & Use Tax Exemptions (to include the R&D tax credit), Enterprise & Tax Increment Financing Districts, Miscellaneous Provisions Related to Planning (Ch.312, 380, 381) and the $1 million small business franchise tax exemption. • An exceptional item of $9.5 million to allow the Lone Star Unmanned Aircraft System Center (LSUASC) to expand its UAS research and operations and facilitate the FAA's safe integration of UAS into the national airspace. The item would allow the LSUASC to further assist companies and state agencies with integration of UAS strategies into their operations; develop Texas as a leader in the emerging UAS industry; help prepare students and others for jobs requiring UAS expertise; keep Texas competitive with other states with test sites; and fulfill the university's education, research and commercialization missions. Final 85th TSL Agenda v. 8 G.Cross 11.01.2016 1 Windstorm Insurance Reform: The Chamber supports • Protecting the reforms achieved in SB 900, including the restructuring of the governing board to put policyholders on equal footing with insurance industry members, establishing TWIA financial structure that provides a stable, sustainable and affordable rate structure capable of covering a 1 -in -100 year storm, requiring member insurance companies to pay allowable assessments sooner, establishing a small statewide catastrophic storm fund for excess losses, and structuring a more financially beneficial re -insurance program. • Creating incentives to promote voluntary coverage of windstorm and hail policies on the Texas Coast. • Pro- policyholder strategies and policies that promote and protect the Texas Gulf Coast. Protecting Our Military Bases: The Chamber supports • Excluding school districts from granting Chapter 313, Tax Code, tax abatements for wind farms within 30 nautical miles of a military installation • $60 million in funding for the Texas Military Preparedness Commission to support military value projects that enhance Texas installations' missions, improve operational efficiencies, and proactively address impacts from sequestration or future base realignment and closure activities. Transportation and Infrastructure: The Chamber supports • Policies that promote the efficient movement of goods and people which is crucial to fostering economic development and a desirable quality of life. • Preservation of the funds from Proposition 1 (Oil & Gas Severance Tax) and Proposition 7 (Texas Mobility Fund) to continue the enhancement of the state highway system. • The development of a multi -modal transportation network (roads, freight rail, passenger rail) throughout the state to improve mobility, support its growing population, support economic development, and enable Texas to compete in an increasingly global market. • Protecting various "tools" for mitigating congestion, including toll roads. • Local option funding sources that would be directed to improvements of the local transportation networks that support statewide connectivity. • Funding for the Port Access Account Fund for infrastructure improvements at Texas ports to ensure the effective movement of cargo, essential to the economic vitality of Texas. Talent Development: The Chamber supports • The creation of a well -funded and updated school finance system, which includes: sufficient resources so schools prepare, determine and report whether Texas students graduate college and career ready, updated and utilized indices and weights, appropriate funds for English learners and low-income students, and Final 85th TSL Agenda v. 8 G.Cross 11.01.2016 2 formula -funded quality pre -K programs. State funding formulas have not kept pace with the changing demographics and educational needs of local communities. • Investing to achieve the Texas Higher Education Coordinating Board's 60x30TX plan, including full TEXAS Grants awarded to eligible students. Increasing the number of Texas students who graduate with a college degree or certificate is essential to keep the state globally competitive, now and in the future. • Maintaining funding for higher education formulas to ensure high quality teaching and support services that prepare students for the workforce. • An exceptional item for Texas A&M University Corpus Christi of $2 million to assist with the start-up of civil and industrial engineering programs, which will support the industrial growth underway in the Coastal Bend and also support university research programs in marine and coastal issues, geospatial science and unmanned systems. • Adequate funding for Community College Core Operations, Student Success Points and Workforce Training is essential. • Funding for the Texas Workforce Commission to enhance Skills Development Funds and Jobs and Education for Texans (JET) grants to continue the critical workforce training capacity of community colleges. • Opposition to legislation that is seen as discriminatory and would impact workforce recruitment and/or cause a negative economic impact on the state. Tourism: The Chamber supports • Oppose Proposals to Use Local Hotel Tax for Non -Tourism Purposes. • Support Retention of Full State Tourism Funding. • Positive changes to Local Hotel Tax Use Laws to include expansion of sporting facilities category to include additional sports activities; requiring communities to complete a financial feasibility study and statutory compliance review prior to pursuit of new or expanded convention center projects; clarifying the "primary usage" test for convention center funding regarding conventions and meetings that directly promote hotel activity and, clarifying state venue tax law to make the statutory wording consistent with legislative intent regarding "other facilities" as they pertain to convention center facilities. • Utilizing the deep -water Port of Corpus Christi cruise option to foster economic opportunity statewide by developing the Cruise industry between Calhoun and Cameron counties, estimated economic impact-- $2 billion. • Preserving the Uniform School Start Date Law (4th Monday in August), which allows Texans to vacation through August, bringing millions of sales tax dollars to the Coastal Bend. • Passage of Open Records Request Requirement for hotel sales data currently online via the Texas Comptroller's website. Final 85th TSL Agenda v. 8 G.Cross 11.01.2016 3 • Legislation that would directly benefit parks, recreation, open space, trails, tourism, health and wellness (i.e. utility corridors and mobility), including legislation that would provide a fair and equitable distribution of the sporting good sales tax revenues for state and local parks and a constitutional dedication of sporting goods sales tax revenues for use in state and local parks that would directly benefit parks, recreation, open space, trails and tourism. Energy: The Chamber supports • healthy economic growth in Texas by promoting the production of adequate supplies of all forms of energy at competitive prices. • a balanced approach to expansion of the electric grid system in order to improve and expand the system and maintain reliable service. Environment: The Chamber supports • efforts by the Legislature to establish the authority of the TCEQ to acknowledge the contribution of foreign sources of air pollution • efforts to ensure that TCEQ adopt flexible, aggressive plans for the approval of emission reduction credits to ensure the maximum degree of economic growth and business development in air quality nonattainment areas. Water: The Chamber supports • the development and implementation of a water strategy for the State of Texas to meet the long-term needs of the State, through conservation, surface water, groundwater, aquifer storage and recovery, inter basin transfers, rainwater harvesting, desalination, reuse projects or other strategies. Human Trafficking: The Chamber supports • Enacting comprehensive legislation to combat human trafficking. Texas' geographical size, location on the Mexico border, and busy ports, compel the state to take a lead role in combating human trafficking. Health Insurance Coverage for Low Income Adults in Texas: The Chamber supports • Developing and implementation of a flexible "Texas Way Program" to expand private market-based coverage to the uninsured, promote personal responsibility, and focus additional resources on prevention and wellness related to physical and behavioral health. • Protect and strengthen access to behavioral health care (mental health and substance use disorder services) to create healthier communities as well as healthier workforce. Transportation Network Companies: The Chamber supports Final 85th TSL Agenda v. 8 G.Cross 11.01.2016 4 • comprehensive statewide regulation of TNCs that is uniform, supports consumer choice and personal responsibility, creates incentives for technical innovation, enhances job growth and public safety and eliminates unnecessary and local government regulation Other Issues: The Chamber supports • Opposition to any legislation that would remove public notices from newspapers. • Rejection of any effort to change the current title insurance market , including a move to "file and use" model, that would substantially increase risk, cause higher prices and send jobs out of Texas. Final 85th TSL Agenda v. 8 G.Cross 11.01.2016 5 INTERSTATE Gulf Coast Strategic Highway Coalition Connecting U.S. Army Facilities and Texas Strategic Ports September 20, 2016 Modifying and Expanding the Central Texas Corridor The Gulf Coast Strategic Highway Coalition requests that Congress revise the Central Texas Corridor description in statute as follows: [1] Eliminate the section of US 190 from 1-10 in Pecos County to Brady in McCullough County from the Central Texas Corridor. Include the following routes in the Central Texas Corridor and the 1-14 system in Texas: [2] From a connection to Interstate 20 in the vicinity of Midland, Texas, following SH 158 eastward to US 87 and then following US 87 southeastward, passing in the vicinity of San Angelo, and connecting to US 190 in the vicinity of Brady, Texas [3] US 83 southward from the vicinity of Eden, Texas, to a logical connection to Interstate 10 at Junction, Texas [4] US 96 from 1-10 at Beaumont, Texas, north to US 84 in the vicinity of Tenaha, Texas [5] US 69 from 1-10 at Beaumont north to US 59 in the vicinity of Lufkin, Texas REASONS FOR AMENDING CORRIDOR • The Coalition has had the opportunity since passage of the FAST Act to gather further input from stakeholders in West Texas. A route that includes the population and commercial centers at Midland -Odessa and San Angelo will provide significantly more benefit to the traveling public and freight shippers than a route running west to 1-10 through a series of sparsely populated counties. Overall the corridor, including connecting routes, will provide the strategic benefit of better connecting three significant U.S. Army facilities to each other and to the strategic deployment seaports at Beaumont and Corpus Christi. These revised corridor routes will provide greater efficiency in the movement of freight statewide and nationally. • The addition of a spur route following US 83 from Eden south to 1-10 at Junction will create an efficient all -freeway freight route connecting West Texas energy producing regions with manufacturing centers and global shipping connections on the Texas Coast. It will further provide a faster, safer route for motorists between the Permian Basin, San Angelo, San Antonio and Corpus Christi. • The addition of a spur route on US 96 north from Beaumont to Tenaha and a spur on US 69 north from Beaumont to Lufkin will significantly improve military access to the Port of Beaumont. Both spurs will provide connections to future Interstate 69 and provide an alternative interstate route outside the Houston airshed. These routes will improve the safety of the public travelling across the state and, significantly, will provide greater hurricane evacuation capacity for growing population and industrial centers in the Beaumont -Port Arthur and Greater Houston coastal zone. Gary Bushell, Executive Director • (512) 478-6661 • E-mail: gebushell@aol.com • www.gulfcoaststrategichighway.org 800 West 38th Street, Suite 9305, Austin, Texas 78705 (� COn res3i-on D a-14tentral. /Of the F- de aaaaTl /FORT , BLISS L_ o the 4s Part Act`s,/ - El Paso Congressional Action Needed to Add US87/SH 158 & US 83 to the hs r' 1-14 Central Texas Corridor Ill R _ Rive Midland Odessa FORT HOOD R . ckdale Temple FUTURE ameron Jasper Junction dville Kirby The Central Texas Corridor approved by Congress in the 2105 FAST Act includes the section of US 190 from Brady to a connection with Interstate 10 in Pecos County. Members of Congress and the Gulf Coast Strategic Highway Coalition now think a better route for future 1-14 will instead have the corridor run west from Brady through San Angelo and to Interstate 20 at Midland, benefiting those existing population and commercial centers. An amendment to the congressional designation is being sought. 1-14 - Gulf Coast Strategic Highway System Houston San Antonio I-14 Central Texas Corridor (Congressionally Designated) Potential Additional 1-14 System Routes 4 -Lane Divided Feeders _ 1-37 / 1-10 / SH 130 / 1-35 Feeder/Connectors Background colors on state map indicate Texas Department of Transportation Districts Gulf Coast Strategic Highway Coalition, Inc. FUTURE or , Congressional Action Needed to Add U596&US69tothe 1-14 Central Texas Corridor Port of gond Corpus Christi Military Deployment Port • Corpus Christi Army Depot Brownsville 0 25 50 mont Port of Beaumont Military Deployment Port 100 Miles 25 KM 5n KM 100 KM Connecting U.S. Army Facilities and Texas Strategic Ports Don Rodman - 9/20/16 2017 Congressional Calendar January April 2 9 10 16 17 23 30 11 12 13 14 15 S MT WT F S 1 8 18 19 20 21 22 29 M T W T - - - - - - - ® - - 111 El - - - - - - '----® ®2425 26 27 ISZI ® - - - - - 9 16 8 30 .Jctobei s M T W T 0----t - ----113 ®----10 ® 23 24 25 26 X27 30 31 MMMM - - - - - - - 8 14 28 29 Current as of December 1, 2016 February M T W T 1 2 3 - 6 IF 8 9 10 MI ® 13 14 15 16 17 4 19 26 18 20 ®®® 24 El 27 28,MMMM - - - - - - - May M T W T 1 2 3 4 5 El [8 9 10 11 12 111 115 16 17 18 19 ® 22 23 24 25 26 291 30 ® • • • - - - - - - - 6 14 28 20 August S MT W T F S 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 November M T W T - - - - r- © 6 AMIE r9 10 El ® 13 14 15 16 17 ® ® 23 24 El 2iY■■ ■'ii- - - - - - - - 4 18 19 26 20 March M T W T ---�2 3 ®--Min R9 10 m ®M' 15 16 17 - r20 21 22 23 24 Ea 4 18 26 h31 - - - - - - - - S 4 11 18 25 IMITIWI1I2I3 15 6 7 ,12 13 14 21 77 28 8 15 22 29 9 16 23 30 1111 10 17 24 September S 3 10 17 24 11 I T 1 W 1 T I 1 12 ---IIL_ 8 ----- P1- - - 2 2 '28 29 11 9 16 23 30 I December M T W T ----- 1 -- MR. F7 8 12 13 14 15 10 18 19 20 9 16 El El FM 111. - - - - - - - 26 El 28 29 30 House in Session Only Senate in Session Only House & Senate in Session 11 Federal Holiday Important Phone Numbers White House Switchboard (202) 456-1414 U.S. Capitol Switchboard (202) 224-3121 Senate Republican Cloakroom (202) 224-6191 Senate Democratic Cloakroom (202) 224-4691 House Republican Cloakroom (202) 225-7350 House Democratic Cloakroom (202) 225-7330 rational 1828 L Street NW, Suite 640 Washington, DC 20036 Phone: (202) 470-5337 Fax: (202) 429-4930 www.rational360.com AGENDA MEMORANDUM Future Item for the City Council Meeting of December 20, 2016 Action Item for the City Council Meeting of January 10, 2017 DATE: November 8, 2016 TO: Margie C. Rose, City Manager FROM: Julio Dimas, Interim Director, Development Services Department JulioD@cctexas.com (361) 826-3276 Resolution authorizing the City Manager or designee to enter into an Outside City Limit Water Contract for property located at 6917 Jurica Road CAPTION: Resolution authorizing the City Manager or designee to enter into an outside city limits water contract with John C. Avila to provide public water to property located outside the city limits described as Robertson William J. Farm Tracts, 1 Acre out of Lot 5-A Tract 20; also commonly known by its street address as 6917 Jurica Road under Section 55-111, Code of Ordinances. PURPOSE: City Council approval is required for the outside city limits water contract before the contract for such service can become effective. The City Manager or designee is authorized to execute water service contracts upon Council approval. RECOMMENDATION: Approval of the resolution authorizing the City Manager or designee to enter into an outside city limits water contract with the property owner of 6917 Jurica Road located outside the city limits pursuant to Section 55-113 of the City Code of Ordinances. The water contract will be with John C. Avila, the owner of the property. BACKGROUND AND FINDINGS: Section 55-111 of the Code of Ordinances requires a written service contract between the City and all owners and record mortgagees and lienholders of such property. The property owner, John C. Avila, is currently building a home outside the city limits on property of Robertson William J. Farm Tracts, 1 Acre out of Lot 5-A Tract 20, also commonly known by its street address as 6917 Jurica Road. In order to obtain public water, the property owners must comply with the following requirements: a. Enter into a written service contract with the City; b. Submit plans that are in compliance with all city codes and obtain all city permits as if the property were within the City limits; and c. Allow inspections of all such construction. Water connection will not be approved until after the water service contract has been approved and recorded in the Nueces County records. Pursuant to the requirements of the water service contract, construction may only occur in compliance with City regulations, including construction permit requirements, as though the property were inside the City. Staff recommends the City Council approve authorizing the City Manager or designee to enter into outside city limits water contracts with the property owners to provide public water to their property located outside the city limits. ALTERNATIVES: Not recommended OTHER CONSIDERATIONS: Not Applicable CONFORMITY TO CITY POLICY: Section 55-111 of the City Code requires City Council approval of outside -City -limits water contracts. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Legal FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital • •Not applicable Fiscal Year: 2016-2017 Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE Fund(s): Comments: None LIST OF SUPPORTING DOCUMENTS Resolution with OCL Water Contract w/ Exhibit A Presentation Resolution Authorizing the City Manager or designee to enter into an outside city limits water contract with John C. Avila to provide public water to property located outside the city limits described as Robertson William J. Farm Tracts, 1 Acre out of Lot 5-A Tract 20; also commonly known by its street address as 6917 Jurica Road under Section 55-111, Code of Ordinances. