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HomeMy WebLinkAboutAgenda Packet City Council - 10/15/2019City Council City of Corpus Christi Meeting Agenda - Final-revised 1201 Leopard Street Corpus Christi, TX 78401 cctexas.com Council Chambers11:30 AMTuesday, October 15, 2019 Addendums may be added on Friday. A.Mayor Joe McComb to call the meeting to order. B.Invocation to be given by Deacon Michael Mantz, Diocese of Corpus Christi. C.Pledge of Allegiance to the Flag of the United States and to the Texas Flag led by Gina Sanchez, Marina Superintendent. D.City Secretary Rebecca L. Huerta to call the roll of the required Charter Officers. E.Proclamations / Commendations 1.19-1389 Proclamation declaring October 14, 2019, " Indigenous Peoples Day". Proclamation declaring October 15, 2019, "HELP Hits the High Notes Day". Proclamation declaring October 25, 2019, "Celebration of Family: Honoring 2019 Four-Star Parents". Proclamation declaring October 18-20, 2019, "59th Annual Texas Jazz Festival Days". Proclamation declaring October 20-26, 2019, "2019 National Pro Bono Week". Proclamation declaring October 15 to November 15, 2019, "Deepavali Celebration Month". Swearing-In Ceremony for Newly Appointed Board, Commission, Committee and Corporation Members. F.PUBLIC COMMENT - APPROXIMATELY 12:00 P.M. 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. Citizen comments are 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 Communication department at 361-826-3211 to coordinate. This is a public hearing for all items on this agenda. Page 1 City of Corpus Christi Printed on 10/14/2019 October 15, 2019City Council Meeting Agenda - Final-revised G.CITY MANAGER’S COMMENTS / UPDATE ON CITY OPERATIONS: a.OTHER H.MINUTES: 2.19-1404 Regular Meetings of September 24, 2019 and October 1, 2019. This item will be considered on a future agenda. I.BOARD & COMMITTEE APPOINTMENTS: (NONE) J.EXPLANATION OF COUNCIL ACTION: K.CONSENT AGENDA: (ITEMS 3 - 25) Second Reading Ordinances - Consent 3.19-1210 Ordinance amending the Unified Development Code pursuant to the annual review process to only require a Certificate of Appropriateness if modifications are occurring to the exterior of a building that is designated a historic landmark; and providing for penalty. Sponsors:Development Services 4.19-1066 Ordinance amending Corpus Christi Code to adopt the 2018 International Swimming Pool and Spa Code, to amend swimming pool standards, to amend the definition of industrialized housing, and to modify affirmative defense for lemonade stand permitting; and providing for penalty. Sponsors:Development Services 5.19-1200 Ordinance amending Chapter 14 of Corpus Christi Code to create a fee waiver for residential building permits to construct an accessibility ramp and to reduce permit fees for moving structures. Sponsors:Development Services 6.19-1346 Ordinance approving the continued receipt of bingo prize fees; authorizing notification of the Texas Lottery Commission of such approval; and amending the Corpus Christi Code to add Section Sec. 17-43 Bingo Prize Fee. Sponsors:Financial Services Department 7.19-1259 Ordinance approving the sale of lot of approximately 0.391 acres at or near 6099 Ennis Joslin Road for the highest cash offer received by real estate broker of $75,000 to Corpus Christi Pregnancy Center, Inc., a Texas Nonprofit Corporation Sponsors:Legal Department Page 2 City of Corpus Christi Printed on 10/14/2019 October 15, 2019City Council Meeting Agenda - Final-revised Contracts and Procurement - Consent 8.19-1339 Motion approving a three-year service agreement in an amount not to exceed $3,659,703.30 with Sec Ops, Inc., of Corpus Christi, Texas, to provide onsite armed and unarmed uniformed security guard services at 11 City facilities, effective upon notice to proceed, with first-year funding in the amount of $1,046,994.76 available through the Water Fund, Airport Fund, General Fund and Asset Management-Facility Fund. Sponsors:Police Department and Contracts and Procurement 9.19-1182 Motion authorizing a three-year service agreement with David Aaron Alvarez dba Cut Masters Lawn Service , for mowing and grounds maintenance services of street rights-of-way, circles and medians for Storm Water Group 5A located on Saratoga, Crosstown, Staples, Weber and Ayers, for a total amount not to exceed $410,482.80, effective upon issuance of notice to proceed, with the first-year funding in the amount of $136,827.60 through the FY 2020 Storm Water Fund. Sponsors:Parks and Recreation Department and Contracts and Procurement 10.19-0984 Resolution authorizing a five-year service agreement with Cummins Southern Plains, LLC dba Cummins Sales and Service of Arlington, Texas, for a total amount not to exceed $296,755.00, for preventative maintenance and purchase of parts for the five Cummins emergency generator sets located at O.N. Stevens Water Treatment Plant and Sand Dollar Pump Station, effective upon issuance of notice to proceed, with the first-year funding in the amount of $59,351.00 available through the Water Fund. Sponsors:Utilities Department and Contracts and Procurement 11.19-1030 Motion authorizing a three-year service agreement with Odessa Pumps and Equipment, Inc., of Houston, Texas, for on-call pump repair services of 144 pumps located at wastewater and storm water facilities, in an annual amount not to exceed $276,900 with the total contract amount not to exceed $844,200.00, effective upon issuance of notice to proceed, with funding available in the Wastewater and Storm Water Funds. Sponsors:Utilities Department and Contracts and Procurement 12.19-1113 Motion authorizing a three-year service agreement with Miller Environmental Services, LLC, of Corpus Christi, Texas, for on-call emergency spill response and remediation services for the Utilities Department in an amount not to exceed $93,900.00, effective upon issuance of notice to proceed, with first-year funding in the amount of $31,300.00 available in the Storm Water Fund. Sponsors:Utilities Department and Contracts and Procurement 13.19-1337 Resolution authorizing a two-year supply agreement with Pencco, Inc., of San Felipe, Texas, for the purchase of fluoride to be used during the water Page 3 City of Corpus Christi Printed on 10/14/2019 October 15, 2019City Council Meeting Agenda - Final-revised treatment process, for a total amount not to exceed $388,800.00, effective upon issuance of notice to proceed and funded through the Water Fund. Sponsors:Utilities Department and Contracts and Procurement 14.19-1174 Motion authorizing a three-year supply agreement with Gulf Coast Paper Co., of Corpus Christi, Texas, for the purchase of paper goods and janitorial supplies for the City Warehouse as a central distribution for City departments, for a total amount not to exceed $750,000.00, effective upon issuance of notice to proceed, with first-year estimated in the amount of $250,000.00 with funding available through the Stores Fund. Sponsors:Contracts and Procurement 15.19-1335 Motion authorizing a two-year service agreement with three one-year options, in an amount not to exceed $2,000,000.00 for the initial term and a total potential value not to exceed $5,000,000.00, with South Texas Metal Roofing, of Corpus Christi, Texas, to perform on-call roof repair services to City owned facilities, effective upon issuance of a notice to proceed, with the first-year funding available through various departments’ FY 2020 funds. Sponsors:Asset Management Department and Contracts and Procurement 16.19-1288 Motion authorizing a two-year service agreement, with three one-year options, in an amount not to exceed $1,000,000.00 for the initial term, and a total potential value not to exceed $2,500,000.00, with G6 Construction, of Corpus Christi, Texas, to perform on-call building maintenance and repair services to City owned facilities, effective upon issuance of notice to proceed, with the first-year funding available through various departments’ FY 2020 funds. Sponsors:Asset Management Department and Contracts and Procurement 17.19-1128 Motion authorizing a two-year service agreement with Advance Paving and Construction to provide on-call moving and relocation services for a total amount not to exceed $150,000.00, with options to extend for up to three additional one-year periods at $75,000.00 per option year, for a total amount not to exceed $375,000.00, upon issuance of notice to proceed, with funding available in the Facility and Property Management Fund. Sponsors:Asset Management Department and Contracts and Procurement 18.19-1041 Motion authorizing a two-year service agreement with STBP, Inc.for door repair services for City owned facilities, for an amount not to exceed $150,000.00, with three additional one-year option years for a potential total amount not to exceed $375,000.00, effective upon issuance of a notice to proceed, with the first-year funded through the Facility and Property Management Fund. Sponsors:Asset Management Department and Contracts and Procurement Capital Projects - Consent Page 4 City of Corpus Christi Printed on 10/14/2019 October 15, 2019City Council Meeting Agenda - Final-revised 19.19-1355 Motion awarding a contract to Govind Development, LLC, to design levee improvements for the Salt Flats Levee Improvements project, located in City Council District 1, in the amount of $267,470, to begin upon issuance of notice to proceed, with funds available in the Type A Seawall fund. Sponsors:Engineering Services 20.19-1137 Motion awarding a contract to LNV, Inc., for the design of roadway and utility improvements on Gollihar Road from Greenwood Drive to Crosstown Expressway, in City Council District 3, in the amount of $568,065, effective upon issuance of notice to proceed, with funding available from Bond 2018, Proposition A and Utility Capital Program funds. Sponsors:Street Department, Contracts and Procurement and Engineering Services 21.19-1314 Motion awarding an engineering contract in the amount of $376,055 to Urban Engineering for developing bid documents for reconstruction of Junior Beck Drive from Bear Lane to the Dead End and for the extension of Jr. Beck Drive to Old Brownsville Road, to be bid as an additive alternate. The project is in District 3, the contract will begin upon notice to proceed, and funding is available from Street Bond 2018, Proposition B and Utility Capital Improvement Budgets. Sponsors:Street Department, Contracts and Procurement and Engineering Services 22.19-1316 Motion awarding a contract to Munoz Engineering for design, bid, and construction phase services for reconstruction of Callicoatte Road from IH37 to Up-River Road in the amount of $154,712.05, located in City Council District 1, effective upon issuance of Notice to Proceed, with funds approved and available in Bond 2018 and Utility Capital Improvement Funds. Sponsors:Street Department, Contracts and Procurement and Engineering Services General Consent Items 23.19-1373 Motion authorizing the execution of voluntary collection agreements with Airbnb, Inc., HomeAway.com, Inc., and other entities to provide for the reporting, collection, and remittance of hotel occupancy taxes to the City. Sponsors:Financial Services Department and Legal Department 24.19-1116 Motion authorizing a Management Services Agreement with the Corpus Christi Area Convention and Visitors Bureau for a period ending September 30, 2024 in an amount totaling 44% of the City’s 7% portion of Hotel Occupancy Tax revenue and approving the bylaws. Sponsors:Business Liaison 25.19-1376 Resolution inviting the City of Linz, Austria to become a Sister City of the City of Corpus Christi, Texas. Sponsors:Business Liaison Page 5 City of Corpus Christi Printed on 10/14/2019 October 15, 2019City Council Meeting Agenda - Final-revised L.RECESS FOR LUNCH M.PUBLIC HEARINGS: (ITEMS 26 - 27) 26.19-1351 Case No. 0819-04, Mirabal Development Group, LC (District 5). Ordinance rezoning property at or near 6805 Sandra Lane from the "RS-6" Single-Family 6 District to the “RM-1” Multifamily 1 District. Sponsors:Development Services 27.19-0996 Ordinance pertaining to North Beach designating a 1,423 acre area within the jurisdiction of the City of Corpus Christi Tax Increment Reinvestment Zone (TIRZ) Number 4; setting a maximum City financial participation of $20,000,000 via a scaled contribution for a period not to exceed 20 years; establishing a Board of Directors for the TIRZ; and, establishing a preliminary Project and Financing Plan . This item will now be discussed on item 33 of this agenda. Sponsors:Business Liaison N.REGULAR AGENDA: (NONE) O.FIRST READING ORDINANCES: (ITEMS 28 - 31) 28.19-1352 Ordinance authorizing acceptance of a grant in the amount of $48,889.40 grant from the State of Texas, Criminal Justice Division for Violence Against Women (VAWA) Program with a cash match of $17,808.91 and in-kind match of $2,160; appropriating $48,889.40 in the Police Grants Fund; and authorizing a transfer of $17,808.91 from the General Fund to the Police Grants Fund. Sponsors:Police Department 29.19-1266 Ordinance authorizing the acceptance of a grant in the amount of $40,000 from the Office of the Governor’s Homeland Security Grants Division for FY2020 Local Border Security Program; and appropriating $40,000 in Police Grants Fund. Sponsors:Police Department 30.19-1307 Ordinance approving the purchase of ten replacement trailers not to exceed $153,963.00 to be used daily by the Utilities Department to transport heavy equipment to worksites from H & V Equipment Service, Inc. via the Buy Board Cooperative; appropriating $59,180.20 from the unreserved fund balance in the Water Fund, $70,969.00 from the unreserved fund balance in the Wastewater Fund and $23,813.80 from the unreserved fund balance in the Storm Water Fund; and amending the FY 2019-2020 operating budget to increase expenditures. Sponsors:Utilities Department and Contracts and Procurement Page 6 City of Corpus Christi Printed on 10/14/2019 October 15, 2019City Council Meeting Agenda - Final-revised 31.19-1305 Ordinance approving the purchase of four 2019 Ford F-150 regular cab pick-up trucks in an amount not to exceed $110,837.00 to be used by Construction Inspectors in Engineering Services from Silsbee Ford of Silsbee, Texas via the GoodBuy Purchasing Cooperative; appropriating $110,837.00 from the unreserved fund balance in the Engineering Services; and amending the FY 2019-2020 operating budget to increase expenditures. Sponsors:Engineering Services and Contracts and Procurement P.BRIEFINGS: (ITEMS 32 - 33) 32.19-1402 Utility Bills Update Sponsors:Assistant City Manager 33.19-1463 Potential Tax Increment Reinvestment Zone on North Beach and Related Studies Sponsors:Business Liaison Q.EXECUTIVE SESSION: (ITEMS 33 - 35) 34.19-1385 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 the case of Beeville Water Supply District appeal of Raw Water Rates adopted by City of Corpus Christi filed with the Public Utility Commission of Texas, and other lawsuits and potential lawsuits, including potential consideration of documents related to settlement of the aforementioned case, including documents involving the sale of raw water to said Water Supply District. 35.19-1386 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 collective bargaining matters in the Agreement with the Corpus Christi Police Officers’ Association, including, but not limited to, potential approval of a collective bargaining agreement with said association. 36.19-1462 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 existing/potential incentive agreement(s) for development(s) on North Beach, La Vista Point, LP and/or related entities, and/or proposed Tax Increment Reinvestment Zone #4, drainage matters related thereto, and pursuant to Texas Government Code § 551.072 to discuss and deliberate the potential purchase and/or value of real property to be potentially acquired by the City or City-affiliated entities in aforesaid locations when deliberation in open meeting would have a detrimental effect on the position of the governmental body in negotiations with a third person, and pursuant to Texas Government Page 7 City of Corpus Christi Printed on 10/14/2019 October 15, 2019City Council Meeting Agenda - Final-revised 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). R.IDENTIFY COUNCIL FUTURE AGENDA ITEMS S.ADJOURNMENT Page 8 City of Corpus Christi Printed on 10/14/2019 DATE:August 16, 2019 TO:Peter Zanoni, City Manager FROM:Al Raymond, Director, Development Services Department alraymond@cctexas.com (361) 826-3575 CAPTION: Ordinance amending the Unified Development Code pursuant to the annual review process to only require a Certificate of Appropriateness if modifications are occurring to the exterior of a building that is designated a historic landmark; and providing for penalty. SUMMARY: The purpose of this item is to modify current requirements regarding Certificates of Appropriateness. BACKGROUND AND FINDINGS: On a continual basis, Development Services reviews the requirements and effectiveness of the standards set by the UDC. The proposed text amendment originated through a citizen request. The proposed amendments were presented to the Landmark Commission and received a recommendation of approval. The proposed text amendment is summarized below. “Certificate of Appropriateness”: This proposed text amendment will only require a Certificate of Appropriateness if the exterior of a building with a historic designation is being modified. Currently, a Certificate of Appropriateness is required if any building permit or certificate of occupancy is requested. As part of the review process, the Landmark Commission is required to ensure that all remodeling work is consistent with The Secretary of The Interior’s Standards for The Treatment of Historic Properties: With Guidelines for Preserving, Rehabilitation, Restoring & Reconditioning. However, work defined as “Ordinary Repair and Maintenance” is exempt from obtaining a Certificate of Appropriateness. According to the Unified Development Code, “Ordinary Repair and Maintenance” is defined as, “Actions that do not involve changes in architectural and historical style or value, general design structural arrangement, type of building material, primary color or basic texture. Examples of ordinary repairs and maintenance are: repainting, restoration of damaged windows in same style and dimension, replacement of rotted or broken exterior material of the same style and dimension or trimming of trees and shrubs.” ALTERNATIVES: -Denial of the amendment will result in a certificate of appropriateness being required Unified Development Code Amendments regarding Certificate of Appropriateness AGENDA MEMORANDUM Public Hearing & First Reading Ordinance for the City Council Meeting 10/01/19 Second Reading Ordinance for the City Council Meeting 10/15/19 from the Landmark Commission for any interior structural work and/or any work requiring a building permit or certificate of occupancy. FISCAL IMPACT: There is no financial impact associated with this item. Funding Detail: Fund: Organization/Activity: Mission Element: Project # (CIP Only): Account: RECOMMENDATION: City Staff and the Planning Commission recommend approval. The Planning Commission will hear this item during a public hearing on September 4, 2019. The Landmark Commission also approved this item. LIST OF SUPPORTING DOCUMENTS: Ordinance Ordinance amending the Unified Development Code pursuant to the annual review process to only require a Certificate of Appropriateness if modifications are occurring to the exterior of a building that is designated a historic landmark; and providing for penalty. WHEREAS,the Planning Commission has forwarded to the City Council its final report and recommendation regarding this amendment of the City's Unified Development Code ("UDC"); WHEREAS,with proper notice to the public, public hearings were held on Wednesday, September 4, 2019, during a meeting of the Planning Commission when the Planning Commission recommended approval of the proposed UDC amendments, and on October 1, 2019, 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 to the UDC would best serve the public's health, necessity,convenience,and the general welfare of the City and its citizens. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. UDC Article 3 “Development Review Procedures”, Section 3.15 “Certificate of Appropriateness”, Subsection 3.15.1 “Applicability” is amended by adding the following language that is underlined (added) and deleting the language that is stricken (deleted) as delineated below: 3.15.1 Applicability A. A certificate of appropriateness shall be required in the following circumstances before the commencement of development within or work upon any designated landmark or contributing structure located within an Historic Overlay: 1. Whenever such work or development requires a building permit or certificate of occupancy; or 1. 2.Whenever such work includes the erection, moving, demolition, reconstruction, restoration or alteration of the exterior of any landmark or structure. SECTION 2.If for any reason, any section, paragraph, subdivision, clause, phrase, word, or provision of this ordinance is held invalid or unconstitutional by final judgment of a court of competent jurisdiction, it may not affect any other section, paragraph, subdivision, clause, phrase, word, or provision of this ordinance, for it is the definite intent of this City Council that every section, paragraph, subdivision, clause, phrase, word, or provision of this ordinance be given full force and effect for its purpose. SECTION 3.A violation of this ordinance, or requirements implemented under this ordinance, constitutes an offense punishable as provided in Article 1, Section 1.10.1, and Article 10 of the UDC or Section 1-6 of the Corpus Christi Code of Ordinances. SECTION 4.Publication shall be made in the City’s official publication as required by the City’s Charter. SECTION 5. This ordinance takes effect upon publication. Page 2 of 2 That the foregoing ordinance was read for the first time and passed to its second reading on this the _____ day of ___________, 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo ________________Greg Smith ______________ Gil Hernandez ________________ That the foregoing ordinance was read for the second time and passed finally on this the _____ day of __________ 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo ________________Greg Smith ______________ Gil Hernandez ________________ PASSED AND APPROVED on this the ______ day of _________________, 2019. ATTEST: _________________________________________________ Rebecca Huerta Joe McComb City Secretary Mayor City Council October 1, 2019 UDC Text Amendments Unified Development Code (UDC) Certificate of Appropriateness Overview 2 Purpose: Updating the Unified Development Code (UDC) to only require a Certificate of Appropriateness if the exterior of a historic building is being modified: • Currently, the UDC requires a Certificate of Appropriateness (C of A) of any building permit or certificate of occupancy is requested. • To obtain a C of A, the Landmark Commission must approve the work done to the building (30 days). C of A Applicability 3 3.15.1 Applicability A certificate of appropriateness shall be required in the following circumstances before the commencement of development within or work upon any designated landmark or contributing structure located within an Historic Overlay: 1. Whenever such work or development requires a building permit or certificate of occupancy; or 1 2. Whenever such work includes the erection, moving, demolition, reconstruction, restoration or alteration of the exterior of any landmark or structure. Planning Commission and Staff Recommendation 4 • Landmark Commission – • Recommended Approval – August 22, 2019 • Planning Commission – • Recommended Approval – September 4, 2019 • Staff recommends approval. DATE: September 6, 2019 TO:Peter Zanoni, City Manager FROM:Al Raymond, Director of Development Services alraymond@cctexas.com (361) 826-3575 CAPTION: Ordinance amending Corpus Christi Code to adopt the 2018 International Swimming Pool and Spa Code, to amend swimming pool standards, to amend the definition of industrialized housing, and to modify affirmative defense for lemonade stand permitting; and providing for penalty. SUMMARY: Legislation wassigned by Governor Greg Abbott after the 86th Texas legislative session pertaining to House Bill 2858 - Swimming Pool and Spas, House Bill 1385 - Industrialized Housing and House Bill 234 - Lemonade Stands. Passage of this ordinance is necessary to comply with the signed legislation. BACKGROUND AND FINDINGS: General House Bill 2858 – Swimming Pool and Spa Code; requires municipalities adopt the International Swimming Pool and Spa Code as it existed on May 1, 2019 as the municipal swimming pool and spa code. The code applies to all construction, alteration, remodeling, enlargement and repair of swimming pools and spas in a City that elects to regulate pools or spas, including requiring fencing under current state law. The City currently regulates the construction of pools and in ground spas in Chapter 14, Article II of the City’s municipal code of ordinances by requiring permits for swimming pools and spas and regulates commercial swimming pools in Chapter 23 “Health and Sanitation”, Article III, Section 23-57. The proposed amendment removes current language related to swimming pools in Chapter 14 of the municipal code and adds Sec.14-301 – Swimming Pool and Spa Code, 2018 Edition, as published by the International Code Council. The amendment also removes conflicting provisions with the state statute and redundant language in Chapter 23, Sec. 23-57. Ordinance amending the Corpus Christi Municipal Code to adopt the 2018 International Swimming Pool and Spa Code, Remove Height Limitations for Industrialized Housing and Revise Vendor Permit requirements for Lemonade Stands. AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of 10/1/19 Second Reading Ordinance for the City Council Meeting of 10/15/19 House Bill 1385 – Industrialized Housing and Buildings; removes the height limitation for a structure to be classified as industrialized housing and buildings. The City currently regulates industrialized housing in Chapter 14, Article XII “Industrialized Housing” of the City’s municipal code of ordnances and limits the maximum height of industrialized housing to three stories or forty-nine feet. The proposed amendment removes the height restriction in Sec.14-1201 – Definition for Industrialized Housing. The height of Industrialized Housing will continue to be regulated through zoning district standards. House Bill 234 – Sale of Lemonade; provides a City may not adopt or enforce an ordinance that requires a license, permit or fee for the occasional sale of lemonade or other non-alcoholic beverages from a stand on private property or in a public park by an individual younger than eighteen years of age. The City regulates lemonade stands in Chapter 38 of the City’s municipal code of ordinances and exempts lemonade stands and the like, conducted and operated by children under the age of sixteen and upon the private premise of such children from obtaining a vendor permit. The proposed amendment amends Chapter 38 “Peddlers, Vendors, Mobile Food Vendors, Itinerant Merchants and Solicitors,” Article I “In General,” Section 38-3 “Applicability; Affirmative Defenses.” The amendment allows the sale of lemonade and other non-alcoholic beverages by children under age eighteen and allows sales at public parks in addition to private residential premises. ALTERNATIVES: The City could maintain current code standards. However, the City would not be in compliance with the State of Texas based on the new signed legislation. FISCAL IMPACT: There is no financial impact involved with this item. Funding Detail: Fund: Organization/Activity: Mission Element: Project # (CIP Only): Account: RECOMMENDATION: Staff recommends approval of the ordinance. LIST OF SUPPORTING DOCUMENTS: Ordinance Presentation Page 1 Ordinance amending Corpus Christi Code to adopt the 2018 International Swimming Pool and Spa Code, to amend swimming pool standards, to amend the definition of industrialized housing, and to modify affirmative defense for lemonade stand permitting; and providing for penalty. WHEREAS,the State of Texas approved, and Governor Abbott signed, House Bills 2858, 1385, and 234 which requires local jurisdictions to adopt the 2018 International Swimming Pool and Spa Code, remove height limitations for a structure to be classified as industrial housing and buildings, and prohibits rules that require permitting for the sale of lemonade or other non- alcoholic beverages from a stand, on private property, or in a public park by an individual younger than 18 years of age. WHEREAS, the Building Code Board of Appeals and Mechanical Plumbing Advisory Board recommend approval of the ordinance. Now therefore, be it ordained by the City Council of the City of Corpus Christi, Texas: SECTION 1. That Corpus Christi Code of Ordinances, Chapter 14 “Development Services,” Article II “City of Corpus Christi Technical Construction,” Section 14-291 “Residential construction code” is amended by adding the following language that is underlined (added) and deleting the language that is stricken (deleted)as delineated below: Sec. 14-291. - Residential construction code. With the following additions, deletions and revisions, the International Residential Code for One- and Two-Family Dwellings, 2015 Edition (including Appendix E, Manufactured Housing Used as Dwellings, Appendix H, Patio Covers, Appendix J Existing Building and Structures, (see International Residential Code Section R102.5, 2015 Edition)), as published by the International Code Council, a copy of which, authenticated by the signatures of the Mayor and City Secretary of the City of Corpus Christi, made public record by this section, and on file in the city secretary's office, is incorporated by reference and adopted as the Residential Construction Code for the City of Corpus Christi: (24)Chapter 30 of the International Residential Code is amended by adding a new section P3009 to read as follows: SECTION P3011 SWIMMING POOLS P3011.1 Swimming pool backwashes.Wastewater from swimming pools, backwash from filters, and water from pool deck drains must discharge to the building drainage system through an indirect waste pipe by means of an air gap. SECTION 2. That Corpus Christi Code of Ordinances, Chapter 14 “Development Services”, Article II “City of Corpus Christi Technical Construction,” is amended by adding the following Page 2 language that is underlined (added)and deleting the language that is stricken (deleted) as delineated below: Sec. 14-301. – Swimming Pool and Spa Code. (a) The International Swimming Pool and Spa Code, 2018 Edition, as published by the International Code Council, a copy of which, authenticated by the signatures of the Mayor and City Secretary of the City of Corpus Christi, made public record by this section, and on file in the city secretary's office, is incorporated by reference and adopted as the Swimming Pool and Spa Code for the City of Corpus Christi. SECTION 3. That Corpus Christi Code of Ordinances, Chapter 23 “Health and Sanitation,” Article III “Unhealthful or Dangerous Conditions,” Section 23-57 is amended by adding the following language that is underlined (added) and deleting the language that is stricken (deleted)as delineated below: Sec. 23-57. –Commercial swimming pool standards. The following rules pertaining to commercial swimming pools shall be in full force and effect: (1) Definitions.For the interpretation and enforcement of these regulations the following definitions shall apply: (a) "Property Commercial swimming pool": Any swimming pool, other than a private pool appurtenant to a single-family, duplex, condominium, or townhouse residence used only by the occupants of the residence and their guests. (3) Inspections; fee. (a) Inspections.Any authorized representative of the health department of the City of Corpus Christi, Texas, may enter upon any and all parts of the premises of such swimming places, to make examinations and investigations of the sanitary conditions of such places and of such compliance with the provisions of these regulations. Property swimming pools that were in operation before the adoption of the swimming pool ordinance shall have a maximum of one year from the date the ordinance passed in which to comply with said ordinance.Failure to comply within the time stated shall constitute grounds for the immediate closing of the swimming pool until satisfactory compliance is achieved. (5) Safety requirements; lifesaving equipment. (b) One (1) unit of lifesaving equipment shall consist of a ring buoy not more than fifteen (15) inches in diameter to which shall be attached a sixty-foot length of three-sixteenths-inch rope, and a life pole or shepherd's crook type of pole having blunted ends with minimum length of twelve (12) feet. Not less than one (1) unit of equipment, as above, shall be provided at every property swimming pool. One unit shall be presumed to be adequate for two thousand (2,000) square feet of water surface area, and one (1) additional unit shall be provided for each additional two thousand (2,000) square feet or major fraction thereof of water surface area where there is no lifeguard on duty. (f) There shall be a telephone readily accessible to every swimming pool. Telephone numbers of the nearest ambulance station and physician's office shall be posted near the telephone. Page 3 Directions to the location of said telephone shall be posted in such a manner as to be clearly visible form the pool deck and protected against the elements. (g) In above ground pools, the stile ladder shall be removed when the pool is not in use. (h) There shall be a diagrammatic illustration of artificial respiration Cardiopulmonary Resuscitation (CPR)procedures posted at every swimming pool in such a manner as to be clearly visible from the pool deck and protected against the elements. (7) Applicability of subsections (4) through (6) to certain bathhouses, piers or swimming pools. Nothing in subsections (4) through (6) of this section shall be construed so as to apply to bathhouses, piers or swimming pools used exclusively by the owner thereof or his family. occupants of the residence and their guests. (8) Pool enclosure required. (a) All swimming pools and wading pools shall be completely enclosed by a fence, wall, or screen enclosure not less than four (4) feet in height. A building may be used as a part of such enclosure. All doors or gates in such enclosure which are accessible to the general public shall be equipped with self-closing and self-latching devices which operate to keep the gate or door securely closed at all times when not in actual use. Fences and walls of such enclosure shall be so designed as to eliminate any openings, holes, or gaps in such enclosure which would permit the passage of a sphere six (6) inches in diameter. Pools completely enclosed within buildings to which access by the general public is controlled, pools constructed above the ground floor of buildings to which access by the general public is controlled, or pools maintained within completely fenced or enclosed apartment complexes equipped with self- closing and self-latching devices on all gates or doors leading directly to the pool area accessible to the general public, shall be considered to be in compliance with the requirements of this subsection. City of Corpus Christi building inspectors may make determinations that natural barriers or obstructions such as bays, rivers, cliffs, seawalls or bulkheads are sufficient to be used as part of a pool enclosure under this subsection. (b) No final inspection shall be approved on any swimming pool or wading pool constructed after the effective date of this section unless, upon final inspection by the building division, the inspector is satisfied that the enclosure requirements of this section have been met. (c) No swimming pool or wading pool in existence prior to the effective date of this section shall be maintained in existence without being brought into compliance with subsection (a) of this section after six (6) months from the effective date of this section. SECTION 4. That Corpus Christi Code of Ordinances, Chapter 14 “Development Services”, Article XII “Industrialized Housing,” Section 14-1201 “Definition” is amended by adding the following language that is underlined (added) and deleting the language that is stricken (deleted) as delineated below: Sec. 14-1201. - Definition. ***** (c)Industrialized housing does not include: Page 4 (1)A residential structure that exceeds three (3) stories or forty-nine (49) feet in height as measured from the finished grade elevation at the building entrance to the peak of the roof; (21)Housing constructed of a sectional or panelized system that does not use a modular component; or (32)A ready-built home constructed in a manner in which the entire living area is contained in a single unit or section at a temporary location for the purpose of selling and moving the home to another location. SECTION 5. That Corpus Christi Code of Ordinances, Chapter 38 “Peddlers, Vendors, Mobile Food Vendors, Itinerant Merchants and Solicitors,” Article I “In General,” Section 38-3 “Applicability; Affirmative Defenses” is amended by adding the following language that is underlined (added) and deleting the language that is stricken (deleted)as delineated below: Sec. 38-3. - Applicability; affirmative defenses. This article shall not apply to the following persons, businesses or conduct or under the following conditions; provided, however, that it shall not be necessary in the prosecution of any violation of this article to negative any of such exceptions or exemptions herein expressed; but the pleading and proof of the same shall be an affirmative defense in any such prosecution: ***** (15) Lemonade and the like and other non-alcoholic beverage stands conducted and operated entirely by children under the age of sixteen (16) 18 and upon the private residential premises of such children or a public park. Section 6.Publication shall be made in the official publication of the City of Corpus Christi as required by City Charter of the City of Corpus Christi. Section 7. A violation of this ordinance, or requirements implemented under this ordinance, constitutes an offense punishable as provided in Section 14-207, Section 38-25 or Section 1-6 of the Corpus Christi Code of Ordinances. Section 8. Severability. It is hereby declared to be the intention of the City that the sections, paragraphs, sentences, clauses, and phrases of this Ordinance are severable and, if any phrase, clause, sentence, paragraph, or section of this Ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent jurisdiction, such declaration shall not affect any of the remaining phrases, clauses, sentences, paragraphs, and sections of this Ordinance, since the same would not have been acted by the City without the incorporation into this Ordinance of any such unconstitutional phrase, clause, sentence, paragraph, or section. Section 9. Effective date. This ordinance takes effect on upon publication. Page 5 That the foregoing ordinance was read for the first time and passed to its second reading on this the _____ day of ___________, 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo ________________Greg Smith ______________ Gil Hernandez ________________ That the foregoing ordinance was read for the second time and passed finally on this the _____ day of __________ 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo ________________Greg Smith ______________ Gil Hernandez ________________ PASSED AND APPROVED on this the ______ day of _________________, 2019. ATTEST: _________________________________________________ Rebecca Huerta Joe McComb City Secretary Mayor City Council Presentation October 01, 2019 Ordinance amending Chapter 14 of the Corpus Christi Code to adopt the 2018 International Swimming Pool and Spa Code and amend the definition of Industrialized Housing; amending Chapter 23 of the Health and Sanitation Code; and amending Chapter 38 regarding Vendor Permit requirements for Lemonade Stands Proposed Amendments •House Bill 2858 •Requires municipalities adopt the International Swimming Pool and Spa Code as it existed on May 1, 2019 as the municipal swimming pool and spa code. •The code applies to all construction, alteration, remodeling, enlargement and repair of swimming pools and spas, including requiring fencing under current state law. Proposed Amendments •House Bill 1385 •Removes the height limitation for a structure to be classified as industrialized housing and buildings. •The City currently limits the maximum height of industrialized housing to three stories or forty-nine feet. Proposed Amendments •House Bill 234 •Provides a City may not adopt or enforce an ordinance that requires a license, permit or fee for the occasional sale of lemonade or other non-alcoholic beverages from a stand on private property or in a public park by an individual younger than eighteen years of age. •The City currently exempts lemonade stands, conducted and operated by children under the age of sixteen and upon the private premise of such children from obtaining a vendor permit. Staff Recommendation Approval DATE:July 30, 2019 TO:Peter Zanoni, City Manager FROM:Al Raymond, Director Development Services Department alraymond@cctexas.com (361) 826-3575 CAPTION: Ordinance amending Chapter 14 of Corpus Christi Code to create a fee waiver for residential building permits to construct an accessibility ramp and to reduce permit fees for moving structures. SUMMARY: The ordinance authorizes the waiving of building permit fees for residential accessible ramp construction at private residences for persons with disabilities thereby decreasing the number of improperly constructed accessibility ramps and reduces permit fees for moving structures to promote growth and provide compatibility with other Texas cities. BACKGROUND AND FINDINGS: General The City’s Committee for Persons with Disabilities passed a resolution in support of a waiver for residential accessibility ramp building permit fees for private residential homes of a person with disabilities on January 9, 2019. Organizations such as the Area Agency on Aging of the Coastal Bend and St. Mark’s Episcopal Church employ established programs that provide American with Disabilities Act compliant accessibility ramps for citizens of Corpus Christi, free of charge. The existing fee for an accessibility ramp is a significant factor in the project cost and likely discourages compliance with the proper permitting process increasing the likelihood of improperly constructed ramps which expose citizens to potentially unsafe conditions. The Committee supports the granting of this waiver to private citizens and non-profit organizations to encourage the construction of safe accessibility ramps at private residences. The City’s existing processes and fees for moving structure permits require updating. We propose to reduce the permit fee to reflect the level of effort required to perform only those essential functions necessary to ensure the safety of the public. This fee reduction promotes growth by Waiver of Permit Fees for Residential Accessible Ramps & Reduction of Permit Fees for Moving Structures AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting October 1, 2019 Second Reading Ordinance for the City Council Meeting October 15, 2019 encouraging the relocation of structures, therefore stimulating infill construction opportunities, and is compatible with Galveston, San Antonio, Austin and El Paso based on our benchmarking analysis found below. We propose to eliminate the requirement for a pre-move relocation survey and the associated fee of $110.25 and reduce the fee for a move structure permit from $467.00 to $120.00. Moving Structure / Relocation Fees Cities Fees Galveston Oversized Loads Barge Fees Total $190.00 N/A $190.00 San Antonio Same Property Over 400 Sq. Ft. Per Section, Per Day Total (Potential) $18.00 $100.00 $100.00 Austin Permit Processing Total $35.36 Ea.$81.12 $116.48 El Paso Permit Technology Fee Total $115.00 (Applicable Amount)$115.00 w/ Tech Fee Corpus Christi House Moving Permit Relocation Survey Total Current $467.00 $110.25 $577.25 Proposed $120.00 $0.00 $120.00 The Building Code Board of Appeals met on August 15, 2019 and recommended approval of the proposed fee waivers for residential accessibility ramps and fee reductions for moving structure permits. Code Amendments The Committee for Persons with Disabilities solicited public comment for the proposed fee waiver for residential accessible ramps during monthly public meetings in 2018. There was no public opposition to the proposed fee waiver. ALTERNATIVES: 1. The City provides fee waivers for residential accessible ramps and the fees would be reimbursed to the Development Services department through an alternate mechanism. This alternative would require an alternate funding source that has yet to be identified. 2. The City reduces the fees for moving structure permits to an amount greater than proposed. This alternative does not reduce the permit fee commensurate with the City’s level of effort to provide the service. FISCAL IMPACT: We estimate the financial impact of the collective proposals to be a $4,900.00 net revenue loss in FY 2019-20. Future department budgets will count for the revenue loss in FY 2020-21 and beyond. Funding Detail: Fund:4670 – Development Services Fund Organization/Activity: 11200 – Special Services Org. Mission Element:888 Project # (CIP Only): N/A Account:302310 – House Moving Route Permit (Revenue) RECOMMENDATION: Staff recommends approval of a fee waiver for residential accessibility ramp permit fees for residential homes of a person with disabilities. The existing fee for an accessibility ramp is a significant factor in the project cost and likely discourages compliance with the proper permitting process increasing the likelihood of improperly constructed ramps which expose citizens to potentially unsafe conditions. Staff recommends approval of a fee reduction for move structure permits to reflect the level of effort required to perform only those essential functions necessary to ensure the safety of the public. This fee reduction promotes growth by encouraging the relocation of structures, therefore stimulating infill construction opportunities, and is compatible with Texas cities based on our benchmarking analysis. The Building Code Board of Appeals recommended approval of the proposed fee waivers for residential accessibility ramps and fee reductions for moving structure permits. LIST OF SUPPORTING DOCUMENTS: Ordinance Presentation Page 1 Ordinance amending Chapter 14 of Corpus Christi Code to create a fee waiver for residential building permits to construct an accessibility ramp and to reduce permit fees for moving structures. WHEREAS, the Committeefor Persons withDisabilities passed a resolutionin support of a waiver for accessibility ramp building permitfeesfor private residential homes of a person with disabilities on January 9, 2019; and WHEREAS, the Building Code Board of Appeals recommend approval of the ordinance. Now therefore, be it Ordained by the City Council of the City of Corpus Christi, Texas: SECTION 1. That Corpus Christi Code of Ordinances, Chapter 14 “Development Services,” Article XIII “Development Service Fees,” Section 14-1307 “Reduced Fees” is amended by adding the following language that is underlined (added) and deleting the language that is stricken (deleted) as delineated below: Sec. 14-1307. - Reduced fees. ***** (c) No fee shall be required for a residential building permit for the construction of an accessibility ramp constructed upon a property where a disabled person resides. An affidavit of residency and medical need shall be provided upon permit application. SECTION 2.That Corpus Christi Code of Ordinances, Chapter 14 “Development Services” Article XIII “Development Service Fees,” Section 14-1313 “Technical Construction Codes Fee Schedules” is amended by adding the following language that is underlined (added)and deleting the language that is stricken (deleted) as delineated below: Sec. 14-1313. – Technical Construction Codes Fee Schedules. ***** FEES FOR MOVING STRUCTURES - BOTH RESIDENTIAL AND COMMERCIAL AMOUNT OF FEE House moving permit $467.00 $120.00 Traffic engineering moving route sheet $61.00 Relocation survey $110.25 Survey Fee (14-306(d))$140.00 Mobile home/HUD-code manufactured housing installation permit $106.50 ***** SECTION 3. Publication shall be made in the official publication of the City of Corpus Christi as required by City Charter of the City of Corpus Christi. Page 2 SECTION 4. A violation of this ordinance, or requirements implemented under this ordinance, constitutes an offense punishable as provided in Section 14-207 or Section 1-6 of the Corpus Christi Code of Ordinances. SECTION 5. Severability. It is hereby declared to be the intention of the City that the sections, paragraphs, sentences, clauses, and phrases of this Ordinance are severable and, if any phrase, clause, sentence, paragraph, or section of this Ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent jurisdiction, such declaration shall not affect any of the remaining phrases, clauses, sentences, paragraphs, and sections of this Ordinance, since the same would not have been acted by the City without the incorporation into this Ordinance of any such unconstitutional phrase, clause, sentence, paragraph, orsection. SECTION 5. Effective date. This ordinance takes effect on upon publication. Page 3 That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2019, by the following vote: Joe McComb Michael Hunter Roland Barrera Ben Molina Rudy Garza Everett Roy Paulette M. Guajardo Gil Hernandez Greg Smith That the foregoing ordinance was read for the second time and passed finally on this the day of 2019, by the following vote: Joe McComb Michael Hunter Roland Barrera Ben Molina Rudy Garza Everett Roy Paulette M. Guajardo Gil Hernandez Greg Smith PASSED AND APPROVED on this the day of , 2019. ATTEST: Rebecca Huerta Joe McComb Page 4 Page 5 City Council Presentation October 1, 2019 Ordinance amending Chapter 14 of Corpus Christi Code to create a fee waiver for residential building permits to construct an accessibility ramp and to reduce permit fees for moving structures. Accessibility Ramp Fee Waiver •Resolution passed by City’s Committee for Persons with Disabilities in support of a waiver for accessibility ramp building permit fees for private residential homes of a person with disabilities. •Existing fee for an accessibility ramp is a significant factor in the project cost: •likely discourages compliance with the proper permitting process •increasing the likelihood of improperly constructed ramps which expose citizens to potentially unsafe conditions. •Waiver only applies to a new ramp at an existing residential dwelling of a person with disabilities. It does not apply to a new ramp in conjunction with a new single-family dwelling. •Typical permit fee: 400 sq. ft. x .265 cents per sq. ft. = $106.00. House Moving Permits Fee Reduction •Eliminates the requirement for a pre-move relocation survey and the associated fee of $110.25 and reduces the fee for a move structure permit from $467.00 to $120.00 •Fee reduction promotes growth by encouraging the relocation of structures,therefore stimulatinginfill constructionopportunities •Compatible with other major cities based on our benchmarking analysis. House Moving Permits Moving Structure / Relocation Fees Cities Fees Galveston Oversized Loads Barge Fees Total $190.00 N/A $190.00 San Antonio Same Property Over 400 Sq. Ft. Per Section, Per Day Total (Potential) $18.00 $100.00 $100.00 Austin Permit Processing Total $35.36 Ea.$81.12 $116.48 El Paso Permit Technology Fee Total $115.00 (Applicable Amount)$115.00 w/ Tech Fee Corpus Christi House Moving Permit Relocation Survey Total Current $467.00 $110.25 $577.25 Proposed $120.00 $0.00 $120.00 Board and Staff Recommendation Building Code Board of Appeals recommends Approval Staff recommends Approval AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of October 1, 2019 Second Reading Ordinance for the City Council Meeting of October 15, 2019 ____________________________________________________________________________ DATE:September 19, 2019 TO:Peter Zanoni, City Manager THRU:Constance P. Sanchez, Chief Financial Officer FROM:Alma Casas, Interim Director of Finance and Business Analysis AlmaC@cctexas.com (361) 826-3610 CAPTION: Ordinance approving the continued receipt of bingo prize fees; authorizing notification of the Texas Lottery Commission of such approval; and amending the Corpus Christi Code to add Section Sec. 17-43 Bingo Prize Fee. SUMMARY: Traditionally, bingo operators paid the City and State a 5% fee on bingo prize fees over $5. House Bill 914 reduced the bingo prize fee by limiting it to cash prizes. Additionally, HB 914 also reduced the prize fee in cities that do not re-enact the fee. This ordinance will effectively re-impose the fee. BACKGROUND AND FINDINGS: This re-imposition of the fee will preserve, to some extent, the revenue stream attributable to bingo prize fees. Annually, the City receives an average of $350,000 from this fee. Future receipts will be much less because non-cash prizes will no longer be subject to the fee. Bingo is used as a fundraising tool by non-profit organizations authorized to use the game as a method to raise money and support the organization’s charitable purposes. The Texas Legislature determined that a portion of the regulatory costs incurred in conducting bingo related to unnecessary regulations which reduced the net proceeds available for charitable purposes. House Bill 914 increases such proceeds by revising the statutory provisions related to the regulation of bingo. Section 11(a) authorizes a county or municipality to receive a portion of the prize fee collected under Section 2001.502, Occupations Code, as amended by this Act, after the effective date of Ordinance Continuing Receipt of Bingo Prize Fees this Act only if: (1) The county or municipality was entitled to receive a portion of a bingo prize fee as of January 1, 2019; and (2) The governing body of the county or municipality: a. By majority vote of the members of the governing body approves the continued receipt of funds under that section and notifies the commission of that decision not later than November 1, 2019; and b. Notifies each licensed authorized organization within the county’s or municipality’s jurisdiction, as applicable, of the continued imposition of the fee. ALTERNATIVES: Discontinuation of the bingo prize fee. FISCAL IMPACT: If the City no longer collects this bingo prize fee, it would lose approximately $350,000 in annual revenue. RECOMMENDATION: Staff recommends approval of the ordinance as presented. LIST OF SUPPORTING DOCUMENTS: Ordinance Ordinance approving the continued receipt of bingo prize fees; authorizing notification of the Texas Lottery Commission of such approval; and amending the Corpus Christi Code to add Section Sec. 17- 43 Bingo Prize Fee WHEREAS, on October 19 th, 1983, City Council passed City Ordinance 17894 imposing and levying a gross receipts tax on the conduct of bingo games within the city limits of the City of Corpus Christi, Texas; WHEREAS, Texas Occupational Code § 2001.503 (b) & (c) provides "(b) Except as provided by Subsection (c), a municipality that imposed a gross receipts tax on the conduct of bingo as of January 1st, 1993, is entitled to, subject to Section 2001.507(i), 50 percent of the fee collected under Section 2001.502 on a prize awarded at a game conducted in the municipality. (c) If a county and municipality are both entitled to a share of the fee imposed by Section 2001.502:(1) the county is entitled to, subject to Section 2001.507(i), 25 percent of the fee on a prize awarded at a game conducted in the county; and (2) the municipality is entitled to, subject to Section 2001.507(i), 25 percent of the fee on a prize awarded at a game conducted in the municipality."; WHEREAS, Texas House Bill 914 (“HB914”), repeals Texas Occupational Code § 2001.503 effective January 1st, 2020; WHEREAS, the City of Corpus Christi (“City”) was, and continues to be, entitled to receive a portion of bingo prize fees as of January 1st, 2019, in accordance with Chapter 2001, Occupations Code (“Code”); WHEREAS, the Texas Legislature, pursuant to House Bill 914 (“HB914”), recently amended provisions of the Code relating to the City’s share of bingo prize fees; WHEREAS, HB914 requires the City Council, by majority vote, to expressly approve imposing a bingo prize fee, which will continue the City’s receipt of a portion of bingo prize fee proceeds, and to notify the Texas Lottery Commission prior to November 1st, 2019, and each licensed authorized organization subject to the fee, of the same prior to January 1st, 2020; and WHEREAS, the City Council finds that it is in the best interest of the citizens and community to impose a bingo prize fee and continue imposition and receipt by the City of a portion of bingo prize fee proceeds. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: Section 1.The City Council finds the preceding preamble language stated in this ordinance to be true and correct and expressly incorporates the preamble into this ordinance by reference. Section 2.The City Council approves the continued receipt of funds under Texas Occupation Codes §2001.502. Prize Fee,Texas Occupational Code Chapter 2001, and REGULATION OF BINGO GAMES, 2019 Tex. Sess. Law Serv. Ch. 1051 (H.B. 914) (VERNON'S) by a majority vote of its members. Section 3.The City Manager or his designee (“City Manager”) is authorized to notify the Texas Lottery Commission of the City’s entitlement to receive a share of a bingo prize fee as of Page 2 of 3 January 1st, 2019; and the City Council’s approval of the continued receipt of the share of bingo prize fee funds by a majority vote. Section 4.The City Manager is directed to notify the Texas Lottery Commission of the City Council’s decision before November 1st, 2019. Additionally, the City Manager is directed to notify each licensed authorized organization within the City’s jurisdiction of the imposition of the bingo prize fee before January 1st, 2020. Section 5. Corpus Christi Code of Ordinances, Chapter 17 is amended by adding the following section as delineated below: Sec. 17-43 Bingo Prize Fee The City of Corpus Christi imposes a Bingo Prize fee in accordance with Texas Occupational Code §2001.502, Texas Occupational Code Chapter 2001, and REGULATION OF BINGO GAMES, 2019 Tex. Sess. Law Serv. Ch. 1051 (H.B. 914) (VERNON'S). Section 6.Publication shall be made in the official publication of the City of Corpus Christi as required by City Charter of the City of Corpus Christi. Section 7.Severability. It is hereby declared to be the intention of the City that the sections, paragraphs, sentences, clauses, and phrases of this Ordinance are severable and, if any phrase, clause, sentence, paragraph, or section of this Ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent jurisdiction, such declaration shall not affect any of the remaining phrases, clauses, sentences, paragraphs, and sections of this Ordinance, since the same would not have been acted by the City without the incorporation into this Ordinance of any such unconstitutional phrase, clause, sentence, paragraph, or section. Section 8. Effective date. This ordinance is effective upon final passage. Page 3 of 3 That the foregoing ordinance was read for the first time and passed to its second reading on this the _____ day of ___________, 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo ________________Greg Smith ______________ Gil Hernandez ________________ That the foregoing ordinance was read for the second time and passed finally on this the _____ day of __________ 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo ________________Greg Smith ______________ Gil Hernandez ________________ PASSED AND APPROVED on this the ______ day of _________________, 2019. ATTEST: _________________________________________________ Rebecca Huerta Joe McComb City Secretary Mayor TEXAS LOTTERY COMMISSION – CHARITABLE BINGO DIVISION BINGO PRIZE FEE FUNDS COUNTY/MUNICIPALITY GOVERNING BODY VOTE VERIFICATION NOTICE 1 This form serves as the required notice to the Texas Lottery Commission (Commission) that a county or municipality has fulfilled two of the requirements of House Bill 914, 86th Texas Legislature (H.B. 914) that are necessary for that county or municipality to continue to receive a share of bingo prize fees after January 1, 2020. Specifically, Section 11 of H.B. 914 provides: “(a) a county or municipality may receive a portion of the prize fee…only if: (1) The county or municipality was entitled to receive a portion of a bingo prize fee as of January 1, 2019; and (2) The governing body of the county or municipality: (A) by majority vote of the members of the governing body approves the continued receipt of funds under that section and notifies the Texas Lottery Commission of that decision not later than November 1, 2019; and (B) notifies each licensed authorized organization within the county’s or municipality’s jurisdiction, as applicable, of the continued imposition of the fee.” Your county/municipality should consult with an attorney if you have any questions about complying with the provisions of H.B. 914. This form is only an attestation that certain requirements set forth in H.B. 914 have been fulfilled. Accordingly, the undersigned county or municipal representative hereby swears and affirms that: (1) the county or municipality was entitled to receive a share of a bingo prize fee as of January 1, 2019; and (2) the governing body of the county or municipality approved the continued receipt of the share of bingo prize fee funds by a majority vote. ___________________________________ Name of County or Municipality _____________________________________________ Authorized Signature (Name and Title) Date TEXAS LOTTERY COMMISSION – CHARITABLE BINGO DIVISION BINGO PRIZE FEE FUNDS COUNTY/MUNICIPALITY GOVERNING BODY VOTE VERIFICATION NOTICE 2 State of Texas County of __________________________ This form attesting to the fulfillment of the requirements of H.B. 914 was acknowledged before me on ______ by ____________________ as _________________________ of (date) (name of representative) (title of representative) ____________________________________. (name of county or municipality) __________________________________ (Personalized Seal) Notary Public’s Signature DATE:September 23, 2019 TO:Peter Zanoni, City Manager FROM:Miles Risley, City Attorney MilesR@cctexas.com 826-3360 CAPTION:Ordinance approving the sale of lot of approximately 0.391 acres at or near 6099 Ennis Joslin Road for the highest cash offer received by real estate broker of $75,000 to Corpus Christi Pregnancy Center, Inc., a Texas nonprofit corporation SUMMARY:The City Council authorized a real estate broker to sell the property at 6099 Ennis Joslin Road, and the broker has submitted the highest cash offer of $75,000 from Corpus Christi Pregnancy Center, Inc. The location of the property is depicted below: The City will retain a 20-foot wide drainage easement along the southwest edge of the lot. Sale of vacant lot located at 6099 Ennis Joslin AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting October 1, 2019 Second Reading Ordinance for the City Council Meeting October 15, 2019 BACKGROUND AND FINDINGS:The lot at or near 6099 Ennis Joslin Road has a legal description of Lot 8, Block 2, Edgewater Terrace. The lot was platted in 1939 as a “Park” with a plat note that read “Park may be used as a Public Road”. Since then, it has been vacant. ALTERNATIVES: Continue to own and maintain the property FISCAL IMPACT: This sale of property will produce $75,000.00 of additional revenue for the General Fund for FY 2019-2020. Funding Detail: Fund:1020 General Fund Organization/Activity:11020 General Govt. Revenue Mission Element:888 Revenue Project # (CIP Only): N/A Account:343590 Sale of City Property RECOMMENDATION: Approval of the Ordinance approving the sale of lot of approximately 0.391 acres at or near 6099 Ennis Joslin Road for the highest cash offer received by real estate broker of $75,000 to Corpus Christi Pregnancy Center, Inc., a Texas Nonprofit corporation authorizing sale of property at or near 6099 Ennis Joslin for $75,000. LIST OF SUPPORTING DOCUMENTS: Ordinance Contract Ordinance approving the sale of lot of approximately 0.391 acres at or near 6099 Ennis Joslin Road for the highest cash offer received by real estate broker of $75,000 to Corpus Christi Pregnancy Center, Inc., a Texas Nonprofit Corporation Whereas,the City Council authorized real estate broker to sell the property at 6099 Ennis Joslin Road and the broker has submitted the highest cash offer received; Now, therefore, be it ordained by the City Council of the City of Corpus Christi, Texas: SECTION 1.The statements made in the recital paragraphs of this ordinance are true and correct and incorporated into this ordinance. SECTION 2. That the following sale of surplus property with any and all improvements thereon is hereby approved: 6099 Ennis Joslin Road, Corpus Christi, Texas, with legal description of Edgewater Terrace, Block 2, Lot 8, Corpus Christi, Nueces County, Texas, to Corpus Christi Pregnancy Center, Inc. for $75,000. SECTION 3.That the City Manager is authorized to execute any and all documents necessary to complete the real estate sales transactions including but not limited to zoning and plat applications, and all closing documents including special warranty deeds. That the foregoing ordinance was read for the first time and passed to its second reading on this the _____ day of ___________, 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo________________Greg Smith ______________ Gil Hernandez________________ That the foregoing ordinance was read for the second time and passed finally on this the _____ day of __________ 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo________________Greg Smith ______________ Gil Hernandez ________________ PASSED AND APPROVED on this the ______ day of _________________, 2019. ATTEST: _________________________________________________ Rebecca Huerta Joe McComb City Secretary Mayor DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM :Michael Markle, Police Chief MikeMa@cctexas.com (361) 886-2601 Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361) 826-3169 CAPTION: Motion approving a three-year service agreement in an amount not to exceed $3,659,703.30 with Sec Ops, Inc., of Corpus Christi, Texas, to provide onsite armed and unarmed uniformed security guard services at 11 City facilities, effective upon notice to proceed, with first-year funding in the amount of $1,046,994.76 available through the Water Fund, Airport Fund, General Fund and Asset Management-Facility Fund. SUMMARY: This motion authorizes a three-year service agreement with Sec Ops, Inc. in an amount not to exceed $3,659,703.30 to provide uniformed security guard services. The uniformed security guards provide onsite security at various locations including City Hall, the Frost Building (Development Services and EOC), all six libraries, O.N. Stevens Water Plant, the Airport and Corpus Christi-Nueces County Public Health District. The security guards shall be responsible for patrolling and monitoring all spaces contained within the buildings and surrounding parking areas to ensure safety and order are maintained. BACKGROUND AND FINDINGS: The current onsite armed and unarmed uniformed security guard services contract with Base Security & Fire Consultants expires October 31, 2019, with a contract value of $2,059,513.19. To obtain a new contract, the Contracts and Procurement Department conducted a competitive Request for Proposal (RFP) process and received eight proposals. All eight proposals were screened for the minimum requirements on a pass/fail Uniformed Security Guard Services AGENDA MEMORANDUM Action Item for the City Council Meeting October 15, 2019 basis, and five firms passed. The technical proposals were scored based on the published evaluation criteria, which consisted of: minimum qualifications, technical proposal and interview. The review of the proposals found four firms who ranked the highest and were interviewed by the evaluation committee and scored. After review of the proposals and interview scores, the sealed pricing was opened for the four firms. The proposer with the lowest price received 20 points, the other responsible proposers received a proportional share of the points based on their price. Sec Ops, Inc. ranked the highest based on their overall score of 90.1 out of 100. The uniformed security guards will be a combination of armed and unarmed guards and will provide onsite security at various locations including City Hall, the Frost Building (Development Services and EOC), all six libraries, O.N. Stevens Water Plant, the Airport and Corpus Christi-Nueces County Public Health District. The security guards shall be responsible for patrolling and monitoring all spaces contained within the buildings and surrounding parking areas to ensure safety and order are maintained. ALTERNATIVES: Hiring security guards keeps the police officers in the places they are needed most rather than providing security at different City locations. A competitive RFP process was followed for this procurement to continue to supply security at the various locations across the city. FISCAL IMPACT: The fiscal impact for the FY2020 budget, to the Water Fund, Airport Fund, General Fund and Asset Management-Facility Fund, is $1,046,994.76 for the first of the three-year service agreement. The cost of $2,612,708.54 for the remaining two years will be budgeted in future years through the annual budget process. Funding Detail: Fund:4010 Water Organization/Activity:31010 Stevens Filter Plant Mission Element:062 Treat Water Project # (CIP Only): N/A Account:530000 Professional Services Fund:4610 Airport Organization/Activity:35055 Airport Operations Mission Element:272 Manage Airport Operations Project # (CIP Only): N/A Account:530000 Professional Services Fund:1020 General Fund Organization/Activity:12610 Health Office Building Mission Element:101 Enforce Health & Safety Codes Project # (CIP Only): N/A Account:530000 Professional Services Fund:1020 General Fund Organization/Activity:12800 Central Library Mission Element:111 Provide Materials Project # (CIP Only): N/A Account:530000 Professional Services Fund:1020 General Fund Organization/Activity:12820 Ben F McDonald Public Library Mission Element:111 Provide Materials Project # (CIP Only): N/A Account:530000 Professional Services Fund:1020 General Fund Organization/Activity:12850 Dr C P Garcia Public Library Mission Element:111 Provide Materials Project # (CIP Only): N/A Account:530000 Professional Services Fund:1020 General Fund Organization/Activity:12840 Janet F. Harte Public Library Mission Element:111 Provide Materials Project # (CIP Only): N/A Account:530000 Professional Services Fund:1020 General Fund Organization/Activity:12810 Anita & WT Neyland Public Libr Mission Element:111 Provide Materials Project # (CIP Only): N/A Account:530000 Professional Services Fund:1020 General Fund Organization/Activity:12830 Facility Management and Maintenance Mission Element:111 Provide Materials Project # (CIP Only): N/A Account:530000 Professional Services Fund:5115 Asset Management-Facility Fund Organization/Activity:40310 Facility Maintenance – City Hall Mission Element:191 Operate City Buildings and Facilities Project # (CIP Only): N/A Account:530210 Building Maint and Service Fund:5115 Asset Management-Facility Fund Organization/Activity:40305 Facility Maintenance – Dev Center/EOC Mission Element:191 Operate City Buildings and Facilities Project # (CIP Only): N/A Account:530210 Building Maint and Service RECOMMENDATION: Staff recommends approval of this motion authorizing a three-year service agreement with Sec Ops, Inc. for onsite armed and unarmed uniformed security guard services as presented. LIST OF SUPPORTING DOCUMENTS: Evaluation Matrix Service Agreement Service Agreement Standard Form Page 1 of 7 Approved as to Legal Form July 11, 2019 SERVICE AGREEMENT NO. 2436 Uniformed Security Guard Services THIS Uniformed Security Guard Services Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home-rule municipal corporation (“City”) and Sec-Ops, Inc. (“Contractor"), effective upon execution by the City Manager or the City Manager’s designee (“City Manager”). WHEREAS, Contractor has bid to provide Uniformed Security Guard Services in response to Request for Bid/Proposal No. 2436 (“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 Uniformed Security Guard 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. 2. Term. This Agreement is for three years, with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or the Contracts and Procurement Department. The parties may mutually extend the term of this Agreement for up to zero additional zero-year periods (“Option Period(s)”), provided, the parties do so by written amendment prior to the expiration of the original term or the then-current Option Period. The City’s extension authorization must be executed by the City Manager or designee. 3. Compensation and Payment. This Agreement is for an amount not to exceed $3,659,703.30, 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. Contractor shall invoice no more frequently than once per month. 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. Any amount not expended during the initial term or any option period may, at the City’s discretion, be allocated for use in the next option period. Invoices will be mailed to the following address with a copy provided to the Contract Administrator: Service Agreement Standard Form Page 2 of 7 Approved as to Legal Form July 11, 2019 City of Corpus Christi Attn: Accounts Payable P.O. Box 9277 Corpus Christi, Texas 78469-9277 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: Marc Harrod, Senior Officer Department: CC Polilce Department Phone: 361-826-1751 Emai: MarcH@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 that 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. Service Agreement Standard Form Page 3 of 7 Approved as to Legal Form July 11, 2019 7. Inspection and Acceptance. City may inspect all Services and products supplied before acceptance. Any Services or products 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. (A) 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. (B) 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. (C) Contractor warrants that all Services will be performed in accordance with the standard of care used by similarly situated contractors performing similar services. 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. Service Agreement Standard Form Page 4 of 7 Approved as to Legal Form July 11, 2019 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 unless the subcontractors were named in the bid or proposal or in an Attachment to this Agreement, 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. The City may, at the City’s sole discretion, choose not to accept Services performed by a subcontractor that was not approved in accordance with this paragraph. 13. Amendments. This Agreement may be amended or modified only in writing executed by authorized representatives of both parties. 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 applicable 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: Senior Officer Marc Harrod Title: City Hall Liaison Officer Address: 1201 Leopard St., Corpus Christi, TX 78401 Phone: 361-826-3697 Fax: N/A IF TO CONTRACTOR: Sec-Ops Inc. Attn: Robert Lott Title: Chief Executive Officer Address: 5729 Leopard Street, Building B Phone: 361-299-6767 Fax: 361-299-6769 Service Agreement Standard Form Page 5 of 7 Approved as to Legal Form July 11, 2019 17. CONTRACTOR SHALL FULLY 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 WHATEVER NATURE, CHARACTER, OR DESCRIPTION ON ACCOUNT OF PERSONAL INJURIES, 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 A BREACH OF THIS AGREEMENT OR THE PERFORMANCE OF THIS AGREEMENT BY THE CONTRACTOR OR RESULTS FROM THE NEGLIGENT ACT, OMISSION, MISCONDUCT, OR FAULT OF THE CONTRACTOR OR ITS EMPLOYEES OR AGENTS. 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 OR RESULTING 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 comply with any of the terms 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. (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. Owner’s Manual and Preventative Maintenance. Contractor agrees to provide a copy of the owner’s manual and/or preventative maintenance guidelines or instructions if available for any equipment purchased by the City pursuant to this Agreement. Contractor must provide such documentation upon delivery of such equipment and prior to receipt of the final payment by the City. Service Agreement Standard Form Page 6 of 7 Approved as to Legal Form July 11, 2019 20. 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. 21. 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. 22. 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 (excluding attachments and exhibits); B. its attachments; C. the bid solicitation document including any addenda (Exhibit 1); then, D. the Contractor’s bid response (Exhibit 2). 23. 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 if required by said statute. 24. Governing Law. Contractor agrees to comply with all federal, Texas, and City laws in the performance of this Agreement. 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. 25. 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. Service Agreement Standard Form Page 7 of 7 Approved as to Legal Form July 11, 2019 CONTRACTOR Signature: Printed Name: Title: Date: CITY OF CORPUS CHRISTI ________________________________________________ Kim Baker Director of Contracts and Procurement Date: _________________________ Attached and Incorporated by Reference: Attachment A: Scope of Work Attachment B: Bid/Pricing Schedule Attachment C: Insurance and Bond Requirements Attachment D: Warranty Requirements Incorporated by Reference Only: Exhibit 1: RFB/RFP No. 2436 Exhibit 2: Contractor’s Bid/Proposal Response DATE: 26 August 2019 Sec-Ops, Inc. PROPOSER CITY OF CORPUS CHRISTI Pricing Form--Revised Addendum 3 CONTRACTS AND PROCUREMENT DEPARTMENT RFP No. 2436 Uniformed Security Guard Services PAGE 1 OF 4 AUTHORIZEDSIGNATU RE 1.Refer to "Instructions to Proposers" and Contract Terms and Conditions before completingproposal.2.Provide your best price for each item.3.In submitting this proposal, Proposer certifies tha : 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 Oppor tunity Employer; and the Disclosure of Interest information on file with City's Contracts and Procurement office, pursuant to the Code of Ordinances, is current and true. c.Proposer has incorporated any changes issue through Addenda to the RFP in this pricing. ITEM 1.0 1.1 1.2 1.3 1.4 1.5 1.6 1.7 DESCRIPTION City Hall -Estimated hours of security service required for 12 months City Hall Lead Armed Guard M-F 6 am -5 pm City Hall Backup Armed Guard M-F 7 am-6 pm Security Guard 3 Armed Guard M-F 8 am to 12 am City Hall Parking Lot Armed Guard M-F 6 am-10 pm City Hall Unarmed Screener One M-F 7:30 am -5 pm City Hall Unarmed Screener Two M-F 7:30 am-5 pm City Hall Unarmed Command Post M-F 7:30 am -5 pm ANNUAL UNIT QTY UNIT PRICE TOTAL PRICE 2860 HRS $19.00 $54,340.00 2860 HRS $18.25 $52,195.00 4160 HRS $18.25 $75,920.00 4160 HRS $18.25 $75,920.00 2470 HRS $16.80 $41,496.00 2470 HRS $16.80 $41,496.00 2470 HRS $16.80 $41,496.00 ATTACHMENT B: PRICING FORM PAGE 4 OF 4 Owen R. Hopkins Public Library -Unarmed Guard 3.24 Sat 1 : 15 pm -6: 15 pm 260 HRS $16.80 $4,368.00 O.N. Stevens Water Treatment Plant -Estimated hours of security service 4.0 required for 12 months Leopard St. Gate {Front Gate) -Unarmed Guard 4.1 M-F 7 am - 6 pm 2860 HRS $16.80 $48,048.00 Hearn Rd. Gate {Side Gate) -Unarmed Guard 4.2 M-F 5 am - 6 pm 3380 HRS $16.80 $56,784.00 Cor12us Christi International AirQort -Estimated hours of security service 5.0 required for 12 months Sun through Sat 24 hours per day - 5.1 Unarmed Guard 8736 HRS $16.80 $146,764.80 Cor12us Christi -Nueces Countv Public Health District -Estimated hours of security service required for 6.0 12 months Two Unarmed Guards 6.1 M 8 am -7:30 pm 598 HRS $16.80 $10,046.40 Two Unarmed Guards 6.2 T-F 8 am -5:15 pm 1924 HRS $16.80 $32,323.20 7.0 Miscellaneous Hours 7.1 Armed Guard 1000 HRS $18.25 $18,250.00 7.2 Unarmed Guard 2500 HRS $16.80 $42,000.00 8.0 Overtime 8.1 Armed Guard 500 HRS $25.55 $12,775.00 8.2 Unarmed Guard 200 HRS $23.50 $4,700.00 Total Per Year $1,219,901.10 3 Year Grand Total $3,659,703.30 Page 1 of 3 ATTACHMENT C: INSURANCE 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 Purchasing Director 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 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 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. Page 2 of 3 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 Page 3 of 3 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. 2019 Insurance Requirements Purchasing Citywide Security Guard Services 07/16/2019 Risk Management – Legal Dept. Section 5. Bonds. (B) is null to this Service Agreement Page 1 of 1 ATTACHMENT D: WARRANTY REQUIREMENTS Section 8. Warranty. (A) & (B) is null to this Service Agreement RFP No. 2436-r1 - Uniformed Security Guard Services Proposal Evaluation Pts.Sec Ops, Inc.Blackstone Security Base Security & Fire Consultants DSI Security Services American Investigations P&AI, LLC Eddie Garza Security and Investigations Security Reconnaissance Team, Inc. Minimum Qualifications Pass/Fail PASS PASS PASS PASS PASS FAIL FAIL FAIL Licenses - Texas Department of Public Safety, Private Security Bureau Required three years in BusinessNo outstanding lawsuits during last 5 years or current litigation with the City during last 5 yearsNo outstanding regulatory issues last 5 years References Provided for firm Technical Proposal Technical Proposal (50 points)50 43.2 42.0 41.3 43.5 37.3 Firm's Experience Experience on projects of similar scope and complexity Demonstrated capability/capacity on comparable projects Past Performance and Reference Checks Team Member Experience Team members with experience and qualifications; Team members experience with work of simlar cope and complexity; Understanding of Project Scope Demonstated understanding of scope of services Demonstrated understanding and experience with similar service with a public agency Interview Interview (30 points)30 28.7 25.0 26.7 25.2 0.0 Firm's Experience Demonstrated Experience providing these Services of similar scope and complexity Team Identification Team members with experience and qualifications Understanding of Project Scope Demonstrated understanding of scope of services Knowledge of Similar Services; Capability to perform work Price Price (20 points)20 18.3 20.0 18.5 17.3 0.0 Total 100 90.1 87.0 86.5 85.9 37.3 0.0 0.0 0.0 DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM:Jermel Stevenson, Director of Parks and Recreation JermelS@cctexas.com (361)-826-3042 Kim Baker, Director of Contracts and Procurement Kimb2@cctexas.com (361)-826-3169 CAPTION: Motion authorizing a three-year service agreement with David Aaron Alvarez dba Cut Masters Lawn Service, for mowing and grounds maintenance services of street rights-of- way, circles and medians for Storm Water Group 5A located on Saratoga, Crosstown, Staples, Weber and Ayers, for a total amount not to exceed $410,482.80, effective upon issuance of notice to proceed, with the first-year funding in the amount of $136,827.60 through the FY 2020 Storm Water Fund. SUMMARY: This motion authorizes a contract with David Aaron Alvarez dba Cut Masters Lawn Service for mowing and grounds maintenance services, for Storm Water Group 5A located on Saratoga, Crosstown, Staples, Weber and Ayers, for a total amount not to exceed $410,482.80. These services are necessary to maintain the highly visible high traffic areas. BACKGROUND AND FINDINGS: The mowing and grounds maintenance services of street rights-of-way assist in ensuring that the grounds at each site are safe, secure and presentable at all times. The current contract expired on September 30, 2019. It was a temporary contract from June – September with David Aaron Alvarez dba Cut Masters Lawn Service totaling $47,889.66. There are various street rights-of-way covered under Storm Water Mowing Group 5A with the longest section covering Saratoga from Calle Cuernavaca to Rodd Field Road. See the table that follows. Mowing and Grounds Maintenances of Street Rights-of-Way, Circles and Medians for Storm Water Group 5A Located on Saratoga, Crosstown, Staples, Weber and Ayers AGENDA MEMORANDUM Action Item for the City Council Meeting of October 15, 2019 The Contracts and Procurement Department conducted a competitive Request for Bid process to obtain bids from qualified firms to provide mowing and grounds maintenance services for Storm Water Groups 5A. The City received two; however, all bids were over budget. The Parks and Recreation Department rejected all bids and requested that the project be competitively bid again. Staff concluded the lowest responsive, responsible bidder for Group 5A is David Aaron Alvarez dba Cut Masters Lawn Service. ALTERNATIVES: An alternative would be to hire City staff and purchase additional equipment to do the work in-house. The estimated cost for the Parks and Recreation Department to execute the same or similar work with in-house crews would be an estimated $300,000 for the same term at a bi-weekly service level. Currently, the department does not have the appropriate staffing level or equipment to maintain the additional acreage on a bi-weekly schedule. It is beneficial for the City to contract out these mowing parcels due to limited City staff only being able to service these areas monthly. FISCAL IMPACT: The fiscal impact for the Parks and Recreation Department is an amount not to exceed $136,827.60 for the first-year of the three-year service agreement. The cost of $273,655.20 for the remaining two years will be budgeted in future years through the annual budget process. Funding Detail: Fund:4300 – Storm Water Organization/Activity:32001 – Storm Water Parks & Recreation Mission Element:141 – Manage and Maintain Parks and Recreation Facilities Project # (CIP Only): N/A Account:530225 – Mowing and Grounds Maintenance RECOMMENDATION: Staff recommends approval of this motion authorizing a three-year service agreement with David Aaron Alvarez dba Cut Masters Lawn Service for mowing and grounds maintenance services of street rights-of-way, circles and medians for Storm Water Group 5A as presented. LIST OF SUPPORTING DOCUMENTS: Bid Tabulation Service Agreement CITY OF CORPUS CHRISTI PURCHASING DIVISION BUYER: JOHN ELIZONDO Storm Water Grp 5A Mowing and Ground Maintenance - Year 1 20 $6,841.38 $136,827.60 $9,950.00 $199,000.00 $0.00 $0.00 Storm Water Grp 5A Mowing and Ground Maintenance - Year 2 20 $6,841.38 $136,827.60 $9,950.00 $199,000.00 $0.00 $0.00 Storm Water Grp 5A Mowing and Ground Maintenance - Year 3 20 $6,841.38 $136,827.60 $9,950.00 $199,000.00 $0.00 $0.00 $410,482.80 $597,000.00 $0.00 * Aspen Lawn Care did not submit a bid for Group 5A RFB NO. 2290 - MOWING & GROUNDS MAINTENANCE SERVICES OF STREET RIGHTS-OF-WAY, CIRCLES AND MEDIANS FOR SW GROUPS 5A BID TABULATION UNIT PRICE EXTENDED PRICE ITEM DESCRIPTION CYCLES Corpus Christi, TX UNIT PRICE EXTENDED PRICE David Aaron Alvarez dba Cut Masters Lawn Service Dorame General Repair & Lawn, LLC UNIT PRICE EXTENDED PRICE Corpus Christi, TX 1. Corpus Christi, TX *Aspen Lawn Care Group 5A Totals Page 1 of 3 Street Rights-of-Way (ROW), Medians, Circles for Storm Water Group 5A Locations and Maps ITEM Group Area/Location Acres 1 G5-A1 Saratoga Medians and ROW Roddfield Rd. To Calle Cuernavaca 23.09 2 G5-A2 New Crosstown Tinseltown to end of sidewalk, south of Saratoga Rd. end of sidewalk south of Saratoga Rd. to civitan 3.19 3 G5-A3 Crosstown S.P.I.D. to Port turnaround, Port turnaround to Horne Rd. with triange at Ayerst St. 4.33 4 G5-A4 Staples OSO Creek to Saratoga Blvd. 4.43 5 G5-A5 Weber Rd. Saratoga Rd. to end of curb and sidewalk 2.76 6 G5-A6 Ayers Allencrest to Saratoga Blvd. 0.42 Total Acres 38.22 Page 2 of 3 Street Rights-of-Way (ROW), Medians, Circles for Storm Water Group 5A (G5-A1 through G5-A5) Locations and Maps Page 3 of 3 Street Rights-of-Way (ROW), Medians, Circles for Storm Water Group 5A (G5-A6) Locations and Maps Service Agreement Standard Form Page 1 of 7 Approved as to Legal Form July 11, 2019 SERVICE AGREEMENT NO. 2290 Mowing and Grounds Maintenances of Street Rights-of- Way, Circles and Medians for Storm Water Group 5A THIS Mowing and Grounds Maintenances of Street Rights-of-Way, Circles and Medians for Storm Water Group 5A Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home-rule municipal corporation (“City”) and David Aaron Alvarez dba 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 Mowing and Grounds Maintenances of Street Rights-of-Way, Circles and Medians for Storm Water Group 5A in response to Request for Bid/Proposal No. 2290 (“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 Mowing and Grounds Maintenances of Street Rights-of-Way, Circles and Medians for Storm Water Group 5A (“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 three years, with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or the Contracts and Procurement Department. The parties may mutually extend the term of this Agreement for up to zero additional zero-year periods (“Option Period(s)”), provided, the parties do so by written amendment prior to the expiration of the original term or the then-current Option Period. The City’s extension authorization must be executed by the City Manager or designee. 3. Compensation and Payment. This Agreement is for an amount not to exceed $410,482.80, 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. Contractor shall invoice no more frequently than once per month. 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. Any amount not expended during the initial term or any option period may, at the City’s discretion, be allocated for use in the next option period. Service Agreement Standard Form Page 2 of 7 Approved as to Legal Form July 11, 2019 Invoices will be mailed to the following address with a copy provided to the Contract Administrator: City of Corpus Christi Attn: Accounts Payable P.O. Box 9277 Corpus Christi, Texas 78469-9277 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: Joshua Wentworth Department: Parks & Recreation Department Phone: 361-826-3483 Email: joshuaw@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 that 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 Service Agreement Standard Form Page 3 of 7 Approved as to Legal Form July 11, 2019 purchase release order must refer to this Agreement, and Services will not be rendered until the Contractor receives the signed purchase release order. 7. Inspection and Acceptance. City may inspect all Services and products supplied before acceptance. Any Services or products 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. (A) 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. (B) 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. (C) Contractor warrants that all Services will be performed in accordance with the standard of care used by similarly situated contractors performing similar services. 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. Service Agreement Standard Form Page 4 of 7 Approved as to Legal Form July 11, 2019 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, however, the Contractor must obtain prior written approval from the Contract Administrator unless the subcontractors were named in the bid or proposal or in an Attachment to this Agreement, 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. The City may, at the City’s sole discretion, choose not to accept Services performed by a subcontractor that was not approved in accordance with this paragraph. 13. Amendments. This Agreement may be amended or modified only in writing executed by authorized representatives of both parties. 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 applicable 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: Roberta Rodriguez Title: Contract Aministrator / Funds Administrator Address: 1601 N. Chaparral St. Gugenheim House Corpus Christi, TX 78401 Phone: 361-826-3166 Fax: 361-826-3174 IF TO CONTRACTOR: David Aaron Alvarez dba Cut Masters Lawn Service Attn: David Alvarez Service Agreement Standard Form Page 5 of 7 Approved as to Legal Form July 11, 2019 Title: Vice President Address: PO Box 270100, Corpus Christi, TX 78427 Phone: 361-730-9191 Fax: 361-371-5618 17. CONTRACTOR SHALL FULLY 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 WHATEVER NATURE, CHARACTER, OR DESCRIPTION ON ACCOUNT OF PERSONAL INJURIES, 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 A BREACH OF THIS AGREEMENT OR THE PERFORMANCE OF THIS AGREEMENT BY THE CONTRACTOR OR RESULTS FROM THE NEGLIGENT ACT, OMISSION, MISCONDUCT, OR FAULT OF THE CONTRACTOR OR ITS EMPLOYEES OR AGENTS. 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 OR RESULTING 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 comply with any of the terms 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. (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. Service Agreement Standard Form Page 6 of 7 Approved as to Legal Form July 11, 2019 19.Owner’s Manual and Preventative Maintenance. Contractor agrees to provide a copy of the owner’s manual and/or preventative maintenance guidelines or instructions if available for any equipment purchased by the City pursuant to this Agreement. Contractor must provide such documentation upon delivery of such equipment and prior to receipt of the final payment by the City. 20. 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. 21. 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. 22.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 (excluding attachments and exhibits); B.its attachments; C.the bid solicitation document including any addenda (Exhibit 1); then, D.the Contractor’s bid response (Exhibit 2). 23.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 if required by said statute. 24.Governing Law. Contractor agrees to comply with all federal, Texas, and City laws in the performance of this Agreement. 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. 25.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. Service Agreement Standard Form Page 7 of 7 Approved as to Legal Form July 11, 2019 CONTRACTOR Signature: Printed Name: Title: Date: CITY OF CORPUS CHRISTI ________________________________________________ Kim Baker Director of Contracts and Procurement Date: _________________________ Attached and Incorporated by Reference: Attachment A: Scope of Work Attachment B: Bid/Pricing Schedule Attachment C: Insurance and Bond Requirements Attachment D: Warranty Requirements Incorporated by Reference Only: Exhibit 1: RFB/RFP No. 2290 Exhibit 2: Contractor’s Bid/Proposal Response David Alvarez Owner 9/12/19 Page 1 of 13 ATTACHMENT A: SCOPE OF WORK 1.1 General Requirements/Background Information The Contractor must provide complete mowing and grounds maintenance services for street rights-of-way, circles, and medians for Storm Water (SW) Groups 5A and 5C including all reasonable and necessary labor, supervision, equipment and supplies to keep contracted areas properly maintained, safe and presentable at all times as outlined in this Scope of Work. 1.2 Scope of Work The Contractor shall provide complete mowing and grounds maintenance services including litter and debris removal, mowing, trimming, applying fertilizer to City owned property as shown on Exhibits 1 and 2. A.Prep Work 1.The Contractor and all related employees shall attend an orientation prior to the term of the contract at the following location: Parks and Recreation Maintenance 5352 Ayers St. Bldg. 4 Corpus Christi, Texas 78415 2.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. 3.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. However, if the debris is too large to haul, the Contractor shall pile the debris, take a picture and email the picture and location to the Contract Administrator prior to leaving the location. 4.Contractor is required to cover/tarp debris while transporting for disposal and while moving from site to site. Should the Contractor dispose of the litter and debris at an illegal dumpsite, it is grounds for termination of this agreement. Page 2 of 13 B.Mowing and Trimming 1.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. 2.Cycle Description - ROW/Storm Water Group 5A and 5C •Growing Season (March – October) *Bi-weekly ~ 16 cycles *The Contractor shall schedule mowing cycles 12 to 15 days apart not mowing less than two cycles per month. City Cycle 1: 1st – 15th / City Cycle 2: 16th – to End of Month. •Non-Growing Season (November – February) **Monthly ~ 4 cycles **The Contractor shall schedule mowing cycles 25 to 35 days apart not mowing more than two cycles per month. 3.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. 4.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. 5.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 streets, gutters, storm drains or lawns. The Contractor shall remove excessive clippings immediately following each mowing cycle prior to the work crew leaving the work site. 6.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. Contractor MUST NOT sweep or blow any grass clippings or leaves into the streets, gutters or other portions of the storm water system including ditches and storm drains. 7.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. Page 3 of 13 8.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. C.Edging 1.A steel disk or steel blade edger shall be used for all required edging for one cycle during March, June, and October. This includes edging of all curbs and sidewalks. String line trimming is acceptable for general monthly maintenance. 2.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. D.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. 1.3 Work Site and Conditions A.The work shall be performed at locations throughout the City as defined by group. See Attachments A1 and A2 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 grounds maintenance only in appropriate months and in accordance with the City’s cycle requirements. Changes in such work schedules must be sent to the Contract Administrator for approval. 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. Page 4 of 13 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 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 and received permission to proceed with work order. 1.4 Contractor Quality Control and Superintendence A.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. B.Contractor must have a mowing and grounds maintenance crew available to correct any inspection rejections within one working day of being notified. 1.5 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 latest 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 payment 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. 1.6 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 Page 5 of 13 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. 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. 1.7 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. 1.8 Notifications and Inspections A.Each Monday morning prior to 7:00 a.m., the Contractor shall email the Contract Administrator indicating the locations and work being performed that week for approval. If locations listed on the approved schedule were not mowed and the scheduled requires modifications the revised schedule shall be submitted to the Contract Administrator by 5:00 p.m. the day the location was missed. No work shall be done without proper, prior notification. B.A list of completed locations ready for inspection shall be emailed to the Contract Administrator no later than 7:00 a.m. on the day to be inspected. When a location is completed, the assigned City Inspector shall inspect the site and advise the Contractor of any discrepancies/rejections. In order to receive credit for mowing rejected locations the Contractor shall take whatever action necessary to correct the discrepancies within one working day. Rejected locations not turned in for re-inspection within one business day of the rejection will be deemed incomplete for the cycle and the Contractor will not be given credit. For the purpose of this contract, workdays shall include Monday-Friday, unless one of the days is a City designated holiday. The Contract Administrator Page 6 of 13 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 $50 re-inspection fee will be charged. Failure of the forth inspection will deem the property un- serviced and will need to be completed in its entirety, within the same cycle and resubmitted for the first inspection. The Contractor shall deduct the inspection fee from the payment to be made to the City of Corpus Christi. C.The Contractor shall submit invoices ONLY after cycles are completed. All areas will have a 10% penalty for incomplete work. A 10% penalty will be applied to the invoice total for incomplete cycles. The Contractor will adjust incomplete cycle payment to reflect the properties missed based on the average price per acre, then an additional 10% penalty will be applied to the adjusted invoice total. D.The City shall have the right to examine the supplies, materials and equipment used by the Contractor, its subcontractors, agents, and employees at any time during the contract or extension terms. E.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. F.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. G.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. Page 7 of 13 Attachment A1 – Street Rights-of-Way, Medians, Circles for Storm Water Group 5A Locations ITEM Group Area/Location Acres 1 G5-A1 Saratoga Medians and ROW Roddfield Rd. To Calle Cuernavaca 23.09 2 G5-A2 New Crosstown Tinseltown to end of sidewalk, south of Saratoga Rd. end of sidewalk south of Saratoga Rd. to civitan 3.19 3 G5-A3 Crosstown S.P.I.D. to Port turnaround, Port turnaround to Horne Rd. with triange at Ayerst St. 4.33 4 G5-A4 Staples OSO Creek to Saratoga Blvd. 4.43 5 G5-A5 Weber Rd. Saratoga Rd. to end of curb and sidewalk 2.76 6 G5-A6 Ayers Allencrest to Saratoga Blvd. 0.42 Total Acres 38.22 Page 8 of 13 Attachment A1 – Street Rights-of-Way, Medians, Circles for Storm Water Group 5A (G5-A1 through G5-A5) Map Page 9 of 13 Attachment A1 – Street Rights-of-Way, Medians, Circles for Storm Water Group 5A (G5-A6) Page 10 of 13 Attachment A2 – Street Rights-of-Way, Medians, Circles for Storm Water Group 5C Locations Item Group Area/Location TX Dot Triangle 1 G5-C5 Everhart North West 1 2 G5-C6 Weber North West 1 3 G5-C7 Weber North West 1 4 G5-C8 Kostroyz North West 1 5 G5-C11 Brownlee Crosstown East 1 6 G5-C12 Ayers East side in front of Whataburger @ median 1 7 G5-C13 Ayers West side @ sm. concrete media 1 8 G5-C14 Ayers South east 1 Total 8 Page 11 of 13 Attachment A2 – Street Rights-of-Way, Medians, Circles for Storm Water Group 5C (G5– C5) Everhart Rd Attachment A2 – Street Rights-of-Way, Medians, Circles for Storm Water Group 5C (G5–C6 and C7) Weber Rd Page 12 of 13 Attachment A2 – Street Rights-of-Way, Medians, Circles for Storm Water Group 5C (G5–C8) Kostoryz Rd Attachment A2 – Street Rights-of-Way, Medians, Circles for Storm Water Group 5C (G5–C11) Brownlee Blvd Page 13 of 13 Attachment A2 – Street Rights-of-Way, Medians, Circles for Storm Water Group 5C (G5–C12, C13 and C14) Ayers St. CITY OF CORPUS CHRISTI CONTRACTS AND PROCUREMENT DEPARTMENT BID FORM RFB No. 2290 Mowing and Grounds Maintenance of Street Rights-of-Way, Circles, and Medians for SW Group 5A PAGE 1 OF 1 Date: Authorized Bidder: 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 Contracts and Procurement 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 applicable governmental agencies. d. Bidder acknowledges receipt and review of all addenda for this RFB. Item Description UNIT QTY Unit Price Total Price 1 Storm Water Group 5A Mowing and Grounds Maintenance – Year 1 Cycle 20 Storm Water Group 5A Mowing and Grounds Maintenance – Year 2 Cycle 20 Storm Water Group 5A Mowing and Grounds Maintenance – Year 3 Cycle 20 Grand Total for Group 5A 7/31/2019 Cut Masters Lawn Service $6841.38 $6841.38 $6841.38 $136827.60 $136827.60 $136827.60 $410,482.80 ATTACHMENT B: BID/PRICING SCHEDULE Page 1 of 3 ATTACHMENT C: INSURANCE AND 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 Park & Recreation Director one (1) copy of Certificates of Insurance with applicable poli cy 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 $1,000,000 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. Page 2 of 3 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 Page 3 of 3 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. 2018 Insurance Requirements Parks & Recreation Mowing and Complete Grounds Maintenance 12/19/2018 sw Risk Management Valid Through 12/31/2019 BOND REQUIREMENTS: Section 5. Insurance; Bonds. Subsection (B) is null to this Service Agreement Page 1 of 1 ATTACHMENT D: WARRANTY REQUIREMENTS Section 8. Warranty Subsections (A) & (B) are null to this Service Agreement DATE:October 01, 2019 TO:Peter Zanoni, City Manager FROM:Kevin Norton, Director of Water Utilities KevinN@cctexas.com (361) 826-1874 Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361) 826-3169 CAPTION: Resolution authorizing a five-year service agreement with Cummins Southern Plains, LLC dba Cummins Sales and Service of Arlington, Texas, for a total amount not to exceed $296,755.00, for preventative maintenance and purchase of parts for the five Cummins emergency generator sets located at O.N. Stevens Water Treatment Plant and Sand Dollar Pump Station, effective upon issuance of notice to proceed, with the first-year funding in the amount of $59,351.00 available through the Water Fund. SUMMARY: This item is to approve a service agreement for preventative maintenance, purchase of parts and materials and labor for the five Cummins emergency generator sets at O. N. Stevens Water Treatment Plant and Sand Dollar Pump Station, for a total amount not to exceed $296,755.00. One of the generators was purchased this year 2019, and three were purchased in 2000 for the O.N. Stevens Water Treatment Plant. The generator located at Sand Dollar Booster Pump Station was purchased in 2002. BACKGROUND AND FINDINGS: The O. N. Stevens Water Treatment Plant and the Sand Dollar Pump Station are equipped with alternate generator sets. The generator sets are crucial for emergency power to keep the water system operational during power outages. The O. N. Stevens Water Treatment Plant and the Sand Dollar Pump Station alternate power generator sets have proprietary controllers and software that provide Service Agreement for Preventative Maintenance and Parts for the Five Emergency Generators at O.N. Stevens Water Treatment Plant and Sand Dollar Pump Station AGENDA MEMORANDUM Action Item for the City Council Meeting of October 15, 2019 synchronization and proper power distribution for the generators. This is a sole source purchase. Cummins Southern Plains, LLC dba Cummins Sales and Service is the exclusive factory-certified provider and service representative for Texas and Oklahoma. ALTERNATIVES: Since this is a sole source provider, an alternative would be to have this company provide emergency on-call services when a generator stops functioning. The generator equipment requires specialized technicians that the City does not have. FISCAL IMPACT: The financial impact is $59,351.00 for fiscal year 2020, with the remaining cost of $237,404.00 budgeted in future years through the annual budget process, for a five-year service agreement with Cummins Southern Plains, LLC dba Cummins Sales and Service of Arlington, Texas, for preventative maintenance and purchase of parts for the five Cummins emergency generator sets located at O.N. Stevens Water Treatment Plant and Sand Dollar Pump Station. FUNDING DETAIL: Fund:4010 Water Fund Organization/Activity:31010 Stevens Filter Plant Mission Element:062 Treat Water Project # (CIP Only): N/A Account:530230 Equipment Maintenance RECOMMENDATION: Staff recommends approval of this resolution authorizing a five-year service agreement with Cummins Southern Plains, LLC dba Cummins Sales and Service of Arlington, Texas, for preventative maintenance and purchase of parts for the five Cummins emergency generator sets as presented. LIST OF SUPPORTING DOCUMENTS: Resolution Price Sheet Service Agreement Page 1 of 2 Resolution authorizing a five-year service agreement with Cummins Southern Plains, LLC dba Cummins Sales and Service of Arlington, Texas, for a total amount not to exceed $296,755.00, for preventative maintenance and purchase of parts for the five Cummins emergency generator sets located at O.N. Stevens Water Treatment Plant and Sand Dollar Pump Station, effective upon issuance of notice to proceed, with the first-year funding in the amount of $59,351.00 available through the Water Fund. WHEREAS, Cummins Southern Plains, LLC dba Cummins Sales and Service, will provide preventative maintenance and parts for the five emergency generators located at the O.N. Stevens Water Treatment Plant and Sand Dollar Pump Station; WHEREAS, these services, are critical in sustaining the emergency generators. WHEREAS, State law provides that such procurements, as outlined above, are subject to statutory procurement requirements, including competitive bids, unless an exception applies; WHEREAS, there are two statutory exceptions for this procurement in Local Government Code, Section 252.022(a) (2) and (a) (7) (A), as this purchase is necessary to preserve or protect the public health and safety of the municipality’s residents and this item is available from only once source because of patents, copyrights, secret processes, or natural monopolies. Be it resolved by the City Council of the City of Corpus Christi, Texas: Section 1. The City Council specifically finds that the foregoing statements included in the preamble of this resolution are true and correct and adopts such findings for all intents and purposes related to the authorization of this procurement. Section 2. The City Manager, or designee, is authorized to execute all documents necessary to secure a service agreement for preventative maintenance and purchase of parts for the five emergency generator sets at the O.N. Stevens Water Treatment Plant and Sand Dollar Pump Station, of Corpus Christi, Texas for a total amount not to exceed $296,755.00, and funded through the Water Fund. Page 2 of 2 The above resolution was passed by the following vote: Joe McComb _______________________ Roland Barrera _______________________ Rudy Garza _______________________ Paulette M. Guajardo _______________________ Gil Hernandez _______________________ Michael Hunter _______________________ Ben Molina _______________________ Everett Roy _______________________ Greg Smith _______________________ ATTEST:CITY OF CORPUS CHRISTI Rebecca Huerta Joe McComb City Secretary Mayor Corpus Christi, Texas _________ day of ___________________, 2019 City of Corpus Christi Contracts and Procurement Senior Buyer: Cynthia Perez ITEM DESCRIPTION Qty.Unit Unit Price Total 1 Annual Maintenance Fee 5 Each $55,199.00 $275,995.00 2 On-Site Hourly Repairs 1 Each $5,760.00 3 Parts/Materials Allowance 1 Each $15,000.00 $296,755.00 Cummins Southern Plains LLC TOTAL Price Sheet Generator Annual Preventative Maintenance for ONS SERVICE AGREEMENT NO. 72100 Generator Annual Preventative Maintenance for O.N. Stevens Water Treatment Plant THIS Generator Annual Preventative Maintenance for 0 .N. Stevens Water Treatment Plant Agreement ("Agreement") is entered into by and between the City of Corpus Christi , a Texas home-rule municipal corporation ("City") and Cummins Southern Plains LLC, ("Contractor"), effective upon execution by the City Manager or the City Manager's designee ("City Manager"). WHEREAS, Contractor has bid to provide Generator Annual Preventative Maintenance for O.N. Stevens Water Treatment Plant in response to Request for Bid/Proposal No. SS-72100 ("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 l 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 Generator Annual Preventative Maintenance for O.N . Stevens Water Treatment Plant ("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 five years , with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or Purchasing Division. The parties may mutually extend the term of this Agreement for up to zero additional zero-year periods ("Option Period(s) "), provided, the parties do so in writing and prior to the expiration of the original term or the then- current Option Period. The City's extension authorization must be executed by the City Manager or designee. 