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: The City Council authorizes the City Manager or designee to enter into an outside city limits water contract with John C. Avila to provide public water to property located outside the city limits. The water contract is attached hereto and incorporated herein by reference. ATTEST: THE CITY OF CORPUS CHRISTI Rebecca Huerta Dan McQueen City Secretary Corpus Christi, Texas of Mayor The above resolution was passed by the following vote: Dan McQueen Rudy Garza Paulette Guajardo Michael Hunter Joe McComb Ben Molina Lucy Rubio Greg Smith Carolyn Vaughn STANDARD FORM CONTRACT FOR PROVIDING WATER WHERE PROPERTY IS SITUATED PARTLY OR WHOLLY BEYOND CITY LIMITS STATE OF TEXAS § COUNTY OF NUECES THIS CONTRACT AND AGREEMENT made and entered into an original by and between, John C. Avila (Owner), whose address is 4613 Grand Lake Drive, Corpus Christi, TX 78413 and the City of Corpus Christi, Texas ("City"), a home rule city of more than 250,000 population, a municipal corporation and body politic under the laws of the State of Texas, of 1201 Leopard Street, Corpus Christi, Texas 78401, County of Nueces, State of Texas, for good and valuable consideration in hand received by the parties respectively and upon the covenants and conditions hereafter stated: WITNESSETH: I. Owner is owner in fee simple and of all existing rights, titles and interests therein of all the following described property located in Nueces County, Texas, which is situated partly or wholly beyond the corporate limits of the City of Corpus Christi, and further, the property is not principally used for port -related industry, as defined by Section 55-111, as amended, Code of Ordinances, City of Corpus Christi, and is generally delineated on the map attached to this contract and marked "Exhibit A" and being more particularly described as follows, to -wit: Robertson William J. Farm Tracts, 1 Acre out of Lot 5-A Tract 20, also commonly known by its street address as 6917 Jurica Road, Corpus Christi, TX 78417 II. City agrees to deliver City water to such property or to waterlines on the property, under rules and regulations promulgated and authorized by Sections 55-111 as amended, of the Code of Ordinances, City of Corpus Christi. III. Owner and Lien Holder agree to construct all improvements on such property under all City codes and regulations and to obtain all City technical construction permits as though the property were inside the City. Owner and Lien Holder consent to inspections of all of such construction of duly authorized inspectors or representatives of City departments charged with enforcement of the codes and regulations. Owner and Lien Holder agree that, as to any improvements, the applicable codes and regulations are those codes and regulations that are in effect at the time of commencement of the improvements. IV. All connections to the City water system are subject to the same rules and regulations regarding standards of delivery of water service, including installation and disconnections for failure to pay charges, as consumers within the City limits. Page 1 of 3 V. IT IS AGREED by and between the parties hereto that all of the above conditions shall be binding upon the successors and assigns of the said Owner and each of them, if multiples, and constitutes a covenant running with the land. WITNESS OUR HAND this day of , 2016. OWNER: John C. Avila John C. Avila, Owner STATE OF TEXAS COUNTY OF NUECES § § § This instrument was acknowledged before me on this the day of 2016, by John C. Avila, Owner. Notary Public, State of Texas K:\DEVELOPMENTSVCS\SHARED\LEGISTAR\2016 CC AGENDA ITEMS\12-13-16\OCL WATER CONTRACT- WILLIAM ROBERTSON FARM TRACTS, TRACT 20, LOT 5A (6917 JURICA)\WATER CONTRACT.DOC Page 2 of 3 City of Corpus Christi: ATTEST: By: By: Rebecca Huerta Daniel McGinn, Interim Director City Secretary Development Services Department STATE OF TEXAS COUNTY OF NUECES This instrument was acknowledged before me on this day of 2016, by Rebecca Huerta, City Secretary, of the City of Corpus Christi, a Texas home -rule municipal corporation, on behalf of said corporation. Notary Public, State of Texas STATE OF TEXAS COUNTY OF NUECES This instrument was acknowledged before me on this day of 2016, by Daniel McGinn, Interim Director, Development Services Department, of the City of Corpus Christi, a Texas home -rule municipal corporation, on behalf of said corporation. Notary Public, State of Texas APPROVED AS TO FORM: day of , 2016. Buck Brice Assistant City Attorney for the City Attorney K:\DEVELOPMENTSVCS\SHARED\LEGISTAR\2016 CC AGENDA ITEMS\12-13-16\OCL WATER CONTRACT- WILLIAM ROBERTSON FARM TRACTS, TRACT 20, LOT 5A (6917 JURICA)\WATER CONTRACT.DOC Page 3 of 3 Robertsons WM. J Farm Tracts, 1 Acre Out of Lots 5-A Tract 20 0 0.01750.035 0.07 0.105 Miles Corpus Christi w WEST POINT 4¢ � Exhibit "A" Water Contract Location Map City Limits Date Created 11/2/2016 Prepared By: (vette J. Magallanez Department of Development Services Projected Coordinate System: NAD_7983_StatePlane_Texas_South_FIPS_420S_Feet Projection: Lambert_Confonnal_Conic File:k 4DevelopmentSvcs4SHARED4GIS Projects4Cases42016 Water Contracts4FARM TRACKS41AC-L TSA4ROBERTSON WMJ FARM TRS IAC OUT OF LT S-A TR 200CL WC.nttd Aerial Overview Vicinity Map CR 278 cR 2e� cR 3o-1 8241 0.0., R R6R 230 CR CCR 123 CR R2 CR 47 CR 49 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 20, 2016 Action Item for the City Council Meeting of January 10, 2017 DATE: TO: December 5, 2016 Margie C. Rose, City Manager THRU: Mark Van Vleck, Assistant City Manager MarkVV@cctexas.com (361) 826-3082 Valerie H. Gray, P.E., Executive Director, Public Works ValerieG@cctexas.com (361) 826-3729 FROM: Dan Grimsbo, Interim Director of Water and Utilities DanG@cctexas.com (361) 826-1718 Jeffrey H. Edmonds, P.E., Director, Engineering Services JeffreyE@cctexas.com (361) 826-3851 Engineering Construction Contract O.N. Stevens Water Treatment Plant Fluoride Feed System Improvements (Capital Improvement Program) CAPTION: Motion authorizing the City Manager, or designee, to execute a construction contract with J.S. Haren Company of Athens, Tennessee in the amount of $1,073,000 for the O.N. Stevens Water Treatment Plant Fluoride Feed System Improvements for the Total Base Bid, Additive Alternate No.1, and Allowance. (Capital Improvement Program) PURPOSE: The purpose of this agenda item is to obtain authority to execute a construction contract for the O.N. Stevens Water Treatment Plant Fluoride Feed System Improvements for the Total Base Bid, Additive Alternate No. 1 and Allowance. CIP Description: O.N. Stevens Water Treatment Plant Fluoride Feed System Improvements The existing Fluoride feed system at O.N. Stevens Water Treatment Plant consists of three outdoor doubled -walled polyethylene bulk storage tanks and two polyethylene day tanks and pumps. The fluoride feed system has experienced failures of the various feed system components. This project provides for replacement of existing equipment with two new bulk storage tanks, a new exterior day tank and new peristaltic pumps mounted on skids and a new steel pre-engineered building to house pump skids. Additional work will include rehabilitation of injection points for Clearwell No. 1 and Clearwell No. 2 and modernization of the plant fluoride injection control and monitoring system to improve the optimization and control of fluoride addition with flow -paced control. BACKGROUND AND FINDINGS: The O.N. Steven Water Treatment Plant (ONSWTP) feeds hydrofluosilicic acid (fluoride) into the finished water upstream of the clearwells to help prevent tooth decay for the customers. The existing fluoride system consists of three outdoor double -walled polyethylene bulk storage tanks, and two polyethylene day tanks and pumps located in a fiber reinforced polymer (FRP) enclosure. This system was recommended by the Texas Department of State Health Services. However, the fluoride feed system is currently inoperable due to the failure of various feed system components such as the metering pumps, day tank scales, and instrumentation, and a temporary fluoride feed system has been installed to feed fluoride in water treatment. This project is intended to replace the existing system with a new updated system to improve the system reliability, operator safety and access for proper operation and maintenance. In order to maximize the value of existing assets, the project involves re -using the existing concrete containment area and replacing the aged mechanical components with new equipment. The project was developed with a Base Bid and one (1) Additive Alternative as follows: Base Bid: consists of improvements to fluoride treatment facilities including the containment and storage structures, chemical feed and injection equipment, instrumentation and controls, supervisory control and data acquisition (SCADA) and the electrical service. Additive Alternate: provides a new concrete injection vault for water treatment train 2. As a cost- saving measure, the Contractor will first attempt to repair and re -use the existing injection point. If, after excavation and inspection, it is concluded that the injection point cannot be re -used, a new concrete injection vault will have to be constructed. On November 9, 2016, the City received proposals from three (3) bidders and the respective bids were as follows: CONTRACTOR TOTAL BASE BID ADDITIVE ALTERNATE NO.1 ALLOWANCE* TOTAL BASE BID, ADD ALT NO.1,& ALLOWANCE J.S. Haren Company Athens, TN $933,000 $110,000 $30,000 $1,073,000 Pepper Lawson Waterworks, LLC The Woodlands, TX 958,000 110,000 30,000 1,098,000 Associated Construction Partners, Ltd. Boerne, TX 1,255,000 30,000 30,000 1,315,000 Engineer's Opinion of Probable Construction Cost (Base Bid, Add. Alt. No.1, & Allowance) 916,000 *Includes an allowance of $30,000 for all bidders for unanticipated utility repair/relocation The City's consultant, LNV, Inc. analyzed J.S Haren's proposal and recommended the project be awarded to J.S. Haren Company. Based on a review of J.S. Haren's experience and resources, J.S Haren Company is qualified to provide the construction services for the project. ALTERNATIVES: 1. Authorize the execution of the construction contract. 2. Do not authorize the execution of the construction contract. (Not Recommended) OTHER CONSIDERATIONS: The City's construction engineer and the consultant engineer will determine whether or not the Additive Alternate No.1 and Allowance are needed during the course of construction. CONFORMITY TO CITY POLICY: Conforms to City Fiscal Policy. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Utilities Department FINANCIAL IMPACT: ❑ Operating ❑ Revenue ®Capital ❑ Not applicable Fiscal Year 2016-2017 Project to Date Expenditures Current Year Future Years TOTALS Line Item Budget (CIP) $1,100,000 $1,100,000 Future CIP 200,000 200,000 Encumbered / Expended Amount This Item 1,073,000 1,073,000 Future Anticipated Expenditures This Project 225,800 225,800 BALANCE $1,200 $1,200 Fund(s): Water CIP #14 Comments: This project requires approximately 210 days for construction with anticipated completion in August 2017. The construction contract will result in the expenditure of an amount not to exceed $1,073,000. RECOMMENDATION: City Staff recommends approval of a construction contract with J.S. Haren Company of Athens, Tennessee in the amount of $1,073,000 for the O.N. Stevens Water Treatment Plant Fluoride Feed System Improvements for the Total Base Bid, Additive Alternate No.1, and Allowance. LIST OF SUPPORTING DOCUMENTS: Project Budget Location Map Presentation Form 1295 PROJECT BUDGET O.N. STEVENS WATER TREATMENT PLANT FLUORIDE FEED SYSTEM IMPROVEMENTS FUNDS AVAILABLE: Water CIP 1,300,000 FUNDS REQUIRED: Construction Fees 1,180,300 Construction (J.S. Haren Company) THIS ITEM 1,073,000 Construction Contingency (10%) 107,300 Construction Observation & Testing Fees' Construction Observation Estimate (TBD) 30,000 Construction Materials Testing Estimate (TBD) 25,000 55,000 Engineer: Engineer (LNV, Inc.) (Design was completed with project E12211) 0 Reimbursement Fees 63,500 Contract Administration (Engineering Svcs Admin/Capital Budget/Finance) 26,000 Engineering Services (Project Mgmt/Constr Mgmt) 32,500 Misc 5,000 TOTAL $1,298,800 PROJECT BUDGET BALANCE $1,200 CAL&LLEN 16241 Walmart Supercenter 118891 San 0 Robstown 18921 13921 s6 48 N. tij n) 16941 116941 13161 12256 Project Location Violet (aa) Ei U F -t1 30 15501 6651 1 2292 1 `44 Corpus Christi I nternationa I Airport 1 260 1 X44 Texas State Aquarium ", Corpus Christi °q�harRa , Project 4-E,f5233 O.N. Stevens Water Treatment Plant Fluoride Feed System Improvements (E15233) CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Carpus Chr sti Engineering O.N. Stevens Water Treatment Plant Fluoride Feed System Improvements Council Presentation December 20, 2016 Project Location Corpus Chr sti Engineering W e&rw l Superoenes Robolown N. ® " ® 0. N. Stevens Water Treatment Plant (ONSWTP) Project #: E15233 r �: Vicinity Map Corpus Chr'sti Engineering Fluoride Treatment Facilities Project Number: E15233 3 Project Scope Corpus Chr sti Engineering This project is to replace the existing fluoride system to improve the system reliability, operator safety and access for proper O&M. The project was developed and recommended for award of the Base Bid plus Additive Alternative No.1 and the Mandatory Allowance presented below: Base Bid: Provides improvements and replacement of the fluoride treatment containment and storage structures, chemical feed and injection equipment, instrumentation and controls, supervisory control and data acquisition (SCADA) and the electrical service. Additive Alternate No. 1: Provides rehab or replacement of the concrete injection vault for water treatment train 2. The extent of upgrade will be based on the most cost effective strategy after removal and investigations of the existing equipment/structures is complete. Mandatory Allowance: Provides for unforeseen improvements that cannot be determined until demolition and removal of existing structures and equipment Project Schedule Corpus Chr sti Engineering 2016 2017 OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG Bid & Award Construction siM Project Construction Estimate: 210 Calendar Days = 7 Months Schedule reflects City Council construction award in January 2017 with completion planned by August 2017 CERTIFICATE OF INTERESTED PARTIES Complete Nos. 1 - 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 if there are no interested parties. 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. 3. S. Haren Company Athens, TN United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi FORM 1295 1 of 1 OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-140248 Date Filed: 11/28/2016 Date Acknowledged: g Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. E15233 ONSWTP Fluoride Feed System Improvements 4 Name of Interested Party City, State, Country (place of business) Con Nature of interest (check applicable) trailing Intermediary 5 Check only if there is NO Interested Party. lJ 6 AFFIDAVIT ofistiNesscYr NOTt�� t wt AFFIX NOTARY STAMP / SEAL ABOVE Sworn to and subscribed before me, by the sai to certify which, witness my hand and seal of office. swear, or affirm, under penalty of perjury, that the above disclosure is true and correct. Signature of authorized agent of contracting business entity [1110 last —V t U LQ,, , this the . Sa_ re day of 0 e S i cte tut— Title tom ` Signature of officer administering oath Printed name of officer administering oath Title of officer administering oath Forms provided by Texas Ethics Commission www.eth i cs. state.tx. u s Version V1.0.277 AGENDA MEMORANDUM Future Item for the City Council Meeting of December 20, 2016 Action Item for the City Council Meeting of January 10, 2017 DATE: December 9, 2016 TO: Margie C. Rose, City Manager THRU: Mark Van Vleck, Assistant City Manager MarkVV@cctexas.com (361) 826-3082 Valerie H. Gray, P.E., Executive Director, Public Works ValerieG@cctexas.com (361) 826-3729 FROM: Dan Grimsbo, Interim Director of Water and Utilities DanG©cctexas.com (361) 826-1718 Jeffrey H. Edmonds, P.E., Director, Engineering Services JeffreyE©cctexas.com (361) 826-3851 Enqineerinq Construction Contract Staples Street Pump Station Improvements (Capital Improvement Program) CAPTION: Motion authorizing the City Manager, or designee, to execute a construction contract with Associated Construction Partners, Ltd. of Boerne, Texas in the amount of $1,923,430 for the Staples Street Pump Station Improvements for the Total Base Bid. (Capital Improvement Program) PURPOSE: The purpose of this agenda item is to obtain authority to execute a construction contract for the Staples Street Pump Station Improvements for the Total Base Bid. CIP Description: Staples Street Pump Station Improvements The South Staples Booster Pump Station is equipped with two high service pumps that presently serve the South Side service area. Current operations indicate that additional pumps may be needed to maintain the minimum required pressure. An upgraded pumping system will enable the pump station to meet upcoming demand associated with planned decommissioning of the Holly Road Pump Station. The project will address pumping backup requirements during pump maintenance. Addition of Variable Speed Drives (VSDs) will improve pumps and provide more efficient energy use. Electrical upgrades are also required in order to meet the Alternative Capacity Requirement (ACR) as required by Texas Commission on Environmental Quality (TCEQ). Control system upgrade will allow the pump station to operate automatically, unmanned. BACKGROUND AND FINDINGS: The pump station is located on the south side at the Farm to Market (FM) 2444 (Staples Street) and FM 43 intersection. This project increases the existing pump station capacity from 10 Million Gallons per Day (MGD) to 13.75 MGD and improves the efficiencies for the operations and maintenance. The existing Staples Street Pumping Plant was designed per the City's 1997 Water Master Plan with initial maximum capacity of 10 MGD, and ultimate capacity of 20 MGD. The pump station was constructed in 2001 with the 10 MGD capacity using the two 5 MGD pumps. The two existing 5 MGD pumps are now at the end of their useful life and cannot efficiently meet the current or future demands. Continued growth on the south side has increased the demands on the pump station that requires the existing pumps to operate outside the peak operating curves. When pumps operate outside the peak design curves (efficiency of the pump of required horsepower versus the measured output), the power usage is higher and greater fatigue on the pump. City Council awarded an engineering services contract to Urban Engineering to replace the two 5 MGD pumps and increase the capacity to 20 MGD with the four pump configuration; two 5 MGD and two 10 MGD pumps. During design phase, an amendment was awarded by City Council to conduct modeling the water system with various design capacities to better align the pump station with the City's Alternate Capacity Requirement (ACR) plan that was approved by Texas Commission for Environmental Quality (TCEQ). As a result, the design capacity was reduced to 13.75 MGD firm capacity with a configuration of three 7.5 MGD pumps. One pump is designed for redundancy to allow maintenance and pump cycling to improve performance, reliability and maintenance. The new pumps will also be variable speed pumps allowing greater range of operating curves and efficiencies. The new design is more cost efficient for construction, operations and maintenance. This item provides for the construction contract award to install three new 7.5 MGD pumps and associated valves, piping, mechanical, electrical, upgrades to the supervisory control and data acquisition (SCADA) system and other miscellaneous improvements at the Staples Street Pump station. The operation of two pumps simultaneously achieves the required capacity of 13.75 MGD and place the pumps at the optimal operating curves for efficiency. The project is critical to the overall ACR plan and must be operational in the fall of 2017 prior to the commissioning of the new elevated water storage tanks currently under construction at Holly Road. On November 16, 2016, the City received proposals from five (5) bidders and the respective bids were as follows: CONTRACTOR TOTAL BASE BID Associated Construction Partners, Ltd. Boerne, Texas $1,923,430 R.M. Wright Construction Company El Paso, Texas 1,936,805 J.S. Haren Company Athens, Tennessee 1,986,025 Black Castle General Contractor New Braunfels, Texas 2,137,880 Pepper Lawson Waterworks, LLC The Woodlands, Texas 2,185,000 Engineer's Opinion of Probable Construction Cost, includes allowance $2,060,200 The City's consultant, Urban Engineering analyzed the five proposals and recommended the project be awarded to Associated Construction Partners, Ltd. Based on a review of Associated Construction Partner's experience and resources, Associated Construction Partners is qualified to provide the construction services for the project. ALTERNATIVES: 1. Authorize the execution of the construction contract. (Recommended) 2. Do not authorize the execution of the construction contract. (Not Recommended) OTHER CONSIDERATIONS: None CONFORMITY TO CITY POLICY: Conforms to City Fiscal Policy. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Utilities Department FINANCIAL IMPACT: ❑ Operating ❑ Revenue ®Capital ❑ Not applicable Fiscal Year 2016-2017 Project to Date Expenditures Current Year Future Years TOTALS Line Item Budget (CIP) $3,239,000 $3,239,000 Encumbered / Expended Amount 425,760 425,760 This Item 1,923,430 1,923,430 Future Anticipated Expenditures This Project 553,633 553,633 BALANCE $336,177 $336,177 Fund(s): Water CIP #11 Comments: This project requires approximately 210 days for construction and will result in the expenditure of an amount not to exceed $1,923,430. RECOMMENDATION: City Staff recommends approval of a construction contract with Associated Construction Partners, Ltd. of Boerne, Texas in the amount of $1,923,430 for the Staples Street Pump Station Improvements for the Total Base Bid. (Capital Improvement Program) LIST OF SUPPORTING DOCUMENTS: Project Budget Location Map Presentation Form 1295 PROJECT BUDGET STAPLES STREET PUMP STATION IMPROVEMENTS FUNDS AVAILABLE: Water CIP $3,239,000 FUNDS REQUIRED: Construction Fees 2,115,773 Construction (Assoicated Construction Partners) THIS ITEM 1,923,430 Construction Contingency (10%) 192,343 Construction Observation & Testing• 194,340 Construction Observation Estimate (TBD) 97,170 Construction Materials Testing Estimate (TBD) 97,170 Engineering Design and Modeling Fees. 425,760 * Engineering Design (Urban Engineering) 87,400 Amendment No. 1 (Urban) 129,070 Amendment No. 2 (Urban) 135,640 Amendment No. 3 (Urban) 8,700 Amendment No. 4 (Urban) 49,950 Engineer Modeling Support (LNV, Inc.) 15,000 Reimbursement Fees. 166,950 Contract Administration (Engineering Svcs Admin/Capital Budget/Finance) 64,780 Engineering Services (Project Mgmt/Constr Mgmt) 97,170 Misc 5,000 TOTAL $2,902,823 PROJECT BUDGET BALANCE $336,177 *Original contract approved by City Council on March 27, 2012 by Motion M2012-065 **Amendment No. 1 approved by City Council on March 19, 2013 by Motion No. M2013-046 ***Amendment No. 2 approved by City Council on October 8, 2013 by Motion No. M2013-150 bstown 1. Tierra Grande Project Location Corpus Christi Ingleside aonthe Gay MUSTE Islan Mustang Island S't ae Park Project #: E12004 Staples Street Pump Station Improvements (E12004) CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Corpus Chr sti Engineering Staples Street Pump Station Improvements Council Presentation December 20, 2016 Project Location Corpus Chr'sti Engineering Staples St Pump Station 2 Vicinity Map Corpus Chr'sti Engineering s-sia�i»s;i S•St�nlP9.5 F 2411 Staples St Pump Station Project #: E12004 3 Project Scope Corpus Chr sti Engineering The project increases existing pump station capacity from 10 MGD to 13.75 MGD to support the continued growth of the south side. A summary of the major elements includes: • Demolition of the two existing 5 MGD pumps • Three new variable speed 7.5 MGD pumps • Electrical and mechanical improvements • Upgrades to valves, piping and controls • Upgrades to the Supervisory Control & Data Acquisition system (SCADA) • Other miscellaneous improvements ➢ Improves the performance & reliability with improved cost efficiencies for operations and maintenance Project Schedule Carpus Chr sti Engineering 2016 2017 NOV DEC JAN Bid & Award FEB MAR APR MAY JUN JUL AUG Construction Project Construction Estimate: 210 Calendar Days = 7 Months Schedule reflects City Council construction award in January 2017 with completion planned by August 2017 Completion by fall of 2017 is critical to support new elevated water storage tanks currently under construction Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0. CERTIFICATE OF INTERESTED PARTIES FORM 1295 loll Complete Nos. 1- 4 and 6 if there are interested panies. Complete Nos. 1, 2. 3. 5, and 6 if there are no interested parries. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-140668 Date Filed: 11/29/2016 Date Acknowledged: 1 Name of business entity filing farm, and the city, state and country of the business entity's place of business. Associated Construction Partners Ltd Boerne, TX United States 2 Name of governrnental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. E12004 Staples Street Pumping Station 4 Name of Interested Party City, State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary Simpson, Jill Boerne, TX United States X 5 Check if there is NO Interested Party. only 6 • AFFIDAVIT RENEE WEBER {; =_ Notary "ublic .; 'STATE %F TEXAS rr y, t,„t: My Comm. Exp. March i9 2019 AFFIX NOTARY STAMP 1 SEAL ABOVE Sworn to and subscribed before me, by the said I swear, or afifirm, under - alty of perluLy. jlj that the above disclosure is true and correct. l// it J Signature of a �� n 14 ] 6 I I Y t, ti lrf r'� I ed agent of ontracting business entity _ I , this thej—liii' day of 0 L'€/V 1 �._.-r 20 1�i , to certify which, witness my hand and al of ofiiillli���ll/e. f gnature of fficer administering oath Pri ted name officer administering oath Title of officer administering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1.0. AGENDA MEMORANDUM Future Item for the City Council Meeting of December 20, 2016 Action Item for the City Council Meeting of January 10, 2017 DATE: TO: December 6, 2016 Margie C. Rose, City Manager THRU: Mark Van Vleck, Assistant City Manager MarkVV@cctexas.com (361) 826-3082 Valerie H. Gray, P.E., Executive Director, Public Works ValerieG@cctexas.com (361) 826-3729 FROM: Dan Grimsbo, Interim Director of Water and Utilities DanG@cctexas.com (361) 826-1718 Jeffrey H. Edmonds, P.E., Director, Engineering Services JeffreyE@cctexas.com (361) 826-3851 Engineering Design Contract Lift Station Repairs Citywide 2017-2018 (Capital Improvement Program) CAPTION: Motion authorizing the City Manager, or designee, to execute an engineering design contract with Urban Engineering of Corpus Christi, Texas in the amount of $145,500 for Lift Station Repairs Citywide 2017-2018 for design, bid and construction phase services. (Capital Improvement Program) PURPOSE: The purpose of this agenda item is to execute an engineering design contract for the Lift Station Repairs Citywide 2017-2018. CIP DESCRIPTION: Lift Station Repairs Citywide This project provides for implementation of a strategic lifecycle program for future lift station projects with funding requirements and cost benefit analysis for the City's 99 Lift Stations. The project identifies, prioritizes and implements specific capital improvement in a phased design and construction approach to extend lift station service life, reduce long-term maintenance costs, improve flows, and meet Texas Commission on Environmental Quality guidelines including reducing overflows and redundant systems. BACKGROUND AND FINDINGS: Many of the existing lift station systems are at the end of their useful life cycle with conditions that jeopardize reliable operations and service. City staff initiated City -Wide Lift Station Repairs program to identify, prioritize and implement specific Capital Improvement Projects (CIP) in a phased approach to recapitalize the lift stations. Each fiscal year (FY), this program evaluates and identifies a group of Lift Stations in need critical improvements that are most cost effective within the annual approved CIP FY funding limits. This program is critical to improve the operational capabilities, reduce overflows, maintain compliance with Texas Commission on Environmental Quality (TCEQ), and achieve reduced operational and maintenance costs. In 2016-2017, the City has accomplished the design of repairing/upgrading seven lift stations, and the corresponding construction is scheduled to be complete in September 2017. This is the second year for this program. This year (2016-2017), City Staff and Urban Engineering have identified 10 additional lift stations in need of critical improvements. The improvements and upgrades of these 10 lift stations are planned for completion in the fall of 2017. This contract is for the design, bid and construction phase services to provide the engineering and design services to address improvements to 10 additional lift stations listed below. The typical improvements include replacement of various piping, valves, pumps and bases, guide rails, instrumentation and controls and other miscellaneous items. The engineer shall complete the necessary engineering and design to prepare the bid documents with required support for the bid and construction phases. The construction is planned for next FY pending approval and funding availability of the CIP. • Rincon North Lift Station • Rincon South Lift Station • Schanen Lift Station • Stillwell Lift Station • Coastal Meadows Lift Station • Park Road 53 Lift Station • Kings Crossing Lift Station • Magee Beach Lift Station • North Beach `B' Lift Station • Port Pearse Lift Station ALTERNATIVES: 1. Authorize the execution of the contract. (Recommended) 2. Do not authorize the execution of the contract. (Not Recommended) OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: Conforms to City Fiscal Policy. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Utilities Department FINANCIAL IMPACT: Operating ❑ Revenue ® Capital ❑ Not applicable Fiscal Year 2016-2017 Project to Date Budget & Expenditures Current Year Future Years TOTALS Line Item Budget $1,500,000 $1,500,000 Encumbered / Expended Amount This Item 145,500 145,500 Future Anticipated Expenditures This Project 1,352,000 1,352,000 BALANCE $2,500 $2,500 Fund(s): Wastewater CIP #10 Comments: This contract will result in expenditure not to exceed $145,500. RECOMMENDATION: City Staff recommends approval of an engineering design contract with Urban Engineering of Corpus Christi, Texas in the amount of $145,500 for the Lift Station Repairs Citywide 2017-2018 for design, bid and construction phase services. (Capital Improvement Program) LIST OF SUPPORTING DOCUMENTS: Project Budget Location Map Contract Presentation Form 1295 PROJECT BUDGET LIFT STATION REPAIRS CITYWIDE 2017-2018 FUNDS AVAILABLE: Wastewater CIP $1,500,000 FUNDS REQUIRED: Construction: Construction Estimate 1,170,000 Construction Contingency (10%) 117,000 Engineer: Engineer (Urban Engineering) THIS ITEM 145,500 Reimbursements: Total Reimbursements 65,000 Contract Administration (Engineering Svcs Admin/Capital Budget/Finance) 22,500 Engineering Services (Project Mgmt/Constr Mgmt) 37,500 Misc 5,000 TOTAL $1,497,500 PROJECT BUDGET BALANCE $2,500 Stillwell LS Rincon North LS Rincon South LS EM -44 Coastal Meadows LS Tier a Grande Schanen LS Corpus Christi • North Beach 'B' LS Magee Beach LS Port & Pearse LS Kings Crossing LS FL[NIRSLUFF Ingleside an the Bay Mustang island State Park Park Road 53 LS Project #: E16426 Lift Stations Repairs Citywide 2017-2018 (E16426) CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES w+� CITY OF CORPUS CHRISTI CONTRACT FOR ENGINEERING DESIGN FOR PROJECT E16426 Lift Station Repairs Citywide 2017-2018 The City of Corpus Christi, a Texas home rule municipal corporation, P.O. Box 9277, Corpus Christi, Nueces County, Texas 78469-9277 (City) acting through its duly authorized City Manager or Designee (Director) and Urban Engineering, a Texas company, 2725 Swantner, Corpus Christi, Nueces County, Texas 78404, (Consultant), hereby agree as follows: TABLE OF CONTENTS ARTICLE NO. TITLE PAGE ARTICLE I SCOPE OF SERVICES 2 ARTICLE II QUALITY CONTROL 2 ARTICLE III COMPENSATION 3 ARTICLE IV TIME AND PERIOD OF SERVICE 4 ARTICLE V OPINIONS OF COST 5 ARTICLE VI INSURANCE REQUIREMENTS 5 ARTICLE VII INDEMNIFICATION 5 ARTICLE VIII TERMINATION OF AGREEMENT 6 ARTICLE IX RIGHT OF REVIEW AND AUDIT 6 ARTICLE X OWNER REMEDIES 7 ARTICLE XI CONSULTANT REMEDIES 8 ARTICLE XII CLAIMS AND DISPUTE RESOLUTION 8 ARTICLE XIII MISCELLANEOUS PROVISIONS 9 EXHIBITS Page 1 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER \E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC ARTICLE I — SCOPE OF SERVICES 1.1 The Consultant shall provide to Engineering Services its Scope of Services, to be incorporated herein and attached to this Agreement as Exhibit A. The Scope of Services shall include all associated services required for Consultant to provide such Services, pursuant to this Agreement, and any and all Services that would normally be required by law or common due diligence in accordance with the standard of care defined in Article XIII of this Agreement. 1.2 Consultant shall comply with City standards, as specified in the Unified Development Code (UDC) or Code of Ordinances at the time of the execution of the contract, throughout the duration of the Project, unless specifically and explicitly excluded from doing so in the approved Scope of Services attached as Exhibit A. A request made by either party to deviate from City standards after the contract is executed must be in writing. 1.3 Consultant shall provide labor, equipment and transportation necessary to complete all services agreed to hereunder in a timely manner throughout the term of the Agreement. Persons retained by Consultant to perform work pursuant to this Agreement shall be employees or subconsultants of Consultant. Consultant must provide City with a list of all subconsultants that includes the services performed by subconsultant and the % of work performed by subconsultant. Changes in Consultant's team that provides services under this Agreement must be agreed to by the City in writing. 1.4 Consultant shall not begin work on any phase/task authorized under this Agreement until they are briefed on the scope of the Project and are notified in writing to proceed. If the scope of the Project changes, either Consultant or City may request a review of the changes with an appropriate adjustment in compensation. 1.5 Consultant will provide monthly status updates (project progress or delays) in the format requested by the City with each monthly invoice. 1.6 For design services, Consultant agrees to render the professional services necessary for the advancement of the Project through Final Completion of the Construction Contract. Consultant acknowledges and accepts its responsibilities, as defined and described in City's General Conditions for Construction Contracts, excerpt attached as Exhibit F. 1.6.1 The Consultant agrees to serve as the City's Designer as defined in the General Conditions and will consult and advise the City on matters related to the Consultant's Scope of Services during the performance of the Consultant's services. 1.6.2 The Consultant agrees to prepare plans, specification, bid and contract documents and to analyze bids and evaluate the documents submitted by bidders in order to make an informed, written recommendation to City concerning the responsibilities of the lowest bidders. In determining a bidder's responsibilities, factors considered include, without limitation, the bidder's experience, capacity, supervision, ability to maintain project budget and schedule, past performance and safety record. ARTICLE II — QUALITY CONTROL 2.1 The Consultant agrees to perform quality assurance -quality control/constructability reviews (QCP Review). The City reserves the right to retain a separate consultant to perform additional QCP services for the City. 2.2 The Consultant will perform QCP Reviews at intervals during the Project to ensure deliverables satisfy applicable industry quality standards and meet the requirements of the Project scope. Based on the findings of the QCP Review, the Consultant must reconcile the Project Scope and the Opinion of Probable Cost (OPC), as needed. Page 2 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER \E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC 2.3 Final construction documents that do not meet City standards may be rejected. Consultant will not be compensated for having to resubmit documents. ARTICLE III — COMPENSATION 3.1 The Compensation for all services (Basic and Additional) included in this Agreement and in the Scope of Services for this Agreement shall not exceed $145,500. 3.2 The Consultant's fee will be on a lump sum or time and materials (T&M) basis as detailed in Exhibit A and will be full and total compensation for all services and for all expenses incurred in performing these services. Consultant shall submit a Rate Schedule, as shown in Exhibit B-1, with their proposal. City and Consultant agree that the Rate Schedule is considered confidential information that may be excluded from public disclosure under Texas Government Code Chapter 552 as determined by the Texas Attorney General. 