3. Compensation and Payment. This Agreement is for an amount not to exceed $296,755.00, 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. 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. Any amount not expended during the initial term or any option period may, at the City's discretion, be allocated for use in the next option period. Serv ice Agreement -Cummins Pa g e 1 o f 8 Invoices w ill be mailed to the following address with a copy provided to the Contract Administrator: City of Corpus Christi Attn: Accounts Payable P.O. Box 9277 Corpus Christi, Te xas 78469-9277 4. Contract Administrator. The Contract Admi nistrator designated by the C ity is responsible for approval of all phases of performance and operations under this Agreement, incl uding deductions for non-performance and authorizations for payment. Th e City's Contract Administrator for this Agreement is as follows : Name: Diana Zertuche-Garza Department: Utilities Department Phone : (361) 826-1827 email: dianaG@cctexas.com 5 . Insurance; Bonds . (A) . Before performance can begin under this Agreement , the Contractor must deliver a certi ficate of insurance ("COi"), as proof of the required insurance coverages, to the City's Risk Manager and the Contract Administrator. Additionally, the COi must sta te th at the City will be g iven 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. Th e City Attorney must be g iven copies of all re levant insurance policies when compelled by court order. Insurance requirements are as stated in Attachment C , the content of which is incorporated by reference in to this Agreement as if fully set out here i n its entirety . (B) In the event that 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 requ ir ed 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 follo wi ng manner: any City department or division may send to Contractor a purchase release order signed by an authorized agent of the departm ent or division. The purchase release order must refer to this Agreement, and Services will not be rendered until the Contrac t or receives th e signed purchase release order. Service Agreement -Cummins Page 2 of 8 7. Inspection and Acceptance. City may inspect all Services and products supplied before acceptance. Any Services or products that are provided but not accepted by the City must be corrected or re-worked immediately at no charge to the City . If correction or re-working at no charge cannot be made by th e Contractor within a reasonable time, 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 w ithin 30 days of receipt of City's invoice. 8. Warranty. (AJ The Contractor warrants that all products supplied under this Agreement are new, quality items that are free from defects, fit for the manufacturer's intended purpose, and of good material and workmanship. Th e Contractor warrants that it has clear title to the products and that the products are free of liens or encumbrances. (BJ 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 th is Agreement and is incorporated by reference into this Agreement as if fully set out here in its entirety. (CJ Contractor warrants that all Services will be performed in accordance with the standard of care used by similarly situated contractors performing similar services. (DJ THE WARRANTIES IN THIS SECTION 8, ATTACHMENT D, AND THE MANUFACTURER'S EXPRESS WRITTEN WARRANTIES ARE THE ONLY WARRANTIES APPLICABLE TO THE SERIVCES PROVIDED HEREUNDER. THERE ARE NO OTHER WARRANTIES, EXPRESS OR IMPLIED, AND CONTRACTOR HEREBY DISCLAIMS ANY AND ALL OTHER WARRANTIES, INCLUDING ALL WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. 9. Quality/Quantity Adjustments . Any Service quantities indicated on the Bid/Pricing Schedule are estimates only and do not obli gate 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 in cluding any Option Period. Substitu tion s 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 c lose of any fiscal year of the City, which fiscal year ends on September 3Q1h annually, is subject to appropriations and budget approval specifically covering this Agreement as Service Agreement -Cummins Page 3 of 8 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 sa id determination is within the City Council's sole discretion when adopting each budget. 11 . Independent Contractor. Contractor wil l perform the work required by thi s Agreement as an independent contractor and wi ll furnish such Services in its own manner and method, and under no circumstances or conditions will any agent, servan t or employee of the Contractor be considered an employee of the City. 12. Subcontractors. Contractor may use subcontractors in connection w ith t he work performed under this Agreement. When using subcontractors, however, the Contractor must obtain prior written approval from the Contract Administrator unless the subcontractors were named in the bid or proposal or in an Attachment to this Agreement, as appli cable . 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. A ll 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. The City may, at the City's sole discretion, choose not to accept Services performed by a subcontractor that was not approved in accordance w ith this paragraph. 13. Amendments. This Agreement may be amended or modified o nl y in writing executed by authorized representa ti ves o f both parties . 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 applicable taxes. Upon request, the City Manager shall be provided proof of payment of these taxes w ithin 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 re ceived 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: Service Agreement -Cummins Page 4 of 8 IF TO CITY: City of Corpus Christi Attn: Dia na Zertuche-Garza Title: Contracts/Funds Administrator Address: 2726 Holly Road, Corpus Christi, Texas 78 415 Phone : (361) 826-1827 Fax: (361) 826-1715 IF TO CONTRACTOR: Cummins Southern Plains LLC Attn: General Manager Planned Maintenance 4855 Mountain Creek Parkway Dallas, TX 75236-4603 With a Copy to : Cummins Southern Plains LLC Attn: Contracts Administration 600 North Watson Road Arlington, TX 76011-5319 17. SUBJECT TO THE LIMITATION OF LIABILITY BELOW, CONTRACTOR SHALL FULLY 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 WHATEVER NATURE, CHARACTER, OR DESCRIPTION ON ACCOUNT OF PERSONAL INJURIES, PROPERTY LOSS, OR DAMAGE SUFFERED BY THIRD PARTIES, WHICH ARISE OR ARE CLAIMED TO ARISE OUT OF OR IN CONNECTION WITH OR RESULTS FROM THE NEGLIGENT ACT, OMISSION, MISCONDUCT, OR FAULT OF THE CONTRACTOR OR ITS EMPLOYEES OR AGENTS IN THE PERFORMANCE OF THE CONTRACTOR 'S OBLIGATIONS UNDER THIS AGREEMENT. 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 CHOSEN BY CONTRACTOR AND REASONABLY SATISFACTORY TO THE CITY ATTORNEY, AND PAY ALL CHARGES OF ATTORNEYS AND ALL OTHER COSTS AND EXPENSES OF ANY KIND ARISING OR RESULTING 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. Service Agreement -Cummins Page 5 of 8 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 wri tten notice o f the breach and set out a reasonable opportunity to cure. If the Contractor has not cured w ithin 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 w ritten 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 other than to Contractor's parent cqmpany, 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 thi s Agreement, and the City Manager's right to withhold consent to such assignment is w ithin the sole discretion of the City Manager on any ground whatsoever. 20. Severability. Ea ch 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 off ect 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 in consistencies w ill be resolved by referen ce to the documents in the following order of priority: A. this Agreement (excluding attachments and exhibits): B. its attachments; C. the bid solicitation document including any addenda (Ex hibit 1 ): then, D. 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 if required by said statute. Service Agreement -Cummins Page 6 of 8 23. Governing Law. Thi s Agreement is su bject to al l federal, State, and l oca l laws, rules , and regulations. The applicable law for any legal disputes aris ing out of this Agreement is the law of the State of Texas, and such form and venue for su ch disputes is the appropriate d istrict, county, or justice court in and for Nueces County, Texas. 24. Entire Agreement. Thi s 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 w ritten , between the parties 25 . Limitation on Liability. THE MAXIMUM LIABILITY, IF ANY, OF EITHER PARTY FOR ANY DAMAGES, INCLUDING, WITHOUT LIMITATION, AGREEMENT DAMAGES AND DAMAGES FOR PROPERTY, WHETHER ARISING FROM CONTRACTOR'S INDEMNITY HEREUNDER, BREACH OF AGREEMENT, BREACH OF WARRANTY, NEGLIGENCE, STRICT LIABILITY, OR OTHER TORT, IS LIMITED TO AN AMOUNT NOT TO EXCEED TWO TIMES THE PRICE OF THE SERVICES PAID BY CITY UNDER THIS AGREEMENT, WHICH SHALL BE THE SOLE REMEDY UNDER THIS AGREEMENT. IN NO EVENT SHALL EITHER PARTY BE LIABILE FOR INDIRECT, INCIDENTAL, SPECIAL PUNITIVE, OR CONSEQUENTIAL DAMAGES OF ANY KIND (INCLUDING, WITHOUT LIMITATION, DOWNTIME, LOSS OF PROFIT OR REVENUE, LOSS OF DATA DAMAGE TO GOODWILL) HOWSOEVER CAUSED, ARISING FROM THIS AGREEMENT OR THE BREACH OF THIS AGREEMENT, WHETHER IN INDEMNITY, TORT, CONTRACT, OR OTHERWISE. NOTHING IN THIS AGREEMENT EXCLUDES OR LIMITS LIABILITY FOR DEATH OR PERSONAL INJURY CAUSED BY A PARTY'S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT. [S ig nature Page Fo llows] Service Agreement -Cummins Page 7 of 8 CONTRACTOR C?iIJt:v= PLAINS LLC Signature: ___ _.,~----""-~--+(L_ __________ _ Printed Name: Chad C. Trager ---------------- Title : Vice President -Power Generation -------------------~ Date: September 16 , 2019 CITY OF CORPUS CHRISTI Kim Baker Director -Contracts and Procurement D epartment APPROVED AS TO LEGAL FORM: Assistant City Attorney Attached and Incorporated by Reference: Attachment A: Scope of Work Attachment B: Bid/Pricing Schedule Date Attachment C: Insurance and Bond Requirements Attachment D: Warranty Requirements Incorporated by Reference Only: Exhibit l : RFB/RFP No. SS-72 100 Exh ibit 2 : Contractor's Bid/Proposa l Re sponse Service Agreement -Cummins Page 8 o f 8 Attachment A -Scope of Work 1.1 General Requirements/Background Information Annua l genera tor maintenance requirements to include d iesel engine, generat or and all associated systems (generator se ts -diesel engine a nd generator connected to it) and equip me nt such as batteries, PLC's , software and t ransfer sw itc hes for t he f o llowing work site locat ions and conditions : Item# Location/ Address Description #of Generator Sets 1 0. N. Stevens (ONS) Water O NS Alternate Power 4 Treatment Plant, 13101 Genera tors; Model -Cummins Leopard St QSK 60-G6 Diesel; 2000 KW / 60HZ ; Age -2000 ; Plus one ( 1) to be added in 2019 2 Sand Dollar Booster Pump Sand Dollar Booster Pump 1 Station , 14 201 Sand Dollar Station Power Command Ave, 78418 Generator Set; Model - Cummins QSX15 Diese l /DFEH - 5678284/Power Com mand 3200 Series; 480V /50-60 HZ/350SW ; Age-2002 1.2 Scope of Work -O .N. Stevens Water Treatment Plant Main Alternate Power Generators Perfo rm annual generator maintenance require ments o n t he foll owing diesel generat or models: Model: Cummins QSK 60-G6 Diesel 2000 KW I 60 HZ Age -Since 2000 (at location -O.N . Stevens Water Filtration Plant) QTY (4): 3 existing since 2000, as indicated above, plus new generator to be added in 2019. 1. The Contractor shall be responsible to obtain al l technica l li tera t ure requ ire d to perform all recommended maintenance procedures fo r these generator sets, including all PLC and software requirements proprietary to Cummi ns. These requirements will be provided to the c ity for verification as part o f this service agreement: 2. Th e C o n tractor shal l d isp o se all used o il , fi lters and any othe r l u bricants and/or material required to b e dispose d of as per EP A and state requirem e nts: 3. The C o ntra c tor shal l replace engine lubricating oil and remove used oil from premises (Annual ly); as per manufacturer techn ical manual; 4 . The Contractor sha l l be responsible to obtain all technical literature required to perform all maintenance; 5. The Contractor shall replace oil , fuel and coolant filters , add corrosion inh i bitor as needed (Minimum Annually); as per manufacturer recommendations. 6. The Contractor shall replace lube o il in hydraulic governors (if applicable); as per manufacturer recommenda ti ons; 7. The Contractor sha ll check air filter and crankcase breathers, replace with customer 's approval, as per manufacturer recommendations; 8. The Contractor shal l check and adjust belts as required, as per manufacturer recommendations; 9. The Contrac tor shall check generator se t for loose, bare broken wiring or connecti on, as per manufacturer recommendations; 10. The Contractor shall check governor operation, stability , linkage and oil , as per manufacturer recommendations, as applicable; 11. The Contractor shall check fuel tanks, pumps and li nes f or leaks or damage, as per manufacturer recommendations; 12. The Contractor sh al l check engine, heaters , if applicable, radiator, hoses and heat exchanger for leaks and condition, as per manufacturer recommenda ti ons; 13 . The Contractor shall check inlet screen if water is supplied o t her t han a rad iator, as per manufacturer recommenda ti ons; 14. The Contractor shall check condition of batteries (load test) electrolyte level and charge rate, as per manufacturer recommendations; 15. The Contractor shall start and run engine with shared load, check temperatures and pressures, as per manufacturer recommendations; 16. The Con t ractor shall check unit for proper frequency/speed, vol tage and amperage, as per manufacturer recommendations; 17. The Contractor shall submit a report to owner and advise of any further work required to correct any deficiencies noted during the performance of maintenance requirements; 18 . The Contractor shall perform all PLC maintenance and a ll function requirements recommended by Cummins, confirm software is up to date and run generators under necessary parameters to ensure proper function and load sharing exists as per manufacturer's recommendations. 1.3 Scope of Work -O.N. Stevens Water Treatment Plant Main Alternate Power Generators Engine Overhaul (1 Qty) 1. Complete engine overhaul of one of the main alternate power generators to include all parts and gaskets to accomplish the engine overhaul; 2. The engine overhaul quote w ill consist under the following scenario of parts replacement for one ( l) Cummins QSK 60-G6 Diesel Engine: 2 a. New crankshaft I main bearings and all associated hardware; b. New ca mshaft and bearings; c. New heads and valves/lifters, etc. d. Pistons and connecting rod, including bearings; 1.4 Scope of work-Sand Dollar Booster Pump Station, 14201 Sand Dollar Ave, 78418 Model: Cummins QSX 15 Diesel/DFEH-5678284/Power Command 3200 Series 480V /50-60 HZ/350 KW Age -Since 2002 A. Scheduled Maintenance -Monthly Th e maintenance schedule for prime power sets shou ld be on the basis of running time, as published by th e manufacturer. Since standby sets run infrequently, the maintenance schedule is usually in terms of daily, weekly, monthly, semi-annual and annual t asks . See the manufacturer's i nstructions fo r details: 1. The Contractor shal l check for a ir c leaner restrictions; 2 . Th e Con tractor shall check for radiator restrictions, coolant leaks, deteriorating hoses, loose and deteriorating fan belts, nonfunctioning; 3 . The Contractor shall check motorized-louvers and concentration of engine coolant conditioner; 4. Th e Contractor sha ll check for holes, leaks and loose connections in the air cleaner; 5. The Contractor shall check fuel level and fuel transfer pump operation, as applicable 6. Th e Contractor shal l check for exhaust system leaks and res trictions and draining the condensa te trap; 7. The Contractor shall check all meters, gauges and Indicator lamps for proper operation; 8. The Contractor shall check the battery cable connections and rech arging the batteries if specific gravity is les s than 1 .260. 9. The Contractor shall check for ventilation restrictions in the inlet and outlet openings of the generator. B. Scheduled Maintenance -Semi-Annually 1. The Contractor shall change engine o il and the full-flow, and the by-pass oil filters; 2. The Contractor shal l change the filter(s) in the coolant conditioner circuit; 3. The Contractor shal l clean or repla ce the crankcase breather filter(s); 3 4. The Contractor shall change the fuel filter(s), drain sediment from fuel tanks , check flexible fuel hoses for cuts and abrasions and check the governor linkage; 5. The Contractor shall check electrical safety controls and alarms; 6. The Contractor shall clean up accumulations of grease, oil and dirt on the set ; 7. The Contractor shall check power distribution wiring , connections, circuit breakers and transfer switches; 8. The Contractor shall simulate a utility power outage; this should test the ability of the set to start and assume rated load and check operation of the automatic transfer switches, related switchgear and controls and all other components in the standby power system ; 9. The Contractor shall verify that the operation of all PLC's are operating properly in accordance with previous line item. C. Scheduled Maintenance -Annual 1. The Contractor shall check the fan hub, pulleys and water pump; 2. The Contractor shall change the day tank breather; 3 . The Contractor shall tighten the exhaust manifold and turbocharger cap screws; 4. The Contractor shall tighten the set mounting hardware; 5 . The Contractor shall clean the generator power output and control boxes, check for and tighten all loose wiring connectors, measure and re c ord generator winding insulation resistances , checking operation of the generator heater strips and greasing bearings; 6 . The Contractor shall check operation of the main generator circuit breaker (if used) by manually operating it and testing the trip unit according to the manufacturer's instructions; 7. The Contractor shall run the set for at least three hours , with one hour at near rated load, if the set is normally exercised at no-load or carries only light loads. 8. The Contractor shall perform Generator Insulation tests which should be conducted annually throughout the life of a generator set. The initial tests should be done before final load connections are made to serve as benchmarks for the annual tests. These tests are mandatory for medium voltage generator sets . ANSI/IEEE Standard 43, Recommended practice for testing insulation resistance is of rotating machinery should be referenced. 1.5 Disposal of Used Material Dispose all used oil filter and any other lubricants and/or material required to be disposed of per EPA and State requirements. 1.6 Special Instructions -Contact Information Department Contact Information: 4 1 . David Kukoda -Utility Systems Manager, Maintenance 36 1-826-1880 davidmk@cctexas.com 2. Arnold Silva -Work Coordinator, Mechanical Division 36 1-826-1 253 ArnoldSi@cctexas .com 3. Kenneth Knight -Senior Systems Specialist, l/E Coordinator 36 1-826-1930 Kennethk2@cctexas.com 4. Chris Sutton -l/E Te chnician 361-826-1 220 ChrisSu@cctexas.com 5. Diana Zertuche Garza -Contract/Funds Administrator 36 1-826-1827 DianaG@cctexas.com 1.7 Special Instructions -Invoices The Contractor's invoice for payment must con tain the following information: 1. Purchase Order (PO) number or Service Agreement number 2. Location and Address 3. Model and serial number of equipment 4. Description of service 5. Bill of materials 6. The Contractor wil l be required to attach copies of all invoices for parts/materials (to include 3 of mark-up) for each repair invoic e 7. Total hours billed, itemized by position and hourly rate 8. Authorizing City representative 1.8 Contractor Quality Control and Superintendence The Contractor shall establish and maintain a complete Quality Control Program to assure that the requirements of the Contract are provided as specified. The Contractor will also provide supervision o f the work to insure it complies w ith the contrac t requirements. 1. 9 Warranty Warranty on al l repairs sha ll be 90 days or better for all labor and materials . 5 ® Attachment B -Pricing Schedule Sales and Service PLANNED MAINTENANCE AGREEMENT Customer Address CITY OF CORPUS CHRIS FLEET MAINTANCE PO BOX Customer Contact Contact: Phone: Fax: Quote Information Quote Date: 21-MAY-19 Quote Expires: 21-MAY-24 Quote Num: 8605 Corpus Christi, TX Cust Id: Diana Garza 361 826-1827 361 826-4378 19139 Quoted By: Travis L Neely 2 AO I Ol 91068 ALLOWANCES LD BANK TEST 3HR-OVERTIME MEGGAR TEST PARTS/MATERIALS (NO MARK-UP) ON-SITE HOURLY REPAIRS 40/1 40.00 5 5 I Total annual cost for month ly generator maintenance: $55 , 199.00 (A ll generators) Total cost for 5 year montl y generator maintenance: $275,995.00 (All generators) Allowances: On-Site Hourly Repairs 40 hours@ 144.00 = $5,760 .00 Parts/Materials = $15,000.00 Quote Term: 5 Year(s) 6,988.00 34,940.00 7 44.00 3 ,720.00 15,000.00 15 ,000.00 5,760.00 5 ,760.00 Please note that Cummins is the so le source provider of the PLC program software and control systems for the parallel gear at O.N Stevens -All work quoted to be performed during normal business hours Monday -Friday, Sam -5pm . -Load bank proposal includes the cost of the rental tran sformer, cables and the technician's labor to perform the work. -The City of Corpus Christi will need to provide an e lectrician to connect and disconnect the medium voltage cables to the equipment safely for the load bank testing. -Meggar te st ing for the medium voltage equipment will require an electrician's ass ista nc e to instal l grounding clusters. This cost is not included in the above pricing. ============================================================================================== Unless otherwise specified, fir st se rvice is due to b e performed within 30 da ys of PMA signature. Signature below acknowledges and accepts the Terms and Conditions on the back of this Agreement. Purchase Order Number and Signature required. Signature: Print Name: _________ _ Purchase Order Number: __________________ _ Please Provide name and e-mai l address of each s ite contact: Site: Name: E-Mail: ------------ Accounts Payable Contact -Print Name: ____________ _ Phone: E-Mail: _______________ _ Please indicate whether you wish to prepay the complete agreement or pay per event. ___ Pre pay ___ Pay Per Event (Subject to credit approval) ***Ifpay ing per event se lect payment option preferr ed. Cash/Credit Card ACH /Wire Credit Terms_ ***Pl ease reference Cu mmins Southern Plains LLC Planned Maintenance Agreement Scope of Work for further d etails.*** OPTIONAL SERVICES AVAILABLE: -Infra-Red Thermography (ATS/Gen/Switchgear/Distribution) -Oil Sample Analysis -Fuel Sample Analysis -Coolant Sample Analysis -Battery Rep lacement Page 3 of 4 Sales and Service ® Customer Address CITY OF CORPUS CHRIS FLEET MAINTANCE PO BOX Corpus C hristi, TX -Diesel Fuel Poli s hing -Power Quality (recording/measuring) -Vibration Testin g PLANNED MAINTENANCE AGREEMENT Customer Contact Contact: Diana Garza Phone: 36 1 826-1827 Fax: 36 1 826-4378 C ustld: 19139 Quote Information Quote Date: 21-MAY-19 Quote Ex pi res: Quote Num: Quoted By: Quote Tenn: 21-MA Y-24 8605 Travis L Neely 5 Year(s) ***All other work will be performed on a time and material basis. Customer Approval Signature~ Date .. · _____________ _ Standard Agreement Amount Proposal Total CUMMINS SOUTHERN PLAINS, LLC $296, 755.00 $296,755.00 Signature:. _______________ _ Date: _________________ _ Page 4 of 4 Attachment C -Insurance Requirements I. CONTRACTOR'S LI AB ILITY INSURANC E A. Contractor must not commence work under this agreement until all insurance required has been obtai ned and such insurance has been approved by t he Cit y. Contractor must not allow any subcontractor Agency to commence work until al l sim il ar insurance required of any subcontractor Agency has been obtained. B. Contractor must furnish to the City's Risk Manager and Contract Administer one ( 1) copy of Certificates of Insurance (COi) w ith applicabl e poli cy endorsements showi ng the fol lowing 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 is requ ir ed 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, Bodily Injury and Property Damage required on all certificates or by Per occurrence -aggregate applicable policy endorsements Commercial General Liability Including: $1,000,000 Per Occurrence 1. Commercial Broad Form 2. Premises -Operations 3. Products/Completed Operations 4. Contractual Li abil ity 5. Independent Contractors 6. Personal Injury-Advertising Injury AU TO LIABILITY (including) $1,000,000 Combi ned Si ngle Limit 1. Owned 2. Hired and Non-Owned 3. Rented/Leased WORK ER S' COMPENSATI ON Statutory EMPLOYER'S LI ABI LIT Y $500,000 /$500,000 /$500,000 POLLUTION LI AB ILIT Y $1 ,000,000 Per Occurrence C. In the event of accidents of any kind related to this agreement, Contractor must furnish the Risk Manager with copies of all reports of any accidents w ithin 10 days of the accident. 11. ADDITIONAL REQUIREMENTS A. Applicable for paid employees, Contractor must obtain workers' compensation coverage through a li censed 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 obl igations incurred by the Contractor will be promptly met. B. Contractor shall obtain and maintain in full force and effect for the duration o f this Contract, and any extension hereof, at Contractor's so le expense, insurance coverage written on an occurrence basis, by companies authorized and admitted to do business in the State of Te xas and with an A.M. Best's rating of no less than A-VII. C. Contractor shall be required to submit a copy of the replacement certificate of insuran ce 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 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, o fficials, employees, volunteers, and e lected representatives as additional ins ured by endorsement, as respects operations, completed operation and activities of, or on behalf o f , the named insured performed under contract w ith the City, w ith the exception of the workers ' compensation policy; • Pro vide for an endorsement that the "other insurance" clause sha ll not apply to the City of Corpus Christi w here the City is an additional insured shown on the policy; • Workers' compensation and employers' liability policies w ill provide a waiver of subrogation in favor of the City; and • Provide thirty (30) calendar days advance written notice directly to City o f any suspension, cancellation, non-re newal or material change in coverage, and not less than ten (10) calendar days advance written notice for nonpayment o f premium. E. Within five (5) calendar days of a suspension, cancellation, or non-renewal of coverage, Contractor shall provide a replacement Certificate of In surance and applicable endorsements to City. City shall have the option to suspend Contractor's performance should there be a laps e 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 fai lure to provide and maintain any insurance or poli cy endorsements to the extent and within the time herein required, the City shall have the right to order Contractor to remove the exhibit hereunder, and/or withhold any payment(s) if any, 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 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 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. 2019 Insurance Requirements Ins. Req. Exhibit 4-C Contracts for General Services -Services Performed Onsite -Pollution 04/26/20 19 Ri sk Management-Legal Dept. Attachment C -Bond Requirements No bond requirements necessary for this service agreement; Section 5. Insurance; Bonds Subsection (B) is nul l for this service agreement. Attachment D-Warranty Requirements Limited warranties apply for select parts and components as defined by the respective component manufacturer's limited warranties. All Services shall be free from defects in workmanship for a period of ninety (90) days after completion of Services. In the event of a warrantable defect in workmanship, Cummins2 obligation shall be solely limited to correcting the defective workmanship. Cummins shall correct the nonconforming Services where (i) such nonconformity becomes apparent to Customer during the warranty period; (ii) Cummins receives written notice of any nonconformity within thirty (30) days following discovery by Customer; and (iii) Cummins has determined that the Services are nonconforming. Services corrected or re-performed shall be subject to the remaining warranty period of the original warranty of the Services. New parts supplied during correction or re-performance of Services are warranted for the balance of the warranty period still available from the original warranty of such parts. The remedies set forth in this Attachment D shall not be deemed to have failed of their essential purpose so long as Cummins is willing to correct defective Services or refund the purchase price. DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM:Kevin Norton, Director of Water Utilities KevinN@cctexas.com (361)-826-1874 Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361)-826-3169 CAPTION: Motion authorizing a three-year service agreement with Odessa Pumps and Equipment, Inc., of Houston, Texas, for on-call pump repair services of 144 pumps located at wastewater and storm water facilities, in an annual amount not to exceed $276,900 with the total contract amount not to exceed $844,200.00, effective upon issuance of notice to proceed, with funding available in the Wastewater and Storm Water Funds. SUMMARY: This is a three-year service agreement with Odessa Pumps and Equipment, Inc for an annual amount of $276,900 with the total contract amount not to exceed $844,200.00, for on-call repair services of pumps located at wastewater treatment plants, lift stations, and storm water pump stations. Water Utilities Department has operational and environmental regulatory requirements to keep the pumps up and running to prevent sanitary sewer overflows, properly transport and treat wastewater, and to reduce flooding and maintain compliance with the City’s Municipal Separate Storm Sewer System (MS4) permit. BACKGROUND AND FINDINGS: The City’s wastewater system relies heavily on a large inventory of pumps to collect and transport wastewater to the treatment plants via lift stations, and during the wastewater treatment process. The City also uses storm water pump stations to convey storm water away from the downtown area. Reliable and functioning wastewater pumps are necessary for proper operation of the system and to prevent back-ups that can result in sanitary sewer overflows, damage to the environment, and monetary fines associated with environmental compliance violations. Similarly, the storm water pumps must remain On-Call Pump Repair Services for Water Utilities Department AGENDA MEMORANDUM Action Item for the City Council Meeting of October 15, 2019 operational for public safety, to reduce flooding in the downtown area, and to maintain compliance with the City’s MS4 permit. Repair services are critical to ensure operational requirements and TCEQ environmental compliance regulations are met. In 2018, a one-year contract with two one-year option periods was awarded to Smith Pump through the Request for Bid (RFB) procurement process. The City chose not to exercise the contract options. The Contracts and Procurement Department conducted a competitive RFB process to obtain bids for a new contract. The City received four qualified bids for these services. Staff recommends award to the lowest responsive, responsible bidder, Odessa Pumps and Equipment, Inc. ALTERNATIVES: Operate equipment to failure, which can result in public health and safety issues due to flooding, sanitary sewer overflows, and damage to the environment. FISCAL IMPACT: The fiscal impact for the Water Utilities Department is an annual amount of $276,900 and the total amount not to exceed $844,200.00. This motion authorizes a three-year service agreement with Odessa Pumps and Equipment, Inc. for on-call pump repair services of 144 pumps located at wastewater and storm water facilities for the Water Utilities Department. Funding Detail: Fund:4200 Wastewater Organization/Activity:33210 Mission Element:065 Project # (CIP Only): N/A Account:530215 Maintenance and Repairs – Contracted Fund:4300 Storm Water Organization/Activity:32040 Mission Element:067 Project # (CIP Only): N/A Account:530215 Maintenance and Repairs – Contracted RECOMMENDATION: The Contracts and Procurement department staff is recommending award of this three- year contract for on-call pump repair services to Odessa Pumps and Equipment, Inc. LIST OF SUPPORTING DOCUMENTS: Service Agreement Bid Tabulation Item DescriptionUnit Qty Unit Rate Total PriceUnit Price Total PriceUnit Price Total PriceUnit Price Total Price1Shop Labor Normal Hours, Monday to Friday - 8:00 AM to 5:00 PMTear Down, Inhouse Inspection, Testing, RebuildHRS 170070.00$ 119,000.00$ 84.00$ 142,800.00$ 95.00$ 161,500.00$ 80.00$ 136,000.00$ 2Shop Labor After Hours, Weekends and Holidays Tear Down, Inhouse Inspection, Testing, RebuildHRS 1070.00$ 700.00$ 90.00$ 900.00$ 142.50$ 1,425.00$ 160.00$ 1,600.00$ 3Onsite Technical supportNormal Hours - 8:00 AM to 5:00 PMHRS 1070.00$ 700.00$ 90.00$ 900.00$ 25.00$ 250.00$ 84.00$ 840.00$ 4Pickup Charge from City's location to Contractor's business locationEA 30-$ -$ 84.00$ 2,520.00$ 25.00$ 750.00$ 1,200.00$ 36,000.00$ 5Return Charge from Contractor's business location to City's locationEA 30-$ -$ 84.00$ 2,520.00$ 25.00$ 750.00$ 1,200.00$ 36,000.00$ Estimated SpendMark Up(%)Mark Up(%)Mark Up(%)6 Parts/Materials$125,000147,500.00$ 0%125,000.00$ 20%150,000.00$ 20%150,000.00$ 7 Freight Allowance for Parts/Materials $9,0009,000.00$ 9,000.00$ 9,000.00$ 9,000.00$ 276,900.00$ 283,640.00$ 323,675.00$ 369,440.00$ RFB 2094 - Pump RepairsUtilities DepartmentMark Up(%)18%First YearTotalBid TabulationOdessa Pumps and EquipmentCity of Corpus ChristiContracts and Procurement DepartmentBUYER : JAPAN SHAHSmith PumpUniversal Tool and Die Master Pump and Power 1Shop Labor Normal Hours, Monday to Friday - 8:00 AM to 5:00 PM Tear Down, Inhouse Inspection, Testing, Rebuild HRS 1750 70.00$ 122,500.00$ 84.00$ 147,000.00$ 95.00$ 166,250.00$ 80.00$ 140,000.00$ 2Shop Labor After Hours, Weekends and Holidays Tear Down, Inhouse Inspection, Testing, Rebuild HRS 10 70.00$ 700.00$ 90.00$ 900.00$ 142.50$ 1,425.00$ 160.00$ 1,600.00$ 3Onsite Technical support Normal Hours - 8:00 AM to 5:00 PMHRS 10 70.00$ 700.00$ 90.00$ 900.00$ 25.00$ 250.00$ 84.00$ 840.00$ 4Pickup Charge from City's location to Contractor's business locationEA 30 -$ -$ 84.00$ 2,520.00$ 25.00$ 750.00$ 1,250.00$ 37,500.00$ 5Return Charge from Contractor's business location to City's locationEA 30 -$ -$ 84.00$ 2,520.00$ 25.00$ 750.00$ 1,250.00$ 37,500.00$ Estimated SpendMark Up(%) Mark Up(%) Mark Up(%)6 Parts/Materials $125,000 147,500.00$ 0% $125,000 20% 150,000.00$ 20% 150,000.00$ 7Freight Allowance for Parts/Materials $10,000 10,000.00$ 10,000.00$ 10,000.00$ 10,000.00$ 281,400.00$ 288,840.00$ 329,425.00$ 377,440.00$ Mark Up(%)18%TotalSecond YearOdessa Pump Corpus Christi, TXUniversal Tool and Die Corpus Christi, TXMaster Pump and Power Dover, DESmith Pump Waco, TX 1Shop Labor Normal Hours, Monday to Friday - 8:00 AM to 5:00 PM Tear Down, Inhouse Inspection, Testing, Rebuild HRS 1800 70.00$ 126,000.00$ 88.00$ 158,400.00$ 95.00$ 171,000.00$ 80.00$ 144,000.00$ 2Shop Labor After Hours, Weekends and Holidays Tear Down, Inhouse Inspection, Testing, Rebuild HRS 10 70.00$ 700.00$ 99.00$ 990.00$ 142.50$ 1,425.00$ 160.00$ 1,600.00$ 3Onsite Technical support Normal Hours - 8:00 AM to 5:00 PMHRS 10 70.00$ 700.00$ 90.00$ 900.00$ 25.00$ 250.00$ 84.00$ 840.00$ 4Pickup Charge from City's location to Contractor's business locationEA 30 -$ -$ 88.00$ 2,640.00$ 25.00$ 750.00$ 1,300.00$ 39,000.00$ 5Return Charge from Contractor's business location to City's locationEA 30 -$ -$ 88.00$ 2,640.00$ 25.00$ 750.00$ 1,300.00$ 39,000.00$ Estimated SpendMark Up(%) Mark Up(%) Mark Up(%)6 Parts/Materials $125,000 147,500.00$ 0% 125,000.00$ 20% 150,000.00$ 20% 150,000.00$ 7Freight Allowance for Parts/Materials $11,000 11,000.00$ 11,000.00$ 11,000.00$ 11,000.00$ 285,900.00$ 301,570.00$ 335,175.00$ 385,440.00$ 844,200.00$ 874,050.00$ 988,275.00$ 1,132,320.00$ Universal Tool and Die Corpus Christi, TXMaster Pump and Power Dover, DESmith Pump Waco, TXThird YearGrand TotalMark Up(%)18%TotalOdessa Pump Corpus Christi, TX DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM:Kevin Norton, Director of Water Utilities KevinN@cctexas.com (361)-826-1874 Kim Baker, Director of Contracts and Procurement Kimb2@cctexas.com (361)-826-3169 CAPTION: Motion authorizing a three-year service agreement with Miller Environmental Services, LLC, of Corpus Christi, Texas, for on-call emergency spill response and remediation services for the Utilities Department in an amount not to exceed $93,900.00, effective upon issuance of notice to proceed, with first-year funding in the amount of $31,300.00 available in the Storm Water Fund. SUMMARY: This motion authorizes a three-year service agreement to provide on-call emergency spill response and remediation services for the Storm Water Division of the Utilities Department. Currently, there is no contract in place and the services that have been provided are on an as-needed basis. BACKGROUND AND FINDINGS: This contract will allow the City to have an on-call emergency cleanup company to respond to spills and cleanups that City staff cannot handle due to the hazardous materials involved. If it is determined that the City is the responsible party for spills or other issues that occur, emergency response and remediation actions must be taken by the City to protect public health and ensure pollution and/or contaminants do not reach the City’s Municipal Separate Storm Sewer System (MS4), which ultimately drains into waterways. Cleanups can include leaking automotive fluids and/or fuels due to vehicle accidents, spills of fluids occurring from City infrastructure, and wastewater overflows. Emergency Spill Response and Remediation Service Agreement for the Utilities Department AGENDA MEMORANDUM Action Item for the City Council Meeting of October 15,2019 The Contracts and Procurement Department conducted a competitive RFB process to obtain bids for a new contract, and the City received no bids. The staff took feedback from the vendors and solicited the services for a second time. The City received one responsive, responsible bid, and staff is recommending the award to the lowest, responsive, responsible bidder, Miller Environmental Services. ALTERNATIVES: An alternative to accepting the one qualified bid is to reject the bid and to request the services by competitively bidding again. However, based on previous outreach it appears there are no other local companies that can quickly respond and perform the specialized type of services required by the Utilities Department. In addition, further delay in securing a long-term service agreement could result in violations of TCEQ regulations if a spill cannot be promptly remediated. FISCAL IMPACT: The fiscal impact for the Storm Water Division of the Utilities Department is an amount not to exceed $31,300.00 for the first-year of the three-year service agreement. The cost of $62,600.00 for the remaining two years will be budgeted in future years through the annual budget process. There is no minimum amount guaranteed to this Company if services are not rendered in a particular month. Funding Detail: Fund:4300 Storm Water Organization/Activity:32006 Storm Water Treatment Mission Element:063 Water Quality Monitoring Project # (CIP Only): N/A Account:530000 Professional Services RECOMMENDATION: Staff recommends approval of this motion authorizing a three-year service agreement with Miller Environmental Services, LLC for emergency spill response and remediation services for the Storm Water Division as presented. LIST OF SUPPORTING DOCUMENTS: Service Agreement Bid Tabulation City of Corpus Christi Contracts and Procurement Senior Buyer: Cynthia Perez ITEM DESCRIPTION Qty.Unit Unit Price Total 1 Labor- Normal Hours 525 Hours $46.00 $24,150.00 2 Labor- After Hours 150 Hours $69.00 $10,350.00 Estimated Spend Mark up (%) 3 Materials $7,500.00 20 %$9,000.00 4 Equipment $27,000.00 20 %$32,400.00 5 Subcontractor Allowance $15,000.00 20 %$18,000.00 $93,900.00 Miller Environmental Services, LLC TOTAL Bid Tabulation RFB 2441 Emergency Spill Response and Remediation Services Service Agreement Standard Form Page 1 of 7 Approved as to Legal Form July 11, 2019 SERVICE AGREEMENT NO. 2441 Emergency Spill Response and Remediation Services THIS Emergency Spill Response and Remediation Services Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home- rule municipal corporation (“City”) and Miller Environmental Services, LLC (“Contractor"), effective upon execution by the City Manager or the City Manager’s designee (“City Manager”). WHEREAS, Contractor has bid to provide Emergency Spill Response and Remediation Services in response to Request for Bid/Proposal No. 2441 (“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 Emergency Spill Response and Remediation 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. 2. Term. This Agreement is for three years, with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or the Contracts and Procurement Department. The parties may mutually extend the term of this Agreement for up to 00 additional zero-year periods (“Option Period(s)”), provided, the parties do so by written amendment prior to the expiration of the original term or the then-current Option Period. The City’s extension authorization must be executed by the City Manager or designee. 3.Compensation and Payment. This Agreement is for an amount not to exceed $93,900.00, 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. Contractor shall invoice no more frequently than once per month. 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. Any amount not expended during the initial term or any option period may, at the City’s discretion, be allocated for use in the next option period. Invoices will be mailed to the following address with a copy provided to the Contract Administrator: Service Agreement Standard Form Page 2 of 7 Approved as to Legal Form July 11, 2019 City of Corpus Christi Attn: Accounts Payable P.O. Box 9277 Corpus Christi, Texas 78469-9277 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: Diana Zertuche-Garza Department: Utilities Department Phone: (361) 826-1827 Email: dianaG@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 that 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. Service Agreement Standard Form Page 3 of 7 Approved as to Legal Form July 11, 2019 7. Inspection and Acceptance. City may inspect all Services and products supplied before acceptance. Any Services or products 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. (A) 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. (B) 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. (C) Contractor warrants that all Services will be performed in accordance with the standard of care used by similarly situated contractors performing similar services. 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. Service Agreement Standard Form Page 4 of 7 Approved as to Legal Form July 11, 2019 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 unless the subcontractors were named in the bid or proposal or in an Attachment to this Agreement, 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. The City may, at the City’s sole discretion, choose not to accept Services performed by a subcontractor that was not approved in accordance with this paragraph. 13. Amendments. This Agreement may be amended or modified only in writing executed by authorized representatives of both parties. 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 applicable 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: Diana Zertuche-Garza Title: Utilities Department Address: 2726 Holly Road, Corpus Christi, Texas 78415 Phone: (361) 826-1827 Fax: (361) 826-1715 IF TO CONTRACTOR: Miller Environmental Services, LLC Attn: Mike Kocian Title: Unit Manager Address: 401 Navigation Corpus Christi, Texas 78408 Phone: (361) 289-9800 Fax: (361) 289-6363 Service Agreement Standard Form Page 5 of 7 Approved as to Legal Form July 11, 2019 17. CONTRACTOR SHALL FULLY 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 WHATEVER NATURE, CHARACTER, OR DESCRIPTION ON ACCOUNT OF PERSONAL INJURIES, 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 A BREACH OF THIS AGREEMENT OR THE PERFORMANCE OF THIS AGREEMENT BY THE CONTRACTOR OR RESULTS FROM THE NEGLIGENT ACT, OMISSION, MISCONDUCT, OR FAULT OF THE CONTRACTOR OR ITS EMPLOYEES OR AGENTS. 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 OR RESULTING 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 comply with any of the terms 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. (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. Owner’s Manual and Preventative Maintenance. Contractor agrees to provide a copy of the owner’s manual and/or preventative maintenance guidelines or instructions if available for any equipment purchased by the City pursuant to this Agreement. Contractor must provide such documentation upon delivery of such equipment and prior to receipt of the final payment by the City. Service Agreement Standard Form Page 6 of 7 Approved as to Legal Form July 11, 2019 20. 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. 21. 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. 22. 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 (excluding attachments and exhibits); B. its attachments; C. the bid solicitation document including any addenda (Exhibit 1); then, D. the Contractor’s bid response (Exhibit 2). 23. 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 if required by said statute . 24. Governing Law. Contractor agrees to comply with all federal, Texas, and City laws in the performance of this Agreement. 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. 25. 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. Revised 6.20.18 Page 17 of 21 Attachment A -Scope of Work 1.1 General Requirements/Background Information The Contractor shall provide emergency spill response, remediation services for the Utilities Department, and the removal of contaminated absorbent from the Solid Waste Services Department, as outlined in this Scope of Work. 1.2 Scope of Work A. The Contractor shall provide all supervision, labor, transportation, tools, materials and equipment necessary for the completion of these services. B. Service Requirements for the Contractor: 1.Shall be able to provide specified services twenty-four hours a day, three hundred and sixty-five days per year, on an as needed basis. 2.Will receive work order requests by phone and must respond within 30 minutes of a call being placed by the Utilities Department. 3.Must be on site within two hours of a receipt of work order of a request for services. 4.Shall begin spill response and/or remediation within two hours of arrival on site unless otherwise approved by Utilities Department. 5.Must have a sufficient number of certified/trained personnel to fulfill work demands. 6.Will have the capability and capacity to respond to on-site, highway, in water, or on shoreline incidents. 7.Shall have facilities and equipment to meet the response time dictated in this scope of work. 8.Shall have the ability to mitigate spill incidents, for example gas, oil, sugar water and other types of spills. 9.Shall have multiple vacuum trucks available for immediate response to eliminate and/or mitigate pollutant loading and/or contamination to the Municipal Separate Storm Sewer System (MS4) and/or waters of the State. 10.Shall have the ability to perform hydro-excavation. 11.Will have the capability to perform work in confined spaces and have the safety equipment and training required to support. 12.Must have the capability to collect analytical samples according to State standards. All samples taken shall have a copy sent to the City Contract Administrator or their Designee. Revised 6.20.18 Page 18 of 21 13.Shall have the capability and equipment to hydro-jet infrastructure lines blocked by a material or hazard. 14.Responsible for any or all decontamination of personnel and equipment. C. Spill remediation shall include any and all affected areas. D. All items used for spill response and remediation shall be free from the threat of cross contamination. E. The Contractor shall provide status updates to requester throughout the duration of the response. F. At time of completion of services, the Contractor shall report back to the requester. G. All response and remediation services provided shall be documented by the Contractor. A copy of the work order and invoice shall be provided to the City with the following information: •Work Order Number •Date •Site location/address •Description of response and/or remediation services provided •List of materials used •Quantity and Names of Crew Members •Log of timeline, from time of City request to departure from the scene. •Signature of on-site City Work Coordinator H. The Contractor shall provide follow up services in the event additional remediation is required. I. For the Solid Waste Services Department at 2525 Hygeia St. the Contractor shall provide the collection of contaminated absorbent that was used in the clean-up of small vehicle fluid and lubricants spills. The service entails the following: Deliver 5 clean 55-gallon drums with sealable lids Collect drums on an as needed basis Collect drums within the week of call from City Staff Swap dirty drums with clean drums Replace drums that are damaged and that cannot contain absorbent City Staff will contact Contractor when drums are ready to be collected. Contact person will be Tai Apilado, 361-826-1975 or Michelle Chatman, 361-826-1613. Revised 6.20.18 Page 19 of 21 1.3 Invoicing A. All work will be invoiced and paid based on the contract pricing. All direct expenses incurred should be included and charged accordingly. The City will pay for labor, materials, and equipment used in the performance of the work as outlined on the contract pricing sheet. Labor will be paid at the blended rates shown for actual hours worked. Materials and equipment will be paid at actual costs plus allowed markup. Receipts are required. Subcontractors used will also be allowed if approved in advance and will be compensated in the same manner as the Contractor. B. The following items shall not be billed to the City. 1.Heat Stress 2.Vest- Fluorescent 3.Hand Tools 4.Lifeline Rope 5.Gas Monitor 6.Tripod 7.Cell Phone 8.Flashlight 9.Portable Lighting Tower 10.Per Diem 11.Other indirect costs to perform the work C. Invoices submitted without the required information will not be processed for payment until the Contractor provides the required information as follows: 1.Service Agreement Number 2.P.O. Number and Work Order Number 3.Service address 4.Description of service work 5.Itemized list of charges including labor rate, hours charged, etc. 6.Third Party Invoices, i.e. Equipment rental, if applicable 7.Name of authorizing City representative (on-site Work Coordinator) 1.4 Work Site and Conditions The work shall be performed at any location within the City of Corpus Christi’s jurisdictional boundary and/or any location deemed affected by incidents occurring within the City of Corpus Christi’s jurisdictional boundary, which shall include incidents occurring and/or threatening navigable waterways and/or waters of the state for which the City has the responsibility to protect through state issued permits. The work may be required on land, roadways, infrastructure, ditches, waterways, structures, objects, and other items that are determined to be affected by the incident. Revised 6.20.18 Page 20 of 21 1.5 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. Attachment B - Bid/Pricing Schedule Page 1 of 3 ATTACHMENT C- INSURANCE 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 $1,000,000 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 POLLUTION LIABILITY (including Cleanup and Remediation) $1,000,000 Per Incident Limit $1,000,000 Aggregate Page 2 of 3 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 insured 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 Page 3 of 3 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. 2018 Insurance Requirements Purchasing Emergency Spill Response, Remediation Services and Removal of Contaminants 01/02/2019 sw Risk Management Valid Through 12/31/2019 Attachment C – Bond Requirements No bond requirements necessary for this service agreement; Section 5. Insurance; Bonds Subsection (B) is null for this service agreement. ATTACHMENT D - WARRANTY REQUIREMENTS No warranty requirements necessary for this service agreement; Section 8. (B). Warranty is null for this service agreement. DATE:October 01, 2019 TO:Peter Zanoni, City Manager FROM:Kevin Norton, Director of Water Utilities KevinN@cctexas.com (361) 826-1874 Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361) 826-3169 CAPTION: Resolution authorizing a two-year supply agreement with Pencco, Inc., of San Felipe, Texas, for the purchase of fluoride to be used during the water treatment process, for a total amount not to exceed $388,800.00, effective upon issuance of notice to proceed and funded through the Water Fund. SUMMARY: This is a supply agreement for hydrofluorosilicic acid (i.e., fluoride) for the O.N. Stevens Water Treatment Plant (ONSWTP), for a total amount not to exceed $388,800.00. The Centers for Disease Control and Prevention, World Health Organization, U.S. Public Health Service, American Medical Association, American Dental Association, Corpus Christi-Nueces County Local Health Authority, and local dentists and pediatricians recommend the addition of fluoride to drinking water. BACKGROUND AND FINDINGS: Hydrofluorosilicic acid is added in the treatment of potable (drinking) water through a controlled liquid feed system to reduce the incidence of dental cavities and tooth decay. The City of Corpus Christi Water Utilities Department adds fluoride to the drinking water and has been doing so since 1950. In 1948, a local dental association requested that fluoride be added to the water. By 1950, equipment was in place to do so. The addition of fluoride was sponsored by state and local health departments, and this practice continues today. A low level of fluoride exists naturally in the City’s raw water sources from the Nueces River, Lake Texana, and Colorado River. At ONSWTP, enough fluoride is added to bring the fluoride level to the optimal recommended level. The cost of Supply Agreement for Hydrofluorosilicic Acid for Water Treatment for the O.N. Stevens Water Treatment Plant AGENDA MEMORANDUM Action Item for the City Council Meeting of October 01, 2019 providing this public health service is 4-5% of the annual ONSWTP chemical budget. The City currently receives hydrofluorosilicic acid from Univar of Kent, Washington. Contracts and Procurement Department conducted a competitive Request for Bid process to obtain bids for a new contract. The City received four responsive, responsible bids, and is recommending award to the lowest, responsive, responsible bidder, Pencco, Inc. ALTERNATIVES: An alternative to accepting the lowest, responsive, responsible bidder, Pencco, Inc. would be to reject all bids and discontinue the practice of fluoridation. Discontinuing the practice of fluoridation would be against the recommendation of fluoridation by several agencies including local dentists and pediatricians. FISCAL IMPACT: The total value for a two-year supply agreement with Pencco, Inc. for the purchase of hydrofluorosilicic acid (fluoride) to be used during the water treatment process is not to exceed $388,800.00, and the amount to be funded in FY2020 is approximately $194,400.00. Funding Detail Fund:4010 Water Organization/Activity:31010 Stevens Filter Plant Mission Element:062 Treat water Project # (CIP Only): N/A Account:520010 Purification Chemicals RECOMMENDATION: Staff recommends approval of this resolution authorizing a two-year supply with Pencco, Inc., of San Felipe, Texas, for the purchase of hydrofluorosilicic acid as presented. LIST OF SUPPORTING DOCUMENTS: Supply Agreement Bid Tabulation Page 1 of 2 Resolution authorizing a two-year supply agreement with Pencco, Inc., of San Felipe, Texas, for the purchase of fluoride to be used during the water treatment process, for a total amount not to exceed $388,800.00, effective upon issuance of notice to proceed and funded through the Water Fund. WHEREAS, hydrofluorosilicic acid (i.e., fluoride) is used in the treatment of potable (drinking) water at the O.N. Stevens Water Treatment Plant; WHEREAS, the City received four bids for hydrofluorosilicic acid for O.N. Stevens Water Treatment Plant in response to RFB 2412 of which the lowest responsive, responsible bidder may be awarded the bid; WHEREAS, the lowest responsive, responsible bidder awarded a contract to Pencco, Inc. in the amount of $388,800,000; WHEREAS, state law provides that such procurements, as outlined above, are subject to statutory procurement requirements, including competitive bids, unless an exception applies; 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 responsive, responsible bidder or to the bidder that provides the best value, pursuant to Texas Local Government Code §252.043(a); 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 items, 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 of hydrofluorosilicic acid for O.N. Stevens Water Treatment Plant. Be it resolved by the City Council of the City of Corpus Christi, Texas: Section 1. The City Council specifically finds that the foregoing statements included in the preamble of this resolution are true and correct and adopts such findings for all intents and purposes related to the authorization of this procurement. Section 2. The City Manager, or designee, is authorized to execute contracts with the lowest responsive, responsible bidder in accordance with the terms and conditions stated in RFB 2412. 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 bidder, in succession, in order to secure replacement of hydrofluorosilicic acid for O.N. Stevens Water Treatment Plant. Page 2 of 2 The above resolution was passed by the following vote: Joe McComb _______________________ Roland Barrera _______________________ Rudy Garza _______________________ Paulette M. Guajardo _______________________ Gil Hernandez _______________________ Michael Hunter _______________________ Ben Molina _______________________ Everett Roy _______________________ Greg Smith _______________________ ATTEST:CITY OF CORPUS CHRISTI Rebecca Huerta Joe McComb City Secretary Mayor Corpus Christi, Texas _________ day of ___________________, 20____ TITLE: RFB 2412 Hydrofluorosilicic Acid for Water Treatment Senior Buyer: Cynthia Perez UNIT EXTENDED UNIT EXTENDED UNIT EXTENDED UNIT EXTENDED PRICE PRICE PRICE PRICE PRICE PRICE PRICE PRICE 1 Hydrofluorosilicic Acid Wet Tons 900 470.00$ $423,000.00 $454.00 $408,600.00 $432.00 $388,800.00 647.47$ $582,723.00 $423,000.00 $408,600.00 $388,800.00 $582,723.00 CITY OF CORPUS CHRISTI Contracts and Procurement Request for Bid Supplier 1 Supplier 2 Supplier 3 Supplier 4 Bid Tabulation Mosaic Global Sales, LLC Lithia, Atlanta Pencco, Inc. San Felipe, Texas Shannon Chemical Corporation Malvern, PennsylvaniaKent, Washington TOTAL Univar DESCRIPTIONITEM Unit QTY DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM:Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361) 826-3169 CAPTION: Motion authorizing a three-year supply agreement with Gulf Coast Paper Co., of Corpus Christi, Texas, for the purchase of paper goods and janitorial supplies for the City Warehouse as a central distribution for City departments, for a total amount not to exceed $750,000.00, effective upon issuance of notice to proceed, with first-year estimated in the amount of $250,000.00 with funding available through the Stores Fund. SUMMARY: This motion authorizes a contract with Gulf Coast Paper Co., of Corpus Christi, Texas to provide paper goods and janitorial supplies for a total amount not to exceed $750,000.00. These goods are necessary to providing a clean and safe work environment for City employees and visitors to City facilities. BACKGROUND AND FINDINGS: The City Warehouse purchases and stocks paper goods and janitorial supplies to enable City departments to clean lunch areas, common areas, offices and stock restrooms with hand soap, paper towels and tissue thereby providing a clean and safe work environment for employees and visitors. The procurement is through the BuyBoard Cooperative. Contracts awarded through the BuyBoard Cooperative have been competitively procured and are in compliance with Texas Local and State procurement requirements. Paper Goods and Janitorial Supplies AGENDA MEMORANDUM Action Item for the City Council Meeting October 15, 2019 ALTERNATIVES: An alternative to accepting this bid would be to require all departments to purchase the paper goods and janitorial supplies on an as needed basis, which would not be as productive. In addition, a long-term agreement allows for a better economy of scale. FISCAL IMPACT: The fiscal impact for Contracts and Procurement is an estimated $250,000.00 as a Cost of Goods Sold for FY2019-20. The using departments will be charged at cost as the merchandise is ordered from the warehouse. The remaining estimated $500,000.00 will be budgeted in future years through the annual budget process. FUNDING DETAIL: Fund:5010 Stores Organization/Activity:40000 Warehouse Stores Mission Element:185 Centralized Purchasing System Project # (CIP Only): N/A Account:520210 Cost of Goods Sold RECOMMENDATION: Staff recommends approval of this motion authorizing a three-year supply agreement with Gulf Coast Paper Co. for paper goods and janitorial supplies as presented. LIST OF SUPPORTING DOCUMENTS: Price Sheet Supply Agreement CITY OF CORPUS CHRISTI CONTRACTS AND PROCUREMENT BUYER: CINDY RAMOS BUYBOARD CONTRACT #569-18 Item Discount off Catalog/Pricelist 1 40% 2 50% 3 50% 4 50% 5 50% 6 40% 7 40% 8 50% 9 50% 10 50% Description GULF COAST PAPER CO. OF CORPUS CHRISTI, TEXAS Price Sheet Can Liners Disposable Food Service and Breakroom Supplies Custodial Safety Products Floor Mats All other Custodial Products Custodial Paper Products and Dispensers (roll towels, multi-fold towels, tissue, similar related products) Custodial Chemicals Custodial Cleaning Supplies Soap and Skincare Products Trash Receptacles SUPPLY AGREEMENT FOR PAPER GOODS AND JANITORIAL SUPPLIES Supply Agreement Standard Form Page 1 of 7 Approved as to Legal Form July 11, 2019 SUPPLY AGREEMENT NO. 2348 Paper Goods and Janitorial Supplies THIS Paper Goods and Janitorial Supplies Supply Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home-rule municipal corporation (“City”) and Gulf Coast Paper Co (“Contractor"), effective upon execution by the City Manager or the City Manager’s designee (“City Manager”). WHEREAS, Contractor has bid to provide Paper Goods and Janitorial Supplies in response to Request for Bid No. BuyBoard 569-18 (“RFB”), which RFB includes the required scope of work and all specifications and which RFB and the Contractor’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. NOW, THEREFORE, City and Contractor agree as follows: 1. Scope. Contractor will provide Paper Goods and Janitorial Supplies 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 three years. The parties may mutually extend the term of this Agreement for up to zero additional zero-year periods (“Option Period(s)”), provided, the parties do so by written amendment prior to the expiration of the original term or the then-current Option Period. The City’s extension authorization must be executed by the City Manager or designee. 3. Compensation and Payment. This Agreement is for an amount not to exceed $750,000.00, 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. Contractor shall invoice no more frequently than once per month. 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. Any amount not expended during the initial term or any option period may, at the City’s discretion, be allocated for use in the next option period. Invoices will be mailed to the following address with a copy provided to the Contract Administrator: Supply Agreement Standard Form Page 2 of 7 Approved as to Legal Form July 11, 2019 City of Corpus Christi Attn: Accounts Payable P.O. Box 9277 Corpus Christi, Texas 78469-9277 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: Robert Presnell Department: Contracts and Procurement Phone: 361-826-1750 Email: robertpr@cctexas.com 5. Insurance. 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. 6. Purchase Release Order. For multiple-release purchases of products to be provided by the Contractor 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 Contractor a purchase release order signed by an authorized agent of the department or divisi on. The purchase release order must refer to this Agreement, and products will remain with the Contractor until such time as the products are delivered and accepted by the City. 7. Inspection and Acceptance. City may inspect all products supplied before 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 Contractor, 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 Contractor within 30 days of receipt of City’s invoice. Supply Agreement Standard Form Page 3 of 7 Approved as to Legal Form July 11, 2019 8. Warranty. (A) 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. (B) 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 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 products 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, however, the Contractor must obtain prior written approval from the Contract Administrator unless the subcontractors were named in the bid or in an attachment to this Agreement. 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. Supply Agreement Standard Form Page 4 of 7 Approved as to Legal Form July 11, 2019 13. Amendments. This Agreement may be amended or modified only in writing executed by authorized representatives of both parties. 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 applicable 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: Robert Presnell Title: Stores Supervisor Address: 5352 Ayers, Bldg 6, Corpus Christi, TX 78415 Phone: 361-826-1750 Fax: 361-826-1690 IF TO CONTRACTOR: Gulf Coast Paper Co. Attn: Nelda Laurel Title: Sales Consultant Address: 1101 South Padre Island Dr., Corpus Christi, TX 78416 Phone: 361-852-5252 Fax: 361-852-1717 17. CONTRACTOR SHALL FULLY 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 WHATEVER NATURE, CHARACTER, OR DESCRIPTION ON ACCOUNT OF PERSONAL INJURIES, 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 A BREACH OF THIS AGREEMENT OR THE PERFORMANCE OF THIS Supply Agreement Standard Form Page 5 of 7 Approved as to Legal Form July 11, 2019 AGREEMENT BY THE CONTRACTOR OR RESULTS FROM THE NEGLIGENT ACT, OMISSION, MISCONDUCT, OR FAULT OF THE CONTRACTOR OR ITS EMPLOYEES OR AGENTS. 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 OR RESULTING 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 comply with any of the terms 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. (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. Owner’s Manual and Preventative Maintenance. Contractor agrees to provide a copy of the owner’s manual and/or preventative maintenance guidelines or instructions if available for any equipment purchased by the City pursuant to this Agreement. Contractor must provide such documentation upon delivery of such equipment and prior to receipt of the final payment by the City. 20. 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. 21. 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 Supply Agreement Standard Form Page 6 of 7 Approved as to Legal Form July 11, 2019 Agreement shall be construed and enforced in all respects as if the invalid or unenforceable provision or part had been omitted. 22. 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 (excluding attachments and exhibits); B. its attachments; C. the bid solicitation document including any addenda (Exhibit 1); then, D. the Contractor’s bid response (Exhibit 2). 23. 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 if required by said statute. 24. Governing Law. Contractor agrees to comply with all federal, Texas, and City laws in the performance of this Agreement. 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. 25. 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) ATTACHMENT A: SCOPE OF WORK 1.General Requirements/Background Information The City uses and stocks paper goods and custodial supplies at the City Warehouse for use by City departments. 2.Scope of Work The Contractor shall provide paper goods and custodial supplies including but not limited to, items listed on Attachment A-1. 3.Contractor Quality Control and Superintendence All paper goods and custodial supplies shall be defect free, properly packed and shipped to ensure a safe delivery. 4.Special Instructions A.Ordering and Delivery 1.City will place an order on as needed basis. 2.Contractor shall deliver the materials within two business days of received order to the City Warehouse, located at 5352 Ayers St. Building 6, Corpus Christi, Texas 78415. 3.All contract prices are F.O.B. destination, inside delivery to the City of Corpus Christi Facility, freight prepaid. 4.Contractor must send Technical data sheet along with the delivery of the material when applicable. City will not accept any products that do not conform to the specifications. 5.If any items found defective, unusable or inoperable to the condition, Contractor shall arrange return shipment or shipping charge will be reimbursed from the invoice. 6.Contractor understands and agrees that the City may, at its discretion, cancel any back orders due to the Contractor's inability to deliver the product within the set time frame. 7.Cancellations shall be in writing and sent to Contractor by email, fax or mail. 8.No restocking fee or payment of any kind shall be owed for orders canceled due to Contractor's inability to meet the deadline delivery date. B.Defective Goods Contractor shall pay for return shipment on any products that arrive in a defective, unusable or inoperable condition. Contractor must arrange for the return shipment of damaged products. Page lof l RFQ Revised 1.3.2018 Page 1of 1 RFQ Revised 1.3.2018 ATTACHMENT C: INSURANCE REQUIREMENT INSURANCE REQUIREMENTS: No insurance requirements necessary for this Supply Agreement; Section 5. Insurance: Bonds. (A) is null for this Supply Agreement. BOND REQUIREMENTS: No bond requirements necessary for this Supply Agreement; Section 5. Insurance: Bonds. (B) is null for this Supply Agreement. Page 1of 1 RFQ Revised 1.3.2018 ATTACHMENT D: WARRANTY REQUIREMENTS The Supplier warrants that all products supplied under this Agreement are new, quality items that are free from defects when accepted by the City. DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM :Jim Davis, Director of Asset Management JimD@cctexas.com (361) 826-1909 Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361) 826-3169 CAPTION: Motion authorizing a two-year service agreement with three one-year options, in an amount not to exceed $2,000,000.00 for the initial term and a total potential value not to exceed $5,000,000.00, with South Texas Metal Roofing, of Corpus Christi, Texas, to perform on-call roof repair services to City owned facilities, effective upon issuance of a notice to proceed, with the first-year funding available through various departments’ FY 2020 funds. SUMMARY: This is a motion to approve a service agreement with South Texas Metal Roofing to perform on-call roof repair services to City owned facilities. These services are necessary to maintain roofs from further deterioration. The services will be provided on an as needed basis. This is the first long-term contract for building maintenance services under the direction of Asset Management. BACKGROUND AND FINDINGS: Asset Management is responsible for maintenance operations of 478 City owned or leased facilities. These facilities have outdated and failing roof systems that are outside the level of expertise of our maintenance staff. Asset Management finds it essential to enact a service agreement for professional roofing services with a company that employs Roof Repair Services for Asset Management AGENDA MEMORANDUM Action Item for the City Council Meeting October 15, 2019 experienced roofers and engineers. Enlisting the services of a competent professional roofing company grants our City’s maintenance department the ability to quickly and effectively address the numerous compromised roof systems currently afflicting city owned assets. At this time, Asset Management has identified over thirty buildings experiencing varying degrees of water intrusion resulting from compromised roofing systems. Some of these buildings include Oveal Williams Senior Center, CCPD Headquarters, the Gas Department, Oak Park Rec Center, and City Hall to name a few. This service agreement will greatly assist the City’s Asset Management Department in preserving the interior contents and structural components of these buildings. The objective is to address the buildings with known faults in addition to any future roofing issues at other locations. The overall goal is to protect and prevent against any unnecessary damage to city assets as it relates to water infiltration, which can have a serious negative impact on daily operations, building integrity, and have potential health implications. The Contracts and Procurement Department conducted a competitive RFB process to obtain bids for a contract. The City received two responsive, responsible bids, and one non responsible bid. Staff is recommending the award to South Texas Metal Roofing. In this RFB process, the quantity used was an estimated number to declare the lowest bidder, while the contract value was determined based on department’s budget and past usage. This is a Job Order Contract, and the contractor will provide services on an as needed basis. ALTERNATIVES: The alternative is to perform the work in-house. However, Asset Management would have to increase their staff, to include experienced roofers. These facilities have outdated and failing roof systems that are outside the level of expertise of the department’s maintenance staff. FISCAL IMPACT: The fiscal impact for the various departments the first year of the two-year service agreement is an estimated amount of $1,000,000.00. This is an on-call service agreement; therefore, the department will allocate the required funds as needed. The remaining $4,000,000 will be budgeted by departments in future years during the annual budget process. FUNDING DETAIL: Fund:5115 Facility and Property Management Organization/Activity:40300 Facility Management and Maintenance Mission Element:191 Operate City Buildings & Facilities Project # (CIP Only): N/A Account:530210 Building Maintenance & Service RECOMMENDATION: Staff recommends approval of this motion authorizing a two-year service agreement with three one-year options with South Texas Metal Roofing for Roof repair services as presented. LIST OF SUPPORTING DOCUMENTS: Bid Tabulation Service Agreement Item Description Unit Qty Unit Rate Total Price Unit Price Total Price Unit Price Total Price 1 Modified Bitumen Normal Hours, M-F: 8 to 5 Squares 400 410.00$ 164,000.00$ 750.00$ 300,000.00$ 950.00$ 380,000.00$ 2 Asphalt Shingles Normal Hours, M-F: 8 to 5 Squares 200 380.00$ 76,000.00$ 350.00$ 70,000.00$ 950.00$ 190,000.00$ 3 Metal Roofing Normal Hours, M-F: 8 to 5 Squares 400 480.00$ 192,000.00$ 800.00$ 320,000.00$ 1,400.00$ 560,000.00$ 4 Wood Shake Normal Hours, M-F: 8 to 5 Squares 100 400.00$ 40,000.00$ 1,400.00$ 140,000.00$ 1,200.00$ 120,000.00$ 5 Windstorm Certification Per Certification 30 600.00$ 18,000.00$ 600.00$ 18,000.00$ 1,000.00$ 30,000.00$ Turnkey Roofing( Labor, Equipment, Materials, Overhead, Administrative and Profit) RFB 2279 - Roof Repairs Asset Management Bid Tabulation South Texas Metal Roofing Corpus Christi, TX City of Corpus Christi Contracts and Procurement Department BUYER : JAPAN SHAH Vertex Roofing* Corpus Christi, TX Haeber Roofing Company Corpus Christi, TX 6 Labor to Install Flashing, Dripting Edge, Counter, Turn back edge, diverter, Caulking Linear Ft 1000 5.00$ 5,000.00$ 20.00$ 20,000.00$ 50.00$ 50,000.00$ 7 Labor to Install seamless Gutters and Downspout Linear Ft 1500 12.00$ 18,000.00$ 12.00$ 18,000.00$ 30.00$ 45,000.00$ Mark up(%)Mark up(%)Mark up(%) 8 Parts/Materials 5%12,600.00$ 20%14,400.00$ 30%15,600.00$ 9 Allowance for Permit 5,000.00$ 5,000.00$ 5,000.00$ 530,600.00$ 905,400.00$ 1,395,600.00$ Estimated Spend $12,000 $5,000 Time and Material Work Total * Bidder was deemed non responsible because the bidder does not have required experience. Service Agreement Standard Form Page 1 of 7 Approved as to Legal Form June 24, 2019 SERVICE AGREEMENT NO. 2279 Roof Repair Services(JOC) for Asset Management THIS Roof Repair Services Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home-rule municipal corporation (“City”) and South Texas Metal Roofing (“Contractor"), effective upon execution by the City Manager or the City Manager’s designee (“City Manager”). WHEREAS, Contractor has bid to provide Roof Repair Services in response to Request for Bid/Proposal No. 2279 (“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 Roof Repair 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. 2. Term. This Agreement is for two years, with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or Purchasing Division. The parties may mutually extend the term of this Agreement for up to three additional one-year periods (“Option Period(s)”), provided, the parties do so in writing and prior to the expiration of the original term or the then- current Option Period. The City’s extension authorization must be executed by the City Manager or designee. 3. Compensation and Payment. This Agreement is for an amount not to exceed $2,000,000.00, 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. Contractor shall invoice no more frequently than once per month. 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. Any amount not expended during the initial term or any option period may, at the City’s discretion, be allocated for use in the next option period. Service Agreement Standard Form Page 2 of 7 Approved as to Legal Form June 24, 2019 Invoices will be mailed to the following address with a copy provided to the Contract Administrator: City of Corpus Christi Attn: Accounts Payable P.O. Box 9277 Corpus Christi, Texas 78469-9277 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: Jesse Hernandez Department: Asset Management - Maintenance Division Phone: 361-826-1983 Email: JesseH@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 that 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. Service Agreement Standard Form Page 3 of 7 Approved as to Legal Form June 24, 2019 7. Inspection and Acceptance. City may inspect all Services and products supplied before acceptance. Any Services or products 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. (A) 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. (B) 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. (C) Contractor warrants that all Services will be performed in accordance with the standard of care used by similarly situated contractors performing similar services. 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 Service Agreement Standard Form Page 4 of 7 Approved as to Legal Form June 24, 2019 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, however, the Contractor must obtain prior written approval from the Contract Administrator unless the subcontractors were named in the bid or proposal or in an Attachment to this Agreement, 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. The City may, at the City’s sole discretion, choose not to accept Services performed by a subcontractor that was not approved in accordance with this paragraph. 13. Amendments. This Agreement may be amended or modified only in writing executed by authorized representatives of both parties. 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 applicable 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: Jesse Hernandez Title: Superintendent of Operations Address: 5352 Ayers St, Bldg 3A, Corpus Christi, TX 78415 Phone: 361-826-1983 Fax: 361-826-1989 Service Agreement Standard Form Page 5 of 7 Approved as to Legal Form June 24, 2019 IF TO CONTRACTOR: South Texas Metal Roofing Attn: Sigifredo Montemayor Title: Owner Address: 2217 Flour Bluff Drive, Corpus Christi, TX 78418 Phone: 361-937-4600 Fax:N/A 17. CONTRACTOR SHALL FULLY 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 WHATEVER NATURE, CHARACTER, OR DESCRIPTION ON ACCOUNT OF PERSONAL INJURIES, 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 A BREACH OF THIS AGREEMENT OR THE PERFORMANCE OF THIS AGREEMENT BY THE CONTRACTOR OR RESULTS FROM THE NEGLIGENT ACT, OMISSION, MISCONDUCT, OR FAULT OF THE CONTRACTOR OR ITS EMPLOYEES OR AGENTS. 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 OR RESULTING 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 comply with any of the terms 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. (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 Service Agreement Standard Form Page 6 of 7 Approved as to Legal Form June 24, 2019 Contractor for failure to pay or provide proof of payment of taxes as set out in this Agreement. 19. Owner’s Manual and Preventative Maintenance. Contractor agrees to provide a copy of the owner’s manual and/or preventative maintenance guidelines or instructions if available for any equipment purchased by the City pursuant to this Agreement. Contractor must provide such documentation upon delivery of such equipment and prior to receipt of the final payment by the City. 20. 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. 21. 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. 22. 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 (excluding attachments and exhibits); B. its attachments; C. the bid solicitation document including any addenda (Exhibit 1); then, D. the Contractor’s bid response (Exhibit 2). 23. 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 if required by said statute. 24. Governing Law. Contractor agrees to comply with all federal, Texas, and City laws in the performance of this Agreement. 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. 25. Entire Agreement. This Agreement constitutes the entire agreement between the parties concerning the subject matter of this Agreement and supersedes all prior Service Agreement Standard Form Page 7 of 7 Approved as to Legal Form June 24, 2019 negotiations, arrangements, agreements and understandings, either oral or written, between the parties. CONTRACTOR Signature: Printed Name: Title: Date: CITY OF CORPUS CHRISTI ________________________________________________ Kim Baker Director of Contracts and Procurement Date: _________________________ Attached and Incorporated by Reference: Attachment A: Scope of Work Attachment B: Bid/Pricing Schedule Attachment C: Insurance and Bond Requirements Attachment D: Warranty Requirements Incorporated by Reference Only: Exhibit 1: RFB/RFP No. 2279 Exhibit 2: Contractor’s Bid/Proposal Response Sigifredo Montemayor Owner 09/11/2019 Page 1 of 6 ATTACHMENT A: SCOPE OF WORK 1.1 General Requirements A. The Contractor shall provide roof repair services to the City Owned facilities at the locations listed in this Scope of Work on an as needed basis. B. The Contractor shall have enough responsible, trained personnel qualified to provide the required services. C. The Contractor shall furnish labor, supervision, parts, supplies, materials, tools, equipment, and transportation necessary to perform roofing repairs for all the locations. D. All work performed must be accomplished in a manner that meets all applicable specifications, trade standards and provisions, and federal, state and local codes and regulations. 1.2 Repairs A. The Contractor shall perform the following types of repairs including but not limited to: 1) Cracks 2) Blisters 3) Drains 4) Vents 5) Metal flashing 6) Scuppers 7) Gutters 8) Jacks 9) Roof hatches 10) Sleepers 11) Flashing 12) Copings 13) Downspouts 14) Dormers 15) Facia 16) Gravel stops 17) Parapet walls 18) Pitch pans/pocket 18) Expansion joints B. The Contractor shall provide roof repair services to the following types of roof systems - Modified Bitumen, Metal standing seam, Asphalt and Wood Shake. C. The Contractor shall use mop down technique for modified bitumen roofing repairs, 25-year grade material for Asphalt shingles repairs and Standing seam type for metal roof repairs. D. The Contractor is responsible for damage to surrounding surfaces, facilities, or persons caused by its materials, equipment or workers. E. The Contractor shall demolish, remove existing roof materials and disposal of all waste materials. F. The Contractor shall comply with the roofing standards and requirements including but not limited to, locally adopted building codes, Texas Windstorm Insurance Requirements, OSHA Safety Regulations and permit requirements per City of Corpus Christi Development Services Department. G. The Contractor will be required to provide Windstorm certification where required. H. The Contractor will obtain a permit through Development Services when applicable as required by Texas Windstorm Insurance guidelines. I. The Contractor shall not be responsible for any decking repairs and the removal of additional layers under this contract. Page 2 of 6 1.3 Job Order A. Information for the services shall be provided to the Contractor through job order or phone/email in an emergency followed up with a job order. The Contractor shall request the job order copy from the Contract Administrator, if City fails to provide. B. The Contractor shall submit a written repair estimate for approval to the Contract Administrator utilizing pricing as outlined in the Contract. Repair estimate shall include labor and parts/materials based on the information provided in the job order or site visit. The written estimate shall provide within four business days of the original request and shall include a detailed summary of work with project schedule. C. The Contractor shall provide a payment bond if the estimate of the job order exceeds $50,000 and a performance bond if the estimate of the job order exceeds $100,000. D. If any work requested by job order is of the nature to require the supervision and/or drawings of an engineer, the City will provide Contractor with the stamped drawings and/or separately procure the supervising engineer E. If the estimate is accepted and work performed, the Contractor’s invoice shall not exceed the authorized amount of the job order unless preauthorized by the Contract Administrator via a job order amendment prior to the work being performed. F. Emergency service calls are defined as an event which requires immediate action to prevent a hazard to life, health, safety, and property. The Contractor shall be on site within an agreeable time frame determined by the Contract Administrator. G. During emergency service call, the Contractor shall submit not to exceed cost via phone and/or email to the Contract Administrator for approval. The Contractor shall obtain approval before commencing the work. H. The Contractor shall check in with the Contract Administrator at the location upon arrival and check out after completion of work and a job order will be issued. I. Upon completion of job order, the Contractor’s representative shall provide a job ticket. The job ticket shall include, but not limited to – Company Name, Name of Roofer/Helper, Date of Service, Detailed Description of the work performed, parts used, job order number and to total time spent on job. 1.4 Service Personnel A. Any personnel assigned to this project shall meet all applicable certification requirements of any regulatory agency having jurisdiction. The Contractor shall ensure that all personnel are continuously trained to meet the latest industry standards. B. The Contractor shall ensure that all crews are fully and properly equipped to perform services promptly and safely without delay. All personnel assigned to the service agreement shall wear a uniform, including safety equipment and any company issued photo identification. The Contractor’s employees working on site shall wear clothing with an identification logo bearing the name of the company Page 3 of 6 visible from 15 feet. All personnel shall be neatly dressed in shirts, safety shoes and long pants. Shorts or torn clothing are unacceptable. Clothing worn shall be suitable for electrical work in accordance with NFPA 70E requirements. C. If the service personnel do not perform as required, the City has the right to reject the personnel and the Contractor is liable to deploy new personnel. D. The Contractor shall conduct background checks for all personnel before they are assigned to work under this agreement. The Contract Administrator may ask for the background check report from the Contractor. The City reserves the right to approve or refuse employees because of an unsatisfactory background check. Background check will be done at the sole expense of the Contractor. 1.5 Site Control A. The Contractor shall safeguard the area while services are being performed. The Contractor shall try to minimize an interference to the building occupants with the day to day operations. The Contractor shall be responsible for assuring the safety of its employees, City employees, and the public during performance of all services under this agreement. B. The Contractor is responsible for damage to surrounding surfaces, facilities or person caused by its materials, equipment or workers. C. The Contractor is responsible for protecting the work from damage from any source prior to final acceptance. 1.6 Completion A. Upon completion of each repair, the Contractor shall conduct careful inspection with the department personnel and shall correct all defective work to the satisfaction of Contract Administrator. B. Remove all scrap, litter and debris resulting from operations specified herein, and leave work and the premises in clean and satisfactory conditions. C. The Contractor shall perform services during Normal working hours 8:00 AM to 5:00 PM, Monday through Friday. Work cannot be performed on the weekends and holidays without prior approval from the Contract Administrator. 1.7 Contract Pricing All turnkey pricing is inclusive of labor, materials, overhead, administrative, equipment and profit. Windstorm certifications will be utilized as needed per the project requirements. Time and material work for labor pricing is inclusive of labor, overhead, travel, administrative, equipment and profit. Parts/Materials will be compensated at cost with receipts and allowable contract markup (%). Permits will be reimbursed at cost. 1.8 Recordkeeping The Contractor shall establish and maintain a log delineating complete and accurate records of all repairs, parts, supplies and materials for each location for the Page 4 of 6 term of the Contract. The Contractor shall update the logs after each service defined in the Contract. 1.9 Invoicing A. Each month, the Contractor shall submit the invoice for repair services to the Contract Administrator. Invoice must contain the following: i. Job order number ii. Description of work on Job order iii. Total hours billed, itemized by position and hourly rate iv. Job ticket v. Copies of all receipts for parts/materials/equipment B. Approval for payment shall be authorized by the Contract Administrator. 1.10 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. 1.11 Work Locations The Contractor may perform roofing services to the following location including but not limited to: BUILDING Address Zip Code 1 Health Department 1702 Horne Rd, Corpus Christi, TX 78416 2 City Hall 1201 Leopard St, Corpus Christi, TX 78401 3 Gas Department 4225 S Port Ave, Corpus Christi, TX 78415 4 Police Department 321 John Sartain St, Corpus Christi, TX 78401 5 Municipal Courts 321 John Sartain St, Corpus Christi, TX 78401 6 Frost Bank 2402 Leopard St, Corpus Christi, TX 78408 7 Water Department 2726 Holly Rd, Corpus Christi, TX 78415 8 Broadmoor Senior Center 1651 Tarlton St, Corpus Christi, TX 78415 9 Ethel Eyerly Senior Center 654 Graham Rd. Corpus Christi, TX 78418 10 Garden Senior Center 5325 Greely Dr, Corpus Christi, TX 78412 11 Greenwood Senior Center 4040 Greenwood Dr, Corpus Christi, TX 78416 12 Lindale Senior Center 3135 Swantner St, Corpus Christi, TX 78404 13 Northwest Senior Center 9725 Up River Rd, Corpus Christi, TX 78410 14 Oveal Williams Senior Center 1414 Martin Luther King Dr, Corpus Christi, TX 78401 Page 5 of 6 15 Zavala Senior Center 510 Osage St, Corpus Christi, TX 78405 16 La Retama Central Library 805 Comanche St, Corpus Christi, TX 78401 17 Garcia Public Library 5930 Brockhampton St, Corpus Christi, TX 78414 18 Janeth Harte Public Library 2629 Waldron Rd, Corpus Christi, TX 78418 19 Hopkins Public Library 3202 McKenzie Rd, Corpus Christi, TX 78410 20 McDonalds Library 4044 Greenwood Dr, Corpus Christi, TX 78416 21 Neyland Public Library 1230 Carmel Pkwy, Corpus Christi, TX 78411 22 Joe Garza Recreation Center 3204 Highland Ave, Corpus Christi, TX 78405 23 Lindale Recreation Center 3133 Swantner St, Corpus Christi, TX 78404 24 Oak Park Recreation Center 842 Erwin Ave, Corpus Christi, TX 78408 25 Oso Recreation Center 1111 Bernice Dr, Corpus Christi, TX 78413 26 Soloman Coles Rec Center 924 Winnebago St, Corpus Christi, TX 78401 27 Science and History Museum 1900 N Chaparral St, Corpus Christi, TX 78401 28 Al Kruse Tennis Center 502 King St, Corpus Christi, TX 78401 29 HEB Pool Complex 1520 Shely St, Corpus Christi, TX 78404 30 HEB Tennis Court 1520 Shely St, Corpus Christi, TX 78404 31 Central Kitchen 4141 Old Brownsville Rd, Corpus Christi, TX 78405 32 O N Stevens Plant 13101 Leopard St, Corpus Christi, TX 78410 33 Solid Waste Building 2525 Hygeia, Corpus Christi, TX 78415 34 Oso Wastewater Treatment Plant (WWTP) 501 Nile, Corpus Christi, TX 78412 35 Greenwood Wastewater treatment Plant 6541 Greenwood Dr, Corpus Christi, TX 78417 36 Broadway Wastewater Treatment plant 1402 W Broadway, Corpus Christi, TX 78401 37 Laguna Madre Wastewater Treatment Plant 201 Jester St, Corpus Christi, TX 78418 38 White Cap Wastewater Treatment plant 13409 White Cap St, Corpus Christi, TX 78418 39 Allison WWTP 4101 Allison St, Corpus Chishti, TX 78410 Page 6 of 6 40 CEFE Landfill 2397 Co.Rd.20, Robstown, TX 78380 41 J C Elliot Transfer Station 6594 Greenwood St, Corpus Christi, TX 78415 42 City owned location City Wide Page 1 of 3 ATTACHMENT C: INSURANCE REQUIREMENTS I. CONTRACTOR’S LIABILITY INSURANCE A. Contractor must not commence work under this agreement until all insurance required has been obtained and such insurance has been approved by the City. Contractor must not allow any subcontractor Agency to commence work until all similar insurance required of any subcontractor Agency has been obtained. B. Contractor must furnish to the City’s Risk Manager and Contract Administer one (1) 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. The City must be listed as an additional insured on the General liability and Auto Liability policies by endorsement, and 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 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 AUTO LIABILITY (including) 1. Owned 2. Hired and Non-Owned 3. Rented/Leased $1,000,000 Combined Single Limit WORKERS’ COMPENSATION EMPLOYER’S LIABILITY Statutory $500,000 /$500,000 /$500,000 Page 2 of 3 C. In the event of accidents of any kind related to this agreement, 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 an amount sufficient to assure that all workers’ compensation obligations incurred by the Contractor will be promptly met. 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 a copy of the 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 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, volunteers, and elected representatives as additional insured by endorsement, as respects operations, completed operation 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 suspension, cancellation, non-renewal or material change in coverage, and not less than ten (10) calendar days advance written notice for nonpayment of premium. Page 3 of 3 E. Within five (5) calendar days of a suspension, cancellation, or non-renewal 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 remove the exhibit hereunder, and/or withhold any payment(s) if any, 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 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 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. 2019 Insurance Requirements Ins. Req. Exhibit 4-B Contracts for General Services – Services Performed Onsite 04/26/2019 Risk Management – Legal Dept. BONDS Bonds will be required as outlined in the Scope of work. Page 1 of 1 ATTACHMENT D: WARRANTY REQUIREMENTS A. The Contractor shall warrant materials and workmanship against defects arising from faulty material, faulty workmanship for a period of one year following the final acceptance of the work and shall replace such defective materials or workmanship without cost to the City. B. Where any material carries a manufacturer’s warranty for any period in excess of one year, then the manufacturer’s warranty shall apply for that piece of material The Contractor shall replace such defective materials, without cost to the City, within the manufacturer’s warranty period. DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM :Jim Davis, Director of Asset Management JimD@cctexas.com (361) 826-1909 Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361) 826-3169 CAPTION: Motion authorizing a two-year service agreement, with three one-year options, in an amount not to exceed $1,000,000.00 for the initial term, and a total potential value not to exceed $2,500,000.00, with G6 Construction, of Corpus Christi, Texas, to perform on-call building maintenance and repair services to City owned facilities, effective upon issuance of notice to proceed, with the first-year funding available through various departments’ FY 2020 funds. SUMMARY: This is a motion to approve a service agreement with G6 Construction to perform on-call building maintenance and repair services to City owned facilities. These services are necessary to maintain the buildings from deteriorating and ensure code compliant status. The services will be provided on an as needed basis. This is the first long-term contract for building maintenance services under the direction of Asset Management. BACKGROUND AND FINDINGS: The Contractor shall furnish labor, parts, materials, tools and equipment necessary to perform services such as minor carpentry work, painting, fence repair, minor concrete work, or other similar needs to City owned facilities. The work performed must be accomplished in a manner that meets all applicable specifications, trade standards and provisions, and federal, state, local codes and regulations. Contractor is responsible for removing existing material and disposing all waste materials. These services will be Service Agreement for Building Maintenance and Repair Services AGENDA MEMORANDUM Action Item for the City Council Meeting October 15, 2019 performed on an as needed basis under individual job orders that will be based on unit prices. Contracts and Procurement conducted a competitive RFB process to obtain bids for a new contract. The City received seven responsive, responsible bids, and is recommending the award to G6 Construction. ALTERNATIVES: The alternative is to perform the work in-house. However, the Asset Management Department would have to increase their staff in various trades in order to keep up with the high demand in a timely manner. FISCAL IMPACT: The fiscal impact for the various departments the first-year, of the two-year service agreement, is an amount not exceed $500,000.00. This is an on-call service agreement; therefore, the department will allocate the required funds as needed. The remaining cost will be budgeted in future years during the annual budget process. Funding Detail: Fund:5115 Facility and Property Management Organization/Activity:40300 Facility Management and Maintenance Mission Element:191 Operate City Buildings & Facilities Project # (CIP Only): N/A Account:530210 Building Maintenance & Service RECOMMENDATION: Staff recommends approval of this motion authorizing a two-year service agreement with three one-year options with G6 Construction for building maintenance and repair services as presented. LIST OF SUPPORTING DOCUMENTS: Bid Tabulation Service Agreement City of Corpus Christi Bid Tabulation Contracts and Procurement Department RFB No. 2309 Senior Buyer: Cynthia Perez Building Maintenance and Repair Services Item Description Unit QTY Unit Price Total Price Unit Price Total Price Unit Price Total Price Unit Price Total Price Unit Price Total Price Unit Price Total Price Unit Price Total Price 1 Labor -Foreman Normal Hours (M-F 8:00 AM to 5:00 PM)HRS 12,000 $29.00 $348,000.00 $60.00 $720,000.00 $45.00 $540,000.00 $23.00 $276,000.00 $68.00 $816,000.00 $47.47 $569,640.00 $40.00 $480,000.00 2 Labor-Helper Normal Hours (M-F 8:00 AM to 5:00 PM)HRS 6,000 $18.00 $108,000.00 $39.00 $234,000.00 $30.00 $180,000.00 $15.00 $90,000.00 $57.50 $345,000.00 $23.50 $141,000.00 $25.00 $150,000.00 3 Labor-Foreman Afterhours – 5:00 PM to 8:00 AM, Saturdays, Sundays and Holidays HRS 500 $30.00 $15,000.00 $88.00 $44,000.00 $67.50 $33,750.00 $26.00 $13,000.00 $102.00 $51,000.00 $71.21 $35,605.00 $58.00 $29,000.00 4 Labor-Helper Afterhours- 5:00 PM to 8:00 AM Saturdays, Sunday and Holidays HRS 500 $19.00 $9,500.00 $45.00 $22,500.00 $45.00 $22,500.00 $17.00 $8,500.00 $86.25 $43,125.00 $35.25 $17,625.00 $37.50 $18,750.00 5 Labor only cost for Drywall installation, tape, float, texture and painting under 10’ high. Square Ft.50,000 $1.50 75,000.00 $1.20 $60,000.00 $4.00 $200,000.00 $2.00 $100,000.00 $2.50 $125,000.00 $3.00 $150,000.00 $1.85 $92,500.00 6 Labor only cost for Drywall installation, tape, float, texture and painting over 10’ high but less than 20’ high. Square Ft.10,000 $1.90 $19,000.00 $1.50 $15,000.00 $6.00 $60,000.00 $1.90 $19,000.00 $4.15 $41,500.00 $3.50 $35,000.00 $2.19 $21,900.00 7 Labor only cost for Drywall installation, tape, float, texture and painting over 20’ high but less than 30’ high. Square Ft.3,000 $2.00 $6,000.00 $1.75 $5,250.00 $7.00 $21,000.00 $2.00 $6,000.00 $6.90 $20,700.00 $4.00 $12,000.00 $2.61 $7,830.00 8 Labor only cost for smooth wall finish in lieu of texture Square Ft.40,000 $2.00 $80,000.00 $0.40 $16,000.00 $6.00 $240,000.00 $1.95 $78,000.00 $1.00 $40,000.00 $0.50 $20,000.00 $1.03 $41,200.00 9 Labor only cost for installation of plastic corner bead Pieces 500 $3.00 $1,500.00 $2.00 $1,000.00 $24.00 $12,000.00 $2.75 $1,375.00 $18.00 $9,000.00 $2.00 $1,000.00 $25.00 $12,500.00 10 Labor only cost for repair/install of 2x2 suspended ceiling grid system Square Ft.15,000 4.00$ 60,000.00$ $1.50 $22,500.00 $4.00 $60,000.00 $1.80 $27,000.00 $1.55 $23,250.00 $3.00 $45,000.00 $6.50 $97,500.00 11 Power Washing Services HRS 400 $10.00 $4,000.00 $40.00 $16,000.00 $200.00 $80,000.00 $22.00 $8,800.00 $98.00 $39,200.00 $50.00 $20,000.00 $106.25 $42,500.00 12 Dirt Hauling Services (Materials not included)Yards 100 30.00$ 3,000.00$ 45.00$ 4,500.00$ $0.00 $0.00 $5.00 $500.00 45.00$ 4,500.00$ $77.00 $7,700.00 115.00$ 11,500.00$ Item Description % of Markup Allowance + Markup % of Markup Allowance + Markup % of Markup Allowance + Markup % of Markup Allowance + Markup % of Markup Allowance + Markup % of Markup Allowance + Markup % of Markup Allowance + Markup 13 Parts/Materials 3.00%257,500.00$ 15%287,500.00$ 20%300,000.00$ 1%252,500.00$ 15%287,500.00$ 15%287,500.00$ 15%287,500.00$ 816 Total $986,500.00 $1,448,250.00 $1,749,250.00 $880,675.00 $1,846,591.00 $1,342,070.00 $1,292,680.00 Prime M&CGourley Contractors LLC Corpus Christi, TX G6 ConstructionBarcom Construction, Inc Cubit Contracting Corpus Christi, TXCorpus Christi, TX STBP Corpus Christi, TX Corpus Christi, TX Alice, TX Estimated Spend 250,000.00$ Advance Paving & Construction Corpus Christi, TX Service Agreement Standard Form Page 1 of 7 Approved as to Legal Form May 3, 2019 SERVICE AGREEMENT NO. 2309 Building Maintenance and Repair Services THIS Building Maintenance and Repair Services Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home-rule municipal corporation (“City”) and G6 Construction (“Contractor"), effective upon execution by the City Manager or the City Manager’s designee (“City Manager”). WHEREAS, Contractor has bid to provide Building Maintenance and Repair Services in response to Request for Bid/Proposal No. 2309 (“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 Building Maintenance and Repair 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. 2. Term. This Agreement is for two years, with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or Purchasing Division. The parties may mutually extend the term of this Agreement for up to three additional one-year periods (“Option Period(s)”), provided, the parties do so in writing and prior to the expiration of the original term or the then- current Option Period. The City’s extension authorization must be executed by the City Manager or designee. 3. Compensation and Payment. This Agreement is for an amount not to exceed $1,000,000.00, 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. 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. Any amount not expended during the initial term or any option period may, at the City’s discretion, be allocated for use in the next option period. Service Agreement Standard Form Page 2 of 7 Approved as to Legal Form May 3, 2019 Invoices will be mailed to the following address with a copy provided to the Contract Administrator: City of Corpus Christi Attn: Accounts Payable P.O. Box 9277 Corpus Christi, Texas 78469-9277 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: Jesse Hernandez Department: Asset Management Phone: (361) 826-1983 Email: JesseH@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 that 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. Service Agreement Standard Form Page 3 of 7 Approved as to Legal Form May 3, 2019 7. Inspection and Acceptance. City may inspect all Services and products supplied before acceptance. Any Services or products 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. (A) 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. (B) 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. (C) Contractor warrants that all Services will be performed in accordance with the standard of care used by similarly situated contractors performing similar services. 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 Service Agreement Standard Form Page 4 of 7 Approved as to Legal Form May 3, 2019 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, however, the Contractor must obtain prior written approval from the Contract Administrator unless the subcontractors were named in the bid or proposal or in an Attachment to this Agreement, 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. The City may, at the City’s sole discretion, choose not to accept Services performed by a subcontractor that was not approved in accordance with this paragraph. 13. Amendments. This Agreement may be amended or modified only in writing executed by authorized representatives of both parties. 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 applicable 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: Jesse Hernandez Title: Superintendent of Operations Address: 5352 Ayers, Bldg. 3A, Corpus Christi, Texas 78415 Phone:(361() 826-1983 Fax: (361) 826-1989 Service Agreement Standard Form Page 5 of 7 Approved as to Legal Form May 3, 2019 IF TO CONTRACTOR: G6 Construction Attn: Ruben Guerrero Title: Owner Address: 101 Greenbranch Corpus Christi, Texas 78405 Phone: (210) 683-7213 Fax: N/A 17. CONTRACTOR SHALL FULLY 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 WHATEVER NATURE, CHARACTER, OR DESCRIPTION ON ACCOUNT OF PERSONAL INJURIES, 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 A BREACH OF THIS AGREEMENT OR THE PERFORMANCE OF THIS AGREEMENT BY THE CONTRACTOR OR RESULTS FROM THE NEGLIGENT ACT, OMISSION, MISCONDUCT, OR FAULT OF THE CONTRACTOR OR ITS EMPLOYEES OR AGENTS. 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 OR RESULTING 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 comply with any of the terms 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. (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 Service Agreement Standard Form Page 6 of 7 Approved as to Legal Form May 3, 2019 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 (excluding attachments and exhibits); B. its attachments; C. the bid solicitation document including any addenda (Exhibit 1); then, D. 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 if required by said statute . 23. Governing Law. Contractor agrees to compl y with all federal, Texas, and City laws in the performance of this Agreement. 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] Page 1 of 6 ATTACHMENT A: SCOPE OF WORK 1.1 General Requirements/Background Information A. The Contractor shall provide building maintenance and repair services for the City owned facilities at the locations listed in this Scope of work on as needed basis. B. The Contractor shall have sufficient, responsible and trained personnel to provide the required services. C. The Contractor shall furnish labor, parts, supplies, materials, tools and equipment necessary to perform the services for all locations. D. All work performed must be accomplished in a manner that meets all applicable specifications, trade standards and provisions, and federal, state and local codes and regulations. 1.2 Repairs A. The Contractor shall perform the following types of services on an as needed basis: • Drywall, Framing, Drywall repairs, tape, floating and texturing • Interior and Exterior painting (including graffiti removal/cover up) • Floor preparation, floor covering and concrete • Window and frame • Ceiling system repairs and installation • Water and storm clean-up and damage • Metal building • Specialty tank and process piping • Occupancy repairs • Shelving and pallet racking • Flagpole • Locking systems • Ceiling tiles • Window shutters and shades • Floor tiles, carpet or planking • Interior/exterior wall and partitions • Gates and fencing • Equipment sheds or storage areas • Countertops and laminate • Equipment and furniture relocation • Door, door hardware, door component repair and installation • Low voltage cabling installation • Emergency and non-emergency board-up/building securing Page 2 of 6 EVENTS • Tent Set-up and breakdown • Temporary barricading • Pressure washing services • Dirt hauling • Signage B. The Contractor and all personnel assigned to this project shall have experience with the above listed systems and components. C. The Contractor shall inspect and diagnose prior to processing and repairs. D. The Contractor shall be required to perform some services during afterhours or during emergencies. E. The Contractor shall respond to an emergency call within 2 hours unless otherwise agreed upon. F. The required services will be provided to the Contractor through a job order or phone requests followed by a job order. G. The job/order will be issued after placing the phone requests. H. The Contractor shall provide an estimate based on the job order. I. The estimates shall include labor and parts that are in accordance with the contract bid/price schedule. J. The Contractor shall provide a payment bond if the job order exceeds $50,000.00 and a performance bond if the job order exceeds $100,000.00. K. The Contractor is responsible for obtaining permits through the City Development Services Department. L. The Contractor is responsible for making repairs or replacement of any material or equipment damaged by the Contractor’s staff. After completion of repairs, the Contractor shall report back to the Operation Superintendent or designee. If any item or equipment covered under this service agreement is deemed non- repairable, the Contractor shall immediately notify the Operation Superintendent by calling (361)510-1597. The Contractor shall provide assessments and make recommendations. M. If any work requested by job order is of the nature to require the supervision and/or drawings of an engineer, the City will provide Contractor with the stamped drawings and/or separately procure the supervising engineer. 1.3 Service Call A. The Asset Management Staff will provide the job order before commencement of services which must be signed by the City and the Contractor before the work begins. B. Job order pricing will be based on unit costs outlined in the Bid/Pricing Schedule. Page 3 of 6 C. In the event of an emergency a phone call will be placed to start the work followed by a job order with an estimated not to exceed value to get the work started until an estimate can be produced. 1.4 Security Personnel The Contractor shall assure that all crews are fully and properly equipped to perform services promptly and safely without delay. All personnel assigned to this service agreement shall wear a uniform, including safety equipment and any company issued photo identification. Contractor’s employees working on site shall wear clothing with an identifiable logo bearing the name of the company visible from 15 feet always. All personnel shall be neatly dressed in shirts, safety shoes, and long pants. Shorts or torn clothing are unacceptable. The Contractor shall conduct background checks for all personnel before assigned to work under this agreement. 1.5 Recordkeeping The Contractor shall establish and maintain a log delineating complete and accurate records of all job orders (repairs, parts, supplies and materials) for each location for the term of the Contract. The Contractor shall update the logs after each service defined in the Contract. 1.6 Invoicing Each month, the Contractor shall submit the invoice plus a copy of the job orders for repair services to the City. Job/order shall include: A. Work description, Job Order Number, Location and date of repairs B. All hours billed, itemized by position and hourly rate for labor, overhead, profit and administrative costs. C. Materials shall be provided to the City at Cost and allowable contract mark up The Contractor shall include copies of receipts as back-up for each invoice. Approval for payment shall be authorized by the Contract Administrator or Operation Superintendent. D. All costs must be in line with and as authorized by the job order. 1.7 Work Locations The Contractor shall perform building maintenance and repair services as needed at the following locations: BUILDING Address Zip Code 1 Health Department 1702 Horne Rd, Corpus Christi, TX 78416 2 City Hall 1201 Leopard St, Corpus Christi, TX 78401 3 Gas Department 4225 S Port Ave, Corpus Christi, TX 78415 4 Police Department 321 John Sartain St, Corpus Christi, TX 78401 5 Municipal Courts 321 John Sartain St, Corpus Christi, TX 78401 6 Frost Bank 2402 Leopard St, Corpus Christi, TX 78408 Page 4 of 6 7 Water Department 2726 Holly Rd, Corpus Christi, TX 78415 8 Broadmoor Senior Center 1651 Tarlton St, Corpus Christi, TX 78415 9 Ethel Eyerly Senior Center 654 Graham Rd. Corpus Christi, TX 78418 10 Garden Senior Center 5325 Greely Dr, Corpus Christi, TX 78412 11 Greenwood Senior Center 4040 Greenwood Dr, Corpus Christi, TX 78416 12 Lindale Senior Center 3135 Swantner St, Corpus Christi, TX 78404 13 Northwest Senior Center 9725 Up River Rd, Corpus Christi, TX 78410 14 Oveal Williams Senior Center 1414 Martin Luther King Dr, CC, TX 78401 15 Zavala Senior Center 510 Osage St, Corpus Christi, TX 78405 16 La Retama Central Library 805 Comanche St, Corpus Christi, TX 78401 17 Garcia Public Library 5930 Brockhampton St, CC, TX 78414 18 Janeth Harte Library 2629 Waldron Rd, Corpus Christi, TX 78418 19 Hopkins Public Library 3202 McKenzie Rd, Corpus Christi, TX 78410 20 McDonalds Library 4044 Greenwood Dr, Corpus Christi, TX 78416 21 Neyland Public Library 1230 Carmel Pkwy, Corpus Christi, TX 78411 22 Joe Garza Recreation Center 3204 Highland Ave, Corpus Christi, TX 78405 23 Lindale Recreation Center 3133 Swantner St, Corpus Christi, TX 78404 24 Oak Park Recreation Center 842 Erwin Ave, Corpus Christi, TX 78408 25 Oso Recreation Center 1111 Bernice Dr, Corpus Christi, TX 78413 26 Solomon Coles Rec Center 924 Winnebago St, Corpus Christi, TX 78401 27 Science and History Museum 1900 N Chaparral St, Corpus Christi, TX 78401 28 Al Kruse Tennis Center 502 King St, Corpus Christi, TX 78401 29 HEB Pool Complex 1520 Shelly St, Corpus Christi, TX 78404 30 HEB Tennis Court 1520 Shelly St, Corpus Christi, TX 78404 31 Central Kitchen 4141 Old Brownsville Rd, CC, TX 78405 Page 5 of 6 32 O N Stevens Plant 13101 Leopard St, Corpus Christi, TX 78410 33 Solid Waste Building 2525 Hygeia, Corpus Christi, TX 78415 34 Oso Wastewater Treatment Plant 501 Nile, Corpus Christi, TX 78412 35 Greenwood WWTP 6541 Greenwood Dr, Corpus Christi, 78417 36 Broadway WWTP 1402 W Broadway, Corpus Christi, TX 78401 37 Laguna Madre WWTP 201 Jester St, Corpus Christi, TX 78418 38 White Cap Waste WWTP 13409 White Cap St, Corpus Christi, TX 78418 39 Allison Wastewater Treatment Plant 4101 Allison St, Corpus Christi, TX 78410 40 Cefe Landfill 2397 Co.Rd.20, Robstown, TX 78380 41 J C Elliot Transfer Station 6594 Greenwood St, Corpus Christi, TX 78415 42 Unknown locations City Wide 1.8 Special Instructions: A. If the service personnel do not perform as required by this Agreement, the City has the right to reject the personnel and the Contractor is liable to deploy new personnel. B. The Contractor shall report to the Operation Superintendent or designee at the location upon arrival. C. If the Contractor is required to leave the premises to obtain parts or other materials, the Operation Superintendent or designee must be notified. Working hours spent outside the premises will not be considered as billable hours. D. The Contractor shall barricade or place cones around the work area before commencing services. The Contractor shall take special measures to safeguard the area while services are being performed. Contractor shall try to minimize any interference to the building occupants with the day to day operations. The Contractor shall be responsible for assuring the safety of its employees, City employees, and the public during performance of all services under this agreement. E. The Contractor shall not store worn or defective parts on City premises at the end of the workday unless otherwise approved by the Operation Superintendent or designee. F. The Contractor must clean work site from debris or hazardous items after completion of work. G. The Contractor shall dispose of all worn/defective parts, oils, solvents, in accordance with all applicable laws, rules and regulations as to ensure the highest level of safety to the environment and public health. Page 6 of 6 1.9 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 ensure it complies with the contract requirements. 1.10 Warranty A. The Contractor shall warrant materials and workmanship against defects arising from faulty material, faulty workmanship for a period of 12 months following the final acceptance of the work and shall replace such defective materials or workmanship without cost to the City. B. Where items or equipment or material carry a manufacturer’s warranty for any period in excess of 12 months, then the manufacturer’s warranty shall apply for that piece of material or equipment. The Contractor shall replace such defective equipment or materials, without cost to the City, within the manufacturer’s warranty period. Attachment C – Insurance and 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 policy by endorsement, and a waiver of subrogation endorsement is required on GL, AL, and WF 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 $1,000,000 Aggregate AUTO LIABILITY (including) 1.Owned 2.Hired and Non-Owned 3. Rented/Leased $1,000000 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 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. 2019 Insurance Requirements Facility and Property Management General Construction Repair Services Valid Through 12/31/2019 Bonds will be required as outlined on the Scope of Work, Section 4: subsection 4.3; Job Order (C) Attachment D - Warranty Requirements A. The Contractor shall warrant materials and workmanship against defects arising from faulty material, faulty workmanship for a period of 12 months following the final acceptance of the work and shall replace such defective materials or workmanship without cost to the City. B. Where items or equipment or material carry a manufacturer’s warranty for any period in excess of 12 months, then the manufacturer’s warranty shall apply for that piece of material or equipment. The Contractor shall replace such defective equipment or materials, without cost to the City, within the manufacturer’s warranty period. DATE:October 1, 2019 TO:Peter Zanoni, City Manager FROM :Jim Davis, Director of Asset Management JimD@cctexas.com (361) 826-1909 Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361) 826-3169 CAPTION: Motion authorizing a two-year service agreement with Advance Paving and Construction to provide on-call moving and relocation services for a total amount not to exceed $150,000.00, with options to extend for up to three additional one-year periods at $75,000.00 per option year, for a total amount not to exceed $375,000.00, upon issuance of notice to proceed, with funding available in the Facility and Property Management Fund. SUMMARY: This service agreement will provide moving and relocation services at City owned facilities. These services are necessary to move furniture and files as needed and free up limited City resources within the Asset Management Department to do more mission critical work. BACKGROUND AND FINDINGS: The Asset Management department has 12 employees specifically geared towards trades such as HVAC, electrical, plumbing, and other skills to assist in the maintenance of the City’s buildings. The department does not have positions specifically geared towards moving services. Instead, employees are being pulled from what they were originally hired on for, to assist with moving services. The Contractor will furnish labor, materials, and equipment necessary to perform services at City owned facilities located throughout the City. Contractor is responsible for removing On-Call Moving and Relocation Services AGENDA MEMORANDUM Action Item for the City Council Meeting October 15, 2019 existing office setups which include primarily furniture and files. The Contracts and Procurement Department conducted a competitive Request for Bid process to obtain bids for a new contract. The City received two responsive, responsible bids, and is recommending the award to Advance Paving and Construction. Advance Paving & Construction met the City’s minimum insurance requirements and the references provided positive feedback. This is a Job Order Contract, and the Contractor will provide services on an as needed basis. ALTERNATIVES: An alternative is for Asset Management to provide this type of service in-house. However, Asset Management is not adequately staffed, nor equipped to meet the needs of their customers for these types of services in a timely manner. FISCAL IMPACT: The fiscal impact for Asset Management in FY 2020 and 2021 is $150,000.00, with the remaining cost budgeted in future years budgets through the annual budget process with options to extend this contract for up to three years at $75,000, for a total amount not to exceed $375,000. Funding Detail: Fund:5115 Facility and Property Management Organization/Activity:40300 Facility Management and Maintenance Mission Element:191 Operate City Buildings & Facilities Project # (CIP Only): N/A Account:530215 Maintenance & Repairs-Contracted RECOMMENDATION: Staff recommends approval of this motion authorizing a two-year service agreement, with options to extend for up to three additional one-year periods. with Advance Paving and Construction for on-call moving and relocation services as presented. LIST OF SUPPORTING DOCUMENTS: Bid Tabulation Service Agreement City of Corpus Christi Contracts & Procurement Sr. Buyer: Cynthia Perez ITEM DESCRIPTION Quantity Unit Unit Price Total Price Unit Price Total Price 1 Labor for Moving and Relocation Services 700 HRS $83.00 $58,100.00 $163.90 $114,730.00 2 Labor After Hours, 5:00pm to 8:00pm to include weekends 100 HRS $99.00 $9,900.00 $218.90 $21,890.00 Total $68,000.00 $136,620.00 Bid Tabulation RFB 2318 Moving and Relocation Services Advance Paving and Construction Half Price Movers Service Agreement Standard Form Page 1 of 7 Approved as to Legal Form May 3, 2019 SERVICE AGREEMENT NO. 2318 Moving and Relocation Services THIS Moving and Relocation Services Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home-rule municipal corporation (“City”) and Advance Paving and Construction (“Contractor"), effective upon execution by the City Manager or the City Manager’s designee (“City Manager”). WHEREAS, Contractor has bid to provide Moving and Relocation Services in response to Request for Bid/Proposal No. 2318 (“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 Moving and Relocation 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. 2. Term. This Agreement is for two years, with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or Purchasing Division. The parties may mutually extend the term of this Agreement for up to three additional one-year periods (“Option Period(s)”), provided, the parties do so in writing and prior to the expiration of the original term or the then- current Option Period. The City’s extension authorization must be executed by the City Manager or designee. 3.Compensation and Payment. This Agreement is for an amount not to exceed $150,000.00, 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. 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. Any amount not expended during the initial term or any option period may, at the City’s discretion, be allocated for use in the next option period. Service Agreement Standard Form Page 2 of 7 Approved as to Legal Form May 3, 2019 Invoices will be mailed to the following address with a copy provided to the Contract Administrator: City of Corpus Christi Attn: Accounts Payable P.O. Box 9277 Corpus Christi, Texas 78469-9277 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: Jesse Hernandez Department: Asset Management Phone: (361) 826-1983 Email: JesseH@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 that 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. Service Agreement Standard Form Page 3 of 7 Approved as to Legal Form May 3, 2019 7.Inspection and Acceptance. City may inspect all Services and products supplied before acceptance. Any Services or products 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. (A) 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. (B) 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. (C) Contractor warrants that all Services will be performed in accordance with the standard of care used by similarly situated contractors performing similar services. 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 Service Agreement Standard Form Page 4 of 7 Approved as to Legal Form May 3, 2019 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, however, the Contractor must obtain prior written approval from the Contract Administrator unless the subcontractors were named in the bid or proposal or in an Attachment to this Agreement, 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. The City may, at the City’s sole discretion, choose not to accept Services performed by a subcontractor that was not approved in accordance with this paragraph. 13. Amendments. This Agreement may be amended or modified only in writing executed by authorized representatives of both parties. 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 applicable 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: Jesse Hernandez Title: Superintendent of Operations Address: 5352 Ayers, Bldg. 3A, Corpus Christi, Texas 78415 Phone:(361() 826-1983 Fax: (361) 826-1989 Service Agreement Standard Form Page 5 of 7 Approved as to Legal Form May 3, 2019 IF TO CONTRACTOR: Advance Paving and Construction Attn: Daniel J. Gonzales Title: Owner Address: 4425 Jose Drive, Corpus Christi, Texas 78416 Phone: (361) 739-3869 Fax: N/A 17.CONTRACTOR SHALL FULLY 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 WHATEVER NATURE, CHARACTER, OR DESCRIPTION ON ACCOUNT OF PERSONAL INJURIES, 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 A BREACH OF THIS AGREEMENT OR THE PERFORMANCE OF THIS AGREEMENT BY THE CONTRACTOR OR RESULTS FROM THE NEGLIGENT ACT, OMISSION, MISCONDUCT, OR FAULT OF THE CONTRACTOR OR ITS EMPLOYEES OR AGENTS. 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 OR RESULTING 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 comply with any of the terms 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. (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 Service Agreement Standard Form Page 6 of 7 Approved as to Legal Form May 3, 2019 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 (excluding attachments and exhibits); B. its attachments; C. the bid solicitation document including any addenda (Exhibit 1); then, D. 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 if required by said statute. 23.Governing Law. Contractor agrees to comply with all federal, Texas, and City laws in the performance of this Agreement. 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] Service Agreement Standard Form Page 7 of 7 Approved as to Legal Form May 3, 2019 CONTRACTOR Signature: Printed Name: Title: Date: CITY OF CORPUS CHRISTI ________________________________________________ Kim Baker Director of Contracts and Procurement Date: _________________________ Attached and Incorporated by Reference: Attachment A: Scope of Work Attachment B: Bid/Pricing Schedule Attachment C: Insurance and Bond Requirements Attachment D: Warranty Requirements Incorporated by Reference Only: Exhibit 1: RFB/RFP No. 2318 Exhibit 2: Contractor’s Bid/Proposal Response Daniel J Gonzales Owner 8/28/2019 Revised 6.20.18 Section 4 - Scope of Work 1.1 General Requirements/Background Information The Contractor shall provide moving and relocation services to City owned locations listed in the Scope of Work. The Contractor shall provide services on an as needed basis, under a job order contract. The Contractor shall have sufficient responsible, trained personnel qualified to provide the required services. 1.2 Scope of Work A. The Contractor shall furnish labor, supervision, supplies, materials, tools, equipment, and transportation necessary to perform Moving and Relocation Services for all locations. Work to be performed under this contract will include, but is not limited to, the following: 1.Move packed boxes and associated items 2.Securing furniture to be moved or relocated 3.Move or relocate furniture and associated items from one office to another in the same building 4.Move or relocate furniture and associated items from one office to another location 5.Loading and driving 6.Estimating 7.Clean-up 8.Disposal services (removing unwanted items and proper disposal) 9.Material pick-up and delivery 10.Equipment moving 11.Table and chair set-up and break-down B. The Contractor and all personnel assigned the work shall have experience with the above listed services. C. The Contractor shall provide a written estimate and receive a job order to proceed before beginning any work. D. Information shall be provided to the Contractor through job order or phone request. In the event of an emergency need job order shall be given after placing phone requests. E. Contractor personnel shall be available to take those job orders. F. Contractor shall provide an estimate based on the job order. G. Estimates shall include labor, materials and any equipment necessary to perform the work in accordance with the contract pricing sheet. H. The Contractor is responsible for making repairs or replacement of any material or equipment damaged during the completion of work or as the results of action Revised 6.20.18 or inaction by Contractor’s staff. After completion of services, Contractor shall report back to the Operation Superintendent or designee. If any services under this service agreement cannot be performed, the Contractor shall immediately notify the Operation Superintendent at telephone number 361/510-1597. Contractor shall provide assessments and make recommendations. 1.3 Service Call A. The Asset Management Staff will provide the job order before commencement of services which must be signed by the City and the Contractor before the work begins. B. Job order pricing will be based on unit costs outlined in the Bid/Priding Schedule. 1.4 Security Personnel The Contractor shall assure that all crews are fully and properly equipped to perform services promptly and safely without delay. All personnel assigned to this service agreement shall wear a uniform, including safety equipment and any company issued photo identification. Contractor’s employees working on site shall wear clothing with an identifiable logo bearing the name of the company visible from 15 feet always. All personnel shall be neatly dressed in shirts, safety shoes, and long pants. Shorts or torn clothing are unacceptable. The Contractor shall conduct background checks for all personnel before assigned to work under this agreement. 1.5 Recordkeeping The Contractor shall establish and maintain a log delineating complete and accurate records of all job orders (labor, equipment and materials) for each location for the term of the Contract. The Contractor shall update the logs after each service defined in the Contract. 1.6 Invoicing Each month, the Contractor shall submit the invoice plus a copy of the job order for all services to the City. Invoices shall include: 1.Work description, Job Order Number, Location and date of services. 2.All hours billed, itemized by hourly rate for labor. 3.Approval for payment shall be authorized by the Contract Administrator or Operation Superintendent. 1.7 Work Locations A. The Contractor shall perform moving and relocation services as needed to the following locations: BUILDING Address Zip Code 1 Health Department 1702 Horne Rd, Corpus Christi, TX 78416 2 City Hall 1201 Leopard St, Corpus Christi, TX 78401 3 Gas Department 4225 S Port Ave, Corpus Christi, TX 78415 4 Police Department 321 John Sartain St, Corpus Christi, TX 78401 Revised 6.20.18 5 Municipal Courts 321 John Sartain St, Corpus Christi, TX 78401 6 Frost Bank 2402 Leopard St, Corpus Christi, TX 78408 7 Water Department 2726 Holly Rd, Corpus Christi, TX 78415 8 Broadmoor Senior Center 1651 Tarlton St, Corpus Christi, TX 78415 9 Ethel Eyerly Senior Center 654 Graham Rd. Corpus Christi, TX 78418 10 Garden Senior Center 5325 Greely Dr, Corpus Christi, TX 78412 11 Greenwood Senior Center 4040 Greenwood Dr, Corpus Christi, TX 78416 12 Lindale Senior Center 3135 Swantner St, Corpus Christi, TX 78404 13 Northwest Senior Center 9725 Up River Rd, Corpus Christi, TX 78410 14 Oveal Williams Senior Center 1414 Martin Luther King Dr, CC, TX 78401 15 Zavala Senior Center 510 Osage St, Corpus Christi, TX 78405 16 La Retama Central Library 805 Comanche St, Corpus Christi, TX 78401 17 Garcia Public Library 5930 Brockhampton St, CC, TX 78414 18 Janeth Harte Public Library 2629 Waldron Rd, Corpus Christi, TX 78418 19 Hopkins Public Library 3202 McKenzie Rd, Corpus Christi, TX 78410 20 McDonalds Library 4044 Greenwood Dr, Corpus Christi, TX 78416 21 Neyland Public Library 1230 Carmel Pkwy, Corpus Christi, TX 78411 22 Joe Garza Recreation Center 3204 Highland Ave, Corpus Christi, TX 78405 23 Lindale Recreation Center 3133 Swantner St, Corpus Christi, TX 78404 24 Oak Park Recreation Center 842 Erwin Ave, Corpus Christi, TX 78408 25 Oso Recreation Center 1111 Bernice Dr, Corpus Christi, TX 78413 26 Solomon Coles Rec Center 924 Winnebago St, Corpus Christi, TX 78401 27 Science and History Museum 1900 N Chaparral St, Corpus Christi, TX 78401 28 Al Kruse Tennis Center 502 King St, Corpus Christi, TX 78401 29 HEB Pool Complex 1520 Shelly St, Corpus Christi, TX 78404 30 HEB Tennis Court 1520 Shelly St, Corpus Christi, TX 78404 31 Central Kitchen 4141 Old Brownsville Rd, CC, TX 78405 Revised 6.20.18 32 O N Stevens Plant 13101 Leopard St, Corpus Christi, TX 78410 33 Solid Waste Building 2525 Hygeia, Corpus Christi, TX 78415 34 Oso Wastewater Treatment Plant 501 Nile, Corpus Christi, TX 78412 35 Greenwood WWTP 6541 Greenwood Dr, Corpus Christi, TX 78417 36 Broadway WWTP 1402 W Broadway, Corpus Christi, TX 78401 37 Laguna Madre WWTP 201 Jester St, Corpus Christi, TX 78418 38 White Cap Waste WWTP 13409 White Cap St, Corpus Christi, TX 78418 39 Allison Wastewater Treatment Plant 4101 Allison St, Corpus Christi, TX 78410 40 Cefe Landfill 2397 Co.Rd.20, Robstown, TX 78380 41 J C Elliot Transfer Station 6594 Greenwood St, Corpus Christi, TX 78415 42 Unknown locations City Wide B. Special Instructions: 1.If the service personnel do not perform as required by this Agreement, the City has the right to reject the personnel and the Contractor is liable to deploy new personnel. 2.The Contractor shall report to the Operation Superintendent or designee at the location upon arrival. 3.If the Contractor is required to leave the premises to obtain parts or other materials, the Operation Superintendent or designee must be notified. Working hours spent outside the premises will not be considered as billable hours. 4.The Contractor must clean work site from debris or hazardous items after completion of work. 1.8 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 ensure it complies with the contract requirements. Attachment B - Bid/Pricing Schedule Note: The total amount shown above is for bid purposes only. The Contact value is a predetermined amount established and published in the RFB as this is a job order contract. Attachment C – Insurance Requirements 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-written day notice of cancellation required on all certificates or by applicable policy endorsements. 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 AUTO LIABILITY (including) 1.Owned 2.Hired and Non-Owned 3.Rented/Leased $1,000,000 Combined Single Limit WORKERS’S COMPENSATION 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. 2019 Insurance Requirements Ins. Req. Exhibit 4-B Contracts for General Services – Services Performed Onsite 04/26/2019 Risk Management – Legal Dept. Attachment C – Bond Requirements No bond requirements necessary for this service agreement; Section 5.Insurance; Bonds Subsection (B) is null for this service agreement. Attachment D - Warranty Requirements No specific warranty requirements are necessary for this service agreement; therefore, Section 8. Warranty, Sub Section (B) is null for this service agreement. DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM :Jim Davis, Director of Asset Management JimD@cctexas.com (361) 826-1909 Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361) 826-3169 CAPTION: Motion authorizing a two-year service agreement with STBP, Inc.for door repair services for City owned facilities, for an amount not to exceed $150,000.00, with three additional one-year option years for a potential total amount not to exceed $375,000.00, effective upon issuance of a notice to proceed, with the first-year funded through the Facility and Property Management Fund. SUMMARY: This motion authorizes a contract with STBP, Inc. to provide door repair services for City owned facilities. These services will include routine and emergency door repair, maintenance, replacement and installation services to city owned locations. The work performed will be on all types such as, but not limited to wood, hollow, metal and glass, to include related hardware and devices. BACKGROUND AND FINDINGS: The Contractor will furnish labor, materials, and equipment necessary to perform services to City owned facilities located throughout the City. These services will be performed on an as needed basis under individual job orders that will be based on unit prices. The Contracts and Procurement Department conducted a competitive Request for Bid (RFB) process to obtain bids for a new job order service agreement. In this RFB process, Service Agreement for Door Repair Services for Asset Management AGENDA MEMORANDUM Action Item for the City Council Meeting October 15, 2019 the quantities used were an estimated amount to be able to determine the lowest bidder. Since this is a job order type service agreement the value of the contract has been determined based on the department’s budget and past usage for this type of service. The City received two responsive, responsible bids for these services. Staff is recommending the award to the lowest, responsive, responsible bidder STBP, Inc. ALTERNATIVES: The alternative is to perform the work in house. However, the department does not have the resources to perform the work in a timely and efficient manner. In addition, some door repairs are on an emergency basis due to malfunction or vandalism. These situations require immediate repair for public safety and/or security of facilities. FISCAL IMPACT: The fiscal impact for the various departments the first-year, of the two-year service agreement, is an amount up to $150,000.00. This is an on-call service agreement; therefore, the department will allocate the required funds as needed. However, the remaining cost will be budgeted in future years through the annual budget process. Funding Detail: Fund:5115 Facility and Property Management Organization/Activity:40300 Facility Management and Maintenance Mission Element:191 Operate City Buildings & Facilities Project # (CIP Only): N/A Account:530215 Maintenance & Repairs-Contracted RECOMMENDATION: Staff recommends approval of this motion authorizing a two-year service agreement for door repair services for City owned facilities with STBP, Inc. as presented. LIST OF SUPPORTING DOCUMENTS: Bid Tabulation Service Agreement CITY OF CORPUS CHRISTI Bid Tab RFB 2189 Contracts and Procurement Door Repair Services for Asset Management Senior Buyer: Cynthia Perez Unit Extended Unit Extended Price Price Price Price 1 Labor-Foreman Normal Hours (M-F 8:00 AM to 5:00PM)500 HRS 45.00$ 22,500.00$ 47.47$ 23,735.00$ 2 Labor-Helper Normal Hours (M-F 8:00 AM to 5:00PM)500 HRS 30.00$ 15,000.00$ 23.50$ 11,750.00$ 3 Labor- Foreman Afterhours - 5:00 PM to 8:00 Am, Saturday, Sundays and Holidays 200 HRS 67.50$ 13,500.00$ $ 71.21 $14,240.00 4 Labor- Helper Afterhours - 5:00 PM to 8:00 Am, Saturday, Sundays and Holidays 200 HRS 45.00$ 9,000.00$ $ 35.25 $7,050.00 Item Description Estimated Spend Markup Allowance Markup Allowance Markup 5 Parts/Material Allowance $50,000.00 % 20% $10,000.00 $60,000.00 15% $7,500.00 $57,500.00 TOTAL:$120,000.00 $114,275.00 ITEM DESCRIPTION QTY.UNIT Note: The total amount shown above is for bid purposes only. The contract value is a predetermined amount established and published in the RFB as this is a Job Order Contract. Cubit Contracting LLC Corpus Christi, TX Corpus Christi, TX STBP, Inc. Service Agreement Standard Form Page 1 of 7 Approved as to Legal Form July 11, 2019 SERVICE AGREEMENT NO. 2189 Door Repair Services for Asset Management THIS Door Repair Services for Asset Management Agreement ("Agreement") is entered into by and between the City of Corpus Christi, a Texas home-rule municipal corporation (“City”) and STBP, Inc. (“Contractor"), effective upon execution by the City Manager or the City Manager’s designee (“City Manager”). WHEREAS, Contractor has bid to provide Door Repair Services for Asset Management in response to Request for Bid/Proposal No. 2189 (“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 Door Repair Services for Asset Management (“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 two years, with performance commencing upon the date of issuance of a notice to proceed from the Contract Administrator or the Contracts and Procurement Department. The parties may mutually extend the term of this Agreement for up to three additional 12-month periods (“Option Period(s)”), provided, the parties do so by written amendment prior to the expiration of the original term or the then-current Option Period. The City’s extension authorization must be executed by the City Manager or designee. 3.Compensation and Payment. This Agreement is for an amount not to exceed $150,000.00, 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. Contractor shall invoice no more frequently than once per month. 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. Any amount not expended during the initial term or any option period may, at the City’s discretion, be allocated for use in the next option period. Invoices will be mailed to the following address with a copy provided to the Contract Administrator: Service Agreement Standard Form Page 2 of 7 Approved as to Legal Form July 11, 2019 City of Corpus Christi Attn: Accounts Payable P.O. Box 9277 Corpus Christi, Texas 78469-9277 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: Jesse Hernandez Department: Asset Management Phone: (361) 826-1983 Email: JesseH@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 that 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. Service Agreement Standard Form Page 3 of 7 Approved as to Legal Form July 11, 2019 7. Inspection and Acceptance. City may inspect all Services and products supplied before acceptance. Any Services or products 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. (A) 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. (B) 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. (C) Contractor warrants that all Services will be performed in accordance with the standard of care used by similarly situated contractors performing similar services. 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. Service Agreement Standard Form Page 4 of 7 Approved as to Legal Form July 11, 2019 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 unless the subcontractors were named in the bid or proposal or in an Attachment to this Agreement, 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. The City may, at the City’s sole discretion, choose not to accept Services performed by a subcontractor that was not approved in accordance with this paragraph. 13. Amendments. This Agreement may be amended or modified only in writing executed by authorized representatives of both parties. 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 applicable 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: Jesse Hernandez Title: Superintendent of Operations Address: 5352 Ayers, Bldg. 3A, Corpus Christi, Texas 78415 Phone:(361) 826-1983 Fax:(361) 826-1989 IF TO CONTRACTOR: STBP, Inc. Attn: Matt E zell Title: President Address: 3817 S. Alameda, Ste. A Corpus Christi, Texas 78411 Phone: (361) 299-5462 Fax: 1-800-858-5280 Service Agreement Standard Form Page 5 of 7 Approved as to Legal Form July 11, 2019 17. CONTRACTOR SHALL FULLY 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 WHATEVER NATURE, CHARACTER, OR DESCRIPTION ON ACCOUNT OF PERSONAL INJURIES, 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 A BREACH OF THIS AGREEMENT OR THE PERFORMANCE OF THIS AGREEMENT BY THE CONTRACTOR OR RESULTS FROM THE NEGLIGENT ACT, OMISSION, MISCONDUCT, OR FAULT OF THE CONTRACTOR OR ITS EMPLOYEES OR AGENTS. 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 OR RESULTING 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 comply with any of the terms 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. (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. Owner’s Manual and Preventative Maintenance. Contractor agrees to provide a copy of the owner’s manual and/or preventative maintenance guidelines or instructions if available for any equipment purchased by the City pursuant to this Agreement. Contractor must provide such documentation upon delivery of such equipment and prior to receipt of the final payment by the City. Service Agreement Standard Form Page 6 of 7 Approved as to Legal Form July 11, 2019 20. 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. 21. 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. 22. 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 (excluding attachments and exhibits); B. its attachments; C. the bid solicitation document including any addenda (Exhibit 1); then, D. the Contractor’s bid response (Exhibit 2). 23. 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 if required by said statute . 24. Governing Law. Contractor agrees to comply with all federal, Texas, and City laws in the performance of this Agreement. 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. 25. 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. Revised 6.20.18 Attachment A - Scope of Work 1.1 General Requirements/Background Information The Contractor shall provide routine and emergency door repair, maintenance, replacement and installation services to City owned locations listed in the Scope of Work. The Contractor shall provide services on an as needed basis, under a job order contract. The Contractor shall have enough responsible, trained personnel qualified to provide the required services. 1.2 Repair and Replacement A. The Contractor shall furnish labor, supervision, parts, supplies, materials, tools equipment, and transportation necessary to perform Door Repair, Maintenance, Replacement and Installation for all locations. Work to be performed under this contract will include, but is not limited to, the following: 1.repair, replacement and install of wood, hollow metal, acoustical, blast, fire rated, impact glass, stainless steel, roof access, aluminum, prefinished style, glass/aluminum storefront systems, revolving systems, sliding systems and their associated components. 2.all associated style hinge systems 3.all associated style mechanical, wireless, biometric, knobs, levers and locks 4.all associated key systems, exit devices, door closures/controls, holders, stops and mechanical accessories 5.re-key service 6.gates and gate entry and operator systems 7.mag lock systems 8.thresholds, sealing and weather-stripping 9.cost estimating B. The Contractor and all personnel assigned to this project shall have experience with the above listed systems and components. C. The Contractor shall inspect and diagnose prior to repairing or replacing doors and associated components. D. The Contractor shall be required to perform some services during afterhours or during emergencies. E. The Contractor shall respond to an emergency call within 2 hours unless otherwise agreed upon. F. The required services will be provided to the Contractor through a job/order or phone requests. Revised 6.20.18 G. The job/order will be issued after placing the phone requests. H. The Contractor shall provide an estimate based on the job/order. I. The estimates shall include labor and parts that are in accordance with the contract bid/ price schedule. J. The Contractor shall provide a payment bond if the job/order exceeds $50,000.00 and a performance bond if the job/order exceeds $100,000.00. K. The Contractor is responsible for obtaining permits through the City Development Services Department. L. The Contractor is responsible for making repairs or replacement of any material or equipment damaged by the Contractor’s staff. After completion of repairs, the Contractor shall report back to the Operation Superintendent or designee. If any item or equipment covered under this service agreement is deemed non- repairable, the Contractor shall immediately notify the Operation Superintendent by calling (361)510-1597. The Contractor shall provide assessments and make recommendations. 1.3 Service Call A. The Asset Management Staff will provide the job/order before commencement of services which must be signed by the City and the Contractor before the work begins. B. Job/order pricing will be based on unit costs outlined in the Bid/Priding Schedule. 1.4 Security Personnel The Contractor shall assure that all crews are fully and properly equipped to perform services promptly and safely without delay. All personnel assigned to this service agreement shall wear a uniform, including safety equipment and any company issued photo identification. Contractor’s employees working on site shall wear clothing with an identifiable logo bearing the name of the company visible from 15 feet always. All personnel shall be neatly dressed in shirts, safety shoes, and long pants. Shorts or torn clothing are unacceptable. The Contractor shall conduct background checks for all personnel before assigned to work under this agreement. 1.5 Recordkeeping The Contractor shall establish and maintain a log delineating complete and accurate records of all job/orders (repairs, parts, supplies and materials) for each location for the term of the Contract. The Contractor shall update the logs after each service defined in the Contract. The Repair Slip shall contain: 1.Site location of the equipment repaired 2.Details of work performed 3.List of materials that were replaced, and labor hours broken down by job title 4.Reference job/order number. Revised 6.20.18 1.6 Invoicing Each month, the Contractor shall submit the invoice plus a copy of the job/order for repair services to the City. Job/order shall include: 1.Work description, Purchase Order Number, Location and date of repairs 2.All hours billed, itemized by position and hourly rate for labor, overhead, profit and administrative costs. 3.Materials shall be provided to the City at Cost and allowable contract mark up The Contractor shall include copies of job/order as back-up for each invoice. Approval for payment shall be authorized by the Contract Administrator or Operation Superintendent. 1.7 Work Locations A. The Contractor shall perform routine and emergency door repair, maintenance and replacement services as needed at the following locations: BUILDING Address Zip Code 1 Health Department 1702 Horne Rd, Corpus Christi, TX 78416 2 City Hall 1201 Leopard St, Corpus Christi, TX 78401 3 Gas Department 4225 S Port Ave, Corpus Christi, TX 78415 4 Police Department 321 John Sartain St, Corpus Christi, TX 78401 5 Municipal Courts 321 John Sartain St, Corpus Christi, TX 78401 6 Frost Bank 2402 Leopard St, Corpus Christi, TX 78408 7 Water Department 2726 Holly Rd, Corpus Christi, TX 78415 8 Broadmoor Senior Center 1651 Tarlton St, Corpus Christi, TX 78415 9 Ethel Eyerly Senior Center 654 Graham Rd. Corpus Christi, TX 78418 10 Garden Senior Center 5325 Greely Dr, Corpus Christi, TX 78412 11 Greenwood Senior Center 4040 Greenwood Dr, Corpus Christi, TX 78416 12 Lindale Senior Center 3135 Swantner St, Corpus Christi, TX 78404 13 Northwest Senior Center 9725 Up River Rd, Corpus Christi, TX 78410 14 Oveal Williams Senior Center 1414 Martin Luther King Dr, CC, TX 78401 15 Zavala Senior Center 510 Osage St, Corpus Christi, TX 78405 16 La Retama Central Library 805 Comanche St, Corpus Christi, TX 78401 17 Garcia Public Library 5930 Brockhampton St, CC, TX 78414 18 Janeth Harte Public Library 2629 Waldron Rd, Corpus Christi, TX 78418 Revised 6.20.18 19 Hopkins Public Library 3202 McKenzie Rd, Corpus Christi, TX 78410 20 McDonalds Library 4044 Greenwood Dr, Corpus Christi, TX 78416 21 Neyland Public Library 1230 Carmel Pkwy, Corpus Christi, TX 78411 22 Joe Garza Recreation Center 3204 Highland Ave, Corpus Christi, TX 78405 23 Lindale Recreation Center 3133 Swantner St, Corpus Christi, TX 78404 24 Oak Park Recreation Center 842 Erwin Ave, Corpus Christi, TX 78408 25 Oso Recreation Center 1111 Bernice Dr, Corpus Christi, TX 78413 26 Solomon Coles Rec Center 924 Winnebago St, Corpus Christi, TX 78401 27 Science and History Museum 1900 N Chaparral St, Corpus Christi, TX 78401 28 Al Kruse Tennis Center 502 King St, Corpus Christi, TX 78401 29 HEB Pool Complex 1520 Shelly St, Corpus Christi, TX 78404 30 HEB Tennis Court 1520 Shelly St, Corpus Christi, TX 78404 31 Central Kitchen 4141 Old Brownsville Rd, CC, TX 78405 32 O N Stevens Plant 13101 Leopard St, Corpus Christi, TX 78410 33 Solid Waste Building 2525 Hygeia, Corpus Christi, TX 78415 34 Oso Waste Water Treatment Plant 501 Nile, Corpus Christi, TX 78412 35 Greenwood WWTP 6541 Greenwood Dr, Corpus Christi, TX 78417 36 Broadway WWTP 1402 W Broadway, Corpus Christi, TX 78401 37 Laguna Madre WWTP 201 Jester St, Corpus Christi, TX 78418 38 White Cap Waste WWTP 13409 White Cap St, Corpus Christi, TX 78418 39 Allison Waste Water Treatment Plant 4101 Allison St, Corpus Christi, TX 78410 40 Cefe Landfill 2397 Co.Rd.20, Robstown, TX 78380 41 J C Elliot Transfer Station 6594 Greenwood St, Corpus Christi, TX 78415 42 Unknown locations City Wide B. Special Instructions: 1.If the service personnel do not perform as required by this Agreement, the City has the right to reject the personnel and the Contractor is liable to deploy new personnel. Revised 6.20.18 2.The Contractor shall report to the Operation Superintendent or designee at the location upon arrival. 3.If the Contractor is required to leave the premises to obtain parts or other materials, the Operation Superintendent or designee must be notified. Working hours spent outside the premises will not be considered as billable hours. 4.The Contractor shall barricade or place cones around the work area before commencing services. The Contractor shall take special measures to safeguard the area while services are being performed. Contractor shall try to minimize any interference to the building occupants with the day to day operations. The Contractor shall be responsible for assuring the safety of its employees, City employees, and the public during performance of all services under this agreement. 5.The Contractor shall not store worn or defective parts on City premises at the end of the workday unless otherwise approved by the Operation Superintendent or designee. 6.The Contractor must clean work site from debris or hazardous items after completion of work. 7.The Contractor shall dispose of all worn/defective parts, oils, solvents, in accordance with all applicable laws, rules and regulations as to ensure the highest level of safety to the environment and public health. 1.8 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 ensure it complies with the contract requirements. 1.9 Warranty A. The Contractor shall warrant materials and workmanship against defects arising from faulty material, faulty workmanship for a period of 12 months following the final acceptance of the work and shall replace such defective materials or workmanship without cost to the City. B. Where items or equipment or material carry a manufacturer’s warranty for any period in excess of 12 months, then the manufacturer’s warranty shall apply for that piece of material or equipment. The Contractor shall replace such defective equipment or materials, without cost to the City, within the manufacturer’s warranty period. Attachment B- Bid/Pricing Schedule Note: The total amount shown above is for bid purposes only. The contract value is a predetermined amount established and published in the RFB as this is a job order contract. Attachment C – Insurance 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 policy by endorsement, and a waiver of subrogation endorsement is required on GL, AL, and WF 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 $1,000,000 Aggregate AUTO LIABILITY (including) 1.Owned 2.Hired and Non-Owned 3. Rented/Leased $1,000000 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 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. 2019 Insurance Requirements Facility and Property Management Automatic Doors Installation, Replacement, Maintenance, Service and Repairs 3/14/2019 sw Risk Management Attachment C – Bond Requirements Bonds will be required as outlined in the Scope of Work, Section 4: subsection 4.2; Repair and Replacement (J) Attachment D - Warranty Requirements A. The Contractor shall warrant materials and workmanship against defects arising from faulty material, faulty workmanship for a period of 12 months following the final acceptance of the work and shall replace such defective materials or workmanship without cost to the City. B. Where items or equipment or material carry a manufacturer’s warranty for any period in excess of 12 months, then the manufacturer’s warranty shall apply for that piece of material or equipment. The Contractor shall replace such defective equipment or materials, without cost to the City, within the manufacturer’s warranty period. Project No: E17117 1 SW/LH Legistar No.: 19-1355 Rev. 1 – 9/23/2019 AGENDA MEMORANDUM Action Item for the City Council Meeting of October 15, 2019 DATE:September 4, 2019 TO:Peter Zanoni, City Manager THRU:Mark Van Vleck, Assistant City Manager markvv@cctexas.com (361) 826-3082 FROM:Jeff H. Edmonds, P. E., Director of Engineering Services jeffreye@cctexas.com (361) 826-3851 Al Raymond, Director Development Services Department alraymond@cctexas.com (361) 826-3575 Kim Baker, Director of Contracts and Procurement kimb2@cctexas.com (361) 826-3169 CAPTION: Motion awarding a contract to Govind Development, LLC, to design levee improvements for the Salt Flats Levee Improvements project, located in City Council District 1, in the amount of $267,470, to begin upon issuance of notice to proceed, with funds available in the Type A Seawall Fund. PURPOSE: The purpose of this item is to approve the award of a professional services contract for the design of the Salt Flats Levee Improvements project. BACKGROUND AND FINDINGS: The Salt Flats Levee is an integral part of the downtown flood protection system consisting of the following elements: Salt Flats Levee, Port Authority Wharf, Promenade, Museum Floodwall, U.S. Army Corps of Engineers (USACE) Bulkhead, Seawall and two storm water pump stations located at Kinney Street and Power Street. Those elements function as a system to protect downtown and the SEA District from storm surge events. Engineering Design Contract Salt Flats Levee Improvements Project No: E17117 2 SW/LH Legistar No.: 19-1355 Rev. 1 – 9/23/2019 Improvements to Salt Flats Levee have been programmed in the Seawall Capital Improvement Plan (CIP) for a number of years. Coordination with the new Harbor Bridge and changes in FEMA policy have prevented the project from moving forward previously. In addition to enhancing the level of protection afforded by the downtown flood protection system, correcting deficiencies with the Salt Flats Levee will allow the City to challenge FEMA’s levee breach scenario. This professional service contract provides for engineering and design services to assess the deficiencies, recommended improvements and preparation of specifications, estimates, and related construction documents for Salt Flats Levee Improvements. Services also include topographic survey and subsurface utility condition investigations with bid and construction phase technical support. Govind Development, LLC, was selected through Request for Qualifications (RFQ) No. 2018-10. The selection committee consisted of one representative from Planning and two from Engineering Services. Salt Flats Levee was one of four projects that were announced under the Type A Category of the RFQ. Six firms submitted under the Transportation Category and four firms were selected. Govind Development, LLC was one of the highest ranked firms in the Type A category and they did not include a priority preference list in their submittal. Govind Development, LLC. was recommended as most qualified based on five factors: 1) experience of the firm, 2) experience of key personnel with specific experience with flood management projects, 3) project approach and management plan, 4) capacity to meet the project requirements and timelines, and 5) past performance. ALTERNATIVES The alternative would be to reject the bid and request the services by competitively bidding again. This would delay the project beyond the 2021 projected date of completion. TIMELINE O N D J F M A M J J A S O N D J F M A M J Design Bid Construction 2019 2020 2021 Projected Schedule reflects City Council award in October 2019 with anticipated construction completion in June 2021. FISCAL IMPACT On September 16, 2019, the Type A Board recommended City Council approval of this item. If approved, award of the contract to Govind Development, LLC, in the amount of $267,470 for design of levee improvements to the Salt Flats Levee project can begin upon a Notice to Proceed with funding approved and available in the Type A Seawall Fund. Funding Detail: Fund:Seawall System CIP (Fund 3271) Project No: E17117 3 SW/LH Legistar No.: 19-1355 Rev. 1 – 9/23/2019 Mission Elem: Seawall (ME 707) Project #: Salt Flats Levee Improvements (#E17117) Account:Outside Consultants (#550950) Activity: E17117-01-3271-EXP RECOMMENDATION: City Staff recommends City Council approve the design contract with Govind Development, LLC, for the Salt Flats Levee Improvements project in the amount of $267,470 so design work may begin. If the design contract is awarded in October 2019, it should be complete by July 2020. Construction would then begin December 2020 and be complete by June 2021. LIST OF SUPPORTING DOCUMENTS: Maps Presentation Contract 37 181 CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES PROJECT LOCATION N Salt Flats Levee Improvements Project Number: E17117LOCATION MAP NOT TO SCALE N CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Salt Flats Levee Improvements Project Number: E17117VICINITY MAP NOT TO SCALE Harbor Dr Bums StE Port RdStroman RdW Broadway St SALT FLATS LEVEE IMPROVEMENTS Contract for Professional Services Page 1 of 11 CITY OF CORPUS CHRISTI CONTRACT FOR PROFESSIONAL SERVICES FOR PROJECT (No./Name) E17117 - Salt Flats Levee Improvements 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 GOVIND DEVELOPMENT, LLC, 9510 Leopard Street, Corpus Christi, Nueces, Texas, 78410, (Consultant), hereby agree as follows: TABLE OF CONTENTS ARTICLE NO. TITLE PAGE ARTICLE I SCOPE OF SERVICES ...................................................................2 ARTICLE II QUALITY CONTROL .......................................................................3 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 ....................................................7 ARTICLE X OWNER REMEDIES .......................................................................7 ARTICLE XI CONSULTANT REMEDIES .............................................................8 ARTICLE XII CLAIMS AND DISPUTE RESOLUTION ..........................................8 ARTICLE XIII MISCELLANEOUS PROVISIONS ...................................................9 EXHIBITS Contract for Professional Services Page 2 of 11 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. The approved Scope of Services defines the services to be performed by Consultant under this Agreement. 1.2 Consultant shall follow City Codes and Standards effective at the time of the execution of the contract. At review milestones, the Consultant and City will review the progress of the plans to ensure that City Codes and Standards are followed 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. Upon request, Consultant must provide City with a list of all subconsultants that includes the services performed by subconsultant and the % of work performed by subconsultant (in dollars). Changes in Consultant’s proposed team as specified in the SOQ or Scope of Services 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 D. 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. 1.6.3 The Consultant agrees to assist the City in evaluating the qualifications of the prospective contractors, subcontractors and suppliers. 1.7 For projects that require subsurface utility investigation: 1.7.1 The Consultant agrees to prepare and submit to the City prior to the 60% submittal a signed and sealed report identifying all utilities within the project area at the Quality Level specified in Exhibits A and A- 1. It is assumed that all utilities will be identified using Quality Level A exploratory excavation unless stated otherwise. 1.7.2 Utilities that should be identified include but are not limited to utilities owned by the City, local franchises, electric companies, communication companies, private pipeline companies and 3rd party owners/operators. Contract for Professional Services Page 3 of 11 1.8 For project with potential utility conflicts: 1.8.1 The Consultant agrees to coordinate the verification and resolution of all potential utility conflicts. 1.8.2 The Consultant agrees to prepare and submit a monthly Utility Coordination Matrix to the City. 1.9 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. 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. 2.3 Final construction documents that do not meet City standards in effect at the time of the execution of this Agreement may be rejected. If final construction documents are found not to be in compliance with this Agreement, 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 $267,470.00. 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 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 in compliance with the Texas Prompt Payment Act. 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 Contract for Professional Services Page 4 of 11 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; 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. The right to suspend work under this provision does not relieve the City of its obligation to make payments in accordance with section 3.5 above for services provided up to the date of suspension. 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). 4.2 This service shall be for a period of ____ years beginning on the Effective Date. The Agreement may be renewed for up to _____ one-year renewal options 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 and conditions, 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 Contract for Professional Services Page 5 of 11 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 W ork 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 ten 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. 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. 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, 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. Contract for Professional Services Page 6 of 11 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. 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. Contract for Professional Services Page 7 of 11 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. 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 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 Contract for Professional Services Page 8 of 11 (4) Deadline for Consultant’s response. 10.3 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. 10.4 The City may withhold or nullify the whole or part of any payment as detailed in Article III. 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 Contract for Professional Services Page 9 of 11 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. 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. Contract for Professional Services Page 10 of 11 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 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 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 Independent Contractor. The relationship between the City and Consultant under this Agreement shall be that of independent contractor. City may explain to Consultant the City’s goals and objectives in regard to the services to be performed by Consultant, but the City shall not direct Consultant on how or in what manner these goals and objectives are to be met. 13.6 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. 13.7 No Third-Party Beneficiaries. Nothing in this Agreement can be construed to create rights in any entity other than the City and Consultant. Neither the City nor Consultant intends to create third party beneficiaries by entering into this Agreement. 13.8 Disclosure of Interest. Consultant agrees to comply with City of Corpus Christi Ordinance No. 17112 and complete the Disclosure of Interests form. 13.9 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. 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 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. 13.10 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. 13.11 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. 13.12 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, Govind Development, LLC Engineering Division 9510 Leopard Street Corpus Christi, TX 78410 T 361-241-2777 F 361-356-4384 Page 1 July 29, 2019 Sarah West, P.E. Director of Engineering Services City of Corpus Christi 1201 Leopard Street Corpus Christi, Texas 78401 SUBJECT: Engineering Services Contract Proposal RE: Salt Flats Levee Improvements City Project No. E17117 Dear Ms. West, Govind Development, LLC (GDL) appreciates the opportunity to support the important goal of providing professional engineering services for the Improvements at Salt Flats Levee Project. This proposal identifies items associated with the deliverables for Technical Memorandum, Engineering & Detailed Design and Construction Administration Services. Scope of Work: BASIC SERVICES Task 1: Technical Memorandum of Findings GDL is to provide a Technical Memorandum of Findings, with an Opinion of Probable Construction Cost (OPCC) and Engineering and Design recommendations for Task 1. Following is the summary of expected scope of work tasks: Participate in project kick-off meeting and agency coordination. Review of all previous studies and technical memorandums. Identify need of additional geotechnical investigation, if required, based on findings during review of the previously prepared Technical Memorandum and the currently available geotechnical reports. Location and condition of existing flap gates in the pipes will be identified. Condition of existing headwall/collar behind each flap gate will be inspected and evaluated. Determine approximate geometry of required concrete headwall. Prepare layout showing the required improvement of the levee system for the 100 year flood event. Prepare report narrating all findings with drawings and exhibits showing the location and types of repairs. Task 2: Engineering and Detailed design GDL to provide design plans, specifications and estimations for Task 2. EXHIBIT A Page 1 of 6 Govind Development, LLC Engineering Division 9510 Leopard Street Corpus Christi, TX 78410 T 361-241-2777 F 361-356-4384 Page 2  Prepare Procurement Documents (plans and specifications) for adjuring bids from prospective construction contractors. The Procurement Documents will include technical specifications, construction drawings, supporting appendices (including geotechnical data), general and special provisions, a proposal form and other standard contract forms supplied by the City. GDL will provide preliminary drawings and Table of Contents for the proposed technical specifications for the 60% design submittal. GDL will provide construction drawings and proposal packages to the City for interim and final review for the 100% and Final design submittals. Each submittal will comprise of a project checklist, Drawings Review Checklist and Plan Executive Summary. Following are the estimated plan sheets for the final set: 1) Cover Sheet 14) Typical Sections 3 2) General Notes and Legend 15) Typical Sections 4 3) Existing Site Plan 16) Typical Sections 5 4) Demolition Plan 17) Typical Details 1 5) Existing Sections and Details 1 18) Typical Details 2 6) Existing Sections and Details 2 19) Typical Details 3 7) Overall Project Layout 20) Typical Details 4 8) Enlarged Plan 1 21) Typical Details 5 9) Enlarged Plan 2 22) Misc. Sections & Details 1 10) Enlarged Plan 3 23) Misc. Sections & Details 2 11) Enlarged Plan 4 24) Misc. Sections & Details 3 12) Typical Sections 1 25) Misc. Sections & Details 4 13) Typical Sections 2 26) Misc. Sections & Details 5 GDL will coordinate with the City during the various review stages and provide clarification as needed. The 100% Procurement Documents submittal will serve as the final review package to the City and will be signed and sealed by a professional engineer only after incorporating City’s final review comments.  GDL will provide an opinion of probable construction cost (OPCC) that reflects the scope of construction for each (60%, 90%, 100% and Final) Procurement Documents submittal. The OPCC will include researching current market conditions for the anticipated methods and timing of construction and coordination with the City on project budget.  GDL will participate in the following meetings for Task 2 a) 60% Design Submittal Meeting b) 60% Design Review Meeting c) 90% Design Review Meeting d) 100% Design Review Meeting Task 3: Bidding-Phase Services GDL to assist the City during the bidding phase of the project for Task 3. EXHIBIT A Page 2 of 6 Govind Development, LLC Engineering Division 9510 Leopard Street Corpus Christi, TX 78410 T 361-241-2777 F 361-356-4384 Page 3  Assist the City in adjuration of bids by identification of prospective bidders, issuance of addenda and providing responses to technical questions from prospective contractors regarding bid documents.  Participate in pre-bid conference with prospective construction contractors and City staff.  Provide responses to questions asked during the pre-bid conference by preparing an addendum to the bid documents.  Participate in bid opening, furnish bid tabulation and assist the City in evaluating the qualifications of the prospective contractors, subcontractors and suppliers.  Furnish a letter of recommendation. Task 4: Construction Administration Services GDL to review the status of construction and contractor’s general compliance with the contract documents and engineering design intent through the construction phase of the project for Task 4.  Participate in a Pre-Construction Conference (PCC) with the City, the City’s designated owner’s authorized representative (OAR), and the selected Contractor.  GDL assumes to have 9 months (36 weeks) of general construction administration services to be provided for this project which includes, responding to RFI’s, issuing Engineer’s Supplemental Instruction (ESI) and Work Change Directives (i.e., Engineer’s Clarification-Interpretation) in accordance with the City’s established operations, as defined in the Contract Documents.  GDL will review and process the Contractor’s submittals, field and laboratory tests as may be required per the Contact Documents. In addition, GDL will review and process the Contractor’s initial Schedule of Values and proposed construction schedule.  GDL’s project manager or project engineer will perform site visit at least once a month, in addition, perform five (5) additional site visits for a total of (14) site visits during the active construction phase of the project (“active construction” is assumed to comprise of 9 months). Nine (9) of these site visits (or one per month) will comprise of combined site visits and general construction progress meetings with the Contractor, OAR and the City. The other five (5) site visits will be construction specific. During the site visits, GDL will observe general status of work and assist OAR with monitoring the general progress of the construction activities. Also, GDL to prepare site observation report for each of the site visits and minutes for each of the construction progress meetings.  Upon substantial progress of construction, GDL will perform a substantial completion inspection with OAR and the city based on a site visit and issue a check list for any remaining pending items. Following the contractor’s completion of the check list items, GDL will perform final inspection along with the city and OAR. GDL will then issue site observation reports for both inspections and prepare a Certificate of Substantial Completion and a Certificate of Final Completion to be signed by GDL, Contractor and the City. EXHIBIT A Page 3 of 6 Govind Development, LLC Engineering Division 9510 Leopard Street Corpus Christi, TX 78410 T 361-241-2777 F 361-356-4384 Page 4  Upon completion of the construction, GDL will obtain and review the “redline” drawings prepared by the Contractor and the City’s RPR for record. In addition, GDL will furnish the record drawings in AutoCAD and PDF format to the City. GDL will prepare a Close out Project Summary which will summarize all Change Orders issued by the City, including cause and cost. ADDITIONAL SERVICES Topographic Survey:  Perform topography survey of existing levee system. All soil losses due to erosion will be identified. Subsurface Utility Investigation:  Subsurface utility investigation will include all locating all drainage systems including nine (9) pipe penetrations, and providing closed circuit video inspections to identify the length and condition of drainage pipes, open joints and/or evidence of surrounding soil loss. Traffic Control Planning and Design (Allowance; written authorization required):  GDL will prepare traffic control plans at all road crossings to control traffic during construction. Warranty Phase (Allowance; written authorization required):  During the warranty phase period, GDL will furnish the engineering and project management assistance in conformance with City’s request. ASSUMPTIONS AND LIMITATIONS GDL’s proposal for the services and fee described herein is based on the following assumptions and limitations.  As the need for concrete headwall improvements at Station 7+00 or the nine (9) pipe penetrations has not yet been established, the level of effort needed (if any) for design of improvements for these elements is currently unknown. Additional field investigation and associated analysis will be performed to assess the stability of the headwall and pipe penetrations. If the repair design is necessary for these elements per the assessment, GDL would perform the design under a contract amendment. The scope proposed herein does not include this design.  GDL has not included the development of a formal design calculations summary package in the budget. GDL will prepare the design calculations package through a contract amendment if desired by the City.  The OPCC will be developed on the basis of GDL’s experience and qualifications, and will constitute our judgment as experienced and qualified professional engineers generally familiar with this industry. Nonetheless, as GDL has no control over the costs of labor, materials, equipment or services furnished by others, or over the contractor’s methods of determining prices, or over competitive bidding and market conditions, GDL cannot and does not guarantee that proposals, bids or actual project costs will match our OPCC. If the City desires greater EXHIBIT A Page 4 of 6 Govind Development, LLC Engineering Division 9510 Leopard Street Corpus Christi, TX 78410 T 361-241-2777 F 361-356-4384 Page 5 assurance on probable construction costs, consideration should be given to retaining an independent cost estimator.  The City will distribute Procurement Documents (construction bid packages) to prospective contractors and coordinate with commercial plan rooms.  City’s construction department will be responsible for contractor’s pay requests (invoices) and issues related to construction change orders without any assistance from GDL.  In case of the lowest responsible bidder’s bid exceeds the City’s project budget, GDL will confer with City staff on any desired revisions to the bid documents and will then negotiate a contract amendment for implementation of these revisions and associated re-bidding.  GDL’s scope does not include participation in, or presentation at, City Council or Type A or B Board meetings.  GDL understands that the City’s overall goals for this project are oriented on functional improvements to the higher-priority flooding vulnerabilities that were previously identified (if any), to the extent they can be accomplished within the City’s allocated budget. Design approach of the improvements will be in such a way that the City could support a future FEMA certification effort if the City eventually pursues certification, but as stand-alone improvements they will not necessarily accomplish everything required for certification. It is GDL’s understanding that the City recognizes that FEMA may not reduce their proposed flood depths, as shown on the preliminary FIRMs, for the downtown Bayfront area until the Salt Flats Levee and the museum retaining wall under City project E16319 have been certified. It is also GDL's understanding that the City is not requesting certification of the levee as a part of the current scope. The City is to provide all available Technical Memorandums and Studies prepared by the City and/or its consultants. Also required will be all available geotechnical reports and soil borings for existing levee system. Deliverables: The Technical Memorandum Package (Task 1) will include the following: o Topographic surveys information o List of recommendation findings from previous studies and GDL field surveys o Identify the improvements required o Identify need of regulatory permits o Preliminary Opinion of Probable Construction Cost (OPCC) o Site photographs o Demolition work design o Report narrating all findings and recommendations with exhibits and drawings o Submittal review meeting with City Staff The Engineering and Detailed Design Package (Tasks 2 and 3) will include the following: EXHIBIT A Page 5 of 6 Govind Development, LLC Engineering Division 9510 Leopard Street Corpus Christi, TX 78410 T 361-241-2777 F 361-356-4384 Page 6 o 60%, 90%, 100% and Final design submittals o OPCC for 60%, 90%, 100% and Final Procurement Documents o Submittal (60%, 90% and 100%) review meeting with the City o Participation in pre-bid conference and evaluation of qualifications of the contractors The Construction Administration Services (Tasks 4) will include the following: o Review and process submittals and RFI’s o Site visits o Site inspection reports Project Estimate: For the performance of Services authorized and the work based on the scope of work including all surveys, the following estimated Fee is on a Lump Sum basis: Basic Design Services $ 218,464 Additional Services $ 49,006 Project Estimate $ 267,470 Project Schedule We propose to furnish the discussed services within a period of 33 weeks from the written notice to proceed. Attached also are the Preliminary Schedule and the Summary of Fees for your review and approval. We look forward to your favorable consideration of this request. Kind Regards, Ajmer S. Kular, P.E. Vice President akular@govinddevelopment.com Govind Development, LLC – Engineering Division 9510 Leopard St. Corpus Christi, TX 78410 Attachments: 1) Preliminary Schedule 2) Summary of Fees EXHIBIT A Page 6 of 6 Basic Services: 1 Preliminary Phase $37,493.00 $37,493.00 2 Design Phase $155,360.00 $155,360.00 3 Bid Phase $9,078.00 $9,078.00 4 Construction Admin Phase $16,533.00 $16,533.00 Subtotal Basic Services $218,464.00 $218,464.00 Additional Services: 1 Permit Prepartion $0.00 $0.00 2 ROW Acquisition Survey $0.00 $0.00 3 Topographic Survey $11,924.00 $11,924.00 4 Environmental Issues $0.00 $0.00 5 Public Involvement $0.00 $0.00 6 Subsurface Utility Investigation (CCTV)$20,000.00 $20,000.00 7 Warranty Phase*$10,078.00 $10,078.00 8 Franchise Utility Coordination $0.00 $0.00 9 Hydraulic and Hydrologic Modeling and Analysis $0.00 $0.00 10 Traffic Control Planning and Design*$7,004.00 $7,004.00 Subtotal Additional Services $49,006.00 $49,006.00 Summary of Fees: Basic Services Fees $218,464.00 $218,464.00 Additional Services Fees $49,006.00 $49,006.00 Total Authorized Fees $267,470.00 $267,470.00 Council Approval Pending * Allowance; written authorization required SALT FLATS LEVEE IMPROVEMENTS CITY PROJECT NO. E17117 SUMMARY OF FEES Original Contract Total Contract EXHIBIT A-1 SUMMARY OF FEES Page 1 of 1 Salt Flats Levee Improvements City Project No. E17117 Project Schedule Date Activity 17-Sep-19 Notice to Proceed 14-Oct-19 Site Visit & Survey Info. 21-Oct-19 Permit & Photo Info. 29-Oct-19 Preliminary Improvements Design 4-Nov-19 OPCC & Recommendations 11-Nov-19 Task 1 - Technical Memorendum Submittal 2-Dec-19 Task 1 - Technical Memorendum Submittal Review 21-Jan-20 Task 2 -Engineering & Detail Design 60% Submittal 11-Feb-20 Task 2 -Engineering & Detail Design 60% Submittal Review 24-Mar-20 Task 2 -Engineering & Detail Design 90% Submittal 14-Apr-20 Task 2 -Engineering & Detail Design 90% Submittal Review 5-May-20 Task 2 -Engineering & Detail Design 100% Submittal 26-May-20 Task 2 -Engineering & Detail Design 100% Submittal Review 9-Jun-20 Task 2 -Engineering & Detail Design Final Submittal EXHIBIT A-2 SCHEDULE Page 1 of 1 Sample form for: Payment Request AE Contract Revised 02/01/17 COMPLETE PROJECT NAME Project No. XXXX Invoice No. 12345 Invoice Date 01/01/2017 Total Current Previous Total Remaining Percent Basic Services:Contract Amd No. 1 Amd No. 2 Contract Invoice Invoice Invoice Balance Complete Preliminary Phase $1,000.00 $0.00 $0.00 $1,000.00 $0.00 $1,000.00 $1,000.00 $0.00 100.0% Design Phase $2,000.00 $1,000.00 $0.00 $3,000.00 $1,000.00 $500.00 $1,500.00 $1,500.00 50.0% Bid Phase $500.00 $0.00 $250.00 $750.00 $0.00 $0.00 $0.00 $750.00 0.0% Construction Phase $2,500.00 $0.00 $1,000.00 $3,500.00 $0.00 $0.00 $0.00 $3,500.00 0.0% Subtotal Basic Services $6,000.00 $1,000.00 $1,250.00 $8,250.00 $1,000.00 $1,500.00 $2,500.00 $5,750.00 30.3% Additional Services: Permitting $2,000.00 $0.00 $0.00 $2,000.00 $500.00 $0.00 $500.00 $1,500.00 25.0% Warranty Phase $0.00 $1,120.00 $0.00 $1,120.00 $0.00 $0.00 $0.00 $1,120.00 0.0% Inspection $0.00 $0.00 $1,627.00 $1,627.00 $0.00 $0.00 $0.00 $1,627.00 0.0% Platting Survey TBD TBD TBD TBD TBD TBD TBD TBD TBD O & M Manuals TBD TBD TBD TBD TBD TBD TBD TBD TBD SCADA TBD TBD TBD TBD TBD TBD TBD TBD TBD Subtotal Additional Services $2,000.00 $1,120.00 $1,627.00 $4,747.00 $500.00 $0.00 $500.00 $4,247.00 10.5% Summary of Fees: Basic Services Fees $6,000.00 $1,000.00 $1,250.00 $8,250.00 $1,000.00 $1,500.00 $2,500.00 $5,750.00 30.3% Additional Services Fees $2,000.00 $1,120.00 $1,627.00 $4,747.00 $500.00 $0.00 $500.00 $4,247.00 10.5% Total of Fees $8,000.00 $2,120.00 $2,877.00 $12,997.00 $1,500.00 $1,500.00 $3,000.00 $9,997.00 23.1% Notes: If needed, update this sample form based on the contract requirements. If applicable, refer to the contract for information on what to include with time and materials (T&M).Exhibit BPage 1 of 1 Exhibit B-1 Confidential Rate Sheet Page 1 of 1 EXHIBIT B-1 CONFIDENTIAL RATE SHEET Rate sheets are confidential pursuant to section 552.104 of the Texas Government Code since release of this information would give advantage to a competitor or bidder. In addition, section 552.110 of the TX Govt. Code protects third party commercial and financial information if release of the information would cause the third party substantial competitive harm. Final determination of confidentiality will be made by the Texas Attorney General. DOCUMENTATION OF PROVISIONAL / OVERHEAD RATES: Overhead rate documentation has been provided to the City of Corpus Christi and was utilized in reviewing and approving the loaded hourly rates below. PRINCIPALS: The Consultant must provide documentation with each payment request that clearly indicates how a Principal’s time is allocated and the justification for that allocation. PRINCIPAL(S): HOURLY RATE ($/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. 1 Rev 04/17 EXHIBIT C Insurance Requirements 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. 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 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 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 $500,000 Combined Single Limit 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 2 Rev 04/17 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 In the event of a change in insurance coverage, Consultant shall be required to submit a copy of the replacement certificate of insurance to City at the address provided below within 10 business days of said change. Consultant shall pay any costs 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 List the City and its officers, officials, employees and elected representatives as additional insured by endorsement, as respects operations, completed operation and activities of, or on behalf of, the named insured performed under contract with the City with the exception of the professional liability/Errors & Omissions policy; 1.6.2 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; 1.6.3 If the policy is cancelled, other than for nonpayment of premium, notice of such cancellation will be provided at least 30 days in advance of the cancellation effective date to the certificate holder; 1.6.4 If the policy is cancelled for nonpayment of premium, notice of such cancellation will be provided within 10 days of the cancellation effective date to the certificate holder. 1.7 Within five (5) calendar days of a suspension, cancellation or non-renewal of 3 Rev 04/17 coverage, Consultant shall notify City of such lapse in coverage and 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 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. 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, Physical and Hazardous Environmental Conditions .............. 9 Article 6 – Bonds and Insurance ................................................................................................................. 10 Article 7 – Contractor’s Responsibilities ..................................................................................................... 10 Article 8 – Other Work at the Site ............................................................................................................... 10 Article 9 – Owner’s and OPT’s Responsibilities ........................................................................................... 10 Article 10 – OAR’s and Designer’s Status During Construction .................................................................. 11 Article 11 – Amending the Contract Documents; Changes in the Work .................................................... 13 Article 12 – Change Management .............................................................................................................. 13 Article 13 – Claims ....................................................................................................................................... 14 Article 14 – Prevailing Wage Rate Requirements ....................................................................................... 16 Article 15 – Cost of the Work; Allowances; Unit Price Work ...................................................................... 16 Article 16 – Tests and Inspections; Correction, Removal, or Acceptance of Defective Work .................... 16 Article 17 – Payments to Contractor; Set-Offs; Completion; Correction Period ........................................ 16 Article 18 – Suspension of Work and Termination ..................................................................................... 16 Article 19 – Project Management ............................................................................................................... 16 Article 20 – Project Coordination ................................................................................................................ 16 Article 21 – Quality Management ............................................................................................................... 17 Article 22 – Final Resolution of Disputes .................................................................................................... 17 Article 23 – Minority/MBE/DBE Participation Policy .................................................................................. 17 Article 24 – Document Management .......................................................................................................... 17 Article 25 – Shop Drawings ......................................................................................................................... 17 Article 26 – Record Data ............................................................................................................................. 20 Article 27 – Construction Progress Schedule .............................................................................................. 21 Article 28 – Video and Photographic documentation ................................................................................ 21 Article 29 – Execution and Closeout ........................................................................................................... 21 Article 30 – Miscellaneous .......................................................................................................................... 22 Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 1 of 22 ARTICLE 1 – DEFINITIONS AND TERMINOLOGY 1.01 Defined Terms A.Terms with initial capital letters, including the term’s singular and plural forms, have the meanings 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. 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; Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 2 of 22 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. §§5101 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. 21. Contract Times - The number of days or the dates by which Contractor must: a. Achieve specified Milestones; Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 3 of 22 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 15. 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 17.12 or 17.13. 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, Registered Architects or Registered Landscape 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. 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 4 of 22 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. 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. The Progress Schedule must be a Critical Path Method (CPM) Schedule. 44. Project - The total undertaking to be accomplished for Owner under the Contract Documents. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 5 of 22 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; 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, Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 6 of 22 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. 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 7 of 22 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 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 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 8 of 22 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 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 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 9 of 22 5.05 Underground Facilities 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 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 10 of 22 9.06 Insurance 9.07 Modifications 9.08 Inspections, Tests, and Approvals A. OPT’s responsibility with respect to certain inspections, tests, and approvals are described in Paragraph 16.02. 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 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 11 of 22 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 16. OAR is to issue a Defective Work Notice to Contractor and document when Defective Work has been corrected or accepted in accordance with Article 16. 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 Article 11. D. OAR’s authority related to Applications for Payment is described in Articles 15 and 17. 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 16.04, 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. 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 12 of 22 ARTICLE 11 – AMENDING THE CONTRACT DOCUMENTS; CHANGES IN THE WORK ARTICLE 12 – CHANGE MANAGEMENT 12.01 Requests for Change Proposal A. Designer will initiate Modifications by issuing a Request for a Change Proposal (RCP). 1. Designer will prepare a description of proposed Modifications. 2. Designer will issue the Request for a Change Proposal form to Contractor. A number will be assigned to the Request for a Change Proposal when issued. 3. Return a Change Proposal in accordance with Paragraph 12.02 to the Designer for evaluation by the OPT. 12.02 Change Proposals A. Submit a Change Proposal (CP) to the Designer for Contractor initiated changes in the Contract Documents or in response to a Request for Change Proposal. 1. Use the Change Proposal form provided. 2. Assign a number to the Change Proposal when issued. 3. Include with the Change Proposal: a. A complete description of the proposed Modification if Contractor initiated or proposed changes to the OPT’s description of the proposed Modification. b. The reason the Modification is requested, if not in response to a Request for a Change Proposal. c. A detailed breakdown of the cost of the change if the Modification requires a change in Contract Price. The itemized breakdown is to include: 1) List of materials and equipment to be installed; 2) Man hours for labor by classification; 3) Equipment used in construction; 4) Consumable supplies, fuels, and materials; 5) Royalties and patent fees; 6) Bonds and insurance; 7) Overhead and profit; 8) Field office costs; 9) Home office cost; and 10) Other items of cost. d. Provide the level of detail outlined in the paragraph above for each Subcontractor or Supplier actually performing the Work if Work is to be provided by a Subcontractor or Supplier. Indicate appropriate Contractor mark-ups for Work Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 13 of 22 provided through Subcontractors and Suppliers. Provide the level of detail outline in the paragraph above for self-performed Work. e. Submit Change Proposals that comply with Article 15 for Cost of Work. f. Provide a revised schedule. Show the effect of the change on the Project Schedule and the Contract Times. B. Submit a Change Proposal to the Designer to request a Field Order. C. A Change Proposal is required for all substitutions or deviations from the Contract Documents. D. Request changes to products in accordance with Article 25. 12.03 Designer Will Evaluate Request for Modification A. Designer will issue a Modification per Article 11 if the Change Proposal is acceptable to the Owner. Designer will issue a Change Order or Contract Amendment for any changes in Contract Price or Contract Times. 1. Change Orders and Contract Amendments will be sent to the Contractor for execution with a copy to the Owner recommending approval. A Work Change Directive may be issued if Work needs to progress before the Change Order or Contract Amendment can be authorized by the Owner. 2. Work Change Directives, Change Orders, and Contract Amendments can only be approved by the Owner. a. Work performed on the Change Proposal prior to receiving a Work Change Directive or approval of the Change Order or Contract Amendment is performed at the Contractor’s risk. b. No payment will be made for Work on Change Orders or Contract Amendments until approved by the Owner. B. The Contractor may be informed that the Request for a Change Proposal is not approved and construction is to proceed in accordance with the Contract Documents. ARTICLE 13 – CLAIMS 13.01 Claims 13.02 Claims Process A. Claims must be initiated by written notice. Notice must conspicuously state that it is a notice of a Claim in the subject line or first sentence. Notice must also list the date of first occurrence of the claimed event. B. Claims by Contractor must be in writing and delivered to the Owner, Designer and the OAR within 7 days: 1. After the start of the event giving rise to the Claim; or 2. After a final decision on a Change Proposal has been made. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 14 of 22 C. Claims by Contractor that are not received within the time period provided by section 13.02(B) are waived. Owner may choose to deny such Claims without a formal review. Any Claims by Contractor that are not brought within 90 days following the termination of the Contract are waived and shall be automatically deemed denied. D. Claims by Owner must be submitted by written notice to Contractor. E. The responsibility to substantiate a Claim rests with the entity making the Claim. Claims must contain sufficient detail to allow the other party to fully review the Claim. 1. Claims seeking an adjustment of Contract Price must include the Contractor’s job cost report. Provide additional documentation as requested by OAR. 2. Claims seeking an adjustment of Contract Time must include native schedule files in Primavera or MS Project digital format. Provide additional documentation as requested by OAR. F. Contractor must certify that the Claim is made in good faith, that the supporting data is accurate and complete, and that to the best of Contractor’s knowledge and belief, the relief requested accurately reflects the full compensation to which Contractor is entitled. G. Claims by Contractor against Owner and Claims by Owner against Contractor, including those alleging an error or omission by Designer but excluding those arising under Section 7.12, shall be referred initially to Designer for consideration and recommendation to Owner. H. Designer may review a Claim by Contractor within 30 days of receipt of the Claim and take one or more of the following actions: 1. Request additional supporting data from the party who made the Claim; 2. Issue a recommendation; 3. Suggest a compromise; or 4. Advise the parties that Designer is not able to make a recommendation due to insufficient information or a conflict of interest. I. If the Designer does not take any action, the claim shall be deemed denied. J. The Contractor and the Owner shall seek to resolve the Claim through the exchange of information and direct negotiations. If no agreement is reached within 90 days, the Claim shall be deemed denied. The Owner and Contractor may extend the time for resolving the Claim by mutual agreement. Notify OAR of any actions taken on a Claim. K. Owner and Contractor may mutually agree to mediate the underlying dispute at any time after a recommendation is issued by the Designer. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 15 of 22 ARTICLE 14 – PREVAILING WAGE RATE REQUIREMENTS ARTICLE 15 – COST OF THE WORK; ALLOWANCES; UNIT PRICE WORK ARTICLE 16 – TESTS AND INSPECTIONS; CORRECTION, REMOVAL, OR ACCEPTANCE OF DEFECTIVE WORK ARTICLE 17 – PAYMENTS TO CONTRACTOR; SET-OFFS; COMPLETION; CORRECTION PERIOD ARTICLE 18 – SUSPENSION OF WORK AND TERMINATION ARTICLE 19 – PROJECT MANAGEMENT ARTICLE 20 – PROJECT COORDINATION 20.01 Work Included 20.02 Document Submittal 20.03 Communication During Project A. The OAR is to be the first point of contact for all parties on matters concerning this Project. B. The Designer will coordinate correspondence concerning: 1. Documents, including Applications for Payment. 2. Clarification and interpretation of the Contract Documents. 3. Contract Modifications. 4. Observation of Work and testing. 5. Claims. 20.04 Requests for Information A. Submit Request for Information (RFI) to the Designer to obtain additional information or clarification of the Contract Documents. 1. Submit a separate RFI for each item on the form provided. 2. Attach adequate information to permit a written response without further clarification. Designer will return requests that do not have adequate information to the Contractor for additional information. Contractor is responsible for all delays resulting from multiple document submittals due to inadequate information. 3. A response will be made when adequate information is provided. Response will be made on the RFI form or in attached information. B. Response to an RFI is given to provide additional information, interpretation, or clarification of the requirements of the Contract Documents, and does not modify the Contract Documents. C. Designer will initiate a Request for a Change Proposal (RCP) per Article 12 if the RFI indicates that a Contract Modification is required. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 16 of 22 ARTICLE 21 – QUALITY MANAGEMENT ARTICLE 22 – FINAL RESOLUTION OF DISPUTES ARTICLE 23 – MINORITY/MBE/DBE PARTICIPATION POLICY ARTICLE 24 – DOCUMENT MANAGEMENT ARTICLE 25 – SHOP DRAWINGS 25.01 Work Included A. Shop Drawings are required for those products that cannot adequately be described in the Contract Documents to allow fabrication, erection, or installation of the product without additional detailed information from the Supplier. B. Submit Shop Drawings as required by the Contract Documents and as reasonably requested by the OPT to: 1. Record the products incorporated into the Project for the Owner; 2. Provide detailed information for the products proposed for the Project regarding their fabrication, installation, commissioning, and testing; and 3. Allow the Designer to advise the Owner if products proposed for the Project by the Contractor conform, in general, to the design concepts of the Contract Documents. 25.02 Quality Assurance 25.03 Contractor’s Responsibilities 25.04 Shop Drawing Requirements A. Provide adequate information in Shop Drawings and Samples so Designer can: 1. Assist the Owner in selecting colors, textures, or other aesthetic features. 2. Compare the proposed features of the product with the specified features and advise Owner that the product does, in general, conform to the Contract Documents. 3. Compare the performance features of the proposed product with those specified and advise the Owner that the product does, in general, conform to the performance criteria specified in the Contract Documents. 4. Review required certifications, guarantees, warranties, and service agreements for compliance with the Contract Documents. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 17 of 22 25.05 Special Certifications and Reports 25.06 Warranties and Guarantees 25.07 Shop Drawing Submittal Procedures 25.08 Sample and Mockup Submittal Procedures 25.09 Requests for Deviation 25.10 Designer Responsibilities A. Shop Drawings will be received by the Designer. Designer will log the documents and review per this Article for general conformance with the Contract Documents. 1. Designer’s review and approval will be only to determine if the products described in the Shop Drawing or Sample will, after installation or incorporation into the Work, conform to the information given in the Contract Documents and be compatible with the design concept of the completed Project as a functioning whole as indicated by the Contract Documents. 2. Designer’s review and approval will not extend to means, methods, techniques, sequences, or procedures of construction or to safety precautions or programs incident thereto. 3. Designer’s review and approval of a separate item as such will not indicate approval of the assembly in which the item functions. B. Comments will be made on items called to the attention of the Designer for review and comment. Any marks made by the Designer do not constitute a blanket review of the document submittal or relieve the Contractor from responsibility for errors or deviations from the Contract requirements. 1. Designer will respond to Contractor’s markups by either making markups directly in the Shop Drawings file using the color green or by attaching a Document Review Comments form with review comments. 2. Shop Drawings that are reviewed will be returned with one or more of the following status designations: a. Approved: Shop Drawing is found to be acceptable as submitted. b. Approved as Noted: Shop Drawing is Approved so long as corrections or notations made by Designer are incorporated into the Show Drawing. c. Not Approved: Shop Drawing or products described are not acceptable. 3. Shop Drawing will also be designated for one of the following actions: a. Final distribution: Shop Drawing is acceptable without further action and has been filed as a record document. b. Shop Drawing not required: A Shop Drawing was not required by the Contract Documents. Resubmit the document per Article 26. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 18 of 22 c. Cancelled: This action indicates that for some reason, the Shop Drawing is to be removed from consideration and all efforts regarding the processing of that document are to cease. d. Revise and resubmit: Shop Drawing has deviations from the Contract Documents, significant errors, or is inadequate and must be revised and resubmitted for subsequent review. e. Resubmit with corrections made: Shop Drawing is “Approved as Noted,” but has significant markups. Make correction and notations to provide a revised document with markup incorporated into the original document so that no markups are required. f. Returned without review due to excessive deficiencies: Document does not meet the requirement of the Specifications for presentation or content to the point where continuing to review the document would be counterproductive to the review process or clearly does not meet the requirements of the Contract Documents. Revise the Shop Drawing to comply with the requirements of this Section and resubmit. g. Actions a through c will close out the Shop Drawing review process and no further action is required as a Shop Drawing. Actions d through f require follow up action to close out the review process. 4. Drawings with a significant or substantial number of markings by the Contractor may be marked “Approved as Noted” and “Resubmit with corrections made.” These drawings are to be revised to provide a clean record of the Shop Drawing. Proceed with ordering products as the documents are revised. 5. Dimensions or other data that does not appear to conform to the Contract Documents will be marked as “At Variance With” (AVW) the Contract Documents or other information provided. The Contractor is to make revisions as appropriate to comply with the Contract Documents. C. Bring deviations to the Shop Drawings to the attention of the Designer for approval by using the Shop Drawing Deviation Request form. Use a single line for each requested deviation so the Status and Action for each deviation can be determined for that requested deviation. If approval or rejection of a requested deviation will impact other requested deviations, then all related deviations should be included in that requested deviation line so the status and action can be determined on the requested deviation as a whole. D. Requested deviations will be reviewed as possible Modification to the Contract Documents. 1. A Requested deviation will be rejected as “Not Approved” if the requested deviation is unacceptable. Contractor is to revise and resubmit the Shop Drawing with corrections for approval. 2. A Field Order will be issued by the Designer for deviations approved by the Designer if the requested deviation is acceptable and if the requested deviation will not result in a change in Contract Price or Contract Times. Requested deviations from the Contract Documents may only be approved by Field Order. 3. A requested deviation will be rejected if the requested deviation is acceptable but the requested deviation will or should result in a change in Contract Price or Contract Times. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 19 of 22 Submit any requested deviation that requires a change in Contract Price or Contract Times as a Change Proposal for approval prior to resubmitting the Shop Drawing. E. Contractor is to resubmit the Shop Drawing until it is acceptable and marked Approved or Approved as Noted and is assigned an action per Paragraph 25.10.B that indicates that the Shop Drawing process is closed. F. Information that is submitted as a Shop Drawings that should be submitted as Record Data or other type of document, or is not required may be returned without review, or may be deleted. No further action is required and the Shop Drawing process for this document will be closed. ARTICLE 26 – RECORD DATA 26.01 Work Included 26.02 Quality Assurance 26.03 Contractor’s Responsibilities 26.04 Record Data Requirements 26.05 Special Certifications and Reports 26.06 Warranties and Guarantees 26.07 Record Data Submittal Procedures 26.08 Designer’s Responsibilities A. Record Data will be received by the Designer, logged, and provided to Owner as the Project record. 1. Record Data may be reviewed to see that the information provided is adequate for the purpose intended. Record Data not meeting the requirements of Paragraph 26.02 may be rejected as unacceptable. 2. Record Data is not reviewed for compliance with the Contract Documents. Comments may be returned if deviations from the Contract Documents are noted during the cursory review performed to see that the information is adequate. 3. Contractor’s responsibility for full compliance with the Contract Documents is not relieved by the review of Record Data. Contract modifications can only be approved by a Modification. B. Designer may take the following action in processing Record Data: 1. File Record Data as received if the cursory review indicates that the document meets the requirements of Paragraph 26.02. Document will be given the status of “Filed as Received” and no further action is required on that Record Data. 2. Reject the Record Data for one of the following reasons: a. The document submittal requirements of the Contract Documents indicate that the document submitted as Record Data should have been submitted as a Shop Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 20 of 22 Drawing. The Record Data will be marked “Rejected” and “Submit Shop Drawing.” No further action is required on this document as Record Data and the Record Data process will be closed. Resubmit the document as a Shop Drawing per Article 25. b. The cursory review indicates that the document does not meet the requirements of Paragraph 26.02. The Record Data will be marked “Rejected” and “Revise and Resubmit.” Contractor is to resubmit the Record Data until it is acceptable and marked “Filed as Received.” When Record Data is filed, no further action is required and the Record Data process will be closed. c. The Record Data is not required by the Contract Documents nor is the Record Data applicable to the Project. The Record Data will be marked “Rejected” and “Cancel - Not Required.” No further action is required and the Record Data process will be closed. C. Contractor is to resubmit the Record Data until it is acceptable and marked “Filed as Received.” ARTICLE 27 – CONSTRUCTION PROGRESS SCHEDULE ARTICLE 28 – VIDEO AND PHOTOGRAPHIC DOCUMENTATION ARTICLE 29 – EXECUTION AND CLOSEOUT 29.01 Substantial Completion A. Notify the Designer that the Work or a designated portion of the Work is substantially complete per the General Conditions. Include a list of the items remaining to be completed or corrected before the Project will be considered to be complete. B. OPT will visit the Site to observe the Work within a reasonable time after notification is received to determine the status of the Project. C. Designer will notify the Contractor that the Work is either substantially complete or that additional Work must be performed before the Project will be considered substantially complete. 1. Designer will notify the Contractor of items that must be completed before the Project will be considered substantially complete. 2. Correct the noted deficiencies in the Work. 3. Notify the Designer when the items of Work in the Designer’s notice have been completed. 4. OPT will revisit the Site and repeat the process. 5. Designer will issue a Certificate of Substantial Completion to the Contractor when the OPT considers the Project to be substantially complete. The Certificate will include a tentative list of items to be corrected before Final Payment will be recommended. 6. Review the list and notify the Designer of any objections to items on the list within 10 days after receiving the Certificate of Substantial Completion. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 21 of 22 29.02 Final Inspections A. Notify the Designer when: 1. Work has been completed in compliance with the Contract Documents; 2. Equipment and systems have been tested per Contract Documents and are fully operational; 3. Final Operations and Maintenance Manuals have been provided to the Owner and all operator training has been completed; 4. Specified spare parts and special tools have been provided; and 5. Work is complete and ready for final inspection. B. OPT will visit the Site to determine if the Project is complete and ready for Final Payment within a reasonable time after the notice is received. C. Designer will notify the Contractor that the Project is complete or will notify the Contractor that Work is Defective. D. Take immediate steps to correct Defective Work. Notify the Designer when Defective Work has corrected. OPT will visit the Site to determine if the Project is complete and the Work is acceptable. Designer will notify the Contractor that the Project is complete or will notify the Contractor that Work is Defective. E. Submit the Request for Final Payment with the closeout documents described in Paragraph 29.06 if notified that the Project is complete and the Work is acceptable. ARTICLE 30 – MISCELLANEOUS END OF SECTION Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 22 of 22 Council Presentation October 15, 2019 Salt Flats Levee Improvements 1 2 Project Location 3 Downtown Flood Protection City of Corpus Christi’s Downtown Flood Protection System consists of: Salt Flats Levee Port Wharf Museum/USACE Flood Wall Seawall Breakwater Drainage Pumping Stations LEGEND Salt Flats Levee Port Wharf Floodwall Seawall Breakwater Pump Stations 4 Downtown Flood Protection Downtown Protected Area 5 Project Scope This project provides engineering and design address the greatest system vulnerabilities and to ensure a functional level of protection for the Salt Flats Levee. The scope is summarized below: •Detailedanalysisprevious investigations and reports •Detailed site investigations and recommendations to ensure the sustainabilityof the Levee •Construction sequencing and temporary traffic control planning •Prepare detailedconstruction documents •Bid and ConstructionPhase technicalsupport •Public outreach •Prepare and submit final As-Built drawingsto the City 6 Project Schedule Projected Schedule reflects City Council award in October 2019 with anticipated construction completion in June 2021. O N D J F M A M J J A S O N D J F M A M J Design Bid Construction 2019 2020 2021 Project No: 18020A 1 SW Legistar No.: 19-1137 Rev. 4 – 09/30/19 AGENDA MEMORANDUM Action Item for the City Council Meeting of October 15, 2019 DATE:August 9, 2019 TO:Peter Zanoni, City Manager THRU:Mark Van Vleck, Assistant City Manager markvv@cctexas.com (361) 826-3082 FROM:Jeff H. Edmonds, P. E., Director of Engineering Services jeffreye@cctexas.com (361) 826-3851 Albert Quintanilla, P. E., Director of Street Operations albertq@cctexas.com (361) 826-1957 Kim Baker, Director of Contracts and Procurement kimb2@cctexas.com (361) 826-3169 CAPTION: Motion awarding a contract to LNV, Inc., for the design of roadway and utility improvements on Gollihar Road from Greenwood Drive to Crosstown Expressway, in City Council District 3, in the amount of $568,065, effective upon issuance of notice to proceed, with funding available from Bond 2018, Proposition A, and Utility Capital Program funds. SUMMARY: This contract provides for design, bid, and construction phase services for the reconstruction of Gollihar Road from Greenwood Drive to Crosstown Expressway with traffic signal and illumination upgrades, underground utility improvements with new sidewalk, ADA ramps, curb & gutter, and street lighting. BACKGROUND AND FINDINGS: Gollihar Road from Greenwood Drive to Crosstown Expressway is an asphalt roadway with existing curb & gutter, sidewalks and driveways that are in poor condition. The roadway width varies from 4-lanes between Greenwood Drive and Prescott Street, and 5-lanes between Prescott Street and Crosstown Expressway. The underground utility systems are nearing the end of their economic life and require improvements. Professional Services Contract Award Gollihar Road from Greenwood Drive to Crosstown Expressway Project No: 18020A 2 SW Legistar No.: 19-1137 Rev. 4 – 09/30/19 This contract provides for the design and construction plan preparation for reconstructing the existing roadway with new pavement, curb & gutter, sidewalks, ADA ramps, signage, and pavement markings. Utility improvements include upgrades to water and storm water systems, with minor adjustments to wastewater and gas. PROJECT TIMELINE: O N D J F M A M J J A S O N D J F M A M J J A S O N D Bid 2020 Construction 2021 Design 2019 COMPETITIVE SOLICITATION PROCESS LNV was selected for the Bond 2018 Gollihar Road project in February 2019 under RFQ 2018- 10. Gollihar Road was one of thirty-two selections that were announced under the Transportation Category of the RFQ. Fifteen firms submitted under the Transportation Category and thirteen firms were selected. LNV was one of the highest ranked firms in the Transportation Category and the Gollihar project was their second highest stated preference. The selection committee consisted of two representatives from the Street Department and two representatives from Engineering Services. Firms were ranked based on five factors: 1) experience of the firm, 2) experience of the key personnel with specific experience with multiple Bond street programs and local utilities, 3) project approach and management plan, 4) capacity to meet the project requirements and timelines, and 5) past performance. ALTERNATIVES: Any alternative to awarding the contract to LNV, Inc. will delay the reconstruction of the project and impede Council goals of completing Bond 2018 street projects in a timely manner and within budget. FISCAL IMPACT: The project is a Bond 2018, Proposition A project approved by city voters in November 2018. This item will award a contract for design, bid and construction phase services to LNV, Inc., for roadway and utility improvements on Gollihar Road from Greenwood Drive to Crosstown Expressway, located in City Council District 3, in the amount of $568,065, effective upon issuance of notice to proceed, with funding available from Bond 2018, Proposition A and Utility Capital Program funds. Street Funding is located in Bond 2018 Proposition A in the amount of $294,166. The water, wastewater and storm water utilities total $273,899 for a contract value of $568,065. FUNDING DETAIL: Fund:Street Bond 2019 Bond 18 Proposition A (Fund 3556) Mission Elem: Street Pavement Maintenance (ME 051) Project No.: Gollihar Road from Greenwood Drive to Crosstown Expressway (Proj 18020A) Account: Outside Consultants (Account #550950) Activity: 18020-A-3556-EXP Fund:Storm Water Capital Reserve (Fund 4540) Mission Elem: Drainage Infrastructure (ME 043) Project No: 18020A 3 SW Legistar No.: 19-1137 Rev. 4 – 09/30/19 Project No.: Gollihar Road from Greenwood Drive to Crosstown Expressway (Proj 18020A) Account: Outside Consultants (Account #550950) Activity: 18020-A-4540-EXP Fund:Water 2012A Revenue Bond (Fund 4089) Mission Elem: Distribute Water (ME 041) Project No.: Gollihar Road from Greenwood Drive to Crosstown Expressway (Proj 18020A) Account: Outside Consultants (Account #550950) Activity: 18020-A-4089-EXP Fund:Wastewater Capital Reserve (Fund 4510) Mission Elem: Wastewater Collection System (ME 042) Project No.: Gollihar Road from Greenwood Drive to Crosstown Expressway (Proj 18020A) Account: Outside Consultants (Account #550950) Activity: 18020-A-3556-EXP RECOMMENDATION: Staff recommends award of the Contract to LNV, Inc., in the amount of $568,065. The design phase will start in October 2019 with completion planned in May 2020. The construction is planned to start in the summer of 2020 with completion in late 2021. LIST OF SUPPORTING DOCUMENTS: Location Map Contract 37 181 N CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Gollihar Road - Greenwood Drive to Crosstown Expressway LOCATION MAP NOT TO SCALE Project Number: 18020A Project Location N CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Gollihar Road - Greenwood Drive to Crosstown Expressway VICINITY MAP NOT TO SCALE Project Number: 18020A Go l l i h a r R d .Crosstown ExpresswayGreenwood Dr.Mo o d y H i g h S c h o o l W Point Rd. Gollihar Road - Greenwood Drive to Crosstown Expressway Ga r c i a Ele m e n t a r y S c h o o l Contract for Professional Services Page 1 of 12 K:\Engineering Projects Data Management\18020A Gollihar Rd - Greenwood to Crosstown Expwy\6. Project Agenda CITY OF CORPUS CHRISTI CONTRACT FOR PROFESSIONAL SERVICES Project: 18020A Gollihar Rd (Greenwood to Crosstown Expressway) 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 LNV, Inc., a Texas corporation, 801 Navigation, Suite 300, Corpus Christi, Nueces County, Texas 78408, (Consultant), hereby agree as follows: TABLE OF CONTENTS ARTICLE NO. TITLE PAGE ARTICLE I – SCOPE OF SERVICES ..............................................................................2 ARTICLE II – QUALITY CONTROL .................................................................................3 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 .............................................................7 ARTICLE X – OWNER REMEDIES .................................................................................7 ARTICLE XI – CONSULTANT REMEDIES .....................................................................8 ARTICLE XII – CLAIMS AND DISPUTE RESOLUTION ..................................................8 ARTICLE XIII – MISCELLANEOUS PROVISIONS ..........................................................9 Contract for Professional Services Page 2 of 12 K:\Engineering Projects Data Management\18020A Gollihar Rd - Greenwood to Crosstown Expwy\6. Project Agenda 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. The approved Scope of Services defines the services to be performed by Consultant under this Agreement. 1.2 Consultant shall follow City Codes and Standards effective at the time of the execution of the contract. At review milestones, the Consultant and City will review the progress of the plans to ensure that City Codes and Standards are followed 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. Upon request, Consultant must provide City with a list of all subconsultants that includes the services performed by subconsultant and the % of work performed by subconsultant (in dollars). Changes in Consultant’s proposed team as specified in the SOQ or Scope of Services 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 D. 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. 1.6.3 The Consultant agrees to assist the City in evaluating the qualifications of the prospective contractors, subcontractors and suppliers. 1.7 For projects that require subsurface utility investigation: 1.7.1 The Consultant agrees to prepare and submit to the City prior to the 60% submittal a signed and sealed report identifying all utilities within the project area at the Quality Level specified in Exhibits A and A- 1. It is assumed that all utilities will be identified using Quality Level A exploratory excavation unless stated otherwise. 1.7.2 Utilities that should be identified include but are not limited to utilities owned by the City, local franchises, electric companies, communication companies, private pipeline companies and 3rd party owners/operators. Contract for Professional Services Page 3 of 12 K:\Engineering Projects Data Management\18020A Gollihar Rd - Greenwood to Crosstown Expwy\6. Project Agenda 1.8 For project with potential utility conflicts: 1.8.1 The Consultant agrees to coordinate the verification and resolution of all potential utility conflicts. 1.8.2 The Consultant agrees to prepare and submit a monthly Utility Coordination Matrix to the City. 1.9 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. 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. 2.3 Final construction documents that do not meet City standards in effect at the time of the execution of this Agreement may be rejected. If final construction documents are found not to be in compliance with this Agreement, 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 $568,065.00. 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 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 in compliance with the Texas Prompt Payment Act. 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. Contract for Professional Services Page 4 of 12 K:\Engineering Projects Data Management\18020A Gollihar Rd - Greenwood to Crosstown Expwy\6. Project Agenda 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, CLAIM S, 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; 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. The right to suspend work under this provision does not relieve the City of its obligation to make payments in accordance with section 3.5 above for services provided up to the date of suspension. 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). 4.2 This service shall be for a period of ____ years beginning on the Effective Date. The Agreement may be renewed for up to _____ one-year renewal options 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 and conditions, plus any approved changes. Contract for Professional Services Page 5 of 12 K:\Engineering Projects Data Management\18020A Gollihar Rd - Greenwood to Crosstown Expwy\6. Project Agenda 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 W ork 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 ten 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. ARTICLE V – OPINIONS OF COST 5.1 The Opinion of Probable Cost (OPC) is computed by th e 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. 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, 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. Contract for Professional Services Page 6 of 12 K:\Engineering Projects Data Management\18020A Gollihar Rd - Greenwood to Crosstown Expwy\6. Project Agenda 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. 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. Contract for Professional Services Page 7 of 12 K:\Engineering Projects Data Management\18020A Gollihar Rd - Greenwood to Crosstown Expwy\6. Project Agenda 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. 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 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. 10.3 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. Contract for Professional Services Page 8 of 12 K:\Engineering Projects Data Management\18020A Gollihar Rd - Greenwood to Crosstown Expwy\6. Project Agenda 10.4 The City may withhold or nullify the whole or part of any payment as detailed in Article III. 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. Contract for Professional Services Page 9 of 12 K:\Engineering Projects Data Management\18020A Gollihar Rd - Greenwood to Crosstown Expwy\6. Project Agenda 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 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. Contract for Professional Services Page 10 of 12 K:\Engineering Projects Data Management\18020A Gollihar Rd - Greenwood to Crosstown Expwy\6. Project Agenda 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 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 Independent Contractor. The relationship between the City and Consultant under this Agreement shall be that of independent contractor. City may explain to Consultant the City’s goals and objectives in regard to the services to be performed by Consultant, but the City shall not direct Consultant on how or in what manner these goals and objectives are to be met. 13.6 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. 13.7 No Third Party Beneficiaries. Nothing in this Agreement can be construed to create rights in any entity other than the City and Consultant. Neither the City nor Consultant intends to create third party beneficiaries by entering into this Agreement. 13.8 Disclosure of Interest. Consultant agrees to comply with City of Corpus Christi Ordinance No. 17112 and complete the Disclosure of Interests form. 13.9 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. 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 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. 13.10 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. 13.11 Title VI Assurance. The Consultant shall prohibit discrimination in employment based upon race, color, religion, national origin, gender, disability or age. 13.12 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. 13.13 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. 13.14 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 Articles I-XIII of this Agreement (Articles), the Articles shall take precedence and control to resolve said conflict. Fund Name Accounting Unit Account No. Account Category Activity No. Amount ST2019 Bd18P1 3556-051 550950 50950 18020-A-3556-EXP 294,166 SW Capital Reserve 4540-043 550950 50950 18020-A-4540-EXP 155,524 Water 2012A Rev Bd 4089-041 550950 50950 18020-A-4089-EXP 14,504 WW Capital Reserve 4510-042 550950 50950 18020-A-4510-EXP 103,871 Total $568,065 EXHIBIT “A” Page 1 of 12 Revised 26 March 2019 EXHIBIT “A” CITY OF CORPUS CHRISTI, TEXAS GOLLIHAR ROAD – GREENWOOD DRIVE TO CROSSTOWN EXPRESSWAY PROJECT NO. 18020A BOND ISSUE 2018 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/Engineering services. 1. Preliminary Phase. The Architect/Engineer (A/E), also referred to as Consultant, will: a) Attend Project Kick-off Meeting and distribute meeting minutes to attendees within five working days of the meeting. b) Provide recommended geotechnical investigations scope and coordinate testing with City’s geotechnical Consultant. Proposed sites shall be approved by the City Project Manager prior to performing geotechnical investigation. c) Request and review available reports, record drawings, utility maps and other information provided by the City pertaining to the project area. d) Develop preliminary requirements for utility relocations, replacements or upgrades. Coordinate with the City’s Project Manager and identify Operating Departments potential Project needs. e) Develop preliminary typical street sections and pavement sections, incorporating the City’s Geotechnical Consultant’s recommendations. All streets shall be designed with flexible and rigid pavements. f) Identify preliminary right-of-way acquisition requirements and illustrate on a schematic strip map. g) Prepare preliminary opinions of probable construction costs for the recommended improvements. h) Develop a Drainage Area Map showing the existing and proposed drainage basins served by the Project storm system. i) Conduct preliminary hydraulic analysis to quantify the storm water design of existing and proposed systems. j) Identify electric and communication utility companies and private pipeline companies that may have existing facilities and must be relocated to accommodate the proposed improvements. Submit a list of identified companies to the City. k) Conduct preliminary analysis of lighting and traffic signalization, including existing equipment, above/below ground electrical service, lane designations, etc. Coordinate signal requirements with City Street Department. Provide recommendations for improvements/upgrades. l) The AE will participate in discussions with the Operating Department; Development Services and other agencies (such as the Texas Department of Transportation (TXDOT) and Texas Commission of Environmental Quality (TCEQ) as required to satisfactorily complete the Project. Any directions or changes to scope provided by the Operating Department or other agencies shall be reviewed EXHIBIT “A” Page 2 of 12 Revised 26 March 2019 with the City Engineering Department PM prior to including/excluding from the scope of work. m) Identify and analyze requirements of governmental authorities having jurisdiction to approve design of the Project including permitting, environmental, historical, construction, and geotechnical issues; upon request or concurrence of the Project Manager, coordinate with agencies such as RTA, USPS, affected school districts (CCISD, FBISD, etc.), community groups, etc. n) Identify and recommend public outreach and community stakeholder requirements. o) Request and review traffic counts from the City PM. p) 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, and document the work with text, tables, schematic- level exhibits and computer models or other applicable supporting documents required per City Plan Preparation Standards (CPPS). The Engineering Letter Report to include: 1. Provide a concise presentation of pertinent factors, sketches, designs, cross-sections, and parameters which will or may impact the design, including engineering design basis, preliminary layout sketches, construction sequencing, alignment, cross section, geotechnical testing report, right-of-way requirements, conformance to master plans, identification of needed additional services, identification of needed permits and environmental consideration, existing and proposed utilities, existing electric and communication utility companies and private pipeline companies, identification of quality and quantity of materials of construction, and other factors required for a professional design. 2. Include existing site photos with location key map 3. Provide opinion of probable construction costs. 4. Identify and analyze requirements of governmental authorities having jurisdiction to approve design of the Project including permitting, environmental, historical, construction, and geotechnical issues; meet as City agent or with City participation and coordinate with agencies such as TCEQ, RTA, CDBG, USPS, CCISD, community groups, TDLR, etc. 5. Summary of Geotechnical Report findings and criteria for pavement design, including the projected growth rate, 30-year ESAL estimate and SN value, 30 year pavement recommendation, etc. 6. Provide preliminary index of anticipated drawings and specifications. 7. Provide a preliminary summary table of anticipated required ROW parcels q) Submit one (1) copy in an approved electronic format, and two (2) hard copies of the Draft Engineering Letter Report. r) Initiate ELR submittal discussion with City PM to brief PM on any concerns or issues prior to distribution of ELR submittal. s) Participate in Project review meeting with City staff and others on the Draft Engineering Letter Report as scheduled by City Project Manager. t) Address review comments and questions and provide written responses to the City PM. u) Assimilate all City review comments into the Final Engineering Letter Report (ELR). Provide one (1) electronic and one (1) hard copy using City Standards as applicable and suitable for reproduction. EXHIBIT “A” Page 3 of 12 Revised 26 March 2019 City staff will provide electronic copies of the following information (as applicable and requested through the City PM): a) Electronic index and database of City’s Record Drawing and record information. b) Record Drawings and record information 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). d) Copy of Geotechnical Investigation Report. g) Traffic counts. Note: Applicable Master Plans and GIS mapping are available on the City’s website. The records provided for A/E’s use under this Contract are proprietary, copyrighted, and authorized for use only by A/E, and only 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 from the City Project Manager, the A/E will: a) Provide coordination with electric and communication utility companies and private pipeline companies that may have existing facilities and must be relocated to accommodate the proposed improvements. Inform private utility and pipeline owners whose facilities fall within the project limits of the proposed improvements. Identify areas of potential conflicts. Coordinate with private utility and pipeline owners to obtain needed locations of their respective utility/pipeline, including Level A SUE by private utility/pipeline owner as necessary. Coordinate necessary adjustments and provide a project schedule to utility/pipeline owner. Provide utility/pipeline relocation schedule to the City and update monthly. b) Coordinate with AEP and City Traffic Engineering to identify location of electrical power conduit for street lighting and traffic signalization. c) Identify the approximate locations and areas of existing utilities and pipelines that may have a significant potential impact on the proposed features or utilities and for which the existing location(s) cannot be adequately determined by the SUE investigation up to and including Level B, and which require a Level A exploratory excavation during the design phase. These critical locations and their basis of potential impact are to be clearly provided on a layout for the City PM. d) Provide assistance to identify potential needs for testing, handling and disposal of any hazardous materials and/or contaminated soils that may be discovered during construction (to be included under additional services). e) Prepare Construction Documents in City standard format for the work identified in the approved ELR. Construction plans to include improvements or modifications to the street, storm water, water, wastewater (NOT REQUIRED), gas, IT (NOT REQUIRED), signal (NOT REQUIRED), and lighting systems (NOT REQUIRED) within the Project limits, per the Project scope. Include standard City of Corpus Christi detail sheets and specifications as applicable to the Project. 1. Prepare construction plans in compliance with CPPS using English units on full-size (22” x 34”). 2. Prepare Traffic Control and Construction Sequencing Plans. The TCP will include construction sequencing, typical cross section and construction EXHIBIT “A” Page 4 of 12 Revised 26 March 2019 phasing plan sheets, warning and barricades, as well as standards sheets for barricades, traffic control plan, work zone pavement markings and signage. 3. Provide pollution control measures and BMP layout for the Contractor’s Storm Water Pollution Prevention Plan, using the City Standard Notes and BMP Detail Sheets as applicable. 4. Include computer model results and calculations used to analyze drainage. f) Submit two (2) sets of the interim plans (60% submittal) in electronic and half- size (11” x 17”) hard copies using City Standards as applicable to City staff for review and approval purposes with 60% estimates of probable construction costs. Identify distribution list for plans and bid documents to all affected franchise utilities and stakeholders. 1. Required with the interim plans is: a. Design Submittal Packet Checklist b. Executive Summary of the 60% submittal,” which will identify and briefly summarize the Project by distinguishing key elements of the Project, decisions made, outstanding issues, items TBD, Opinion of Probable Construction Costs (OPCC) compared to construction budget and the schedule with changes identified. c. Project Submittal Checklist d. Drawing Review Checklist e. OPCC f. Drawings g. Draft Table of Contents with specification list 2. Initiate 60% submittal discussion with City PM to brief PM on any concerns or issues prior to distribution of 60% submittal. g) Participate in Project 60% review meeting. Prepare and distribute meeting meetings to attendees within five working days of the meeting. Assimilate all review comments, as appropriate, and upon confirmation from the City PM proceed to the 90% design. h) Submit two (2) sets of the pre-final plans and bid documents (90% submittal) in electronic and half-size hard copies using City Standards as applicable to City staff for review and approval purposes. Include the 90% estimate of probable construction costs, 90% submittal Executive Summary, Submittal Packet, Project, and Drawing Checklists, responses to previous review comments and the Contract Document Book with in-line Track Changes in red to identify all proposed edits to the City Construction Contracts. i) Participate in Project 90% review meeting. Prepare and distribute meeting meetings to attendees within five working days of the meeting. Assimilate all review comments, as appropriate, and proceed to the pre-ATA submittal. j) Provide one (1) set of the pre-ATA plans (100% unsealed and unstamped) in electronic and half-size hard copy using City Standards as applicable for City’s Pre-ATA review. Include the pre-ATA OPCC and written responses to previous review comments. The pre-ATA (100%) submittal will not include a full distribution and review unless in the opinion of the City Project Manager the questions from the previous review have not been adequately addressed or resolved in the pre- ATA submittal. If this occurs, the PM may request additional distribution, meeting, review and related revisions at no additional cost to the City. See item (l) below. k) Assimilate all pre-ATA comments, as appropriate, and provide one (1) set of the final plans and contract documents (signed and sealed, electronic and half-size EXHIBIT “A” Page 5 of 12 Revised 26 March 2019 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. l) Provide Quality Assurance/Quality Control (QA/QC) measures to ensure that all submittals accurately reflect the percent 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. m) 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 Project. 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, Front End Contract Documents, and forms for required bid documents. 3. Bid Phase. The A/E will: a) Participate in the pre-bid conference and submit agenda for critical construction activities and elements impacting the Project to PM prior to pre-bid conference. b) Assist the City in solicitation of bids by identification and notification of prospective bidders. c) Review all pre-bid questions and submissions concerning the bid documents and prepare, in the City’s format for Engineering Services’ approval, any addenda or other revisions necessary to inform Contractors of approved changes prior to bidding. d) Attend bid opening, analyze and evaluate bids, and prepare bid tabulation in City format. Provide bid tabulation in Excel and PDF formats. e) AE shall review Statement of Experience and confirm it meets Contract requirements. AE shall contact three (3) lowest bidder’s references for review and evaluation. Provide signed recommendation concerning award of the Contract on Company letterhead. f) In the event the lowest responsible bidder’s bid exceeds the construction budget provided by the Engineering Services in accordance with the A/E’s design phase OPCC estimate required above, the Engineer will confer with City staff and provide recommendations for potential remedy options to reconcile scope and/or budget, and if necessary, make such revisions to the bid documents as the City staff deems necessary to re-advertise the Project for bids. EXHIBIT “A” Page 6 of 12 Revised 26 March 2019 g) Provide two (2) hard copy sets and one (1) electronic set of conformed drawings and conformed Contract Documents (PDF and original format {CAD/word/etc.}) to the City. The City staff will: a) Advertise the Project for bidding, maintain the list of prospective bidders, issue (with the assistance of the A/E) any addenda, supply bid tabulation forms, and conduct bid opening. b) Receive the Engineer’s recommendation concerning bid evaluation and recommendation and prepare agenda materials for the City Council concerning bid awards. c) Prepare, review and provide copies of the Contract for execution between the City and the Contractor. 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 impacting the project. b) Review Contractor submittals and operating and maintenance manuals for conformance to Contract Documents. c) If requested by the City, 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 as requested by the Owner’s Authorized Representative (OAR). e) Make periodic 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. FEE BASED ON 3 VISITS PER MONTH FOR 15 MONTHS. f) Provide interpretations and clarifications of the plans and specifications for the Contractor and recommendations to the City for minor changes which do not affect the Contractor’s price and are not contrary to the general interest of the City under the Contract as requested by the OAR g) 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. h) Review Contractor-provided construction “red-line” drawings. Prepare Project Record Drawings and provide a reproducible set and electronic file (both PDF and AutoCAD r.14 or later) within one (1) month of receiving the Contractor’s red-line drawings. 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 Record Drawings should incorporate the Contractor’s red-lines and identify all changes made during construction. The Drawing Cover and each sheet should be clearly identified as the Record Drawing and should indicate the basis and date. i) When requested by the OAR, assist in addressing Request for Information (RFI) submitted by the Contractor. EXHIBIT “A” Page 7 of 12 Revised 26 March 2019 The City staff will: a) Prepare applications/estimates for payments to Contractor. b) Conduct the final 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 Director of Engineering Services. A/E may not begin work on any services under this section without specific written authorization by the Director of Engineering Services. Fees for Additional Services are an allowance for potential services to be provided and will be negotiated by the Director of Engineering Services as required. The A/E shall, with written authorization by the Director of Engineering Services, perform the following: 1. Permit Preparation. Furnish the City all engineering data and documentation necessary for all required permits. The A/E will prepare this documentation for all required signatures. The A/E will prepare and submit identified permits as applicable to the appropriate local, state, and federal authorities, including: a) Union Pacific Railroad, Missouri Pacific Railroad, or any other railroad operating in the area b) TxDOT utility and environmental permits, multiple use agreements c) Wetlands Delineation and Permit d) Temporary Discharge Permit e) NPDES Permit/Amendments (including SSC, NOI, NOT) f) Texas Commission of Environmental Quality (TCEQ) Permits/Amendments g) Nueces County h) Texas Historical Commission (THC) i) U.S. Fish and Wildlife Service (USFWS) j) U.S. Army Corps of Engineers (USACE) k) United States Environmental Protection Agency (USEPA) l) Texas Department of Licensing and Regulation (TDLR) 1. Provide copy of Contract Documents along with appropriate fee to Texas Department of Licensing and Regulation (TDLR) for review and approval of accessibility requirements for pedestrian improvements (as authorized by Additional Services). 2. Coordinate RAS inspection services at the end of construction and pay associated fee. m) Texas General Land Office (TGLO) n) Other agency project-specific permits 2. Topographic and Right-of-Way (ROW) Survey. All work must comply with Category 1-A, Condition I specifications of the Texas Society of Professional Surveyors’ Manual of Practice for Land Surveying in the State of Texas, latest edition. All work must be tied to and in conformance with the City’s Global Positioning System (GPS) control network. All work must comply with all TxDOT requirements as applicable. Include references tying Control Points to a minimum of two (2) registered NGS Benchmark Monuments in the vicinity of the Project that will not be disturbed by construction. Survey sheets shall be sealed, provided to the City and included in the bid document plan set. a) Establish Horizontal and Vertical Control. b) Establish both primary and secondary horizontal/vertical control. EXHIBIT “A” Page 8 of 12 Revised 26 March 2019 c) Set project control points for Horizontal and Vertical Control outside the limits of area that will be disturbed by construction. d) Horizontal control will be based on NAD 83 State plane coordinates (South Zone), and the data will have no adjustment factor applied – i.e. – the coordinate data will remain in grid. e) Vertical control will be based on NAVD 88. f) All control work will be established using conventional (non-GPS) methods. Perform topographic surveys to gather existing condition information. g) Locate proposed soil/pavement core holes as drilled by the City’s Geotechnical Engineering Consultant. h) Obtain x, y, and z coordinates of all accessible existing wastewater, storm water, water, IT and gas lines as well as any other lines owned by third-parties and locate all visible utilities, wells and signs within the apparent ROW width along project limits. Survey shall include utility marking from the Texas 811 request. i) Open accessible manholes and inlets to obtain information on structure invert, type, and size; and all related pipe size, type, invert, orientation, and flow direction. j) Everything up to and including Level B subsurface engineering (SUE) is to be included in Topographic Survey. Surveying services related to Level A SUE shall be provided when needed as part of the scope of work for SUE below. k) Locate existing features within the apparent ROW. l) Locate and identify trees, at least five inches in diameter, and areas of significant landscape or shrubs within the apparent ROW. m) Generate electronic planimetric base map for use in project design. n) Obtain finished floor elevations of critical and habitable structures along the roadway corridor as needed to certify drainage design criteria are met. o) The survey should not stop at the property line, but should extend beyond the property line as needed to pick up features and surface flow patterns in the vicinity of the Project that could potentially impact the design or be impacted by the construction. This includes features such as existing swales or ditches, foundations, loading docks/overhead doors, driveways, parking lots, etc. p) Research plats, ROW maps, deed, easements, and survey for fence corners, monuments, and iron pins within the existing ROW and analyze to establish existing apparent ROW. q) Provide a preliminary base map containing apparent ROW, which will be used by the A/E to develop the proposed alignment and its position relative to the existing and proposed ROW. This preliminary base map must show lot or property lines, addresses, and significant business/facility names. 3. ROW/Easement Acquisition Survey and Parcel Descriptions NOT REQUIRED All work must be tied to and conform with the City’s Global Positioning System (GPS) control network and comply with Category 6, Condition I specifications of the Texas Society of Professional Surveyors’ Manual of Practice for Land Surveying in the State of Texas, latest edition. a) Set property corners and prepare right of way strip parcel map depicting all parcels proposed for acquisition. Metes and bounds descriptions must indicate parent tract areas based on the most accurate information available. Strip map will show entire parent tracts at a representative scale and for information only. All existing easements within the parcels to be acquired and those within adjacent parcels must be shown. EXHIBIT “A” Page 9 of 12 Revised 26 March 2019 b) Prepare Metes and Bound Instrument with supporting exhibits as required and agreed upon, subsequent to ELR acceptance for ROW parcels, utility easements and temporary construction easements. c) Prepare individual signed and sealed parcel maps and legal descriptions for the required right of way acquisition for parcels and easements. A strip map showing all parcels required will be submitted along with parcel descriptions. If boundary conflicts between Owners are identified, additional fees may be authorized if needed. A/E shall submit parcel maps and legal descriptions prior to the 60% submittal. d) A/E must obtain Preliminary Title Reports from a local title company and provide copies of the title reports to the City. Preliminary Title Report shall identify title ownership and any title encumbrances to all right-of-way to be acquired. 4. Environmental Issues. SCOPE TO BE DETERMINED Identify and develop a scope of work for any testing, handling and disposal of hazardous materials and/or contaminated soils that may be discovered during construction. 5. Public Involvement. Participate in two public meetings. One public meeting shall be held after submittal of the Final Engineering Letter Report and one public meeting shall be held prior to start of project construction. Prepare exhibits for meetings. Provide follow-up and response to citizen comments. Revise contract drawings to address citizen comments, as directed by the City. Significant revisions based on public meeting feedback may be negotiated for an additional fee. 6. Subsurface Utility Investigation (Level A) TO BE PROVIDED BY CITY SUE investigation for all utilities (City and third party) shall be conducted to Level B as part of Topographic Survey referenced above and in accordance with ASCE Standard “ASCE C-I, 38-02, Standard Guideline for the Collection and Depiction of Existing Subsurface Utility Data”. A sealed Level A SUE report shall be provided to the City and included in the bid documents as an appendix. a) Provide subsurface utility engineering in accordance with ASCE Standard “ASCE C-I, 38-02, Standard Guideline for the Collection and Depiction of Existing Subsurface Utility Data” including, but not limited to, hydro-excavation. The proposed subsurface utility investigation will be as follows: i) Excavation – The survey scope includes working with a subsurface utility excavator to perform Quality Level A investigation of underground utilities in specified areas through the project limit. Quality Level A includes the use of minimally intrusive excavation equipment at critical points to determine the horizontal and vertical position of underground utilities, as well as the type, size, condition, material, and other characteristics. Utilities located at this quality level will be physically located and tied to the topographic survey control. The utility will be identified, and an elevation will be obtained to the top of the utility. 7. Construction Observation Services. To Be Determined. EXHIBIT “A” Page 10 of 12 Revised 26 March 2019 8. 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. 9. Televising Utility Lines. CITY TO PROVIDE CLEANING AND TELEVISING FOR WASTEWATER LINES. Provide cleaning and televising of existing storm water utility lines to verify existing conditions. Analyze photos and videos to recommend repairs and/or improvements and provide a written report with findings and recommendations. A copy of all photos and videos (in standard video and image format) shall be provided to the City. 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”. EXHIBIT “A” Page 11 of 12 Revised 26 March 2019 II.SCHEDULE Date Activity TBD NTP 6 weeks Draft ELR submittal 3 weeks City Review 2 weeks Final ELR submittal 8 weeks 60% Design Submittal 3 weeks City Review 5 weeks 90% Design Submittal 3 weeks City Review 2 weeks 100% Pre-ATA Submittal 2 week Final Sealed Bid Package 2 weeks Advertise for Bids 2 weeks Pre-Bid Conference 2 weeks Receive Bids 3 weeks Contract Award 4 weeks Begin Construction 65 weeks Complete Construction III.FEES A. Fee for Basic Services. The City will pay the A/E a fixed fee for providing 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. B. Fee for Additional Services. For services authorized by the Director of Engineering Services under Section I.B. “Additional Services”, the City will pay the A/E a not-to-exceed fee as per the table below: EXHIBIT “A” Page 12 of 12 Revised 26 March 2019 Summary of Fees Basic Services Fees Street Storm Water Wastewater Water Gas Total 1.Preliminary Phase $57,503 $28,664 $2,859 $22,931 $5,733 $117,690 2.Design Phase $124,968 $62,484 $1,300 $49,987 $12,496 $251,235 3.Bid Phase $13,295 $6,648 $5,318 $1,329 $26,590 4.Construction Administration Phase $20,000 $10,000 $8,000 $2,000 $40,000 Subtotal Basic Services Fees $215,766 $107,796 $4,159 $86,236 $21,558 $435,515 Additional Services Fees (Allowance) 1.Permit Preparation*$3,704 $3,703 $3,703 $11,110 2.Topographic and ROW Survey*$41,290 $18,580 $10,323 $10,322 $2,065 $82,580 3.ROW/Easement Acquisition Survey and Parcel Descriptions (TBD) TBD 4.Environmental Issues (TBD) 5.Public Involvement*$6,830 $3,415 $2,732 $683 $13,660 6.Subsurface Utility Investigation (Level A) (Hydro-Excavation & Report by City) BY CITY 7.Construction Observation Services TBD TBD TBD TBD TBD TBD 8.Warranty Phase $2,140 $1,070 $856 $214 $4,280 9. Televising Utility Lines Storm Water Only.* (Wasterwater lines to be performed by City) $20,920 $20,920 10.Street Light Improvements (No New Street Lights Anticipated for this Project) 11.Traffic Signal Improvements (No New Signals Anticipated for this Project) Subtotal Additional Services Fees $50,347 $47,728 $10,345 $17,635 $6,670 $132,550 Total Fee $265,938 $155,524 $14,504 $103,871 $28,228 $568,065 *Additional Services authorized in coordination with the notice to proceed for Basic Services. Company Name Billing Contact Info Original Amend Amend Total Previous Current Total Remaining Percent Basic Services:Contract No. 1 No. 2 Contract Invoice Invoice Invoiced Balance Invoiced Preliminary Phase $1,000.00 $0.00 $0.00 $1,000.00 $0.00 $1,000.00 $1,000.00 $0.00 100.0% Design Phase $2,000.00 $1,000.00 $0.00 $3,000.00 $1,000.00 $500.00 $1,500.00 $1,500.00 50.0% Bid Phase $500.00 $0.00 $250.00 $750.00 $0.00 $0.00 $0.00 $750.00 0.0% Construction Admin Phase $2,500.00 $0.00 $1,000.00 $3,500.00 $0.00 $0.00 $0.00 $3,500.00 0.0% Subtotal Basic Services $6,000.00 $1,000.00 $1,250.00 $8,250.00 $1,000.00 $1,500.00 $2,500.00 $5,750.00 30.3% Additional Services: Permit Prepartion $2,000.00 $0.00 $0.00 $2,000.00 $500.00 $0.00 $500.00 $1,500.00 25.0% Topographic Survey $5,000.00 $0.00 $0.00 $5,000.00 $0.00 $0.00 $0.00 $5,000.00 0.0% ROW Acquisition Survey $1,000.00 $0.00 $0.00 $1,000.00 $0.00 $0.00 $0.00 $1,000.00 0.0% Environmental Issues $500.00 $0.00 $0.00 $500.00 $0.00 $0.00 $0.00 $500.00 0.0% Public Meetings $1,200.00 $0.00 $0.00 $1,200.00 $0.00 $0.00 $0.00 $1,200.00 0.0% Construction Observation $10,000.00 $0.00 $0.00 $10,000.00 $0.00 $0.00 $0.00 $10,000.00 0.0% Traffic Control $0.00 $5,000.00 $0.00 $5,000.00 $0.00 $0.00 $0.00 $5,000.00 0.0% Signalization Improvements $0.00 $0.00 $1,000.00 $1,000.00 $0.00 $0.00 $0.00 $1,000.00 0.0% Warranty Phase $0.00 $1,120.00 $0.00 $1,120.00 $0.00 $0.00 $0.00 $1,120.00 0.0% Construction Inspection (T&M)$0.00 $0.00 $5,000.00 $5,000.00 $0.00 $0.00 $0.00 $5,000.00 0.0% Platting Survey TBD TBD TBD TBD TBD TBD TBD TBD TBD O & M Manuals TBD TBD TBD TBD TBD TBD TBD TBD TBD SCADA TBD TBD TBD TBD TBD TBD TBD TBD TBD Subtotal Additional Services $19,700.00 $6,120.00 $6,000.00 $31,820.00 $500.00 $0.00 $500.00 $31,320.00 1.6% Summary of Fees: Basic Services Fees $6,000.00 $1,000.00 $1,250.00 $8,250.00 $1,000.00 $1,500.00 $2,500.00 $5,750.00 30.3% Additional Services Fees $19,700.00 $6,120.00 $6,000.00 $31,820.00 $500.00 $0.00 $500.00 $31,320.00 1.6% Total of Fees $25,700.00 $7,120.00 $7,250.00 $40,070.00 $1,500.00 $1,500.00 $3,000.00 $37,070.00 7.5% Notes: If needed, update this sample form based on the contract requirements. If applicable, refer to the contract for information on what to include with time and materials (T&M).EXHIBIT "B" Page 1 of 2 Revised 7/29/19 COMPLETE PROJECT NAME City Project No. XXXX Invoice No. 12345 Invoice Date: MM/DD/YYYY Billing Period: From XXXXX to YYYYY Company Name Billing Contact Info Original Amend Amend Total Previous Current Total Remaining Percent Inspection Services:Contract No. 1 No. 2 Contract Invoice Invoice Invoiced Balance Invoiced Consultant Fees $49,400.00 $0.00 $0.00 $49,400.00 $5,200.00 $0.00 $5,200.00 $44,200.00 10.5% Hours @ $65/hr (John Doe)760.00 0.00 0.00 760.00 80.00 0.00 80.00 680.00 10.5% Notes: If needed, update this sample form based on the contract requirements.EXHIBIT "B" If applicable, refer to the contract for information on what to include with time and materials (T&M).Page 2 of 2 Revised 7/29/19 COMPLETE PROJECT NAME City Project No. XXXX Invoice No. 12345 Invoice Date: MM/DD/YYYY Billing Period: From XXXXX to YYYYY 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 In the event of a change in insurance coverage, Consultant shall be required to submit a copy of the replacement certificate of insurance to City at the address provided below within 10 business days of said change. Consultant shall pay any costs resulting from said changes. Exhibit C Page 1 of 2 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 If the policy is cancelled, other than for nonpayment of premium, notice of such cancellation will be provided at least 30 days in advance of the cancellation effective date to the certificate holder. 1.6.2 If the policy is cancelled for nonpayment of premium, notice of such cancellation will be provided within 10 days of the cancellation effective date to the certificate holder. 1.7 Within five (5) calendar days of a suspension, cancellation or non-renewal of coverage, Consultant shall notify City of such lapse in coverage and 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 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. Exhibit C Page 2 of 2 All notices under this Article shall be given to City at the following address: Project No: 18023A 1 MA Legistar No.: 19-1314 Rev. 3 – 09/30/19 AGENDA MEMORANDUM Action Item for the City Council Meeting of October 15, 2019 ____________________________________________________________________________ DATE:August 12, 2019 TO:Peter Zanoni, City Manager THRU:Mark Van Vleck, Assistant City Manager markvv@cctexas.com (361) 826-3082 FROM:Jeff H. Edmonds, P. E., Director of Engineering Services jeffreye@cctexas.com (361) 826-3851 Albert Quintanilla, P. E., Director of Street Operations albertq@cctexas.com (361) 826-1957 Kim Baker, Director of Contracts and Procurement kimb2@cctexas.com (361) 826-3169 CAPTION: Motion awarding a contract in the amount of $376,055 to Urban Engineering for developing bid documents for reconstruction of Junior Beck Drive from Bear Lane to the Dead End and for the extension of Jr. Beck Drive to Old Brownsville Road, to be bid as an additive alternate. The project is in District 3, the contract will begin upon notice to proceed, and funding is available from Street Bond 2018, Proposition B and Utility Capital Improvement Budgets. SUMMARY: This contract provides for design, bid, and construction phase services for the reconstruction of Junior Beck Drive from Bear Lane to the Dead End including the design for extending Junior Beck Drive from the Dead End to Old Brownsville Road. Supplemental grant funding in the amount of $3,000,000 was awarded from the U.S. Economic Development Administration to do construction services and Nueces County will be providing $200,000 for the design portion of the extension of Jr. Beck Drive to Old Brownsville Road. BACKGROUND AND FINDINGS: Junior Beck Drive from Bear Lane to the Dead End is a 2-lane asphalt roadway with curb, gutter, and sidewalks that are in poor condition with aging underground utility systems. Junior Beck currently supports industrial and commercial activity with heavy commercial vehicle traffic and Professional Services Contract Award Junior Beck Drive from Bear Lane to the Dead End Project No: 18023A 2 MA Legistar No.: 19-1314 Rev. 3 – 09/30/19 only one access point from Bear Lane. This project will reconstruct the existing Junior Beck Drive and includes the option to extend Junior Beck to Old Brownsville to improve access and promote further economic development in the area. This contract provides preparing construction documents with bid and construction phase technical support. The project will reconstruct the existing 2-lane roadway, curb & gutter, sidewalks, ADA ramps, pavement markings, signage and miscellaneous improvements. Utility improvements include upgrades to water, wastewater, storm water and gas. The project also includes design of an extension of the 2-lane roadway to Old Robstown Road. The extension will be an Additive Alternative and recommended for construction based on availability of funds. PROJECT TIMELINE: COMPETITIVE SOLICITATION PROCESS: Urban Engineering was selected for the Bond 2018 Junior Beck Drive project in February 2019 under RFQ 2018-10. Junior Beck Drive was one of thirty-two selections that were announced under the Transportation Category of the RFQ. Fifteen firms submitted under the Transportation Category and elevenfirms were selected. Urban Engineering was one of the highest ranked firms in the Transportation Category and the Junior Beck project was on their priority listing. The selection committee consisted of two representatives from the Street Department and two representatives from Engineering Services. Firms were ranked based on five factors: 1) experience of the firm, 2) experience of the key personnel with specific experience with multiple Bond street programs and local utilities, 3) project approach and management plan, 4) capacity to meet the project requirements and timelines, and 5) past performance ALTERNATIVES: Any alternative to awarding the contract to Urban Engineering will delay the reconstruction of the project and impede Council goals of completing Bond 2018 street projects in a timely manner and within budget. FISCAL IMPACT: This is a Bond 2018, Proposition B project approved by city voters in November 2018. This item will award a design contract to Urban Engineering for roadway and utility improvements for Junior Beck Drive from Bear Lane to Old Robstown Road in the amount of $376,055, with the project located in City Council District 3, and contract effective upon issuance of notice to proceed, with funding approved and available from Bond 2018, Proposition B and various utility capital funds. The Street budget for this project is $197,629.75 and the utilities budget is $178,425.25; for a total contract cost of $376,055. Roughly two thirds of the fee is for reconstruction of the existing roadway and one third of the fee is for the extension. The reconstruction of the existing Junior Beck Drive is included in the Bond 2018 program. O N D J F M A M J J A S O N D J F M A M 2019 Construction Design Bid 2020 2021 Project No: 18023A 3 MA Legistar No.: 19-1314 Rev. 3 – 09/30/19 Supplemental grant funding in the amount of $3,000,000 was awarded from the U.S. Economic Development Administration to fund construction costs for the extension of Jr. Beck Drive to Old Brownsville Road. Nueces County Commissioner Gonzalez is leading the initiative to provide $200,000 from County funding for the design portion of the extension of Jr. Beck Drive to Old Brownsville Road. FUNDING DETAIL: Fund: Street 2019 Bond 2018 Proposition 2 (Fund 3557) Mission Element: Street Pavement Maintenance (ME 051) Project No.: Junior Beck Drive from Bear Lane to the Dead End (18023A) Account: Outside Consultants (Account #550950) Activity: 18023-A-3557-EXP Fund: Storm Water 2015 Revenue Bond (Fund 4531) Mission Element: Drainage Infrastructure (ME 043) Project No.: Junior Beck Drive from Bear Lane to the Dead End (18023A) Account: Outside Consultants (Account #550950) Activity: 18023-A-4531-EXP Fund: Water Capital Reserve (Fund 4480) Pay As You Go Mission Element: Distribute Water (ME 041) Project No.: Junior Beck Drive from Bear Lane to the Dead End (18023A) Account: Outside Consultants (Account #550950) Activity: 18023-A-4480-EXP Fund: Wastewater Capital Reserve (Fund 4510) Pay As You Go Mission Element: Wastewater Collection System (ME 042) Project No.: Junior Beck Drive from Bear Lane to the Dead End (18023A) Account: Outside Consultants (Account #550950) Activity: 18023-A-4531-EXP RECOMMENDATION: Engineering Services and the Street Department recommend award of this contract in the amount of $376,055 to Urban Engineering. The design phase is planned to start in October 2019 with completion of design in April 2020. Construction is planned to start in the early fall of 2020 with completion expected in May 2021. LIST OF SUPPORTING DOCUMENTS: Location Maps Contract Page 1 Rev. 19-8 SERVICE AGREEMENT NO. 2591 CONTRACT FOR PROFESSIONAL SERVICES 18023A Junior Beck Drive from Bear Lane to Dead End (Bond 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, 2725 Swantner Drive, 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 .......................................................................3 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 ....................................................7 ARTICLE X OWNER REMEDIES .......................................................................7 ARTICLE XI CONSULTANT REMEDIES .............................................................8 ARTICLE XII CLAIMS AND DISPUTE RESOLUTION ..........................................8 ARTICLE XIII MISCELLANEOUS PROVISIONS .................................................10 EXHIBITS Page 2 Rev. 19-8 ARTICLE I – SCOPE OF SERVICES 1.1 City and Consultant agree that the services provided are properly described in the Scope of Services, which is 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. The approved Scope of Services defines the services to be performed by Consultant under this Agreement. 1.2 Consultant shall follow City Codes and Standards effective at the time of the execution of the contract. At review milestones, the Consultant and City will review the progress of the plans to ensure that City Codes and Standards are followed unless specifically and explicitly excluded from doin g 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 sub consultants of Consultant. Upon request, Consultant must provide City with a list of all subconsultants that includes the services performed by subconsultant and the % of work performed by subconsultant (in dollars). Changes in Consultant’s proposed team as specified in the SOQ or Scope of Services 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 D. 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. 1.6.3 The Consultant agrees to assist the City in evaluating the qualifications of the prospective contractors, subcontractors and suppliers. 1.7 For projects that require subsurface utility investigation: 1.7.1 The Consultant agrees to prepare and submit to the City prior to the 60% submittal a signed and sealed report identifying all utilities within the project area at the Quality Level specified in Exhibits A and A- 1. It is assumed that all utilities will be identified using Quality Level A exploratory excavation u nless stated otherwise. 1.7.2 Utilities that should be identified include but are not limited to utilities owned by the City, local franchises, electric companies, communication companies, private pipeline companies and 3 rd party owners/operators. Page 3 Rev. 19-8 1.8 For project with potential utility conflicts: 1.8.1 The Consultant agrees to coordinate the verification and resolution of all potential utility conflicts. 1.8.2 The Consultant agrees to prepare and submit a monthly Utility Coordination Matrix to the Ci ty. 1.9 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. 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. Ba sed on the findings of the QCP Review, the Consultant must reconcile the Project Scope and the Opinion of Probable Cost (OPC), as needed. 2.3 Final construction documents that do not meet City standards in effect at the time of the execution of this Agreement may be rejected. If final construction documents are found not to be in compliance with this Agreement, 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 $376,055. 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 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 shal l 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 rat es 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 in compliance with the Texas Prompt Payment Act. 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. Page 4 Rev. 19-8 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 Cons ultant’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 shal l 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 exte nt 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 vend ors for labor, materials or equipment; 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 regardin g 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 proced ures 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 Consulta nt 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. The right to suspend work under this provision does not relieve t he City of its obligation to make payments in accordance with section 3.5 above for services provided up to the date of suspension. 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). 4.2 This service shall be for a period of ____ years beginning on the Effective Date. The Agreement may be renewed for up to _____ one -year renewal options 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 and conditions, plus any approved changes. Page 5 Rev. 19-8 4.3 The Consultant agrees to begin work on those authorized Services for this contract upon receipt of the Notice to Proceed from the Contracts and Procurement Department . 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 W ork 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 ten 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 a ny 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. 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. 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, 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 Page 6 Rev. 19-8 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. 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 fo r 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 w ork under this Agreement, including but not limited to specifications, designs, plans and exhibits . Page 7 Rev. 19-8 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 exte nd until final resolution of the dispute. 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. Page 8 Rev. 19-8 10.2 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. 10.3 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. 10.4 The City may withhold or nullify the whole or part of any payment as detailed in Arti cle III. 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 c auses 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 an y 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. Page 9 Rev. 19-8 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 simila r 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. 12.2.2.1 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. 12.2.2.2 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. 12.2.2.3 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. 12.2.2.4 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 In case of litigation between the parties, Consultant and City agree that they have knowingly waived and do hereby waive the right to trial by jury and have instead agreed, in the event of any litigation arising out of or connected to this Agreement, to proceed with a trial before the court, unless both parties subsequently agree otherwise in writing. 12.6 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. Page 10 Rev. 19-8 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 exp ert 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 modification of the plans will be evidenced on t he 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 competen t licensed professionals practicing 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 Independent Contractor. The relationship between the City and Consultant under this Agreement shall be that of independent contractor. City may explain to Consultant the City’s goals and objectives in regard to the services to be performed by Consultant, but the City shall not direct Consultant on how or in what manner these goals and objectives are to be met. 13.6 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. 13.7 No Third Party Beneficiaries. Nothing in this Agreement can be construed to create rights in any entity other than the City and Consultant. Neither the City nor Consultant intends to create third party beneficiaries by entering into this Agreement. 13.8 Disclosure of Interest. Consultant agrees to comply with City of Corpus Christi Ordinance No. 17112 and complete the Disclosure of Interests form. 13.9 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 o f this agreement. 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 and filed with the City. For more information, please revie w the Texas Ethics Commission Rules at https://www.ethics.state.tx.us/legal/ch46.html. Page 12 Rev. 19-8 Junior Beck Drive from Bear Lane to Dead End (Bond 2018) (Project No. 18023A) Service Agreement No. 2591 Urban Engineering Contract $376,055 Fund Name Accounting Unit Account Activity Amount Street 2019 Bond 2018 P2 3557-043 550950 18023-A-3557-EXP $197,629.75 Storm Water 2015 Bond 4531-043 550950 18023-A-4531-EXP 79,710.75 Wastewater Capital Reserve 4510-042 550950 18023-A-4510-EXP 55,298.75 Water Capital Reserve 4480-041 550950 18023-A-4480-EXP 43,415.75 Total $376,055.00 EXHIBIT “A” Page 1 of 13 Revised 26 March 2019 EXHIBIT “A” CITY OF CORPUS CHRISTI, TEXAS “JUNIOR BECK DRIVE” PROJECT NO. 18023A BOND ISSUE 2018 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/Engineering services. 1. Preliminary Phase. The Architect/Engineer (A/E), also referred to as Consultant, will: a) Attend Project Kick-off Meeting and distribute meeting minutes to attendees within five working days of the meeting. b) Provide recommended geotechnical investigations scope and coordinate testing with City’s geotechnical Consultant. Proposed sites shall be approved by the City Project Manager prior to performing geotechnical investigation. c) Request and review available reports, record drawings, utility maps and other information provided by the City pertaining to the project area. d) Develop preliminary requirements for utility relocations, replacements or upgrades. Coordinate with the City’s Project Manager and identify Operating Departments potential Project needs. e) Develop preliminary typical street sections and pavement sections, incorporating the City’s Geotechnical Consultant’s recommendations. All streets shall be designed with flexible and rigid pavements. f) Identify preliminary right-of-way acquisition requirements and illustrate on a schematic strip map. g) Prepare preliminary opinions of probable construction costs for the recommended improvements. h) Develop a Drainage Area Map showing the existing and proposed drainage basins served by the Project storm system. i) Conduct preliminary hydraulic analysis to quantify the storm water design of existing and proposed systems. j) Identify electric and communication utility companies and private pipeline companies that may have existing facilities and must be relocated to accommodate the proposed improvements. Submit a list of identified companies to the City. k) Conduct preliminary analysis of lighting and traffic signalization, including existing equipment, above/below ground electrical service, lane designations, etc. Coordinate signal requirements with City Street Department. Provide recommendations for improvements/upgrades. l) The AE will participate in discussions with the Operating Department; Development Services and other agencies (such as the Texas Department of Transportation (TXDOT) and Texas Commission of Environmental Quality (TCEQ) as required to satisfactorily complete the Project. Any directions or EXHIBIT “A” Page 2 of 13 Revised 26 March 2019 changes to scope provided by the Operating Department or other agencies shall be reviewed with the City Engineering Department PM prior to including/excluding from the scope of work. m) Identify and analyze requirements of governmental authorities having jurisdiction to approve design of the Project including permitting, environmental, historical, construction, and geotechnical issues; upon request or concurrence of the Project Manager, coordinate with agencies such as RTA, USPS, affected school districts (CCISD, FBISD, etc.), community groups, etc. n) Identify and recommend public outreach and community stakeholder requirements. o) Request and review traffic counts from the City PM. p) 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, and document the work with text, tables, schematic- level exhibits and computer models or other applicable supporting documents required per City Plan Preparation Standards (CPPS). The Engineering Letter Report to include: 1. Provide a concise presentation of pertinent factors, sketches, designs, cross-sections, and parameters which will or may impact the design, including engineering design basis, preliminary layout sketches, construction sequencing, alignment, cross section, geotechnical testing report, right-of-way requirements, conformance to master plans, identification of needed additional services, identification of needed permits and environmental consideration, existing and proposed utilities, existing electric and communication utility companies and private pipeline companies, identification of quality and quantity of materials of construction, and other factors required for a professional design. 2. Include existing site photos with location key map 3. Provide opinion of probable construction costs. 4. Identify and analyze requirements of governmental authorities having jurisdiction to approve design of the Project including permitting, environmental, historical, construction, and geotechnical issues; meet as City agent or with City participation and coordinate with agencies such as TCEQ, RTA, CDBG, USPS, CCISD, community groups, TDLR, etc. 5. Summary of Geotechnical Report findings and criteria for pavement design, including the projected growth rate, 30-year ESAL estimate and SN value, 30 year pavement recommendation, etc. 6. Provide preliminary index of anticipated drawings and specifications. 7. Provide a preliminary summary table of anticipated required ROW parcels q) Submit one (1) copy in an approved electronic format, and two (2) hard copies of the Draft Engineering Letter Report. r) Initiate ELR submittal discussion with City PM to brief PM on any concerns or issues prior to distribution of ELR submittal. s) Participate in Project review meeting with City staff and others on the Draft Engineering Letter Report as scheduled by City Project Manager. t) Address review comments and questions and provide written responses to the City PM. u) Assimilate all City review comments into the Final Engineering Letter Report (ELR). Provide one (1) electronic and one (1) hard copy using City Standards as applicable and suitable for reproduction. EXHIBIT “A” Page 3 of 13 Revised 26 March 2019 City staff will provide electronic copies of the following information (as applicable and requested through the City PM): a) Electronic index and database of City’s Record Drawing and record information. b) Record Drawings and record information 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). d) Copy of Geotechnical Investigation Report. g) Traffic counts. Note: Applicable Master Plans and GIS mapping are available on the City’s website. The records provided for A/E’s use under this Contract are proprietary, copyrighted, and authorized for use only by A/E, and only 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 from the City Project Manager, the A/E will: a) Provide coordination with electric and communication utility companies and private pipeline companies that may have existing facilities and must be relocated to accommodate the proposed improvements. Inform private utility and pipeline owners whose facilities fall within the project limits of the proposed improvements. Identify areas of potential conflicts. Coordinate with private utility and pipeline owners to obtain needed locations of their respective utility/pipeline, including Level A SUE by private utility/pipeline owner as necessary. Coordinate necessary adjustments and provide a project schedule to utility/pipeline owner. Provide utility/pipeline relocation schedule to the City and update monthly. b) Coordinate with AEP and City Traffic Engineering to identify location of electrical power conduit for street lighting and traffic signalization. c) Identify the approximate locations and areas of existing utilities and pipelines that may have a significant potential impact on the proposed features or utilities and for which the existing location(s) cannot be adequately determined by the SUE investigation up to and including Level B, and which require a Level A exploratory excavation during the design phase. These critical locations and their basis of potential impact are to be clearly provided on a layout for the City PM. d) Provide assistance to identify potential needs for testing, handling and disposal of any hazardous materials and/or contaminated soils that may be discovered during construction (to be included under additional services). e) Prepare Construction Documents in City standard format for the work identified in the approved ELR. Construction plans to include improvements or modifications to the street, storm water, water, wastewater, gas, IT, signal, and lighting systems within the Project limits, per the Project scope. Include standard City of Corpus Christi detail sheets and specifications as applicable to the Project. 1. Prepare construction plans in compliance with CPPS using English units on full-size (22” x 34”). 2. Prepare Traffic Control and Construction Sequencing Plans. The TCP will include construction sequencing, typical cross section and EXHIBIT “A” Page 4 of 13 Revised 26 March 2019 construction phasing plan sheets, warning and barricades, as well as standards sheets for barricades, traffic control plan, work zone pavement markings and signage. 3. Provide pollution control measures and BMP layout for the Contractor’s Storm Water Pollution Prevention Plan, using the City Standard Notes and BMP Detail Sheets as applicable. 4. Include computer model results and calculations used to analyze drainage. f) Submit two (2) sets of the interim plans (60% submittal) in electronic and half- size (11” x 17”) hard copies using City Standards as applicable to City staff for review and approval purposes with 60% estimates of probable construction costs. Identify distribution list for plans and bid documents to all affected franchise utilities and stakeholders. 1. Required with the interim plans is: a. Design Submittal Packet Checklist b. Executive Summary of the 60% submittal,” which will identify and briefly summarize the Project by distinguishing key elements of the Project, decisions made, outstanding issues, items TBD, Opinion of Probable Construction Costs (OPCC) compared to construction budget and the schedule with changes identified. c. Project Submittal Checklist d. Drawing Review Checklist e. OPCC f. Drawings g. Draft Table of Contents with specification list 2. Initiate 60% submittal discussion with City PM to brief PM on any concerns or issues prior to distribution of 60% submittal. g) Participate in Project 60% review meeting. Prepare and distribute meeting meetings to attendees within five working days of the meeting. Assimilate all review comments, as appropriate, and upon confirmation from the City PM proceed to the 90% design. h) Submit two (2) sets of the pre-final plans and bid documents (90% submittal) in electronic and half-size hard copies using City Standards as applicable to City staff for review and approval purposes. Include the 90% estimate of probable construction costs, 90% submittal Executive Summary, Submittal Packet, Project, and Drawing Checklists, responses to previous review comments and the Contract Document Book with in-line Track Changes in red to identify all proposed edits to the City Construction Contracts. i) Participate in Project 90% review meeting. Prepare and distribute meeting meetings to attendees within five working days of the meeting. Assimilate all review comments, as appropriate, and proceed to the pre-ATA submittal. j) Provide one (1) set of the pre-ATA plans (100% unsealed and unstamped) in electronic and half-size hard copy using City Standards as applicable for City’s Pre-ATA review. Include the pre-ATA OPCC and written responses to previous review comments. The pre-ATA (100%) submittal will not include a full distribution and review unless in the opinion of the City Project Manager the questions from the previous review have not been adequately addressed or resolved in the pre-ATA submittal. If this occurs, the PM may request additional distribution, meeting, review and related revisions at no additional cost to the City. See item (l) below. EXHIBIT “A” Page 5 of 13 Revised 26 March 2019 k) Assimilate all pre-ATA comments, as appropriate, and provide one (1) set of the final plans and contract documents (signed and sealed, electronic and half- 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. l) Provide Quality Assurance/Quality Control (QA/QC) measures to ensure that all submittals accurately reflect the percent 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. m) 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 Project. 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, Front End Contract Documents, and forms for required bid documents. 3. Bid Phase. The A/E will: a) Participate in the pre-bid conference and submit agenda for critical construction activities and elements impacting the Project to PM prior to pre-bid conference. b) Assist the City in solicitation of bids by identification and notification of prospective bidders. c) Review all pre-bid questions and submissions concerning the bid documents and prepare, in the City’s format for Engineering Services’ approval, any addenda or other revisions necessary to inform Contractors of approved changes prior to bidding. d) Attend bid opening, analyze and evaluate bids, and prepare bid tabulation in City format. Provide bid tabulation in Excel and PDF formats. e) AE shall review Statement of Experience and confirm it meets Contract requirements. AE shall contact three (3) lowest bidder’s references for review and evaluation. Provide signed recommendation concerning award of the Contract on Company letterhead. f) In the event the lowest responsible bidder’s bid exceeds the construction budget provided by the Engineering Services in accordance with the A/E’s design phase OPCC estimate required above, the Engineer will confer with City staff and provide recommendations for potential remedy options to reconcile scope and/or budget, and if necessary, make such revisions to the bid documents as the City staff deems necessary to re-advertise the Project for bids. EXHIBIT “A” Page 6 of 13 Revised 26 March 2019 g) Provide two (2) hard copy sets and one (1) electronic set of conformed drawings and conformed Contract Documents (PDF and original format {CAD/word/etc.}) to the City. The City staff will: a) Advertise the Project for bidding, maintain the list of prospective bidders, issue (with the assistance of the A/E) any addenda, supply bid tabulation forms, and conduct bid opening. b) Receive the Engineer’s recommendation concerning bid evaluation and recommendation and prepare agenda materials for the City Council concerning bid awards. c) Prepare, review and provide copies of the Contract for execution between the City and the Contractor. 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 impacting the project. b) Review Contractor submittals and operating and maintenance manuals for conformance to Contract Documents. c) If requested by the City, 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 as requested by the Owner’s Authorized Representative (OAR). e) Make periodic 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) Provide interpretations and clarifications of the plans and specifications for the Contractor and recommendations to the City for minor changes which do not affect the Contractor’s price and are not contrary to the general interest of the City under the Contract as requested by the OAR g) 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. h) Review Contractor-provided construction “red-line” drawings. Prepare Project Record Drawings and provide a reproducible set and electronic file (both PDF and AutoCAD r.14 or later) within one (1) month of receiving the Contractor’s red- line drawings. 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 Record Drawings should incorporate the Contractor’s red-lines and identify all changes made during construction. The Drawing Cover and each sheet should be clearly identified as the Record Drawing and should indicate the basis and date. i) When requested by the OAR, assist in addressing Request for Information (RFI) submitted by the Contractor. EXHIBIT “A” Page 7 of 13 Revised 26 March 2019 The City staff will: a) Prepare applications/estimates for payments to Contractor. b) Conduct the final 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 Director of Engineering Services. A/E may not begin work on any services under this section without specific written authorization by the Director of Engineering Services. Fees for Additional Services are an allowance for potential services to be provided and will be negotiated by the Director of Engineering Services as required. The A/E shall, with written authorization by the Director of Engineering Services, perform the following: 1. Permit Preparation. Furnish the City all engineering data and documentation necessary for all required permits. The A/E will prepare this documentation for all required signatures. The A/E will prepare and submit identified permits as applicable to the appropriate local, state, and federal authorities, including: a) Union Pacific Railroad, Missouri Pacific Railroad, or any other railroad operating in the area b) TxDOT utility and environmental permits, multiple use agreements c) Wetlands Delineation and Permit d) Temporary Discharge Permit e) NPDES Permit/Amendments (including SSC, NOI, NOT) f) Texas Commission of Environmental Quality (TCEQ) Permits/Amendments g) Nueces County h) Texas Historical Commission (THC) i) U.S. Fish and Wildlife Service (USFWS) j) U.S. Army Corps of Engineers (USACE) k) United States Environmental Protection Agency (USEPA) l) Texas Department of Licensing and Regulation (TDLR) 1. Provide copy of Contract Documents along with appropriate fee to Texas Department of Licensing and Regulation (TDLR) for review and approval of accessibility requirements for pedestrian improvements (as authorized by Additional Services). 2. Coordinate RAS inspection services at the end of construction and pay associated fee. m) Texas General Land Office (TGLO) n) Other agency project-specific permits 2. Topographic and Right-of-Way (ROW) Survey. All work must comply with Category 1-A, Condition I specifications of the Texas Society of Professional Surveyors’ Manual of Practice for Land Surveying in the State of Texas, latest edition. All work must be tied to and in conformance with the City’s Global Positioning System (GPS) control network. All work must comply with all TxDOT requirements as applicable. Include references tying Control Points to a minimum of two (2) registered NGS Benchmark Monuments in the vicinity of the Project that will not be disturbed by construction. Survey sheets shall be sealed, provided to the City and included in the bid document plan set. a) Establish Horizontal and Vertical Control. b) Establish both primary and secondary horizontal/vertical control. EXHIBIT “A” Page 8 of 13 Revised 26 March 2019 c) Set project control points for Horizontal and Vertical Control outside the limits of area that will be disturbed by construction. d) Horizontal control will be based on NAD 83 State plane coordinates (South Zone), and the data will have no adjustment factor applied – i.e. – the coordinate data will remain in grid. e) Vertical control will be based on NAVD 88. f) All control work will be established using conventional (non-GPS) methods. Perform topographic surveys to gather existing condition information. g) Locate proposed soil/pavement core holes as drilled by the City’s Geotechnical Engineering Consultant. h) Obtain x, y, and z coordinates of all accessible existing wastewater, storm water, water, IT and gas lines as well as any other lines owned by third-parties and locate all visible utilities, wells and signs within the apparent ROW width along project limits. Survey shall include utility marking from the Texas 811 request. i) Open accessible manholes and inlets to obtain information on structure invert, type, and size; and all related pipe size, type, invert, orientation, and flow direction. j) Everything up to and including Level B subsurface engineering (SUE) is to be included in Topographic Survey. Surveying services related to Level A SUE shall be provided when needed as part of the scope of work for SUE below. k) Locate existing features within the apparent ROW. l) Locate and identify trees, at least five inches in diameter, and areas of significant landscape or shrubs within the apparent ROW. m) Generate electronic planimetric base map for use in project design. n) Obtain finished floor elevations of critical and habitable structures along the roadway corridor as needed to certify drainage design criteria are met. o) The survey should not stop at the property line, but should extend beyond the property line as needed to pick up features and surface flow patterns in the vicinity of the Project that could potentially impact the design or be impacted by the construction. This includes features such as existing swales or ditches, foundations, loading docks/overhead doors, driveways, parking lots, etc. p) Research plats, ROW maps, deed, easements, and survey for fence corners, monuments, and iron pins within the existing ROW and analyze to establish existing apparent ROW. q) Provide a preliminary base map containing apparent ROW, which will be used by the A/E to develop the proposed alignment and its position relative to the existing and proposed ROW. This preliminary base map must show lot or property lines, addresses, and significant business/facility names. 3. ROW/Easement Acquisition Survey and Parcel Descriptions All work must be tied to and conform with the City’s Global Positioning System (GPS) control network and comply with Category 6, Condition I specifications of the Texas Society of Professional Surveyors’ Manual of Practice for Land Surveying in the State of Texas, latest edition. a) Set property corners and prepare right of way strip parcel map depicting all parcels proposed for acquisition. Metes and bounds descriptions must indicate parent tract areas based on the most accurate information available. Strip map will show entire parent tracts at a representative scale and for information only. All existing easements within the parcels to be acquired and those within adjacent parcels must be shown. EXHIBIT “A” Page 9 of 13 Revised 26 March 2019 b) Prepare Metes and Bound Instrument with supporting exhibits as required and agreed upon, subsequent to ELR acceptance for ROW parcels, utility easements and temporary construction easements. c) Prepare individual signed and sealed parcel maps and legal descriptions for the required right of way acquisition for parcels and easements. A strip map showing all parcels required will be submitted along with parcel descriptions. If boundary conflicts between Owners are identified, additional fees may be authorized if needed. A/E shall submit parcel maps and legal descriptions prior to the 60% submittal. d) A/E must obtain Preliminary Title Reports from a local title company and provide copies of the title reports to the City. Preliminary Title Report shall identify title ownership and any title encumbrances to all right-of-way to be acquired. 4. Environmental Issues. Identify and develop a scope of work for any testing, handling and disposal of hazardous materials and/or contaminated soils that may be discovered during construction. 5. Public Involvement. Participate in two public meetings. One public meeting shall be held after submittal of the Final Engineering Letter Report and one public meeting shall be held prior to start of project construction. Prepare exhibits for meetings. Provide follow-up and response to citizen comments. Revise contract drawings to address citizen comments, as directed by the City. Significant revisions based on public meeting feedback may be negotiated for an additional fee. 6. Subsurface Utility Investigation (Level A) SUE investigation for all utilities (City and third party) shall be conducted to Level B as part of Topographic Survey referenced above and in accordance with ASCE Standard “ASCE C-I, 38-02, Standard Guideline for the Collection and Depiction of Existing Subsurface Utility Data”. A sealed Level A SUE report shall be provided to the City and included in the bid documents as an appendix. a) Provide subsurface utility engineering in accordance with ASCE Standard “ASCE C-I, 38-02, Standard Guideline for the Collection and Depiction of Existing Subsurface Utility Data” including, but not limited to, hydro-excavation. The proposed subsurface utility investigation will be as follows: i) Excavation – The survey scope includes working with a subsurface utility excavator to perform Quality Level A investigation of underground utilities in specified areas through the project limit. Quality Level A includes the use of minimally intrusive excavation equipment at critical points to determine the horizontal and vertical position of underground utilities, as well as the type, size, condition, material, and other characteristics. Utilities located at this quality level will be physically located and tied to the topographic survey control. The utility will be identified, and an elevation will be obtained to the top of the utility. 7. Construction Observation Services. To Be Determined. EXHIBIT “A” Page 10 of 13 Revised 26 March 2019 8. 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. 9. Televising Utility Lines. Provide cleaning and televising of existing utility lines to verify existing conditions. Analyze photos and videos to recommend repairs and/or improvements and provide a written report with findings and recommendations. A copy of all photos and videos (in standard video and image format) shall be provided to the City. 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”. EXHIBIT “A” Page 11 of 13 Revised 26 March 2019 II.SCHEDULE Date/Revised Activity July 9, 2019 / Sept. 10, 2019 NTP July 30, 2019 / Oct. 1, 2019 Draft ELR submittal August 20, 2019 / Oct. 22, 2019 City Review September 10, 2019 / Nov. 12, 2019 Final ELR submittal October 9, 2019 / Dec. 11, 2019 60% Design Submittal October 30, 2019 / Jan. 2, 2020 City Review November 20, 2019 / Jan. 22, 2020 90% Design Submittal December 11, 2019 / Feb. 12, 2020 City Review January 7, 2020 / March 10, 2020 100% Pre-ATA Submittal January 31, 2020 / April 3, 2020 Final Sealed Bid Package February 12, 2020 / April 15, 2020 Sealed Plans February 24, 2020 / April 27, 2020 Advertise for Bids March 4, 2020 / May 6, 2020 Pre-Bid Conference March 11, 2020 / May 13, 2020 Receive Bids April 7, 2020 / June 9, 2020 Contract Award May 6, 2020 / July 8, 2020 Begin Construction TBD Complete Construction III.FEES A.Fee for Basic Services. The City will pay the A/E a fixed fee for providing 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. B.Fee for Additional Services. For services authorized by the Director of Engineering Services under Section I.B. “Additional Services”, the City will pay the A/E a not-to-exceed fee as per the table below: Junior Beck Drive from Bear Lane to Dead End Project No. 18023A Urban Engineering SUMMARY OF FEES Junior Beck Drive (Bear Lane to Dead End) Street Storm Water Wastewater Water Total Basic Services 1 Preliminary Phase $23,186.00 $7,727.00 $4,635.00 $3,092.00 $38,640.00 2 Design Phase 63,750.00 21,250.00 12,750.00 8,510.00 106,260.00 3 Bid Phase 5,800.00 1,930.00 1,160.00 770.00 9,660.00 4 Construction Administration Phase 17,890.00 6,800.00 3,750.00 2,540.00 30,980.00 Subtotal Basic Services 110,626.00 37,707.00 22,295.00 14,912.00 185,540.00 Additional Services 1 Permit Preparation NPDES 2,375.00 2,375.00 2,375.00 2,375.00 9,500.00 TDLR 1,875.00 1,875.00 1,875.00 1,875.00 7,500.00 2 Topographic and ROW Survey 7,003.75 7,003.75 7,003.75 7,003.75 28,015.00 3 ROW / Easement Acquisition Survey and Parcel Descriptions 0.00 4 Environmental Issues 0.00 5 Public Involvement 3,000.00 3,000.00 3,000.00 3,000.00 12,000.00 6 Subsurface Utility Investigation (Level A)0.00 7 Construction Observation Services 0.00 8 Warranty Phase 0.00 9 Televising Utility Lines 0.00 Subtotal Additional Services 14,253.75 14,253.75 14,253.75 14,253.75 57,015.00 Total Fee $124,879.75 $51,960.75 $36,548.75 $29,165.75 $242,555.00 EXHIBIT “A” Page 12 of 13 Revised 26 March 2019 Junior Beck Drive from Bear Lane to Dead End Project No. 18023A Urban Engineering SUMMARY OF FEES Junior Beck Drive (New construction to Old Brownsville Road) Street Storm Water Wastewater Water Total Basic Services 1 Preliminary Phase $16,875.00 $5,625.00 $3,375.00 $2,250.00 $28,125.00 2 Design Phase 37,125.00 12,375.00 7,425.00 4,950.00 61,875.00 3 Bid Phase 3,375.00 1,125.00 675.00 450.00 5,625.00 4 Construction Administration Phase 10,125.00 3,375.00 2,025.00 1,350.00 16,875.00 Subtotal Basic Services 67,500.00 22,500.00 13,500.00 9,000.00 112,500.00 Additional Services 1 Permit Preparation 0.00 2 Topographic and ROW Survey 4,375.00 4,375.00 4,375.00 4,375.00 17,500.00 3 ROW / Easement Acquisition Survey and Parcel Descriptions 875.00 875.00 875.00 875.00 3,500.00 4 Environmental Issues 0.00 5 Public Involvement 0.00 6 Subsurface Utility Investigation (Level A)0.00 7 Construction Observation Services 0.00 8 Warranty Phase 0.00 9 Televising Utility Lines 0.00 Subtotal Additional Services 5,250.00 5,250.00 5,250.00 5,250.00 21,000.00 Total Fee $72,750.00 $27,750.00 $18,750.00 $14,250.00 $133,500.00 TOTAL AUTHORIZED FEE $197,629.75 $79,710.75 $55,298.75 $43,415.75 $376,055.00 EXHIBIT “A” Page 13 of 13 Revised 26 March 2019 Contract for Professional Services EXHIBIT B SAMPLE PAYMENT REQUEST FORM Company Name Billing Contact Info Original Amend Amend Total Previous Current Total Remaining Percent Basic Services:Contract No. 1 No. 2 Contract Invoice Invoice Invoiced Balance Invoiced Preliminary Phase $1,000.00 $0.00 $0.00 $1,000.00 $0.00 $1,000.00 $1,000.00 $0.00 100.0% Design Phase $2,000.00 $1,000.00 $0.00 $3,000.00 $1,000.00 $500.00 $1,500.00 $1,500.00 50.0% Bid Phase $500.00 $0.00 $250.00 $750.00 $0.00 $0.00 $0.00 $750.00 0.0% Construction Admin Phase $2,500.00 $0.00 $1,000.00 $3,500.00 $0.00 $0.00 $0.00 $3,500.00 0.0% Subtotal Basic Services $6,000.00 $1,000.00 $1,250.00 $8,250.00 $1,000.00 $1,500.00 $2,500.00 $5,750.00 30.3% Additional Services: Permit Prepartion $2,000.00 $0.00 $0.00 $2,000.00 $500.00 $0.00 $500.00 $1,500.00 25.0% Topographic Survey $5,000.00 $0.00 $0.00 $5,000.00 $0.00 $0.00 $0.00 $5,000.00 0.0% ROW Acquisition Survey $1,000.00 $0.00 $0.00 $1,000.00 $0.00 $0.00 $0.00 $1,000.00 0.0% Environmental Issues $500.00 $0.00 $0.00 $500.00 $0.00 $0.00 $0.00 $500.00 0.0% Public Meetings $1,200.00 $0.00 $0.00 $1,200.00 $0.00 $0.00 $0.00 $1,200.00 0.0% Construction Observation $10,000.00 $0.00 $0.00 $10,000.00 $0.00 $0.00 $0.00 $10,000.00 0.0% Traffic Control $0.00 $5,000.00 $0.00 $5,000.00 $0.00 $0.00 $0.00 $5,000.00 0.0% Signalization Improvements $0.00 $0.00 $1,000.00 $1,000.00 $0.00 $0.00 $0.00 $1,000.00 0.0% Warranty Phase $0.00 $1,120.00 $0.00 $1,120.00 $0.00 $0.00 $0.00 $1,120.00 0.0% Construction Inspection (T&M)$0.00 $0.00 $5,000.00 $5,000.00 $0.00 $0.00 $0.00 $5,000.00 0.0% Platting Survey TBD TBD TBD TBD TBD TBD TBD TBD TBD O & M Manuals TBD TBD TBD TBD TBD TBD TBD TBD TBD SCADA TBD TBD TBD TBD TBD TBD TBD TBD TBD Subtotal Additional Services $19,700.00 $6,120.00 $6,000.00 $31,820.00 $500.00 $0.00 $500.00 $31,320.00 1.6% Summary of Fees: Basic Services Fees $6,000.00 $1,000.00 $1,250.00 $8,250.00 $1,000.00 $1,500.00 $2,500.00 $5,750.00 30.3% Additional Services Fees $19,700.00 $6,120.00 $6,000.00 $31,820.00 $500.00 $0.00 $500.00 $31,320.00 1.6% Total of Fees $25,700.00 $7,120.00 $7,250.00 $40,070.00 $1,500.00 $1,500.00 $3,000.00 $37,070.00 7.5% Notes: If needed, update this sample form based on the contract requirements. If applicable, refer to the contract for information on what to include with time and materials (T&M). COMPLETE PROJECT NAME City Project No. XXXX Invoice No. 12345 Invoice Date: MM/DD/YYYY Billing Period: From XXXXX to YYYYY Contract for Professional Services 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 a ny subcontractor has been obtained. 1.2 Consultant must furnish to the Director of Contracts and Procurement 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 In the event of a change in insurance coverage, Consultant shall be required to submit a copy of the replacement certificate of insurance to City at the address provided below within 10 business days of said change. Consultant shall pay any costs re sulting from said changes. All notices under this Article shall be given to City at the following address: City of Corpus Christi Attn: Contracts and Procurement P.O. Box 9277 Corpus Christi, TX 78469-9277 Contract for Professional Services 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 If the policy is cancelled, other than for nonpayment of premium, notice of such cancellation will be provided at least 30 days in advance of the cancellation effective date to the certificate holder. 1.6.2 If the policy is cancelled for nonpayment of premium, notice of such cancellation will be provided within 10 days of the cancellation effective date to the certificat e holder. 1.7 Within five (5) calendar days of a suspension, cancellation or non-renewal of coverage, Consultant shall notify City of such lapse in coverage and 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 withhold any payment(s) if any, which become du e 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 per sons 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. Contract for Professional Services EXHIBIT D Excerpt from Corpus Christi General Conditions for Construction Projects Related to Design Services Excerpt from Form 00 72 00 General Conditions - 1 Rev 18-2 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, Physical and Hazardous Environmental Conditions .............. 9 Article 6 – Bonds and Insurance ................................................................................................................. 10 Article 7 – Contractor’s Responsibilities ..................................................................................................... 10 Article 8 – Other Work at the Site ............................................................................................................... 10 Article 9 – Owner’s and OPT’s Responsibilities ........................................................................................... 10 Article 10 – OAR’s and Designer’s Status During Construction .................................................................. 11 Article 11 – Amending the Contract Documents; Changes in the Work .................................................... 13 Article 12 – Change Management .............................................................................................................. 13 Article 13 – Claims ....................................................................................................................................... 14 Article 14 – Prevailing Wage Rate Requirements ....................................................................................... 16 Article 15 – Cost of the Work; Allowances; Unit Price Work ...................................................................... 16 Article 16 – Tests and Inspections; Correction, Removal, or Acceptance of Defective Work .................... 16 Article 17 – Payments to Contractor; Set-Offs; Completion; Correction Period ........................................ 16 Article 18 – Suspension of Work and Termination ..................................................................................... 16 Article 19 – Project Management ............................................................................................................... 16 Article 20 – Project Coordination ................................................................................................................ 16 Article 21 – Quality Management ............................................................................................................... 17 Article 22 – Final Resolution of Disputes .................................................................................................... 17 Article 23 – Minority/MBE/DBE Participation Policy .................................................................................. 17 Article 24 – Document Management .......................................................................................................... 17 Article 25 – Shop Drawings ......................................................................................................................... 17 Article 26 – Record Data ............................................................................................................................. 20 Article 27 – Construction Progress Schedule .............................................................................................. 21 Article 28 – Video and Photographic documentation ................................................................................ 21 Article 29 – Execution and Closeout ........................................................................................................... 21 Article 30 – Miscellaneous .......................................................................................................................... 22 Excerpt from Form 00 72 00 General Conditions - 2 Rev 18-2 ARTICLE 1 – DEFINITIONS AND TERMINOLOGY 1.01 Defined Terms A. Terms with initial capital letters, including the term’s singular and plural forms, have the meanings 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. 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; Excerpt from Form 00 72 00 General Conditions - 3 Rev 18-2 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. §§5101 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. 21. Contract Times - The number of days or the dates by which Contractor must: a. Achieve specified Milestones; Excerpt from Form 00 72 00 General Conditions - 4 Rev 18-2 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 15. 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 17.12 or 17.13. 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, Registered Architects or Registered Landscape 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. 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. Excerpt from Form 00 72 00 General Conditions - 5 Rev 18-2 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. 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. The Progress Schedule must be a Critical Path Method (CPM) Schedule. 44. Project - The total undertaking to be accomplished for Owner under the Contract Documents. Excerpt from Form 00 72 00 General Conditions - 6 Rev 18-2 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; 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, Excerpt from Form 00 72 00 General Conditions - 7 Rev 18-2 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. 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. Excerpt from Form 00 72 00 General Conditions - 8 Rev 18-2 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 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 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. Excerpt from Form 00 72 00 General Conditions - 9 Rev 18-2 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 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 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. Excerpt from Form 00 72 00 General Conditions - 10 Rev 18-2 5.05 Underground Facilities 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 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. Excerpt from Form 00 72 00 General Conditions - 11 Rev 18-2 9.06 Insurance 9.07 Modifications 9.08 Inspections, Tests, and Approvals A. OPT’s responsibility with respect to certain inspections, tests, and approvals are described in Paragraph 16.02. 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 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. Excerpt from Form 00 72 00 General Conditions - 12 Rev 18-2 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 16. OAR is to issue a Defective Work Notice to Contractor and document when Defective Work has been corrected or accepted in accordance with Article 16. 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 Article 11. D. OAR’s authority related to Applications for Payment is described in Articles 15 and 17. 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 16.04, 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. 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. Excerpt from Form 00 72 00 General Conditions - 13 Rev 18-2 ARTICLE 11 – AMENDING THE CONTRACT DOCUMENTS; CHANGES IN THE WORK ARTICLE 12 – CHANGE MANAGEMENT 12.01 Requests for Change Proposal A. Designer will initiate Modifications by issuing a Request for a Change Proposal (RCP). 1. Designer will prepare a description of proposed Modifications. 2. Designer will issue the Request for a Change Proposal form to Contractor. A number will be assigned to the Request for a Change Proposal when issued. 3. Return a Change Proposal in accordance with Paragraph 12.02 to the Designer for evaluation by the OPT. 12.02 Change Proposals A. Submit a Change Proposal (CP) to the Designer for Contractor initiated changes in the Contract Documents or in response to a Request for Change Proposal. 1. Use the Change Proposal form provided. 2. Assign a number to the Change Proposal when issued. 3. Include with the Change Proposal: a. A complete description of the proposed Modification if Contractor initiated or proposed changes to the OPT’s description of the proposed Modification. b. The reason the Modification is requested, if not in response to a Request for a Change Proposal. c. A detailed breakdown of the cost of the change if the Modification requires a change in Contract Price. The itemized breakdown is to include: 1) List of materials and equipment to be installed; 2) Man hours for labor by classification; 3) Equipment used in construction; 4) Consumable supplies, fuels, and materials; 5) Royalties and patent fees; 6) Bonds and insurance; 7) Overhead and profit; 8) Field office costs; 9) Home office cost; and 10) Other items of cost. d. Provide the level of detail outlined in the paragraph above for each Subcontractor or Supplier actually performing the Work if Work is to be provided by a Subcontractor or Supplier. Indicate appropriate Contractor mark-ups for Work Excerpt from Form 00 72 00 General Conditions - 14 Rev 18-2 provided through Subcontractors and Suppliers. Provide the level of detail outline in the paragraph above for self-performed Work. e. Submit Change Proposals that comply with Article 15 for Cost of Work. f. Provide a revised schedule. Show the effect of the change on the Project Schedule and the Contract Times. B. Submit a Change Proposal to the Designer to request a Field Order. C. A Change Proposal is required for all substitutions or deviations from the Contract Documents. D. Request changes to products in accordance with Article 25. 12.03 Designer Will Evaluate Request for Modification A. Designer will issue a Modification per Article 11 if the Change Proposal is acceptable to the Owner. Designer will issue a Change Order or Contract Amendment for any changes in Contract Price or Contract Times. 1. Change Orders and Contract Amendments will be sent to the Contractor for execution with a copy to the Owner recommending approval. A Work Change Directive may be issued if Work needs to progress before the Change Order or Contract Amendment can be authorized by the Owner. 2. Work Change Directives, Change Orders, and Contract Amendments can only be approved by the Owner. a. Work performed on the Change Proposal prior to receiving a Work Change Directive or approval of the Change Order or Contract Amendment is performed at the Contractor’s risk. b. No payment will be made for Work on Change Orders or Contract Amendments until approved by the Owner. B. The Contractor may be informed that the Request for a Change Proposal is not approved and construction is to proceed in accordance with the Contract Documents. ARTICLE 13 – CLAIMS 13.01 Claims 13.02 Claims Process A. Claims must be initiated by written notice. Notice must conspicuously state that it is a notice of a Claim in the subject line or first sentence. Notice must also list the date of first occurrence of the claimed event. B. Claims by Contractor must be in writing and delivered to the Owner, Designer and the OAR within 7 days: 1. After the start of the event giving rise to the Claim; or 2. After a final decision on a Change Proposal has been made. Excerpt from Form 00 72 00 General Conditions - 15 Rev 18-2 C. Claims by Contractor that are not received within the time period provided by section 13.02(B) are waived. Owner may choose to deny such Claims without a formal review. Any Claims by Contractor that are not brought within 90 days following the termination of the Contract are waived and shall be automatically deemed denied. D. Claims by Owner must be submitted by written notice to Contractor. E. The responsibility to substantiate a Claim rests with the entity making the Claim. Claims must contain sufficient detail to allow the other party to fully review the Claim. 1. Claims seeking an adjustment of Contract Price must include the Contractor’s job cost report. Provide additional documentation as requested by OAR. 2. Claims seeking an adjustment of Contract Time must include native schedule files in Primavera or MS Project digital format. Provide additional documentation as requested by OAR. F. Contractor must certify that the Claim is made in good faith, that the supporting data is accurate and complete, and that to the best of Contractor’s knowledge and belief, the relief requested accurately reflects the full compensation to which Contractor is entitled. G. Claims by Contractor against Owner and Claims by Owner against Contractor, including those alleging an error or omission by Designer but excluding those arising under Section 7.12, shall be referred initially to Designer for consideration and recommendation to Owner. H. Designer may review a Claim by Contractor within 30 days of receipt of the Claim and take one or more of the following actions: 1. Request additional supporting data from the party who made the Claim; 2. Issue a recommendation; 3. Suggest a compromise; or 4. Advise the parties that Designer is not able to make a recommendation due to insufficient information or a conflict of interest. I. If the Designer does not take any action, the claim shall be deemed denied. J. The Contractor and the Owner shall seek to resolve the Claim through the exchange of information and direct negotiations. If no agreement is reached within 90 days, the Claim shall be deemed denied. The Owner and Contractor may extend the time for resolving the Claim by mutual agreement. Notify OAR of any actions taken on a Claim. K. Owner and Contractor may mutually agree to mediate the underlying dispute at any time after a recommendation is issued by the Designer. Excerpt from Form 00 72 00 General Conditions - 16 Rev 18-2 ARTICLE 14 – PREVAILING WAGE RATE REQUIREMENTS ARTICLE 15 – COST OF THE WORK; ALLOWANCES; UNIT PRICE WORK ARTICLE 16 – TESTS AND INSPECTIONS; CORRECTION, REMOVAL, OR ACCEPTANCE OF DEFECTIVE WORK ARTICLE 17 – PAYMENTS TO CONTRACTOR; SET-OFFS; COMPLETION; CORRECTION PERIOD ARTICLE 18 – SUSPENSION OF WORK AND TERMINATION ARTICLE 19 – PROJECT MANAGEMENT ARTICLE 20 – PROJECT COORDINATION 20.01 Work Included 20.02 Document Submittal 20.03 Communication During Project A. The OAR is to be the first point of contact for all parties on matters concerning this Project. B. The Designer will coordinate correspondence concerning: 1. Documents, including Applications for Payment. 2. Clarification and interpretation of the Contract Documents. 3. Contract Modifications. 4. Observation of Work and testing. 5. Claims. 20.04 Requests for Information A. Submit Request for Information (RFI) to the Designer to obtain additional information or clarification of the Contract Documents. 1. Submit a separate RFI for each item on the form provided. 2. Attach adequate information to permit a written response without further clarification. Designer will return requests that do not have adequate information to the Contractor for additional information. Contractor is responsible for all delays resulting from multiple document submittals due to inadequate information. 3. A response will be made when adequate information is provided. Response will be made on the RFI form or in attached information. B. Response to an RFI is given to provide additional information, interpretation, or clarification of the requirements of the Contract Documents, and does not modify the Contract Documents. C. Designer will initiate a Request for a Change Proposal (RCP) per Article 12 if the RFI indicates that a Contract Modification is required. Excerpt from Form 00 72 00 General Conditions - 17 Rev 18-2 ARTICLE 21 – QUALITY MANAGEMENT ARTICLE 22 – FINAL RESOLUTION OF DISPUTES ARTICLE 23 – MINORITY/MBE/DBE PARTICIPATION POLICY ARTICLE 24 – DOCUMENT MANAGEMENT ARTICLE 25 – SHOP DRAWINGS 25.01 Work Included A. Shop Drawings are required for those products that cannot adequately be described in the Contract Documents to allow fabrication, erection, or installation of the product without additional detailed information from the Supplier. B. Submit Shop Drawings as required by the Contract Documents and as reasonably requested by the OPT to: 1. Record the products incorporated into the Project for the Owner; 2. Provide detailed information for the products proposed for the Project regarding their fabrication, installation, commissioning, and testing; and 3. Allow the Designer to advise the Owner if products proposed for the Project by the Contractor conform, in general, to the design concepts of the Contract Documents. 25.02 Quality Assurance 25.03 Contractor’s Responsibilities 25.04 Shop Drawing Requirements A. Provide adequate information in Shop Drawings and Samples so Designer can: 1. Assist the Owner in selecting colors, textures, or other aesthetic features. 2. Compare the proposed features of the product with the specified features and advise Owner that the product does, in general, conform to the Contract Documents. 3. Compare the performance features of the proposed product with those specified and advise the Owner that the product does, in general, conform to the performance criteria specified in the Contract Documents. 4. Review required certifications, guarantees, warranties, and service agreements for compliance with the Contract Documents. Excerpt from Form 00 72 00 General Conditions - 18 Rev 18-2 25.05 Special Certifications and Reports 25.06 Warranties and Guarantees 25.07 Shop Drawing Submittal Procedures 25.08 Sample and Mockup Submittal Procedures 25.09 Requests for Deviation 25.10 Designer Responsibilities A. Shop Drawings will be received by the Designer. Designer will log the documents and review per this Article for general conformance with the Contract Documents. 