3.3 The Consultant agrees to complete the Scope of Services in accordance with the approved project schedule and budget as defined in Exhibit A, including completing the work in phases defined therein. 3.4 The Director of Engineering Services may request the Consultant to undertake additional services or tasks provided that no increase in fee is required. Services or tasks requiring an increase of fee will be mutually agreed and evidenced in writing as an amendment to this contract. Consultant shall notify the City within three (3) days of notice if tasks requested requires an additional fee. 3.5 Monthly invoices will be submitted in accordance with the Payment Request as shown in Exhibit B. Each invoice will include the Consultant's estimate of the proportion of the contracted services completed at the time of billing. For work performed on a T&M Basis, the invoice shall include documentation that shows who worked on the Project, the number of hours that each individual worked, the applicable rates from the Rate Schedule and any reimbursable expenses associated with the work. City will make prompt monthly payments in response to Consultant's monthly invoices. 3.6 Principals may only bill at the agreed hourly rate for Principals (as defined in the Rate Schedule) when acting in that capacity. Principals acting in the capacity of staff must bill at applicable staff rates. 3.7 Consultant certifies that title to all services covered by a Payment Request shall pass to City no later than the time of payment. Consultant further certifies that, upon submittal of a Payment Request, all services for which Payment Requests have been previously issued and payments received from City shall, to the best of Consultant's knowledge, information and belief, be free and clear of liens, claims, security interests or encumbrances in favor of Consultant or other persons or entities making a claim by reason of having provided labor or services relating to this Agreement. CONSULTANT SHALL INDEMNIFY AND HOLD CITY HARMLESS FROM ANY LIENS, CLAIMS, SECURITY INTERESTS OR ENCUMBRANCES FILED BY ANYONE CLAIMING BY, THROUGH OR UNDER THE ITEMS COVERED BY PAYMENTS MADE BY CITY TO CONSULTANT. 3.8 The final payment due hereunder shall not be paid until all reports, data and documents have been submitted, received, accepted and approved by City. Final billing shall indicate "Final Bill — no additional compensation is due to Consultant." 3.9 City may withhold compensation to such extent as may be necessary, in City's opinion, to protect City from damage or loss for which Consultant is responsible, because of: 3.9.1 delays in the performance of Consultant's work; 3.9.2 failure of Consultant to make payments to subconsultants or vendors for labor, materials or equipment; Page 3 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER \E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC 3.9.3 damage to City; or 3.9.4 persistent failure by Consultant to carry out the performance of its services in accordance with this Agreement. 3.10 When the above reasons for withholding are removed or remedied by Consultant, compensation of the amount withheld shall be made within 30 days. City shall not be deemed in default by reason of withholding compensation as provided under this Agreement. 3.11 In the event of any dispute(s) between the Parties regarding the amount properly compensable for any phase or as final compensation or regarding any amount that may be withheld by City, Consultant shall be required to make a claim pursuant to and in accordance with the terms of this Agreement and follow the procedures provided herein for the resolution of such dispute. In the event Consultant does not initiate and follow the claims procedures as required by the terms of this Agreement, any such claim shall be waived. 3.12 Request of final compensation by Consultant shall constitute a waiver of claims except those previously made in writing and identified by Consultant as unsettled at the time of final Payment Request. 3.13 All funding obligations of the City under this Agreement are subject to the appropriation of funds in its annual budget. The City may direct the Consultant to suspend work pending receipt and appropriation of funds. ARTICLE IV — TIME AND PERIOD OF SERVICE 4.1 This Agreement shall be effective upon the signature of the City Manager or designee (Effective Date). /1,.2Thic service shall be for a period of years bcginning on the Effcctivc Datc. The Agrccmcnt may be renewed for up to one year renewal-eptionc upon mutual agreement of the parties to be evidenced in writing prior to the expiration date of the prior term. Any renewals shall be at the same terms an -€1 -mss, plus any approved changes. 4.3 The Consultant agrees to begin work on those authorized Services for this contract upon receipt of the Notice to Proceed from the Director of Engineering Services. Work will not begin on any phase or any Additional Services until requested in writing by the Consultant and written authorization is provided by the Director of Engineering Services. 4.4 Time is of the essence for this Agreement. Consultant shall perform and complete its obligations under this Agreement in a prompt and continuous manner so as to not delay the Work for the Project, in accordance with the schedules approved by City. The Consultant and City are aware that many factors may affect the Consultant's ability to complete the services to be provided under this agreement. The Consultant must notify the City within three business days of becoming aware of a factor that may affect the Consultant's ability to complete the services hereunder. 4.5 City shall perform its obligations of review and approval in a prompt and continuous manner so as to not delay the project. 4.6 This Agreement shall remain in force for a period which may reasonably be required for completion of the Project, including any extra work and any required extensions thereto, unless terminated as provided for in this Agreement. For construction design services, "completion of the Project" refers to acceptance by the City of the construction phase of the Project, i.e., Final Completion. Page 4 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER \E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC ARTICLE V — OPINIONS OF COST 5.1 The Opinion of Probable Cost (OPC) is computed by the Consultant and includes the total cost for construction of the Project. 5.2 The OPC does not include the cost of the land, rights-of-way or other costs which are the responsibility of the City. 5.3 Since Consultant has no control over a construction contractor's cost of labor, materials or equipment, or over the contractor's methods of determining prices, or over competitive bidding or market conditions, Consultant's opinions of probable Project Cost or Construction Cost provided herein are to be made on the basis of Consultant's experience and qualifications and represent Consultant's best judgment as a design professional familiar with the construction industry, but Consultant cannot and does not guarantee proposals, bids or the construction cost shall not vary from the OPC prepared by Consultant. 5.4 The OPC must be validated and/or updated with each deliverable. If construction bids exceed the OPC, the Consultant will redesign the project to be consistent with the OPC at no additional cost to City. ARTICLE VI — INSURANCE REQUIREMENTS 6.1 Consultant must not commence work under this Agreement until all insurance required has been obtained and such insurance has been approved by the City. Consultant must not allow any subcontractor to commence work until all similar insurance required of any subcontractor has been obtained. 6.2 Insurance Requirements are shown in EXHIBIT C. ARTICLE VII — INDEMNIFICATION Consultant shall fully indemnify and hold harmless the City of Corpus Christi and its officials, officers, agents, employees or other entity, excluding the engineer or architect or that person's agent, employee or subconsultant, over which the City exercises control ("Indemnitee") from and against any and all claims, damages, liabilities or costs, including reasonable attorney fees and court costs, to the extent that the damage is caused by or results from an act of negligence, intentional tort, intellectual property infringement or failure to pay a subcontractor or supplier committed by Consultant or its agent, Consultant under contract or another entity over which Consultant exercises control while in the exercise of rights or performance of the duties under this agreement. This indemnification does not apply to any liability resulting from the negligent acts or omissions of the City or its employees, to the extent of such negligence. Consultant shall defend Indemnitee, with counsel satisfactory to the City Attorney, from and against any and all claims, damages, liabilities or costs, including reasonable attorney fees and court costs, if the claim is not based wholly or partly on the negligence of, fault of or breach of contract by Indemnitee. If a claim is based wholly or partly on the negligence of, fault of or breach of contract by Indemnitee, the Consultant shall reimburse the City's reasonable attorney's fees in proportion to the Consultant's liability. Consultant must advise City in writing within 24 hours of any claim or demand against City or Consultant known to Consultant related to or arising out of Consultant's activities under this Agreement. Page 5 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER \E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC ARTICLE VIII — TERMINATION OF AGREEMENT 8.1 By Consultant: 8.1.1 The City reserves the right to suspend this Agreement at the end of any phase for the convenience of the City by issuing a written and signed Notice of Suspension. The Consultant may terminate this Agreement for convenience in the event such suspension extends for a period beyond 120 calendar days by delivering a Notice of Termination to the City. 8.1.2 The Consultant must follow the Termination Procedure outlined in this Agreement. 8.2 By City: 8.2.1 The City may terminate this agreement for convenience upon seven days written notice to the Consultant at the address of record. 8.2.2 The City may terminate this agreement for cause upon ten days written notice to the Consultant. If Consultant begins, within three days of receipt of such notice, to correct its failure and proceeds to diligently cure such failure within the ten days, the agreement will not terminate. If the Consultant again fails to perform under this agreement, the City may terminate the agreement for cause upon seven days written notice to the Consultant with no additional cure period. If the City terminates for cause, the City may reject any and all proposals submitted by Consultant for up to two years. 8.3 Termination Procedure 8.3.1 Upon receipt of a Notice of Termination and prior to the effective date of termination, unless the notice otherwise directs or Consultant takes action to cure a failure to perform under the cure period, Consultant shall immediately begin the phase-out and discontinuance of all services in connection with the performance of this Agreement. Within 30 calendar days after receipt of the Notice of Termination, unless Consultant has successfully cured a failure to perform, Consultant shall submit a statement showing in detail the services performed under this Agreement prior to the effective date of termination. City retains the option to grant an extension to the time period for submittal of such statement. 8.3.2 Consultant shall submit all completed and/or partially completed work under this Agreement, including but not limited to specifications, designs, plans and exhibits. 8.3.3 Upon receipt of documents described in the Termination Procedure and absent any reason why City may be compelled to withhold fees, Consultant will be compensated for its services based upon a Time & Materials calculation or Consultant and City's estimate of the proportion of the total services actually completed at the time of termination. There will be no compensation for anticipated profits on services not completed. 8.3.4 Consultant acknowledges that City is a public entity and has a duty to document the expenditure of public funds. The failure of Consultant to comply with the submittal of the statement and documents, as required above, shall constitute a waiver by Consultant of any and all rights or claims to payment for services performed under this Agreement. ARTICLE IX — RIGHT OF REVIEW AND AUDIT 9.1 Consultant grants City, or its designees, the right to audit, examine or inspect, at City's election, all of Consultant's records relating to the performance of the Work under this Agreement, during the term of this Agreement and retention period herein. The audit, examination or inspection may be performed by a City designee, which may include its internal auditors or an outside representative engaged by City. Consultant agrees to retain its records for a minimum of four (4) years following termination of the Agreement, unless there is an ongoing dispute under this Agreement, then such retention period shall extend until final resolution of the dispute. Page 6 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER \E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC 9.2 Consultant's records include any and all information, materials and data of every kind and character generated as a result of and relevant to the Work under this Agreement (Consultant's Records). Examples include billings, books, general ledger, cost ledgers, invoices, production sheets, documents, correspondence, meeting notes, subscriptions, agreements, purchase orders, leases, contracts, commitments, arrangements, notes, daily diaries, reports, drawings, receipts, vouchers, memoranda, time sheets, payroll records, policies, procedures, and any and all other agreements, sources of information and matters that may, in City's and Consultant's reasonable judgment, have any bearing on or pertain to any matters, rights, duties or obligations under or covered by any Agreement Documents. 9.3 City agrees that it shall exercise the right to audit, examine or inspect Consultant's Records only during Consultant's regular business hours. Consultant agrees to allow City's designee access to all of Consultant's Records, Consultant's facilities and Consultant's current employees, deemed necessary by City or its designee(s), to perform such audit, inspection or examination. Consultant also agrees to provide adequate and appropriate work space necessary to City or its designees to conduct such audits, inspections or examinations. 9.4 Consultant shall include this audit clause in any subcontractor, supplier or vendor contract. ARTICLE X — OWNER REMEDIES 10.1 The City and Consultant agree that in the event the City suffers actual damages, the City may elect to pursue its actual damages and any other remedy allowed by law. This includes but is not limited to: 10.1.1 Failure of the Consultant to make adequate progress and endanger timely and successful completion of the Project, which includes failure of subconsultants to meet contractual obligations; 10.1.2 Failure of the Consultant to design in compliance with the laws of the City, State and/or federal governments, such that subsequent compliance costs exceed expenditures that would have been involved had services been properly executed by the Consultant. 10.1.3 Losses are incurred because of errors and/or omissions in the design, working drawings, specifications or other documents prepared by the Consultant to the extent that the financial losses are greater than the City would have originally paid had there not been errors and/or omissions in the documents. 10.2 The City may assert a claim against the Consultant's professional liability insurance as appropriate when other remedies are not available or offered for design deficiencies discovered during and after Project construction. 10.3 When the City incurs non -value added work costs for change orders due to design errors and/or omissions, the City will send the Consultant a letter that includes: (1) Summary of facts with supporting documentation; (2) Instructions for Consultant to revise design documents, if appropriate, at Consultant's expense; (3) Calculation of non -value added work costs incurred by the City; and (4) Deadline for Consultant's response. 10.4 The Consultant may be required to revise bid documents and re -advertise the Project at the Consultant's sole cost if, in the City's judgment, the Consultant generates excessive addenda, either in terms of the nature of the revision or the actual number of changes due to the Consultant's errors or omissions. 10.5 The City may withhold or nullify the whole or part of any payment as detailed in Article III. Page 7 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER \E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC ARTICLE XI — CONSULTANT REMEDIES 11.1 If Consultant is delayed due to uncontrollable circumstances, such as strikes, riots, acts of God, national emergency, acts of the public enemy, governmental restrictions, laws or regulations or any other causes beyond Consultant's and City's reasonable control, an extension of the Project schedule in an amount equal to the time lost due to such delay shall be Consultant's sole and exclusive remedy. The revised schedule should be approved in writing with a documented reason for granting the extension. 11.2 The City agrees that the Consultant is not responsible for damages arising from any cause beyond Consultant's reasonable control. 11.3 If Consultant requests a remedy for a condition not specified above, Consultant must file a Claim as provided in this Agreement. ARTICLE XII — CLAIMS AND DISPUTE RESOLUTION 12.1 Filing of Claims 12.1.1 Claims arising from the circumstances identified in this Agreement or other occurrences or events, shall be made by Written Notice delivered by the party making the Claim to the other party within twenty-one (21) calendar days after the start of the occurrence or event giving rise to the Claim and stating the general nature of the Claim. 12.1.2 Every Claim of Consultant, whether for additional compensation, additional time or other relief, shall be signed and sworn to by a person authorized to bind the Consultant by his/her signature, verifying the truth and accuracy of the Claim. 12.1.3 The responsibility to substantiate a claim rests with the party making the Claim. 12.1.4 Within thirty (30) calendar days of receipt of notice and supporting documentation, City will meet to discuss the request, after which an offer of settlement or a notification of no settlement offer will be sent to Consultant. If Consultant is not satisfied with the proposal presented, Consultant will have thirty (30) calendar days in which to (i) submit additional supporting data requested by the City, (ii) modify the initial request for remedy or (iii) request Mediation. 