1. Designer’s review and approval will be only to determine if the products described in the Shop Drawing or Sample will, after installation or incorporation into the Work, conform to the information given in the Contract Documents and be compatible with the design concept of the completed Project as a functioning whole as indicated by the Contract Documents. 2. Designer’s review and approval will not extend to means, methods, techniques, sequences, or procedures of construction or to safety precautions or programs incident thereto. 3. Designer’s review and approval of a separate item as such will not indicate approval of the assembly in which the item functions. B. Comments will be made on items called to the attention of the Designer for review and comment. Any marks made by the Designer do not constitute a blanket review of the document submittal or relieve the Contractor from responsibility for errors or deviations from the Contract requirements. 1. Designer will respond to Contractor’s markups by either making markups directly in the Shop Drawings file using the color green or by attaching a Document Review Comments form with review comments. 2. Shop Drawings that are reviewed will be returned with one or more of the following status designations: a. Approved: Shop Drawing is found to be acceptable as submitted. b. Approved as Noted: Shop Drawing is Approved so long as corrections or notations made by Designer are incorporated into the Show Drawing. c. Not Approved: Shop Drawing or products described are not acceptable. 3. Shop Drawing will also be designated for one of the following actions: a. Final distribution: Shop Drawing is acceptable without further action and has been filed as a record document. b. Shop Drawing not required: A Shop Drawing was not required by the Contract Documents. Resubmit the document per Article 26. Excerpt from Form 00 72 00 General Conditions - 19 Rev 18-2 c. Cancelled: This action indicates that for some reason, the Shop Drawing is to be removed from consideration and all efforts regarding the processing of that document are to cease. d. Revise and resubmit: Shop Drawing has deviations from the Contract Documents, significant errors, or is inadequate and must be revised and resubmitted for subsequent review. e. Resubmit with corrections made: Shop Drawing is “Approved as Noted,” but has significant markups. Make correction and notations to provide a revised document with markup incorporated into the original document so that no markups are required. f. Returned without review due to excessive deficiencies: Document does not meet the requirement of the Specifications for presentation or content to the point where continuing to review the document would be counterproductive to the review process or clearly does not meet the requirements of the Contract Documents. Revise the Shop Drawing to comply with the requirements of this Section and resubmit. g. Actions a through c will close out the Shop Drawing review process and no further action is required as a Shop Drawing. Actions d through f require follow up action to close out the review process. 4. Drawings with a significant or substantial number of markings by the Contractor may be marked “Approved as Noted” and “Resubmit with corrections made.” These drawings are to be revised to provide a clean record of the Shop Drawing. Proceed with ordering products as the documents are revised. 5. Dimensions or other data that does not appear to conform to the Contract Documents will be marked as “At Variance With” (AVW) the Contract Documents or other information provided. The Contractor is to make revisions as appropriate to comply with the Contract Documents. C. Bring deviations to the Shop Drawings to the attention of the Designer for approval by using the Shop Drawing Deviation Request form. Use a single line for each requested deviation so the Status and Action for each deviation can be determined for that requested deviation. If approval or rejection of a requested deviation will impact other requested deviations, then all related deviations should be included in that requested deviation line so the status and action can be determined on the requested deviation as a whole. D. Requested deviations will be reviewed as possible Modification to the Contract Documents. 1. A Requested deviation will be rejected as “Not Approved” if the requested deviation is unacceptable. Contractor is to revise and resubmit the Shop Drawing with corrections for approval. 2. A Field Order will be issued by the Designer for deviations approved by the Designer if the requested deviation is acceptable and if the requested deviation will not result in a change in Contract Price or Contract Times. Requested deviations from the Contract Documents may only be approved by Field Order. 3. A requested deviation will be rejected if the requested deviation is acceptable but the requested deviation will or should result in a change in Contract Price or Contract Times. Excerpt from Form 00 72 00 General Conditions - 20 Rev 18-2 Submit any requested deviation that requires a change in Contract Price or Contract Times as a Change Proposal for approval prior to resubmitting the Shop Drawing. E. Contractor is to resubmit the Shop Drawing until it is acceptable and marked Approved or Approved as Noted and is assigned an action per Paragraph 25.10.B that indicates that the Shop Drawing process is closed. F. Information that is submitted as a Shop Drawings that should be submitted as Record Data or other type of document, or is not required may be returned without review, or may be deleted. No further action is required and the Shop Drawing process for this document will be closed. ARTICLE 26 – RECORD DATA 26.01 Work Included 26.02 Quality Assurance 26.03 Contractor’s Responsibilities 26.04 Record Data Requirements 26.05 Special Certifications and Reports 26.06 Warranties and Guarantees 26.07 Record Data Submittal Procedures 26.08 Designer’s Responsibilities A. Record Data will be received by the Designer, logged, and provided to Owner as the Project record. 1. Record Data may be reviewed to see that the information provided is adequate for the purpose intended. Record Data not meeting the requirements of Paragraph 26.02 may be rejected as unacceptable. 2. Record Data is not reviewed for compliance with the Contract Documents. Comments may be returned if deviations from the Contract Documents are noted during the cursory review performed to see that the information is adequate. 3. Contractor’s responsibility for full compliance with the Contract Documents is not relieved by the review of Record Data. Contract modifications can only be approved by a Modification. B. Designer may take the following action in processing Record Data: 1. File Record Data as received if the cursory review indicates that the document meets the requirements of Paragraph 26.02. Document will be given the status of “Filed as Received” and no further action is required on that Record Data. 2. Reject the Record Data for one of the following reasons: a. The document submittal requirements of the Contract Documents indicate that the document submitted as Record Data should have been submitted as a Shop Excerpt from Form 00 72 00 General Conditions - 21 Rev 18-2 Drawing. The Record Data will be marked “Rejected” and “Submit Shop Drawing.” No further action is required on this document as Record Data and the Record Data process will be closed. Resubmit the document as a Shop Drawing per Article 25. b. The cursory review indicates that the document does not meet the requirements of Paragraph 26.02. The Record Data will be marked “Rejected” and “Revise and Resubmit.” Contractor is to resubmit the Record Data until it is acceptable and marked “Filed as Received.” When Record Data is filed, no further action is required and the Record Data process will be closed. c. The Record Data is not required by the Contract Documents nor is the Record Data applicable to the Project. The Record Data will be marked “Rejected” and “Cancel - Not Required.” No further action is required and the Record Data process will be closed. C. Contractor is to resubmit the Record Data until it is acceptable and marked “Filed as Received.” ARTICLE 27 – CONSTRUCTION PROGRESS SCHEDULE ARTICLE 28 – VIDEO AND PHOTOGRAPHIC DOCUMENTATION ARTICLE 29 – EXECUTION AND CLOSEOUT 29.01 Substantial Completion A. Notify the Designer that the Work or a designated portion of the Work is substantially complete per the General Conditions. Include a list of the items remaining to be completed or corrected before the Project will be considered to be complete. B. OPT will visit the Site to observe the Work within a reasonable time after notification is received to determine the status of the Project. C. Designer will notify the Contractor that the Work is either substantially complete or that additional Work must be performed before the Project will be considered substantially complete. 1. Designer will notify the Contractor of items that must be completed before the Project will be considered substantially complete. 2. Correct the noted deficiencies in the Work. 3. Notify the Designer when the items of Work in the Designer’s notice have been completed. 4. OPT will revisit the Site and repeat the process. 5. Designer will issue a Certificate of Substantial Completion to the Contractor when the OPT considers the Project to be substantially complete. The Certificate will include a tentative list of items to be corrected before Final Payment will be recommended. 6. Review the list and notify the Designer of any objections to items on the list within 10 days after receiving the Certificate of Substantial Completion. Excerpt from Form 00 72 00 General Conditions - 22 Rev 18-2 29.02 Final Inspections A. Notify the Designer when: 1. Work has been completed in compliance with the Contract Documents; 2. Equipment and systems have been tested per Contract Documents and are fully operational; 3. Final Operations and Maintenance Manuals have been provided to the Owner and all operator training has been completed; 4. Specified spare parts and special tools have been provided; and 5. Work is complete and ready for final inspection. B. OPT will visit the Site to determine if the Project is complete and ready for Final Payment within a reasonable time after the notice is received. C. Designer will notify the Contractor that the Project is complete or will notify the Contractor that Work is Defective. D. Take immediate steps to correct Defective Work. Notify the Designer when Defective Work has corrected. OPT will visit the Site to determine if the Project is complete and the Work is acceptable. Designer will notify the Contractor that the Project is complete or will notify the Contractor that Work is Defective. E. Submit the Request for Final Payment with the closeout documents described in Paragraph 29.06 if notified that the Project is complete and the Work is acceptable. ARTICLE 30 – MISCELLANEOUS END OF SECTION 37 37 181 77 N CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Junior Beck Drive - Bear Lane to Old Brownsville Road Project Number: 18023ALOCATION MAP NOT TO SCALE Junior Beck Drive - Bear Lane to Old Brownsville Road N CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Junior Beck Drive - Bear Lane to Old Brownsville Road Project Number: 18023AVICINITY MAP NOT TO SCALE Bear Lane Junior Beck DriveOld Bro wnsville Road Extension From Dead End to Old Brownsville Road Project No: 18010A 1 MA Legistar No.: 19-1316 Rev. 1 – 09/20/19 AGENDA MEMORANDUM Action Item for the City Council Meeting of October 15, 2019 DATE:September 13, 2019 TO:Peter Zanoni, City Manager THRU:Mark Van Vleck, Assistant City Manager markvv@cctexas.com (361) 826-3082 FROM:Jeff H. Edmonds, P. E., Director of Engineering Services jeffreye@cctexas.com (361) 826-3851 Albert Quintanilla, P. E., Director of Street Operations albertq@cctexas.com (361) 826-1957 Kim Baker, Director of Contracts and Procurement kimb2@cctexas.com (361) 826-3169 CAPTION: Motion awarding a contract to Munoz Engineeringfor design, bid, and construction phase services for reconstruction of Callicoatte Road from IH37 to Up-River Road in the amount of $154,712.05, located in City Council District 1, effective upon issuance of Notice to Proceed, with funds approved and available in Bond 2018 and Utility Capital Improvement Funds. SUMMARY: This contract provides for design, bid, and construction phase services for the reconstruction and underground utility improvements of Callicoatte Road from IH37 to Up-River Road as approved by City-voters as part of the Bond 2018 Street program. BACKGROUND AND FINDINGS: Callicoatte Road from IH37 to Up-River Road is a two-lane asphalt pavement street with shallow open ditches on both east and west sides of the street and aging underground utility systems. This contract provides for design and construction plan preparation to reconstruct the existing two-lane roadway with new pavement, signage, and pavement markings. Utility improvements include upgrades to water, wastewater systems and ditch regrading. Professional Services Contract Callicoatte Road from IH37 to Up-River Road Project No: 18010A 2 MA Legistar No.: 19-1316 Rev. 1 – 09/20/19 PROJECT TIMELINE: O N D J F M A M J J A S O N D J F M A 2020 BidDesign Construction 20212019 Projected Schedule reflects City Council award in October 2019 with construction completion in April 2021. COMPETITIVE SOLICITATION PROCESS: Munoz Engineering was selected for the Bond 2018 Callicoatte Road from IH37 to Up-River Road project in February 2019 under RFQ 2018-10. Callicoatte Road from IH37 to Up-River Road was one of thirty-two selections that were announced under the Transportation Category of the RFQ. Fifteen firms submitted under the Transportation Category and thirteen firms were selected. Munoz Engineering selected Callicoatte Road from IH37 to Up-River Road project as their second highest stated preference. The selection committee with two representatives from the Streets Department and two from Engineering Services ranked Munoz Engineering the most qualified based on five factors: 1) experience of the firm, 2) experience of the key personnel with specific experience with multiple Bond street programs and local utilities, 3) project approach and management plan, 4) capacity to meet the project requirements and timelines, and 5) past performance. ALTERNATIVES: Any alternative to awarding the contract to Munoz Engineering will delay the reconstruction of the project and impede Council goals of completing Bond 2018 street projects in a timely manner and within budget. FISCAL IMPACT: The project is a Bond 2018, Proposition A project approved by city voters in November 2018. This item will award the design, bid and construction phase services contract to Munoz Engineering for the design of roadway and utility improvements on Callicoatte Road from IH37 to Up-River Road in the amount of $154,712.05. This project is located in City Council District 1 and will proceed upon issuance of a Notice to Proceed, with funds available from Bond 2018, Proposition A in the amount of $ $78,338.58 and Utility Capital Improvement Program Funds in the amount of $76,373.47 for a total contract value of $154,712.05. FUNDING DETAIL: Fund:Street 2019 Bond 2018 P1 (Fund 3556) Mission Element:Street Pavement Maintenance (ME 051) Project:Callicoatte Road from IH37 to Up-River Road (18010A) Account: Outside Consultants (Account #550950) Activity: 18010-A-3556-EXP Project No: 18010A 3 MA Legistar No.: 19-1316 Rev. 1 – 09/20/19 Fund:Storm Water 2015 CIP (Fund 4530) Mission Element:Drainage Infrastructure (ME 043) Project:Callicoatte Road from IH37 to Up-River Road (18010A) Account: Outside Consultants (Account #550950) Activity: 18010-A-4530-EXP Fund:Wastewater 2012B Revenue Bond (Fund 4249) Mission Element:Wastewater Collection System (ME 042) Project:Callicoatte Road from IH37 to Up-River Road (18010A) Account: Outside Consultants (Account #550950) Activity: 18010-A-4249-EXP Fund:Water 2013 Bond 2012 (Fund 4094) Mission Element:Distribute Water (ME 041) Project:Callicoatte Road from IH37 to Up-River Road (18010A) Account: Outside Consultants (Account #550950) Activity: 18010-A-4094-EXP Fund:Gas 09 Revenue Bond 08 GO (Fund 4551) Mission Element:Gas Distribution System (ME 022) Project:Callicoatte Road from IH37 to Up-River Road (18010A) Account: Outside Consultants (Account #550950) Activity: 18010-A-4551-EXP RECOMMENDATION: City staff recommends awarding the contract to Munoz Engineering in the amount of $154,712.05, effective upon issuance of notice to proceed with funding approved and available in Street Bond 2018 and the Utility Capital Improvement program. LIST OF SUPPORTING DOCUMENTS: Location Map Contract Page 1 Rev. 19-8 SERVICE AGREEMENT NO. 2596 CONTRACT FOR PROFESSIONAL SERVICES 18010A Callicoatte Road from Up River Road to IH 37 (Bond 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 Munoz Engineering, LLC, 1608 S. Brownlee Boulevard, 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 .......................................................................3 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 ....................................................7 ARTICLE X OWNER REMEDIES .......................................................................7 ARTICLE XI CONSULTANT REMEDIES .............................................................8 ARTICLE XII CLAIMS AND DISPUTE RESOLUTION ..........................................8 ARTICLE XIII MISCELLANEOUS PROVISIONS .................................................10 EXHIBITS Page 2 Rev. 19-8 ARTICLE I – SCOPE OF SERVICES 1.1 City and Consultant agree that the services provided are properly described in the Scope of Services, which is 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. The approved Scope of Services defines the services to be performed by Consultant under this Agreement. 1.2 Consultant shall follow City Codes and Standards effective at the time of the execution of the contract. At review milestones, the Consultant and City will review the progress of the plans to ensure that City Codes and Standards are followed unless specifically and explicitly exclud ed 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 sub consultants of Consultant. Upon request, Consultant must provide City with a list of all subconsultants that includes the services performed by subconsultant and the % of work performed by subconsultant (in dollars). Changes in Consultant’s proposed team as specified in the SOQ or Scope of Services 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 chan ges, 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 D. 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. 1.6.3 The Consultant agrees to assist the City in evaluating the qualifications of the prospective contractors, subcontractors and suppliers. 1.7 For projects that require subsurface utility investigation: 1.7.1 The Consultant agrees to prepare and submit to the City prior to the 60% submittal a signed and sealed report identifying all utilities within the project area at the Quality Level specified in Exhibits A and A- 1. It is assumed that all utilities will be identified using Quality Level A exploratory excavation unless stated otherwise. 1.7.2 Utilities that should be identified include but are not limited to utilities owned by the City, local franchises, electric companies, communication companies, private pipeline companies and 3 rd party owners/operators. Page 3 Rev. 19-8 1.8 For project with potential utility conflicts: 1.8.1 The Consultant agrees to coordinate the verification and resolution of all potential utility conflicts. 1.8.2 The Consultant agrees to prepare and submit a monthly Utility Coordination Matr ix to the City. 1.9 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. 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. Ba sed on the findings of the QCP Review, the Consultant must reconcile the Project Scope and the Opinion of Probable Cost (OPC), as needed. 2.3 Final construction documents that do not meet City standards in effect at the time of the execution of this Agreement may be rejected. If final construction documents are found not to be in compliance with t his Agreement, 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 $154,712.05. 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 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, t he 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 in compliance with the Texas Prompt Payment Act. 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. Page 4 Rev. 19-8 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 t o 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 subco nsultants or vendors for labor, materials or equipment; 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 re moved 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 compens ation 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. The right to suspend work under this provision does not relieve t he City of its obligation to make payments in accordance with section 3.5 above for services provided up to the date of suspension. 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). 4.2 This service shall be for a period of ____ years beginning on the Effective Date. The Agreement may be renewed for up to _____ one -year renewal options 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 and conditions, plus any approved changes. Page 5 Rev. 19-8 4.3 The Consultant agrees to begin work on those authorized Services for this contract upon receipt of the Notice to Proceed from the Contracts and Procurement Department . 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 W ork for the Project, in accordance with the schedules approved by City. The Consultant and City are aware that many factors may affect the Con sultant’s ability to complete the services to be provided under this agreement. The Consultant must notify the City within ten 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. 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, Con sultant’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. 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, 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 Page 6 Rev. 19-8 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. 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 susp ension 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 w ork under this Agreement, including but not limited to specifications, designs, plans and exhibits . Page 7 Rev. 19-8 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 el ection, 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. 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 federa l 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. Page 8 Rev. 19-8 10.2 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. 10.3 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. 10.4 The City may withhold or nullify the whole or part of any payment as detailed in Article III. 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 regulation s 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 an y 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 o f 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. Page 9 Rev. 19-8 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 responsi bility 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. 12.2.2.1 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. 12.2.2.2 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 d ate of the request, except upon agreement of both parties. 12.2.2.3 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. 12.2.2.4 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 settlem ent 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 br each 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 f or 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 P arties expressly waive any claim to attorney’s fees should litigation result from any dispute between the parties to this Agreement. 12.5 In case of litigation between the parties, Consultant and City agree that they have knowingly waived and do hereby waive the right to trial by jury and have instead agreed, in the event of any litigation arising out of or connected to this Agreement, to proceed with a trial before the court, unless both parties subsequently agree otherwise in writing. 12.6 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. Page 10 Rev. 19-8 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 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 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 Independent Contractor. The relationship between the City and Consultant under this Agreement shall be that of independent contractor. City may explain to Consultant the City’s goals and objectives in regard to the services to be performed by Consultant, but the City shall not direct Consultant on how or in what manner these goals and objectives are to be met. 13.6 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. 13.7 No Third Party Beneficiaries. Nothing in this Agreement can be construed to create rights in any entity other than the City and Consultant. Neither the City nor Consultant intends to create third party beneficiaries by entering into this Agreement. 13.8 Disclosure of Interest. Consultant agrees to comply with City of Corpus Christi Ordinance No. 17112 and complete the Disclosure of Interests form. 13.9 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. 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 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. Page 11 Rev. 19-8 13.10 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. 13.11 Title VI Assurance. The Consultant shall prohibit discrimination in employment based upon race, color, religion, national origin, gender, disability or age. 13.12 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. 13.13 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. 13.14 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 Articles I-XIII of this Agreement (Articles), the Articles shall take precedence and control to resolve said conflict. CITY OF CORPUS CHRISTI MUNOZ ENGINEERING, LLC. ____________________________________ _____________________________________ Kim Baker, Date Ramiro Munoz, III, P. E. Date Director of Contracts and Procurement Principal/Project Manager 1608 S. Brownlee Boulevard Corpus Christi, TX 78404 APPROVED AS TO LEGAL FORM (361) 946-4848 Office ram@munozengrg.com ____________________________________ Assistant City Attorney Date ATTEST ____________________________________ City Secretary Date 09/10/19 Page 12 Rev. 19-8 Callicoatte Road from Up River Road to IH 37 (Bond 2018) (Project No. 18010A) Munoz Engineering Contract $154,712.05 Fund Name Accounting Unit Account Activity Amount Street 2019 Bond 2018 P1 3556-051 550950 18010-A-3556-EXP $78,338.58 Storm Water 2015 4530-043 550950 18010-A-4530-EXP 12,679.30 Wastewater 2012B RVBD 4249-042 550950 18010-A-4249-EXP 24,570.95 Water 2013 Bond 2012 4094-041 550950 18010-A-4094-EXP 36,148.25 Gas 09 RVBD 08 GO 4551-022 550950 18010-A-4551-EXP 2,974.97 Total $154,712.05 EXHIBIT “A” Page 1 of 11 EXHIBIT “A” CITY OF CORPUS CHRISTI, TEXAS CALLICOATE ROAD (IH 37 TO UP RIVER ROAD) PROJECT NO. 18010A BOND 2018 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/Engineering services. 1. Preliminary Phase. The Architect/Engineer (A/E), also referred to as Consultant, will: a) Attend Project Kick-off Meeting and distribute meeting minutes to attendees within five working days of the meeting. b) Provide recommended geotechnical investigations scope and coordinate testing with City’s geotechnical Consultant. Proposed sites shall be approved by the City Project Manager prior to performing geotechnical investigation. c) Request and review available reports, record drawings, utility maps and other information provided by the City pertaining to the project area. d) Develop preliminary requirements for utility relocations, replacements or upgrades. Coordinate with the City’s Project Manager and identify Operating Departments potential Project needs. e) Develop preliminary typical street sections and pavement sections, incorporating the City’s Geotechnical Consultant’s recommendations. All streets shall be designed with flexible and rigid pavements. f) Identify preliminary right-of-way acquisition requirements and illustrate on a schematic strip map. g) Prepare preliminary opinions of probable construction costs for the recommended improvements. h) Develop a Drainage Area Map showing the existing and proposed drainage basins served by the Project storm system. i) Conduct preliminary hydraulic analysis to quantify the storm water design of existing and proposed systems. j) Identify electric and communication utility companies and private pipeline companies that may have existing facilities and must be relocated to accommodate the proposed improvements. Submit a list of identified companies to the City. k) Conduct preliminary analysis of lighting and traffic signalization, including existing equipment, above/below ground electrical service, lane designations, etc. Coordinate signal requirements with City Street Department. Provide recommendations for improvements/upgrades. l) The AE will participate in discussions with the Operating Department; Development Services and other agencies (such as the Texas Department of Transportation (TXDOT) and Texas Commission of Environmental Quality (TCEQ) as required to satisfactorily complete the Project. Any directions or changes to scope provided by the Operating Department or other agencies shall be reviewed EXHIBIT “A” Page 2 of 11 with the City Engineering Department PM prior to including/excluding from the scope of work. m) Identify and analyze requirements of governmental authorities having jurisdiction to approve design of the Project including permitting, environmental, historical, construction, and geotechnical issues; upon request or concurrence of the Project Manager, coordinate with agencies such as RTA, USPS, affected school districts (CCISD, FBISD, etc.), community groups, etc. n) Identify and recommend public outreach and community stakeholder requirements. o) Request and review traffic counts from the City PM. p) 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, and document the work with text, tables, schematic- level exhibits and computer models or other applicable supporting documents required per City Plan Preparation Standards (CPPS). The Engineering Letter Report to include: 1. Provide a concise presentation of pertinent factors, sketches, designs, cross-sections, and parameters which will or may impact the design, including engineering design basis, preliminary layout sketches, construction sequencing, alignment, cross section, geotechnical testing report, right-of-way requirements, conformance to master plans, identification of needed additional services, identification of needed permits and environmental consideration, existing and proposed utilities, existing electric and communication utility companies and private pipeline companies, identification of quality and quantity of materials of construction, and other factors required for a professional design. 2. Include existing site photos with location key map 3. Provide opinion of probable construction costs. 4. Identify and analyze requirements of governmental authorities having jurisdiction to approve design of the Project including permitting, environmental, historical, construction, and geotechnical issues; meet as City agent or with City participation and coordinate with agencies such as TCEQ, RTA, CDBG, USPS, CCISD, community groups, TDLR, etc. 5. Summary of Geotechnical Report findings and criteria for pavement design, including the projected growth rate, 30-year ESAL estimate and SN value, 30 year pavement recommendation, etc. 6. Provide preliminary index of anticipated drawings and specifications. 7. Provide a preliminary summary table of anticipated required ROW parcels q) Submit one (1) copy in an approved electronic format, and three (3) hard copies of the Draft Engineering Letter Report. r) Initiate ELR submittal discussion with City PM to brief PM on any concerns or issues prior to distribution of ELR submittal. s) Participate in Project review meeting with City staff and others on the Draft Engineering Letter Report as scheduled by City Project Manager. t) Address review comments and questions and provide written responses to the City PM. u) Assimilate all City review comments into the Final Engineering Letter Report (ELR). Provide one (1) electronic and one (1) hard copy using City Standards as applicable and suitable for reproduction. EXHIBIT “A” Page 3 of 11 City staff will provide electronic copies of the following information (as applicable and requested through the City PM): a) Electronic index and database of City’s Record Drawing and record information. b) Record Drawings and record information 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). d) Copy of Geotechnical Investigation Report. g) Traffic counts. Note: Applicable Master Plans and GIS mapping are available on the City’s website. The records provided for A/E’s use under this Contract are proprietary, copyrighted, and authorized for use only by A/E, and only 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 from the City Project Manager, the A/E will: a) Provide coordination with electric and communication utility companies and private pipeline companies that may have existing facilities and must be relocated to accommodate the proposed improvements. Inform private utility and pipeline owners whose facilities fall within the project limits of the proposed improvements. Identify areas of potential conflicts. Coordinate with private utility and pipeline owners to obtain needed locations of their respective utility/pipeline, including Level A SUE by private utility/pipeline owner as necessary. Coordinate necessary adjustments and provide a project schedule to utility/pipeline owner. Provide utility/pipeline relocation schedule to the City and update monthly. b) Coordinate with AEP and City Traffic Engineering to identify location of electrical power conduit for street lighting and traffic signalization. c) Identify the approximate locations and areas of existing utilities and pipelines that may have a significant potential impact on the proposed features or utilities and for which the existing location(s) cannot be adequately determined by the SUE investigation up to and including Level B, and which require a Level A exploratory excavation during the design phase. These critical locations and their basis of potential impact are to be clearly provided on a layout for the City PM. d) Provide assistance to identify potential needs for testing, handling and disposal of any hazardous materials and/or contaminated soils that may be discovered during construction (to be included under additional services). e) Prepare Construction Documents in City standard format for the work identified in the approved ELR. Construction plans to include improvements or modifications to the street, storm water, water, wastewater, gas, IT, signal, and lighting systems within the Project limits, per the Project scope. Include standard City of Corpus Christi detail sheets and specifications as applicable to the Project. 1. Prepare construction plans in compliance with CPPS using English units on full-size (22” x 34”). 2. Prepare Traffic Control and Construction Sequencing Plans. The TCP will include construction sequencing, typical cross section and construction phasing plan sheets, warning and barricades, as well as standards sheets for barricades, traffic control plan, work zone pavement markings and EXHIBIT “A” Page 4 of 11 signage. Provide temporary Traffic Control parameters, recommended sequencing and performance requirements for Contractors to develop the construction TCP. 3. Provide pollution control measures and BMP layout for the Contractor’s Storm Water Pollution Prevention Plan, using the City Standard Notes and BMP Detail Sheets as applicable. 4. Include computer model results and calculations used to analyze drainage. f) Submit three (3) sets of the interim plans (60% submittal) in electronic and half- size (11” x 17”) hard copies using City Standards as applicable to City staff for review and approval purposes with 60% estimates of probable construction costs. Identify distribution list for plans and bid documents to all affected franchise utilities and stakeholders. 1. Required with the interim plans is: a. Design Submittal Packet Checklist b. Executive Summary of the 60% submittal,” which will identify and briefly summarize the Project by distinguishing key elements of the Project, decisions made, outstanding issues, items TBD, Opinion of Probable Construction Costs (OPCC) compared to construction budget and the schedule with changes identified. c. Project Submittal Checklist d. Drawing Review Checklist e. OPCC f. Drawings g. Draft Table of Contents with specification list 2. Initiate 60% submittal discussion with City PM to brief PM on any concerns or issues prior to distribution of 60% submittal. g) Participate in Project 60% review meeting. Prepare and distribute meeting meetings to attendees within five working days of the meeting. Assimilate all review comments, as appropriate, and upon confirmation from the City PM proceed to the 90% design. h) Submit three (3) sets of the pre-final plans and bid documents (90% submittal) in electronic and half-size hard copies using City Standards as applicable to City staff for review and approval purposes. Include the 90% estimate of probable construction costs, 90% submittal Executive Summary, Submittal Packet, Project, and Drawing Checklists, responses to previous review comments and the Contract Document Book with in-line Track Changes in red to identify all proposed edits to the City Construction Contracts. i) Participate in Project 90% review meeting. Prepare and distribute meeting meetings to attendees within five working days of the meeting. Assimilate all review comments, as appropriate, and proceed to the pre-ATA submittal. j) Provide one (1) set of the pre-ATA plans (100% unsealed and unstamped) in electronic and half-size hard copy using City Standards as applicable for City’s Pre-ATA review. Include the pre-ATA OPCC and written responses to previous review comments. The pre-ATA (100%) submittal will not include a full distribution and review unless in the opinion of the City Project Manager the questions from the previous review have not been adequately addressed or resolved in the pre- ATA submittal. If this occurs, the PM may request additional distribution, meeting, review and related revisions at no additional cost to the City. See item (l) below. k) Assimilate all pre-ATA comments, as appropriate, and provide one (1) set of the final plans and contract documents (signed and sealed, electronic and half-size hard copy using City Standards as applicable) suitable for reproduction. Said bid EXHIBIT “A” Page 5 of 11 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. l) Provide Quality Assurance/Quality Control (QA/QC) measures to ensure that all submittals accurately reflect the percent 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. m) 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 Project. 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, Front End Contract Documents, and forms for required bid documents. 3. Bid Phase. The A/E will: a) Participate in the pre-bid conference and submit agenda for critical construction activities and elements impacting the Project to PM prior to pre-bid conference. b) Assist the City in solicitation of bids by identification and notification of prospective bidders. c) Review all pre-bid questions and submissions concerning the bid documents and prepare, in the City’s format for Engineering Services’ approval, any addenda or other revisions necessary to inform Contractors of approved changes prior to bidding. d) Attend bid opening, analyze and evaluate bids, and prepare bid tabulation in City format. Provide bid tabulation in Excel and PDF formats. e) AE shall review Statement of Experience and confirm it meets Contract requirements. AE shall contact three (3) lowest bidder’s references for review and evaluation. Provide signed recommendation concerning award of the Contract on Company letterhead. f) In the event the lowest responsible bidder’s bid exceeds the construction budget provided by the Engineering Services in accordance with the A/E’s design phase OPCC estimate required above, the Engineer will confer with City staff and provide recommendations for potential remedy options to reconcile scope and/or budget, and if necessary, make such revisions to the bid documents as the City staff deems necessary to re-advertise the Project for bids. g) Provide two (2) hard copy sets and one (1) electronic set of conformed drawings and conformed Contract Documents (PDF and original format {CAD/word/etc.}) to the City. EXHIBIT “A” Page 6 of 11 The City staff will: a) Advertise the Project for bidding, maintain the list of prospective bidders, issue (with the assistance of the A/E) any addenda, supply bid tabulation forms, and conduct bid opening. b) Receive the Engineer’s recommendation concerning bid evaluation and recommendation and prepare agenda materials for the City Council concerning bid awards. c) Prepare, review and provide copies of the Contract for execution between the City and the Contractor. 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 impacting the project. b) Review Contractor submittals and operating and maintenance manuals for conformance to Contract Documents. c) If requested by the City, 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 as requested by the Owner’s Authorized Representative (OAR). e) Make periodic 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) Provide interpretations and clarifications of the plans and specifications for the Contractor and recommendations to the City for minor changes which do not affect the Contractor’s price and are not contrary to the general interest of the City under the Contract as requested by the OAR g) 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. h) Review Contractor-provided construction “red-line” drawings. Prepare Project Record Drawings and provide a reproducible set and electronic file (both PDF and AutoCAD r.14 or later) within one (1) month of receiving the Contractor’s red-line drawings. 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 Record Drawings should incorporate the Contractor’s red-lines and identify all changes made during construction. The Drawing Cover and each sheet should be clearly identified as the Record Drawing and should indicate the basis and date. i) When requested by the OAR, assist in addressing Request for Information (RFI) submitted by the Contractor. The City staff will: a) Prepare applications/estimates for payments to Contractor. b) Conduct the final inspection with the Engineer. EXHIBIT “A” Page 7 of 11 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 Director of Engineering Services. A/E may not begin work on any services under this section without specific written authorization by the Director of Engineering Services. Fees for Additional Services are an allowance for potential services to be provided and will be negotiated by the Director of Engineering Services as required. The A/E shall, with written authorization by the Director of Engineering Services, perform the following: 1. Permit Preparation. Furnish the City all engineering data and documentation necessary for all required permits. The A/E will prepare this documentation for all requir ed signatures. The A/E will prepare and submit identified permits as applicable to the appropriate local, state, and federal authorities, including: a) Union Pacific Railroad, Missouri Pacific Railroad, or any other railroad operating in the area b) TxDOT utility and environmental permits, multiple use agreements c) Wetlands Delineation and Permit d) Temporary Discharge Permit e) NPDES Permit/Amendments (including SSC, NOI, NOT) f) Texas Commission of Environmental Quality (TCEQ) Permits/Amendments g) Nueces County h) Texas Historical Commission (THC) i) U.S. Fish and Wildlife Service (USFWS) j) U.S. Army Corps of Engineers (USACE) k) United States Environmental Protection Agency (USEPA) l) Texas Department of Licensing and Regulation (TDLR) 1. Provide copy of Contract Documents along with appropriate fee to Texas Department of Licensing and Regulation (TDLR) for review and approval of accessibility requirements for pedestrian improvements (as authorized by Additional Services). 2. Coordinate RAS inspection services at the end of construction and pay associated fee. m) Texas General Land Office (TGLO) n) Other agency project-specific permits 2. Topographic and Right-of-Way (ROW) Survey. All work must comply with Category 1-A, Condition I specifications of the Texas Society of Professional Surveyors’ Manual of Practice for Land Surveying in the State of Texas, latest edition. All work must be tied to and in conformance with the City’s Global Positioning System (GPS) control network. All work must comply with all TxDOT requirements as applicable. Include references tying Control Points to a minimum of two (2) registered NGS Benchmark Monuments in the vicinity of the Project that will not be disturbed by construction. Survey sheets shall be sealed, provided to the City and included in the bid document plan set. a) Establish Horizontal and Vertical Control. b) Establish both primary and secondary horizontal/vertical control. c) Set project control points for Horizontal and Vertical Control outside the limits of area that will be disturbed by construction. d) Horizontal control will be based on NAD 83 State plane coordinates (South Zone), and the data will have no adjustment factor applied – i.e. – the coordinate data will remain in grid. e) Vertical control will be based on NAVD 88. EXHIBIT “A” Page 8 of 11 f) All control work will be established using conventional (non-GPS) methods. Perform topographic surveys to gather existing condition information. g) Locate proposed soil/pavement core holes as drilled by the City’s Geotechnical Engineering Consultant. h) Obtain x, y, and z coordinates of all accessible existing wastewater, storm water, water, IT and gas lines as well as any other lines owned by third-parties and locate all visible utilities, wells and signs within the apparent ROW width along project limits. Survey shall include utility marking from the Texas 811 request. i) Open accessible manholes and inlets to obtain information on structure invert, type, and size; and all related pipe size, type, invert, orientation, and flow direction. j) Everything up to and including Level B subsurface engineering (SUE) is to be included in Topographic Survey. Surveying services related to Level A SUE shall be provided when needed as part of the scope of work for SUE below. k) Locate existing features within the apparent ROW. l) Locate and identify trees, at least five inches in diameter, and areas of significant landscape or shrubs within the apparent ROW. m) Generate electronic planimetric base map for use in project design. n) Obtain finished floor elevations of critical and habitable structures along the roadway corridor as needed to certify drainage design criteria are met. o) The survey should not stop at the property line, but should extend beyond the property line as needed to pick up features and surface flow patterns in the vicinity of the Project that could potentially impact the design or be impacted by the construction. This includes features such as existing swales or ditches, foundations, loading docks/overhead doors, driveways, parking lots, etc. p) Research plats, ROW maps, deed, easements, and survey for fence corners, monuments, and iron pins within the existing ROW and analyze to establish existing apparent ROW. q) Provide a preliminary base map containing apparent ROW, which will be used by the A/E to develop the proposed alignment and its position relative to the existing and proposed ROW. This preliminary base map must show lot or property lines, addresses, and significant business/facility names. 3. ROW/Easement Acquisition Survey and Parcel Descriptions All work must be tied to and conform with the City’s Global Positioning System (GPS) control network and comply with Category 6, Condition I specifications of the Texas Society of Professional Surveyors’ Manual of Practice for Land Surveying in the State of Texas, latest edition. a) Set property corners and prepare right of way strip parcel map depicting all parcels proposed for acquisition. Metes and bounds descriptions must indicate parent tract areas based on the most accurate information available. Strip map will show entire parent tracts at a representative scale and for information only. All existing easements within the parcels to be acquired and those within adjacent parcels must be shown. b) Prepare Metes and Bound Instrument with supporting exhibits as required and agreed upon, subsequent to ELR acceptance for ROW parcels, utility easements and temporary construction easements. c) Prepare individual signed and sealed parcel maps and legal descriptions for the required right of way acquisition for parcels and easements. A strip map showing all parcels required will be submitted along with parcel descriptions. If boundary conflicts between Owners are identified, additional fees may be authorized if EXHIBIT “A” Page 9 of 11 needed. A/E shall submit parcel maps and legal descriptions prior to the 60% submittal. d) A/E must obtain Preliminary Title Reports from a local title company and provide copies of the title reports to the City. Preliminary Title Report shall identify title ownership and any title encumbrances to all right-of-way to be acquired. 4. Environmental Issues. Identify and develop a scope of work for any testing, handling and disposal of hazardous materials and/or contaminated soils that may be discovered during construction. 5. Public Involvement. Participate in two public meetings. One public meeting shall be held after submittal of the Final Engineering Letter Report and one public meeting shall be held prior to start of project construction. Prepare exhibits for meetings. Provide follow-up and response to citizen comments. Revise contract drawings to address citizen comments, as directed by the City. Significant revisions based on public meeting feedback may be negotiated for an additional fee. 6. Subsurface Utility Investigation (Level A) SUE investigation for all utilities (City and third party) shall be conducted to Level B as part of Topographic Survey referenced above and in accordance with ASCE Standard “ASCE C-I, 38-02, Standard Guideline for the Collection and Depiction of Existing Subsurface Utility Data”. A sealed Level A SUE report shall be provided to the City and included in the bid documents as an appendix. a) Provide subsurface utility engineering in accordance with ASCE Standard “ASCE C-I, 38-02, Standard Guideline for the Collection and Depiction of Existing Subsurface Utility Data” including, but not limited to, hydro-excavation. The proposed subsurface utility investigation will be as follows: i) Excavation – The survey scope includes working with a subsurface utility excavator to perform Quality Level A investigation of underground utilities in specified areas through the project limit. Quality Level A includes the use of minimally intrusive excavation equipment at critical points to determine the horizontal and vertical position of underground utilities, as well as the type, size, condition, material, and other characteristics. Utilities located at this quality level will be physically located and tied to the topographic survey control. The utility will be identified, and an elevation will be obtained to the top of the utility. 7. Construction Observation Services. To Be Determined. 8. 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. EXHIBIT “A” Page 10 of 11 9.Televising Utility Lines. Provide cleaning and televising of existing utility lines to verify existing conditions. Analyze photos and videos to recommend repairs and/or improvements and provide a written report with findings and recommendations. A copy of all photos and videos (in standard video and image format) shall be provided to the City. 10.Offsite Water Utility Design. Design and prepare construction drawings for water utility along IH 37 Access Road from Callicoate Road to Rehfeld Road. Coordinate with TxDOT and utility company(ies) for installation of water line along the north right-of-way. 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 October 8, 2019 NTP October 23, 2019 Draft ELR submittal November 6, 2019 City Review November 15, 2019 Final ELR submittal January 21, 2020 60% Design Submittal February 11, 2020 City Review March 11, 2020 90% Design Submittal March 25, 2020 City Review April 7, 2020 100% Pre-ATA Submittal May 6, 2020 Final Sealed Bid Package TBD Advertise for Bids TBD Pre-Bid Conference TBD Receive Bids TBD Contract Award TBD Begin Construction TBD Complete Construction III. FEES A. Fee for Basic Services. The City will pay the A/E a fixed fee for providing 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. B. Fee for Additional Services. For services authorized by the Director of Engineering Services under Section I.B. “Additional Services”, the City will pay the A/E a not-to-exceed fee as per the table below: EXHIBIT “A” Page 11 of 11 Summary of Fees Basic Services Fees Street Storm Water Wastewater Water Gas Total 1. Preliminary Phase $ 17,842.13 $ 2,971.24 $ 5,757.90 $ 3,381.55 $ 697.15 $ 30,649.97 2. Design Phase $ 25,488.76 $ 4,244.63 $ 8,225.57 $ 4,830.79 $ 995.93 $ 43,785.67 3. Bid Phase $ 2,548.88 $ 424.46 $ 822.56 $ 483.08 $ 99.59 $ 4,378.57 4. Construction Administration Phase $ 5,097.75 $ 848.93 $ 1,645.11 $ 966.16 $ 199.19 $ 8,757.13 Subtotal Basic Services Fees $ 50,977.53 $ 8,489.25 $ 16,451.14 $ 9,661.58 $ 1,991.85 $ 87,571.34 Additional Services Fees (Allowance) 1. Permit Preparation $ 2,200.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 2,200.00 2. Topographic and ROW Survey $ 20,755.14 $ 3,456.34 $ 6,697.96 $ 3,933.64 $ 810.97 $ 35,654.05 3. ROW/Easement Acquisition Survey and Parcel Descriptions $ 1,092.38 $ 181.91 $ 352.52 $ 207.03 $ 42.68 $ 1,876.53 4. Environmental Issues TBD TBD TBD TBD TBD TBD 5. Public Involvement $ 764.66 $ 127.34 $ 246.77 $ 144.92 $ 29.88 $ 1,313.57 6.Subsurface Utility Investigation (Level A)TBD TBD TBD TBD TBD TBD 7. Construction Observation Services TBD TBD TBD TBD TBD TBD 8. Warranty Phase $ 2,548.88 $ 424.46 $ 822.56 $ 483.08 $ 99.59 $ 4,378.57 9. Televising Utility Lines TBD TBD TBD TBD TBD TBD 10. Off Site Water Utility Design $ 21,718.00 $ 21,718.00 Subtotal Additional Services Fees $ 27,361.05 $ 4,190.05 $ 8,119.81 $ 26,486.68 $ 983.12 $ 67,140.71 Total Fee $ 78,338.58 $ 12,679.30 $ 24,570.95 $ 36,148.25 $ 2,974.97 $ 154,712.05 *Additional Services authorized in coordination with the notice to proceed for Basic Services. Contract for Professional Services EXHIBIT B SAMPLE PAYMENT REQUEST FORM Company Name Billing Contact Info Original Amend Amend Total Previous Current Total Remaining Percent Basic Services:Contract No. 1 No. 2 Contract Invoice Invoice Invoiced Balance Invoiced Preliminary Phase $1,000.00 $0.00 $0.00 $1,000.00 $0.00 $1,000.00 $1,000.00 $0.00 100.0% Design Phase $2,000.00 $1,000.00 $0.00 $3,000.00 $1,000.00 $500.00 $1,500.00 $1,500.00 50.0% Bid Phase $500.00 $0.00 $250.00 $750.00 $0.00 $0.00 $0.00 $750.00 0.0% Construction Admin Phase $2,500.00 $0.00 $1,000.00 $3,500.00 $0.00 $0.00 $0.00 $3,500.00 0.0% Subtotal Basic Services $6,000.00 $1,000.00 $1,250.00 $8,250.00 $1,000.00 $1,500.00 $2,500.00 $5,750.00 30.3% Additional Services: Permit Prepartion $2,000.00 $0.00 $0.00 $2,000.00 $500.00 $0.00 $500.00 $1,500.00 25.0% Topographic Survey $5,000.00 $0.00 $0.00 $5,000.00 $0.00 $0.00 $0.00 $5,000.00 0.0% ROW Acquisition Survey $1,000.00 $0.00 $0.00 $1,000.00 $0.00 $0.00 $0.00 $1,000.00 0.0% Environmental Issues $500.00 $0.00 $0.00 $500.00 $0.00 $0.00 $0.00 $500.00 0.0% Public Meetings $1,200.00 $0.00 $0.00 $1,200.00 $0.00 $0.00 $0.00 $1,200.00 0.0% Construction Observation $10,000.00 $0.00 $0.00 $10,000.00 $0.00 $0.00 $0.00 $10,000.00 0.0% Traffic Control $0.00 $5,000.00 $0.00 $5,000.00 $0.00 $0.00 $0.00 $5,000.00 0.0% Signalization Improvements $0.00 $0.00 $1,000.00 $1,000.00 $0.00 $0.00 $0.00 $1,000.00 0.0% Warranty Phase $0.00 $1,120.00 $0.00 $1,120.00 $0.00 $0.00 $0.00 $1,120.00 0.0% Construction Inspection (T&M)$0.00 $0.00 $5,000.00 $5,000.00 $0.00 $0.00 $0.00 $5,000.00 0.0% Platting Survey TBD TBD TBD TBD TBD TBD TBD TBD TBD O & M Manuals TBD TBD TBD TBD TBD TBD TBD TBD TBD SCADA TBD TBD TBD TBD TBD TBD TBD TBD TBD Subtotal Additional Services $19,700.00 $6,120.00 $6,000.00 $31,820.00 $500.00 $0.00 $500.00 $31,320.00 1.6% Summary of Fees: Basic Services Fees $6,000.00 $1,000.00 $1,250.00 $8,250.00 $1,000.00 $1,500.00 $2,500.00 $5,750.00 30.3% Additional Services Fees $19,700.00 $6,120.00 $6,000.00 $31,820.00 $500.00 $0.00 $500.00 $31,320.00 1.6% Total of Fees $25,700.00 $7,120.00 $7,250.00 $40,070.00 $1,500.00 $1,500.00 $3,000.00 $37,070.00 7.5% Notes: If needed, update this sample form based on the contract requirements. If applicable, refer to the contract for information on what to include with time and materials (T&M). COMPLETE PROJECT NAME City Project No. XXXX Invoice No. 12345 Invoice Date: MM/DD/YYYY Billing Period: From XXXXX to YYYYY Contract for Professional Services 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. Con sultant 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 Contracts and Procurement 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 In the event of a change in insurance coverage, Consultant shall be required to submit a copy of the replacement certificate of insurance to City at t he address provided below within 10 business days of said change. Consultant shall pay any costs resulting from said changes. All notices under this Article shall be given to City at the following address: City of Corpus Christi Attn: Contracts and Procurement P.O. Box 9277 Corpus Christi, TX 78469-9277 Contract for Professional Services 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 If the policy is cancelled, other than for nonpayment of premium, notice of such cancellation will be provided at least 30 days in advance of the cancellation effective date to the certificate holder. 1.6.2 If the policy is cancelled for nonpayment of premium, notice of suc h cancellation will be provided within 10 days of the cancellation effective date to the certificate holder. 1.7 Within five (5) calendar days of a suspension, cancellation or non-renewal of coverage, Consultant shall notify City of such lapse in coverage and 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 maintai n 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 tim e herein required, the City shall have the right to 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 re quired is in addition to and separate from any other obligation contained in this agreement. Contract for Professional Services EXHIBIT D Excerpt from Corpus Christi General Conditions for Construction Projects Related to Design Services 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, Physical and Hazardous Environmental Conditions .............. 9 Article 6 – Bonds and Insurance ................................................................................................................. 10 Article 7 – Contractor’s Responsibilities ..................................................................................................... 10 Article 8 – Other Work at the Site ............................................................................................................... 10 Article 9 – Owner’s and OPT’s Responsibilities ........................................................................................... 10 Article 10 – OAR’s and Designer’s Status During Construction .................................................................. 11 Article 11 – Amending the Contract Documents; Changes in the Work .................................................... 13 Article 12 – Change Management .............................................................................................................. 13 Article 13 – Claims ....................................................................................................................................... 14 Article 14 – Prevailing Wage Rate Requirements ....................................................................................... 16 Article 15 – Cost of the Work; Allowances; Unit Price Work ...................................................................... 16 Article 16 – Tests and Inspections; Correction, Removal, or Acceptance of Defective Work .................... 16 Article 17 – Payments to Contractor; Set-Offs; Completion; Correction Period ........................................ 16 Article 18 – Suspension of Work and Termination ..................................................................................... 16 Article 19 – Project Management ............................................................................................................... 16 Article 20 – Project Coordination ................................................................................................................ 16 Article 21 – Quality Management ............................................................................................................... 17 Article 22 – Final Resolution of Disputes .................................................................................................... 17 Article 23 – Minority/MBE/DBE Participation Policy .................................................................................. 17 Article 24 – Document Management .......................................................................................................... 17 Article 25 – Shop Drawings ......................................................................................................................... 17 Article 26 – Record Data ............................................................................................................................. 20 Article 27 – Construction Progress Schedule .............................................................................................. 21 Article 28 – Video and Photographic documentation ................................................................................ 21 Article 29 – Execution and Closeout ........................................................................................................... 21 Article 30 – Miscellaneous .......................................................................................................................... 22 Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 1 of 22 ARTICLE 1 – DEFINITIONS AND TERMINOLOGY 1.01 Defined Terms A.Terms with initial capital letters, including the term’s singular and plural forms, have the meanings 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. 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; Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 2 of 22 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. §§5101 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. 21. Contract Times - The number of days or the dates by which Contractor must: a. Achieve specified Milestones; Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 3 of 22 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 15. 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 17.12 or 17.13. 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, Registered Architects or Registered Landscape 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. 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 4 of 22 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. 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. The Progress Schedule must be a Critical Path Method (CPM) Schedule. 44. Project - The total undertaking to be accomplished for Owner under the Contract Documents. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 5 of 22 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; 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, Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 6 of 22 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. 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 7 of 22 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 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 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 8 of 22 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 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 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 9 of 22 5.05 Underground Facilities 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 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 10 of 22 9.06 Insurance 9.07 Modifications 9.08 Inspections, Tests, and Approvals A. OPT’s responsibility with respect to certain inspections, tests, and approvals are described in Paragraph 16.02. 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 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 11 of 22 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 16. OAR is to issue a Defective Work Notice to Contractor and document when Defective Work has been corrected or accepted in accordance with Article 16. 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 Article 11. D. OAR’s authority related to Applications for Payment is described in Articles 15 and 17. 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 16.04, 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. 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. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 12 of 22 ARTICLE 11 – AMENDING THE CONTRACT DOCUMENTS; CHANGES IN THE WORK ARTICLE 12 – CHANGE MANAGEMENT 12.01 Requests for Change Proposal A. Designer will initiate Modifications by issuing a Request for a Change Proposal (RCP). 1. Designer will prepare a description of proposed Modifications. 2. Designer will issue the Request for a Change Proposal form to Contractor. A number will be assigned to the Request for a Change Proposal when issued. 3. Return a Change Proposal in accordance with Paragraph 12.02 to the Designer for evaluation by the OPT. 12.02 Change Proposals A. Submit a Change Proposal (CP) to the Designer for Contractor initiated changes in the Contract Documents or in response to a Request for Change Proposal. 1. Use the Change Proposal form provided. 2. Assign a number to the Change Proposal when issued. 3. Include with the Change Proposal: a. A complete description of the proposed Modification if Contractor initiated or proposed changes to the OPT’s description of the proposed Modification. b. The reason the Modification is requested, if not in response to a Request for a Change Proposal. c. A detailed breakdown of the cost of the change if the Modification requires a change in Contract Price. The itemized breakdown is to include: 1) List of materials and equipment to be installed; 2) Man hours for labor by classification; 3) Equipment used in construction; 4) Consumable supplies, fuels, and materials; 5) Royalties and patent fees; 6) Bonds and insurance; 7) Overhead and profit; 8) Field office costs; 9) Home office cost; and 10) Other items of cost. d. Provide the level of detail outlined in the paragraph above for each Subcontractor or Supplier actually performing the Work if Work is to be provided by a Subcontractor or Supplier. Indicate appropriate Contractor mark-ups for Work Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 13 of 22 provided through Subcontractors and Suppliers. Provide the level of detail outline in the paragraph above for self-performed Work. e. Submit Change Proposals that comply with Article 15 for Cost of Work. f. Provide a revised schedule. Show the effect of the change on the Project Schedule and the Contract Times. B. Submit a Change Proposal to the Designer to request a Field Order. C. A Change Proposal is required for all substitutions or deviations from the Contract Documents. D. Request changes to products in accordance with Article 25. 12.03 Designer Will Evaluate Request for Modification A. Designer will issue a Modification per Article 11 if the Change Proposal is acceptable to the Owner. Designer will issue a Change Order or Contract Amendment for any changes in Contract Price or Contract Times. 1. Change Orders and Contract Amendments will be sent to the Contractor for execution with a copy to the Owner recommending approval. A Work Change Directive may be issued if Work needs to progress before the Change Order or Contract Amendment can be authorized by the Owner. 2. Work Change Directives, Change Orders, and Contract Amendments can only be approved by the Owner. a. Work performed on the Change Proposal prior to receiving a Work Change Directive or approval of the Change Order or Contract Amendment is performed at the Contractor’s risk. b. No payment will be made for Work on Change Orders or Contract Amendments until approved by the Owner. B. The Contractor may be informed that the Request for a Change Proposal is not approved and construction is to proceed in accordance with the Contract Documents. ARTICLE 13 – CLAIMS 13.01 Claims 13.02 Claims Process A. Claims must be initiated by written notice. Notice must conspicuously state that it is a notice of a Claim in the subject line or first sentence. Notice must also list the date of first occurrence of the claimed event. B. Claims by Contractor must be in writing and delivered to the Owner, Designer and the OAR within 7 days: 1. After the start of the event giving rise to the Claim; or 2. After a final decision on a Change Proposal has been made. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 14 of 22 C. Claims by Contractor that are not received within the time period provided by section 13.02(B) are waived. Owner may choose to deny such Claims without a formal review. Any Claims by Contractor that are not brought within 90 days following the termination of the Contract are waived and shall be automatically deemed denied. D. Claims by Owner must be submitted by written notice to Contractor. E. The responsibility to substantiate a Claim rests with the entity making the Claim. Claims must contain sufficient detail to allow the other party to fully review the Claim. 1. Claims seeking an adjustment of Contract Price must include the Contractor’s job cost report. Provide additional documentation as requested by OAR. 2. Claims seeking an adjustment of Contract Time must include native schedule files in Primavera or MS Project digital format. Provide additional documentation as requested by OAR. F. Contractor must certify that the Claim is made in good faith, that the supporting data is accurate and complete, and that to the best of Contractor’s knowledge and belief, the relief requested accurately reflects the full compensation to which Contractor is entitled. G. Claims by Contractor against Owner and Claims by Owner against Contractor, including those alleging an error or omission by Designer but excluding those arising under Section 7.12, shall be referred initially to Designer for consideration and recommendation to Owner. H. Designer may review a Claim by Contractor within 30 days of receipt of the Claim and take one or more of the following actions: 1. Request additional supporting data from the party who made the Claim; 2. Issue a recommendation; 3. Suggest a compromise; or 4. Advise the parties that Designer is not able to make a recommendation due to insufficient information or a conflict of interest. I. If the Designer does not take any action, the claim shall be deemed denied. J. The Contractor and the Owner shall seek to resolve the Claim through the exchange of information and direct negotiations. If no agreement is reached within 90 days, the Claim shall be deemed denied. The Owner and Contractor may extend the time for resolving the Claim by mutual agreement. Notify OAR of any actions taken on a Claim. K. Owner and Contractor may mutually agree to mediate the underlying dispute at any time after a recommendation is issued by the Designer. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 15 of 22 ARTICLE 14 – PREVAILING WAGE RATE REQUIREMENTS ARTICLE 15 – COST OF THE WORK; ALLOWANCES; UNIT PRICE WORK ARTICLE 16 – TESTS AND INSPECTIONS; CORRECTION, REMOVAL, OR ACCEPTANCE OF DEFECTIVE WORK ARTICLE 17 – PAYMENTS TO CONTRACTOR; SET-OFFS; COMPLETION; CORRECTION PERIOD ARTICLE 18 – SUSPENSION OF WORK AND TERMINATION ARTICLE 19 – PROJECT MANAGEMENT ARTICLE 20 – PROJECT COORDINATION 20.01 Work Included 20.02 Document Submittal 20.03 Communication During Project A. The OAR is to be the first point of contact for all parties on matters concerning this Project. B. The Designer will coordinate correspondence concerning: 1. Documents, including Applications for Payment. 2. Clarification and interpretation of the Contract Documents. 3. Contract Modifications. 4. Observation of Work and testing. 5. Claims. 20.04 Requests for Information A. Submit Request for Information (RFI) to the Designer to obtain additional information or clarification of the Contract Documents. 1. Submit a separate RFI for each item on the form provided. 2. Attach adequate information to permit a written response without further clarification. Designer will return requests that do not have adequate information to the Contractor for additional information. Contractor is responsible for all delays resulting from multiple document submittals due to inadequate information. 3. A response will be made when adequate information is provided. Response will be made on the RFI form or in attached information. B. Response to an RFI is given to provide additional information, interpretation, or clarification of the requirements of the Contract Documents, and does not modify the Contract Documents. C. Designer will initiate a Request for a Change Proposal (RCP) per Article 12 if the RFI indicates that a Contract Modification is required. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 16 of 22 ARTICLE 21 – QUALITY MANAGEMENT ARTICLE 22 – FINAL RESOLUTION OF DISPUTES ARTICLE 23 – MINORITY/MBE/DBE PARTICIPATION POLICY ARTICLE 24 – DOCUMENT MANAGEMENT ARTICLE 25 – SHOP DRAWINGS 25.01 Work Included A. Shop Drawings are required for those products that cannot adequately be described in the Contract Documents to allow fabrication, erection, or installation of the product without additional detailed information from the Supplier. B. Submit Shop Drawings as required by the Contract Documents and as reasonably requested by the OPT to: 1. Record the products incorporated into the Project for the Owner; 2. Provide detailed information for the products proposed for the Project regarding their fabrication, installation, commissioning, and testing; and 3. Allow the Designer to advise the Owner if products proposed for the Project by the Contractor conform, in general, to the design concepts of the Contract Documents. 25.02 Quality Assurance 25.03 Contractor’s Responsibilities 25.04 Shop Drawing Requirements A. Provide adequate information in Shop Drawings and Samples so Designer can: 1. Assist the Owner in selecting colors, textures, or other aesthetic features. 2. Compare the proposed features of the product with the specified features and advise Owner that the product does, in general, conform to the Contract Documents. 3. Compare the performance features of the proposed product with those specified and advise the Owner that the product does, in general, conform to the performance criteria specified in the Contract Documents. 4. Review required certifications, guarantees, warranties, and service agreements for compliance with the Contract Documents. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 17 of 22 25.05 Special Certifications and Reports 25.06 Warranties and Guarantees 25.07 Shop Drawing Submittal Procedures 25.08 Sample and Mockup Submittal Procedures 25.09 Requests for Deviation 25.10 Designer Responsibilities A. Shop Drawings will be received by the Designer. Designer will log the documents and review per this Article for general conformance with the Contract Documents. 1. Designer’s review and approval will be only to determine if the products described in the Shop Drawing or Sample will, after installation or incorporation into the Work, conform to the information given in the Contract Documents and be compatible with the design concept of the completed Project as a functioning whole as indicated by the Contract Documents. 2. Designer’s review and approval will not extend to means, methods, techniques, sequences, or procedures of construction or to safety precautions or programs incident thereto. 3. Designer’s review and approval of a separate item as such will not indicate approval of the assembly in which the item functions. B. Comments will be made on items called to the attention of the Designer for review and comment. Any marks made by the Designer do not constitute a blanket review of the document submittal or relieve the Contractor from responsibility for errors or deviations from the Contract requirements. 1. Designer will respond to Contractor’s markups by either making markups directly in the Shop Drawings file using the color green or by attaching a Document Review Comments form with review comments. 2. Shop Drawings that are reviewed will be returned with one or more of the following status designations: a. Approved: Shop Drawing is found to be acceptable as submitted. b. Approved as Noted: Shop Drawing is Approved so long as corrections or notations made by Designer are incorporated into the Show Drawing. c. Not Approved: Shop Drawing or products described are not acceptable. 3. Shop Drawing will also be designated for one of the following actions: a. Final distribution: Shop Drawing is acceptable without further action and has been filed as a record document. b. Shop Drawing not required: A Shop Drawing was not required by the Contract Documents. Resubmit the document per Article 26. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 18 of 22 c. Cancelled: This action indicates that for some reason, the Shop Drawing is to be removed from consideration and all efforts regarding the processing of that document are to cease. d. Revise and resubmit: Shop Drawing has deviations from the Contract Documents, significant errors, or is inadequate and must be revised and resubmitted for subsequent review. e. Resubmit with corrections made: Shop Drawing is “Approved as Noted,” but has significant markups. Make correction and notations to provide a revised document with markup incorporated into the original document so that no markups are required. f. Returned without review due to excessive deficiencies: Document does not meet the requirement of the Specifications for presentation or content to the point where continuing to review the document would be counterproductive to the review process or clearly does not meet the requirements of the Contract Documents. Revise the Shop Drawing to comply with the requirements of this Section and resubmit. g. Actions a through c will close out the Shop Drawing review process and no further action is required as a Shop Drawing. Actions d through f require follow up action to close out the review process. 4. Drawings with a significant or substantial number of markings by the Contractor may be marked “Approved as Noted” and “Resubmit with corrections made.” These drawings are to be revised to provide a clean record of the Shop Drawing. Proceed with ordering products as the documents are revised. 5. Dimensions or other data that does not appear to conform to the Contract Documents will be marked as “At Variance With” (AVW) the Contract Documents or other information provided. The Contractor is to make revisions as appropriate to comply with the Contract Documents. C. Bring deviations to the Shop Drawings to the attention of the Designer for approval by using the Shop Drawing Deviation Request form. Use a single line for each requested deviation so the Status and Action for each deviation can be determined for that requested deviation. If approval or rejection of a requested deviation will impact other requested deviations, then all related deviations should be included in that requested deviation line so the status and action can be determined on the requested deviation as a whole. D. Requested deviations will be reviewed as possible Modification to the Contract Documents. 1. A Requested deviation will be rejected as “Not Approved” if the requested deviation is unacceptable. Contractor is to revise and resubmit the Shop Drawing with corrections for approval. 2. A Field Order will be issued by the Designer for deviations approved by the Designer if the requested deviation is acceptable and if the requested deviation will not result in a change in Contract Price or Contract Times. Requested deviations from the Contract Documents may only be approved by Field Order. 3. A requested deviation will be rejected if the requested deviation is acceptable but the requested deviation will or should result in a change in Contract Price or Contract Times. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 19 of 22 Submit any requested deviation that requires a change in Contract Price or Contract Times as a Change Proposal for approval prior to resubmitting the Shop Drawing. E. Contractor is to resubmit the Shop Drawing until it is acceptable and marked Approved or Approved as Noted and is assigned an action per Paragraph 25.10.B that indicates that the Shop Drawing process is closed. F. Information that is submitted as a Shop Drawings that should be submitted as Record Data or other type of document, or is not required may be returned without review, or may be deleted. No further action is required and the Shop Drawing process for this document will be closed. ARTICLE 26 – RECORD DATA 26.01 Work Included 26.02 Quality Assurance 26.03 Contractor’s Responsibilities 26.04 Record Data Requirements 26.05 Special Certifications and Reports 26.06 Warranties and Guarantees 26.07 Record Data Submittal Procedures 26.08 Designer’s Responsibilities A. Record Data will be received by the Designer, logged, and provided to Owner as the Project record. 1. Record Data may be reviewed to see that the information provided is adequate for the purpose intended. Record Data not meeting the requirements of Paragraph 26.02 may be rejected as unacceptable. 2. Record Data is not reviewed for compliance with the Contract Documents. Comments may be returned if deviations from the Contract Documents are noted during the cursory review performed to see that the information is adequate. 3. Contractor’s responsibility for full compliance with the Contract Documents is not relieved by the review of Record Data. Contract modifications can only be approved by a Modification. B. Designer may take the following action in processing Record Data: 1. File Record Data as received if the cursory review indicates that the document meets the requirements of Paragraph 26.02. Document will be given the status of “Filed as Received” and no further action is required on that Record Data. 2. Reject the Record Data for one of the following reasons: a. The document submittal requirements of the Contract Documents indicate that the document submitted as Record Data should have been submitted as a Shop Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 20 of 22 Drawing. The Record Data will be marked “Rejected” and “Submit Shop Drawing.” No further action is required on this document as Record Data and the Record Data process will be closed. Resubmit the document as a Shop Drawing per Article 25. b. The cursory review indicates that the document does not meet the requirements of Paragraph 26.02. The Record Data will be marked “Rejected” and “Revise and Resubmit.” Contractor is to resubmit the Record Data until it is acceptable and marked “Filed as Received.” When Record Data is filed, no further action is required and the Record Data process will be closed. c. The Record Data is not required by the Contract Documents nor is the Record Data applicable to the Project. The Record Data will be marked “Rejected” and “Cancel - Not Required.” No further action is required and the Record Data process will be closed. C. Contractor is to resubmit the Record Data until it is acceptable and marked “Filed as Received.” ARTICLE 27 – CONSTRUCTION PROGRESS SCHEDULE ARTICLE 28 – VIDEO AND PHOTOGRAPHIC DOCUMENTATION ARTICLE 29 – EXECUTION AND CLOSEOUT 29.01 Substantial Completion A. Notify the Designer that the Work or a designated portion of the Work is substantially complete per the General Conditions. Include a list of the items remaining to be completed or corrected before the Project will be considered to be complete. B. OPT will visit the Site to observe the Work within a reasonable time after notification is received to determine the status of the Project. C. Designer will notify the Contractor that the Work is either substantially complete or that additional Work must be performed before the Project will be considered substantially complete. 1. Designer will notify the Contractor of items that must be completed before the Project will be considered substantially complete. 2. Correct the noted deficiencies in the Work. 3. Notify the Designer when the items of Work in the Designer’s notice have been completed. 4. OPT will revisit the Site and repeat the process. 5. Designer will issue a Certificate of Substantial Completion to the Contractor when the OPT considers the Project to be substantially complete. The Certificate will include a tentative list of items to be corrected before Final Payment will be recommended. 6. Review the list and notify the Designer of any objections to items on the list within 10 days after receiving the Certificate of Substantial Completion. Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 21 of 22 29.02 Final Inspections A. Notify the Designer when: 1. Work has been completed in compliance with the Contract Documents; 2. Equipment and systems have been tested per Contract Documents and are fully operational; 3. Final Operations and Maintenance Manuals have been provided to the Owner and all operator training has been completed; 4. Specified spare parts and special tools have been provided; and 5. Work is complete and ready for final inspection. B. OPT will visit the Site to determine if the Project is complete and ready for Final Payment within a reasonable time after the notice is received. C. Designer will notify the Contractor that the Project is complete or will notify the Contractor that Work is Defective. D. Take immediate steps to correct Defective Work. Notify the Designer when Defective Work has corrected. OPT will visit the Site to determine if the Project is complete and the Work is acceptable. Designer will notify the Contractor that the Project is complete or will notify the Contractor that Work is Defective. E. Submit the Request for Final Payment with the closeout documents described in Paragraph 29.06 if notified that the Project is complete and the Work is acceptable. ARTICLE 30 – MISCELLANEOUS END OF SECTION Excerpt from FORM 00 72 00 GENERAL CONDITIONS for Construction Projects related to design services EXHIBIT D Page 22 of 22 37 37 N CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Callicoatte Road from IH37 to Up River Road (Bond 2018, Proposition A) LOCATION MAP NOT TO SCALE Project Location Project Number: 18010A N CITY COUNCIL EXHIBIT CITY OF CORPUS CHRISTI, TEXAS DEPARTMENT OF ENGINEERING SERVICES Callicoatte Road from IH37 to Up River Road (Bond 2018, Proposition A) VICINITY MAP NOT TO SCALE Project Number: 18010A U p - R i v e r R o a d Callicoatte Road IH- 3 7 DATE:September 25, 2019 TO:Peter Zanoni, City Manager FROM:Alma I. Casas, Interim Director of Finance and Business Analysis almac@cctexas.com 361-826-3610 Miles Risley, City Attorney, Legal Department milesr@cctexas.com 361-826-3361 CAPTION: Motion authorizing the execution of voluntary collection agreements with Airbnb, Inc., HomeAway.com, Inc., and other entities to provide for the reporting, collection, and remittance of hotel occupancy taxes to the City. SUMMARY: Airbnb, Inc. and HomeAway.com, Inc. are online marketplaces for arranging or offering lodging, primarily homestays, or tourism experiences. The companies do not own any of the real estate listings, nor do they host events; they act as brokers, receiving commissions from each booking. Airbnb, Inc., HomeAway.com, Inc., and other companies offering the same services have been doing business in Corpus Christi and have not been remitting hotel occupancy taxes to the City. This motion authorizes agreements that would require Airbnb, Inc., HomeAway.com, Inc., and any other companies offering the same services; to collect hotel occupancy taxes from their hosts and remit them to the City. Currently, we have no agreements in place with these Internet-based platform companies and are missing out on substantial revenues. BACKGROUND AND FINDINGS: On May 1, 2017, the State of Texas entered into an agreement with Airbnb, Inc., for the reporting, collection, and remittance of hotel occupancy taxes to the State. Since then, they have also entered into an agreement with HomeAway.com, as well. However, in this process, they did not require Airbnb, Inc., HomeAway.com, Inc., or any other similar entity to also collect the portion of taxes due to the cities where these Internet-based platform companies operate. Therefore, the City of Corpus Christi has not been collecting this hotel occupancy tax (HOT) revenue. The State’s portion of the collections is 6% of the taxable revenue reported by these companies Voluntary Collection Agreements AGENDA MEMORANDUM Action Item for the City Council Meeting of October 15, 2019 monthly and the City’s portion is 9%. Annually, we collect approximately $15,000,000 in hotel occupancy tax revenue. Based on the reports from the Texas State Comptroller’s Office from June 2017 through July 2019, we estimate that the City’s 9% share of these taxable revenues comes to approximately $1,592,226 for both Airbnb, Inc., and HomeAway.com, Inc, in total. ALTERNATIVES: Continue to accept the loss of approximately $60,000 per month in hotel occupancy tax revenue. FISCAL IMPACT: The fiscal impact of these voluntary collection agreements would be an increase in our hotel occupancy tax revenues. The City could potentially receive an average of an additional $720,000 annually by entering into these voluntary collection agreements. The companies will remit the funds directly to the City. Funding Detail: Fund: Organization/Activity: Mission Element: Project # (CIP Only): Account: RECOMMENDATION: Staff recommends authorizing these agreements. LIST OF SUPPORTING DOCUMENTS: Airbnb, Inc. Voluntary Collection Agreement HomeAway.com, Inc. Voluntary Collection Agreement VOLUNTARY COLLECTION AGREEMENT FOR CITY OF CORPUS CHRISTI, TEXAS HOTEL OCCUPANCY TAX THIS VOLUNTARY COLLECTION AGREEMENT (the "Agreement") is dated _________________, 2019, and is between AIRBNB, INC., a Delaware corporation ('Airbnb"), and CITY OF CORPUS CHRISTI (“CITY”), a Texas home-rule municipality. Each party may be referred to individually as a “Party" and collectively as the "Parties.'' RECITALS: WHEREAS, Airbnb represents that it provides an Internet-based platform (the "'Platform") through which third parties offering accommodations and/or activities ("Hosts") and third parties booking such accommodations and/or activities ('"Guests'') may communicate, negotiate and consummate a direct booking transaction for accommodations and/or activities to which Airbnb is not a party ("'Booking Transactions''); and WHEREAS, CITY and Airbnb enter into this Agreement voluntarily in order to facilitate the reporting, collection and remittance of applicable transient occupancy taxes and applicable sales taxes (“Taxes") imposed under applicable City of Corpus Christi law (the applicable "Code"), on behalf of certain Hosts for Booking Transactions completed by such Hosts and Guests on the Platform for accommodations transactions located in the City of Corpus Christi, Texas (the ''Taxable Booking Transactions"). NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS, PROMISES AND AGREEMENTS CONTAINED HEREIN, THE PARTIES AGREE AS FOLLOWS: (A) Solely pursuant to the terms and conditions of this Agreement including only for periods in which this Agreement is effective (defined below), and solely for Taxable Booking Transactions completed on the Platform by Hosts other than those defined in Paragraphs (E) and (E-1) below, Airbnb agrees contractually to assume the duties of a Taxes collector as described in the Code solely for the collection and remittance of Taxes on behalf of such Hosts (hereinafter referred to as a "Collector"). (B) Starting on _______________ (the "Effective Date"), Airbnb agrees to commence collecting and remitting Taxes on behalf of certain Hosts pursuant to the terms of this Page 2 of 8 Agreement, at the applicable rate, on Taxable Booking Transactions. Except as set forth in Paragraph (L) below, Airbnb shall not assume any obligation or liability to collect Taxes for any period or for any transaction prior to the Effective Date or after termination of this Agreement. (C) Except as set forth in Paragraph (E) below, Airbnb agrees to register as a Collector on behalf of Hosts for the sole purpose of reporting, collection and remittance of Taxes under this Agreement and will be the registered Collector on behalf of any affiliate or subsidiary collecting Taxes. The assumption of such duties described in Paragraph (A) above and this Paragraph (C) shall not trigger any other registration requirements to which Airbnb is not otherwise subject. REMITTANCE OF TAXES (D) Airbnb agrees reasonably to report aggregate information on the tax return form prescribed by CITY, including an aggregate of gross receipts, exemptions and adjustments, and taxable receipts of all Taxes that are subject to the provisions of this Agreement. Airbnb shall remit all Taxes collected from Guests in accordance with this Agreement and Airbnb's Terms of Service (www.airbnb.com) (the “TOS") in the time and manner described in the Code or as otherwise agreed to in writing. REGISTERED HOSTS (E) Airbnb reserves the right to implement a software feature on the Platform whereby Airbnb collects Taxes based on tax information supplied by the Host and remits such Taxes to Hosts for ultimate reporting and remittance by the Host to CITY. In such cases, a Host must provide to Airbnb its (i) applicable Tax identification or registration number; (ii) applicable business identification number; and (iii) acknowledgement of its obligation to collect all Taxes owed on a Host's Taxable Booking Transactions and to remit and report any Taxes collected directly to CITY (a "Registered Host''). Upon request from CITY, and not more than once per consecutive twelve-month period, Airbnb may provide CITY with copies of documentation related to Registered Hosts. Page 3 of 8 (E-1) Airbnb satisfies its obligations under this Agreement by remitting the full amount of Taxes collected on behalf of Hosts to CITY and in the case of Registered Hosts only, by remitting the Taxes collected on a Registered Host's Taxable Booking Transactions directly to the Registered Host. AIRBNB LIABILITY (F) Pursuant to the terms of this Agreement, Airbnb agrees contractually to assume liability for any failure to report, collect and/or remit the correct amount of Taxes, including, but not limited to, penalties and interest, lawfully and properly imposed in compliance with the Code. Nothing contained herein nor any action taken pursuant to this Agreement shall impair, restrict or prevent Airbnb from asserting that any Taxes and/or penalties, interest, fines or other amounts assessed against it were not due or are the subject of a claim for refund under applicable law, or otherwise bar it from enforcing any rights accorded by law. Notwithstanding the above and solely with respect to Registered Hosts, Airbnb does not assume any liability for the failure of a Registered Host to comply with any applicable collection, reporting or remittance obligations related to Taxable Booking Transactions. Further, Airbnb does not assume any liability for collection based on information supplied by the Registered Host. AUDIT (G) During any period for which Airbnb is not in breach of its obligations under this Agreement, CITY agrees to audit Airbnb on the basis of Tax returns filed and supporting documentation. CITY reserves the right to audit any individual Host for activity that has been brought to the attention of CITY in the form of a complaint or other means independent of this Agreement or independent of data or information provided pursuant to this Agreement. (H) CITY agrees to audit Airbnb on an anonymized transaction basis for Taxable Booking Transactions. Except as otherwise agreed herein, Airbnb shall not be required to produce any personally identifiable information relating to any Host or Guest or relating to any Taxable Booking Transaction without binding legal process served only after completion of an audit by CITY of Airbnb with respect to such users. The parties agree to utilize appropriate Page 4 of 8 sampling audit methodologies based on a standard sample period which may be projected against the remainder of any periods open under the applicable statute of limitations, unless Airbnb elects, at its sole discretion. to undergo further audit of such open periods by CITY. GUEST AND HOST LIABILITY (I) During any period in which this Agreement is effective, and provided Airbnb is in compliance with its obligations herein, Hosts shall be relieved of any obligation to collect and remit Taxes on Taxable Booking Transactions, and shall be permitted but not required to register individually with CITY to collect, remit and/or report Taxes. Notwithstanding the above, Registered Hosts will be solely responsible for directly remitting Taxes collected on Taxable Booking Transactions to CITY. Nothing in this Agreement shall relieve Guests or Hosts from any responsibilities with respect to Taxes for transactions completed other than on the Platform, or restrict CITY from investigating or enforcing any provision of applicable law against such users for such transactions. WAIVER OF LOOK-BACK (J) CITY expressly releases, acquits, waives and forever discharges Airbnb, its current or past affiliated parent or subsidiary companies, directors, shareholders, investors, employees and other agents from any and all actions, causes of action, indebtedness, suits, damages or claims arising out of or relating to payment of and/or collection of Taxes or other tax indebtedness, including but not limited to penalties, fines, interest or other payments relating to Taxes on any Taxable Booking Transactions prior to the Effective Date. Nothing contained in this Paragraph of this Agreement will constitute a release or waiver of any claim, cause of action or indebtedness that CITY may have or claim to have against any Host or Guest unrelated to Taxable Booking Transactions under this Agreement. NOTIFICATION TO GUESTS AND HOSTS (K) Airbnb agrees, for the purposes of facilitating this Agreement, and as required by its TOS, that, except with respect to Registered Hosts, it will notify (i) Hosts that Taxes will be collected and remitted to CITY as of the Effective Date pursuant to the terms of this Agreement; Page 5 of 8 and (ii) Guests and Hosts of the amount of Taxes collected and remitted on each Taxable Booking Transaction. LIMITATION OF APPLICATION (L) This Agreement is solely for the purpose of facilitating the administration and collection of the Taxes with respect to Taxable Booking Transactions and, except with respect to the rights and liabilities set forth herein, the execution of or actions taken under this Agreement shall not be considered an admission of law or fact or constitute evidence thereof under the Code or any other provisions of the laws of the United States of America or of any State or subdivision or municipality thereof. Neither Party waives, and each Party expressly preserves, any and all arguments, contentions. claims, causes of action, defenses or assertions relating to the validity or interpretation or applicability of the Code, regulations or application of law. (L-1) If Airbnb expands the types of transactions that may be completed by Hosts and Guests on the Platform to include additional taxable services or products located in the City of Corpus Christi, and Airbnb decides in its sole discretion to collect and remit any applicable taxes with respect to such transactions on behalf of Hosts and/or Guests! Airbnb agrees to provide reasonable notice to CITY regarding the collection and remittance of such taxes. DURATION/TERMINATION (M) This Agreement may be terminated by Airbnb or CITY for convenience on 30-day written notification to the other Party. Such termination will be effective on the first day of the calendar month following the 30-day written notification to the other Party. Any termination under this Paragraph shall not affect the duty of Airbnb to remit to CITY any Taxes collected from Guests up through and including the effective date of termination of this Agreement, even if not remitted by Airbnb to CITY as of the effective date of termination. MISCELLANEOUS (N) CHOICE OF LAW. This Agreement, its construction and any and all disputes arising out of or relating to it, shall be interpreted in accordance with the substantive laws of the Page 6 of 8 State of Texas without regard to its conflict of law principles. (O) MODIFICATION. No modification, amendment, or waiver of any provision of this Agreement shall be effective unless in writing and signed by both Parties. (P) MERGER AND INTEGRATION. This Agreement contains the entire agreement of the Parties with respect to the subject matter of this Agreement, and supersedes all prior negotiations, agreements and understandings with respect thereto. (Q) COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, and all of which, when taken together, shall constitute one and the same instrument. The Agreement shall become effective when a counterpart has been signed by each Party and delivered to the other Party, in its original form or by electronic mail, facsimile or other electronic means. The Parties hereby consent to the use of electronic signatures in connection with the execution of this Agreement, and further agree that electronic signatures to this Agreement shall be legally binding with the same force and effect as manually executed signatures. (R) RELATIONSHIP OF THE PARTIES. The Parties are entering into an arm's-length transaction and do not have any relationship, employment or otherwise. This Agreement does not create nor is it intended to create a partnership, franchise, joint venture, agency, or employment relationship between the Parties. There are no third-party beneficiaries to this Agreement. Subject to the foregoing, this Agreement shall bind and inure to the benefit of the Parties, their respective successors, and permitted assigns. (S) WAIVER AND CUMULATIVE REMEDIES. No failure or delay by either Party in exercising any right under this Agreement shall constitute a waiver of that right or any other right. Other than as expressly stated herein, the remedies provided herein are in addition to, and not exclusive of, any other remedies of a Party at law or in equity. (T) FORCE MAJEURE. Neither Party shaIl be liable for any failure or delay in performance under this Agreement for causes beyond that Party's reasonable control and occurring without that Party's fault or negligence, including, but not limited to, acts of God, acts Page 7 of 8 of government, flood, fire, civil unrest, acts of terror, strikes or other labor problems (other than those involving Airbnb employees), computer attacks or malicious acts, such as attacks on or through the Internet, any Internet service provider, telecommunications or hosting facility. Dates by which performance obligations are scheduled to be met will be extended for a period of time equal to the time lost due to any delay so caused. (U) ASSIGNMENT. Neither Party may assign any of its rights or obligations hereunder, whether by operation of law or otherwise, without the prior written consent of the other Party (which consent shall not be unreasonably withheld). Notwithstanding the foregoing, Airbnb may assign this Agreement in its entirety without consent of the other Party in connection with a merger, acquisition, corporate reorganization, or sale of all or substantially all of its assets, provided, the assignee has agreed to be bound by all of the terms of this Agreement and all Taxes and all other sums due at the time of the attempted assignment have been paid in full. Any attempt by a Party to assign its rights or obligations under this Agreement in breach of this section shall be void and of no effect. (V) MISCELLANEOUS. If any provision of this Agreement is held by a court of competent jurisdiction to be contrary to law, the provision shall be modified by the court and interpreted so as best to accomplish the objectives of the original provision to the fullest extent permitted by law, and the remaining provisions of this Agreement shall remain in effect. NOTICES (W) All notices under this Agreement shall be in writing and shall be deemed to have been given upon: (i) personal delivery; (ii) the third business day after first class mailing postage prepaid; or (iii) the second business day after sending by overnight mail or by facsimile with telephonic confirmation of receipt. Notices shall be addressed to the attention of the following persons, provided each Party may modify the authorized recipients by providing written notice to the other Party: Page 8 of 8 To Airbnb: Airbnb, Inc. Attn: General Counsel 888 Brannan Street, 4th Fl. SF, CA 94103 legal@airbnb.com Airbnb, Inc. Attn: Global Head of Tax 888 Brannan Street, 4th Fl. SF, CA 94103 tax@airbnb.com To City: City of Corpus Christi Attn: Finance & Business Analysis Dept. Hotel Occupancy Tax Collection 1201 Leopard St. Corpus Christi, TX 78401-2120 City of Corpus Christi Attn: City Attorney’s Office P. O. Box 9277 Corpus Christi, TX 78469-9277 IN WITNESS WHEREOF, Airbnb and CITY have executed this Agreement effective on the date set forth in the introductory clause. AIRBNB, INC., a Delaware corporation By: Signature of Authorized Representative Name and Title of Authorized Representative CITY OF CORPUS CHRISTI, TEXAS By: Signature Name and Title DATE:September 6, 2019 TO:Peter Zanoni, City Manager FROM:Arlene Medrano, Business Liaison arlenem@cctexas.com 361-826-3356 CAPTION: Motion authorizing a Management Services Agreement with the Corpus Christi Area Convention and Visitors Bureau (CCCVB) for a period ending September 30, 2024 in an amount totaling 44% of the City’s 7% portion of Hotel Occupancy Tax revenue and approving the bylaws. SUMMARY: This motion authorizes a multi-year contract with the Corpus Christi Convention and Visitors Bureau (CCCVB) to provide professional services and personnel who are trained and experienced in the field of visitor and convention promotion and advertising. The City benefits directly by increased sales tax and hotel occupancy tax income produced by visitors and conventioneers. The City agrees that for the convention and visitor services performed by the CCCVB under this Agreement, the City shall pay the CCCVB annually the sum of 44% of the City's 7% HOT receipts received. The FY 2019 budget is $5,256,024 and the FY 2020 proposed budget amount is $5,022,213. BACKGROUND AND FINDINGS: On September 22, 2015, City Council approved a three-year Consulting Services agreement with the CCCVB for a period extending from October 1, 2015 to September 30, 2018. Per the City’s Annual Audit Plan, the City Auditor conducted a contract audit of the Consulting Services Agreement with the Corpus Christi Area Convention and Visitors Bureau (CCCVB) for a period from July 2018 to January 2019. As a result of the audit timing, a new multi-year term agreement with the CCCVB was postponed until said audit was complete. In September 2018, the City Council approved a month-to-month amendment with the CCCVB. The CCCVB has been on a month-to-month contract since October 2018. The Audit was completed in January 2019 and staff has worked with the City Auditor’s Office and the CCCVB staff to write a management services agreement that addresses the audit findings and makes improvements to the overall service agreement. Authorizing the execution of a Management Services Agreement with the Corpus Christi Area Convention and Visitors Bureau (CCCVB) for a period ending September 30, 2024 and approving bylaws AGENDA MEMORANDUM Action Item for the City Council Meeting October 15, 2019 Major Revisions to the Service Agreement Include the following: Requirement for the CCCVB to enter into sub-recipient agreements with all contractors Addition of a requirement to establish procurement policies Addition of a template for the formal business/marketing plan with annual reporting Clarity on performance goals Limiting expenditure of HOT tax revenue to Corpus Christi only, unless otherwise approved in the Business Plan for area attractions that drive business to Corpus Christi (ie. King Ranch Breakfast in Kingsville, TX; Sand Fest in Port Aransas, TX, etc.) Addition of City Manager and Mayor, or designees, as voting members of the CCCVB Board Addition of City Manager and Mayor, or designees, as voting members of the CCCVB Executive Committee Meeting Addition of City Contract Manager as Ex-Officio, non-voting member, of the CCCVB Board. The Convention and Visitors Bureau organization employs a professional staff of fifteen employees with a mission to “Drive overnight visitors to the Corpus Christi area.” In 2019, they reached 22,408 visitors via their Mobile Visitor Center and helped to increase hotel occupancy by 6.7%. In fiscal year 2019, the Convention and Visitors Bureau invested $2.1 million in traditional advertising and $650,000 in digital advertising reaching a combined total of over 288 million people. The CVB management services agreement was presented to City Council at the October 1, 2019 meeting. At that meeting, Mr. Jim Hooper spoke during Public Comment and provided his commentary on the proposed agreement. City Staff and CVB Staff and CVB Board Members spoke with Mr. Hooper after the City Council meeting and City Staff reached out to Mr. Hooper by phone and email. Mr. Hooper’s comments are attached and include Staff’s responses and Recommended Action, if any. Below is a list of revisions that have been made since October 1, 2019: In regards to the CVB’s role as the City’s Film Commission, Section 1.01 (J) is being amended to change the word “act as a liaison for the City” to “act as an agent on behalf of the City as prescribed in City Code of Ordinances Chapter 36 Article III.” o Also, Parks and Recreation will collect the $25 permitting fee moving forward and an annual reconciliation of permits and revenue will take place. In regards to ownership of reports, work products and intellectual property, a section on intellectual property has been added to address this. In regards to the CVB not having any employees, the term “leased employees” has been added anywhere in the contract where the term “employee” is used. ALTERNATIVES: An alternative to authorizing this agreement would be to use the HOT funding to hire professional staff to work directly for the City of Corpus Christi to provide the services outlined in the scope of work. However, the staff at the CVB are experienced and knowledgeable in the field of convention and visitor services. In addition, any other alternative would delay and potentially jeopardize current convention agreements between conventioneers and the Convention and Visitors Bureau and potentially decrease hotel occupancy tax revenues. FISCAL IMPACT: The financial impact of this management agreement is $5,022,213 in fiscal year 2020. This funding is currently included in the FY 2020 Proposed Budget and represents 44% of the City’s 7% portion of Hotel Occupancy Tax revenue. Funding Detail: Fund:1030 Hotel Occupancy Tax Organization/Activity:13800 Convention Promotion Mission Element:734 Tourism Project # (CIP Only): N/A Account:530000 Professional Services RECOMMENDATION: Staff recommends authorizing this agreement. The October 1, 2019 version of the agreement was approved by the Visit Corpus Christi Board of Directors on September 19, 2019. A Special Meeting of the Visit Corpus Christi Board is being planned for October 11, 2019, but as of October 7th, the VCC Board had not approved these changes. Board approval is not required prior to City Council action, but is required to ratify the agreement. All Convention and Visitors Bureau Board members are appointed by City Council. LIST OF SUPPORTING DOCUMENTS: Agreement- CCCVB Management Services Agreement Presentation Page 1 of 25 MANAGEMENT SERVICES AGREEMENT BETWEEN CITY OF CORPUS CHRISTI AND CORPUS CHRISTI AREA CONVENTION & VISITORS BUREAU This Management Services Agreement is executed by and between the City of Corpus Christi, Texas, a municipal corporation ("City") and the Corpus Christi Area Convention & Visitors Bureau ("CCCVB"), a private, Texas nonprofit corporation organized for the purpose of promoting convention and visitor activity in the Corpus Christi Bay area. WHEREAS, the City desires to attract more visitors and conventioneers to Corpus Christi; WHEREAS, the City benefits directly by increased sales tax and hotel and motel occupancy tax income developed by visitors and conventioneers; WHEREAS, the City benefits indirectly through the economic activity of visitors and conventioneers who come to our City; and WHEREAS, the CCCVB has professional personnel who are trained and experienced in the field of visitor and convention promotion, and the City desires to continue the professional promotion and advertising service through a contractual arrangement with CCCVB; NOW, THEREFORE, in consideration of the mutual covenants contained in this Agreement, the parties agree as follows: 1. SCOPE OF SERVICES. 