12.1.5 Pending final resolution of a claim, except as otherwise agreed in writing, Consultant shall proceed diligently with performance of the Agreement, and City shall continue to make payments in accordance with this Agreement. 12.2 Mediation 12.2.1 All negotiations pursuant to this clause are confidential and shall be treated as compromise and settlement negotiations for purposes of applicable rules of evidence. 12.2.2 Before invoking mediation, the Parties agree that they shall first try to resolve any dispute arising out of or related to this Agreement through discussions directly between those senior management representatives within their respective organizations who have overall managerial responsibility for similar projects. This step shall be a condition precedent to the use of mediation. If the parties' senior management representatives cannot resolve the dispute within thirty (30) calendar days after a Party delivers a written notice of such dispute, then the Parties shall proceed with the mediation process contained herein. Page 8 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER \E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC 12.2.3.1 In the event that City or Consultant shall contend that the other has committed a material breach of this Agreement, the Party alleging such breach shall, as a condition precedent to filing any lawsuit, request mediation of the dispute. 12.2.3.2 Request for mediation shall be in writing, and shall request that the mediation commence no less than thirty (30) or more than ninety (90) calendar days following the date of the request, except upon agreement of both parties. 12.2.3.3 In the event City and Consultant are unable to agree to a date for the mediation or to the identity of the mediator or mediators within thirty (30) calendar days of the request for mediation, all conditions precedent in this Article shall be deemed to have occurred. 12.2.3.4 The parties shall share the mediator's fee. Venue for mediation shall be Nueces County, Texas. Any agreement reached in mediation shall be enforceable as a settlement agreement in any court having jurisdiction thereof. No provision of this Agreement shall waive any immunity or defense. No provision of this Agreement is a consent to suit. 12.3 In calculating the amount of any Claim or any measure of damages for breach of contract, the following standards shall apply both to claims by Consultant and to claims by City: 12.3.1 In no event shall either Party be liable, whether in contract or tort or otherwise, to the other Party for loss of profits, delay damages or for any special incidental or consequential loss or damage of any nature arising at any time or from any cause whatsoever; 12.3.2 Damages are limited to extra costs specifically shown to have been directly caused by a proven wrong for which the other Party is claimed to be responsible. 12.4 In case of litigation between the parties, Consultant and City agree that neither party shall be responsible for payment of attorney's fees pursuant to any law or other provision for payment of attorneys' fees. Both Parties expressly waive any claim to attorney's fees should litigation result from any dispute between the parties to this Agreement. 12.5 No Waiver of Governmental Immunity. NOTHING IN THIS ARTICLE SHALL BE CONSTRUED TO WAIVE CITY'S GOVERNMENTAL IMMUNITY FROM LAWSUIT, WHICH IMMUNITY IS EXPRESSLY RETAINED TO THE EXTENT IT IS NOT CLEARLY AND UNAMBIGUOUSLY WAIVED BY STATE LAW. ARTICLE XIII — MISCELLANEOUS PROVISIONS 13.1 Assignability. Neither party will assign, transfer or delegate any of its obligations or duties under this Agreement contract to any other person and/or party without the prior written consent of the other party, except for routine duties delegated to personnel of the Consultant staff. This includes subcontracts entered into for services under this Agreement. If the Consultant is a partnership or joint venture, then in the event of the termination of the partnership or joint venture, this contract will inure to the individual benefit of such partner or partners as the City may designate. No part of the Consultant fee may be assigned in advance of receipt by the Consultant without written consent of the City. The City will not pay the fees of expert or technical assistance and consultants unless such employment, including the rate of compensation, has been approved in writing by the City. 13.2 Ownership of Documents. Consultant agrees that upon payment, City shall exclusively own any and all information in whatsoever form and character produced and/or maintained in accordance with, pursuant to or as a result of this Agreement, including contract documents (plans and specifications), drawings and submittal data. Consultant may make a copy for its files. Any reuse by the City, without specific written verification or adaptation by Consultant, shall be a City's sole risk and without liability or legal exposure to Consultant. The City agrees that any Page 9 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER \E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC modification of the plans will be evidenced on the plans and be signed and sealed by a licensed professional prior to re -use of modified plans. 13.3 Standard of Care. Services provided by Consultant under this Agreement shall be performed with the professional skill and care ordinarily provided by competent licensed professionals practicing in the same or similar locality and under the same or similar circumstances and professional license; and performed as expeditiously as is prudent considering the ordinary professional skill and care of a competent engineer or architect. 13.4 Licensing. Consultant shall be represented by personnel with appropriate licensure, registration and/or certification(s) at meetings of any official nature concerning the Project, including scope meetings, review meetings, pre-bid meetings and preconstruction meetings. 13.5 Entire Agreement. This Agreement represents the entire and integrated Agreement between City and Consultant and supersedes all prior negotiations, representations or agreements, either oral or written. This Agreement may be amended only by written instrument signed by both the City and Consultant. 13.6 Disclosure of Interest. Consultant agrees to comply with City of Corpus Christi Ordinance No. 17112 and complete the Disclosure of Interests form, attached as Exhibit D. 13.7 Certificate of Interested Parties. For contracts greater than $50,000, Consultant agrees to comply with Texas Government Code section 2252.908 and complete Form 1295 Certificate of Interested Parties as part of this agreement, attached as Exhibit E. Form 1295 requires disclosure of "interested parties" with respect to entities that enter contracts with cities that exceed $50,000. These interested parties include: (1) persons with a "controlling interest" in the entity, which includes: a. an ownership interest or participating interest in a business entity by virtue of units, percentage, shares, stock or otherwise that exceeds 10 percent; b. membership on the board of directors or other governing body of a business entity of which the board or other governing body is composed of not more than 10 members; or c. service as an officer of a business entity that has four or fewer officers, or service as one of the four officers most highly compensated by a business entity that has more than four officers; or (2) a person who actively participates in facilitating a contract or negotiating the terms of a contract with a governmental entity or state agency, including a broker, intermediary, adviser or attorney for the business entity. Form 1295 must be electronically filed with the Texas Ethics Commission at https://www.ethics.state.tx.us/whatsnew/elf_info_form1295.htm. The form must then be printed, signed, notarized and filed with the City. For more information, please review the Texas Ethics Commission Rules at https://www.ethics.state.tx.us/legal/ch46.html. 13.8 Conflict of Interest. Consultant agrees, in compliance with Chapter 176 of the Texas Local Government Code, to complete and file Form CIQ with the City Secretary's Office. For more information and to determine if you need to file a Form CIQ, please review the information on the City Secretary's website at http://www.cctexas.com/government/city-secretary/conflict-disclosure/index. 13.9 Controlling Law. This Agreement is governed by the laws of the State of Texas without regard to its conflicts of laws. Venue for legal proceedings lies exclusively in Nueces County, Texas. Cases must be filed and tried in Nueces County and cannot be removed from Nueces County. 13.10 Severability. If, for any reason, any one or more Articles and/or paragraphs of this Agreement are held invalid or unenforceable, such invalidity or unenforceability shall not affect, impair or invalidate the remaining Articles and/or paragraphs of this Agreement but shall be confined in its effect to the specific Article, sentences, clauses or parts of this Agreement held invalid or unenforceable, and the invalidity or unenforceability of any Article, sentence, clause or parts of this Agreement, in any one or more instance, shall not affect or prejudice in any way the validity of this Agreement in any other instance. Page 10 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER \E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC 13.11 Conflict Resolution Between Documents. Consultant hereby agrees and acknowledges if anything contained in the Consultant -prepared Exhibit A, Consultant's Scope of Services, or contained in any other document prepared by Consultant and included herein, is in conflict with this Agreement, this Agreement shall take precedence and control to resolve said conflict. CITY OF CORPUS CHRISTI URBAN ENGINEERING Nov 30, 2016 jim u an (Nov 30, 2016) J.H. Edmonds, P.E. Date James L. Urban, P.E. Date Director of Engineering Services 2725 Swantner Corpus Christi, TX 78404 (361) 854-3101 Office (361) 854-6001 Fax RECOMMENDED Operating Department Date APPROVED AS TO LEGAL FORM Assistant City Attorney Date APPROVED Office of Management and Budget Date ATTEST City Secretary Date Project Name Lift Station Repairs Citywide 2017-2018 Project Number E16426 Accounting Unit 4256-065 Account 550950 Activity E16426 -01 -4256 -EXP Account Category 50950 Fund Name WW 2017 CIP Page 11 Rev. 07/16 K:\ENGINEERING DATAEXCHANGE\JENNIFER\WASTEWATER1E16426 LIFT STATION REPAIRS CITY WIDE 2017\CONTRACT\CONTRACT.DOC EXHIBIT A CITY OF CORPUS CHRISTI, TEXAS LIFT STATION REPAIRS -CITYWIDE 2017-2018 PROJECT NO. E15229 I. SCOPE OF SERVICES A. BASIC SERVICES For the purpose of this contract, Preliminary Phase may include Schematic Design and Design Phase services may include Design Development as applicable to Architectural services. 1. Preliminary Phase. The Architect/Engineer-A/E (also referred to as Consultant) will: a) Prepare PowerPoint presentation in City format for City Council Meeting. b) Hold Project Kick-off Meeting. Prepare meeting agenda and distribute meeting meetings to attendees within five working days of the meeting. c) Request available reports, record drawings, utility maps and other information provided by the City pertaining to the project area. d) Coordinate with the City's Project Manager and identify operating departments potential project needs. e) Prepare preliminary opinions of probable construction costs for the recommended improvements. f) Prepare an Engineering Letter Report (20 — 25 page main -body text document with supporting appendices) that documents the analyses, approach, opinions of probable construction costs, or other applicable supporting documents required per City Plan Preparation Standards Contract Format (CPPSCF).Engineering Letter Report to include: 1. Provide a concise presentation of pertinent factors, sketches, designs, and parameters which will or may impact the design, including engineering design basis, preliminary layout sketches, identification of quality and quantity of materials of construction, and other factors required for a professional design. 2. 3. Include existing site photos. 4. Provide opinion of probable construction costs. 5. g) Submit one (1) copy in an approved electronic format, and one (1) paper copy of the Draft Engineering Letter Report. h) Conduct Project review meeting with City staff to review and receive City comments on the Draft Engineering Letter Report as scheduled by City Project Manager. i) Assimilate all City review comments of the Draft Engineering Letter Report and provide one (1) set of the Final Engineering Letter Report (ELR) (electronic and hard copies using City Standards as applicable) suitable for reproduction. City staff will provide one set only of the following information (as applicable): a) Electronic index and database of City's record drawing and record information. b) Requested record drawings, record information in electronic format as available from City Engineering files. b) The preliminary budget, specifying the funds available for construction. c) A copy of existing studies and plans. (as available from City Engineering files). EXHIBIT A Page 1 of 6 Revised November 26, 2013 d) Field location of existing city utilities. (A/E to coordinate with City Operating Department) e) Applicable Master Plans and GIS mapping are available on the City's website. f) City Control survey Bench marks and coordinates. g) Preliminary Traffic impact assessment. The records provided for A/E's use under this contract are proprietary, copyrighted, and authorized for use only by A/E, and on/v for the intended purpose of this project. Any unauthorized use or distribution of the records provided under this contract is strictly prohibited. 2. Design Phase. Upon approval of the preliminary phase, designated by receiving authorization to proceed, the A/E will: a) Prepare construction documents in City standard format for the work identified in the approved ELR. Construction plans to include improvements or modifications to the lift stations. Include standard City of Corpus Christi detail sheets as appropriate. b) Prepare construction plans in compliance with CPPSCF using English units on 11"x 17" c) 1. Furnish one (1) set of the interim plans (60% submittal - electronic and hard copies using City Standards as applicable) to the City staff for review and approval purposes with estimates of probable construction costs. Identify distribution list for plans and bid documents to all affected franchise utilities. 1. Required with the interim plans is a "Plan Executive Summary, project checklist & drawing checklist" which will identify and summarize the project by distinguishing key elements and opinion of probable project costs. 2. Attend 60% submittal meeting with City Staff to assist staff in review of 60% submittal. d) Hold Project 60% review meeting. Prepare meeting agenda and distribute meeting meetings to attendees within five working days of the meeting. Assimilate all review comments, as appropriate and, upon Notice to Proceed. e) Provide one (1) set of the pre -final plans and bid documents (100% submittal - electronic and hard copy using City Standards as applicable) to the City staff for review and approval purposes with revised estimates of probable costs. Plan execution summary, project checklist and plan checklist. f) Hold Project 100% review meeting. Prepare meeting agenda and distribute meeting meetings to attendees within five working days of the meeting. Assimilate all review comments, and incorporate any requirements into the plans and specifications, and advise City of responding and non -responding participants as appropriate and, upon Notice to Proceed. g) Assimilate all final review comments Upon approval by the Executive Director of Public Works, provide one (1) set of the final plans and contract documents (electronic and full-size hard copy using City Standards as applicable) suitable for reproduction. Said bid documents henceforth become the shared intellectual property of the City of Corpus Christi and the Consultant. The City agrees that any modifications of the submitted final plans (for other uses by the City) will be evidenced on the plans and be signed and sealed by a professional engineer prior to re -use of modified plans. h) Provide Quality Assurance/Quality Control (QA/QC) measures to ensure that all submittals of the interim, pre -final (if required), and final complete plans and complete bid documents with specifications accurately reflect the percent EXHIBIT A Page 2 of 6 Revised November 26, 2013 completion designated and do not necessitate an excessive amount of revision and correction by City. Additional revisions or design submittals are required (and within the scope of Consultant's duties under this contract) if, in the opinion of the City Engineer or designee, Consultant has not adequately addressed City - provided review comments or provided submittals in accordance with City standards.. i) Prepare and submit Monthly Status Reports to the Project Manager no later than the last Wednesday of each month with action items developed from monthly progress and review meetings. The City staff will: a) Designate an individual to have responsibility, authority, and control for coordinating activities for the construction contract awarded. b) Provide the budget for the Project specifying the funds available for the construction contract. c) Provide electronic copy the City's standard specifications, standard detail sheets, standard and special provisions, and forms for required bid documents. 3. Bid Phase. The A/E will: a) Prepare draft Authorization to Advertise (ATA). b) Participate in the pre-bid conference and provide a meeting agenda for critical construction activities and elements impacted the project. c) Assist the City in solicitation of bids by identification of prospective bidders, and review of bids by solicited interests. d) Review all pre-bid questions and submissions concerning the bid documents and prepare, in the City's format, for the Engineering Services' approval, any addenda or other revisions necessary to inform contractors of approved changes prior to bidding. e) Attend bid opening, analyze bids, evaluate, prepare bid tabulation, and make recommendation concerning award of the contract. f) In the event the lowest responsible bidder's bid exceeds the project budget as revised by the Engineering Services in accordance with the A/E's design phase estimate required above, the Engineer will, at its expense, confer with City staff and make such revisions to the bid documents as the City staff deems necessary to re -advertise that particular portion of the Project for bids. g) Prepare Agenda Memoranda and PowerPoint presentation in City format for City Council Meeting. The City staff will: a) Arrange and pay for printing of all documents and addenda to be distributed to prospective bidders. b) Advertise the Project for bidding, maintain the list of prospective bidders, receive and process deposits for all bid documents, issue (with the assistance of the A/E) any addenda, prepare and supply bid tabulation forms, and conduct bid opening. c) Receive the Engineer's recommendation concerning bid evaluation and recommendation and prepare agenda materials for the City Council concerning bid awards. d) Prepare, review and provide copies of the contract for execution between the City and the contractor. EXHIBIT A Page 3 of 6 Revised November 26, 2013 4. Construction Administration Phase. The A/E will perform contract administration to include the following: a) Participate in pre -construction meeting conference and provide a recommended agenda for critical construction activities and elements impacted the project. b) Review, Contractor submittals and operating and maintenance manuals for conformance to contract documents. c) Review and interpret field and laboratory tests. d) Provide interpretations and clarifications of the contract documents for the contractor and authorize required changes, which do not affect the contractor's price and are not contrary to the general interest of the City under the contract. e) Make regular visits to the site of the Project to confer with the City project inspector and contractor to observe the general progress and quality of work, and to determine, in general, if the work is being done in accordance with the contract documents. This will not be confused with the project representative observation or continuous monitoring of the progress of construction. f) Prepare change orders as authorized by the City; provide interpretations and clarifications of the plans and specifications for the contractor and authorize minor changes which do not affect the contractor's price and are not contrary to the general interest of the City under the contract. g) Review, evaluate and recommend for City consideration Contractor Value Engineering proposal. h) Attend final inspection with City staff, provide punch list items to the City's Construction Engineers for contractor completion, and provide the City with a Certificate of Completion for the project upon successful completion of the project. i) Review Contractor -provided construction "red -line" drawings. Prepare Project record drawings and provide a reproducible set and electronic file (AutoCAD r.14 or later) within two (2) months of final acceptance of the project. All drawings shall be CADD drawn using dwg format in AutoCAD, and graphics data will be in dxf format with each layer being provided in a separate file. Attribute data will be provided in ASCII format in tabular form. All electronic data will be compatible with the City GIS system. The City staff will: a) Prepare applications/estimates for payments to contractor. b) Conduct the final acceptance inspection with the Engineer. B. ADDITIONAL SERVICES This section defines the scope of additional services that may only be included as part of this contract if authorized by the Executive Director of Public Works. A/E may not begin work on any services under this section without specific written authorization by the Executive Director of Public Works. Fees for Additional Services are an allowance for potential services to be provided and will be negotiated by the Executive Director of Public Works as required. The A/E shall, with written authorization by the Executive Director of Public Works, perform the following: 1. Topographic Survey/Field Investigation. Provide field surveys and investigations, as required for design including the necessary control points, coordinates and elevations of points. EXHIBIT A Page 4 of 6 Revised November 26, 2013 2. Warranty Phase. Provide a maintenance guaranty inspection toward the end of the one- year period after acceptance of the Project. Note defects requiring contractor action to maintain, repair, fix, restore, patch, or replace improvement under the maintenance guaranty terms of the contract. Document the condition and prepare a report for the City staff of the locations and conditions requiring action, with its recommendation for the method or action to best correct defective conditions and submit to City Staff. Complete the inspection and prepare the report no later than sixty (60) days prior to the end of the maintenance guaranty period. Provide the services above authorized in addition to those items shown on Exhibit "A-1" Task List, which provides supplemental description to Exhibit "A". Note: The Exhibit "A-1" Task List does not supersede Exhibit "A". II. SCHEDULE Date Activity NTP 5 Weeks from NTP Draft ELR submittal 8 Weeks from NTP City Review 9 Weeks from NTP Final ELR submittal 13 Weeks from NTP 60% Design Submittal 16 Weeks from NTP City Review 20 Weeks from NTP 100% Design Submittal 23 Weeks from NTP City Review 25 Weeks from NTP Final Submittal 27 Weeks from NTP Advertise for Bids 29 Weeks from NTP Pre -Bid Conference 31 Weeks from NTP Receive Bids 38 Weeks from NTP Contract Award 43 Weeks from NTP Begin Construction TBD Complete Construction III. FEES A. Fee for Basic Services. The City will pay the A/E a fixed fee for providing for all "Basic Services" authorized as per the table below. The fees for Basic Services will not exceed those identified and will be full and total compensation for all services outlined in Section I.A.1-4 above, and for all expenses incurred in performing these services. The fee for this project is subject to the availability of funds. The Engineer may be directed to suspend work pending receipt and appropriation of funds. For services provided, A/E will submit monthly statements for services rendered. The statement will be based upon A/E's estimate (and with City's concurrence) of the proportion of the total services actually completed at the time of billing. City will make prompt monthly payments in response to A/E's monthly statements. EXHIBIT A Page 5 of 6 Revised November 26, 2013 B. Fee for Additional Services. For services authorized by the Executive Director of Public Works under Section I.B. "Additional Services," the City will pay the A/E a not -to -exceed fee as per the table below: Summary of Fees Basic Services Fee 1. Preliminary Phase $15,500 2. Design Phase 83,000 3. Bid Phase $4,000 4. Construction Administration Phase 26,500 Subtotal Basic Services Fees 129,000 Additional Services Fees (Allowance) 1. Permit Preparation (as applicable) 0 2. ROW Acquisition Survey 0 3. Topographic Survey\Field Investigation 13,300 4. Environmental Issues 0 5. Construction Observation Services 0 6. Start-up Services 0 7. Warranty Phase 3,200 Sub -Total Additional Services Fees Authorized 16,500 Total Authorized Fee $145,500 *Additional Services which are requested to be authorized in coordination with the notice to proceed for Basic Services. EXHIBIT A Page 6 of 6 Revised November 26, 2013 EXHIBIT A-1 CITY OF CORPUS CHRISTI, TEXAS LIFT STATION REPAIRS -CITYWIDE 2017-2018 Project No. E16426 TASK LIST 1 Develop design plans to the City's format and specification documents incorporating all issues with relevant solutions and identifying to the best of the Engineer's knowledge all potential conflicts and offer solutions. 2. Design improvements to the Rincon North Lift Station to include replacement of existing main electrical disconnect. 3. Design improvements to the Rincon South Lift Station to include replacement of existing main electrical disconnect. 4. Design improvements to the Schanen Lift Station to include new main electrical disconnect. 5. Design improvements to the Stillwell Lift Station to include new main electrical disconnect. 6. Design improvements to the Coastal Meadows Lift Station to include new pumps, header piping, pump control panels, main electrical disconnects, AEP meter, electrical rack and perimeter fence and coating of wet well. 7 Design improvements to the Park Road 53 Lift Station to include new pumps, header piping, pump control panels, main electrical disconnects, AEP meter, electrical rack and perimeter fence and coating of wet well. 8. Design improvements to the Kings Crossing Lift Station to include new pumps, header piping, pump control panels, main electrical disconnects, AEP meter, electrical rack and perimeter fence and coating of wet well. 9. Design improvements to the Magee Beach Lift Station to include new pumps, header piping, pump control panels, main electrical disconnects, AEP meter, electrical rack and perimeter fence and coating of wet well. 10. Design improvements to the North Beach 'B' Lift Station to include new backup electrical power generator. 11. Design improvements to the Port/Pearse Lift Station to include a new backup electrical power generator. EXHIBIT A-1 Page 1 of 1 Basic Services: Preliminary Phase Design Phase Bid Phase Construction Phase Subtotal Basic Services Additional Services: Permitting Warranty Phase Inspection Platting Survey 0 & M Manuals SCADA Subtotal Additional Services Summary of Fees Basic Services Fees Additional Services Fees Total of Fees EXHIBIT B SAMPLE PAYMENT REQUEST FORM COMPLETE PROJECT NAME Project No. XXXX Invoice No. 12345 Invoice Date: Sample form for: Payment Request Revised 07127/00 Total Amount Previous Total Percent Contract Amd No. 1 Amd No. 2 Contract Invoiced Invoice Invoice Complete 81,000 $0 $0 $1,000 $0 $1,000 $1,000 100% 2,000 1,000 0 3,000 1,000 500 1,500 50% 500 0 250 750 0 0 0 0% 2,500 0 1,000 3,500 0 0 0 0% $6,000 $1,000 $1,250 $8,250 $750 $1,500 $2,500 30% $2,000 $0 $0 $2,000 $500 $0 $500 25% 0 1,120 0 1,120 0 0 0 0% 0 0 1,627 1,627 0 0 0 0% TBD TBD TBD TBD TBD TBD TBD 046 TBD TBD TBD TBD TBD TBD TBD 0% TBD TBD TBD TBD TBD TBD TBD 0% $2,000 $1,120 $1,627 $4,747 $500 $0 $500 11% $6,000 $1,000 $1,250 $8,250 $750 $1,500 $2,500 30% 2,000 1,120 1,627 4,747 500 0 500 11% $8,000 $2,120 82,877 $12,997 $1,250 $1,500 $3,000 23% Contract for Professional Services Exhibit B EXHIBIT B-1 CONFIDENTIAL RATE SHEET Rate sheets are confidential pursuant to section 552.104 of the Texas Government Code since release of this information would give advantage to a competitor or bidder. In addition, section 552.110 of the TX Govt. Code protects third party commercial and financial information if release of the information would cause the third party substantial competitive harm. Final determination of confidentiality will be made by the Texas Attorney General. DOCUMENTATION OF PROVISIONAL / OVERHEAD RATES: Overhead rate documentation has been provided to the City of Corpus Christi and was utilized in reviewing and approving the loaded hourly rates below. PRINCIPALS: The Consultant must provide documentation with each payment request that clearly indicates how a Principal's time is allocated and the justification for that allocation. PRINCIPAL(S): HOURLY RATE ($/hr) TX REGISTRATION #: Project Consultant: CAD Technician: Clerical: Other — specify: SUBCONSULTANT(S): (firm) Principal(s): Project Consultant: CAD Technician: Clerical Other — specify: Add additional subconsultants as needed. Contract for Professional Services Exhibit B-1 EXHIBIT "C" Insurance Requirements Pre -Design, Design and General Consulting Contracts 1.1 Consultant must not commence work under this agreement until all required insurance has been obtained and such insurance has been approved by the City. Consultant must not allow any subcontractor to commence work until all similar insurance required of any subcontractor has been obtained. 1.2 Consultant must furnish to the Director of Engineering Services with the signed agreement a copy of Certificates of Insurance (COI) with applicable policy endorsements showing the following minimum coverage by an insurance company(s) acceptable to the City's Risk Manager. A waiver of subrogation is required on all applicable policies. Endorsements must be provided with COI. Project name and or number must be listed in Description Box of COI. TYPE OF INSURANCE MINIMUM INSURANCE COVERAGE 30 -written day notice of cancellation, required on all certificates or by applicable policy endorsements Bodily Injury and Property Damage Per occurrence - aggregate PROFESSIONAL LIABILITY (Errors and Omissions) $1,000,000 Per Claim If claims made policy, retro date must be prior to inception of agreement, have extended reporting period provisions and identify any limitations regarding who is insured. 1.3 In the event of accidents of any kind related to this agreement, Consultant must furnish the City with copies of all reports of any accidents within 10 days of the accident. 1.4 Consultant shall obtain and maintain in full force and effect for the duration of this Contract, and any extension hereof, at Consultant's sole expense, insurance coverage written on an occurrence basis, by companies authorized and admitted to do business in the State of Texas and with an A.M. Best's rating of no less than A- VII. Consultant is required to provide City with renewal Certificates. 1.5 Consultant shall be required to submit a copy of the replacement certificate of 1 Rev 07/16 insurance to City at the address provided below within 10 days of the requested change. Consultant shall pay any costs incurred resulting from said changes. All notices under this Article shall be given to City at the following address: City of Corpus Christi Attn: Engineering Services P.O. Box 9277 Corpus Christi, TX 78469-9277 1.6 Consultant agrees that with respect to the above required insurance, all insurance policies are to contain or be endorsed to contain the following required provisions: 1.6.1 Provide thirty (30) calendar days advance written notice directly to City of any suspension, cancellation or non -renewal of coverage, and not less than ten (10) calendar days advance written notice for nonpayment of premium. 1.7 Within five (5) calendar days of a suspension, cancellation or non -renewal of coverage, Consultant shall provide a replacement Certificate of Insurance and applicable endorsements to City. City shall have the option to suspend Consultant's performance should there be a lapse in coverage at any time during this contract. Failure to provide and to maintain the required insurance shall constitute a material breach of this contract. 1.8 In addition to any other remedies the City may have upon Consultant's failure to provide and maintain any insurance or policy endorsements to the extent and within the time herein required, the City shall have the right to order Consultant to remove the exhibit hereunder, and/or withhold any payment(s) if any, which become due to Consultant hereunder until Consultant demonstrates compliance with the requirements hereof. 1.9 Nothing herein contained shall be construed as limiting in any way the extent to which Consultant may be held responsible for payments of damages to persons or property resulting from Consultant's or its subcontractor's performance of the work covered under this agreement. 1.10 It is agreed that Consultant's insurance shall be deemed primary and non- contributory with respect to any insurance or self-insurance carried by the City of Corpus Christi for liability arising out of operations under this agreement. 1.11 It is understood and agreed that the insurance required is in addition to and separate from any other obligation contained in this agreement. 2 Rev 07/16 ohor ....-.-rte City of Corpus Christi SUPPLIER NUMBER TO BE ASSIGNED BY CI I Y PURCHASING DIVISION CITY OF CORPUS CHRISTI DISCLOSURE OF INTEREST City of Corpus Christi Ordinance 17112 as amended, requires all persons or firms seeking to do business with the City to provide the following information. Every question must be answered. If the question is not applicable, answer with "NA". See reverse side for Filing Requirements, Certifications and definitions. COMPANY NAME: Urban Engineering P. O. BOX: STREET ADDRESS: 2725 Swantner Drive FIRM IS: 1. Corporation 4. Association CITY: Corpus Christi 2. Partnership M 5. Other ZIP: 78404 3, Sole Owner E DISCLOSURE QUESTIONS If additional space is necessary, please use the reverse side of this page or attach separate sheet. I. State the names of each `employee" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm.' Name Job Title and City Department (if known) 2. State the names of each "official" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name Title 3. State the names of each "board member" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name Board, Commission or Committee A 4. State the names of each employee or officer of a "consultant" for the City of Corpus Christi who worked on any matter related to the subject of this contract and has an "ownership interest" constituting 3°.o or more of the ownership in the above named "firm." Name Consultant FILING REQUIREMENTS If a person who requests official action on a matter knows that the requested action wiII confer an economic benefit on any City official or employee that is distinguishable from the effect that the action will have on members of the public in general or a substantial segment thereof, you shall disclose that fact in a signed writing to the City official, employee or body that has been requested to act in the matter, unless the interest of the City official or employee in the matter is apparent. The disclosure shall also be made in a signed writing filed with the City Secretary. [Ethics Ordinance Section 2-349 (d)] CERTIFICATION I certify that aII information provided is true and correct as of the date of this statement, that I have not knowingly withheld disclosure of any information requested; and that supplemental statements will be promptly submitted to the City of Corpus Christi, Texas as changes occur. Certifying Person: James L. Urban, P.E. Title: Principal (Type or Print Signature of Certifying Person: DEFINITIONS Date: 2. f zr% a. "Board member." A member of any board, commission, or committee appointed by the City Council of the City of Corpus Christi, Texas. b. "Economic benefit". An action that is likely to affect an economic interest if it is Iikely to have an effect on that interest that is distinguishable from its effect on members of the public in general or a substantial segment thereof. c. "Employee." Any person employed by the City of Corpus Christi, Texas either on a full or part-time basis, but not as an independent contractor. d. "Firm." Any entity operated for economic gain, whether professional, industrial or commercial, and whether established to produce or deal with a product or service, including but not limited to, entities operated in the form of sole proprietorship, as self-employed person, partnership, corporation, joint stock company, joint venture, receivership or trust, and entities which for purposes of taxation are treated as non-profit organizations. e. "Official." The Mayor, members of the City Council, City Manager, Deputy City Manager, Assistant City Managers, Department and Division Heads, and Municipal Court Judges of the City of Corpus Christi, Texas. f. "Ownership Interest." Legal or equitable interest, whether actuaIIy or constructively held, in a firm, including when such interest is held through an agent, trust, estate, or holding entity. "Constructively held" refers to holdings or control established through voting trusts, proxies, or special terms of venture or partnership agreements." g. "Consultant." Any person or firm, such as engineers and architects, hired by the City of Corpus Christi for the purpose of professional consultation and recommendation. CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 it there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-132647 Date Filed: 11/03/2016 Date Acknowledged: 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. Urban Engineering Corpus Christi, TX United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. E16426 2017 Lift Station Repairs 4 Name of Interested Party City,State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary Urban , James L. Corpus Christi, TX United States X Urban, Jr., Eugene C. Corpus Christi, TX United States X Urban, Larry J. Corpus Christi, TX United States X 5 Check only if there is NO Interested Party. ❑ 6 Ai��"� �Y+� _.d..._ i.1.