1.1. The CCCVB shall, in accordance with the organization’s mission, drive overnight visitors to Corpus Christi. Specific activities required include: (A) Lead attraction and support of meetings, conventions and tradeshows within Corpus Christi, including the following specific activities: a. solicit various organizations and associations to conduct meetings/ conventions/tradeshows within Corpus Christi year-round; b. utilize various advertising/marketing techniques to promote City of Corpus Christi as a desirable year-round meeting and convention destination; c. provide support services to meetings and conventions in Corpus Christi; d. focus efforts on the City’s Convention Center; (B) promote the City of Corpus Christi as a year-round, leisure tourism destination; (C) design and implement an advertising campaign with state, national, and international coverage to feature Corpus Christi as an attractive location for tourism; (D) support special events that will create overnight visitors; Page 2 of 25 (E) maintain high quality, updated website and printed materials for visitors; (F) serve as main point of information for inquiries related to tourism and convention- related business that brings visitors to Corpus Christi lodging facilities; (G) operate visitor information center(s); (H) research and advise the City on projected growth of tourism and convention- related business to assist City planning efforts, including expanding segments of the industry, such as sports tourism, cultural tourism and nature tourism; (I) provide feedback to City, as requested, to facilitate policy decisions made in the interest of tourism promotion; (J) act as an agent liaison for on behalf of the City in its relationships with the music and film industries and adhere to the role prescribed to the Corpus Christi Film Office at the Corpus Christi Convention and Visitors Bureau in the City Code of Ordinances Chapter 36, Article III ; (K) perform all responsibilities of tourism and marketing; (L) perform additional duties as agreed upon by both parties which are consistent with the organization’s mission statement such as the Memorandum of Agreement for the exploration of opportunities to expand tourism and economic development relationships with the Corpus Christi Sister Cities.. 1.2. The CCCVB shall enter into separate written sub-recipient agreements with all entities receiving Hotel Occupancy Tax (”HOT”) funds from the CCCVB for events. For the purposes under this Agreement, a sub-recipient is an organization sponsoring an event which would constitute a HOT-eligible project. 1.3. The CCCVB may host special events in the City that will create overnight visitors, so long as such events are eligible uses of HOT funds. The CCCVB or an affiliated entity may accept donations from private entities for such events, and all such donations and other revenues shall be documented on the books and records maintained under the control of CCCVB for use by the CCCVB or its affiliated entity for HOT-eligible projects. 1.4. The purchase of any goods and services with funds provided by the City under this Agreement shall be conducted in a manner that assures the City that the funds are being spent prudently and in a manner to get the best benefit to serve the above purposes. Any goods or services with a cost exceeding $50,000 for which more than one source exists and that are not specified for particular marketing or entertainment purposes shall be purchased through a competitive process. Purchases under $50,000 will be conducted using sound purchasing procedures such as solicitation of informal quotes from multiple providers for purchases greater than $5,000 for which more than one source exists and that are not specified for particular marketing or event-quality purposes. For example, nothing in this section shall require the CCCVB to choose performers, advertising locations or media, or similar strategic items on the basis of low price. The CCCVB staff shall, within 90 days of the Effective Date, meet with the City’s Contracts and Procurement Department to discuss the City’s purchasing policies and the policies that might be appropriate for the CCCVB. The City may require additional training as appropriate. 1.5. The CCCVB shall promote events and attractions that draw visitors into lodging facilities in the City of Corpus Christi. Any promotions or activities that include regional events or attractions must be conducted in accordance with a Business Plan approved Page 3 of 25 by the City, in accordance with direction from City Council. Any HOT funds received from the City must be used in a manner that is aimed at increasing hotel occupancy within the City and that complies with all laws related to the use of such funds. Page 4 of 25 2. APPROPRIATIONS AND AUDIT 2.1. 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. If funds for this Agreement are not appropriated in the budget for any fiscal year, this Agreement shall automatically terminate. 2.2. The CCCVB must maintain revenue provided under this Agreement in a separate account established for that purpose and may not commingle funds received from the City in such account with any other funds. The CCCVB may periodically draw from such account for deposit into its operating account in order to make expenditures for HOT- eligible purposes and projects. 2.3. Expenditures exceeding the total budgeted amount must be paid from clearly identified funds of the CCCVB. 2.4. Interest earned on funds contributed to the CCCVB by the City must be clearly identified, credited, and reflected on the books as resulting from the investment of the funds and the interest earned must be available for the CCCVB use within the convention and visitor fund account. 2.5. Pparties agree that receipt of these funds creates a fiduciary duty of the CCCVB. 2.6. The CCCVB shall provide an independent audit for expenditures of funds allocated under this agreement for each year based on a fiscal year ending September 30. The CCCVB shall retain copies of the annual independent audit indefinitely. 2.7. Accounting records and the necessary independent audits must conform to the accounting standards as promulgated by the Financial Accounting Standards Board or any other relevant accounting agency and to the requirements of applicable state law, so as to include a statement of support, revenues, expenses, and balance sheets for all funds. Any reports and audits must be signed by management of the CCCVB. 2.8. An independent audit of the CCCVB's expenditures and revenues during the previous fiscal year performed by a Certified Public Accountant under Generally Accepted Accounting Principles must be submitted to the City Manager within 120 days after the end of each fiscal year that this Agreement is in effect. To be considered independent, the audit must be performed by an entity that does not supply other accounting services to the CCCVB and that is not otherwise affiliated with the CCCVB. 2.9. The City shall have the right during each calendar year or fiscal year to authorize an audit of CCCVB's records pertaining to its revenues and expenditures of HOT funds allocated under this agreement. Such audits shall be undertaken by City's staff or a firm of certified public accountants satisfactory to City. The cost of such audit shall be paid by Page 5 of 25 City. The CCCVB shall include this audit provision in all contracts with any sub-recipients of HOT funds for the sole purpose of confirming the use of any HOT funds provided. The CCCVB shall maintain records received from each of such sub-recipients confirming the proper use of any HOT funds provided. 2.10.2.9. CCCVB’s fiscal year runs from October 1 through September 30. 3. RECORDS. 3.1. Aaccounting and financial records of the convention and visitor fund held by the CCCVB must be maintained in a format approved by the City's Director of Finance and must be available for inspection and copying by the Director, and the Director's duly authorized agents and representatives during regular business hours of the CCCVB. Records must be maintained for at least five years after the expiration or termination of this agreement. The CCCVB shall include this language in all contracts with sub- recipients. 3.2. Pursuant to Senate Bill 943, which will go into effect on January 1, 2020, the CCCVB understands that the requirements of Subchapter J, Chapter 552, Government Code, may apply to this Agreement and the CCCVB agrees that the Agreement can be terminated if the CCCVB knowingly or intentionally fails to comply with a requirement of that subchapter. In accordance with Subchapter J, the CCCVB will: (A) preserve all contracting information related to this Agreement in accordance with Section 3.01 above; (B) promptly provide to the City any contracting information related to the Agreement that is in the custody or possession of the CCCVB on request of the City; and (C) on termination of the Agreement, either provide all contracting information related to this Agreement to the City at no cost, or preserve the contracting information related to the Agreement as provided by the records retention requirements applicable to the City. 3.03 The CCCVB will develop a methodology that it considers appropriate to measure event and program success. For events and programs that require significant financial commitment or staff time, the CCCVB will develop procedures on how to account for event success through project accounting. Project accounting will include the following elements: (A) use of group account codes in the financial records to identify transactions by activity, internal or external, (B) include project specific transactions, with projected revenues and costs (direct and indirect), assets and liabilities identified, and allocated to the project, and (C) creation of a reporting system that tracks resources utilized in engaging in an activity and communicates the level of event success. 4. PERFORMANCE MEASURES. 4.1. Pperformance of the CCCVB under this Agreement is based on the following: Page 6 of 25 (A) an annual set of performance measures. (B) HOT earned for a particular fiscal year if the amount of the City’s 7% portion of the HOT earned and received by City for that fiscal year meets or exceeds the minimum threshold of $10,000,000, subject to adjustment each year. (C) The CCCVB will propose the annual set of performance measures and any adjustment to the minimum HOT threshold by July 31 of each year. The City Manager, or designee must approve the final set of performance measures Page 7 of 25 and any adjustment to the minimum HOT threshold, with such approval expected to occur prior to September 30 of each year. 5. REPORTS. 5.1. Business Plan: By July 31 of each year the CCCVB shall provide City Manager with a Business Plan that outlines the overall goals and objectives of the CCCVB. The Plan must describe the plan of action for the upcoming year, including strategic segments; a line item budget; and significant initiatives. The Business Plan must include annual performance measures that are approved by the City and be in substantially the format attached hereto as Exhibit B. Opportunities to promote City-funded venues must be specifically identified and included in the Business Plan. Other information necessary to describe the CCCVB's efforts must be included, as well. 5.02 Quarterly HOT Expenditure Reports: The CCCVB shall provide written quarterly reports to the City on expenditures of HOT funds, in accordance with Tax Code §351.101 (c). All reports must be signed by CCCVB management and provided 30 days following the end of the quarter 5.3. Quarterly City Council Presentations and Report: The CCCVB shall provide a presentation and report to the City Council at least quarterly on the activities and work accomplished to include all annual performance measures, status of HOT revenue, and highlights from the year. The CCCVB will coordinate with the City to choose the appropriate dates to present the reports to City Council; provided that, in the event the City does not provide dates quarterly for a personal presentation of the report such shall not be deemed a default by the CCCVB if the CCCVB provides the information to the City-appointed contract manager in writing. 5.4. Annual Written Report: The CCCVB shall provide a written report annually on the outcomes of the performance measures for the previous year. The Annual Report is due within 60 days after the end of each fiscal year while this Agreement is in effect. 5.05 The Annual Audit: The Annual Audit referenced in Section 2.08 shall be provided promptly upon completion but in any event within 120 days after the end of each fiscal year. 6. CONDUCT OF SERVICES 6.1. All of the Services provided by the CCCVB under this Agreement must be in conformity with the purposes for which the HOT revenues may be expended as authorized in the laws of the State of Texas. 7. BOND. 7.1. The officers and employees, including leased employees, of the CCCVB designated to withdraw funds from the convention and visitor fund must be covered by a blanket fidelity bond in a penal sum of $100,000. The bond must be provided by CCCVB, issued by a corporate surety Page 8 of 25 designating CCCVB as named insured, the City as an additional named insured, and in the form approved by the City Attorney. 8. COMPENSATION. 8.1. HOT Share: The City agrees that for the convention and visitor services performed by the CCCVB under this Agreement, the City shall pay the CCCVB annually the sum of 44% of the City's 7% HOT receipts received by the City for the CCCVB's current fiscal year, but specifically excepting all HOT receipts received by the City that are generated from any and all districts of the Schlitterbahn Beach Country project described in the Chapter 380 Economic Development Incentive Agreement Between the City of Corpus Christi, Texas and Upper Padre Partners, LP and North Padre Waterpark Holdings, LTD approved by the City Council by Resolution No. 029487 on May 22, 2012 ("Schlitterbahn"), divided into monthly payments described in Section 8.03. The amount to be paid to CCCVB is referred to in this Agreement as the Contract Amount. 8.02 HOT Trigger of Renegotiation: Should HOT receipts received by the City for the twelve months ending March 31 in any year fall below $10,000,000, the Contract Amount for the following fiscal year will be renegotiated to a lower amount in order to assure that the City can continue to meet its other obligations with HOT funds, based on the amount by which the HOT receipts fell below $10,000,000. Subject to force majeure, if the HOT receipts received by the City for the next twelve-month period ending March 31 also fall below $10,000,000, the City may terminate this Agreement at the end of the then-current fiscal year by providing at least 60-days written notice of termination. Each of the above amounts must be calculated based upon the amount of City HOT receipts received by the City, excluding the two percent increase adopted in 1999 for convention center expansion and revenues authorized to clean and maintain public beaches by Chapters 156 and 351, Texas Tax Code. 8.3. Payment Schedule: During the term of this Agreement, the City shall pay to CCCVB a sum equal to one-twelfth of the annual amount payable to CCCVB for the convention and visitor services provided under this Agreement on or about the first of each month; provided however, the City Manager is authorized to alter the payment schedule to increase payments early in the year if the payments are justified by documentation provided by CCCVB. 8.4. Force Majeure: If the CCCVB or the City is 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 CCCVB or the City 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. Page 9 of 25 9. SUSPENSION AND TERMINNIATION. 9.1 Suspension: The City may summarily suspend this Agreement with pay continuing to fund the salaries and basic operations of the CCCVB, if the CCCVB breaches its obligations hereunder and fails to cure such breach within sixty days after receiving written notice of suspension. The City shall promptly apprise CCCVB of the basis for suspension. Any such suspension shall remain in effect until the City determines that appropriate measures have been taken to ensure CCCVB 's future compliance. Grounds for such suspension include, but are not limited to the following: (A) Failure to abide by any terms or conditions of this Agreement; (B) Failure to keep and maintain adequate proof of insurance as required by this Agreement; (C) The violation of City, State, or federal laws by CCCVB as a result of the commission and conviction of a crime of moral turpitude. 9.2 Termination Defined: For purposes of this Agreement, " termination" shall mean termination by expiration of the Agreement or earlier termination pursuant to any of the provisions hereof. 9.3 Termination for Cause: Upon written notice, which notice shall be provided in accordance with Section 12.04, the City may terminate this Agreement as of the date provided in the notice, in whole or in part, upon the occurrence of one (I) or more of the following events: (A) the sale, transfer, pledge, conveyance or assignment of this Agreement without prior approval; (B) ceasing operations for a period of time exceeding twenty (20) days; (C) the expenditure of HOT on gratuities in the form of hosting and amenities offered or given by CCCVB outside reasonable industry business practices in excess of nominal value or otherwise not previously approved by the City, or by any agent or representative of CCCVB, to any officer or employee, including a leased employee, of the City, County, State or any business prospect with a view toward securing a contract or securing favorable treatment with respect to the awarding or amending, or the making of any determinations with respect to the performance of such contract; and (D) failure to cure cause of suspension. 9.4 Defaults with Opportunity for Cure: Should CCCVB default in the performance of this Agreement in a manner stated in this section, same shall be considered an Event of Default. The City shall deliver written notice of the default, specifying in detail the matter(s) in default. The CCCVB shall have sixty (60) calendar days after receipt of the written notice, in accordance with Section 132.04. If CCCVB fails to cure the default within such thirty-day cure period, the City shall have the right, without further notice or adoption of a City ordinance, to terminate this Agreement in whole or in part as the City deems appropriate. The following actions are defaults that may be cured by CCCVB: Page 10 of 25 (A) performing unsatisfactorily as evidenced by failure lo make adequate progress to meet CCCVB’s pre-determined benchmarks for success, as outlined in the annual Business Plan; (B) failing to perform or failing to comply with any material term or covenant herein required as determined by the City; (C) bankruptcy or selling substantially all of company's assets; and (D) gratuitous expenditures made in hopes of securing favorable contracts. 9.5 Termination by Law: If any State or federal law or regulation is enacted or promulgated which prohibits the performance of any of the duties herein, or, if any law is interpreted to prohibit such performance, this Agreement shall automatically terminate as of the effective date of such prohibition. 9.6 Upon the effective date of expiration or termination of this Agreement, CCCVB shall cease all work being performed by CCCVB or any of its subcontractors on behalf of the City. 9.7 Regardless of the method by which this Agreement is terminated, CCCVB agrees to provide a provisional period of termination for a period not to exceed two months upon the City's request. During such provisional period, CCCVB will receive adequate percentage payments of HOT, to be distributed in accordance with Section 8.01 and 8.03, to continue to provide services as provided for, and for which it will be compensated, under this Agreement. 10. BOARD OF DIRECTORS 10.1. The affairs of the CCCVB shall be governed by a board of directors ("Board"), which must be composed of 15 voting members, 13 of which are selected directly by the City Council of the City. Those members must be representatives of the following groups: 3 members from the lodging industry; 3 members from the attraction industry; 2 members from the restaurant industry; 5 members from the community at large; The Mayor, or his designee; and The City Manager, or his designee. 10.2. The City-designated contract manager shall serve as an ex-officio non-voting member of the Board. In addition, the City Council will appoint a representative from the Port of Corpus Christi Authority, a representative from the Corpus Christi International Airport, and a representative from the Regional Transportation Authority to serve as ex- Page 11 of 25 officio advisory non-voting members. The CCCVB may appoint additional advisory, non- voting persons to assist its board of directors in fulfilling its obligations. 10.03 The City Manager and Mayor, or their designees, will serve as voting members of the Executive Committee of the Board. 10.4. Appointments to the Board will be for staggered, two-year terms. Current members of the Board may serve until their current terms expire. No person may serve as a voting member of the Board for a period longer than six years consecutively, unless the service is required by virtue of the person's position or title or to complete an unexpired term. 10.5. The CCCVB may make recommendations to the City Council for directors as directors' terms expire, but the CCCVB always shall nominate one more individual per category than the total number of positions available. The City Council will provide serious consideration to the Board's recommendations but is not restricted to select members submitted by the CCCVB or any other group. The members from the community at large appointments will be made by City Council in its sole discretion without consideration of nominations and may be City Council members, City staff or officials, or residents of the City. 10.6. Unexcused absences from more than 25 percent of regularly scheduled meetings during a term year must result in an automatic vacancy, which vacancy must be promptly reported to the City Council. An absence must be unexcused unless excused by the board for good cause no later than its next meeting after the absence. Any member, otherwise eligible, may not be precluded from reappointment by reason of the automatic vacancy. 10.7. The CCCVB's Board of Directors may establish those standing committees it deems necessary. The Board is authorized to and must employ a President/Chief Executive Officer to exercise day to day management and administration of the CCCVB. 10.8. The Board of Directors will operate under bylaws which must be consistent with the terms of this Agreement. The current bylaws are attached hereto as Exhibit C. Any changes to the bylaws must be presented to City Council for approval at least 60 days prior to their effective date. If changes to the bylaws are not approved by City Council within the 60-day period, they shall not be effective until approved by City Council. The Board of Directors may approve rules of procedure to govern the conduct of its meetings, which will not require City Council approval. 10.9. The CCCVB agrees that meetings of its board of directors must be open to the public, and the meetings may be closed only when the board determines that an executive session is necessary for the purpose of discussing agenda items that may be discussed in closed session in accordance with the Texas Open Meetings Act or proprietary information that typically would not be public under the Texas Public Information Act. A copy of the agenda for each meeting of the Board shall be provided to the City Secretary at least 72 hours prior to the meeting. Description of the agenda items shall be sufficient to provide advance notice of the items to be considered. The agenda shall not be Page 12 of 25 amended after it is provided to the City Secretary unless an amended agenda is timely provided to the City Secretary for posting at least 72 hours prior to the meeting. 10.10. The City and CCCVB agree that in no event may the City be liable for any contracts made by the CCCVB with any person, firm, corporation, association, or governmental body. 10.11. The City and CCCVB agree that in no event may the City be liable for any damages, injuries, or losses charged to or adjudged against the CCCVB arising from its operations, or the use or maintenance of its facilities. 11. TERM AND TERMINATION 11.1. The term of the Agreement commences on the Effective Date and continues until September 30, 2024, subject to termination as provided in this Agreement. 11.2. Either party may terminate this Agreement at any time for any reason by giving one year's prior written notice to the other party. In the event the City cancels this Agreement upon one year's notice, the City assumes any obligations of the convention and visitor's fund with a term of less than one year and any other obligation approved In advance by the City Manager. The City reserves the right to terminate this Agreement without notice for cause. 12. Intellectual Property Rights 12.1 Intellectual Property created or arising from the delivery of Services under this Agreement will be the property of the City. The CCCVB has a limited license to use any and all Intellectual Property created or arising from the delivery of Services under this Agreement for purposes of continued performance under this Agreement. Upon termination of this Agreement for any reason, all Intellectual Property and work products maintained by the CCCVB will be provided to the City at no cost. 12.13. MISCELLANEOUS 12.1.13.1. This Agreement replaces and supersedes all other contracts and understandings previously made between the City and CCCVB. 12.2.13.2. The CCCVB specifically reserves the right to change its name as a corporate entity and do business under one or more assumed names in compliance with the laws of the State of Texas. No change of name or use of additional names may be deemed a modification of this Agreement. 12.3.13.3. The CCCVB shall comply with all applicable Federal, State, and local laws, rules and regulations in providing services under this agreement. 12.4.13.4. All notices, requests or other communications related to this Agreement must be made in writing and may be given by: (a) depositing same in the United States Mail, postage prepaid, certified, return receipt requested, addressed as set forth in this Page 13 of 25 paragraph; or (b) delivering the same to the party to be notified. Notice given under (a) of the prior sentence are effective upon deposit In the United States mail. The notice addresses of the parties, until changed as provided in this Agreement, are as follows: City: City of Corpus Christi, Texas Attention: City Manager 1201 Leopard Street Page 14 of 25 P.O. Box 9277 Corpus Christi, Texas 78469 CCCVB: Corpus Christi Convention & Visitors Bureau Attention: Chief Executive Officer 1501 North Chaparral Street Corpus Christi, Texas 78401 Reporting and daily communication may be provided by email. 12.5.13.5. If for any reason any section, paragraph, subdivision, clause, phrase, word, or provision of this Agreement is held invalid or unconstitutional by final judgment of a court of competent jurisdiction, it may not affect any other section, paragraph, subdivision, clause, phrase, word, or provision of this Agreement, for it is the definite intent of the parties that every section, paragraph, subdivision, clause, phrase, word, or provision of this Agreement be given full force and effect for its purpose. 12.6. No amendments, modifications, or other changes to this Agreement are valid or effective absent the written agreement of the parties. This Agreement may be executed in one or more counterparts, each of which are deemed an original, and all of which constitute but one and the same instrument. 13.6. It is understood and agreed that the CCCVB may copyright, to the use and benefit of the City of Corpus Christi, any material or document it deems appropriate and qualified for copyright and may administer the copyrights for the City during the term of this Agreement. 12.7.13.7. The CCCVB agrees to comply with attached Exhibit A regarding insurance requirements. 12.8.13.8. CCCVB shall create and follow a drug and alcohol abuse policy that is appropriate for the organization’s size and business. The policy must, at a minimum, comply with the Drug Free Workplace Act of 1988 (codified at 41 USC Chapter 81) and provide guidelines for employees, including leased employees , to follow regarding events and activities for which consumption or gifting of alcohol is or is not appropriate. 12.9.13.9. The CCCVB agrees that, during the term of this Agreement, it will not discriminate nor permit discrimination against any person or group of persons, with regard to employment, 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. The CCCVB shall create and follow an Equal Employment Opportunity policy. The policy must, at a minimum, provide for procedures to be used to investigate allegations of discrimination. 12.10.13.10. This Agreement takes effect upon the date of the last signature (the “Effective Date”). Page 15 of 25 Executed on the dates indicated below binding the respective parties as of the date of last signature. CITY OF CORPUS CHRISTI, TEXAS CORPUS CHRISTI AREA CONVENTION & VISITORS BUREAU By: By: Constance Sanchez Alyssa Barrera Mason Chief Financial Officer Interim Chief Executive Officer Date: Date: ATTEST: Rebecca Huerta City Secretary APPROVED AS TO LEGAL FORM: Assistant City Attorney Date Page 16 of 25 EXHIBIT A INSURANCE REQUIREMENTS I. CCCVB’S LIABILITY INSURANCE A. CCCVB must not commence work under this agreement until all insurance required has been obtained and such insurance has been approved by the City. CCCVB must not allow any subcontractor Agency to commence work until all similar insurance required of any subcontractor Agency has been obtained. B. CCCVB must furnish to the City’s Risk Manager and Director Human Resources, 2 copies 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. The City must be listed as an additional insured on the General liability and Auto Liability policies by endorsement, and 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 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 CRIME/EMPLOYEE DISHONESTY Contractor shall name the City of Corpus Christi, Texas as Loss Payee $1,000,000 Per Occurrence HOST LIQUOR LIABILITY Applicable when alcohol being served $1,000,000 Combined Single Limit C. In the event of accidents of any kind related to this agreement, CCCVB must furnish the Risk Manager with copies of all reports of any accidents within 10 days of the accident. Page 17 of 25 II. ADDITIONAL REQUIREMENTS A. Applicable for paid employeesand leased employees, CCCVB 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 CCCVB will be promptly met. B. CCCVB shall obtain and maintain in full force and effect for the duration of this Contract, and any extension hereof, at CCCVB'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. CCCVB shall be required to submit a copy of the replacement certificate of insurance to City at the address provided below within 10 days of the requested change. CCCVB 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 Manager P.O. Box 9277 Corpus Christi, TX 78469-9277 D. CCCVB 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 (including leased employees), volunteers, and elected representatives as additional insured by endorsement, as respects operations, completed operation 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 suspension, cancellation, non-renewal or material change 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 suspension, cancellation, or non-renewal of coverage, CCCVB shall provide a replacement Certificate of Insurance and applicable endorsements to City. City shall have the option to suspend CCCVB's performance should there be a lapse in coverage at any time during this contract. Failure to provide and to maintain the Page 18 of 25 required insurance shall constitute a material breach of this contract. F. In addition to any other remedies the City may have upon CCCVB'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 CCCVB to remove the exhibit hereunder, and/or withhold any payment(s) if any, which become due to CCCVB hereunder until CCCVB demonstrates compliance with the requirements hereof. G. Nothing herein contained shall be construed as limiting in any way the extent to which CCCVB may be held responsible for payments of damages to persons or property resulting from CCCVB's or its subcontractor’s performance of the work covered under this agreement. H. It is agreed that CCCVB'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. I. It is understood and agreed that the insurance required is in addition to and separate from any other obligation contained in this agreement. 2019 Insurance Requirements Legal Dept. Corpus Christi Convention and Visitors Bureau Management Services Agreement 07/02/2019 sw Risk Management Page 19 of 25 EXHIBIT B BUSINESS PLAN TEMPLATE [insert logo] Corpus Christi Convention & Visitors Bureau Business Plan Fiscal Year: 2019-2020 <Insert date of version > Approved by: Convention and Visitors Bureau, CEO City Manager DEPARTMENTAL PROFILE ORGANIZATION DESCRIPTION Provide a brief description of the major duties, services/and programs currently provided by the organization (if desired, may separate by division); a brief history of significant events affecting the department; current innovative programs and initiatives, discussion of major contracted operations (if any). ORGANIZATIONAL CHART Provide an organization chart to include each authorized individual position Health Care Plan Provide the CVB’s healthcare plan to include premiums paid by the employee or leased employee and those paid by the CVB. Compensation Plan Provide the compensation for each authorized individual position. Include paid time off benefits to include, sick leave and vacation accrual policy. Page 20 of 25 Holiday Calendar Provide a calendar of paid and unpaid holidays (if applicable) CURRENT BUSINESS ENVIRONMENT Summarize organizations business environment, including such aspects as customers served, changes in major customer service trends, target service levels, changes in regulatory environment, or recent changes in business practices. PERFORMANCE TRENDS Summarize key trends evident from your performance measures. Discuss strategic and operational implications. FINANCIAL SUMMARY Insert expenditures and revenues reports at a high level similar to what is used for budget presentations. Expenditures Revenues Capital Budget Summary PINNACLE ISSUES List any critical pinnacle issues. For each issue describe the strategies used to deal with the issue, including a reference to where the strategy can be found in your Strategic Plan. 3 to 5 YEAR OUTLOOK List activities, programs, or initiatives anticipated beyond FY 20 - [current fiscal year] that are required to achieve strategic goals and outcomes. You may include the impact of any potential changes in your business environment, anticipated achievement of milestones, anticipated obstacles for major projects, looming legislative changes or mandates. What are the changes on the horizon? What are the threats? What are the opportunities? What is the vision? EXTERNAL BENCHMARKS List the measures currently used in your Strategic Plan to benchmark against the other Texas cities. Discuss comparative results and strategic implications. If available, present results of benchmarking to cities across the United States. Describe any new benchmark measures proposed. Page 21 of 25 MISSION Organization Mission: Insert Organization mission statement. GOALS & MEASURES Goals & Measures: Insert mission elements, goals & measures into table below. There should be at least one goal for each Mission Element, although a Mission Element can have multiple goals. Table of Mission Elements and Goals Mission Elements Goals Measures Used for the City Performance Report (CPR) # Description Page 22 of 25 STRATEGIES & TASKS MISSION ELEMENT #1: [Insert Mission Element] Goal 1: [Insert Goal statement] STRATEGY 1: (describe strategy for goal above) Responsible Manager: Problem this strategy is addressing: Tasks to execute strategy: Task Name Task Due Date Task Owner 1) 2) 3) 4) 5) Goal 2: [Insert Goal statement] STRATEGY 1: (describe strategy for goal above) Responsible Manager: Problem this strategy is addressing: Tasks to execute strategy: Task Name Task Due Date Task Owner 1) 2) 3) 4) 5) [Continue with each Mission Element] Page 23 of 25 EXHIBIT C CCCVB Bylaws CORPUS CHRISTI AREA CONVENTION & VISITORS BUREAU BYLAWS ARTICLE I – ORGANIZATION 1. Name. Offices. The name of the corporation is Corpus Christi Area Convention & Visitors Bureau. The corporation is also authorized to do business under the name "Corpus Christi Convention & Visitors Bureau." The corporation will be referred to as the “CCCVB” in this document. The CCCVB's offices will be located in the City of Corpus Christi. 2. Mission. The mission of the CCCVB is to positively impact the city’s economy by marketing the city as a travel destination. 3. Fiscal Responsibility. The fiscal year of the CCCVB is from October 1 to September 30. The Board of Directors will make lawful and adequate provisions for sound fiscal policies and practices of the CCCVB, including the approval of an annual budget and ample fidelity bonding of officers and employees entrusted with the handling of funds or property of the CCCVB, in accordance with state laws. 4. Texas State and Federal Law. The CCCVB is a non-profit corporation organized under the Texas Non-Profit Corporation Act. The CCCVB has obtained from the Internal Revenue Service, and will continue to maintain, an exemption from federal income tax under Section 501(c)(6) of the Internal Revenue Code. ARTICLE II – ASSOCIATES Any person, company, organization or other entity in the Corpus Christi Bay Area of South Texas may become an associate of the CCCVB. The Board of Directors may establish various categories for associates, the contribution or investment levels required, and the rights, privileges and requirements connected with such activities. ARTICLE III – BOARD OF DIRECTORS 1. Composition. The affairs of the CCCVB shall be governed by a Board of Directors, which shall be composed of fifteen (15) members selected directly by the City Council of the City of Corpus Christi. The members shall be representatives of the following groups: 3 members from the lodging industry 2 members from the restaurant industry Page 24 of 25 3 members from area attractions 5 members from the community at large 1 Mayor of the City of Corpus Christi, or his or her designee 1 City Manager of the City of Corpus Christi or his or her designee The above members shall include persons from all areas of the City in order to assure diverse geographic representation on the Board. The following persons or entities, or their designees or representatives, shall serve as additional non-voting members of the Board: (1) the Port of Corpus Christi Authority; (2) the Regional Transportation Authority; (3) the Corpus Christi International Airport; and (4) such additional advisory, non-voting persons as may be designated by the Board by resolution. 2. Director Terms. Appointments to the Board will be staggered, two-year terms beginning on October 1 each year. No person may serve as a voting member of the Board for a period longer than six years consecutively, unless such service is required by virtue of the person’s position or title or to complete an unexpired term. The Board may make recommendations to the City Council for directors in the lodging, restaurant and attractions categories as director’s terms expire, but the Board always shall nominate one more individual than the number of positions available in each category. The City Council will provide serious consideration to the Board’s recommendations but is not restricted to select members submitted by the Board or any other group. 3. Absences. Unexcused absences from more than twenty-five percent (3 meetings) of regularly scheduled meetings during a term year shall result in an automatic vacancy, which vacancy shall be promptly reported to the City Council. An absence shall be unexcused unless excused by the Board, for good cause, no later than its next meeting after any absence. Any member, otherwise eligible, shall not be precluded from reappointment by reason of such automatic vacancy. 4. Representation. When any Director who was appointed to represent a business or industry segment is no longer employed in that industry segment for a period of 91 consecutive days or more, or if a Director otherwise fails to meet the qualifications prescribed by these Bylaws for serving as a Director, said Director shall forfeit his/her seat on the Board. Board of Director seats are non-transferrable. In the event of a Board of Director vacancy, the vacant seat may not be transferred to another individual from the vacating Board member’s company or organization. 5. Vacancies. In the event that a Director forfeits his/her seat or otherwise resigns or vacates his or her position, the Chairman shall notify the City Secretary so that the City Council may appoint a replacement to the position for the appropriate industry segment. The Chairman (subject to ratification by the Board of Directors) shall then nominate persons to be presented to the City Council as a recommendation of potential candidates to fill the remainder of the unexpired term. The nominations shall always include one more Page 25 of 25 individual than the number of vacant positions available. 6. Meetings. The Board of Directors shall meet regularly at a specified time and date selected by the Board of Directors. A majority of the Directors must be present at a regular or special Board meeting to constitute a quorum for the transaction of all business. 7. Qualifications. Each Director elected to represent the lodging industry, the restaurant industry, or area attractions must be an owner, operator, or officer (or at a management level) in his or her organization at the time of his or her nomination and throughout his or her term as a Director. 8. Voting. All Board action shall be taken only upon formal vote of the Directors at a duly constituted meeting of the Board. A majority vote of the Directors present at a duly constituted meeting at which a quorum is present will constitute an act of the Board. 9. Board Roles and Responsibilities. It is the responsibility of every Director to: a) Commit to the mission, goals and long-range strategic plan of the CCCVB; b) Attend all Board of Directors meetings, including special events and Board retreats; c) Become knowledgeable about the CCCVB and its efforts; d) Prepare for and contribute to Board of Directors meetings by being well- informed on agenda items; e) Recognize that the Board of Directors’ job is to ensure that the organization is well managed, not to manage the organization; f) Objectively and conscientiously consider others’ points-of-view and make constructive suggestions to help the Board of Directors make decisions that benefit those whom the CCCVB serves; g) Be in good financial standing with the CCCVB; h) Serve as a team player and support the decisions of the Board of Directors once they are made; i) Serve as an ambassador for the tourism industry and represent the CCCVB to individuals, the public and other organizations in a positive manner; j) Notify the President/CEO of any media contacts; and k) Take an active role in Board of Directors activities. 10. Board Conflict. Each Board member shall be required to sign a conflict of interest disclosure statement in the form prescribed by the Board. Page 26 of 25 11. Code of Conduct. Each Director has an obligation to give his/her input into any subject being discussed by the Board. Each Board member’s input should be solicited and considered, and should be made to feel his/her contribution is valued. Board members are to remain respectful and professional at all times in expressing their views and opinions and should not allow personal agendas or conflicts to influence any decisions made on behalf of CCCVB. ARTICLE IV – OFFICERS 1. Elections. Officers of the Board may be elected at the September meeting for the new fiscal year. Officers will be: Chairman, Vice Chair, Secretary and Treasurer. Each officer shall be a member of the Board prior to the election. Officers shall serve for a term of one year, or until the Board of Directors elects officers for the succeeding fiscal year. 2. Vacancies. In the event of the resignation of an elected officer of the Board, or in the event of forfeiture of the elected officer’s seat as provided in Article III above, or in the event of the death or permanent disability of an elected officer, the Chairman (subject to ratification by the board of Directors) shall appoint a member of the Board to the vacated office to serve the remainder of the unexpired term. 3. Chairman. The Chairman will preside at all meetings of the Board of Directors and the Executive Committee. He or she will have and exercise general charge and supervision of affairs of the CCCVB, subject to the direction of the Board. The Chairman will appoint persons to chair all standing and ad hoc committees established by these Bylaws or the Board of Directors. 4. Vice Chair. At the request of the Chairman, or in the event of the Chairman’s absence or disability, the Vice Chairman will perform the duties and possess and exercise the powers of the Chair. 5. Secretary. The Secretary will ensure that the records of the CCCVB are properly kept. The Secretary will ensure that minutes of all meetings of the Board of Directors and the Executive Committee of the CCCVB are recorded. 6. Treasurer. The Treasurer will ensure that all funds, property and securities of the CCCVB are properly kept, subject to any regulations imposed by the Board of Directors and will review the travel expense accounts of the President. The Treasurer shall ensure that an annual audited financial statement is prepared. The Treasurer shall preside at Board meetings in the absence of the Chair and Vice- Chair. 7. President/CEO. The Board of Directors shall employ a President/CEO, whose duties, performance review and compensation will be outlined in an employment contract between the CCCVB and the President/CEO. The President/CEO shall be the principal executive officer of the CCCVB. The President/CEO shall be administratively responsible to the Executive Committee, and shall serve as an ex-officio non-voting member of the Board of Directors and all committees. Page 27 of 25 ARTICLE V – COMMITTEES 1. General. The Board of Directors may establish such committees from time to time as it deems necessary for the operation of the CCCVB. The Chairman shall appoint the members of each committee, subject to confirmation by the Board. 2. Executive Committee. The Executive Committee shall be comprised of the four officers of the CCCVB and the Mayor and City Manager, or their respective designees. If requested to do so by the Chairman, the immediate past chairman, if still a member of the Board, shall be invited to attend Executive Committee meetings for the purpose of providing continuity in Board leadership, but shall not have any right to vote. The President/CEO shall serve as an ex-officio, non-voting member of the Executive Committee. The Executive Committee shall have and exercise the authority of the Board of Directors in the management of the CCCVB between meetings, subject to the exercise of such authority by the full Board of Directors from time to time. The presence in person of three of the Executive Committee members shall constitute a quorum for the transaction of business, and the act of a majority of the Executive Committee members present at any meeting at which there is a quorum shall be the act of the Executive Committee. Minutes of each Executive Committee Meeting and a verbal report of the activities of the Executive Committee shall be presented each month at the meeting of the full Board of Directors. 3. Nominations. The Chairman shall appoint a Nominations Committee of five (5) Directors for the purpose of nominating candidates for the Board of Directors for those positions whose terms are expiring at the end of each fiscal year. Such Nominations Committee shall report its nomination of candidates to the Board of Directors not more than thirty (30) days after its appointment, whereupon the Board of Directors shall approve a slate of candidates. The slate of candidates will be presented to the City Council of the City of Corpus Christi as the Board’s recommendations for the positions whose terms are expiring. The slate shall always include one more individual in each category than the number of positions available. The nominations shall be submitted sufficiently in advance of October 1 for selection so that the new Directors can assume office on October 1. 4. Finance. A Finance Committee shall be comprised of the Treasurer and from two to four members of the Board of Directors appointed by the Chairman and confirmed by the Board. The purpose of the Finance Committee shall be to oversee the finances of the CCCVB, monitor and make recommendations concerning financial policies and procedures, examine audit reports, and handle such other matters as may from time to time be assigned. 5. Other Committees. The Board may create additional committees by Resolution adopted from time to time stating the duties and composition of such committees. ARTICLE VI – MEETINGS 1. Regular Meetings. The Board shall conduct regular meetings according to a schedule adopted by the Board. Officers of the board may be elected at the July meeting for the new fiscal year. Page 28 of 25 2. Special Meetings. The Chairman or any five (5) Directors may request that the Secretary call a special meeting of the Board. The Secretary shall provide at least seventy-two (72) hours written notice of any such special meeting. At the discretion of the Board, joint meetings with other groups may be arranged for discussion of any subject or other activity which may be of mutual benefit and interest. 3. Telephone or Electronic Meetings. Members of the Board of Directors may participate in a meeting of Directors by means of conference phone or similar communications equipment through which all persons participating in the meeting can hear one another, and participation in a meeting pursuant to this section shall constitute presence in person at such meeting, except where a person participates in the meeting for the express purpose of objecting to the transaction of any business on the grounds that the meeting is not lawfully called or convened. A single board member may attend a regular meeting via telephone conference a maximum of three (3) times per fiscal year, except as permitted by the Chairman. 4. Rules of Procedure. The Board may adopt rules of procedure for participation in its meetings. ARTICLE VII – FINANCIAL PROVISIONS 1. Indemnification. The CCCVB shall indemnify and save harmless each present and former officer and Director against all claims, liabilities, losses and expenses in connection with any cause of action or claim asserted against him/her arising from or connected in any way with his/her service to the CCCVB to the fullest extent authorized by the laws of the state of Texas with regard to non-profit corporations. No further action or authorization of the Board of Directors shall be necessary to effect such indemnification, except to the extent required by law. The CCCVB may, in its sole discretion, purchase and maintain insurance or another arrangement, at its expense, to protect itself and any director, officer, employee, leased employee or agent of the CCCVB or another corporation, partnership, joint venture, trust or other enterprise against any expense, liability or loss, whether or not the CCCVB would have the power to indemnify such person against such expense, liability or loss under Texas law. 2. Audit. The Board of Directors shall annually select a certified public accountant to supply an independent audit of the CCCVB books, and such audit shall be made available to members of the Board. ARTICLE VIII – AMENDMENTS These bylaws may be amended at any regular meeting by a vote of two-thirds of all the Directors, provided that notice of such proposed amendment(s) shall have been sent to each Director at least 72 hours before such meeting. No amendment shall be finally effective unless and until (1) written notice of the amendment has been given to the City not less than 60 days prior to the effective date of the change, and (2) the City has approved the amendment. Page 1 of 25 MANAGEMENT SERVICES AGREEMENT BETWEEN CITY OF CORPUS CHRISTI AND CORPUS CHRISTI AREA CONVENTION & VISITORS BUREAU This Management Services Agreement is executed by and between the City of Corpus Christi, Texas, a municipal corporation ("City") and the Corpus Christi Area Convention & Visitors Bureau ("CCCVB"), a private, Texas nonprofit corporation organized for the purpose of promoting convention and visitor activity in the Corpus Christi Bay area. WHEREAS, the City desires to attract more visitors and conventioneers to Corpus Christi; WHEREAS, the City benefits directly by increased sales tax and hotel and motel occupancy tax income developed by visitors and conventioneers; WHEREAS, the City benefits indirectly through the economic activity of visitors and conventioneers who come to our City; and WHEREAS, the CCCVB has professional personnel who are trained and experienced in the field of visitor and convention promotion, and the City desires to continue the professional promotion and advertising service through a contractual arrangement with CCCVB; NOW, THEREFORE, in consideration of the mutual covenants contained in this Agreement, the parties agree as follows: 1. SCOPE OF SERVICES. 1.1. The CCCVB shall, in accordance with the organization’s mission, drive overnight visitors to Corpus Christi. Specific activities required include: (A) Lead attraction and support of meetings, conventions and tradeshows within Corpus Christi, including the following specific activities: a. solicit various organizations and associations to conduct meetings/ conventions/tradeshows within Corpus Christi year-round; b. utilize various advertising/marketing techniques to promote City of Corpus Christi as a desirable year-round meeting and convention destination; c. provide support services to meetings and conventions in Corpus Christi; d. focus efforts on the City’s Convention Center; (B) promote the City of Corpus Christi as a year-round, leisure tourism destination; (C) design and implement an advertising campaign with state, national, and international coverage to feature Corpus Christi as an attractive location for tourism; (D) support special events that will create overnight visitors; Page 2 of 25 (E) maintain high quality, updated website and printed materials for visitors; (F) serve as main point of information for inquiries related to tourism and convention- related business that brings visitors to Corpus Christi lodging facilities; (G) operate visitor information center(s); (H) research and advise the City on projected growth of tourism and convention- related business to assist City planning efforts, including expanding segments of the industry, such as sports tourism, cultural tourism and nature tourism; (I) provide feedback to City, as requested, to facilitate policy decisions made in the interest of tourism promotion; (J) act as an agent on behalf of the City in its relationships with the music and film industries and adhere to the role prescribed to the Corpus Christi Film Office at the Corpus Christi Convention and Visitors Bureau in the City Code of Ordinances Chapter 36, Article III; (K) perform all responsibilities of tourism and marketing; (L) perform additional duties as agreed upon by both parties which are consistent with the organization’s mission statement such as the Memorandum of Agreement for the exploration of opportunities to expand tourism and economic development relationships with the Corpus Christi Sister Cities. 1.2. The CCCVB shall enter into separate written sub-recipient agreements with all entities receiving Hotel Occupancy Tax (”HOT”) funds from the CCCVB for events. For the purposes under this Agreement, a sub-recipient is an organization sponsoring an event which would constitute a HOT-eligible project. 1.3. The CCCVB may host special events in the City that will create overnight visitors, so long as such events are eligible uses of HOT funds. The CCCVB or an affiliated entity may accept donations from private entities for such events, and all such donations and other revenues shall be documented on the books and records maintained under the control of CCCVB for use by the CCCVB or its affiliated entity for HOT-eligible projects. 1.4. The purchase of any goods and services with funds provided by the City under this Agreement shall be conducted in a manner that assures the City that the funds are being spent prudently and in a manner to get the best benefit to serve the above purposes. Any goods or services with a cost exceeding $50,000 for which more than one source exists and that are not specified for particular marketing or entertainment purposes shall be purchased through a competitive process. Purchases under $50,000 will be conducted using sound purchasing procedures such as solicitation of informal quotes from multiple providers for purchases greater than $5,000 for which more than one source exists and that are not specified for particular marketing or event-quality purposes. For example, nothing in this section shall require the CCCVB to choose performers, advertising locations or media, or similar strategic items on the basis of low price. The CCCVB staff shall, within 90 days of the Effective Date, meet with the City’s Contracts and Procurement Department to discuss the City’s purchasing policies and the policies that might be appropriate for the CCCVB. The City may require additional training as appropriate. 1.5. The CCCVB shall promote events and attractions that draw visitors into lodging facilities in the City of Corpus Christi. Any promotions or activities that include regional events or attractions must be conducted in accordance with a Business Plan approved Page 3 of 25 by the City, in accordance with direction from City Council. Any HOT funds received from the City must be used in a manner that is aimed at increasing hotel occupancy within the City and that complies with all laws related to the use of such funds. 2. APPROPRIATIONS AND AUDIT 2.1. 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. If funds for this Agreement are not appropriated in the budget for any fiscal year, this Agreement shall automatically terminate. 2.2. The CCCVB must maintain revenue provided under this Agreement in a separate account established for that purpose and may not commingle funds received from the City in such account with any other funds. The CCCVB may periodically draw from such account for deposit into its operating account in order to make expenditures for HOT- eligible purposes and projects. 2.3. Expenditures exceeding the total budgeted amount must be paid from clearly identified funds of the CCCVB. 2.4. Interest earned on funds contributed to the CCCVB by the City must be clearly identified, credited, and reflected on the books as resulting from the investment of the funds and the interest earned must be available for the CCCVB use within the convention and visitor fund account. 2.5. Parties agree that receipt of these funds creates a fiduciary duty of the CCCVB. 2.6. The CCCVB shall provide an independent audit for expenditures of funds allocated under this agreement for each year based on a fiscal year ending September 30. The CCCVB shall retain copies of the annual independent audit indefinitely. 2.7. Accounting records and the necessary independent audits must conform to the accounting standards as promulgated by the Financial Accounting Standards Board or any other relevant accounting agency and to the requirements of applicable state law, so as to include a statement of support, revenues, expenses, and balance sheets for all funds. Any reports and audits must be signed by management of the CCCVB. 2.8. An independent audit of the CCCVB's expenditures and revenues during the previous fiscal year performed by a Certified Public Accountant under Generally Accepted Accounting Principles must be submitted to the City Manager within 120 days after the end of each fiscal year that this Agreement is in effect. To be considered independent, the audit must be performed by an entity that does not supply other accounting services to the CCCVB and that is not otherwise affiliated with the CCCVB. The City shall have the right during each calendar year or fiscal year to authorize an audit of CCCVB's records pertaining to its revenues and expenditures of HOT funds Page 4 of 25 allocated under this agreement. Such audits shall be undertaken by City's staff or a firm of certified public accountants satisfactory to City. The cost of such audit shall be paid by City. The CCCVB shall include this audit provision in all contracts with any sub-recipients of HOT funds for the sole purpose of confirming the use of any HOT funds provided. The CCCVB shall maintain records received from each of such sub-recipients confirming the proper use of any HOT funds provided. 2.9. CCCVB’s fiscal year runs from October 1 through September 30. 3. RECORDS. 3.1. Accounting and financial records of the convention and visitor fund held by the CCCVB must be maintained in a format approved by the City's Director of Finance and must be available for inspection and copying by the Director, and the Director's duly authorized agents and representatives during regular business hours of the CCCVB. Records must be maintained for at least five years after the expiration or termination of this agreement. The CCCVB shall include this language in all contracts with sub- recipients. 3.2. Pursuant to Senate Bill 943, which will go into effect on January 1, 2020, the CCCVB understands that the requirements of Subchapter J, Chapter 552, Government Code, may apply to this Agreement and the CCCVB agrees that the Agreement can be terminated if the CCCVB knowingly or intentionally fails to comply with a requirement of that subchapter. In accordance with Subchapter J, the CCCVB will: (A) preserve all contracting information related to this Agreement in accordance with Section 3.01 above; (B) promptly provide to the City any contracting information related to the Agreement that is in the custody or possession of the CCCVB on request of the City; and (C) on termination of the Agreement, either provide all contracting information related to this Agreement to the City at no cost, or preserve the contracting information related to the Agreement as provided by the records retention requirements applicable to the City. 3.03 The CCCVB will develop a methodology that it considers appropriate to measure event and program success. For events and programs that require significant financial commitment or staff time, the CCCVB will develop procedures on how to account for event success through project accounting. Project accounting will include the following elements: (A) use of group account codes in the financial records to identify transactions by activity, internal or external, (B) include project specific transactions, with projected revenues and costs (direct and indirect), assets and liabilities identified, and allocated to the project, and (C) creation of a reporting system that tracks resources utilized in engaging in an activity and communicates the level of event success. Page 5 of 25 4. PERFORMANCE MEASURES. 4.1. Performance of the CCCVB under this Agreement is based on the following: (A) an annual set of performance measures. (B) HOT earned for a particular fiscal year if the amount of the City’s 7% portion of the HOT earned and received by City for that fiscal year meets or exceeds the minimum threshold of $10,000,000, subject to adjustment each year. (C) The CCCVB will propose the annual set of performance measures and any adjustment to the minimum HOT threshold by July 31 of each year. The City Manager, or designee must approve the final set of performance measures and any adjustment to the minimum HOT threshold, with such approval expected to occur prior to September 30 of each year. 5. REPORTS. 5.1. Business Plan: By July 31 of each year the CCCVB shall provide City Manager with a Business Plan that outlines the overall goals and objectives of the CCCVB. The Plan must describe the plan of action for the upcoming year, including strategic segments; a line item budget; and significant initiatives. The Business Plan must include annual performance measures that are approved by the City and be in substantially the format attached hereto as Exhibit B. Opportunities to promote City-funded venues must be specifically identified and included in the Business Plan. Other information necessary to describe the CCCVB's efforts must be included, as well. 5.2 Quarterly HOT Expenditure Reports: The CCCVB shall provide written quarterly reports to the City on expenditures of HOT funds, in accordance with Tax Code §351.101 (c). All reports must be signed by CCCVB management and provided 30 days following the end of the quarter 5.3. Quarterly City Council Presentations and Report: The CCCVB shall provide a presentation and report to the City Council at least quarterly on the activities and work accomplished to include all annual performance measures, status of HOT revenue, and highlights from the year. The CCCVB will coordinate with the City to choose the appropriate dates to present the reports to City Council; provided that, in the event the City does not provide dates quarterly for a personal presentation of the report such shall not be deemed a default by the CCCVB if the CCCVB provides the information to the City-appointed contract manager in writing. 5.4. Annual Written Report: The CCCVB shall provide a written report annually on the outcomes of the performance measures for the previous year. The Annual Report is due within 60 days after the end of each fiscal year while this Agreement is in effect. 5.5 The Annual Audit: The Annual Audit referenced in Section 2.08 shall be provided promptly upon completion but in any event within 120 days after the end of each fiscal year. Page 6 of 25 6. CONDUCT OF SERVICES 6.1. All of the Services provided by the CCCVB under this Agreement must be in conformity with the purposes for which the HOT revenues may be expended as authorized in the laws of the State of Texas. 7. BOND. The officers and employees, including leased employees, of the CCCVB designated to withdraw funds from the convention and visitor fund must be covered by a blanket fidelity bond in a penal sum of $100,000. The bond must be provided by CCCVB, issued by a corporate surety designating CCCVB as named insured, the City as an additional named insured, and in the form approved by the City Attorney. 8. COMPENSATION. 8.1. HOT Share: The City agrees that for the convention and visitor services performed by the CCCVB under this Agreement, the City shall pay the CCCVB annually the sum of 44% of the City's 7% HOT receipts received by the City for the CCCVB's current fiscal year, but specifically excepting all HOT receipts received by the City that are generated from any and all districts of the Schlitterbahn Beach Country project described in the Chapter 380 Economic Development Incentive Agreement Between the City of Corpus Christi, Texas and Upper Padre Partners, LP and North Padre Waterpark Holdings, LTD approved by the City Council by Resolution No. 029487 on May 22, 2012 ("Schlitterbahn"), divided into monthly payments described in Section 8.03. The amount to be paid to CCCVB is referred to in this Agreement as the Contract Amount. 8.2 HOT Trigger of Renegotiation: Should HOT receipts received by the City for the twelve months ending March 31 in any year fall below $10,000,000, the Contract Amount for the following fiscal year will be renegotiated to a lower amount in order to assure that the City can continue to meet its other obligations with HOT funds, based on the amount by which the HOT receipts fell below $10,000,000. Subject to force majeure, if the HOT receipts received by the City for the next twelve-month period ending March 31 also fall below $10,000,000, the City may terminate this Agreement at the end of the then-current fiscal year by providing at least 60-days written notice of termination. Each of the above amounts must be calculated based upon the amount of City HOT receipts received by the City, excluding the two percent increase adopted in 1999 for convention center expansion and revenues authorized to clean and maintain public beaches by Chapters 156 and 351, Texas Tax Code. 8.3. Payment Schedule: During the term of this Agreement, the City shall pay to CCCVB a sum equal to one-twelfth of the annual amount payable to CCCVB for the convention and visitor services provided under this Agreement on or about the first of each month; provided however, the City Manager is authorized to alter the payment schedule to increase payments early in the year if the payments are justified by documentation provided by CCCVB. Page 7 of 25 8.4. Force Majeure: If the CCCVB or the City is 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 CCCVB or the City 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. 9. SUSPENSION AND TERMINATION. 9.1 Suspension: The City may summarily suspend this Agreement with pay continuing to fund the salaries and basic operations of the CCCVB, if the CCCVB breaches its obligations hereunder and fails to cure such breach within sixty days after receiving written notice of suspension. The City shall promptly apprise CCCVB of the basis for suspension. Any such suspension shall remain in effect until the City determines that appropriate measures have been taken to ensure CCCVB 's future compliance. Grounds for such suspension include, but are not limited to the following: (A) Failure to abide by any terms or conditions of this Agreement; (B) Failure to keep and maintain adequate proof of insurance as required by this Agreement; (C) The violation of City, State, or federal laws by CCCVB as a result of the commission and conviction of a crime of moral turpitude. 9.2 Termination Defined: For purposes of this Agreement, " termination" shall mean termination by expiration of the Agreement or earlier termination pursuant to any of the provisions hereof. 9.3 Termination for Cause: Upon written notice, which notice shall be provided in accordance with Section 12.04, the City may terminate this Agreement as of the date provided in the notice, in whole or in part, upon the occurrence of one (I) or more of the following events: (A) the sale, transfer, pledge, conveyance or assignment of this Agreement without prior approval; (B) ceasing operations for a period of time exceeding twenty (20) days; (C) the expenditure of HOT on gratuities in the form of hosting and amenities offered or given by CCCVB outside reasonable industry business practices in excess of nominal value or otherwise not previously approved by the City, or by any agent or representative of CCCVB, to any officer or employee, including a leased employee, of the City, County, State or any business prospect with a view toward securing a contract or securing favorable treatment with respect to the awarding or amending, or the making of any determinations with respect to the performance of such contract; and (D) failure to cure cause of suspension. 9.4 Defaults with Opportunity for Cure: Should CCCVB default in the performance of this Page 8 of 25 Agreement in a manner stated in this section, same shall be considered an Event of Default. The City shall deliver written notice of the default, specifying in detail the matter(s) in default. The CCCVB shall have sixty (60) calendar days after receipt of the written notice, in accordance with Section 13.4. If CCCVB fails to cure the default within such thirty-day cure period, the City shall have the right, without further notice or adoption of a City ordinance, to terminate this Agreement in whole or in part as the City deems appropriate. The following actions are defaults that may be cured by CCCVB: (A) performing unsatisfactorily as evidenced by failure to make adequate progress to meet CCCVB’s pre-determined benchmarks for success, as outlined in the annual Business Plan; (B) failing to perform or failing to comply with any material term or covenant herein required as determined by the City; (C) bankruptcy or selling substantially all of company's assets; and (D) gratuitous expenditures made in hopes of securing favorable contracts. 9.5 Termination by Law: If any State or federal law or regulation is enacted or promulgated which prohibits the performance of any of the duties herein, or, if any law is interpreted to prohibit such performance, this Agreement shall automatically terminate as of the effective date of such prohibition. 9.6 Upon the effective date of expiration or termination of this Agreement, CCCVB shall cease all work being performed by CCCVB or any of its subcontractors on behalf of the City. 9.7 Regardless of the method by which this Agreement is terminated, CCCVB agrees to provide a provisional period of termination for a period not to exceed two months upon the City's request. During such provisional period, CCCVB will receive adequate percentage payments of HOT, to be distributed in accordance with Section 8.1 and 8.3, to continue to provide services as provided for, and for which it will be compensated, under this Agreement. 10. BOARD OF DIRECTORS 10.1. The affairs of the CCCVB shall be governed by a board of directors ("Board"), which must be composed of 15 voting members, 13 of which are selected directly by the City Council of the City. Those members must be representatives of the following groups: 3 members from the lodging industry; 3 members from the attraction industry; 2 members from the restaurant industry; 5 members from the community at large; The Mayor, or his designee; and Page 9 of 25 The City Manager, or his designee. 10.2. The City-designated contract manager shall serve as an ex-officio non-voting member of the Board. In addition, the City Council will appoint a representative from the Port of Corpus Christi Authority, a representative from the Corpus Christi International Airport, and a representative from the Regional Transportation Authority to serve as ex -officio advisory non-voting members. The CCCVB may appoint additional advisory, non- voting persons to assist its board of directors in fulfilling its obligations. 10.3 The City Manager and Mayor, or their designees, will serve as voting members of the Executive Committee of the Board. 10.4. Appointments to the Board will be for staggered, two-year terms. Current members of the Board may serve until their current terms expire. No person may serve as a voting member of the Board for a period longer than six years consecutively, unless the service is required by virtue of the person's position or title or to complete an unexpired term. 10.5. The CCCVB may make recommendations to the City Council for directors as directors' terms expire, but the CCCVB always shall nominate one more individual per category than the total number of positions available. The City Council will provide serious consideration to the Board's recommendations but is not restricted to select members submitted by the CCCVB or any other group. The members from the community at large appointments will be made by City Council in its sole discretion without consideration of nominations and may be City Council members, City staff or officials, or residents of the City. 10.6. Unexcused absences from more than 25 percent of regularly scheduled meetings during a term year must result in an automatic vacancy, which vacancy must be promptly reported to the City Council. An absence must be unexcused unless excused by the board for good cause no later than its next meeting after the absence. Any member, otherwise eligible, may not be precluded from reappointment by reason of the automatic vacancy. 10.7. The CCCVB's Board of Directors may establish those standing committees it deems necessary. The Board is authorized to and must employ a President/Chief Executive Officer to exercise day to day management and administration of the CCCVB. 10.8. The Board of Directors will operate under bylaws which must be consistent with the terms of this Agreement. The current bylaws are attached hereto as Exhibit C. Any changes to the bylaws must be presented to City Council for approval at least 60 days prior to their effective date. If changes to the bylaws are not approved by City Council within the 60-day period, they shall not be effective until approved by City Council. The Board of Directors may approve rules of procedure to govern the conduct of its meetings, which will not require City Council approval. The CCCVB agrees that meetings of its board of directors must be open to the public, and the meetings may be closed only when the board determines that an executive session is necessary for the purpose of discussing agenda items that may be discussed in closed session in accordance with the Texas Open Meetings Act or proprietary information Page 10 of 25 that typically would not be public under the Texas Public Information Act. A copy of the agenda for each meeting of the Board shall be provided to the City Secretary at least 72 hours prior to the meeting. Description of the agenda items shall be sufficient to provide advance notice of the items to be considered. The agenda shall not be amended after it is provided to the City Secretary unless an amended agenda is timely provided to the City Secretary for posting at least 72 hours prior to the meeting. 10.9. The City and CCCVB agree that in no event may the City be liable for any contracts made by the CCCVB with any person, firm, corporation, association, or governmental body. 10.10. The City and CCCVB agree that in no event may the City be liable for any damages, injuries, or losses charged to or adjudged against the CCCVB arising from its operations, or the use or maintenance of its facilities. 11. TERM AND TERMINATION 11.1. The term of the Agreement commences on the Effective Date and continues until September 30, 2024, subject to termination as provided in this Agreement. 11.2. Either party may terminate this Agreement at any time for any reason by giving one year's prior written notice to the other party. In the event the City cancels this Agreement upon one year's notice, the City assumes any obligations of the convention and visitor's fund with a term of less than one year and any other obligation approved In advance by the City Manager. The City reserves the right to terminate this Agreement without notice for cause. 12. Intellectual Property Rights 12.1 Intellectual Property created or arising from the delivery of Services under this Agreement will be the property of the City. The CCCVB has a limited license to use any and all Intellectual Property created or arising from the delivery of Services under this Agreement for purposes of continued performance under this Agreement. Upon termination of this Agreement for any reason, all Intellectual Property and work products maintained by the CCCVB will be provided to the City at no cost. 13. MISCELLANEOUS 13.1. This Agreement replaces and supersedes all other contracts and understandings previously made between the City and CCCVB. 13.2. The CCCVB specifically reserves the right to change its name as a corporate entity and do business under one or more assumed names in compliance with the laws of the State of Texas. No change of name or use of additional names may be deemed a modification of this Agreement. 13.3. The CCCVB shall comply with all applicable Federal, State, and local laws, rules and regulations in providing services under this agreement. Page 11 of 25 13.4. All notices, requests or other communications related to this Agreement must be made in writing and may be given by: (a) depositing same in the United States Mail, postage prepaid, certified, return receipt requested, addressed as set forth in this paragraph; or (b) delivering the same to the party to be notified. Notice given under (a) of the prior sentence are effective upon deposit In the United States mail. The notice addresses of the parties, until changed as provided in this Agreement, are as follows: City: City of Corpus Christi, Texas Attention: City Manager 1201 Leopard Street P.O. Box 9277 Corpus Christi, Texas 78469 CCCVB: Corpus Christi Convention & Visitors Bureau Attention: Chief Executive Officer 1501 North Chaparral Street Corpus Christi, Texas 78401 Reporting and daily communication may be provided by email. 13.5. If for any reason any section, paragraph, subdivision, clause, phrase, word, or provision of this Agreement is held invalid or unconstitutional by final judgment of a court of competent jurisdiction, it may not affect any other section, paragraph, subdivision, clause, phrase, word, or provision of this Agreement, for it is the definite intent of the parties that every section, paragraph, subdivision, clause, phrase, word, or provision of this Agreement be given full force and effect for its purpose. 13.6. No amendments, modifications, or other changes to this Agreement are valid or effective absent the written agreement of the parties. This Agreement may be executed in one or more counterparts, each of which are deemed an original, and all of which constitute but one and the same instrument. 13.7. The CCCVB agrees to comply with attached Exhibit A regarding insurance requirements. 13.8. CCCVB shall create and follow a drug and alcohol abuse policy that is appropriate for the organization’s size and business. The policy must, at a minimum, comply with the Drug Free Workplace Act of 1988 (codified at 41 USC Chapter 81) and provide guidelines for employees, including leased employees , to follow regarding events and activities for which consumption or gifting of alcohol is or is not appropriate. 13.9. The CCCVB agrees that, during the term of this Agreement, it will not discriminate nor permit discrimination against any person or group of persons, with regard to employment, 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. The CCCVB shall create and follow an Equal Employment Opportunity policy. The policy must, at a minimum, provide for procedures to be used to investigate allegations of discrimination. Page 12 of 25 13.10. This Agreement takes effect upon the date of the last signature (the “Effective Date”). Executed on the dates indicated below binding the respective parties as of the date of last signature. CITY OF CORPUS CHRISTI, TEXAS CORPUS CHRISTI AREA CONVENTION & VISITORS BUREAU By: By: Constance Sanchez Alyssa Barrera Mason Chief Financial Officer Interim Chief Executive Officer Date: Date: ATTEST: Rebecca Huerta City Secretary APPROVED AS TO LEGAL FORM: Assistant City Attorney Date Page 13 of 25 EXHIBIT A INSURANCE REQUIREMENTS I. CCCVB’S LIABILITY INSURANCE A. CCCVB must not commence work under this agreement until all insurance required has been obtained and such insurance has been approved by the City. CCCVB must not allow any subcontractor Agency to commence work until all similar insurance required of any subcontractor Agency has been obtained. B. CCCVB must furnish to the City’s Risk Manager and Director Human Resources, 2 copies 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. The City must be listed as an additional insured on the General liability and Auto Liability policies by endorsement, and 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 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 CRIME/EMPLOYEE DISHONESTY Contractor shall name the City of Corpus Christi, Texas as Loss Payee $1,000,000 Per Occurrence HOST LIQUOR LIABILITY Applicable when alcohol being served $1,000,000 Combined Single Limit C. In the event of accidents of any kind related to this agreement, CCCVB must furnish the Risk Manager with copies of all reports of any accidents within 10 days of the accident. Page 14 of 25 II. ADDITIONAL REQUIREMENTS A. Applicable for paid and leased employees, CCCVB 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 CCCVB will be promptly met. B. CCCVB shall obtain and maintain in full force and effect for the duration of this Contract, and any extension hereof, at CCCVB'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. CCCVB shall be required to submit a copy of the replacement certificate of insurance to City at the address provided below within 10 days of the requested change. CCCVB 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 Manager P.O. Box 9277 Corpus Christi, TX 78469-9277 D. CCCVB 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 (including leased employees), volunteers, and elected representatives as additional insured by endorsement, as respects operations, completed operation 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 suspension, cancellation, non-renewal or material change 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 suspension, cancellation, or non-renewal of coverage, CCCVB shall provide a replacement Certificate of Insurance and applicable endorsements to City. City shall have the option to suspend CCCVB's performance should there be a lapse in coverage at any time during this contract. Failure to provide and to maintain the Page 15 of 25 required insurance shall constitute a material breach of this contract. F. In addition to any other remedies the City may have upon CCCVB'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 CCCVB to remove the exhibit hereunder, and/or withhold any payment(s) if any, which become due to CCCVB hereunder until CCCVB demonstrates compliance with the requirements hereof. G. Nothing herein contained shall be construed as limiting in any way the extent to which CCCVB may be held responsible for payments of damages to persons or property resulting from CCCVB's or its subcontractor’s performance of the work covered under this agreement. H. It is agreed that CCCVB'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. I. It is understood and agreed that the insurance required is in addition to and separate from any other obligation contained in this agreement. 2019 Insurance Requirements Legal Dept. Corpus Christi Convention and Visitors Bureau Management Services Agreement 07/02/2019 sw Risk Management Page 16 of 25 EXHIBIT B BUSINESS PLAN TEMPLATE [insert logo] Corpus Christi Convention & Visitors Bureau Business Plan Fiscal Year: 2019-2020 <Insert date of version > Approved by: Convention and Visitors Bureau, CEO City Manager DEPARTMENTAL PROFILE ORGANIZATION DESCRIPTION Provide a brief description of the major duties, services/and programs currently provided by the organization (if desired, may separate by division); a brief history of significant events affecting the department; current innovative programs and initiatives, discussion of major contracted operations (if any). ORGANIZATIONAL CHART Provide an organization chart to include each authorized individual position Health Care Plan Provide the CVB’s healthcare plan to include premiums paid by the employee or leased employee and those paid by the CVB. Compensation Plan Provide the compensation for each authorized individual position. Include paid time off benefits to include, sick leave and vacation accrual policy. Page 17 of 25 Holiday Calendar Provide a calendar of paid and unpaid holidays (if applicable) CURRENT BUSINESS ENVIRONMENT Summarize organizations business environment, including such aspects as customers served, changes in major customer service trends, target service levels, changes in regulatory environment, or recent changes in business practices. PERFORMANCE TRENDS Summarize key trends evident from your performance measures. Discuss strategic and operational implications. FINANCIAL SUMMARY Insert expenditures and revenues reports at a high level similar to what is used for budget presentations. Expenditures Revenues Capital Budget Summary PINNACLE ISSUES List any critical pinnacle issues. For each issue describe the strategies used to deal with the issue, including a reference to where the strategy can be found in your Strategic Plan. 3 to 5 YEAR OUTLOOK List activities, programs, or initiatives anticipated beyond FY 20 - [current fiscal year] that are required to achieve strategic goals and outcomes. You may include the impact of any potential changes in your business environment, anticipated achievement of milestones, anticipated obstacles for major projects, looming legislative changes or mandates. What are the changes on the horizon? What are the threats? What are the opportunities? What is the vision? EXTERNAL BENCHMARKS List the measures currently used in your Strategic Plan to benchmark against the other Texas cities. Discuss comparative results and strategic implications. If available, present results of benchmarking to cities across the United States. Describe any new benchmark measures proposed. Page 18 of 25 MISSION Organization Mission: Insert Organization mission statement. GOALS & MEASURES Goals & Measures: Insert mission elements, goals & measures into table below. There should be at least one goal for each Mission Element, although a Mission Element can have multiple goals. Table of Mission Elements and Goals Mission Elements Goals Measures Used for the City Performance Report (CPR) # Description Page 19 of 25 STRATEGIES & TASKS MISSION ELEMENT #1: [Insert Mission Element] Goal 1: [Insert Goal statement] STRATEGY 1: (describe strategy for goal above) Responsible Manager: Problem this strategy is addressing: Tasks to execute strategy: Task Name Task Due Date Task Owner 1) 2) 3) 4) 5) Goal 2: [Insert Goal statement] STRATEGY 1: (describe strategy for goal above) Responsible Manager: Problem this strategy is addressing: Tasks to execute strategy: Task Name Task Due Date Task Owner 1) 2) 3) 4) 5) [Continue with each Mission Element] Page 20 of 25 EXHIBIT C CCCVB Bylaws CORPUS CHRISTI AREA CONVENTION & VISITORS BUREAU BYLAWS ARTICLE I – ORGANIZATION 1. Name. Offices. The name of the corporation is Corpus Christi Area Convention & Visitors Bureau. The corporation is also authorized to do business under the name "Corpus Christi Convention & Visitors Bureau." The corporation will be referred to as the “CCCVB” in this document. The CCCVB's offices will be located in the City of Corpus Christi. 2. Mission. The mission of the CCCVB is to positively impact the city’s economy by marketing the city as a travel destination. 3. Fiscal Responsibility. The fiscal year of the CCCVB is from October 1 to September 30. The Board of Directors will make lawful and adequate provisions for sound fiscal policies and practices of the CCCVB, including the approval of an annual budget and ample fidelity bonding of officers and employees entrusted with the handling of funds or property of the CCCVB, in accordance with state laws. 4. Texas State and Federal Law. The CCCVB is a non-profit corporation organized under the Texas Non-Profit Corporation Act. The CCCVB has obtained from the Internal Revenue Service, and will continue to maintain, an exemption from federal income tax under Section 501(c)(6) of the Internal Revenue Code. ARTICLE II – ASSOCIATES Any person, company, organization or other entity in the Corpus Christi Bay Area of South Texas may become an associate of the CCCVB. The Board of Directors may establish various categories for associates, the contribution or investment levels required, and the rights, privileges and requirements connected with such activities. ARTICLE III – BOARD OF DIRECTORS 1. Composition. The affairs of the CCCVB shall be governed by a Board of Directors, which shall be composed of fifteen (15) members selected directly by the City Council of the City of Corpus Christi. The members shall be representatives of the following groups: 3 members from the lodging industry 2 members from the restaurant industry Page 21 of 25 3 members from area attractions 5 members from the community at large 1 Mayor of the City of Corpus Christi, or his or her designee 1 City Manager of the City of Corpus Christi or his or her designee The above members shall include persons from all areas of the City in order to assure diverse geographic representation on the Board. The following persons or entities, or their designees or representatives, shall serve as additional non-voting members of the Board: (1) the Port of Corpus Christi Authority; (2) the Regional Transportation Authority; (3) the Corpus Christi International Airport; and (4) such additional advisory, non-voting persons as may be designated by the Board by resolution. 2. Director Terms. Appointments to the Board will be staggered, two-year terms beginning on October 1 each year. No person may serve as a voting member of the Board for a period longer than six years consecutively, unless such service is required by virtue of the person’s position or title or to complete an unexpired term. The Board may make recommendations to the City Council for directors in the lodging, restaurant and attractions categories as director’s terms expire, but the Board always shall nominate one more individual than the number of positions available in each category. The City Council will provide serious consideration to the Board’s recommendations but is not restricted to select members submitted by the Board or any other group. 3. Absences. Unexcused absences from more than twenty-five percent (3 meetings) of regularly scheduled meetings during a term year shall result in an automatic vacancy, which vacancy shall be promptly reported to the City Council. An absence shall be unexcused unless excused by the Board, for good cause, no later than its next meeting after any absence. Any member, otherwise eligible, shall not be precluded from reappointment by reason of such automatic vacancy. 4. Representation. When any Director who was appointed to represent a business or industry segment is no longer employed in that industry segment for a period of 91 consecutive days or more, or if a Director otherwise fails to meet the qualifications prescribed by these Bylaws for serving as a Director, said Director shall forfeit his/her seat on the Board. Board of Director seats are non-transferrable. In the event of a Board of Director vacancy, the vacant seat may not be transferred to another individual from the vacating Board member’s company or organization. 5. Vacancies. In the event that a Director forfeits his/her seat or otherwise resigns or vacates his or her position, the Chairman shall notify the City Secretary so that the City Council may appoint a replacement to the position for the appropriate industry segment. The Chairman (subject to ratification by the Board of Directors) shall then nominate persons to be presented to the City Council as a recommendation of potential candidates to fill the remainder of the unexpired term. The nominations shall always include one more Page 22 of 25 individual than the number of vacant positions available. 6. Meetings. The Board of Directors shall meet regularly at a specified time and date selected by the Board of Directors. A majority of the Directors must be present at a regular or special Board meeting to constitute a quorum for the transaction of all business. 7. Qualifications. Each Director elected to represent the lodging industry, the restaurant industry, or area attractions must be an owner, operator, or officer (or at a management level) in his or her organization at the time of his or her nomination and throughout his or her term as a Director. 8. Voting. All Board action shall be taken only upon formal vote of the Directors at a duly constituted meeting of the Board. A majority vote of the Directors present at a duly constituted meeting at which a quorum is present will constitute an act of the Board. 9. Board Roles and Responsibilities. It is the responsibility of every Director to: a) Commit to the mission, goals and long-range strategic plan of the CCCVB; b) Attend all Board of Directors meetings, including special events and Board retreats; c) Become knowledgeable about the CCCVB and its efforts; d) Prepare for and contribute to Board of Directors meetings by being well- informed on agenda items; e) Recognize that the Board of Directors’ job is to ensure that the organization is well managed, not to manage the organization; f) Objectively and conscientiously consider others’ points-of-view and make constructive suggestions to help the Board of Directors make decisions that benefit those whom the CCCVB serves; g) Be in good financial standing with the CCCVB; h) Serve as a team player and support the decisions of the Board of Directors once they are made; i) Serve as an ambassador for the tourism industry and represent the CCCVB to individuals, the public and other organizations in a positive manner; j) Notify the President/CEO of any media contacts; and k) Take an active role in Board of Directors activities. 10. Board Conflict. Each Board member shall be required to sign a conflict of interest disclosure statement in the form prescribed by the Board. Page 23 of 25 11. Code of Conduct. Each Director has an obligation to give his/her input into any subject being discussed by the Board. Each Board member’s input should be solicited and considered, and should be made to feel his/her contribution is valued. Board members are to remain respectful and professional at all times in expressing their views and opinions and should not allow personal agendas or conflicts to influence any decisions made on behalf of CCCVB. ARTICLE IV – OFFICERS 1. Elections. Officers of the Board may be elected at the September meeting for the new fiscal year. Officers will be: Chairman, Vice Chair, Secretary and Treasurer. Each officer shall be a member of the Board prior to the election. Officers shall serve for a term of one year, or until the Board of Directors elects officers for the succeeding fiscal year. 2. Vacancies. In the event of the resignation of an elected officer of the Board, or in the event of forfeiture of the elected officer’s seat as provided in Article III above, or in the event of the death or permanent disability of an elected officer, the Chairman (subject to ratification by the board of Directors) shall appoint a member of the Board to the vacated office to serve the remainder of the unexpired term. 3. Chairman. The Chairman will preside at all meetings of the Board of Directors and the Executive Committee. He or she will have and exercise general charge and supervision of affairs of the CCCVB, subject to the direction of the Board. The Chairman will appoint persons to chair all standing and ad hoc committees established by these Bylaws or the Board of Directors. 4. Vice Chair. At the request of the Chairman, or in the event of the Chairman’s absence or disability, the Vice Chairman will perform the duties and possess and exercise the powers of the Chair. 5. Secretary. The Secretary will ensure that the records of the CCCVB are properly kept. The Secretary will ensure that minutes of all meetings of the Board of Directors and the Executive Committee of the CCCVB are recorded. 6. Treasurer. The Treasurer will ensure that all funds, property and securities of the CCCVB are properly kept, subject to any regulations imposed by the Board of Directors and will review the travel expense accounts of the President. The Treasurer shall ensure that an annual audited financial statement is prepared. The Treasurer shall preside at Board meetings in the absence of the Chair and Vice- Chair. 7. President/CEO. The Board of Directors shall employ a President/CEO, whose duties, performance review and compensation will be outlined in an employment contract between the CCCVB and the President/CEO. The President/CEO shall be the principal executive officer of the CCCVB. The President/CEO shall be administratively responsible to the Executive Committee, and shall serve as an ex-officio non-voting member of the Board of Directors and all committees. Page 24 of 25 ARTICLE V – COMMITTEES 1. General. The Board of Directors may establish such committees from time to time as it deems necessary for the operation of the CCCVB. The Chairman shall appoint the members of each committee, subject to confirmation by the Board. 2. Executive Committee. The Executive Committee shall be comprised of the four officers of the CCCVB and the Mayor and City Manager, or their respective designees. If requested to do so by the Chairman, the immediate past chairman, if still a member of the Board, shall be invited to attend Executive Committee meetings for the purpose of providing continuity in Board leadership, but shall not have any right to vote. The President/CEO shall serve as an ex-officio, non-voting member of the Executive Committee. The Executive Committee shall have and exercise the authority of the Board of Directors in the management of the CCCVB between meetings, subject to the exercise of such authority by the full Board of Directors from time to time. The presence in person of three of the Executive Committee members shall constitute a quorum for the transaction of business, and the act of a majority of the Executive Committee members present at any meeting at which there is a quorum shall be the act of the Executive Committee. Minutes of each Executive Committee Meeting and a verbal report of the activities of the Executive Committee shall be presented each month at the meeting of the full Board of Directors. 3. Nominations. The Chairman shall appoint a Nominations Committee of five (5) Directors for the purpose of nominating candidates for the Board of Directors for those positions whose terms are expiring at the end of each fiscal year. Such Nominations Committee shall report its nomination of candidates to the Board of Directors not more than thirty (30) days after its appointment, whereupon the Board of Directors shall approve a slate of candidates. The slate of candidates will be presented to the City Council of the City of Corpus Christi as the Board’s recommendations for the positions whose terms are expiring. The slate shall always include one more individual in each category than the number of positions available. The nominations shall be submitted sufficiently in advance of October 1 for selection so that the new Directors can assume office on October 1. 4. Finance. A Finance Committee shall be comprised of the Treasurer and from two to four members of the Board of Directors appointed by the Chairman and confirmed by the Board. The purpose of the Finance Committee shall be to oversee the finances of the CCCVB, monitor and make recommendations concerning financial policies and procedures, examine audit reports, and handle such other matters as may from time to time be assigned. 5. Other Committees. The Board may create additional committees by Resolution adopted from time to time stating the duties and composition of such committees. ARTICLE VI – MEETINGS 1. Regular Meetings. The Board shall conduct regular meetings according to a schedule adopted by the Board. Officers of the board may be elected at the July meeting for the new fiscal year. Page 25 of 25 2. Special Meetings. The Chairman or any five (5) Directors may request that the Secretary call a special meeting of the Board. The Secretary shall provide at least seventy-two (72) hours written notice of any such special meeting. At the discretion of the Board, joint meetings with other groups may be arranged for discussion of any subject or other activity which may be of mutual benefit and interest. 3. Telephone or Electronic Meetings. Members of the Board of Directors may participate in a meeting of Directors by means of conference phone or similar communications equipment through which all persons participating in the meeting can hear one another, and participation in a meeting pursuant to this section shall constitute presence in person at such meeting, except where a person participates in the meeting for the express purpose of objecting to the transaction of any business on the grounds that the meeting is not lawfully called or convened. A single board member may attend a regular meeting via telephone conference a maximum of three (3) times per fiscal year, except as permitted by the Chairman. 4. Rules of Procedure. The Board may adopt rules of procedure for participation in its meetings. ARTICLE VII – FINANCIAL PROVISIONS 1. Indemnification. The CCCVB shall indemnify and save harmless each present and former officer and Director against all claims, liabilities, losses and expenses in connection with any cause of action or claim asserted against him/her arising from or connected in any way with his/her service to the CCCVB to the fullest extent authorized by the laws of the state of Texas with regard to non-profit corporations. No further action or authorization of the Board of Directors shall be necessary to effect such indemnification, except to the extent required by law. The CCCVB may, in its sole discretion, purchase and maintain insurance or another arrangement, at its expense, to protect itself and any director, officer, employee, leased employee, or agent of the CCCVB or another corporation, partnership, joint venture, trust or other enterprise against any expense, liability or loss, whether or not the CCCVB would have the power to indemnify such person against such expense, liability or loss under Texas law. 2. Audit. The Board of Directors shall annually select a certified public accountant to supply an independent audit of the CCCVB books, and such audit shall be made available to members of the Board. ARTICLE VIII – AMENDMENTS These bylaws may be amended at any regular meeting by a vote of two-thirds of all the Directors, provided that notice of such proposed amendment(s) shall have been sent to each Director at least 72 hours before such meeting. No amendment shall be finally effective unless and until (1) written notice of the amendment has been given to the City not less than 60 days prior to the effective date of the change, and (2) the City has approved the amendment. #Jim Hooper's Comments Staff's Comments Recommended Action 1 Term - Given history of compliance issues and changes in CEO, why 5 years? Do a one year and let the new CEO build a long term plan. This agreement included significant changes. To make the CCCVB comfortable with accepting these changes, we likely need a term longer than one year, so that the CCCVB know that the agreement will continue into the future. CCCVB specifically requested the 5 year term. It will also be difficult for the CVB to recruit a new CEO to a position if the term of the contract is any less than 5 years. None 2 Section 1. Scope of Services paral.01 is silent on CVB 's role wrt duties and responsibilities under CC City Mun Code Chap 36, Art III spec. designation as "Corpus Christi Film Commission" (Description goes well beyond acting as "liaison" para 1.01.(J), e.g., permitting, collection of fees.) The CVB's role as the Film Commission was handled by ordinance and has never been part of this agreement. We could add this to the scope, but there is more flexibility in leaving this as covered by ordinance. If Council wishes to change it's Film Commission, it can do so without the need to amend an agreement. If changes to the Film Commission are desired, then the agreement would need to be changed as well. Change "liaison" to "agent." 3 Relationship with CC CVB Heritage Society, specifically Audit Recommendation Section F(l) wrt HOT Revenue Usage not specifically addressed. Spec reimbursement by Heritage Society to CC CVB for indirect and direct costs the CVB incurs on behalf of the CVB(~ecommendation included development of a procedure for tracking, reimbursement, and reporting of such costs The Heritage Society is 1.02, 2.09, and 3.01 as a sub-recipient, which requires the CCCVB to have a written agreement with the Heritage Society, which must include the right of the City to audit its records, etc. None. 4 Section 2. Appropriations and Audit: Revenue and Costs associated with CC CVB actions as the CC Film Commission. Reported where? HOT funds determination? All CCCVB revenue is included in the reporting. The revenue from CC Film Commission is minimal and is required to be reported. Film Commission Revenue totaled $525 over the past 5 years. That revenue is not retained by the CVB. The CVB collects the funds on behalf of the City and should, in turn, pay the City's Parks and Recreation Department. The Parks and Recreation Department will begin collecting the $25 permitting fee. 5 Section 3. Records Who owns records? CC CVB or the City? Work products created under the agreement. CCCVB owns the records, but must provide City access to any records for purposes of auditing. City has access to all CCCVB records related to its use of City funds, which is the vast majority of the CVB budget. Is there a good reason for the City to need to take ownership of these records? None. 3.01. The accounting and financial records of the convention and visitor fund held by the CCCVB must be maintained in a format approved by the City's Director of Finance and must be available for inspection and copying by the Director, and the Director's duly authorized agents and representatives during regular business hours of the CCCVB. Records must be maintained for at least five years after the expiration or termination of this agreement. The CCCVB shall include this language in all contracts with sub-recipients. Responses to Comments Made During Public Comment for Item #13 at the October 1, 2019 City Council Meeting 6 Para 5.01 Customary to identify a document delivery, review period, and revision timeline.July 31 to provide Business Plan; September 30 to approve. None. The current contract provides a two month review process. 