- affirm, under penalty of perjury, that the C above disclosure is true and correct. • MYa 1 JOLENE E POTTER `/ My Commission Expires July 2A, 2017 y4hor+f, 1 swear, or ` � l� a r_ AFFIX Sworn 20 NOTARY STAMP / SEAL ABOVE to and subscribed before me, by the said, 1119 , to certify which, witness my hand and ignature of authorized agent of contracting business entity rOil /1 j4, ,44..e_ J L V6 -.11--f , this the 3 day of )1.3 tteyet lbir , seal of office. 4 . jdene C. 1--)I-le y t— ',6)1,4/6,51Z) ,, Signature of officer administering oath Printed name of officer administering oath Title of officer administering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1,0. EXHIBIT F Excerpt from Corpus Christi General Conditions for Construction Projects Related to Design Services Contract for Professional Services Exhibit F Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services Table of Contents Page Article 1 — Definitions and Terminology 2 Article 2 — Preliminary Matters 8 Article 3 — Contract Documents: Intent, Requirements, Reuse 8 Article 4 — Commencement and Progress of the Work 9 Article 5 —Availability of Lands; Subsurface and Physical Conditions; Hazardous Environmental Conditions 9 Article 6 — Bonds and Insurance 11 Article 7 — Contractor's Responsibilities 11 Article 8 — Other Work at the Site 11 Article 9 — Owner's and OPT's Responsibilities 11 Article 10 — OAR's and Designer's Status During Construction 12 Article 11— Amending the Contract Documents; Changes in the Work 14 Article 12 — Claims 14 Article 13 — Cost of the Work; Allowances; Unit Price Work 14 Article 14 — Tests and Inspections; Correction, Removal, or Acceptance of Defective Work 14 Article 15 — Payments to Contractor; Set -Offs; Completion; Correction Period 14 Article 16 — Suspension of Work and Termination 14 Article 17 — Final Resolution of Disputes 14 Article 18 — Miscellaneous 14 Excerpt from Form 00 72 00 General Conditions - 1 ARTICLE 1— DEFINITIONS AND TERMINOLOGY 1.01 Defined Terms A. A term with initial capital letters, including the term's singular and plural forms, has the meaning indicated in this paragraph wherever used in the Bidding Requirements or Contract Documents. In addition to the terms specifically defined, terms with initial capital letters in the Contract Documents may include references to identified articles and paragraphs, and the titles of other documents or forms. 1. Addenda - Documents issued prior to the receipt of Bids which clarify or modify the Bidding Requirements or the proposed Contract Documents. 2. Agreement - The document executed between Owner and Contractor covering the Work. 3. Alternative Dispute Resolution - The process by which a disputed Claim may be settled as an alternative to litigation, if Owner and Contractor cannot reach an agreement between themselves. 4. Application for Payment - The forms used by Contractor to request payments from Owner and the supporting documentation required by the Contract Documents. 5. Award Date —The date the City Council of the City of Corpus Christi (City) authorizes the City Manager or designee to execute the Contract on behalf of the City. 6. Bid - The documents submitted by a Bidder to establish the proposed Contract Price and Contract Times and provide other information and certifications as required by the Bidding Requirements. 7. Bidding Documents - The Bidding Requirements, the proposed Contract Documents, and Addenda. 8. Bidder - An individual or entity that submits a Bid to Owner. 9. Bidding Requirements - The Invitation for Bids, Instructions to Bidders, Bid Security, Bid Form and attachments, and required certifications. 10. Bid Security - The financial security in the form of a bid bond provided by Bidder at the time the Bid is submitted and held by Owner until the Agreement is executed and the evidence of insurance and Bonds required by the Contract Documents are provided. A cashier's check, certified check, money order or bank draft from any State or National Bank will also be acceptable. 11. Bonds - Performance Bond, Payment Bond, Maintenance Bond, and other Surety instruments executed by Surety. When in singular form, refers to individual instrument. 12. Change Order - A document issued on or after the Effective Date of the Contract and signed by Owner and Contractor which modifies the Work, Contract Price, Contract Times, or terms and conditions of the Contract. Excerpt from Form 00 72 00 General Conditions - 2 13. Change Proposal - A document submitted by Contractor in accordance with the requirements of the Contract Documents: a. Requesting an adjustment in Contract Price or Contract Times; b. Contesting an initial decision concerning the requirements of the Contract Documents or the acceptability of Work under the Contract Documents; c. Challenging a set-off against payment due; or d. Seeking a Modification with respect to the terms of the Contract. 14. City Engineer - The Corpus Christi City Engineer and/or his designated representative as identified at the preconstruction conference or in the Notice to Proceed. 15. Claim - A demand or assertion by Owner or Contractor submitted in accordance with the requirements of the Contract Documents. A demand for money or services by an entity other than the Owner or Contractor is not a Claim. 16. Constituent of Concern - Asbestos, petroleum, radioactive materials, polychlorinated biphenyls (PCBs), hazardous wastes, and substances, products, wastes, or other materials that are or become listed, regulated, or addressed pursuant to: a. The Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. §§9601 et seq. ("CERCLA"); b. The Hazardous Materials Transportation Act, 49 U.S.C. §§5501 et seq.; c. The Resource Conservation and Recovery Act, 42 U.S.C. §§6901 et seq. ("RCRA"); d. The Toxic Substances Control Act, 15 U.S.C. §§2601 et seq.; e. The Clean Water Act, 33 U.S.C. §§1251 et seq.; f. The Clean Air Act, 42 U.S.C. §§7401 et seq.; or g. Any other Laws or Regulations regulating, relating to, or imposing liability or standards of conduct concerning hazardous, toxic, or dangerous waste, substance, or material. 17. Contract - The entire integrated set of documents concerning the Work and describing the relationship between the Owner and Contractor. 18. Contract Amendment - A document issued on or after the Effective Date of the Contract and signed by Owner and Contractor which: a. Authorizes new phases of the Work and establishes the Contract Price, Contract Times, or terms and conditions of the Contract for the new phase of Work; or b. Modifies the terms and conditions of the Contract, but does not make changes in the Work. 19. Contract Documents - Those items designated as Contract Documents in the Agreement. 20. Contract Price - The monetary amount stated in the Agreement and as adjusted by Modifications, and increases or decreases in unit price quantities, if any, that Owner has agreed to pay Contractor for completion of the Work in accordance with the Contract Documents. Excerpt from Form 00 72 00 General Conditions - 3 21. Contract Times - The number of days or the dates by which Contractor must: a. Achieve specified Milestones; b. Achieve Substantial Completion; and c. Complete the Work. 22. Contractor - The individual or entity with which Owner has contracted for performance of the Work. 23. Contractor's Team - Contractor and Subcontractors, Suppliers, individuals, or entities directly or indirectly employed or retained by them to perform part of the Work or anyone for whose acts they may be liable. 24. Cost of the Work - The sum of costs incurred for the proper performance of the Work as allowed by Article 13. 25. Defective - When applied to Work, refers to Work that is unsatisfactory, faulty, or deficient in that it: a. Does not conform to the Contract Documents; b. Does not meet the requirements of applicable inspections, reference standards, tests, or approvals referred to in the Contract Documents; or c. Has been damaged or stolen prior to OAR's recommendation of final payment unless responsibility for the protection of the Work has been assumed by Owner at Substantial Completion in accordance with Paragraphs 15.03 or 15.04. 26. Designer - The individuals or entity named as Designer in the Agreement and the subconsultants, individuals, or entities directly or indirectly employed or retained by Designer to provide design or other technical services to the Owner. Designer has responsibility for engineering or architectural design and technical issues related to the Contract Documents. Designers are Licensed Professional Engineers or Registered Architects qualified to practice their profession in the State of Texas. 27. Drawings - The part of the Contract that graphically shows the scope, extent, and character of the Work. Shop Drawings and other Contractor documents are not Drawings. 28. Effective Date of the Contract - The date indicated in the Agreement on which the City Manager or designee has signed the Contract. 29. Field Order - A document issued by OAR or Designer requiring changes in the Work that do not change the Contract Price or the Contract Times. 30. Hazardous Environmental Condition - The presence of Constituents of Concern at the Site in quantities or circumstances that may present a danger to persons or property exposed to Constituents of Concern. The presence of Constituents of Concern at the Site necessary for the execution of the Work or to be incorporated in the Work is not a Hazardous Environmental Condition provided these Constituents of Concern are controlled and contained pursuant to industry practices, Laws and Regulations, and the requirements of the Contract. Excerpt from Form 00 72 00 General Conditions - 4 31. Indemnified Costs - All costs, losses, damages, and legal or other dispute resolution costs resulting from claims or demands against Owner's Indemnitees. These costs include fees for engineers, architects, attorneys, and other professionals. 32. Laws and Regulations; Laws or Regulations - Applicable laws, statutes, rules, regulations, ordinances, codes, and orders of governmental bodies, agencies, authorities, and courts having jurisdiction over the Project. 33. Liens - Charges, security interests, or encumbrances upon Contract related funds, real property, or personal property. 34. Milestone - A principal event in the performance of the Work that Contractor is required by Contract to complete by a specified date or within a specified period of time. 35. Modification - Change made to the Contract Documents by one of the following methods: a. Contract Amendment; b. Change Order; c. Field Order; or d. Work Change Directive. 36. Notice of Award - The notice of Owner's intent to enter into a contract with the Selected Bidder. 37. Notice to Proceed - A notice to Contractor of the Contract Times and the date Work is to begin. 38. Owner - The City of Corpus Christi (City), a Texas home -rule municipal corporation and political subdivision organized under the laws of the State of Texas, acting by and through its duly authorized City Manager and his designee, the City Engineer (the Director of Engineering Services), and the City's officers, employees, agents, or representatives, authorized to administer design and construction of the Project. 39. Owner's Authorized Representative or OAR - The individual or entity named as OAR in the Agreement and the consultants, subconsultants, individuals, or entities directly or indirectly employed or retained by them to provide construction management services to the Owner. The OAR may be an employee of the Owner. 40. Owner's Indemnitees - Each member of the OPT and their officers, directors, members, partners, employees, agents, consultants, and subcontractors. 41. Owner's Project Team or OPT - The Owner, Owner's Authorized Representative, Resident Project Representative, Designer, and the consultants, subconsultants, individuals, or entities directly or indirectly employed or retained by them to provide services to the Owner. 42. Partial Occupancy or Use - Use by Owner of a substantially completed part of the Work for the purpose for which it is intended (or a related purpose) prior to Substantial Completion of all the Work. Excerpt from Form 00 72 00 General Conditions - 5 43. Progress Schedule - A schedule prepared and maintained by Contractor, describing the sequence and duration of the activities comprising the Contractor's plan to accomplish the Work within the Contract Times. 44. Project - The total undertaking to be accomplished for Owner under the Contract Documents. 45. Resident Project Representative or RPR - The authorized representative of OPT assigned to assist OAR at the Site. As used herein, the term Resident Project Representative includes assistants and field staff of the OAR. 46. Samples - Physical examples of materials, equipment, or workmanship representing some portion of the Work that are used to establish the standards for that portion of the Work. 47. Schedule of Documents - A schedule of required documents, prepared, and maintained by Contractor. 48. Schedule of Values - A schedule, prepared and maintained by Contractor, allocating portions of the Contract Price to various portions of the Work and used as the basis for Contractor's Applications for Payment. 49. Selected Bidder -The Bidder to which Owner intends to award the Contract. 50. Shop Drawings - All drawings, diagrams, illustrations, schedules, and other data or information that are specifically prepared or assembled and submitted by Contractor to illustrate some portion of the Work. Shop Drawings, whether approved or not, are not Drawings and are not Contract Documents. 51. Site - Lands or areas indicated in the Contract Documents as being furnished by Owner upon which the Work is to be performed. The Site includes rights-of-way, easements, and other lands furnished by Owner which are designated for use by the Contractor. 52. Specifications - The part of the Contract that describes the requirements for materials, equipment, systems, standards, and workmanship as applied to the Work, and certain administrative requirements and procedural matters applicable to the Work. 53. Subcontractor - An individual or entity having a direct contract with Contractor or with other Subcontractors or Suppliers for the performance of a part of the Work. 54. Substantial Completion - The point where the Work or a specified part of the Work is sufficiently complete to be used for its intended purpose in accordance with the Contract Documents. 55. Supplementary Conditions - The part of the Contract that amends or supplements the General Conditions. 56. Supplier - A manufacturer, fabricator, supplier, distributor, materialman, or vendor having a direct contract with Contractor or with Subcontractors or other Suppliers to furnish materials or equipment to be incorporated in the Work. 57. Technical Data - Those items expressly identified as Technical Data in the Supplementary Conditions with respect to either: a. Subsurface conditions at the Site; Excerpt from Form 00 72 00 General Conditions - 6 b. Physical conditions relating to existing surface or subsurface structures at the Site, except Underground Facilities; or c. Hazardous Environmental Conditions at the Site. 58. Underground Facilities - All underground pipelines, conduits, ducts, cables, wires, manholes, vaults, tanks, tunnels, other similar facilities or appurtenances, and encasements containing these facilities which are used to convey electricity, gases, steam, liquid petroleum products, telephone or other communications, fiber optic transmissions, cable television, water, wastewater, storm water, other liquids or chemicals, or traffic or other control systems. 59. Unit Price Work - Work to be paid for on the basis of unit prices. 60. Work - The construction of the Project or its component parts as required by the Contract Documents. 61. Work Change Directive - A directive issued to Contractor on or after the Effective Date of the Contract ordering an addition, deletion, or revision in the Work. The Work Change Directive serves as a memorandum of understanding regarding the directive until a Change Order can be issued. 1.02 Terminology A. The words and terms discussed in this Paragraph 1.02 are not defined, but when used in the Bidding Requirements or Contract Documents, have the indicated meaning. B. It is understood that the cost for performing Work is included in the Contract Price and no additional compensation is to be paid by Owner unless specifically stated otherwise in the Contract Documents. Expressions including or similar to "at no additional cost to Owner," "at Contractor's expense," or similar words mean that the Contractor is to perform or provide specified operation of Work without an increase in the Contract Price. C. The terms "day" or "calendar day" mean a calendar day of 24 hours measured from midnight to the next midnight. D. The meaning and intent of certain terms or adjectives are described as follows: 1. The terms "as allowed," "as approved," "as ordered," "as directed," or similar terms in the Contract Documents indicate an exercise of professional judgment by the OPT. 2. Adjectives including or similar to "reasonable," "suitable," "acceptable," "proper," "satisfactory," or similar adjectives are used to describe a determination of OPT regarding the Work. 3. Any exercise of professional judgment by the OPT will be made solely to evaluate the Work for general compliance with the Contract Documents unless there is a specific statement in the Contract Documents indicating otherwise. 