7 Section 6. Change 6.01 to read: All of the services provided by the CCCVB under this agreement [which are funded using HOT revenues] must be in conformity .... Will permit use of non-HOT funds for activities not within fundable within HOT guidelines. Very little of the CCCVB's budget is non-HOT funds. The CCCVB receives no non-HOT funds under this agreement, so all services under this agreement should be HOT eligible. None, all services covered under this agreement should be HOT eligible. The CVB is allowed to engage in business outside of its service agreement with the City of Corpus Christi. 8 Section 9. Suspension and Termination Title line spelling Termniation Spelling error has been corrected. We will update the document will Legistar. This was identified after publishing and was corrected for the signature version. 9 Para 9.01 discusses continuing to pay continuing to fund salaries. Does CC CVB have "employees"? Zero W-2s reported on IRS Form 990. Are CC CVB staffICs or hired by a labor service company? CCCVB employees are leased employees through Unique HR. They are employees of both the CCCVB and Unique HR per the CVB employee handbook. Unique HR handles payroll and tax issues, including withholdings and W-2s. Add the term "leased employees." 10 Para 9.06 Upon expiration or termination CC CVB should provide all work products created with funding by the City, including databases, creative products. 11 Intellectual property: Fundamental issue - Work products developed under this agreement are the property of the City and the City grants to CCCVB a limited license for use. As written, relationship is reversed. Intellectual property section added to contract.Benchmarking how other CVB's address this. City Council Committee Meeting October 15, 2019 Management Services Agreement with the Corpus Christi Convention and Visitors Bureau 1 History 2 •Records available show that the City of Corpus Christi has contracted convention and visitor services for the past 36 years. The earliest reference is to an agreement signed in 1983. •On September 22, 2015, City Council approved the most recent Consulting Services agreement with the CVB for a period extending from October 1, 2015 to September 30, 2018. •In July 2018, the City Auditor began a contract audit of the Consulting Services Agreement with the CVB. As a result, a new multi-year term agreement with the CVB has been postponed until said audit was complete and audit findings addressed. •In September 2018, the City Council approved an amendment to the agreement to extend the agreement on a month-to-month basis until a new agreement is reached. Timeline 3 Date Action July 2018-Jan. 2019 Audit of CVB Contract October 1, 2018 Month-to-Month Contract term went into effect January 7, 2019 Audit Committee Meeting- Findings Presented August 13, 2019 Audit Committee Meeting September 19, 2019 Visit Corpus Christi Board Meeting October 1, 2019 City Council Meeting Substantive Changes 4 1. Limiting expenditure of HOT tax revenue to Corpus Christi only, unless otherwise approved in the Business Plan for area attractions that drive business to Corpus Christi (ie. King Ranch Breakfast in Kingsville, TX; Sand Fest in Port Aransas, TX, etc.) 2. Addition of a requirement to establish procurement policies that resemble City policies 3. Addition of Mayor and City Manager as voting members instead of Ex-Officio, non-voting 4. Addition of City Contract Manager as Ex-Officio, non-voting member 5. Addition of Suspension and Termination Clause 6. Change to allow City Council to approve bylaw changes (used to be right to object) 7. Clarity on Performance Measures DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM:Arlene Medrano, Business Liaison ArleneM@cctexas.com (361) 826-3356 CAPTION: Resolution inviting the City of Linz, Austria to become a Sister City of the City of Corpus Christi, Texas. SUMMARY: The attached resolution extends a formal invitation from the City of Corpus Christi to the City of Linz, Austria to become Sister Cities. BACKGROUND AND FINDINGS: Corpus Christi’s Sister City Program was founded on October 18, 1962. The City of Corpus Christi has established affiliations with seven cities as follows: 1962 Yokosuka, Japan 1986 Veracruz, Mexico 1987 Keelung, Taiwan 1989 Toledo, Spain 1993 Monterrey, Mexico 1996 Agen, France 2008 Playa Del Carmen, Mexico Representatives of Linz, Austria have expressed interest in establishing a Sister City relationship between the cities of Corpus Christi and Linz. The third-largest city in Austria and capital of the state of Upper Austria, Linz is located in the north center of Austria, approximately 30 kilometers (19 miles) south of the Czech border, on both sides of the Danube River. The population is approximately 210,000. Linz is home to the voestalpine group, an international steel-based technology and capital good group which brought $1 billion in investment to the Corpus Christi area. While undoubtedly an important economic center in Austria, in recent years Linz has gained a Invitation to Linz, Austria to Become Sister City of Corpus Christi, Texas AGENDA MEMORANDUM Action Item for the City Council Meeting of October 15, 2019 reputation in the world of culture and the performing arts, particularly along its riverfront 'Cultural Mile' (Kulturmeile). Linz earned the prestigious title of European Capital of Culture 2009, which created a boost to tourism in the area. The City’s Sister City Committee believes a Sister City relationship between our two cities would be mutually beneficial in the areas of economic development, tourism and cultural enhancement. Becoming a Sister City with Linz would also allow for the opportunity to create a technological exchange. With its voestalpine group subsidiary, voestalpine Texas, and with other steel industry plant projects recently being announced in the area such SDI in Sinton, pursuing a Sister City relationship will continue to strengthen the Steel Industry development in the Corpus Christi area. Furthermore, our current sister city of Monterrey, Mexico, also has a very active steel industry. This would permit for an even greater opportunity to create partnerships and exchanges of ideas and technology to further economic development in the three cities. If the Council approves the resolution as recommended, then the next steps would be: Mayor Joe McComb would send an invitation letter to the Mayor of Linz, Austria along with the Resolution; The Honorable Klaus Luger, SPÖ, Mayor from Linz, Austria, would send a letter of confirmation to Corpus Christi Mayor Joe McComb; The Sister City Committees of both cities will work on a Sister City Agreement between Linz, Austria and Corpus Christi, Texas; Work on Logistics for the Signing Ceremony in Corpus Christi (place, date and times of events); and Sister City Committee sets up meetings with Sister Cities Counterparts - Chamber of Commerce, Economic Development and Tourism offices - to explore future opportunities that will benefit both communities. ALTERNATIVES: An alternative is to not establish a Sister City relationship with Linz, Austria. FISCAL IMPACT: None. Funding Detail: Fund:Not Applicable Organization/Activity:Not Applicable Mission Element:Not Applicable Project # (CIP Only): Not Applicable Account:Not Applicable RECOMMENDATION: The City’s Sister City Committee recommends approval of the Sister City designation for Linz, Austria. LIST OF SUPPORTING DOCUMENTS: Resolution RESOLUTION INVITING THE CITY OF LINZ, AUSTRIA TO BECOME A SISTER CITY OF THE CITY OF CORPUS CHRISTI, TEXAS AND CONVEYING THE WARMEST REGARDS AND DEEPEST FRATERNAL SENTIMENT OF THE PEOPLE OF CORPUS CHRISTI TO THE PEOPLE OF LINZ WHEREAS, President Dwight D. Eisenhower instituted, and Presidents John F. Kennedy, Lyndon B. Johnson, Richard M. Nixon, Gerald R. Ford, Jimmy Carter, Ronald Reagan, George H. W. Bush, William J. Clinton, George W. Bush, Barack Obama and Donald Trump encourage the “People to People Program” of the United States to achieve greater friendship and understanding among the people of the United States and those of other countries; WHEREAS, it is the finding of the City Council of Corpus Christi that the City of Linz, Austria and the City of Corpus Christi, Texas are cities of similar characteristics, including population, economic development possibilities and other mutual ties and have mutual interests; WHEREAS, it is the finding of the City Council of the City of Corpus Christi that the peoples of Linz and Corpus Christi cherish the tradition of freedom, hold the warmest mutual regards and deepest fraternal sentiment, one to another, and aspire to permanent, widespread friendships; and WHEREAS, it is the finding of the City Council of the City of Corpus Christi that enduring friendship and goodwill will be best promoted between Corpus Christi and Linz by establishment of a joint sister city affiliation: NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION I. On behalf of the City of Corpus Christi and the citizens of Corpus Christi, the City Council of Corpus Christi, with great pleasure, hereby cordially invites the Government of the City of Linz, Austria and the people of Linz to become a Sister City of Corpus Christi and cultivate and maintain the visits, communications and exchanges that will build continuing goodwill, friendships and respect between peoples and their governments. SECTION II. On behalf of the people of the City of Corpus Christi, the City Council of Corpus Christi hereby conveys to the Government of the City of Linz and its people, the warmest regards and the deepest fraternal sentiment of the City of Corpus Christi and its people. SECTION III. The City Manager is authorized to execute all documents necessary to establish a Sister City with Linz, Austria. SECTION IV. Copies of this Resolution shall be conveyed to the Mayor and Council of the City of Linz, Sister Cities International, the United States Department of State and the Embassy of Austria. PASSED AND APPROVED, by the following vote, this, the _______ day of _______________________, 2019 at a Regular Meeting of the City Council of the City of Corpus Christi, Texas: Joe McComb ____________________________ Roland Barrera ____________________________ Rudy Garza ____________________________ Paulette M. Guajardo ____________________________ Gil Hernandez ____________________________ Michael Hunter ____________________________ Ben Molina ____________________________ Everett Roy ____________________________ Greg Smith ____________________________ ATTEST CITY OF CORPUS CHRISTI, TEXAS ________________________________ ___________________________________ Rebecca L. Huerta Joe McComb City Secretary Mayor DATE:September 12, 2019 TO:Peter Zanoni, City Manager FROM:Al Raymond, AIA, Director Development Services Department AlRaymond@cctexas.com (361) 826-3575 CAPTION: Case No. 0819-04, Mirabal Development Group, LC (District 5). Ordinance rezoning property at or near 6805 Sandra Lane from the "RS-6" Single-Family 6 District to the “RM-1” Multifamily 1 District. SUMMARY: The purpose of the zoning request is to allow for the development of two four unit buildings. BACKGROUND AND FINDINGS: The subject property is 0.50 acres in size. The owner is proposing to construct two four unit multifamily buildings. The rezoning request is from the “RS-6" Single-Family 6 District to the “RM- 1” Multifamily 1 District. The current zoning “RS-6" Single-Family 6 District is primarily designed for single-family developments up to 7.26 dwelling units per acre. The proposed zoning of “RM- 1” Multifamily 1 District is a zoning district that is primarily designed for multifamily developments up to 22 dwelling units per acre. Conformity to City Policy The subject property is located within the boundaries of the Southside Area Development Plan and is planned for commercial use. The proposed rezoning to the “RM-1” Multifamily 1 District is generally consistent with the adopted Comprehensive Plan (Plan CC). The rezoning would warrant an amendment to the land use map to high density residential use. The subject property is compatible with the adjoining residential properties and does not have a negative impact upon the adjacent commercial properties. The proposed multifamily development is consistent with the existing town home and planned unit developments along Sandra Lane to the east and the multifamily zoning along Sandra Lane to the north. The multifamily development will also serve as a buffer between the remaining single-family residences to the west and the “CG-2” zoning to the east and south along Saratoga Boulevard (State Highway 357). Public Input Process Number of Notices Mailed Rezoning a property at or near 6805 Sandra Lane AGENDA MEMORANDUM Public Hearing & First Reading Ordinance for the City Council Meeting 10/15/19 Second Reading Ordinance for the City Council Meeting 10/29/19 11 within 200-foot notification area 6 outside notification area As of September 12, 2019: In Favor 0 inside notification area 0 outside notification area In Opposition 2 inside notification area 0 outside notification area Totaling 15.75% of the land within the 200-foot notification area in opposition. Commission Recommendation Planning Commission recommended approval of the change of zoning from the “RS-6” Single- Family 6 District to the “RM-1” Multifamily 1 District on September 4, 2019. ALTERNATIVES: 1. Denial of the change of zoning from the “RS-6” Single-Family 6 District to the “RM-1” Multifamily 1 District. (3/4 vote required) FISCAL IMPACT: There is no fiscal impact associated with this item. RECOMMENDATION: Staff recommends approval of the zoning request. Planning Commission recommended approval of the change of zoning from the “RS-6” Single- Family 6 District to the “RM-1” Multifamily 1 District with following vote count. Vote Count: For: 8 Opposed: 0 Absent: 1 Abstained:0 LIST OF SUPPORTING DOCUMENTS: Ordinance Presentation - Aerial Map Planning Commission Final Report Case No. 0819-04, Mirabal Development Group, LC (District 5). Ordinance rezoning property at or near 6805 Sandra Lane from the "RS-6" Single-Family 6 District to the “RM-1” Multifamily 1 District. WHEREAS, the Planning Commission has forwarded to the City Council its final report and recommendation regarding the application of Mirabal Development Group, LC. (“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, a public hearing was held on Wednesday, September 4, 2019, during a meeting of the Planning Commission. The Planning Commission recommended approval of the change of zoning from the " RS-6" Single-Family 6 District to the “RM-1” Multifamily 1 District, and on Tuesday, October 15, 2019, 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. The Unified Development Code (“UDC”) of the City of Corpus Christi, Texas (“City”) is amended by changing the zoning on a property described as being 0.50 acre tract of land out of Lot 2 and the southeast half of Lot 3, Block 7, Bass Subdivision, as shown in Exhibits “A” and “B”, from the "RS-6" Single-Family 6 District to the “RM-1” Multifamily 1 District (Zoning Map No. 042032). The subject property is located along the south side of Sandra Lane, east of Airline Road and north of Saratoga Boulevard (State Highway 357). Exhibit A, a metes and bounds description of the Property, and Exhibit B, a map to accompany the metes and bounds, 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. Page 2 of 5 SECTION 6. Publication shall be made in the City’s official publication as required by the City’s Charter. K:\DevelopmentSvcs\SHARED\ZONING CASES\2019\0819-04 Mirabal Development Group, LC\City Council\Ordinance - Mirabal Development Group, LC.docx Page 3 of 5 That the foregoing ordinance was read for the first time and passed to its second reading on this the _____ day of ___________, 2019, by the following vote: Joe McComb ________________ Michael Hunter______________ Roland Barrera ________________ Ben Molina ______________ Rudy Garza ________________ Everett Roy ______________ Paulette M. Guajardo ________________ Greg Smith ______________ Gil Hernandez ________________ That the foregoing ordinance was read for the second time and passed finally on this the _____ day of __________ 2019, by the following vote: Joe McComb ________________ Michael Hunter______________ Roland Barrera ________________ Ben Molina ______________ Rudy Garza ________________ Everett Roy ______________ Paulette M. Guajardo ________________ Greg Smith ______________ Gil Hernandez ________________ PASSED AND APPROVED on this the ______ day of _________________, 2019. ATTEST: _________________________ ________________________ Rebecca Huerta Joe McComb City Secretary Mayor Page 4 of 5 Exhibit A Page 5 of 5 Exhibit B PLANNING COMMISSION FINAL REPORT Case No. 0819-04 INFOR No. 19ZN1022 Planning Commission Hearing Date: September 4, 2019 Applicant & Legal Description Owner: Mirabal Development Group, LC Applicant: Mirabal Development Group, LC Location Address: 6805 Sandra Lane Legal Description: 6805 Sandra Lane and described as being a 0.50 acre tract of land out of Lot 2 and the southeast half of Lot 3, Block 7, Bass Subdivision. The subject property is located along the south side of Sandra Lane, east of Airline Road and north of Saratoga Boulevard (State Highway 357). Zoning Request From: “RS-6” Single-Family 6 District To: “RM-1” Multifamily 1 District Area: 0.50 acres Purpose of Request: To allow for the construction of two four unit buildings. Existing Zoning and Land Uses Existing Zoning District Existing Land Use Future Land Use Site “RS-6” Single-Family 6 Vacant Commercial North “RM-1” Multifamily 1 Vacant High Density Residential South “CG-2” General Commercial Professional Office Commercial East “CG-2” General Commercial Commercial Commercial West RS-6” Single-Family 6 Vacant and Low Density Residential Commercial ADP, Map & Violations Area Development Plan: The subject property is located within the boundaries of the Southside Area Development Plan and is planned for commercial uses. The proposed rezoning is generally consistent with the adopted Comprehensive Plan (Plan CC). Map No.: 042032 Zoning Violations: None Transportation Transportation and Circulation: The subject property has approximately 66 feet of street frontage along Sandra Lane which is designated as a Local / Residential Street. According to the Urban Transportation Plan, Local / Residential Streets can convey a capacity of 500 Average Daily Trips (ADT). Staff Report Page 2 Street R.O.W. Street Urban Transportation Plan Type Proposed Section Existing Section Traffic Volume Sandra Lane Local/Residential 50’ ROW 28’ paved 50’ ROW 20’ paved N/A Staff Summary: Requested Zoning: The applicant is requesting a rezoning from the “RS-6” Single-Family District to the “RM-1” Multifamily 1 District to allow for the construction of two four unit buildings. Development Plan: The subject property is 0.50 acres in size. The owner is proposing two four unit multifamily buildings. Existing Land Uses & Zoning: The subject property is currently zoned “RS-6” Single- Family 6 District, consists of a vacant lot, and has remained since annexation in 1962. To the north are vacant properties and a large tract single-family home zoned “RM-1” Multifamily 1 District. To the south is a commercial business zoned “CG-2” General Commercial District and “CN-1” Neighborhood Commercial District and consists of a professional office building and a retail store. To the east are commercial properties zoned “CG-2” General Commercial District and “RM-3” Multifamily 3 District. The properties consist of the Teacher’s Credit Unions and two townhome developments including a planned unit development. To the west are two single-family residences zoned “RS-6” Single-Family 6 District and Gill’s Nursery zoned “CG-2” General Commercial District. AICUZ: The subject property is not located in one of the Navy’s Air Installation Compatibility Use Zones (AICUZ). Plat Status: The property is not platted. Utilities: Water: 6-inch ACP line located along Sandra Lane. Wastewater: 8-inch PVC line located along Sandra Lane. Gas: 2-inch Service Line located along Sandra Lane. Storm Water: Road side drainage located along Sandra Lane. Plan CC & Area Development Plan Consistency: The subject property is located within the boundaries of the Southside Area Development Plan and is planned for commercial uses. The proposed rezoning to the “RM-1” Multifamily 1 District is generally consistent with the adopted Comprehensive Plan (Plan CC). The following policies should be considered: • Encourage orderly growth of new residential, commercial, and industrial areas (Future Land Use, Zoning, and Urban Design Policy Statement 1). Staff Report Page 3 • Promote a balanced mix of land uses to accommodate continuous growth and promote the proper location of land uses based on compatibility, locational needs, and characteristics of each use (Future Land Use, Zoning, and Urban Design Policy Statement 1). • Encourage residential infill development on vacant lots within or adjacent to existing neighborhoods. (Future Land Use, Zoning, and Urban Design Policy Statement 3). • Promote interconnected neighborhoods with appropriate transitions between lower-intensity and higher-intensity land uses. (Future Land Use, Zoning, and Urban Design Policy Statement 3). • Promote medium density activities, such as apartments or office uses around commercial centers of high density, and the remaining area by low density use such as single-family dwellings. (Future Land Use, Zoning, and Urban Design Policy Statement 3). Department Comments: • The proposed rezoning is generally consistent with the adopted Comprehensive Plan (Plan CC), compatible with the adjoining residential properties, and does not have a negative impact upon the adjacent commercial properties. • The proposed multifamily development is consistent with the existing town home and planned unit developments along Sandra Lane to the east and the multifamily zoning along Sandra Lane to the north. • The multifamily development will also serve as a buffer between the remaining single- family residences to the west and the “CG-2” zoning to the east and south along Saratoga Boulevard (State Highway 357). Planning Commission and Staff Recommendation (September 4, 2019): Approval of the change of zoning from the “RS-6” Single-Family 6 District to the “RM-1” Multifamily 1 District. Public Notification Number of Notices Mailed – 11 within 200-foot notification area 6 outside notification area As of August 30, 2019: In Favor – 0 inside notification area – 0 outside notification area In Opposition – 2 inside notification area – 0 outside notification area Totaling 15.75% of the land within the 200-foot notification area in opposition. Attachments: A. Location Map (Existing Zoning & Notice Area) B. Public Comments Received (if any) K:\DevelopmentSvcs\SHARED\ZONING CASES\2019\0819-04 Mirabal Development Group, LC\PC Documents\PC Report_0819-04 Mirabal Development Group, LC.docx Staff Report Page 4 City Council Meeting October 15, 2019 Zoning Case #0819-04 Mirabal Development Group, LC. Rezoning for a Property at 6805 Sandra Lane From “RS-6” To “RM-1” 2 Aerial Overview Subject Property at 6805 Sandra Lane 3 N 4.62 Acre Remainder 4 Zoning Pattern 5 Planning Commission and Staff Recommendation Approval of the “RM-1” Multifamily 1 District 6 Airline/Saratoga Node 7 UDC Requirements Buffer Yards: RM-1 to CG-2: Type A: 10’ & 5 pts. RM-1 to RS-6: Type B: 10’ & 10 pts Setbacks: Street: 20 feet Side & Rear: 10 feet Residential Adj.: 2:1 Setback (height) Parking: 1 BR – 1.5 spaces/unit 2 BR – 2 spaces/unit 1 space/ 5 units – Visitors Landscaping, Screening, and Lighting Standards Uses Allowed: Single-Family Homes, Duplexes, Apartments, and Day Care Uses. 8 Utilities Water: 6-inch ACP Wastewater: 8-inch PVC Gas: 2-inch Service Line Storm Water: Roadside Drainage 9 Public Notification 11 Notices mailed inside 200’ buffer 6 Notices mailed outside 200’ buffer Notification Area Opposed: 2 (15.75%) In Favor: 0 X X DATE:September 19, 2019 TO:Peter Zanoni, City Manager FROM:Mike Markle, Chief of Police mikema@cctexas.com 886-2603 CAPTION: Ordinance authorizing acceptance of a grant in the amount of $48,889.40 grant from the State of Texas, Criminal Justice Division for Violence Against Women (VAWA) Program with a cash match of $17,808.91 and in-kind match of $2,160; appropriating $48,889.40 in the Police Grants Fund; and authorizing a transfer of $17,808.91 from the General Fund to the Police Grants Fund. SUMMARY: Funding is available from the State of Texas, Criminal Justice Division, under the Violence Against Women Act (VAWA) in which the City has awarded for the 20th year grant. The grant provides funds to projects with the primary mission of reducing and preventing violence against women. BACKGROUND AND FINDINGS: The grant continues support for the Family Violence Unit that utilizes officers and volunteers to contact family violence victims when a written report is made by a field officer or from a victim who walks into the unit at the Police Department. The grant provides funds for one civilian victim case manager to contact victims who often fear retaliation and violence when the offender is released following arrest; contact with an advocate (case manager) can provide information concerning alternatives, available services, and protective orders to avoid continued violence. The case manager serves to establish and encourage a working relationship between social agencies and the Police Department and provides educational opportunities to the community through speaking engagements, and the distribution of literature The long-term goal of the grant is to provide victims of domestic violence and other serious crimes with crisis intervention, follow up assistance, encourage cooperation with law enforcement, facilitate utilization of available resources, and assist with immediate and long- term safety needs of victims. The State provides $48,889.40 for the salary/benefits of one civilian Victim Case Manager, equipment, supplies, training, and mileage. The case manager also coordinates volunteer hours that contribute $2,160 of in-kind contributions. The City contributes $17,808.91 from the Accepting and appropriating the Violence Against Women Act (VAWA) grant within the Police Department AGENDA MEMORANDUM Future Item for the City Council Meeting of October 15, 2019 Action Item for the City Council Meeting October 29, 2019 FY2020 PGF for training, travel, supplies and miscellaneous equipment as the required match. This grant period will be September 1, 2019 through – March 31, 2020. ALTERNATIVES The funding for this grant allows case management for female victims of violent crimes. Without these fund the activities to support violence against women would be limited. FISCAL IMPACT: The grant funds of $48,889.48 will be appropriated into the Police grants fund. The City will contribute $17,808.02 from the Police general fund into the Police Grants fund as the cash match for this grant. Funding Detail: Fund:1020 Organization/Activity:Police General Fund Cash Contribution to Grants Mission Element:152 Project # (CIP Only): Account:548590 Amount:$17,808.91 RECOMMENDATION: Staff recommends accepting the grant and appropriating the $48,889.48 grant funds into the Police Grants fund for Violence Against Women Act Grant Program within the Police Department. LIST OF SUPPORTING DOCUMENTS: Ordinance Statement of Grant Award Ordinance authorizing acceptance of a grant in the amount of $48,889.40 grant from the State of Texas, Criminal Justice Division for Violence Against Women (VAWA) Program with a cash match of $17,808.91 and in-kind match of $2,160; appropriating $48,889.40 in the Police Grants Fund; and authorizing a transfer of $17,808.91 from the General Fund to the Police Grants Fund 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 a grant from the State of Texas, Criminal Justice Division in the amount of $48,889.40 to continue the Violence Against Women Formula Grant (VAWA) grant within the Police Department with a cash match of $17,808.91 and an in-kind match of $2,160 for a total project cost of $68,858.31. SECTION 2.That the $48,889.40 grant is appropriated in the No. 1061 Police Grants Fund to continue the VAWA grant in the Police Department. SECTION 3.The transfer of $17,808.91 from the No. 1020 General Fund to the No. 1061 Police Grants Fund as grant matching funds is authorized and appropriated for a total project cost of $68,858.31. That the foregoing ordinance was read for the first time and passed to its second reading on this the _____ day of ___________, 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo ________________Greg Smith ______________ Gil Hernandez ________________ That the foregoing ordinance was read for the second time and passed finally on this the _____ day of __________ 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo ________________Greg Smith ______________ Gil Hernandez ________________ PASSED AND APPROVED on this the ______ day of _________________, 2019. ATTEST: _________________________________________________ Rebecca L. Huerta Joe McComb City Secretary Mayor DATE:September 3, 2019 TO:Peter Zanoni, City Manager FROM:Mike Markle, Chief of Police mikema@cctexas.com 886-2603 CAPTION: Ordinance authorizing the acceptance of a grant in the amount of $40,000 from the Office of the Governor’s Homeland Security Grants Division for FY2020 Local Border Security Program; and appropriating $40,000 in the Police Grants Fund. SUMMARY: This item is to accept and appropriate $40,000 for the FY 2020 Local Border Security Grant Program. The grant provides funds to projects with the mission to reduce border-related criminal activity. This funding allows for overtime for sworn officers in support of this mission with no city match required. BACKGROUND AND FINDINGS: The City has received funding for the Local Border Security Grant for the past five years. Funding is available to enhance law enforcement investigations in an effort to deter and prevent criminal activity. The Police Department will deploy officers on an overtime basis to conduct drug, currency, human trafficking and gang investigations and operations within the city limits and Extra Territorial Jurisdiction. The funding provides for 525 hours of overtime for sworn officers. There is no City match required. Funding is available from September 1, 2019 – August 31, 2020. ALTERNATIVES: This funding allows the city to provide additional support for the FY 2020 Local Border Security Grant program to reduce border-related criminal activity. Without this funding that support would be limited. FISCAL IMPACT: The City will be awarded $40,000 to be appropriated to the Fiscal Year 2019-2020 Police Grants Fund. There is no match required by the City of Corpus Christi. Funding Detail: Accepting and appropriating the FY 2020 Local Border Security Program (LBSP) Grant AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of October 15, 2019 Second Reading Ordinance for the City Council Meeting of October 29, 2019 Fund:1061 Organization/Activity: Police Grants Fund Mission Element:151 Project # (CIP Only): Account:510200 Overtime RECOMMENDATION: Staff recommends accepting the grant and appropriating the $40,000 grant for the FY 2020 Local Border Security Grant funds program into the Police Grants fund. LIST OF SUPPORTING DOCUMENTS: Ordinance Grant award document Ordinance authorizing the acceptance of a grant in the amount of $40,000 grant from the Office of the Governor’s Homeland Security Grants Division for FY2020 Local Border Security Program; and appropriating $40,000 in Police Grants Fund. 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 a grant in the amount of $40,000 from the Office of the Governor’s Homeland Security Grants Division (HSGD) for funding eligible under the FY2020 Local Border Security Program (LBSP) grant. SECTION 2.The City of Corpus Christi designates the City Manager or designee as the grantee’s authorized official. The authorized official is given the power to apply for, accept, reject, alter or terminate the grant on behalf of the applicant agency. SECTION 3. That $40,000 is appropriated in the No 1061 Police Grants Fund from the HSGD for eligible overtime and operational costs. SECTION 4.In the event of the loss or misuse of the HSGD funds, the City of Corpus Christi assures that the funds will be returned to the HSGD in full. That the foregoing ordinance was read for the first time and passed to its second reading on this the _____ day of ___________, 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo ________________Greg Smith ______________ Gil Hernandez ________________ That the foregoing ordinance was read for the second time and passed finally on this the _____ day of __________ 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo ________________Greg Smith ______________ Gil Hernandez ________________ PASSED AND APPROVED on this the ______ day of _________________, 2019. ATTEST: _________________________________________________ Rebecca Huerta Joe McComb City Secretary Mayor DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM:Kevin Norton, Director of Water Utilities Kevinn@cctexas.com (361) 826-1874 Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361) 826-3169 CAPTION: Ordinance approving the purchase of ten replacement trailers not to exceed $153,963.00 to be used daily by the Utilities Department to transport heavy equipment to worksites from H & V Equipment Service, Inc. via the Buy Board Cooperative; appropriating $59,180.20 from the unreserved fund balance in the Water Fund, $70,969.00 from the unreserved fund balance in the Wastewater Fund and $23,813.80 from the unreserved fund balance in the Storm Water Fund; and amending the FY 2019-2020 operating budget to increase expenditures. SUMMARY: This ordinance authorizes a purchase from H&V Equipment Services, Inc. of Corpus Christi, Texas, for ten trailers that are replacements for units that are irreparably damaged or have exceeded their useful service life of 10 years. Three Eager Beaver 15HDB-PT Trailers are replacing two trailers that are 16 and 19 years old, plus an 8-year old trailer with irreparable damage. Seven Eager Beaver B6DOW Trailers are replacing seven trailers that are between 12 and 23 years old. BACKGROUND AND FINDINGS: The trailers are used daily by the Utilities Department to provide hauling services of backhoes, excavators, and other trailered heavy equipment to worksites around the City. These trailers allow for a more efficient and timely response to better serve the needs of citizens. The procurement is through the Buy Board Cooperative. Contracts awarded through the Purchase of Ten Trailers for Utilities AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of October 15, 2019 Second Reading Ordinance for the City Council Meeting of October 29, 2019 Buy Board Cooperative have been competitively procured and are in compliance with Texas Local and State procurement requirements. ALTERNATIVES: The equipment can be rented. However, this will not be cost effective for the long-term, and the equipment may not be readily available when needed. Another option is to operate equipment until it fails. FISCAL IMPACT: These ten replacement trailers are part of the FY18-19 Capital Outlay Future Replacement Budget and will be an outright purchase in the amount of $153,963.00 to be paid from Water, Wastewater Funds, and Storm Water. This purchase with H&V Equipment Service Inc. is for replacement trailers used by Water Utilities Department daily to transport equipment to worksites. Funding Detail: Fund:4010 Water Fund Organization/Activity: N/A Mission Element:N/A Project # (CIP Only): N/A Account:251850 Unappropriable Fund Balance Funding Detail: Fund:4300 Storm Water Fund Organization/Activity: N/A Mission Element:N/A Project # (CIP Only): N/A Account:251850 Unappropriable Fund Balance Funding Detail: Fund:4200 Wastewater Fund Organization/Activity: N/A Mission Element:N/A Project # (CIP Only): N/A Account:251850 Unappropriable Fund Balance RECOMMENDATION: Staff recommends approval of this ordinance authorizing the purchase with H&V Equipment Service Inc. for the purchase of ten trailers as presented. LIST OF SUPPORTING DOCUMENTS: Ordinance Price Sheet Ordinance approving the purchase of ten replacement trailers not to exceed $153,963.00 to be used daily by the Utilities Department to transport heavy equipment to worksites from H & V Equipment Service, Inc. via the Buy Board Cooperative; appropriating $59,180.20 from the unreserved fund balance in the Water Fund, $70,969.00 from the unreserved fund balance in the Wastewater Fund and $23,813.80 from the unreserved fund balance in the Storm Water Fund; and amending the FY 2019-2020 operating budget to increase expenditures. WHEREAS, ten trailers are needed for daily operations of the Utilities Department to transport heavy equipment to worksites; WHEREAS, pursuant to the Interlocal Cooperation Act, Government Code, Chapter 791, and Local Government Code Chapter 271, a city may participate in cooperative purchasing programs established by the State, other municipalities, counties, special districts, and other political subdivisions in order to facilitate the procurement of necessary goods and services in full compliance with State bidding laws; WHEREAS, by Resolution 024370 on February 20, 2001, the City Council authorized participation in the interlocal governmental cooperative purchasing program with Texas Local Government Statewide Purchasing Cooperative in order to participate in their cooperative purchasing program operated as “Buy Board”; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1.That funds in the amount of $59,180.20 from the unreserved fund balance in the Water Fund No. 4010, and $ 70,969.00 from the unreserved fund balance in the Wastewater Fund No. 4200 and $23,813.80 from the unreserved fund balance in the Storm Water Fund No. 4300 are appropriated for the purchase of ten replacement trailers to be used daily by the Utilities Department to transport heavy equipment to worksites from H & V Equipment Service, Inc. SECTION 2.That the FY2019-2020 operating budget adopted by Ordinance No. 031870 is amended by increasing expenditures by $153,963.00. SECTION 3.That the City Manager, or designee, is authorized to execute all documents necessary to purchase ten replacement trailers to be used daily by the Utilities Department to transport heavy equipment to worksites from H & V Equipment Service, Inc., based on the cooperative purchasing agreement with Buy Board, for a total amount not to exceed $153,963.00. That the foregoing ordinance was read for the first time and passed to its second reading on this the _____ day of ___________, 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo________________Greg Smith ______________ Gil Hernandez ________________ That the foregoing ordinance was read for the second time and passed finally on this the _____ day of __________ 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo________________Greg Smith ______________ Gil Hernandez ________________ PASSED AND APPROVED on this the ______ day of _________________, 2019. ATTEST: _________________________________________________ Rebecca Huerta Joe McComb City Secretary Mayor City of Corpus Christi Contracts and Procurement Buyer: Cynthia Perez ITEM DESCRIPTION QUANTITY EXTENDED TOTAL 1 Eagle Beaver B6DOW Trailer 7 each $82,521.60 2 Eagle Beaver 15HDB-PT Trailer 3 each $71,441.40 $153,963.00 H&V Equipment Services, Inc. TOTAL Price Sheet Purchase of Ten Trailers for Utilities Department BuyBoard Contract 516-16 DATE:October 15, 2019 TO:Peter Zanoni, City Manager FROM:Jeffrey Edmonds, P.E., Director of Engineering Services JeffreyE@cctexas.com (361) 826-3851 Kim Baker, Director of Contracts and Procurement KimB2@cctexas.com (361) 826-3169 CAPTION: Ordinance approving the purchase of four 2019 Ford F-150 regular cab pick-up trucks in an amount not to exceed $110,837.00 to be used by Construction Inspectors in Engineering Services from Silsbee Ford of Silsbee, Texas via the GoodBuy Purchasing Cooperative; appropriating $110,837.00 from the unreserved fund balance in the Engineering Services; and amending the FY 2019-2020 operating budget to increase expenditures. SUMMARY: This ordinance is to approve the purchase from Silsbee Ford for four 2019 Ford F-150 Regular Cab Pick-Up Trucks for Engineering Services for an amount not to exceed $110,837.00. Two of these vehicles are additions and two are replacements for units that are nine and 11 years old and have exceeded their life expectancy. BACKGROUND AND FINDINGS: The vehicles will provide fuel efficient transportation for Engineering Services’ Construction Inspectors working in the field. They will allow for a more efficient and timely response to better serve the needs of citizens and project sites. Two of the trucks will allow for Engineering to return two loaners from the motor pool and two vans that have exceeded their life expectancy. The procurement is through the GoodBuy Cooperative. Contracts awarded through the GoodBuy Cooperative have been competitively procured and follow the Texas Local and State procurement requirements. Purchase of Four Trucks for Engineering Services AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of October 15, 2019 Second Reading Ordinance for the City Council Meeting of October 29, 2019 ALTERNATIVES: The equipment can be rented as needed. However, the cost may not be cost effective and the vehicles may not be readily available when needed. FISCAL IMPACT: These vehicles will be an outright purchase in the amount of $110,837.00 to be paid from the unreserved Engineering Services Fund. FUNDING DETAIL: Fund:5310 Engineering Services Fund Organization/Activity: N/A Mission Element:012 Technical Engineering Support Services Project # (CIP Only): N/A Account:251850 – Account Number for the Unreserved Fund Balance RECOMMENDATION: Staff recommends approval of the ordinance authorizing the purchase with Silsbee Ford for the purchase of four 2019 Ford F-150 Regular Cab Pick-Up Trucks as presented. LIST OF SUPPORTING DOCUMENTS: Ordinance Price Sheet Ordinance approving the purchase of four 2019 Ford F-150 regular cab pick-up trucks in an amount not to exceed $110,837.00 to be used by Construction Inspectors in Engineering Services from Silsbee Ford of Silsbee, Texas via the GoodBuy Purchasing Cooperative; appropriating $110,837.00 from the unreserved fund balance in the Engineering Services; and amending the FY 2019- 2020 operating budget to increase expenditures. WHEREAS, four 2019 Ford F-150 regular cab pick-up trucks are needed for continued operation of the City’s Construction Inspectors in Engineering Services; WHEREAS, pursuant to the Interlocal Cooperation Act, Government Code, Chapter 791, and Local Government Code Chapter 271, a city may participate in cooperative purchasing programs established by the State, other municipalities, counties, special districts, and other political subdivisions in order to facilitate the procurement of necessary goods and services in full compliance with State bidding laws; WHEREAS, by Resolution 031331 on January 9, 2018, the City Council authorized participation in the interlocal participation agreement with local Regional Education Service Center #2 in order to participate in their cooperative purchasing program operated as “Goodbuy”; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1.That funds in the amount of $110,837.00 are appropriated from the unreserved fund balance in Engineering Services Fund No. 5310 for the purchase of four 2019 Ford F-150 regular cab pick-up trucks for Engineering Services from Silsbee Ford. SECTION 2.That the FY2019-2020 operating budget adopted by Ordinance No. 031870 is amended by increasing expenditures by $110,837.00. SECTION 3.That the City Manager, or designee, is authorized to execute all documents necessary to purchase four 2019 Ford F-150 regular cab pick-up trucks for Engineering Services from Silsbee Ford, based on the cooperative purchasing agreement with GoodBuy Purchasing Cooperative, for a total amount not to exceed $110,837.00. That the foregoing ordinance was read for the first time and passed to its second reading on this the _____ day of ___________, 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo________________Greg Smith ______________ Gil Hernandez ________________ That the foregoing ordinance was read for the second time and passed finally on this the _____ day of __________ 2019, by the following vote: Joe McComb ________________Michael Hunter______________ Roland Barrera ________________Ben Molina ______________ Rudy Garza ________________Everett Roy ______________ Paulette M. Guajardo________________Greg Smith ______________ Gil Hernandez ________________ PASSED AND APPROVED on this the ______ day of _________________, 2019. ATTEST: _________________________________________________ Rebecca Huerta Joe McComb City Secretary Mayor City of Corpus Christi Contracts and Procurement Buyer: Cynthia Perez 8F000 Vehicles ITEM DESCRIPTION QUANTITY EXTENDED TOTAL 1 2019 Ford F-150 Regular Cab 4 each $110,837.00 $110,837.00 Silsbee Ford Silsbee Texas TOTAL Price Sheet Four Trucks for Engineering GoodBuy Contract 17-17 DATE:October 7, 2019 TO:Peter Zanoni, City Manager FROM:Dan Grimsbo Executive Director of Utilities dang@cctexas.com (361)826-1718 STAFF PRESENTER(S): Name Title/Position Department Dan Grimsbo Executive Director Utilities Kevin Norton Director Water Utilities Reba George Assistant Director Support Services BACKGROUND: City Council gave direction to staff at the October 1, 2019 meeting to contact residents who disagreed with their utility bill. On October 1st and 2nd, staff met with residents to discuss their utility bill and to answer questions they had at City Hall. By the end of the meetings, the residents had a better understanding of their water usage and the reasons of why their utility bill was higher than other months. This presentation will review our utility billing process. Examples of Utility Billing Office complaints and the resolutions to those complaints will be discussed. LIST OF SUPPORTING DOCUMENTS: Presentation – Utility Bill Utility Bill Presentation AGENDA MEMORANDUM City Council Meeting of October 15, 2019 AGENDA MEMORANDUM City Council Meeting of October 15, 2019 DATE:October 11, 2019 TO:Peter Zanoni, City Manager FROM:Arlene Medrano, Business Liaison arlenem@cctexas.com 361-826-3356 SUMMARY: Presentation of Potential Tax Increment Reinvestment Zone on North Beach and Related Studies BACKGROUND AND FINDINGS: On April 9, 2019, Nueces County Commissioner Vaughn, as the Chairperson of the North Beach Task Force, provided a report to City Council which included a recommendation to create a tax increment reinvestment zone (TIRZ) at North Beach. During this item, Councilman Roy made a motion, seconded by Councilman Garza directing the City Manager to move forward with the creation of a TIRZ at North Beach. In Chapter 311.004 of the Tax Code, creating a TIRZ would include the following: a description of the zone boundaries with sufficient detail to identify the territory within the zone; a designation of the board of directors for the zone and an indication of the number of directors of the board; a provision that the zone would take effect immediately on passage of the ordinance; an indication of the zone termination date; a name for the zone as provided under Tax Code Section 311.004(a)(5); a provision establishing a tax increment fund for the zone; findings that the improvements within the zone would significantly enhance the value of the taxable property within the zone and would be of general benefit to the city or county; and a finding that the area meets the criteria for designation of a reinvestment zone under Tax Code Section 311.005. Presentation of Potential Tax Increment Reinvestment Zone on North Beach and Related Studies City staff’s initial recommendation for a North Beach TIRZ is participation at 100% for the first 10 years and at 75% for the following 10 years. At no time would the City’s contributions exceed $20,000,000. The preliminary reinvestment zone financing plan provides that portions of the ad valorem taxes of the City constituting its tax increment would be deposited into the Tax Increment Fund, and that ad valorem taxes of the other taxing units constituting their respective tax increments may also be utilized for the purposes described in the preliminary financing plan. See below: City’s Ad Valorem Increment Percentage Tax Year(s) 100%2019 through 2028 75%2029 through 2038 On July 10, 2019, the Nueces County Commissioners Court passed a Resolution supporting the City in its efforts to establish a TIRZ at North Beach. Based on conversations with the County, staff anticipates 100% participation by the County for the full length of the TIRZ. A draft Interlocal Agreement has been provided to the County and is currently under review in preparation of taking said agreement to the County Commissioner’s Court for consideration. Furthermore, Del Mar College staff are currently preparing a financial policy that will provide a road map for how the college responds to requests for TIRZ participation. This policy is expected to be presented to the Del Mar Board of Regents in October or November 2019. After adoption of a policy, Del Mar College Board and Executive Leadership will be prepared to accept a formal invitation to participate in the TIRZ #4. The North Beach area substantially impairs the sound growth of the City and has been found to be in state of deferred infrastructure. Tourism and convention business is of extreme importance to the Corpus Christi economy, and the area within the proposed district has tremendous, unrealized potential to support tourist and convention facilities as the area includes some of the biggest tourist attractions in Corpus Christi, including the Texas State Aquarium and the USS Lexington. It is essential that this presently under-developed area be fully developed to encourage tourism to continue in the area. In relation to the two other TIRZ’s in Corpus Christi, TIRZ 2 on the Island and TIRZ 3 Downtown, this proposed TIRZ 4 at North Beach has significantly less property value and has seen little to no development over the past decade. TIRZ 2 (estb. 2000)TIRZ 3 (estb. 2008)TIRZ 4 2019 Net Taxable Value $513,369,642 $439,524,182 $60,689,500 Estimated City Contribution for life of TIRZ $30,000,000 $12,000,000 $20,000,000 Contributions to a TIRZ would not redirect funding from today’s General Fund. Significant contributions to the TIRZ would only occur if increases to property values occur at North Beach which spurred by new development or enhancements to existing property. The zone would be one of a variety of potential funding sources and programs that would be acting in concert to accomplish a transformed public environment in North Beach. By improving and maintaining public spaces with a high level of service, plus increasing density, the zone and the other programs would encourage the development of new land uses and the redevelopment or rehabilitation of existing uses. The intended result is that North Beach would become a vibrant and economically vital urban waterfront district with a variety of tourist, entertainment, residential, retail, and lodging uses. Breakwater Barriers: On April 24, 2018, City Council established a North Beach Infrastructure Task Force to assist the City with implementation of redevelopment plans for the North Beach area. The Redevelopment Plan for North Beach included a list of thirty-three (33) potential Capital Improvement Projects. Four of the projects were prioritized for inclusion on Bond 2018. The four projects included on Bond 2018 Proposition A are as follows: Beach Avenue (E. Causeway Blvd to Gulfbreeze Blvd) N. Beach Area Primary Access (Beach to Timon) N. Beach Gulfspray Avenue Pedestrian/Bike Access N. Beach Coastal Protection (Breakwater Barrier) The North Beach Coastal Protection project proposes new breakwater barriers to mitigate beach erosion and coastal flooding protection for the North Beach coastline. The breakwater structure concept is to construct island features that would create new natural habitats as well as provide wave sheltering. This coastal protection project would require extensive stakeholder coordination and permitting through the United States Army Corps of Engineers (USACE). The initial engineering contract was a small agreement to complete a feasibility study to better define the scope of the proposed breakwater structure, identify permitting requirements and develop cost estimates. Mott McDonald was selected for this project in May 2019 under RFQ 2019-01. City Council awarded the contract on September 17, 2019 and Notice to Proceed was sent to Mott McDonald on September 24, 2019. Final work (Preliminary Engineering Analysis) expected to be complete in approximately nine months. Drainage Solution: On April 9, 2019, the City Council directed staff to execute a small contract with Urban Engineering to study multiple options to significantly improve or solve the current drainage issues on North Beach. A contract was executed on June 21, 2019 and was estimated to take 13 weeks. The deliverable is currently past due but is expected to be complete by the end of October 2019. Urban Engineering will provide services to study multiple options to significantly improve or solve current drainage issues on the North Beach peninsula. The study will include investigating current drainage conditions, multiple solutions to these conditions, the impacts those solutions will have on existing infrastructure and preliminary costs estimates for each solution. The Analysis will include the following: a) Define three options that will significantly improve or solve drainage issues on the North Beach peninsula; 1. Review and analyze a closed conduit system as proposed by the 2018 HOR study titled, "Feasibility Assessment North Beach TXDOT Culvert Flooding Mitigation Project" 2. Analyze an open channel system with the minimum requirements to solve the drainage issues for the study area. 3. Analyze an open channel system as proposed by the North Beach Infrastructure Committee. b) Develop preliminary typical cross sections, incorporating the different drainage options to be studied. c) Identify preliminary right-of-way acquisition requirements (if any) and illustrate on a schematic strip map. d) Develop preliminary requirements for utility relocations, replacements or upgrades. Coordinate with the City's Project Manager and identify Operating Departments potential project needs. e) Prepare preliminary opinions of probable construction costs for the options studied. f)Develop a Drainage Area Map showing the existing and proposed drainage basins served by the Project storm system. g) Conduct preliminary hydraulic analysis to quantify the storm water design of the proposed minimum open channel (Option 2) system. Urban Engineering will have a complete drainage report at the end of October 2019 and a full presentation will be provided to City Council. Board Appointments: The Board members of a TIRZ are appointed by the City Council of the City. All members appointed by the Board must meet eligibility requirements, as set forth in the Act. Provided, however, notwithstanding any other provision of this Ordinance, the City Council has the right to appoint at least 10 members of the Board, and the Board may exceed 15 members, if necessary for the City Council to make the 10 appointments. Staff’s initial recommendation is for the following board composition: 9 City Council Members 1 Nueces County Representative 1 Community Member (Must be a resident within the TIRZ) 1 Developer or Business Owner (Must own property or own a business within the TIRZ) 1 Representative from the Texas State Aquarium 1 Representative from the USS Lexington FISCAL IMPACT: The fiscal impact of the recommended North Beach TIRZ would be as follows: Total contributions of $20,000,000 of City’s ad valorem from the increment above the current base value; Or 20 years of participation at 100% for the first 10 years and at 75% for the following 10 years, whichever comes first. Funding Detail: Fund:N/A Organization/Activity:N/A Mission Element:N/A Project # (CIP Only): N/A Account:N/A RECOMMENDATION: Staff recommends that the City Council receive the briefing on the North Beach TIRZ; that the City Council hold a work session with the Nueces County Commissioners on the North Beach TIRZ; that the City Council receive an in-depth briefing on the drainage study for North Beach; and that the City Council have a first and second reading and consideration of the TIRZ. LIST OF SUPPORTING DOCUMENTS: Draft TIRZ #4 Project and Financing Plan Feasibility Analysis Revenue Projections - FOR DISCUSSION ONLY - DRAFT PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN Tax Increment Reinvestment Zone #4 NORTH BEACH, CORPUS CHRISTI, TEXAS October 2019 DRAFT - FOR DISCUSSION ONLY - TABLE OF CONTENTS TABLE OF CONTENTS ..................................................................................................... INTRODUCTION ............................................................................................................ 1 Criteria for Zone Creation 1 Vision for North Beach 2 Anticipated Zone Role in North Beach Improvements 2 PROJECT PLAN …………………………………………………………………………………………………………… 3 Existing Uses and Conditions / Boundaries §311.011(b)(1) 3 Exhibit A ‐ Zone Boundaries and Land Use 3 Exhibit B.1 ‐ Existing Land Use 4 Exhibit B.2 ‐ Existing Property Designation 5 Exhibit B.3 ‐ Existing City Limits, City Owned, Port Owned & Proposed TIRZ Parcels 6 Exhibit C ‐ Legal Description of the Zone 7 Municipal Ordinances §311.011(b)(2) 10 City Planned Improvements (Non‐Project Costs) §311.011(b)(3) 11 Relocation §311.011(b)(4) 12 REINVESTMENT ZONE FINANCING PLAN ....................................................................... 13 Estimated Project Cost Description §311.011(c)(1) and Kind, Number, and Location of TIRZ Improvements §311.011(c)(2) 13 Economic Feasibility Study §311.011(c)(3) 16 Estimate of Bonded Indebtedness §311.011(c)(4) 16 Timing of Incurring Costs or Monetary Obligation §311.011(c)(5) 16 Method of Financing and Sources of Revenue §311.011(c)(6) 16 Sources of Revenue 16 Current Appraised Value §311.011(c)(7) 19 Estimated Captured Appraised Value §311.011(c)(8) 19 Duration of the Zone §311.011(c)(9) 19 Appendices ................................................................................................................... 20 Appendix A – Financial Feasibility Analysis Appendix B – Projection of New Development and Taxable Assessed Value DRAFT - FOR DISCUSSION ONLY - 1 | P a g e INTRODUCTION The City of Corpus Christi is proposing to create a Tax Increment Reinvestment Zone or TIRZ (hereafter referred to as the “Zone”) over a portion of the city that includes the city’s North Beach area along the Bayfront from the Rincon Channel at the north end, south to the USS Lexington, adjacent to the Texas State Aquarium, and west to the Port of Corpus Christi. Criteria for Zone Creation The area within the Zone qualifies for a TIRZ because it suffers from economic stagnation, inadequate infrastructure, and deteriorating properties. Without intervention by the public sector, private market forces will not be sufficient to generate significant development and redevelopment. Conditions meeting the criteria of the Tax Code of the State of Texas, Chapter 311, Section 005 for reinvestment zone designation include: • A substantial number of substandard, slum, deteriorated, or deteriorating structures; • The predominance of defective or inadequate sidewalk or street layout; • Unsanitary or unsafe conditions; • The deterioration of site or other improvements; and • Conditions that endanger life or property by fire or other cause. According to the language of Chapter 311, these conditions must “substantially arrest or impair the sound growth of the municipality or county creating the zone, retard the provision of housing accommodations, or constitute an economic or social liability and be a menace to the public health, safety, morals, or welfare in its present condition and use.” The existing conditions in the North Beach area of Corpus Christi hamper investment in residential, retail and hospitality-related property improvements, as outlined in the portions of the Downtown Area Development Plan (DAPD) Residential Market Analysis relevant to North Beach, included in Appendix A. The conditions outlined above will not be overcome or corrected without significant intervention and assistance from the public sector, therefore satisfying the general criteria for creation of the Zone. DRAFT - FOR DISCUSSION ONLY - 2 | P a g e Vision for North Beach Over 800,000 people visit the Texas State Aquarium and USS Lexington on North Beach each year. Each of those visitors drives through areas with frequent flooding and many blighted as well as vacant properties. Corpus Christi’s first impression to over 800,000 people each year is largely a pathway of deferred maintenance, disrepair, and unimproved properties on the way to the beautifully maintained and exciting Texas State Aquarium and USS Lexington. This is not the first impression of Corpus Christi we want nearly 1 million visitors each year taking back home. In recent years, the new Harbor Bridge construction has changed the entrance and exit ramps to and from North Beach. These changes will have an enormous impact on access to and from North Beach and its ability to remain the most visited location in all of the Coastal Bend area. The completion of the Harbor Bridge, and demolition of the old bridge, will spur new opportunities for North Beach revitalization. The proposed Zone can directly aid in the realization of this vision while addressing the deficiencies and challenges outlined above. Anticipated Zone Role in North Beach Improvements The DAPD Analysis of Residential Market Potential (attached as Appendix A) 2011 North Beach Development Plan and 2018 North Beach Redevelopment Area Specific Plan, included as Appendices to this document, indicate the nature of the intervention and assistance needed to spur economic growth in different areas of the Zone. Flooding, vacant properties, the aging of existing development, inadequate public infrastructure and facilities together depress the viability of new development and redevelopment in North Beach. However, continued investment by the Texas State Aquarium, changes brought by the new Harbor Bridge, new multi-family construction, new single-family homes, and the City’s commitment to solving the stormwater flooding, infrastructure and public amenity improvements indicate that a reversal of fortune is possible. The primary functions of the zone will be to support: • Roads and wayfinding infrastructure • Parks and community center improvements • Public restroom improvements • Drainage improvements • Demolition of blighted structures • Parking Structure The zone is expected to be one of a variety of planned funding sources and programs that will be acting in concert to accomplish a transformed public environment in North Beach. By improving and maintaining public spaces with a high level of service, plus increasing density through parking structure, the zone and the other programs will encourage the development of new land uses and the redevelopment or rehabilitation of existing uses. The intended result is that North Beach will become a vibrant and economically vital urban waterfront district with a variety of tourist, entertainment, residential, retail, and lodging uses, sending a strong first impression to nearly 1 million annual visitors to Corpus Christi. DRAFT - FOR DISCUSSION ONLY - 3 | P a g e PROJECT PLAN Existing Uses and Conditions / Boundaries §311.011(b)(1) The Zone includes approximately 435.3 acres wholly within the City of Corpus Christi. Its boundaries encompass all of the North Beach area east of the Port of Corpus Christi land, as shown in Exhibit A. A variety of land uses, shown in maps in Exhibit B and described generally below, are present within the proposed TIRZ. A legal description of the Zone is given in Exhibit C. The Texas State Aquarium and the USS Lexington, in the southern area of North Beach, draw more than 800,000 tourists and visitors annually, combined. Removing the Burleson exit leaves only one northbound exit from the new Harbor Bridge, impacting accessibility to these two heavily visited attractions. To the north, the zone transitions to an area of tourist retail, restaurants, hotels, vacant buildings and unimproved land. The beach runs along the eastern portion of the zone. Further north along the beach are multi-story condominiums, city owned Surfside Park, a small number of single-family homes, and a popular city park, Dolphin Park. If funding is determined to be appropriate and TIRZ and City Council choose to fund them, the off shore area allows for the potential inclusion of breakwater barriers. Central North Beach has a linear right of way, formerly a rail easement, owned by the City of Corpus Christi. Timon and Surfside Boulevards run along its edges, acting as a main thoroughfare through North Beach. This right of way is the location of a proposed drainage solution, a canal to mitigate extensive flooding that occurs with even light rain. This North Beach drainage solution will improve stormwater flow, thereby bringing public safety response times within an adequate range and allowing travel during rain events. Residents in the northwest portion of North Beach often experience difficulty making the turnaround at the north end of North Beach under the causeway due to flooding. The new Harbor Bridge, TxDOT and the Port of Corpus Christi border the zone to the west. Exhibit A ‐ Zone Boundaries DRAFT - FOR DISCUSSION ONLY - 4 Exhibit B.1: Existing Uses Throughout the Zone DRAFT - FOR DISCUSSION ONLY - 5 Exhibit B.2 DRAFT - FOR DISCUSSION ONLY - 6 Exhibit B.3 DRAFT - FOR DISCUSSION ONLY - 7 Exhibit C ‐ Legal Description of the Zone DRAFT - FOR DISCUSSION ONLY - 8 DRAFT - FOR DISCUSSION ONLY - 9 DRAFT - FOR DISCUSSION ONLY - 10 Municipal Ordinances §311.011(b)(2) The City is not contemplating any specific changes to municipal ordinances as part of any projects to be undertaken by the Zone. DRAFT - FOR DISCUSSION ONLY - 11 City Planned Improvements (Non‐Project Costs) §311.011(b)(3) It is expected that the City, Nueces County, TxDOT, and other public agencies will participate in the rehabilitation of existing and development of new public facilities and infrastructure within the Zone. In addition, various nonprofit organizations, private citizens and developers may also consider efforts to remediate environmental and safety deficiencies on existing private properties. The City of Corpus Christi has identified about $11,882,989 million in projects planned for locations partly or wholly within the Zone intended to rehabilitate and improve existing public facilities and infrastructure. TIRZ funds may be used to assist these projects; however, the bulk of funding is anticipated to come from other sources. The table below lists some of these projects. Note: Amounts may not add perfectly due to rounding Current City Planned Improvements (Non‐Project Costs) Project Source Status Projected Cost Gas US 181 at Burleson Due to conflicts with the new bridge construction there will be 860 feet of 6” steel gas line replacement located in the Burleson St. and US181 intersection. Rev Bond Complete $557,788 Breakwater Ave.. at W Causeway Blvd. Due to conflicts with the new bridge construction there will be 425 feet of 2” steel gas line replacement located in the East Causeway Blvd. and Plum St. area. Rev Bond Complete $202,883 Streets North Beach Area Road Improvements & Area Beautification Includes pavement restoration to North Shoreline Boulevard, new wastewater and water lines on North Shoreline Boulevard, and cleaning existing stormwater and wastewater pipes and manholes on Breakwater Avenue and Coastal Avenue. Bond 2012 Streets Storm Water Wastewater Water Substantially Complete $801,500 North Beach Breakwater Plaza, North Shoreline Repair and Enhancement Includes new curb and gutter, sidewalks, ADA ramps, markings, signage, seating, on-street parking enhancements and illumination improvements to North Shoreline Boulevard. Improvements also include a paved surface to Breakwater Plaza and cleaning existing stormwater pipes and manholes on North Shoreline Boulevard. Bond 2012 Substantially Complete $1,623,900 Beach Avenue (E. Causeway Blvd. to Dead End at Gulfbreeze Blvd.) Reconstruction of existing 2-lane roadway with new pavement, curb & gutter, sidewalks, ADA compliant curb ramps, signage, pavement markings and illumination. Includes bike mobility improvements per the adopted MPO bicycle mobility plan and approved in North Beach Area Plan. Bond 2018 In planning phase $1,000,000 N. Beach Area Primary Access (Beach & Timon/Surfside Intersection) Design and construction of a new curved access road from E. Causeway Blvd. onto Timon Blvd. with a new traffic circle at intersection of Timon/Surfside and Beach roads. Provides a new Bond 2018 In planning phase $1,250,000 DRAFT - FOR DISCUSSION ONLY - 12 Relocation §311.011(b)(4) No relocation of existing residents is anticipated to be required as a result of the Zone’s projects. route for the single access road into North Beach from the new Harbor Bridge. Traffic circle connects Timon/Surfside and Beach and converts Beach Avenue to one-way from Surfside to E. Causeway Blvd. New Traffic circle also allows development of new gateway feature for the entry into North Beach approved in the North Beach Area Plan. N. Beach Gulfspray Ave. Pedestrian/Bike Access (Beach Access to E. Causeway Blvd.) Pedestrian and bicycle infrastructure improvements to create a new train for improved access from Harbor Bridge and the beach approved in the North Beach Area Plan. Bond 2018 In planning phase $300,000 N. Beach Coastal Protection (Breakwater Barrier) Preliminary engineering and permitting with USACE, GLO, Port of Corpus Christi and other agencies for the design and construction of new breakwater barriers to mitigate beach erosion and coastal flooding as approved in the North Beach Area Plan. Bond 2018 In planning phase $250,000 Water US 181-Beach Ave to Elm St Due to conflicts with the new bridge construction there will be 3000 feet of 12” waterline replacement, 600 feet of 16” waterline replacement and 800 feet of 6” waterline replacement to maintain water quality. The work is concentrated on the east side of US181 between Reef Ave. and Burleson St. Rev Bond 90% complete by TxDOT $3,715,322 Breakwater- W. Causeway Blvd Due to conflicts with the new bridge construction there will be 500 feet of 12” waterline replacement to maintain water quality. The work is located on Breakwater Ave. between Avenue F and East Causeway Blvd. Rev Bond 90% complete by TxDOT $1,021,191 Wastewater Due to conflicts with the new bridge construction there will be 500 feet of 4” wastewater force main replacement and abandonment of a total of 1000 feet of 6” and 8” gravity sewer main. This work is located west side of the existing US181 between Burleson St. and Avenue F. US 181 at Plum St. Rev Bond 90% complete by TxDOT $201,649 US 181 at E Walnut St Rev Bond 90% complete by TxDOT $446,815 Burleson St from US 181 SBFR to Seagull Rev Bond 90% complete by TxDOT $411,941 Parks and Recreation North Beach Historic Plaza Placement and installation of a series of historical panels in North Beach plaza currently being constructed as part of Bond 2012. Hotel Occupancy Tax Dec 2019 $100,000 Total $11,882,989 DRAFT - FOR DISCUSSION ONLY - 13 REINVESTMENT ZONE FINANCING PLAN Estimated Project Cost Description §311.011(c)(1) and Kind, Number, and Location of TIRZ Improvements §311.011(c)(2) The Zone is anticipated to engage in projects that will support the types of development and economic activity projected in the DAPD Residential Market Analysis (Appendix A) as well as contribute to the image and attractiveness of North Beach Corpus Christi on a local, regional, and national level. In addition, the Zone will pay the costs of Zone creation and ongoing administration. The following project cost estimates are derived from similar types of projects and should not be construed as definitive costs for the listed projects. PUBLIC IMPROVEMENTS, FACILITIES, AND INFRASTRUCTURE (not listed in priority order) 1. Wayfinding Infrastructure – $3,000,000 The Zone may participate in proposed construction of a gateway feature with wayfinding throughout North Beach. It may also build multi-use paths to major tourists destinations. 2. Park Improvements – $4,000,000 The Zone may contribute to enhancements to Dolphin Park, Surfside Park, and Kiwanis and construct a North Beach birding park (Eco Park). 3. Demolition of Blighted Structures – $2,000,000 Many older vacant or underutilized buildings within the Zone are not economically feasible to reuse because they contain environmentally undesirable or unsafe elements that present a public safety hazard. The Zone may provide assistance to property owners and developers who must remediate or demolish such structures in order to develop or redevelop. 4. Public Safety – $2,500,000 With the purpose of increasing safety and security within the Zone, the Zone will provide support for security cameras and associated costs. 5. North Beach Public Spaces Beautification & Revitalization Programs & Services - $1,735,556 The Zone may contribute five percent of the total incremental ad valorem taxes collected per year in the Zone to beautification projects including the creation of or enhancements to common areas, roadway & median streetscapes, pedestrian landscapes, beach beautification, public fountains, wayfinding signage. Lighting, public facilities and any services relating to such program. In addition, any City funding currently and annually appropriated to maintain North Beach, could be used by the Zone for this intended use pending a full and thorough evaluation via a Request for Proposal process. DRAFT - FOR DISCUSSION ONLY - 14 6. North Beach Parking Structure Initiative Grant – $10,000,000 With the purpose of increasing density and maximizing land availability on North Beach, the Zone will provide support for parking structure(s) in key location(s) where parking is undersupplied or inadequately distributed. In order to encourage the building of public access off street and concealed parking infrastructure ahead of the economic growth generated by New Developments, the Zone will establish a grant that will provide a $25,000 per built parking space grant for any New Developments containing a concealed or enclosed parking structure comprising at least 20 parking spaces, with at least 22% of such spaces, on property, accessible to the public (“Parking Grant”). The maximum value of this grant will be $10,000,000. Each applicant will have preference to receive Parking Grant funds equal to ninety-five (95) percent of the cumulative, incremental ad valorem taxes generated by all new projects on North Beach at least 75% commonly owned by applicant(s) (“Project Cap”). Parking Grants will be paid to recipients annually until the Project Cap is met or up to the end date of the tax increment collection. 7. Project Specific Development Agreement- pending available funding In situations where higher development costs create a financing gap, TIRZ #4 can provide assistance to property owners or developers through a Development Agreement for reimbursement of net new tax increment on new developments. The total reimbursement by the TIRZ #4 will not exceed 20% of the total project cost. A pro-forma is required to qualify for up to 75% reimbursement of the new taxes for 10 years if a development is 5,000 sq. ft or creating 25 or more new residential units. If further gap exists, staff will undertake additional third-party review to justify any additional reimbursement up to 95% of the qualifying tax increment, based on the “but, for” principle. The qualifying cost elements for this Program include: • Environmental Remediation/Code Compliance • Historic Preservation • Structured Parking, including availability for public parking • Urban Design/Landscaping • Public Improvements/Utilities 8. North Beach Property Improvement Program – $4,000,000 This grant will support and encourage private investment in the existing structures and facilities already built on North Beach. The Zone will match approved property improvements funded by the property owners. The Zone will consider a match of 50/50 (Property Owner / Zone), depending upon the extent to which the scope of the project meets the priorities of the Zone. The maximum amount of Grants to be paid to property owners under this program will be $200,000 annually. 9. North Beach Living Initiative– $4,000,000 In order to stimulate the development of North Beach and quickly build residential density in the district, the Zone will establish a grant that will provide a $10,000 per unit reimbursement grant for multi-family developments of over 10 units (“Living Initiative Grant”). Any applicant awarded a grant must obtain a Building Permit for the entirety of such project(s) within six (6) months of award of such grant. If a Building Permit is not obtained within the six -month time period, then the grant will be forfeited. DRAFT - FOR DISCUSSION ONLY - 15 10. Residential Streets- $797,431 In November 2016, the voters approved a Charter Revision to Article VIII. Taxation and Bonds, Section 1. Taxation of the City’s Charter which authorized the City Council to levy, assess and collect a property tax not to exceed six cents per $100 valuation for residential street reconstruction to be gradually implemented at a rate not to exceed two cents per $100 valuation per year (ie. 2+2+2 = 6 cents). The City Council exercised that authority in FY 2018 and in FY 2019. The additional four cents must be used for residential streets as approved by the residents of Corpus Christi on November 8, 2016. City Charter Art. VIII, Sec. 1(c): (c) A dedicated fund to be used solely for residential street reconstruction is established, and the city council is authorized each year to levy, assess and collect a property tax not to exceed six cents ($0.06) per one hundred dollars ($100.00) of assessed value for the purpose of residential street reconstruction to be deposited in such fund. Said taxes shall be used solely for the purpose of residential street reconstruction, including associated architectural, engineering and utility costs, and shall be implemented gradually at a rate not to exceed two cents ($0.02) per one hundred dollars ($100.00) of assessed value per year. For the purposes of this provision, the term "reconstruction" is defined as removing all or a significant portion of the pavement material and replacing it with new or recycled materials. The dedicated fund established by this subsection (c) may not be used for payment of debt service. ADMINISTRATIVE COSTS 11. Creation – $250,000 The Zone may reimburse relevant parties for expenses related to the costs of creating the Zone. 12. Administration – $2,000,000 Zone funds may pay for the costs of ongoing administration of the Zone, including but not limited to accounting, legal services, document production and maintenance, and other administrative costs. These costs are estimated at $100,000 per year for the 20‐year life of the Zone. The Project Costs are estimated as follows: Public improvements, facilities, and infrastructure $32,282,987 Administrative costs $2,000,000 TOTAL $ 34,282,987 DRAFT - FOR DISCUSSION ONLY - 16 Economic Feasibility Study §311.011(c)(3) Several market and economic feasibility studies for the Zone have been completed. The MJB Consulting “Retail Market Analysis and Strategy” and the Zimmerman/Volk Associates “Office, Retail, and Hotel Market Assessment” are provided under separate cover. In addition, a feasibility analysis by Landmark Renewal was completed in August 2019, which is also included in Appendix A to this Plan. Estimate of Bonded Indebtedness §311.011(c)(4) It is not initially anticipated that the Zone will issue bonded debt; instead the Zone’s projects will be funded on a pay‐as‐you‐go basis or utilize other financing methods. However, if the annual Zone revenue and available non‐bonded debt financing are insufficient to address the needs of the Zone, the Zone may issue bonded debt commensurate with the specific project costs under consideration and anticipated annual Zone revenues to support debt service payments. Timing of Incurring Costs or Monetary Obligation §311.011(c)(5) Costs will be incurred over the life of the Zone based on its Board of Directors’ identification of priority activities and projects, opportunities for implementation, and available revenues to sustain a pay‐as-you‐ go project expenditure approach or a bonded debt issuance. Method of Financing and Sources of Revenue §311.011(c)(6) Methods of financing. The Zone will initially take a pay‐as‐you‐go approach to financing projects that could utilize the following methods: • Cash funds generated from existing property value increment, • Short term anticipation notes or other debt issued by private financial institutions based on projected property tax increment to be generated from taxable development under construction at the time of debt issuance, and • Developer cash reimbursement agreements where the revenues from the Zone’s property tax increment compensate a developer for fronting eligible expenditures in a specific taxable project after the project is completed. If future Zone revenues to support debt service payments are anticipated, the Zone may also issue bonded debt, the term of which will not extend past the expected life of the Zone. Sources of revenue. The primary source of revenue for the Zone will be funds from the contributed property tax collections of the City of Corpus Christi and Nueces County on the taxable property value increment within the Zone. It is currently projected that the County will agree to participate in funding the Zone with 100% of the incremental property taxes collected over the life of the Zone and that the City will participate in the funding of the Zone based on the table below. If the City reaches or exceeds $25 million, then the City shall cease contributions to the increment. DRAFT - FOR DISCUSSION ONLY - 17 TABLE- TIRZ Contributions Taxing Entity Maximum Dollar Contribution Increment Percentage Tax Year(s) City of Corpus Christi $20,000,000 100% 2019 through 2028 75% 2029 through 2038 Nueces County None 100% 2019 through 2038 The assessed value base year for the City of Corpus Christi is 2019; the base year for Nueces County is also projected to be 2019. Based upon 2018 tax rates for each jurisdiction, the projection of incremental property tax revenue contributed to the Zone is as follows: Certified Appraised Values Base value is from 2019 (January 1, 2019) taxable appraised value. Values in future years are based on current development projections. Net Taxable Values from the Certified Roll 2019 (*with estimated development) According to these projections, 53% of the tax increment revenues will come from the City of Corpus Christi and 47% will come from Nueces County. Revenue estimates will be monitored and adjusted annually. 3% Fiscal Year Tax Year Values City County Total City Scaled County County 100% City Scaled FY 20 2019 60,689,500 392,214 189,101 581,316 FY 21 2020 62,510,185 403,981 194,774 598,755 11,766 5,673 17,439 FY 22 2021 64,385,491 416,100 200,617 616,718 23,886 11,516 35,402 FY 23 2022* 140,317,055 906,819 437,211 1,344,030 495,216 248,110 743,326 FY 24 2023 144,526,567 934,023 450,327 1,384,351 521,839 261,226 803,035 FY 25 2024* 206,362,364 1,333,646 643,000 1,976,646 597,731 453,899 1,395,330 FY 26 2025 220,278,235 1,423,579 686,361 2,109,939 677,353 497,259 1,528,624 FY 27 2026 234,843,332 1,517,708 731,744 2,249,452 760,862 542,642 1,668,136 FY 28 2027 250,084,084 1,616,203 779,232 2,395,435 848,418 590,131 1,814,120 FY 29 2028 266,027,923 1,719,243 828,911 2,548,154 940,190 639,810 1,966,838 FY 30 2029 282,703,316 1,827,010 880,870 2,707,879 1,076,097 691,768 1,767,865 FY 31 2030 300,139,808 1,939,696 935,200 2,874,895 1,160,611 746,098 1,906,709 FY 32 2031 318,368,056 2,057,498 991,997 3,049,495 1,248,963 802,895 2,051,858 FY 33 2032 337,419,873 2,180,623 1,051,360 3,231,983 1,341,307 862,259 2,203,565 FY 34 2033 357,328,269 2,309,284 1,113,392 3,422,676 1,437,802 924,291 2,362,093 FY 35 2034 378,127,489 2,443,702 1,178,200 3,621,902 1,538,616 989,099 2,527,714 FY 36 2035 399,853,068 2,584,106 1,245,894 3,830,001 1,643,919 1,056,793 2,700,712 FY 37 2036 422,541,867 2,730,736 1,316,590 4,047,326 1,753,891 1,127,489 2,881,380 FY 38 2037 446,232,126 2,883,838 1,390,406 4,274,243 1,868,717 1,201,305 3,070,022 FY 39 2038 470,963,512 3,043,668 1,467,466 4,511,133 1,988,590 1,278,365 3,266,955 34,663,676 16,712,652 51,376,328 19,935,773 12,930,628 34,711,124 TOTALS Year Tax Revenue Tax Increment Total DRAFT - FOR DISCUSSION ONLY - 18 The 2019 tax rate applicable to the reinvestment zone is $0.957852 (or approximately $0.96) per $100 of assessed valuation, broken down as follows: City of Corpus Christi 0.646264 Nueces County 0.311588 Total 0.957852 Applying the 2019 tax rate of $0.957852 per $100 assessed valuation to the 2019 total certified roll taxable value of properties within the zone, property taxes of $581,316 are generated. This amount produced from the tax increment base (or the “frozen base”) will continue to be allocated and paid to the taxing entities levying taxes in the zone area, based on their respective tax rates. Zone property tax contributions from the participating tax jurisdictions could be supplemented with other sources of revenue as available. These could include but are not limited to: • Grants from other local, state, and federal agencies; • Grants from private entities such as foundations; and • Joint implementation and funding agreements with other public agencies or private entities such as civic associations for specific projects. Current Appraised Value §311.011(c)(7) According to the Nueces County Appraisal District, the 2019 certified roll total assessed value for the Zone as of July 26, 2019 is $64,724,132. Due to differences in policies regarding exemptions and tax abatements, the net taxable values differ among the two jurisdictions. According to the Nueces County Appraisal District, the 2019 certified roll net taxable value for the Zone as of July 26, 2019 is $60,689,500 for the City of Corpus Christi and $59,657,026 for Nueces County. Estimated Captured Appraised Value §311.011(c)(8) The table above provides the projected schedule of taxable value increment captured by the Zone over its proposed 20‐year duration. There is a column shown for each entity. Captured value projections assume a 3.0% annual value appreciation rate for existing development. In year 2022, the development currently underway on North Beach, LaVista Pointe Apartments, will be complete with an estimated future property value increase of $24 million. Additionally, there are other developments planned throughout the zone with a combined projected increase in value of $124 million. Based on calculations in the TIRZ # 4 Feasibility Analysis, beginning in 2024 and continuing throughout the remaining life of the Zone, 22 apartment units valued at $150,000 each and 12 condominium or townhome units valued at $300,000 each, are projected to be added to the tax rolls each year. The per unit amounts are adjusted for inflation at 3% per year. The tax increment is the amount of property taxes produced yearly during the term of the reinvestment zone on the captured appraised value. This value is the appraised value of taxable real property within the reinvestment zone which exceeds the tax increment base. The table above shows estimated TIRZ revenues over the 20 life of the zone to be as follows: DRAFT - FOR DISCUSSION ONLY - 19 City of Corpus Christi: $19,935,773 Nueces County: $12,930,628 Total $34,711,124 Duration of the Zone §311.011(c)(9) The proposed duration of the Zone is twenty years from the time of its creation. Assuming creation in 2019, the Zone would expire after 2038. City Council may, by ordinance, extend the length of the TIRZ to allow additional time to expend funds. DRAFT - FOR DISCUSSION ONLY - 20 Appendices Appendix A – Financial Feasibility Analysis Appendix B – Projection of New Development and Taxable Assessed Value . DRAFT Feasibility Analysis Tax Increment Reinvestment Zone # 4 North Beach Area City of Corpus Christi, Texas August 2019 Jim Johnson, PhD Landmark Renewal I. Introduction The North Beach area of Corpus Christi, Texas, already a leading tourist destination with 800,000 visitors annually, is primed for accelerated redevelopment upon completion of the new Harbor Bridge and demolition of the old bridge. A number of planning processes have focused on the area, producing a wealth of reports including: • North Beach Development Plan (November 2011) - NBDP • Zimmerman Volk Associates: Residential Market Potential (October 2014) - ZVA • North Beach Redevelopment Area Specific Plan (February 2018) - NBRA • Downtown Area Development Plan, Corpus Christi (March 2018) - DADP In addition, the Market and Economic Feasibility Study Update for TIRZ # 2 (July 2019), contains a detailed residential, retail and hotel development analysis of the Corpus Christi metropolitan statistical area (MSA) applicable in part to North Beach. The feasibility of a tax increment reinvestment zone (TIRZ) depends on whether tax increment stimulated by TIRZ improvements will cover the costs of those improvements, leaving local tax jurisdictions better off at termination of the TIRZ than they would be without a TIRZ. While some new development would occur regardless, establishing the zone provides a revenue source for public improvements that can spur additional and more intensive development than would otherwise occur. The year in which a TIRZ is established becomes its base year, with each succeeding year’s incremental tax revenues pledged to a fund controlled by the zone’s board of directors. Local taxing jurisdictions may contribute up to 100% of their tax increment. TIRZ revenues depend on: • Overall changes in property valuations; • Timing and value of new development; and • Loss of value from demolition of existing improvements. Once the zone has sufficient revenue, infrastructure improvements should coincide with and enable associated private investment (DADP, p. 26). This analysis assumes that TIRZ spending will be based on articulated stakeholder and planning priorities, such as the February 2018 North Beach Redevelopment Initiative Near-Term Projects and Mid- and Long-Term Projects lists. II. TIRZ Revenue Projection City of Corpus Christi and Nueces County are expected to participate with 100% of tax increment. Base year taxable values vary slightly between jurisdictions, primarily due to differing property tax exemptions offered. Exemptions on owner-occupied residential property include homestead and the over-65 tax freeze. For purposes of these projections, we assume the effect of these exemptions will be small since most existing and new development will be commercial, including multifamily, that is ineligible for these residential exemptions. The aggregate value of single family residential property tax exemptions changes slowly over time. We assume no effect from commercial property tax abatements that could be offered by participating jurisdictions. The following projections of TIRZ revenue are based on the following assumptions: • 3% annual growth in taxable property valuations • Completion of a $24 million apartment complex, LaVista Pointe, in 2022 • New residential development in North Beach equivalent to 22 new apartment units and 12 new condominium or townhome units per year beginning in 2024 Prudence requires a conservative bias in revenue assumptions so that TIRZ spending can be reasonably planned. There is no assumption of added taxable value from retail/commercial or hotel/hospitality/tourism-related new development, despite a reasonable possibility of such investments. According to ZVA (p. 42), the residential “market is constrained in North Beach due to the additional cost of development incurred by flooding issues.” In the five years since the ZVA report, no multifamily residential development has been completed. The TIRZ revenue forecast assumes that a flooding mitigation solution, such as the proposed canal (NBRI Alternative 2), is devised and implemented by the City of Corpus Christi within the next five years. While drainage improvements are unlikely to erase the additional costs of development in North Beach, it should substantially ease that market constraint, making the ZVA residential projections for North Beach realizable in the future. LaVista Pointe, a 150-unit apartment complex, is planned for completion around 2022. ZVA projects North Beach annual residential absorption over a 10-year period of 44-53 apartment units and 26-31 condominium and townhome units. Taking a middle point of those projections, or 48 apartment units and 28 condo/townhome units, times 10 years, and subtracting the 150 completed apartment units, results in a projection of 330 additional apartment units and 280 new condo/townhome units after 2024. This analysis assumes that tax revenue from these units is, conservatively, spread over a 15- year period beginning in 2024, after LaVista Pointe has likely reached stabilized occupancy. Apartments are estimated at $150,000 per unit and condos and townhomes at $350,000 at the beginning of the 15-year period, with 3% inflation for new construction in each succeeding year. The 2024 per unit values discounted back to 2019 values at 3% per year equal about $129,000 per apartment unit and $300,000 per condo/townhome unit. While the TIRZ revenue forecast involves no additional retail or hotel development, TIRZ infrastructure should make high intensity tourism-oriented development appealing to the private sector. In particular, TIRZ infrastructure, a canal or other drainage solution, and right of way opened up by demolition of old the Harbor Bridge ramps, together should enable the transformative potential of high-density mixed-use development and structured parking near existing tourist attractions and associated parking needs (DADP, p. 87). “Opportunities here could include hotels, other tourism-related uses, and surface parking serving the beach and other visitor destinations.” (DADP, p. 85) III. TIRZ Projects, Costs and Timing The proposed TIRZ project list is derived from the planning documents listed above and stakeholder input. Project costs are estimates derived from similar types of projects, and therefore should not be construed as definitive costs for the listed projects. The TIRZ Project Plan should contain cost estimates in categories of spending rather than for specific projects, which over the 20-year life of the zone may change conceptually and in terms of scope and extent. Among recommendations of the DADP are the following: • Restore street connections where old Harbor Bridge is removed, and provide “convenient, attractive access at Beach Ave. connecting to Surfside and Timon Blvd.” (p. 32) • Build a “new multi-use path extending along Beach Ave. to the Beachwalk, and along Timon and Surfside Blvd. to the Texas State Aquarium ferry dock.” (p. 36) • “Complete North Beach birding park and Timon/Surfside path within 5 years.” (p. 36) • “Create a welcoming Beach Ave. gateway at the new point of entry to North Beach off the Harbor Bridge.” (p. 86) • “A new ‘North Beach Blvd.’ should also be created through the redesign of existing Timon and Surfside Blvd. with street upgrades, a new wide multi-purpose path for pedestrians and bicyclists…and planting the center median with a rich palette of native, coastal plant species.” (p. 86) The North Beach TIRZ should include the following project categories: Roads and wayfinding • Beach Ave. roadway/pedestrian improvements and area beautification • Construction of Traffic Circle at the intersection of Beach Ave. with Surfside Blvd. and Timon Blvd. including gateway feature with wayfinding Parks • Dolphin Park improvements • Surfside Park improvements • Kiwanis Park and Community Center improvements Other infrastructure Demolition of blighted structures Structured parking Cumulative revenue is projected as follows: TIRZ spending could begin as early as 2022 on modest improvements, but assuming a pay-as- you-go structure, major infrastructure spending would have to wait at least until nearly $2.9 million had been accumulated in 2024. A parking structure would have to wait until near the end of the TIRZ lifetime, unless a private developer could be induced to build a garage in a public-private partnership earlier than that. With the opportunity of vacated ROW from the demolished Harbor Bridge ramps, such a partnership is feasible, perhaps in conjunction with an on-street meter parking policy as envisioned by the DADP (p. 28). Fiscal Year Tax Year Annual Cumulative FY 20 2019 FY 21 2020 17,439 17,439 FY 22 2021 35,402 52,842 FY 23 2022 743,326 796,168 FY 24 2023 803,035 1,599,203 FY 25 2024 1,395,330 2,994,533 FY 26 2025 1,528,624 4,523,157 FY 27 2026 1,668,136 6,191,293 FY 28 2027 1,814,120 8,005,413 FY 29 2028 1,966,838 9,972,251 FY 30 2029 1,767,865 11,740,116 FY 31 2030 1,906,709 13,646,825 FY 32 2031 2,051,858 15,698,684 FY 33 2032 2,203,565 17,902,249 FY 34 2033 2,362,093 20,264,342 FY 35 2034 2,527,714 22,792,056 FY 36 2035 2,700,712 25,492,768 FY 37 2036 2,881,380 28,374,148 FY 38 2037 3,070,022 31,444,170 FY 39 2038 3,266,955 34,711,124 34,711,124 Year Revenue 3% Fiscal Year Tax Year Values City County Total City Scaled County County 100% City Scaled FY 20 2019 60,689,500 392,214 189,101 581,316 FY 21 2020 62,510,185 403,981 194,774 598,755 11,766 5,673 17,439 FY 22 2021 64,385,491 416,100 200,617 616,718 23,886 11,516 35,402 FY 23 2022* 140,317,055 906,819 437,211 1,344,030 495,216 248,110 743,326 FY 24 2023 144,526,567 934,023 450,327 1,384,351 521,839 261,226 803,035 FY 25 2024* 206,362,364 1,333,646 643,000 1,976,646 597,731 453,899 1,395,330 FY 26 2025 220,278,235 1,423,579 686,361 2,109,939 677,353 497,259 1,528,624 FY 27 2026 234,843,332 1,517,708 731,744 2,249,452 760,862 542,642 1,668,136 FY 28 2027 250,084,084 1,616,203 779,232 2,395,435 848,418 590,131 1,814,120 FY 29 2028 266,027,923 1,719,243 828,911 2,548,154 940,190 639,810 1,966,838 FY 30 2029 282,703,316 1,827,010 880,870 2,707,879 1,076,097 691,768 1,767,865 FY 31 2030 300,139,808 1,939,696 935,200 2,874,895 1,160,611 746,098 1,906,709 FY 32 2031 318,368,056 2,057,498 991,997 3,049,495 1,248,963 802,895 2,051,858 FY 33 2032 337,419,873 2,180,623 1,051,360 3,231,983 1,341,307 862,259 2,203,565 FY 34 2033 357,328,269 2,309,284 1,113,392 3,422,676 1,437,802 924,291 2,362,093 FY 35 2034 378,127,489 2,443,702 1,178,200 3,621,902 1,538,616 989,099 2,527,714 FY 36 2035 399,853,068 2,584,106 1,245,894 3,830,001 1,643,919 1,056,793 2,700,712 FY 37 2036 422,541,867 2,730,736 1,316,590 4,047,326 1,753,891 1,127,489 2,881,380 FY 38 2037 446,232,126 2,883,838 1,390,406 4,274,243 1,868,717 1,201,305 3,070,022 FY 39 2038 470,963,512 3,043,668 1,467,466 4,511,133 1,988,590 1,278,365 3,266,955 34,663,676 16,712,652 51,376,328 19,935,773 12,930,628 34,711,124 TOTALS Year Tax Revenue Tax Increment Total AGREEMENT BETWEEN THE CITY OF CORPUS CHRISTI AND THE CORPUS CHRISTI POLICE OFFICERS’ ASSOCIATION October 1, 2019 to September 30, 2023 | Page 2 TABLE OF CONTENTS Article 1 – Preamble …………………………………………………………………….……...7 Article 2 – Definitions…………………………………………………………………………...7 Article 3 – Association Rights…………………………………………………………………..9 A. Association Recognition and Scope of Unit………………………………………….9 B. Payroll Deduction of Dues……………………………………………………………9 C. Time Off for Association Business …………………………………………………...10 D. Bulletin Boards……………………………………………………………………….12 Article 4 – Association Duties…………………………………………………………………..12 Article 5 – Management Rights ………………………………………………………………..13 Article 6 – Management Duties to the Association……………………………………….........15 Article 7 – Disciplinary Action………………………………………………………………….16 Article 8 – Grievance Procedure……………………………………………………………….23 Article 9 – Hours of Work………………………………………………………………………25 A. Workweek…………………………………………………………………………….25 B. Overtime……………………………………………………………………………...26 C. Court Time and Call Back…………………………………………………………….27 D. Deferred Compensation for Overtime……………………………………………......27 Article 10 – Salary and Benefits………………………………………………………………...28 A. Monthly Salary Schedule…………………………………………………………......28 B. Current Health Insurance and Life Premiums (Effective Only Until December 31, 2019)…………………………………………..31 C. New Health Insurance and Life Premiums (Effective January 1, 2020)……………….38 D. Field Training Officer Pay……………………………………………………………43 | Page 3 E. Educational Incentive Pay……………………………………………………………43 F. Clothing and Equipment……………………………………………………………...44 G. Pensions……………………………………………………………………………...44 H. Deferred Compensation Plan…………………………………………………………45 I. Classification Compensated Under the City’s Classification and Compensation Plan………………………………………………………………45 J. Termination Pay……………………………………………………………………...45 K. Longevity Pay……………………………………………………………………......46 L. Bomb Squad Pay……………………………………………………………………..46 M. Breathalyzer Certification Pay……………………………………………………….46 N. Weekend Pay…………………………………………………………………………46 O. Shift Differential Pay…………………………………………………………………46 P. Shift Changes………………………………………………………………………...46 Q. Dog Handler Pay……………………………………………………………………..46 R. SWAT Team Pay……………………………………………………………………..47 S. Hostage Negotiation Team Pay………………………………………………………47 T. Dive Team……………………………………………………………………………47 U. Badges………………………………………………………………………………..47 V. Patrol Pay…………………………………………………………………………….47 W. Certification Pay……………………………………………………………………...47 Article 11 – Leave……………………………………………………………………………….47 A. Holidays………………………………………………………………………………47 B. Vacations……………………………………………………………………………..48 C. Personal Leave………………………………………………………………………..49 | Page 4 D. Military Leave………………………………………………………………………..49 E. Special Leave…………………………………………………………………………50 F. Line of Duty Injury or Illness………………………………………………………….50 G. Administrative Leave…………………………………………………………………50 H. Leave Buy Back………………………………………………………………………50 I. Sick Leave Pool……………………………………………………………………….51 J. Other Leave Time Policies……………………………………………………………52 K. Bereavement Leave………………………………………………………………......52 L. Funeral Benefit……………………………………………………………………….53 Article 12 – Personnel Practices………………………………………………………………..53 A. Interchangeable Use of Police Officers and Senior Police Officers…………………..53 B. Disability……………………………………………………………………………...53 C. Civil Service Internal Investigations………………………………………………….54 D. Civil Service Commission Records…………………………………………………...54 E. Notice of Shift Change………………………………………………………………..54 F. Wearing of Uniform on Off Duty Security Jobs………………………………………55 G. Entrance Examinations……………………………………………………………….56 H. Alternate Hiring Process……………………………………………………………...56 I. Reinstatement…………………………………………………………………………57 J. Mandatory Random Drug Testing……………………………………………………57 K. Layoffs, Recalls and Reduction in Force……………………………………………..59 L. Temporary Duties in a Higher Classification……………………………………….59 M. Physical Fitness……………………………………………………………………..59 | Page 5 Article 13 – Promotions…………………………………………………………………………60 A. Posting and Administration of Promotional Examinations…………………………...60 B. Promotional Examination Corrections……………………………………………….60 C. Senior Police Officer’s Proficiency Examination……………………………………..60 D. After Acquired Educational Requirement for Lieutenants Promoted to Captain………………………………………………………………….60 E. Appointment of Assistant Chiefs and Deputy Chiefs………………………………...60 F. Probationary Period for Lieutenants and Captains…………………………………....62 G. Filling Vacancies Below Deputy Chief……………………………………………….62 H. Eligibility for Promotion……………………………………………………………...62 I. Promotional Procedures……………………………………………………………….63 J. Eligibility Lists………………………………………………………………………..64 K. Contract Training for Lieutenants…………………………………………………….65 L. Grievance or Suits Claiming a Right to Promotion……………………………………65 M. Chapter 143 Applicability…………………………………………………………....65 N. Nepotism……………………………………………………………………………...65 O. Final Score…………………………………………………………………………….66 P. Time Served as an Acting or Temp Lieutenant or Captain Between 12/1/06 and 12/10/10………………………………………………………………...66 Article 14 – Employee-Management Relations………………………………………………..66 A. Labor Relations Committee………………………………………………………….66 B. Legal Defense………………………………………………………………………...66 Article 15 – Impasse Procedures……………………………………………………………….67 Article 16 – Political Activities………………………………………………………………….69 Article 17 – Existing Conditions………………………………………………………………..69 | Page 6 Article 18 – Closing Clauses……………………………………………………………………69 Appendix "A" - Dues Deduction and Special Assessment Form………………………………71 Appendix “B” - Termination of Dues Deduction……………………………………………….72 Appendix “C” - Grievance Form………………………………………………………………..73 | Page 7 THE STATE OF TEXAS § COUNTY OF NUECES § AGREEMENT ARTICLE 1 - PREAMBLE Pursuant to the mutual agreement of the parties, this agreement has been entered into by the City of Corpus Christi, hereinafter referred to as the “City”; and the Corpus Christi Police Officers' Association, hereafter referred to as the “Association.” The purpose of this agreement is the promotion of harmonious relations between the City and the Association; the establishment of equitable and peaceful procedures for the resolution of differences; and the establishment of compensation and other conditions of employment. ARTICLE 2 – DEFINITIONS “Accredited college or university,” means a college or university whose accreditation is approved by the Texas Higher Education Coordinating Board. “Association” means the Corpus Christi Police Officers' Association. “Calendar days” means any day including weekends and holidays. When the agreement specifies three hundred and sixty-five (365) days, three hundred and sixty-six (366) days will be used during a Leap Year. “C.A.P.F.U.D.T.P.” College of American Pathologist Forensic, Urine, Drug Testing Program. “Chapter 143, Local Government Code,” means the Municipal Civil Service Act, formerly TEX. REV.CIV. STAT. ANN. Art. 1269m (codified 1987). “Chapter 174, Local Government Code,” means the “Fire and Police Employee Relations Act,” formerly Article 5154c-1 of Vernon’s Annotated Civil Statutes. “Chief” means the Chief of Police of the City of Corpus Christi. “City Manager” means the City Manager of the City of Corpus Christi. “City” means the City of Corpus Christi. “Commission” means the Firefighters' and Police Officers' Civil Service Commission of the City of Corpus Christi as set forth in Chapter 143, Local Government Code. “Emergency” is defined as any unexpected happening or event or unforeseen situation or crisis that calls for immediate action and requires alteration of schedules, work hours, shifts and/or personnel assignments. The Chief may declare an emergency pursuant to this definition. | Page 8 “Employee” means any sworn police officer of the City with the exception of the Chief of Police. “Executive Board” mean those members of the Association duly elected or selected as officers and directors of that organization. “Gender” Reference to the male gender throughout this Agreement shall have equal force and include reference to the female gender. “Grievance” means any and all disputes arising under the Grievance Procedure in Article 8. “Member" means any employee who is on the membership list of and pays dues to the Association. “MRO.” Medical Review Officer. “Police Officer Trainee.” An individual employed by the Corpus Christi Police Department who has not yet completed the Corpus Christi Police Academy and been commissioned as a Police Officer. “Probationary Period.” Begins on the date of graduation and commissioning from the Corpus Christi Police Academy, and ends three hundred and sixty-five (365) calendar days from that date. “S.A.M.H.S.A.” Substance Abuse and Mental Health Services Administration. “Seniority.” Begins on the date of graduation and commissioning as a Police Officer from the Corpus Christi Police Academy. “Strike” means, whether done in concert or individually, a failure to report for duty, the willful absence from one's position, the stoppage of work, or the abstinence in whole or in part from the full, faithful, and proper performance of the duties of employment (including but not limited to "slowdowns", "sickouts", and the intentional failure to make arrests), for the purpose of inducing, influencing or coercing a change in the conditions, compensation, rights, privileges, or obligations of employment. “Supervisor” means any officer with the rank of Lieutenant or above, or any officer, when assigned supervisory duties by ranking officers having authority to make such assignments. “TCOLE” means the Texas Commission on Law Enforcement, formerly known “TCLEOSE” (Texas Commission of Law Enforcement Officers Standards and Education). “Termination of employment” means the officer voluntarily resigned, whether eligible for retirement or not, or was indefinitely suspended and did not appeal his or her termination of employment or after exhaustion of all appeals to arbitration and/or court. “Work hour or working hour” means any hour an employee is scheduled to be on duty regardless of whether on a weekend or holiday. | Page 9 “Work days or working day” means business days excluding weekends and holidays. ARTICLE 3 - ASSOCIATION RIGHTS A. Association Recognition and Scope of Unit. The City hereby recognizes the Association as the sole and exclusive collective bargaining agent for the unit consisting of all Police Officers, Senior Police Officers, Lieutenants, Captains, Deputy Chiefs, and Assistant Chiefs. B. Payroll Deduction of Dues. 1. The Association shall supply the City with all necessary papers and information for payroll deduction of Association dues and assessments. The City shall not authorize payroll deductions for membership dues to any other employee organization, which is qualified to be a collective bargaining agent for police officers. 2. The City agrees to deduct dues upon receipt from the Association of a “Dues Deduction” form voluntarily and individually authorized, signed and dated by each member of the Association. Such dues will be established by the Executive Board in accordance with the bylaws of the Association. This authorization shall remain in full force and effect for the term of this agreement or until termination by the employee. Such “Dues Deduction” form is found in Appendix “A” and is incorporated by reference into this agreement. The City shall begin such deductions on the following pay period after receipt of the “Dues Deduction” form. Any dues increase will require the vote of the Executive Board and shall not need additional signatures from the general membership. 3. The City agrees to deduct special assessments from all employees that are members of the Association upon receipt of official notification from the President of the Association indicating that said special assessment has been approved and ratified by a majority vote of the Association members. In return, the Association agrees to defray the administrative costs to the City for such assessments in the amount of $50.00 per month to be invoiced by the City on a monthly basis during the period of special assessment. The City is not responsible for the administration and procedures used by the Association in collecting, distributing or return of any assessment monies. The following language is for clarification only and is not subject to the grievance procedure: The assessment ballot shall state the type of assessment, the amount of the assessment, the designated period of the assessment, and date and manner of the reimbursement, if any. The reimbursement of all unused assessment funds shall be distributed equally within thirty (30) calendar days of termination of the project as defined in the assessment ballot. For example, “the members shall be assessed $10.00 for collective bargaining negotiations and reimbursement of all unused assessment funds shall be distributed equally within thirty (30) calendar days of execution of a new agreement.” 