4. The use of these or similar terms or adjectives does not assign a duty or give OPT authority to supervise or direct the performance of the Work, or assign a duty or give authority to the OPT to undertake responsibilities contrary to the provisions of Articles 9 or 10 or other provisions of the Contract Documents. Excerpt from Form 00 72 00 General Conditions - 7 E. The use of the words "furnish," "install," "perform," and "provide" have the following meanings when used in connection with services, materials, or equipment: 1. Furnish means to supply and deliver the specified services, materials, or equipment to the Site or other specified location ready for use or installation. 2. Install means to complete construction or assembly of the specified services, materials, or equipment so they are ready for their intended use. 3. Perform or provide means to furnish and install specified services, materials, or equipment, complete and ready for their intended use. 4. Perform or provide the specified services, materials, or equipment complete and ready for intended use if the Contract Documents require specific services, materials, or equipment, but do not expressly use the words "furnish," "install," "perform," or "provide." F. Contract Documents are written in modified brief style: 1. Requirements apply to all Work of the same kind, class, and type even though the word "all" is not stated. 2. Simple imperative sentence structure is used which places a verb as the first word in the sentence. It is understood that the words "furnish," "install," "perform," "provide," or similar words include the meaning of the phrase "The Contractor shall..." before these words. 3. Unless specifically stated that action is to be taken by the OPT or others, it is understood that the action described is a requirement of the Contractor. G. Words or phrases that have a well-known technical or construction industry or trade meaning are used in the Contract Documents in accordance with this recognized meaning unless stated otherwise in the Contract Documents. H. Written documents are required where reference is made to notices, reports, approvals, consents, documents, statements, instructions, opinions or other types of communications required by the Contract Documents. Approval and consent documents must be received by Contractor prior to the action or decision for which approval or consent is given. These may be made in printed or electronic format through the OPT's project management information system or other electronic media as required by the Contract Documents or approved by the OAR. I. Giving notice as required by the Contract Documents may be by printed or electronic media using a method that requires acknowledgment of the receipt of that notice. ARTICLE 2 — PRELIMINARY MATTERS ARTICLE 3 — CONTRACT DOCUMENTS: INTENT, REQUIREMENTS, REUSE 3.01 Intent B. Provide equipment that is functionally complete as described in the Contract Documents. The Drawings and Specifications do not indicate or describe all of the Work required to complete the installation of products purchased by the Owner or Contractor. Additional Excerpt from Form 00 72 00 General Conditions - 8 details required for the correct installation of selected products are to be provided by the Contractor and coordinated with the Designer through the OAR. 3.02 Reference Standards B. Comply with applicable construction industry standards, whether referenced or not. 1. Standards referenced in the Contract Documents govern over standards not referenced but recognized as applicable in the construction industry. 2. Comply with the requirements of the Contract Documents if they produce a higher quality of Work than the applicable construction industry standards. 3. Designer determines whether a code or standard is applicable, which of several are applicable, or if the Contract Documents produce a higher quality of Work. 3.03 Reporting and Resolving Discrepancies 3.04 Interpretation of the Contract Documents A. Submit questions concerning the non-technical or contractual / administrative requirements of the Contract Documents to the OAR immediately after those questions arise. OAR is to provide an interpretation of the Contract Documents regarding these questions and will coordinate the response of the OPT to Contractor. B. Submit questions regarding the design of the Project described in the Contract Documents to the OAR immediately after those questions arise. OAR is to request an interpretation of the Contract Documents from the Designer. Designer is to respond to these questions by providing an interpretation of the Contract Documents. OAR will coordinate the response of the OPT to Contractor. C. OPT may initiate a Modification to the Contract Documents through the OAR if a response to the question indicates that a change in the Contract Documents is required. Contractor may appeal Designer's or OAR's interpretation by submitting a Change Proposal. ARTICLE 4 — COMMENCEMENT AND PROGRESS OF THE WORK ARTICLE 5 —AVAILABILITY OF LANDS; SUBSURFACE AND PHYSICAL CONDITIONS; HAZARDOUS ENVIRONMENTAL CONDITIONS 5.01 Availability of Lands 5.02 Use of Site and Other Areas 5.03 Subsurface and Physical Conditions 5.04 Differing Subsurface or Physical Conditions A. Notify OAR immediately, but in no event later than 3 days, after becoming aware of a subsurface or physical condition that is uncovered or revealed at the Site, and before Excerpt from Form 00 72 00 General Conditions - 9 further disturbing the subsurface or physical conditions or performing any related Work that: 1. Establishes that the Technical Data on which Contractor is entitled to rely as provided in Paragraph 5.03 is materially inaccurate; 2. Requires a change in the Drawings or Specifications; 3. Differs materially from that shown or indicated in the Contract Documents; or 4. Is of an unusual nature and differs materially from conditions ordinarily encountered and generally recognized as inherent in work of the character provided for in the Contract Documents. Do not further disturb or perform Work related to this subsurface or physical condition, except in an emergency as required by Paragraph 7.12, until permission to do so is issued by OAR. B. OAR is to notify the OPT after receiving notice of a differing subsurface or physical condition from the Contractor. Designer is to: 1. Promptly review the subsurface or physical condition; 2. Determine the necessity of OPT's obtaining additional exploration or tests with respect the subsurface or physical condition; 3. Determine if the subsurface or physical condition falls within one or more of the differing Site condition categories in Paragraph 5.04.A; 4. Prepare recommendations to OPT regarding the Contractor's resumption of Work in connection with the subsurface or physical condition in question; 5. Determine the need for changes in the Drawings or Specifications; and 6. Advise OPT of Designer's findings, conclusions, and recommendations. C. OAR is to issue a statement to Contractor regarding the subsurface or physical condition in question and recommend action as appropriate after review of Designer's findings, conclusions, and recommendations. 5.05 Underground Facilities A. The information and data shown or indicated in the Contract Documents with respect to existing Underground Facilities at or adjacent to the Site is based on information and data furnished to OPT by the owners of these Underground Facilities or by others. OPT is not responsible for the accuracy or completeness of information or data provided by others that OPT makes available to Contractor. The Contractor is responsible for: 1. Reviewing and checking available information and data regarding existing Underground Facilities at the Site; 2. Complying with Laws and Regulations related to locating Underground Facilities before beginning Work; 3. Locating Underground Facilities shown or indicated in the Contract Documents; 4. Coordinating the Work with the owners, including Owner, of Underground Facilities during construction; and Excerpt from Form 00 72 00 General Conditions - 10 5. The safety and protection of existing Underground Facilities at or adjacent to the Site and repairing damage resulting from the Work. B. Notify the OAR and the owner of the Underground Facility immediately if an Underground Facility is uncovered or revealed at the Site that was not shown in the Contract Documents, or was not shown with reasonable accuracy in the Contract Documents. Do not further disturb conditions or perform Work affected by this discovery, except in the event of an emergency as required by Paragraph 7.12. C. The Designer is to take the following action after receiving notice from the OAR: 1. Promptly review the Underground Facility and conclude whether the Underground Facility was not shown or indicated in the Contract Documents, or was not shown or indicated with reasonable accuracy; 2. Prepare recommendations to OPT regarding the Contractor's resumption of Work in connection with this Underground Facility; 3. Determine the extent to which a change is required in the Drawings or Specifications to document the consequences of the existence or location of the Underground Facility; and 4. Advise OAR of Designer's findings, conclusions, and recommendations and provide revised Drawings and Specifications if required. D. OAR is to issue a statement to Contractor regarding the Underground Facility in question and recommend action as appropriate after review of Designer's findings, conclusions, and recommendations. ARTICLE 6 — BONDS AND INSURANCE ARTICLE 7 — CONTRACTOR'S RESPONSIBILITIES ARTICLE 8 — OTHER WORK AT THE SITE ARTICLE 9 — OWNER'S AND OPT'S RESPONSIBILITIES 9.01 Communications to Contractor A. OPT issues communications to Contractor through OAR except as otherwise provided in the Contract Documents. 9.02 Replacement of Owner's Project Team Members A. Owner may replace members of the OPT at its discretion. 9.03 Furnish Data A. OPT is to furnish the data required of OPT under the Contract Documents. 9.04 Pay When Due A. Owner is to make payments to Contractor when due as described in Paragraphs 15.01.D and 15.06.D. Excerpt from Form 00 72 00 General Conditions - 11 9.05 Lands and Easements; Reports and Tests A. Owner's duties with respect to providing lands and easements are described in Paragraph 5.01. OPT will make copies of reports of explorations and tests of subsurface conditions and drawings of physical conditions relating to existing surface or subsurface structures at the Site available to Contractor in accordance with Paragraph 5.03. 9.06 Insurance A. Owner's responsibilities with respect to purchasing and maintaining insurance are described in Article 6. 9.07 Modifications A. Owner's responsibilities with respect to Modifications are described in Article 11. 9.08 Inspections, Tests, and Approvals A. OPT's responsibility with respect to certain inspections, tests, and approvals are described in Paragraph 14.02. 9.09 Limitations on OPT's Responsibilities A. The OPT does not supervise, direct, or have control or authority over, and is not responsible for Contractor's means, methods, techniques, sequences, or procedures of construction, or related safety precautions and programs, or for failure of Contractor to comply with Laws and Regulations applicable to the performance of the Work. OPT is not responsible for Contractor's failure to perform the Work in accordance with the Contract Documents. 9.10 Undisclosed Hazardous Environmental Condition A. OPT's responsibility for undisclosed Hazardous Environmental Conditions is described in Paragraph 5.06. 9.11 Compliance with Safety Program A. Contractor is to inform the OPT of its safety programs and OPT is to comply with the specific applicable requirements of this program. ARTICLE 10 — OAR'S AND DESIGNER'S STATUS DURING CONSTRUCTION 10.01 Owner's Representative A. OAR is Owner's representative. The duties and responsibilities and the limitations of authority of OAR as Owner's representative are described in the Contract Documents. 10.02 Visits to Site A. Designer is to make periodic visits to the Site to observe the progress and quality of the Work. Designer is to determine, in general, if the Work is proceeding in accordance with the Contract Documents based on observations made during these visits. Designer is not required to make exhaustive or continuous inspections to check the quality or quantity of Excerpt from Form 00 72 00 General Conditions - 12 the Work. Designer is to inform the OPT of issues or concerns and OAR is to work with Contractor to address these issues or concerns. Designer's visits and observations are subject to the limitations on Designer's authority and responsibility described in Paragraphs 9.09 and 10.07. B. OAR is to observe the Work to check the quality and quantity of Work, implement Owner's quality assurance program, and administer the Contract as Owner's representative as described in the Contract Documents. OAR's visits and observations are subject to the limitations on OAR's authority and responsibility described in Paragraphs 9.09 and 10.07. 10.03 Resident Project Representatives A. Resident Project Representatives assist OAR in observing the progress and quality of the Work at the Site. The limitations on Resident Project Representatives' authority and responsibility are described in Paragraphs 9.09 and 10.07. 10.04 Rejecting Defective Work A. OPT has the authority to reject Work in accordance with Article 14. OAR is to issue a Defective Work Notice to Contractor and document when Defective Work has been corrected or accepted in accordance with Article 14. 10.05 Shop Drawings, Modifications and Payments A. Designer's authority related to Shop Drawings and Samples are described in the Contract Documents. B. Designer's authority related to design calculations and design drawings submitted in response to a delegation of professional design services are described in Paragraph 7.15. C. OAR and Designer's authority related to Modifications is described in Articles 11. D. OAR's authority related to Applications for Payment is described in Articles 13 and 15. 10.06 Decisions on Requirements of Contract Documents and Acceptability of Work A. OAR is to render decisions regarding non-technical or contractual / administrative requirements of the Contract Documents and will coordinate the response of the OPT to Contractor. B. Designer is to render decisions regarding the conformance of the Work to the requirements of the Contract Documents. Designer will render a decision to either correct the Defective Work, or accept the Work under the provisions of Paragraph 14.04, if Work does not conform to the Contract Documents. OAR will coordinate the response of the OPT to Contractor. C. OAR will issue a Request for a Change Proposal if a Modification is required. OAR will provide documentation for changes related to the non-technical or contractual / administrative requirements of the Contract Documents. Designer will provide documentation if design related changes are required. D. Contractor may appeal Designer's decision by submitting a Change Proposal if Contractor does not agree with the Designer's decision. Excerpt from Form 00 72 00 General Conditions - 13 10.07 Limitations on OAR's and Designer's Authority and Responsibilities A. OPT is not responsible for the acts or omissions of Contractor's Team. No actions or failure to act, or decisions made in good faith to exercise or not exercise the authority or responsibility available under the Contract Documents creates a duty in contract, tort, or otherwise of the OPT to the Contractor or members of the Contractor's Team. ARTICLE 11— AMENDING THE CONTRACT DOCUMENTS; CHANGES IN THE WORK ARTICLE 12 — CLAIMS ARTICLE 13 — COST OF THE WORK; ALLOWANCES; UNIT PRICE WORK ARTICLE 14 — TESTS AND INSPECTIONS; CORRECTION, REMOVAL, OR ACCEPTANCE OF DEFECTIVE WORK ARTICLE 15 — PAYMENTS TO CONTRACTOR; SET -OFFS; COMPLETION; CORRECTION PERIOD ARTICLE 16 — SUSPENSION OF WORK AND TERMINATION ARTICLE 17 — FINAL RESOLUTION OF DISPUTES ARTICLE 18 — MISCELLANEOUS END OF SECTION Excerpt from Form 00 72 00 General Conditions - 14 Corpus Chr sti Engineering Lift Station Repairs City Wide 2017-2018 Council Presentation December 20, 2016 Day Mustang islanr1 State Park Park Road 53 LS Project #: [16426 Project Location Corpus Chr'sti Engineering Stillwell LS Rincon North LS Rincon South LS FM -44 Coastal Meadows LS terra Grande Schanen LS �s 1 Corpus Christi North Beach 'B' LS Magee Beach LS Port & Pearse LS Srrr Kings Crossing LS 2 Project Scope Corpus Chr sti Engineering This is a continuation of the City's strategic recapitalization project for the City's 102 wastewater lift stations listed below. This project provides for improvements to 10 additional lift stations with design this FY and construction next FY. • Rincon North Lift Station • Rincon South Lift Station • Schanen Lift Station • Stillwell Lift Station • Coastal Meadows Lift Station Park Road 53 Lift Station • Kings Crossing Lift Station • Magee Beach Lift Station • North Beach 'B' Lift Station • Port Pearse Lift Station Project Schedule Corpus Chr sti Engineering 2017 Jan Feb Mar Apr May Jun Design Project Design Estimate: 175 Calendar Days = 6 Months Schedule reflects City Council award in January 2017 with design completion planned by June 2017 CERTIFICATE OF INTERESTED PARTIES FORM 1295 1 of 1 Complete Nos. 1- 4 and 6 if there are interested parties. Complete Nos. 1, 2, 3, 5, and 6 it there are no interested parties. OFFICE USE ONLY CERTIFICATION OF FILING Certificate Number: 2016-132647 Date Filed: 11/03/2016 Date Acknowledged: 1 Name of business entity filing form, and the city, state and country of the business entity's place of business. Urban Engineering Corpus Christi, TX United States 2 Name of governmental entity or state agency that is a party to the contract for which the form is being filed. City of Corpus Christi 3 Provide the identification number used by the governmental entity or state agency to track or identify the contract, and provide a description of the services, goods, or other property to be provided under the contract. E16426 2017 Lift Station Repairs 4 Name of Interested Party City,State, Country (place of business) Nature of interest (check applicable) Controlling Intermediary Urban , James L. Corpus Christi, TX United States X Urban, Jr., Eugene C. Corpus Christi, TX United States X Urban, Larry J. Corpus Christi, TX United States X 5 Check only if there is NO Interested Party. ❑ 6 Ai��"� �Y+� _.d..._ i.1.- affirm, under penalty of perjury, that the C above disclosure is true and correct. • MYa 1 JOLENE E POTTER `/ My Commission Expires July 2A, 2017 y4hor+f, 1 swear, or ` � l� a r_ AFFIX Sworn 20 NOTARY STAMP / SEAL ABOVE to and subscribed before me, by the said, 1119 , to certify which, witness my hand and ignature of authorized agent of contracting business entity rOil /1 j4, ,44..e_ J L V6 -.11--f , this the 3 day of )1.3 tteyet lbir , seal of office. 4 . jdene C. 1--)I-le y t— ',6)1,4/6,51Z) ,, Signature of officer administering oath Printed name of officer administering oath Title of officer administering oath Forms provided by Texas Ethics Commission www.ethics.state.tx.us Version V1,0.