4. At any time a member of the Association desires to withdraw his/her membership, he may voluntarily and individually do so. Such action will be initiated through a “Termination of Dues Deduction” form in Appendix “B” voluntarily and individually signed by the member of the Association and a list of the names of officers who have terminated their participation shall be sent | Page 10 to the Association. The Association, pursuant to its constitution and by-laws, may suspend a member temporarily or permanently. Such action will be initiated through a “Termination of Dues Deduction” form signed by the president of the Association and furnished to the City. Such “Termination of Dues Deduction” form is found in Appendix “B” and is incorporated by reference into this agreement. The City shall terminate deduction of dues on the following pay period after receipt of the “Termination of Dues Deduction” form. 5. The City will be obligated to remit to the Association only those sums deducted as dues and assessments from the Association member's paycheck and will not be liable for damages to the Association, any individual employee, or other persons for failure to deduct any authorized sum for any reason. 6. The City shall continue its practice of providing the Association with the print-out of current dues deductions. 7. The City shall provide to the Association on or about January 31 of each year, a written copy of the CCPD General Rules Manual and all Divisional Manuals. The City will further provide in a timely manner electronic updates to said manuals. The City shall provide a written or electronic copy of the CCPD/Municipal Court Telephone Directory as updated, within a reasonable time period. The Association agrees to use the directory for only internal Association activities and agrees to hold the City harmless. C. Time Off for Association Business. 1. Subject to prior notification to the Chief or the next highest ranking officer, the Executive Board, or its designees, shall have the right to visit the premises of the Police Department for purposes of administering this agreement. For a period of time not to exceed four (4) hours, the Association shall have the exclusive right to make a presentation to cadets at each academy class on the benefits provided by the association, the benefits and rights under the collective bargaining contract, and the rights of police officers under state and federal law. The visits and presentations shall be conducted in a manner and at a time as not to interfere with the functions of the department and approved by the Chief. Such approval shall not be unreasonably withheld. 2. Once a calendar year, each member of the Association shall contribute accumulated sick leave hours to a pool to be known as the “Association Business Leave Pool” in an amount determined by the City and Association to be sufficient to fund the Association President’s annual base salary and the number of days of an Association 1st Vice President’s base salary specified below. This pool shall be used to compensate the Association President and Association 1st Vice President in accordance with this paragraph. During his/her entire term of office, the Association President shall be relieved of duty with pay to perform Association duties. With prior approval the Chief of Police after a written request by the Association President, the Association 1st Vice President shall be relieved of duty for up to one hundred and eighty (180) days. The Association President's base salary shall be offset by the hours in such pool. The Association 1st Vice President’s base salary shall be offset by the hours in such pool, as described above. A five (5) day, eight (8) hour per day work schedule will be used to calculate the 1st Vice President’s time on | Page 11 leave. The City shall continue to pay all benefits and additional pay which they are entitled while the Association President and/or 1st Vice President are on Association business leave. The period during which the Association President and/or Association 1st Vice President is relieved of duty under this provision shall not constitute a break in service. In the event of an emergency, the Chief may order the Association President and/or 1st Vice President, while on Association business leave, to report for duty as assigned by the Chief during the emergency situation. In the event of the incapacity of the Association President for a period in excess of two (2) weeks for illness or injury, at the option of the President, the President may elect to discontinue use of the pool and utilize sick leave. This shall be effective upon two (2) weeks written notification in advance that the Association 1st Vice President shall be assuming the duties of the President. The Association 1st Vice President upon assuming the duties of the President shall be eligible to use the pool hours during the absence of the President. In no event shall more than two (2) Association officers be eligible to draw pool hours from the pool at the same time due to the incapacity of the Association President. In the event of the death of the Association President or incapacity during which the Association President is unable to communicate, the Association 1st Vice President shall provide written notice of the intent to utilize the pool hours under this provision. The Association President or 1st Vice President while relieved of duty to perform Association duties shall not be placed on limited duty. 3. With five (5) calendar days written notice to the Chief of Police, time off with pay will be allowed for officers who participate on the Association's negotiating team on days that the team is preparing for negotiations and while contract negotiations are in session. If the team member is on their regular day off, the employee is entitled to another day off with pay. The total number of persons participating on each of the negotiating teams shall be equal, but no less than three (3). Preparation time shall be limited to that reasonably necessary not to exceed one (1) workday for each scheduled day of bargaining. 4. Members of the Executive Board may receive time off, without loss of pay, to attend regularly scheduled Association meetings, and Executive Board meetings. The Chief may, at his/her discretion, grant said time off, subject to scheduling and manpower contingencies that may arise. 5. Effective upon adoption of this Agreement a pool of five hundred (500) hours shall be available during each year of this contract for time off with pay for Association delegates to attend national and state labor board meetings, conferences and conventions, law enforcement and labor- related training programs and seminars, TMRS training programs or TMRS meetings, provided that said time off with pay shall not exceed a total of five hundred (500) hours each contract year regardless of the number of delegates elected to attend such functions. In no event shall pool hours be used for political fundraising or campaigning. Additional expenses for travel, lodging, etc. are not included. The Association President shall approve in writing the use of pool time, and provide an accounting to a designee of the Chief of Police. | Page 12 6. Except for a person who holds the position of President of the Association and has elected to be relieved of duty to perform Association duties, no Captain shall be serve as representative for an employee on a grievance, serve on the Association Grievance Committee, or serve on the Association negotiating team. D. Bulletin Boards. The Association may provide and maintain a bulletin board on any premise of the Police Department at its own expense. The City will not authorize the posting of bulletin boards on any premise of the Police Department by any other employee organization, which is qualified to be a collective bargaining agent for police officers. The bulletin board shall be consistent in design and standards to other bulletin boards in the Police Station for posting of routine announcements of meetings, Association business, recreational functions, legislative enactments and judicial decisions. The use of the bulletin board for the postings of partisan political material, editorial comments and viewpoints of employees in any manner, which would be in opposition to existing police working conditions, shall not be allowed. Any material on the bulletin board which the City alleges to be in violation of this agreement shall be promptly removed by the Association. The matter will then be immediately referred to Step “4” of the grievance procedure for resolution. The Association shall be allowed to disseminate bulletin board information under the same rules and regulations adopted for bulletin boards and in accordance with the procedures spelled out below. The Association President or his/her designee shall submit the proposed email in writing to the Chief for distribution to members of the bargaining unit only. The Chief shall approve or disapprove of the proposed email within five (5) calendar days of receipt from the Association. The Chief shall notify the Association of his/her decision in writing. In the event the Chief denies the request, the Association shall have five (5) calendar days from receipt of the Chief’s decision to appeal that decision to the City Manager. The City Manager shall either affirm or overrule the decision of the Chief within five (5) calendar days of receipt of an appeal from the Association. The determination of the City Manager shall be final and binding on the parties and shall not be subject to appeal to a grievance, arbitration or any other body. It is the intention of this provision to allow the Association to provide information to officers only. Nothing herein shall be construed to permit or sanction two-way communication between officers and the Association using this method. Unauthorized use of the email system in response to Association emails sent under this provision shall be subject to departmental policy. ARTICLE 4 - ASSOCIATION DUTIES A. Prohibited Practices. Neither the Association nor any employee shall engage in any of the following practices: 1. Restrain or coerce any employee in the exercise of any rights granted under this agreement; 2. Cause or attempt to cause an employee to discriminate against another employee because of the employee's membership or non-membership in any employee organization, or attempt to cause the City to violate any rights of the employee; 3. Discriminate against any employee because he has signed or filed an affidavit, petition or complaint, or given any information or testimony alleging violation of this agreement; | Page 13 4. Discriminate against any employee covered by this agreement because of race, sex, creed, color, age, national origin, affiliation, association or non-association; or discriminate in the application or interpretation of the provisions of this agreement; 5. Discriminate against any employee who has filed a grievance pursuant to Article 8 of this agreement; 6. Initiate, authorize, aid, or participate in any strike, picketing, or distribution relating to the employee's employment or the employment of any other person by the City or any other employee; or refuse to cross any picket line by whomever established where such refusal would interfere with or impede the performance of the employee's duties as an employee of the City. B. The parties hereto agreed that all negotiations will be conducted exclusively between the designated bargaining representatives of the City and the Association. Neither party will make any effort to bypass the spokesman of the other party during the period of negotiations for amendments to this agreement unless an impasse exists as defined under the “Fire and Police Employee Relations Act,” Chapter 174, Local Government Code. C. Any changes in wages, hours, terms and conditions of employment and other benefits granted by the Texas State Legislature requiring the City to compensate, remunerate or otherwise assist employees after the effective date of this agreement shall not alter the terms of this agreement during the life of said agreement. This provision shall not unfavorably affect employees as to any changes in wages, hours, terms and conditions of employment and other benefits granted by the Texas State Legislature requiring the State of Texas to compensate, remunerate or otherwise assist employees after the effective date of this agreement. Any changes in wages, hours, terms and conditions of employment and other benefits granted by the Texas State Legislature requiring the State of Texas to compensate, remunerate or otherwise assist employees shall not be incorporated into this agreement; nor shall the City be required at any time to pay any share of said wages, hours, terms and conditions of employment of other benefits. Any reduction or elimination of wages, hours, terms and conditions of employment, and other benefits by the Texas State Legislature that previously required the City to compensate, remunerate or otherwise assist employees after the effective date of this agreement shall not alter the terms of this agreement during the life of said agreement. ARTICLE 5 - MANAGEMENT RIGHTS A. The Association recognizes that the City has statutory and Charter rights and obligations in contracting for matters relating to municipal operations. The right of contracting or subcontracting is vested in the City. B. The City shall have the authority to consolidate the operations of two (2) or more departments, and to reorganize the operations within the department, or departments, and the right to lay off employees of the department. | Page 14 C. The City shall have exclusive authority to transfer any governmental operations now conducted by it to another unit of government. Upon such transfer, all agreements are terminated, including this agreement as pertaining to personnel of the department affected by the transfer. Should a consolidation or merged city county government be created during the term of this Agreement, the City shall allow the Association to have input into the creation process and reorganization of the new department. D. The City and the Chief shall retain all rights and authority to which, by law, they are entitled. E. It is understood by the parties that every duty connected with operations enumerated in job descriptions is not always specifically described, and it is intended that all such duties shall be performed by the employee. F. The City shall reserve the right to use security personnel which include, but are not limited to, such job classifications incorporated within the Compensation and Classification Plan as Safety Security Officer, Jailer, Lifeguard, School Crossing Guard, and Maintenance Security which require training in law enforcement, safety and security duties, fire fighting skills, emergency medical treatment, water safety, and other similar related skills. Such job classification, as well as similar job classifications adopted in the future which would include public safety personnel for Padre Island, are not subject to the terms of this agreement. G. Notwithstanding any provision in this agreement to the contrary, and without altering any other provision of this Agreement, the City is authorized to civilianize the following positions or units: 1. Departmental Accreditation Manager 2. Fleet Management 3. Narcotics/Vice Investigation Booking Desk 4. Crossing Guard Coordinator 5. Police Athletic League (PAL) Coordinator 6. Crime Stoppers 7. Public Information Office 8. Enhanced Digital Access Communications Systems (EDACS) The City reserves the right to use civilians in the Police Department to perform duties that do not require a commissioned officer. Duties that require a commissioned officer are defined to be those duties required by State law to be performed by peace officers. It is specifically agreed that | Page 15 the City may use civilians to perform duties in the Police Department that are presently being performed by civilians irrespective of any requirements of state law concerning the requirement for a police officer. It is also agreed that civilians in the Police Department may not be used as direct supervisors of any commissioned officer. Interpretation of this provision is subject to declaratory judgment action. It is expressly understood and agreed that all provisions of this section shall preempt any statute, local ordinance, City policy, or rule, which is in conflict with or is inconsistent with this Agreement and the procedures developed hereunder, including for example and not by way of limitation, any contrary provisions of Chapters 141, 142, and 143 of the Texas Local Government Code. H. The City reserves the right to use personnel from the Police Department and the Fire Department interchangeably during natural disasters and civil disorders. I. The Chief shall have the exclusive right to: 1. Establish departmental rules and procedures; 2. Discipline or discharge for cause; 3. Determine work and overtime schedules in a manner most advantageous to the City; 4. Establish methods and processes by which work is performed; and 5. Transfer employees within the department in a manner most advantageous to the City. J. Except as provided in this agreement, the City retains the right to operate and manage its affairs in all respects. ARTICLE 6 -MANAGEMENT DUTIES TO THE ASSOCIATION A. The City shall provide the following materials to every employee and the Association in writing or electronically: 1. A current copy of rules and regulations of the department and any amendments, and 2. A true and correct copy of this agreement. 3. A true and correct copy of the Rules and Regulations of the Civil Service Commission for Firefighters and Police Officers for the City of Corpus Christi, Texas, as amended. B. The City shall not engage in the following practices: 1. Interfere with, restrain, or coerce employees in the exercise of rights granted in this agreement; | Page 16 2. Dominate, interfere, or assist in the formation, existence or administration of any employee organization which is qualified to be a collective bargaining agent for police officers; or contribute financial support to any such organization. 3. Encourage or discourage membership in any employee organization by discrimination in hiring, tenure, training, or other terms or conditions of employment; 4. Discharge or discriminate against any employee because he has filed any affidavit, grievance, or complaint; or given any information or testimony alleging violations of this agreement; or because he has formed, joined, or chosen to be represented by any organization; 5. Discriminate against any employee or employee group because of religion, sex, creed, color, age, national origin, association or non-association or affiliation in an organized employee group or discriminate in the application or interpretation of the provisions of this agreement. C. Hurricane Call Out. The City agrees to provide posted locations prior to a call out for a hurricane where employees may park their privately owned vehicles, and notify the officers of the employee shelter. The City does not guarantee that vehicles will not be damaged at such locations or the safety of any person who remains at the employee shelter during the hurricane. D. The City shall notify the Association in writing of all posted meetings and hearings of the Civil Service Commission for Firefighters and Police Officers for the City of Corpus Christi, Texas. ARTICLE 7 - DISCIPLINARY ACTION A. The Chief shall have authority to demote, temporarily suspend not to exceed two hundred and forty (240) work hours, or terminate any employee for the causes set forth in the Rules and Regulations of the Civil Service Commission for Firefighters and Police Officers of the City. In the alternative, the Chief shall have authority to impose “alternate disciplinary actions” in the nature of required attendance at and participation in remedial, educational or rehabilitative programs. Such programs may be provided by the City or by the City through a third party. The employee may appeal such actions as provided herein. Nothing herein shall be construed to allow appeals of reprimands or other disciplinary actions or alleged disciplinary actions, which were not previously appealable. It shall be within the sole discretion of the Chief to decide whether to utilize the "alternate disciplinary actions" provided for herein, subject to the appeal provided herein. When the Chief chooses to demote, temporarily suspend, or terminate any employee, the arbitrator shall have no authority to consider or substitute an “alternate disciplinary action.” B. Disciplinary Statutes of Limitations. The parties will defer to Article 143, Texas Local Government Code, Section 143.052(h) and Section 143.056 for the statute of limitation on disciplinary actions. C. Investigation Guidelines. “Internal Affairs Investigation” means cases where an allegation of misconduct has been made, a complaint has been generated, assigned for follow up | Page 17 investigation; it does not include incidents or situations arising in the field which require initial fact finding to prepare a complaint. In the event that a police officer is interviewed by a division Deputy Chief, captain, or internal investigator regarding an internal affairs investigation, which, if proven, may result in a suspension or indefinite suspension, the following guidelines shall prevail. This provision shall not apply to officer witnesses who shall be advised of their role in the investigation. 1. The interview of any employee shall be at a reasonable hour, preferably during on-duty hours, if possible, but not necessarily, depending upon circumstances. In the event of a dispute of the reasonable hour determination, the decision of the Chief shall be final. 2. The interview shall take place at a location designated by the investigating officer. 3. The employees shall be informed of the rank, name and command of the officer in charge of the investigation, as well as the rank, name and command of the interviewing officer and the identity of all persons present during the interview. 4. When the officer receives the written notice to appear at Internal Affairs for an interview, the officer shall also receive a copy of the complaint against such officer. The complaint shall include the name of the complainant, the date of the alleged incident and the allegations of the officer’s misconduct. Except in exigent circumstances, the employee shall be informed forty- eight (48) hours prior to being interviewed or asked to otherwise respond to an internal affairs investigation. If it is known that the employee being interviewed is a witness only, he shall be so informed. “Exigent circumstances include necessary cooperation during incident scene procedures, including securing the scene, controlling the public, preliminary responses to press inquiries, obtaining witness information, obtaining and processing all physical evidence from the scene or from the officer.” 5. The interview shall be completed with reasonable dispatch. Reasonable respites shall be allowed. Time shall be provided also for personal necessities, meals, telephone calls, and rest periods as are reasonably necessary. Prior to the interview, the Officer shall be allowed to view any and all digital recordings of an incident involving the Officer, including videos and/or audios. 6. The employee shall not be subjected to any offensive language, nor shall he be threatened with transfer, dismissal or other disciplinary punishment. No promise of reward shall be made as an inducement to answering questions. Nothing herein is to be construed as to prohibit the investigating officer from informing the employee that his/her conduct can become the subject of disciplinary action resulting in disciplinary punishment. 7. If an employee is under arrest or is likely to be, that is, if he is a suspect or the target of a criminal investigation, he shall be accorded all rights pursuant to law to which any citizen would be entitled. 8. At the request of the employee or the interviewing officer, the complete interview of the employee shall be recorded (video/audio) or by a stenographer. There will be no "off the record" questions unless so agreed by both parties. All recesses called during the questioning shall | Page 18 be noted in the record. The party requesting (video/audio) recording or recording by a stenographer shall pay all costs of same, unless the parties agree on a cost division between them. 9. Upon request of the employee or the employee’s attorney, said employee or attorney shall be given an exact copy of any written statement the employee executed, or if the questioning is (video/audio) or stenographically recorded, the employee or the attorney shall be permitted to record or transcribe from the original recording of the officer’s own statement or interview, upon his/her request, or to purchase a copy of the original recording. The City shall provide within a reasonable time prior to the rebuttal conference or hearing (“Loudermill”), the employee or the employee’s attorney a reasonable time to review but not copy verbatim or photocopy any complaints, affidavits, other written statements, GPS/AVL readouts, video recordings, audio recordings, and photographs, which have been gathered as part of the administrative investigation. The officer shall not release the provided information to any person other than his/her attorney or Association representative. 10. The refusal of an employee to answer questions and submit reports shall be grounds for disciplinary action. Any answer of the employee may be used as evidence in any disciplinary action against the employee. 11. The investigator for Internal Affairs in charge of the particular case is required to inform the officer prior to being questioned, interrogated and/or investigated that he/she may have one representative, an attorney, Association representative or a personal representative, present during the employee’s interview, unless the officer in writing voluntarily waives this right. If an officer is ordered to write a statement, the officer shall be allowed to write the Garrity Warning on the statement. No supervisor may represent or advise his or her immediate subordinate during any interviews conducted in an internal investigation. The Association President may represent or advise an employee during an internal investigation. 12. The Chief of Police recognizes the right of Association members to seek advice or representation by designated Association representatives, and to confer with such designated Association representatives and legal counsel. Such communications to an Association representative are privileged and shall not be the subject of compelled disclosure unless exceptions to the attorney client privilege would apply, had the communication taken place with counsel. Association representatives may not be compelled to reveal the substance of communications, which clearly concern Association business; however, this provision does not insulate any behavior or conduct, including threats by language or disorderly conduct from being fully investigated. D. Prior to any such disciplinary action, the employee and the Association shall be given written notice of contemplated disciplinary action, stating the action or actions contemplated and the reasons therefore, and notifying the employee that he may rebut the charges to the Chief, either orally or in writing, within fourteen (14) calendar days, which time shall be stated in the notice. Nothing herein requires the City to meet service or procedural requirements in providing notice to the Association. | Page 19 E. After the notice and opportunity for rebuttal provided in the preceding paragraph the Chief may demote, suspend, terminate, or take alternative disciplinary action against an employee by personal service on the employee of a written statement of charges. If the Chief should be unable to secure personal service after due diligence, service may be made by placing it in the mail addressed to the employee's last known address along with delivery of the statement to the Association, and proof of such service shall be sufficient to support any disciplinary action. A copy of such statement, along with a copy of the notice of contemplated disciplinary action, shall be promptly filed with the Director of Human Resources of the City. The written statement shall point out the particular rule or rules alleged to have been violated by the employee and the specific act or acts alleged to be in violation. Said statement shall inform the employee that he has fourteen (14) calendar days after receipt thereof to file a written appeal with the Director of Human Resources. If alternate service is obtained as provided herein, the employee shall have fourteen (14) calendar days from service upon the Association. To appeal from any disciplinary action imposed, the employee need only file a letter expressing his/her request to appeal to arbitration within such fourteen (14) calendar day period. Appeal from suspension, termination or demotion shall be decided by one arbitrator, selected according to this contract. F. Upon receiving an appeal from an employee or his/her designee, the Director of Human Resources shall act immediately to notify the Association and Chief of the appeal to arbitration. When an employee will not be represented by the Association, advance payment of $1,000 for the arbitrator must be included with the notice for appeal to arbitration in order for the appeal to be valid. Such advance payment may be waived upon the City's acceptance of a written contract with the employee for payment of any charges, which might be incurred by the officer as a result of an appeal to arbitration. The Director shall immediately request a list of seven (7) qualified neutrals who are members of the National Academy of Arbitrators from the American Arbitration Association or other qualified agencies, which may be mutually agreed upon for this purpose. Within seven (7) calendar days after receipt of the list, the Director of Human Resources shall contact the employee or his/her designee in order for the employee or his/her designee and the City to alternately strike the names on the list, and the remaining name shall be the arbitrator. If the parties cannot agree as to who shall strike first, the parties shall decide by a coin toss. G. The hearing shall be commenced within such reasonable time as the arbitrator selected can be scheduled. If the arbitrator selected cannot commence the hearing within fifty (50) calendar days from his/her selection, either party may, within five (5) calendar days of so learning, call for selection of a new arbitrator, and if the parties cannot agree upon a substitute within five (5) calendar days of so learning, another arbitrator shall be selected from a new list of seven (7) names immediately requested from the American Arbitration Association, according to the procedure set out herein. The hearing shall be scheduled so that it can be completed without break, in consecutive calendar days (excluding weekends and holidays). The arbitrator shall make an award within thirty (30) calendar days of the close of evidence in standard arbitration hearings, and within seven (7) calendar days of the close of evidence in expedited arbitration hearings. Post hearing briefs shall | Page 20 only be permitted in standard arbitration hearings, and must be mailed to the arbitrator within seven (7) calendar days of the close of evidence in the hearing. A stenographic transcription of the proceedings shall be made only upon written agreement of the parties prior to the commencement of the hearing. Should there be no agreement, the party desiring the transcript may have the transcript made at its sole expense. The award of the arbitrator shall state which particular factual charges he finds to be true, if any, and the particular rules he finds such conduct to have violated, if any. Where the charges are upheld, the award shall state whether the discipline imposed is upheld, or whether some lesser discipline is substituted. H. The following rules shall govern the conduct of hearings under this section, and of certain preliminary matters: 1. Upon the request of either party addressed to the opposing party at least seven (7) calendar days prior to the date of hearing, the parties shall exchange the names of witnesses expected to be called at the hearing. Upon failure of a party to disclose such witnesses, the arbitrator may exclude their testimony. Each party shall pay the subpoena fee of their own non- city witnesses. 2. The arbitrator shall have the power to subpoena witnesses, records and other evidence, upon not less than seven (7) calendar days’ notice. Pursuant to such notice, the Director of Human Resources shall issue subpoenas requested by the parties in the name of the arbitrator. A party may apply to the arbitrator to quash a subpoena issued by the Director of Human Resources. Any subpoena for records or documents shall not exceed the scope of discovery allowed by the arbitrator, and shall be served on the Department Director in constructive custody of such records or documents. Nothing herein shall prohibit the City from seeking common law relief in the state district court if the arbitrator exceeds his/her jurisdiction in regards to discovery. 3. In all hearings under this section, the City shall prove its case by a preponderance of the evidence. 4. The parties, in writing, may request discovery from each other concerning the case. Should the other party not agree to provide the requested information within seven (7) calendar days of the request; the request shall be deemed denied. The requesting party may then apply to the arbitrator, who shall order such discovery as appropriate to the nature of the case, subject to rules of discovery in Texas civil cases. In considering the application, the arbitrator shall consider the burden and expense of producing the information, the need of the requesting party, the amount of time available prior to the hearing, and such other matters as he may deem material. In no event shall discovery be permitted to delay the hearing, and in no event shall discovery be requested within the seven (7) calendar days prior to the hearing. 5. All hearings shall be public unless requested by the appealing employee that the hearing shall be closed to the public. In any event, the final decision of the arbitrator shall be public, although public announcement may be reasonably delayed upon request of the parties. | Page 21 6. Unless otherwise provided in this contract, the conduct of the hearing shall be governed by the rules of the American Arbitration Association. 7. No supervisor may represent any subordinate in disciplinary hearings held under this Article. The Association President, regardless of rank, or a designee who is not a supervisor is exempt from the provisions of this paragraph. I. The arbitrator shall have all powers vested in the Commission under Chapter 143 and the Commission Rules, with respect to suspensions, terminations, and demotions, except the power to amend such rules. J. Any notice or statement required to be filed by the Chief of Police or the employee in a disciplinary proceeding under Chapter 143, under Commission Rules, or under this contract, shall be filed with the Director of Human Resources of the City. K. The decision of the arbitrator is final and binding on all parties. A district court may hear an appeal of an arbitrator's award only on the grounds that the arbitrator was without jurisdiction or exceeded his/her jurisdiction or that the order was procured by fraud, collusion, or other unlawful means. L. Unless otherwise provided in this contract, in cases of conflict, the provisions of this contract will control over Chapter 143, Civil Service Commission Rules, and American Arbitration Association Rules; and Chapter 143 and Civil Service Rules promulgated pursuant to it shall control over American Arbitration Association Rules or rules of other qualified agencies as mutually agreed upon for this purpose. M. A probationary employee may be discharged at the discretion of the Chief, without appeal to arbitration, to the Commission, or to any court, at any time during the three hundred and sixty- five (365) calendar-day period subsequent to being commissioned as a police officer. N. Notwithstanding any other provision of this Agreement, the Chief shall have authority to impose any disciplinary action upon an employee, which is agreed to in writing by the Chief and the employee. The employee shall have no right to appeal such agreed disciplinary action, and no administrative or judicial body shall have power to review such disciplinary action or alter the terms of the agreement. O. Any deadline or time restrictions set out in this contract with respect to disciplinary proceedings may be modified by written agreement of the parties. However, neither party may be compelled to waive its right to insist upon the deadline and time restrictions provided by the contract. P. In addition to disciplinary powers vested in the Police Chief, the following supervisors shall have the right to suspend for cause, said suspensions not to exceed the following limits: | Page 22  Assistant Chiefs may suspend from thirty-one (31) work hours to a maximum of two hundred and forty (240) work hours without pay for any officer;  Deputy Chiefs may suspend not to exceed twenty-four (24) work hours without pay for an officer assigned to work an eight (8) hour shift and thirty (30) work hours without pay for an officer assigned to work a ten (10) hour shift; and  Police Captains may suspend not to exceed sixteen (16) work hours without pay for an officer assigned to work an eight (8) hour shift and twenty (20) work hours without pay for an officer assigned to work a ten (10) hour shift; Such suspensions may be appealed within seven (7) calendar days to the Chief, and further appeal shall be to arbitration, according to the procedures for disciplinary actions by the Chief, except that no pre-suspension notice by the Chief shall be necessary, and the Chief may adopt the supervisor's letter as his/her own. If an Officer appeals his/her suspension to the Chief, then the issued suspension will not begin and the fourteen (14) calendar day deadline for requesting arbitration will not start running until the Chief makes his/her final written decision and notifies the officer in writing. Q. In cases of appeal from suspensions, indefinite suspensions, demotions, and promotional passovers the City and the aggrieved employee are encouraged to voluntarily attend a mediation to resolve issues raised by an appeal. The City and the aggrieved employee shall share equally the fees and expenses of the mediation and/or arbitration. Where the Association represents the employee, it shall share equally the arbitration fees and expenses with the City. All other costs of mediation and/or arbitration shall be borne by the party incurring those costs. If the City and the aggrieved employee agree to attend mediation prior to initiating the arbitration process, the mediation must occur within thirty (30) calendar days from the date the City and aggrieved employee agree to mediate, unless otherwise agreed upon in writing. Should the issues not be fully resolved by mediation, the fourteen (14) calendar day deadline for requesting arbitration will not start running until after mediation is conducted. If the City and the aggrieved employee agree to attend mediation after the arbitration process is initiated, the mediation shall occur within thirty (30) calendar days from the date the City and the aggrieved employee agree to mediate, unless otherwise agreed upon in writing. Any applicable deadlines for either side are abated until after mediation is conducted. R. All hearings which are expected to be completed in one (1) day shall be submitted for expedited arbitration. On all other hearings, the parties may agree to request expedited arbitration. S. To the extent that any provision of this Article conflicts with or changes Chapter 143 or any other civil service statute, the statute is so amended, as authorized by Chapter 174. T. Any officer temporarily suspended at the discretion of the Chief may be allowed to forfeit vacation leave, holidays, or compensatory time in lieu of suspension (which means that the officer forfeits leave but does not have days off, and continues to work his/her regular schedule); however, any officer temporarily suspended for a period of thirty (30) hours or less shall be allowed to forfeit vacation leave, holidays, personal leave or compensatory time in lieu of suspension (in like manner | Page 23 as above) if the officer agrees not to appeal the suspension. After twenty-four (24) months, the City agrees not to use such un-appealed disciplinary action in any future disciplinary case. U. Written reprimands may be issued by any supervisor to an officer without requiring prior notification. Copies of all written reprimands shall be given to the affected officer. The officer may reply in a letter of rebuttal within thirty (30) calendar days from receipt of the letter of reprimand, and such letter of rebuttal shall become a part of the officer's permanent civil service file. No written reprimand shall be placed in the file without the officer's knowledge. Letters of counseling shall become a part of an officer’s departmental file. V. If the officer appeals a suspension of thirty (30) hours or less, the losing party shall pay all fees and expenses of the arbitrator. The arbitrator shall designate the losing party for purposes of this paragraph, and may find that both parties lost in part and apportion fees and expenses accordingly. W. To the extent that any provision conflicts with or changes Chapter 143 or any other statute, executive order, local ordinance or rule, this Agreement shall supersede such provisions, as authorized by Chapter 174 of the Local Government Code. ARTICLE 8 - GRIEVANCE PROCEDURE A. Scope of Grievance Procedure. The purpose of this grievance procedure is to establish effective machinery for the fair, expeditious and orderly adjustment of grievances. Only matters involving the interpretation, application, or enforcement of the terms of this agreement, shall constitute a grievance under the provisions of this grievance procedure, with the exception of Whistleblower claims. Any claim of adverse action based on Whistleblower status under Article 554, Government Code, or federal law shall follow the process set forth in Section E. B. Association Representation. A grievance may be brought under this procedure by one (1) or more aggrieved employees to the Association or by the Association itself in cases where the subject of the grievance is an on-going practice by the City which affects the bargaining unit as a whole (“Class Action”). C. Time Limitations. The aggrieved employee or employees shall bring the grievance in writing to the Association within thirty (30) calendar days of its occurrence; or if at the time the aggrieved employee is unaware of the grievance, within thirty (30) calendar days of aggrieved employee’s knowledge of its occurrence. The Association in a Class Action shall bring the grievance to the Chief of Police within thirty (30) calendar days of its occurrence; or if at the time the Association did not know or should have known of the grievance, within thirty (30) calendar days of the Association’s knowledge of its occurrence. The time limits prescribed herein may be waived by mutual agreement, in writing, by the Association and the appropriate management representative at each step. | Page 24 D. Steps: Step 1. Association Review. The aggrieved employee shall submit his/her grievance in writing to the Association within thirty (30) calendar days as required in Section C. Any grievance not submitted to the Association within the prescribed time limit shall not be considered timely and shall be void. Within thirty (30) calendar days of receipt of the grievance, the Association shall determine whether the grievance is valid and notify the Chief of Police in writing pursuant to Step 2. The Association shall judge each grievance in a fair and equitable manner and shall not discriminate against employees who are not Association members. In its sole discretion, the Association shall determine whether the grievance is valid or not. The Association may modify, revise, or amend the grievance if necessary to properly place the dispute in issue for resolution. Only the Association has standing to initiate or pursue a grievance under the terms of this Agreement, after consideration of an alleged grievance by a bargaining unit member or the Association. Step 2. Chief of Police Review. If the grievance is approved by the Association, the Association shall pursue the grievance to Step 2 with the Chief of Police on the Grievance Form (Appendix “C”). The written grievance at this step and at all steps thereafter shall contain the following information: (1) a statement of the grievance setting out the specific provision of this agreement to be interpreted, applied or enforced and the facts upon which it is based; (2) how the facts result in a violation of the agreement; (3) the remedy or adjustment sought including a clear statement of the proper interpretation, application or enforcement of this agreement; and (4) the signature of the aggrieved employee. The Chief of Police shall respond in writing to this grievance within sixty (60) calendar days of its receipt. The written response at this step, and management responses at all steps thereafter, shall contain the following information: (1) an affirmation or denial of the facts upon which the grievance is based; (2) an analysis of the alleged violation of the agreement; (3) the remedy or adjustment, if any, to be made; (4) the signature of the appropriate management representative. The Chief of Police or designee shall hand-deliver a copy of the response to the Association. If the Chief of Police does not respond within sixty (60) calendar days, the grievance shall be deemed denied and the Association may proceed to the next step. The aggrieved employee may not be represented by a member of the department who is in the aggrieved employee’s chain of command. The Association with or without the consent of the aggrieved employee may withdraw the grievance at this step. Step 3. City Manager Review. The Association may submit a written grievance from Step 2 to the City Manager within thirty (30) calendar days of receiving the Chief of Police’s written response. The City Manager shall respond in writing to this grievance within thirty (30) calendar days of its receipt. If the City Manager does not respond within thirty (30) calendar days, the grievance shall be deemed denied and the Association may proceed to the next step. Failure of the Association and the City Manager to resolve the grievance in writing or to submit to arbitration at the conclusion of Step 3 shall be the conclusion of the grievance. | Page 25 Step 4. Arbitration. The Association may request, within thirty (30) calendar days of the denial at Step 3, that the grievance be submitted to arbitration. If arbitration is requested by the Association, the parties may mutually agree to use the Federal Mediation and Conciliation Service (FMCS), or any other person mutually agreeable to the parties. If the parties cannot mutually agree, a list of seven (7) qualified neutrals who are members of the National Academy of Arbitrators shall be requested from the American Arbitration Association (AAA). The Director of Human Resources, or designee, shall make contact with the service selected to request a list of qualified neutrals. Within seven (7) calendar days after receipt of the list, the Director of Human Resources or designee shall contact the President of the Association or his/her designee in order for the Association and the City to alternately strike the names on the list, and the remaining name shall be the arbitrator. The City and the Association shall alternate as to which party strikes first on each list. The hearing on the grievance shall be informal and the rules of evidence shall not apply. The arbitrator shall not have the power to add to, subtract from or modify, the provisions of this agreement in arriving at a decision on the issue or issues presented; and shall confine his/her decision solely to the precise issue submitted for arbitration, and shall have no authority to determine any other issues not directly presented in the grievance. The decision of the arbitrator shall be final and binding upon the aggrieved employee, the Association and the City. The losing party shall pay all the fees and expenses of the arbitrator. The arbitrator shall designate the losing party for purposes of this paragraph, and may find that both parties lost in part and apportion fees and expenses accordingly. Each party shall pay the subpoena fee of their own non-city employee witnesses. E. Whistleblower Claims. The submission shall state specifically each law, which is or was believed to have been violated and the factual basis for the claimant’s belief that such a violation occurred. It shall further state each “appropriate law enforcement authority” to whom or which the violation has been reported. The grievance shall be filed at Step 2 (Chief of Police) and proceed through the steps in this process, provided however, that if the Chief is implicated in any of the reports the Chief shall not be included in the steps, other than Step 4, of the grievance process. In that instance, the City Manager shall designate the alternate step. ARTICLE 9 - HOURS OF WORK A. Workweek. The workweek shall consist of forty (40) hours per seven (7) day work cycle. “Regular rate” and “regular rate of pay” as used in this agreement means base pay and longevity only, in accordance with historical payroll practice, and does not have any statutorily derived meaning. A meal break may be taken during the shift scheduled in compliance with the rules and regulations of the department. Notwithstanding any other provision in this agreement, the City shall be entitled to implement and qualify for meal time credit under the provisions of Section 142.0015(i), Local Government Code, and 29 C.F.R. 553.223 and 785.19. Any work required in holdover from a shift shall not be compensable unless it exceeds fifteen (15) minutes. Where fifteen (15) minutes is exceeded, all time worked in holdover from shift shall be paid at the | Page 26 overtime rate, calculated in fifteen (15) minute intervals. Any time in excess of any fifteen (15) minute interval shall be compensated to the next quarter hour. B. Overtime. Overtime shall be defined as authorized work performed in excess of the regular workweek. Where overtime occurs as a result of shift assignment change all employees excluding those serving at the rank of Deputy Chief or above may elect to be paid straight time for the time worked or an equal amount of compensatory time. Where the employee elects to be paid, calculation for pay shall be made during the pay period in which the overtime was accrued. Productive time for the purposes of calculating overtime in a workweek includes vacation leave, holidays, sick leave, and compensatory time, and any other authorized leave. Both parties believe that the pay and benefits under this agreement exceed the statutory minimums set by federal and state law for straight and overtime pay. In any enforcement action under federal or state law, the City shall be entitled to credit for all payments made under this contract which exceed the statutory pay obligations, including but not limited to the foregoing “productive time” provision, irrespective of the pay period or pay cycle when such occurred. The City shall also be entitled to the full extent of the partial exemption under 29 U.S.C. 207 (k) in any such enforcement action. Should any court rule or hold that the City is not entitled to the full credit provided herein, the City may reopen negotiations during the term of this contract to address any issue necessary as a result of such ruling, and the duty of each party to bargain under Chapter 174 shall apply. Except as provided below, all employees, excluding those serving at the rank of Deputy Chief or Assistant Police Chief, may elect to be compensated for overtime either in cash at the rate of one and one- half (1-1/2) times the employee's regular rate of pay, or in compensatory time equal to one and one-half (1-1/2) times the actual hours of overtime worked for all other overtime worked. Overtime worked for which the City will be reimbursed for overtime by Federal or State Grants that restrict compensation for such overtime to cash only will be compensated in cash only. In addition to the above, the City and Officers will recognize and comply with all limits placed on overtime by the Federal and/or State Grants. Officers shall be notified prior to accepting such an assignment that the payment for overtime shall be in cash only and not compensatory time. Scheduling of compensatory time shall be at the discretion of the Chief. An employee may not accrue more than four hundred and eighty (480) hours of compensatory time. Overtime at the rate of two (2) times the regular rate of pay will be paid for work performed on Thanksgiving Day, Christmas Day and Easter Sunday. Overtime at the rate of one and one-half (1-1/2) times the regular rate of pay will be paid for work performed on any other holiday listed in Article 11. Holiday overtime: In the event an officer is scheduled to work a holiday, any time an officer works past his assigned regular duty time will be paid at the next increment of pay. Example: if an officer is working on July 4th and is working at a time and a half rate but subsequently works past his regular shift, the time worked past his regular duty hours shall be paid at double time. Example: if an officer is working on Christmas day and is working at double time but subsequently works past his regular shift, the time worked past his regular duty hours shall be paid at double time and a half. In an effort to minimize non-volunteer overtime for events scheduled ninety (90) calendar days or more in advance, the Chief will have posted sign-up sheets for voluntary overtime | Page 27 assignments thirty (30) calendar days prior to the event. Sign-up sheets will remain posted until two (2) workweeks prior to event. Based upon the sign-up list, non-voluntary overtime assignments will be made or rescheduling will be done by the City in order to provide the necessary on duty police services for the event. When ordered by the Chief to work during an emergency or assigned to some duty not normally attendant to their supervisory and management responsibility of their job assignment or division, Deputy Chiefs shall be compensated at the rate of one and a half (1-1/2) times and may be compensated in cash or compensatory time, for those hours worked over and above the regular forty (40) hour workweek. C. Court Time and Call Back. 1. Employees while off duty that are called back to duty or subpoenaed to give testimony in court about events arising out of their employment shall be compensated at the rate of one and one-half (1-1/2) times the employee’s regular rate of pay with the minimum compensation of three (3) hours. 2. Employees who are subpoenaed while on vacation to give testimony about events arising out of their employment shall be compensated during the first eight (8) hours of testimony for the employee’s vacation time in that workweek as well as compensated for actual hours worked at the rate of one and one-half (1-1/2) times the employee’s regular pay with a minimum compensation of two (2) hours. Compensation for subsequent Court testimony after the initial eight (8) hours shall be at the rate of the employee's regular pay. 3. Employees who are called back to duty while on vacation shall be compensated for the employee's vacation time in that workweek as well as pay with a minimum compensation of two (2) hours, except that where an emergency exists, the employee's vacation may be canceled by the Chief, whereupon said employee shall be paid at his/her regular rate of pay. 4. The Association and the City shall work together in the Labor-Management Relations Committee in an effort to minimize unnecessary standby time. 5. Restricted on-call compensation. Off-duty employees who are ordered by the Chief to be on restricted on-call duty shall be compensated at a rate of $1.00 per hour while assigned to such on-call duty. On-call duty restrictions shall be determined by departmental policy. D. Deferred Compensation for Overtime. The City shall establish a policy under which officers who participate in a deferred compensation plan which has been approved by the City shall be eligible to defer all accrued overtime in increments of one (1) hour or more into their deferred compensation plan. The policy shall require prior designation by the employee of the election to participate for a period of at least six (6) months. All overtime deferred under such policy shall be deposited directly to the officer's account in such deferred compensation plan. The City may require that the employee release and hold the City harmless for any penalties or other liability incurred by the City as a result of allowing the employee to defer overtime compensation under this provision. | Page 28 ARTICLE 10 – SALARY AND BENEFITS A. Monthly Salary Schedule 1. The basic ranks and classifications within the City of Corpus Christi Police Department shall be established by the City by ordinance pursuant to Texas Local Government Code Section 143.021 and its management rights. 2. The Parties agree that the applicable monthly pay rates for the current Police Officer basic ranks and steps within the Department will continue at their respective current rates from the date this Agreement is ratified and executed until October 1, 2022. 3. Effective October 1, 2019, the monthly pay rates for the basic ranks and steps within the Department will be as follows which includes a one percent (1%) increase for Fiscal Year 2019-2020; a two percent (2%) increase for Fiscal Year 2020-2021; a two percent (2%) increase for Fiscal Year 2021-2022; and a two percent (2%) increase for Fiscal Year 2022-2023: Effective October 1, 2019 (1%)    Class      Code Class Title  Starting  6‐mo  18‐mo  30‐mo  42‐mo  60‐mo  120‐mo  P08  Trainee  3,799                    P07 Police         Officer  4,412  4,632  4,872  5,130  5,395        P06  Senior       Officer  5,659     5,933        6,231  6,541  P05  Lieutenant  6,706  6,874  7,045        7,225  7,586    Class      Code Class Title  Starting  9‐mo  18‐mo  36‐mo  60‐mo  P04  Captain  7,739  7,892  7,978  8,094  8,178  Effective October 1, 2020 (2%)    Class      Code Class Title  Starting  6‐mo  18‐mo  30‐mo  42‐mo  60‐mo  120‐mo  P08  Trainee  3,875                    P07 Police         Officer  4,500  4,724  4,970  5,232  5,503        P06  Senior       Officer  5,772     6,051        6,355  6,672  P05  Lieutenant  6,841  7,012  7,186        7,369  7,738  | Page 29   Class      Code Class Title  Starting  9‐mo  18‐mo  36‐mo  60‐mo  P04  Captain  7,893  8,050  8,138  8,256  8,342  Effective October 1, 2021 (2%)    Class      Code Class Title  Starting  6‐mo  18‐mo  30‐mo  42‐mo  60‐mo  120‐mo  P08  Trainee  3,952                    P07 Police         Officer  4,590  4,819  5,069  5,337  5,613        P06  Senior       Officer  5,888     6,172        6,482  6,805  P05  Lieutenant  6,977  7,152  7,329        7,516  7,893    Class      Code Class Title  Starting  9‐mo  18‐mo  36‐mo  60‐mo  P04  Captain  8,051  8,211  8,300  8,421  8,508  Effective October 1, 2022 (2%)    Class      Code Class Title  Starting  6‐mo  18‐mo  30‐mo  42‐mo  60‐mo  120‐mo  P08  Trainee  4,031                    P07 Police         Officer  4,682  4,915  5,170  5,444  5,726        P06  Senior       Officer  6,005     6,296        6,612  6,941  P05  Lieutenant  7,117  7,295  7,476        7,667  8,050    Class      Code Class Title  Starting  9‐mo  18‐mo  36‐mo  60‐mo  P04  Captain  8,212  8,375  8,466  8,590  8,679  | Page 30 4.  The beginning salary of Officers hired under the lateral hiring process found in Article 12 H  Lateral Hiring Process shall be as follows:  Lateral Hiring Process Officers ‐ Effective October 1, 2019  Class      Code Class Title  Starting  12‐mo  24‐mo  PO7A  Police Officer (Lateral Hire)  5,130  5,395  5,530  Effective October 1, 2020   Class      Code Class Title  Starting  12‐mo  24‐mo  PO7A  Police Officer (Lateral Hire)  5,232  5,503  5,641  Effective October 1, 2021   Class      Code Class Title  Starting  12‐mo  24‐mo  PO7A  Police Officer (Lateral Hire)  5,337  5,613  5,754  Effective October 1, 2022   Class      Code Class Title  Starting  12‐mo  24‐mo  PO7A  Police Officer (Lateral Hire)  5,444  5,726  5,869  Qualifications: 1. Senior Officer. To qualify for a pay step at sixty (60) months of service as a Senior Officer, each Senior Officer must possess and Advanced Certificate from TCOLE or a bachelor’s degree from an accredited college or university. To qualify for a pay step at one hundred and twenty (120) months of service as a Senior Officer, each Senior Officer must possess either a Master Peace Officers Certificate from TCOLE or a bachelor’s degree from an accredited college or university. 2. Lieutenant. To qualify for a pay step at sixty (60) months of service as a Lieutenant, each Lieutenant must possess a Master Peace Officer’s Certificate from TCOLE or bachelor’s degree from an accredited college or university. To qualify for a pay step at one hundred and twenty (120) months of service as a Lieutenant, each Lieutenant must possess a bachelor’s degree from an accredited college or university. If a Senior Officer is promoted to Lieutenant, the employee shall be placed in the pay step that gives the employee an increase in pay. Current Lieutenants who have one hundred and eighty (180) months of service or more as a Lieutenant at | Page 31 the date of execution of this agreement shall be entitled to this step without a bachelor’s degree, but this provision shall not apply to any person without a bachelor’s degree thereafter. To the extent that any provision of this article conflicts with or changes Chapter 143 or any other statute, executive order, local ordinance or rule, this agreement shall supersede such provisions, as authorized by Chapter 174 of the Texas Local Government Code. B. Current Health Insurance and Life Premiums (Effective Only Until December 31, 2019) 1. Health Care Plan: The City shall provide health care coverage for Police Officers and their dependents. The plan(s) will be called Public Safety Citicare. The City shall pay one hundred percent (100%) of the employee’s premium and fifty percent (50%) of the premium for dependent coverage towards the Public Safety Citicare Plan. Premium rates shall be determined using the agreed methodology described in this Agreement. In the event alternate plans are introduced in the future, the dollar amount of City Contribution will always be based upon the outcome of this provision toward all plans and employee tiers of coverage unless otherwise agreed upon by the Association. The City agrees to provide the Association and/or its consultant(s) information used by the City to determine premiums (with the exception of information subject to privacy limitations under the state or federal law, including the Health Insurance Portability and Accountability Act (HIPAA), unless proper agreements or authorizations have been executed). The City will notify the Association, in advance, of any Employee Insurance Advisory Committee meetings. The Association will be allowed to have representation on the Employee Insurance Advisory Committee, and on any committees formed to evaluate proposals in response to Requests for Proposals related to negotiated benefits of the bargaining unit. The City shall notify the Association in writing of premium increases with a minimum of sixty (60) calendar days’ written notice of any change, and of health plan changes with a minimum of thirty (30) calendar days’ written notice of any change. The City and Association shall meet, within a reasonable time, upon the Association’s request to discuss any premium and/or health plan changes prior to such increases or changes taking effect. The City retains the right to negotiate with insurance carriers, third party administrators and their related sub-contractors and/or medical providers to provide insurance coverage or administration of the Public Safety Citicare Plan(s). The benefits in the plan that will be negotiated will be hospitalization deductibles, maximum out of pocket amounts, co-pays and co-insurance percentages. Participating Provider Service Areas shall always include the following areas: Corpus Christi and the surrounding area, South Texas, Dallas/Ft Worth, Houston, San Antonio/Laredo and Austin. However, this does not mean that all providers in the above listed areas are in-network and it is the employee’s responsibility to check and see if a provider is listed in the City’s preferred provider | Page 32 network. If a particular provider is not in-network, the employee will be responsible for the out- of-network costs. Out of Network is the use of any hospital, physician or other health care facility or professional that has not signed an agreement with the City’s preferred provider network. The plan will pay reasonable and necessary charges. Since the City does not have contracts through the Third-Party Administrator with out-of-network providers, providers may balance bill members. In a true emergency as determined by the Third-Party Administrator services provided outside the participating provider service areas will be provided at the in-network level of benefits. In the event a covered member does not live or work in an area with in-network providers, the member may request a PPO waiver in advance of services being provided through the Third Party Administrator so that the out-of-network claim is processed as an in-network claim, but it is possible that the out-of-network provider may balance bill members. Plan changes mandated by federal health care legislation will be implemented as required. The Association will be notified of such changes. The following components will be used to calculate the premiums for active employees and retirees under age 65: 1. Third Party Administrator (TPA) administrative fees 2. Stop loss premiums 3. Incurred and paid medical and prescription drug claims (after stop loss adjustments, rebates, subrogation recoveries, coordination of benefits recoveries) of all plan participants (active employees, retirees, and participating dependents), with allowance for adjustment based upon expected benefit plan, enrollment or other changes. The base time frame for this data will be based upon a consecutive seventeen (17) month time period ending seven (7) months prior of effective date of such rate and benefit changes. The resulting net claim factors will be converted to a twelve (12) month equivalent for purposes of establishing the base claims factor to be used in the calculation to determine contributions. 4. A prorated contribution toward the cost of an onsite primary care clinic (the percentage of members covered under the Public Safety Plans divided by the total covered members under the City’s health plans who are eligible to use the clinic times the estimated annual cost of the clinic). 5. Incurred But Not Reported (IBNR) claims, as actuarially determined. 6. The net change in forecasted and prior period catastrophic reserve funding (10% of actuarial projected claims expense). | Page 33 7. Assumptions for inflation and trend components used to estimate future claims will incorporate prevailing plan specific, regional, and national trends, as well as the anticipated impact of any mandated benefits, and any other factor(s) determined to impact the overall trend. Actuarial and consulting input from both parties will agree upon the factor(s) applied in accordance with professional, ethical and generally accepted practices. If agreement is not reached, within two (2) weeks after the actuary report is provided to the Association, the City will implement the recommendation of its Actuary. The City must notify the Association in writing of its intent to implement its actuarial recommendation. The Association has seven (7) calendar days from receipt of that notice to appeal in writing to the City Manager and request the dispute resolution process as outlined below. Each party’s actuary shall mutually agree within seven (7) calendar days upon a third neutral actuary. The parties shall submit position papers within fourteen (14) calendar days from the date of his/her selection. A decision in writing by the neutral actuary as to the factors applied to determine the contribution requirements for active employees and retirees under age 65 shall be delivered to the parties within seven (7) calendar days and shall be binding on all parties. Each party shall pay the total fees and expenses of their own actuary and each shall pay half of the fees and expenses of the neutral actuary. 8. Net Position of the Public Safety Health Fund  The initial balance to be used for the first measurement period will be the actual Public Safety Net Position less catastrophic claims reserves as of September 30, 2018, $3,331,523. This balance for the plan will carry forward throughout this Agreement.  In the event that the Net position less catastrophic claims reserves becomes less than thirty percent (30%) of the forecasted plan expenses (excluding the amount allocated to IBNR and catastrophic reserves) the Association and the City will take action through either plan design changes or funding amounts to maintain a minimum fund balance of thirty percent (30%) of the forecasted plan expenses (excluding the amount allocated to IBNR and catastrophic reserves). The City and the Association will not be obligated to agree but reserve the right to agree to an increase in the funding or a change in benefits if the minimum fund balance is projected to be higher than 30% of the forecasted plan expenses (excluding the amount allocated to IBNR and catastrophic reserves) in order to mitigate future changes to the plan. | Page 34 a. The plan shall be structured as follows: PUBLIC SAFETY CITICARE BENEFITS IN NETWORK (Participating Providers) OUT OF NETWORK PLAN YEAR DEDUCTIBLE No Plan Year Deductible $200 Per Individual $500 Max. Family PHYSICIAN SERVICES In-Patient Out-Patient Emergency Room $15 Co-Pay 70/30% Coinsurance Lab Work Physician’s Office Lab Facilities Hospitals $10 Co-Pay 70/30% Coinsurance X-RAYS Physician’s Office X-Ray Facilities $10 Co-Pay $15 Co-Pay 70/30% Coinsurance Emergency Room Services $50 Co-Pay Then 80/20% Coinsurance 70/30% Coinsurance Hospitalization In-Patient $200 Per Individual $600 Max Family Deductible Then 85/15% Coinsurance 70/30% Coinsurance Hospitalization Out-Patient $100 Deductible Per Individual $250 Max. Family Deductible Then 85/15% Coinsurance 70/30% Coinsurance Retail Prescriptions Co-Pays: $0 Generic $20 Preferred Brand $40 Non-Preferred Brand No Deductible 70/30% Coinsurance Prescriptions Mandatory Mail Order 90day and Maintenance Prescriptions Co-Pays: $0 Generic $20 Preferred Brand $40 Non-Preferred Brand No Deductible 70/30% Coinsurance Out-Of-Pocket Cost Excluding Co-Pays & Deductibles $500 Per Individual $1,250 Max. Family $700 Per Individual $1,750 Max. Family Lifetime maximum Benefit = $2,000,000, unless otherwise required by law. | Page 35 b. Public Safety Citicare CDHP (Consumer Driven Health Plan) with Health Savings Account This plan will be offered concurrently with the plan described in section b, with employees having the option to participate in either plan. Election of the Public Safety Citicare CDHP with HSA can only be made at the time of hire or during the open enrollment period. The plan design will be: BENEFITS IN NETWORK (Participating Providers) OUT OF NETWORK PLAN YEAR DEDUCTIBLE (Embedded) $2,600 Per Individual $5,200 Per Family $3,500 Per Individual $7,000 Max. Family PHYSICIAN SERVICES In-Patient Out-Patient Emergency Room Subject to deductible and then 100% coverage 70/30% Coinsurance Lab Work Physician’s Office Lab Facilities Hospitals Subject to deductible and then 100% coverage 70/30% Coinsurance X-RAYS Physician’s Office X-Ray Facilities Subject to deductible and then 100% coverage 70/30% Coinsurance Emergency Room Services Subject to deductible and then 100% coverage 70/30% Coinsurance Hospitalization (In-Patient) Subject to deductible and then 100% coverage 70/30% Coinsurance Hospitalization (Out-Patient) Subject to deductible and then 100% coverage 70/30% Coinsurance Retail Prescriptions Co-Pays (will only apply to eligible preventive care drugs, all other drugs are subject to the deductible): $0 Generic $20 Preferred Brand $40 Non-Preferred Brand 70/30% Coinsurance Mandatory Mail Order (90day and Maintenance) Co-Pays (will only apply to eligible preventive care 70/30% Coinsurance | Page 36 drugs, all other drugs are subject to the deductible): $0 Generic $20 Preferred Brand $40 Non-Preferred Brand Out-Of-Pocket Cost (Excluding Co-Pays & Deductibles) $0 Per Individual $0 Max Family $2,000 Per Individual $4,000 Max Family Lifetime Maximum Benefit = $2,000,000 unless otherwise required by law. All in-network co-pays count toward the annual (embedded) deductibles. Eligible in-network preventive drug expenses are not subject to the deductible. The City will contribute no less than $75 per month into an HSA account for each eligible employee participating in the CDHP Plan. The CDHP Plan will price overall funding contributions at a factor of 0.77 times the funding rates for the Public Safety Citicare Plan. Following the first plan year anniversary after the implementation of the CDHP Plan, the actual amount of the City’s contribution into the HSA account will be 0.75 times the difference between the Public Safety Citicare Plan total employee only rate and the rate and the rate charged for the Public Safety CDHP Plan (HSA). In the event that the CDHP Plan benefits or rates are adjusted any revisions to the benefits will be incorporated into the pricing differential between the CDHP and the offered Public Safety Citicare Plan and the contributions made toward the HSA account will continue as described in this Agreement. As a health plan expense, funds for the HSA contribution will be allocated to the health plan fund, as all other related contributions, and then disbursed to individual HSA accounts. c. Provisions Applying to All Offered Plans as of January 1, 2011 HPV vaccinations up to age 25 will be covered at one hundred percent (100%) up to a $500 annual maximum benefit and not subject to any co-pay or cost sharing provision. The routine mammography benefit will have a per procedure maximum benefit of $150 not subject to any co-pay or cost sharing provision. Benefits for Hospice Care, both facility and home based care, will be covered as any other illness, maximum of ninety (90) days coverage per lifetime. Benefits for Home Health Care and Skilled Nursing Facility Care will be covered as any other illness, maximum of ninety (90) days coverage per plan year. d. Compliance with Federal and State Laws If the City believes that state or federal laws require a plan change in order to avoid penalties and excise taxes, to satisfy the statutory and legal coverage and benefit requirements and to preserve the flexibility to make needed changes to comply with the federal and state laws, including but not | Page 37 limited to the Affordable Care Act’s complex and evolving requirements, the City shall notify the Association in writing of its desire to make such plan changes. The parties shall meet and confer in good faith for a period of thirty (30) calendar days to try and come to a mutual agreement regarding the City’s proposed changes to the Public Safety Citicare Health Insurance Plan or whatever health care plan is in place for Public Safety. If the parties are unable to reach an agreement within thirty (30) calendar day period, then the parties mutually agree to retain a qualified licensed professional health insurance expert to assist in this effort. The retained expert will be authorized to effect only those changes to the Plan which are minimally necessary to ensure that the City and the Public Safety Health Insurance Plan are not subject to any penalties and excise taxes and to ensure that the Plan complies with any Federal and State Laws. e. Affordable Care Act Cadillac Tax and Health Care Plan Transition If the Affordable Care Act is still in effect on April 1, 2017 and the City is subject any excise taxes, penalties or liabilities, commonly referred to as the “Cadillac Tax,” for Public Safety Citicare Health Insurance Plan or whatever health care plan is in place for Public Safety at the time, the parties shall meet and confer beginning May 1, 2017 for a period of thirty (30) calendar days and discuss in good faith any excise taxes, penalties or liabilities that are to be levied against the City by the ACA and how to modify the Public Safety Citicare Health Insurance Plan so that the City is not subject to the Cadillac tax. The parties will mutually agree to retain a qualified licensed professional health insurance expert to assist in this effort. If no resolution is arrived at after the meet and confer period, the retained expert is authorized to effect only those changes to the Plan which are minimally necessary to ensure the City and the Public Safety Citicare Health Insurance Plan are not subject to the Cadillac Tax and any other excise taxes, penalties or liabilities under the ACA. In no event will the City pay any taxes or penalties as a result of the Public Safety Citicare Health Insurance Plan. 2. Retiree Health Insurance Coverage. Employees who retire under the conditions of regular TMRS retirement, and their participating dependents, covered on the last day of employment, shall be eligible to continue participation in the City’s group health insurance program at monthly premiums subject to periodic changes in rates as required. The total cost of such continued coverage shall be paid entirely by the retiree and/or spouse. The spouse’s rights shall continue after the employee’s death, but shall terminate upon divorce. Coverage shall remain in force for the retiree while paid until he or she becomes eligible for Medicare or reaches age 65 at which time coverage in the Public Safety Citicare Plan will cease. While the retiree remains in the City’s group health insurance program or fully insured plan offerings for Medicare eligible retirees coverage shall remain in force for the retiree’s spouse while paid until he or she becomes eligible for Medicare or reaches age 65 at which time coverage in the Public Safety Citicare Plan shall cease. Coverage shall remain in force for the retiree’s participating dependent children while paid until they become ineligible as defined in the plan at which time coverage in the Public Safety Citicare Plan shall cease. Medicare eligible retirees and Medicare eligible dependents will be eligible to participate in the City’s fully insured plan offerings for Medicare eligible retirees. | Page 38 C. New Health Insurance and Life Premiums Effective January 1, 2020 1. Health Care Plan: Effective January 1, 2020, the City shall provide the following health care coverage for Police Officers and their dependents. The plan will be called Consumer Driven Health Plan Public Safety with Health Savings Account (CDHP Public Safety) and shall be the only plan offered by the City. The City shall pay one hundred percent (100%) of the employee’s premium and one hundred percent (100%) of the premium for dependent coverage towards the CDHP Public Safety. Premium rates shall be determined using the agreed methodology described in this Agreement. In the event alternate plans are introduced in the future, the dollar amount of City Contribution will always be based upon the outcome of this provision toward all plans and employee tiers of coverage unless otherwise agreed upon by the Association. The City agrees to provide the Association and/or its consultant(s) information used by the City to determine premiums (with the exception of information subject to privacy limitations under the state or federal law, including the Health Insurance Portability and Accountability Act (HIPAA), unless proper agreements or authorizations have been executed). The City will notify the Association, in advance, of any Employee Insurance Advisory Committee meetings. The Association will be allowed to have representation on the Employee Insurance Advisory Committee, and on any committees formed to evaluate proposals in response to Requests for Proposals related to negotiated benefits of the bargaining unit. Notwithstanding any other provisions of this Agreement, the Parties agree to re-open Article 10, Section C, entitled New Health Insurance and Life Premiums Effective January 1, 2020 for negotiations only at the request of either party if it is found that a change to the CDHP Public Safety is necessary for any reason, including financial sustainability of the plan. The City retains the right to negotiate with insurance carriers, third party administrators and their related sub-contractors and/or medical providers to provide insurance coverage or administration of the CDHP Public Safety. The benefits in the plan that will be negotiated will be hospitalization deductibles, maximum out of pocket amounts, co-pays and co-insurance percentages. Participating Provider Service Areas shall always include the following areas: Corpus Christi and the surrounding area, South Texas, Dallas/Ft Worth, Houston, San Antonio/Laredo and Austin. However, this does not mean that all providers in the above listed areas are in-network and it is the employee’s responsibility to check and see if a provider is listed in the City’s preferred provider network. If a particular provider is not in-network, the employee will be responsible for the out- of-network costs. Out of Network is the use of any hospital, physician or other health care facility or professional that has not signed an agreement with the City’s preferred provider network. The plan will pay | Page 39 reasonable and necessary charges. Since the City does not have contracts through the Third-Party Administrator with out-of-network providers, providers may balance bill members. In a true emergency as determined by the Third-Party Administrator services provided outside the participating provider service areas will be provided at the in-network level of benefits. In the event a covered member does not live or work in an area with in-network providers, the member may request a PPO waiver in advance of services being provided through the Third Party Administrator so that the out-of-network claim is processed as an in-network claim, but it is possible that the out-of-network provider may balance bill members. Plan changes mandated by federal health care legislation will be implemented as required. The Association will be notified of such changes. The following components will be used to calculate the premiums for active employees and retirees under age 65: 1. Third Party Administrator (TPA) administrative fees 2. Stop loss premiums 3. Incurred and paid medical and prescription drug claims (after stop loss adjustments, rebates, subrogation recoveries, coordination of benefits recoveries) of all plan participants (active employees, retirees, and participating dependents), with allowance for adjustment based upon expected benefit plan, enrollment or other changes. The base time frame for this data will be based upon a consecutive seventeen (17) month time period ending seven (7) months prior of effective date of such rate and benefit changes. The resulting net claim factors will be converted to a twelve (12) month equivalent for purposes of establishing the base claims factor to be used in the calculation to determine contributions. 4. A prorated contribution toward the cost of an onsite primary care clinic (the percentage of members covered under the Public Safety Plans divided by the total covered members under the City’s health plans who are eligible to use the clinic times the estimated annual cost of the clinic). 5. Incurred But Not Reported (IBNR) claims, as actuarially determined. 6. The net change in forecasted and prior period catastrophic reserve funding (10% of actuarial projected claims expense). 7. Assumptions for inflation and trend components used to estimate future claims will incorporate prevailing plan specific, regional, and national trends, as well as the anticipated impact of any mandated benefits, and any other factor(s) determined to impact the overall trend. Actuarial and consulting input from both parties will agree upon the factor(s) applied in | Page 40 accordance with professional, ethical and generally accepted practices. If agreement is not reached, within two (2) weeks after the actuary report is provided to the Association, the City will implement the recommendation of its Actuary. The City must notify the Association in writing of its intent to implement its actuarial recommendation. The Association has seven (7) calendar days from receipt of that notice to appeal in writing to the City Manager and request the dispute resolution process as outlined below. Each party’s actuary shall mutually agree within seven (7) calendar days upon a third neutral actuary. The parties shall submit position papers within fourteen (14) calendar days from the date of his/her selection. A decision in writing by the neutral actuary as to the factors applied to determine the contribution requirements for active employees and retirees under age 65 shall be delivered to the parties within seven (7) calendar days and shall be binding on all parties. Each party shall pay the total fees and expenses of their own actuary and each shall pay half of the fees and expenses of the neutral actuary. a. The following is a summarization of the plan structure only. Please refer to the Benefit Guide for specific details including preauthorization requirements, plan limitations and exclusions. BENEFITS IN NETWORK (Participating Providers) OUT OF NETWORK PLAN YEAR DEDUCTIBLE (Embedded) $3,000 Per Individual $6,000 Per Family $5,000 Per Individual $10,000 Max. Family PHYSICIAN SERVICES In-Patient Out-Patient Emergency Room Subject to deductible and then 100% coverage Deductible then 70/30% Coinsurance Lab Work Physician’s Office Lab Facilities Hospitals Subject to deductible and then 100% coverage Deductible then 70/30% Coinsurance X-RAYS Physician’s Office X-Ray Facilities Subject to deductible and then 100% coverage Deductible then 70/30% Coinsurance Emergency Room Services Subject to deductible and then 100% coverage Deductible then 70/30% Coinsurance | Page 41 Hospitalization (In-Patient) Subject to deductible and then 100% coverage Deductible then 70/30% Coinsurance Hospitalization (Out-Patient) Subject to deductible and then 100% coverage Deductible then 70/30% Coinsurance Retail Prescriptions Co-Pays (will only apply to eligible preventive care drugs, all other drugs are subject to the deductible): $0 Generic $20 Preferred Brand $40 Non-Preferred Brand Deductible then 70/30% Coinsurance Mandatory Mail Order (90day and Maintenance) Co-Pays (will only apply to eligible preventive care drugs, all other drugs are subject to the deductible): $0 Generic $20 Preferred Brand $40 Non-Preferred Brand Deductible then 70/30% Coinsurance Out-Of-Pocket Cost (Including Co-Pays & Deductibles) $3,000 Per Individual $6,000 Max Family $7,000 Per Individual $14,000 Max Family Lifetime Maximum Benefit = Unlimited. All in-network co-pays count toward the annual (embedded) deductibles. Eligible in-network preventive drug expenses are not subject to the deductible. The City will contribute $1,600 at the beginning of each fiscal year to an employee’s Health Savings Account (HSA), if the employee is eligible under IRS regulations to receive such contribution and the employee is enrolled in the CDHP Public Safety plan. However, in the event that an employee is legally married to another employee police officer within the Corpus Christi Police Department and they are enrolled in either an employee/spouse or family plan under CDHP Public Safety, both employees are entitled to receive the $1,600.00 HSA contribution at the beginning of each fiscal year, so long as each employee is otherwise eligible under IRS regulations. As a health plan expense, funds for the HSA contribution will be allocated to the health plan fund, as all other related contributions, and then disbursed to individual HSA accounts. | Page 42 b. Provisions Applying to All Offered Plans as of January 1, 2011 HPV vaccinations up to age 25 will be covered at one hundred percent (100%) up to a $500 annual maximum benefit and not subject to any co-pay or cost sharing provision. The routine mammography benefit will have a per procedure maximum benefit of $150 not subject to any co-pay or cost sharing provision. Benefits for Hospice Care, both facility and home based care, will be covered as any other illness, maximum of ninety (90) days coverage per lifetime. Benefits for Home Health Care and Skilled Nursing Facility Care will be covered as any other illness, maximum of ninety (90) days coverage per plan year. c. Compliance with Federal and State Laws If the City believes that state or federal laws require a plan change in order to avoid penalties and excise taxes, to satisfy the statutory and legal coverage and benefit requirements and to preserve the flexibility to make needed changes to comply with the federal and state laws, including but not limited to the Affordable Care Act’s complex and evolving requirements, the City shall notify the Association in writing of its desire to make such plan changes. The parties shall meet and confer in good faith for a period of thirty (30) calendar days to try and come to a mutual agreement regarding the City’s proposed changes to the CDHP Public Safety or whatever health care plan is in place for Public Safety. If the parties are unable to reach an agreement within thirty (30) calendar day period, then the parties mutually agree to retain a qualified licensed professional health insurance expert to assist in this effort. The retained expert will be authorized to effect only those changes to the Plan which are minimally necessary to ensure that the City and the CDHP Public Safety are not subject to any penalties and excise taxes and to ensure that the Plan complies with any Federal and State Laws. d. Affordable Care Act Cadillac Tax and Health Care Plan Transition If the Affordable Care Act is still in effect on January 1, 2022 and the City is subject any excise taxes, penalties or liabilities, commonly referred to as the “Cadillac Tax,” for CDHP Public Safety or whatever health care plan is in place for Public Safety at the time, the parties shall meet and confer beginning February 1, 2022 for a period of thirty (30) calendar days and discuss in good faith any excise taxes, penalties or liabilities that are to be levied against the City by the ACA and how to modify the CDHP Public Safety so that the City is not subject to the Cadillac tax. The parties will mutually agree to retain a qualified licensed professional health insurance expert to assist in this effort. If no resolution is arrived at after the meet and confer period, the retained expert is authorized to effect only those changes to the Plan which are minimally necessary to ensure the City and the Public Safety Citicare Health Insurance Plan are not subject to the Cadillac Tax and any other excise taxes, penalties or liabilities under the ACA. In no event will the City pay any taxes or penalties as a result of the CDHP Public Safety. | Page 43 2. Retiree Health Insurance Coverage. Employees who retire under the conditions of regular TMRS retirement, and their participating dependents, covered on the last day of employment, shall be eligible to continue participation in the City’s group health insurance program at monthly premiums subject to periodic changes in rates as required. The total cost of such continued coverage shall be paid entirely by the retiree and/or spouse. The spouse’s rights shall continue after the employee’s death, but shall terminate upon divorce. Coverage shall remain in force for the retiree while paid until he or she becomes eligible for Medicare or reaches age 65 at which time coverage in the CDHP Public Safety will cease. While the retiree remains in the City’s group health insurance program or fully insured plan offerings for Medicare eligible retirees coverage shall remain in force for the retiree’s spouse while paid until he or she becomes eligible for Medicare or reaches age 65 at which time coverage in the CDHP Public Safety shall cease. Coverage shall remain in force for the retiree’s participating dependent children while paid until they become ineligible as defined in the plan at which time coverage in the CDHP Public Safety shall cease. If at any time the retiree chooses to leave the City’s group health insurance or City’s fully insured plan offerings for Medicare, coverage will cease for any and all dependents. Medicare eligible retirees and Medicare eligible dependents will be eligible to participate in the City’s fully insured plan offerings for Medicare eligible retirees. 3. Association Supplemental Insurance Programs. The Association may select and change any group supplemental insurance coverage for officers and/or dependents in which plan officers may opt to participate. The City will provide payroll deduction for any officer participating who authorizes same to cover any additional amount of premium for such participation. The Association shall give the City at least thirty (30) calendar days advanced written notice of any change in the plan, eligible participants, or the amount of premiums. The City will contribute $47.00 per month, per officer, for any officer opting to participate in any selected plan. The City shall contribute an additional $15.00 per month, per officer, with dependents toward any selected plan for such officers provided that a minimum of seventy-five percent (75%) of officers with dependent(s) opt to participate. Any administration fee surplus account may be used by the Association in any manner prescribed by its Executive Board of Directors. 4. Life Insurance. The City shall provide basic life insurance coverage for each police officer, to include Lieutenants, equal to that employee’s annual base salary. Captains, Deputy Chiefs and Assistant Chiefs shall be provided basic life insurance coverage equal to their annual base salary or $50,000.00 whichever is greater. D. Field Training Officer Pay. Field Training Officer pay of $300.00 per month shall be granted in addition to regular pay to all officers for extraordinary, specific duties of training and evaluating recruit officers. | Page 44 E. Education Incentive Pay. 1. No probationary employee will be eligible for educational incentive pay until after he/she has successfully passed his/her probationary period. Specific hours obtained through participation in the Police Academy will be considered applicable toward educational incentive pay only after successful completion of at least one other academic course in the related field on the employee's own time. 2. Educational Incentive Pay will be $1.00 per month for each semester hour satisfactorily completed provided that such hours are applicable toward a degree. Also the following monetary caps will apply: no more than $71.00 per month will be paid without successful completion of the requirements and receipt of the Associate degree; if the employee is attending a four-year college, he may meet this requirement by filing a copy of his/her certified degree plan with the Director of Human Resources, noting his/her expressed intent to obtain a Bachelor’s Degree. All approved hours above the Associate Degree will be eligible for educational pay at this rate up to an additional $49.00 per month or a combined total of $120.00 per month. Successful completion of the requirements and receipt of a Bachelor’s Degree will qualify the employee for $125.00 per month. Approved hours above the Bachelor’s Degree applicable toward a Master’s Degree will be eligible for educational incentive pay at the same rate up to an additional $20.00 per month. Successful completion of the Master’s Degree will qualify the employee for $155.00 per month. F. Clothing and Equipment. 1. The City shall pay one hundred percent (100%) of the cost to provide every uniformed employee with all required initial clothing items and equipment, excluding shoes. Thereafter the City shall replace or repair all said required clothing items and equipment, which are lost or damaged on the basis of one hundred percent (100%) excluding shoes. A clothing allowance of $900.00 per year shall be paid to all Officers who are required by order of the Chief to wear civilian clothing during their regular work assignment. Employees shall receive the clothing allowance in a separate payment. Such payments will be made no later than within first full month after the beginning of the fiscal year, or when assigned. The parties agree that the allowances provided herein reasonably approximate the amount of the expenses incurred periodically by the officers. Officers transferred to or from a division receiving clothing allowance will not be eligible to receive more than a combined total of nine hundred dollars ($900.00) in patrol pay and clothing allowance for any fiscal year. 2. A uniform cleaning allowance of $60 per month shall be provided to each officer of the department for the purpose of uniform and clothing cleaning and maintenance. G. Pensions. The City will enroll employees in the Texas Municipal Retirement System and provide the following benefits under the plan: | Page 45 1. Employee Deposit Rate of 7% 2. Municipal Current Matching Ratio of 2 to 1 3. Updated Service Credits (100% repeating) 4. Annuity Increase 30% of CPI (Repeating) 5. Military Service Credit 6. Vesting Requirement 5 years 7. Service Retirement Eligibility 5 years at age 60, 20 years at Any Age 8. Restricted Prior Service Credit H. Deferred Compensation Plan. Officers may participate in the deferred compensation plan, adopted by the City Council. The City will notify the Association, in advance, of any Deferred Compensation Plan Committee meetings. The Association will be allowed to have representation on the Deferred Compensation Plan Committee, and on any committees formed to evaluate proposals in response to Requests for Proposals related to the deferred compensation plan. The City and the Association agree that the deferred compensation plan selected by the Corpus Christi Police Officers’ Association and offered through VALIC (The Variable Life Insurance Company) will be closed to new participants effective upon the execution of this Agreement. I. Classifications Compensated Under the City’s Classification and Compensation Plan. The positions of Assistant Police Chief and Deputy Police Chief shall be compensated at salary levels set forth within the City’s Classification and Compensation Plan consistent with the provisions provided under City’s Personnel Ordinance. Individual salary increases based on merit, performance or other, as authorized by compensation ordinance shall be permitted for these classifications, Chapter 143 notwithstanding. As to Assistant Chiefs and Deputy Chiefs, all officers in the same classification are not entitled to the same base salary; this provision specifically supersedes Section 143.041. J. Termination Pay. Upon termination, sick leave shall be paid to police officers according to the following schedule: (a) Less than 4 full years of service: zero hours (b) 4 full years of service: not more than 240-hours (c) 5 full years of service: not more than 320-hours (d) 6 full years of service: not more than 400-hours (e) 7 full years of service: not more than 480-hours (f) 8 full years of service: not more than 560-hours (g) 9 full years of service: not more than 640-hours (h) 10 or more full years of service: not more than 720-hours (i) 20 or more full years of service: not more than 960-hours (j) 25 or more full years of service: not more than 1,440-hours | Page 46 1. Effective upon execution of the Agreement, the first seven hundred and twenty (720) hours of such sick leave credit shall be paid at the rate of pay determined in accordance with the statutory calculation under Section 143.045. The remaining balance, if any, shall be paid at the rate of pay including only base pay plus longevity. Any police officer who has accrued sick time in excess of what the police officer will be paid for upon separation from employment with the City may donate the excess sick time to the sick pool described in Article 11, I of this Agreement. 2. In the event of termination, the City shall pay accrued compensatory time not to exceed four hundred and eighty (480) hours at the employee’s regular rate of pay. K. Longevity Pay. Effective the first full pay period after the adoption of this Agreement, longevity pay shall be $15.00 per month for each complete year of service up to a maximum of twenty-five (25) years of service. This pay increase shall not be retroactive. L. Bomb Squad Pay. Effective the first full pay period after the adoption of this Agreement, employees assigned to the bomb squad shall receive extra pay for such hazardous duty in the amount of $100.00 per month. M. Breathalyzer Certification Pay. All employees currently certified as Breathalyzer operators shall receive extra pay in the amount of $30.00 per month. N. Weekend Pay. Each officer who reports to work for a shift, which commences, between 10:00 p.m. on Friday and 9:59 p.m. on Saturday shall receive $50.00 per month; each officer who reports to work for a shift which commences between 10:00 p.m. on Saturday and 9:59 p.m. on Sunday shall receive $50.00 per month. O. Shift Differential Pay. Each officer who reports to work for his/her regularly scheduled shift which ends between 6:00 p.m. and 12:00 Midnight shall receive $50.00 per month; each officer who reports to work for his/her regularly scheduled shift which ends between 12:01 a.m. and 8:00 a.m. shall receive $75.00 per month. P. Shift Changes. If, as the result of a change in shift or assignment, any officer loses Weekend and/or Shift Differential Pay, which he was receiving prior to such change, the loss of such additional pay shall not be grievable under the grievance procedure established in this contract. Q. Dog Handler Pay. Any Officer who is charged with the responsibility for and is assigned a dog by the Corpus Christi Police Department to be used in law enforcement functions shall be compensated at the rate of $170.00 per month and one (1) hour of overtime pay on days off, including vacation time, sick leave, compensatory time and personal leave. The parties agree that an accurate computation of hours of work caring for a police dog is difficult or impossible to determine and that the compensation provided herein is a fair and reasonable agreement considering all pertinent facts and circumstances. If a police dog is retired (taken out of service by the city) the Chief of Police shall award the police dog to the officer if the officer so desires. The City shall have no further obligation for the care, maintenance and support of the police dog. | Page 47 R. SWAT Team Pay. Effective the first full pay period after the adoption of this Agreement, any Officer who is selected and serves as a member of the Special Weapons and Tactics Team (SWAT) for the Corpus Christi Police Department shall be compensated at the rate of $125.00 per month. S. Hostage Negotiation Team Pay. Effective the first full pay period after the adoption of this Agreement, any Officer who is selected and serves as a member of the Hostage Negotiation Team for the Corpus Christi Police Department shall be compensated at the rate of $75.00 per month. T. Dive Team. Effective the first full pay period after the adoption of this Agreement, any officer who is selected and serves as a member of the Dive Team for the Corpus Christi Police Department shall be compensated at the rate of $100.00 per month. U. Badges. Upon retirement the employee shall be permitted to keep their badge at no cost to the employee. Upon promotion the employee shall be permitted to keep any badge they have purchased. V. Patrol Pay. Each officer, regardless of rank who has not been designated by the Chief to receive a clothing allowance will receive a lump sum payment of $504.00. Such payments will be made no later than within the first full month after the beginning of the fiscal year. Officers transferred to or from a division receiving clothing allowance will not be eligible to receive more than a combined total of $900.00 in patrol pay and clothing allowance for any fiscal year. W. Certification Pay. Effective the first pay period after the adoption of this Agreement all Officers shall be paid for the highest certificate achieved at the monthly pay rate outlined below: Intermediate Peace Officer Certificate $75.00 per month Advanced Peace Officer Certificate $100.00 per month Master Peace Officer Certificate $150.00 per month ARTICLE 11 - LEAVE A. Holidays 1. Each employee shall receive the following seven (7) holidays during each fiscal year: New Year’s Day Thanksgiving Day Memorial Day Christmas Day Fourth of July One holiday to be determined by City Labor Day 2. Holiday time shall be added to vacation time. 3. The Chief may determine whether holidays are taken on the calendar date or the City designated holiday date, taking into consideration the assignments and work schedules of the | Page 48 various divisions. Unless otherwise specified by the Chief, each of the listed holidays shall be observed on the calendar day on which it falls. 4. Any employee who for any reason is absent without pay on a workday immediately preceding or following a holiday or on the holiday shall not be paid for the holiday unless worked, in which case he shall be paid only at his/her regular rate of pay. 5. Police officers shall be credited with eight (8) hours if employee is assigned to an eight (8) hour shift or ten (10) hours if employee is assigned to a ten (10) hour shift for holiday leave with pay for each of the above holidays during the period of the calendar year the officer worked. If an employee is scheduled to work on a holiday but is determined to be non-essential, and during the holiday the employee is called back to work, the employee shall be credited with eight (8) or ten (10) hours of holiday leave, as applicable. B. Vacations. 1. Police officers shall be entitled to one hundred and twenty (120) hours vacation a year, which shall accrue on the basis of twenty-six (26) biweekly pay periods a year. Police officers beginning their sixteenth (16th) year of continuous service shall begin to accrue one hundred and forty four (144) hours of vacation a year which shall accrue on the basis of twenty-six (26) biweekly pay periods a year. Police officers beginning their twenty-first (21st) year of continuous service shall begin to accrue one hundred and sixty-eight (168) hours of vacation a year, which shall accrue on the basis of twenty-six (26) biweekly pay periods a year. Police officers beginning twenty-sixth (26th) year of continuous service shall begin to accrue two hundred (200) hours of vacation a year, which shall accrue on the basis of twenty-six (26) biweekly pay periods a year. After thirty (30) years of continuous service, police officers shall accrue two hundred and forty (240) hours a year, which shall accrue on the basis of twenty-six (26) biweekly pay periods a year. For police officers scheduled to work forty (40) hours a week, eight (8) working hours per day shall be counted as used for vacation purposes. 2. When the City schedules vacations, employees shall be given preference as to vacation selection on the basis of seniority by work unit to the extent that such scheduling will not interfere with City operations. Work units shall be defined by the City. 3. All employees hired after October 16, 1998, shall be allowed to accrue unlimited vacation leave hours (includes holiday leave hours), but upon retirement, resignation or termination the employee shall not be paid in excess of four hundred and eighty (480) hours. All employees hired on or before October 16, 1998, shall be allowed to accrue unlimited vacation leave hours (includes holiday leave hours), but upon retirement, resignation or termination the employee shall not be paid for accrued hours in excess of a cap of seven hundred and twenty (720) hours plus an amount equal to the accrued hours the employee had on the books as of October 16, 1998. The City shall notify each employee as to what their accrued vacation leave bank was as of October 16, 1998. (For example, a current employee had five hundred (500) hours of accrued leave on the books as of October 16, 1998. Upon retirement, resignation or termination the employee had one | Page 49 thousand eight hundred (1800) hours of accrued leave. The City shall pay the employee for one thousand two hundred and twenty (1,220) hours - includes the seven hundred and twenty (720) hour cap plus the five hundred (500) hours for that employee as established on October 16, 1998. If upon retirement, resignation or termination, the employee had six hundred and fifty (650) hours of accrued leave, the City shall pay the employee only for six hundred and fifty (650) hours. C. Personal Leave. Employees who have successfully completed their initial entry probationary period shall be entitled to receive forty (40) hours of Personal Leave beginning August 1st following the successful completion of his/her probationary period. This provision does not apply to probationary periods required for newly appointed Lieutenants and Captains. Personal leave is received on August 1st and must be used by and including July 31st. Personal leave is not accruable and will be lost if not used within that particular twelve-month period received. D. Military Leave. Any permanent employee who presents official orders requiring his/her attendance for a period of training or other active duty as a member of the United States Armed Forces, the Texas State Reserve Corps, or the Texas State Guard shall be entitled to military leave with pay for a period or periods not exceeding a total of two hundred and forty (240) hours in any one (1) calendar year. Any permanent employee who leaves his/her position for the purpose of entering the Armed Forces of the United States, or enters State service as a member of the Texas National Guard or Texas State Guard or as a member of the reserve components of the Armed Forces of the United States shall, if discharged, separated or released from such active military service under honorable conditions be restored to employment in accordance with the terms of the Uniformed Services Employment and Reemployment Rights Act (USERRA). In order to qualify for re-employment, the employee must comply with the requirements of USERRA. The Civil Service Commission shall adopt a promotional process in compliance with state and federal law for eligible officers on active duty military assignment. Effective with the signing of this agreement officers who were serving on active military duty as members of the armed forces and who were eligible promotional candidates according to the rules as set out by USERRA when a department promotional exam was offered, who did not take the exam, may take the next available promotional exam given for the rank for which they are currently eligible. If the officer’s score would have resulted in a promotion if it had been achieved on the exam(s) missed due to active military service, the officer must be promoted to the next available vacancy in that rank. Seniority in rank will be established as of the date the officer would have been promoted, as if he or she had not been on active military service. The officer will also receive a lump sum payment in the amount of the difference between the pay actually received and the promotional rank pay for the period of time since the officer returned to the Police Department from active duty. This provision is intended to comply with requirements of USERRA, and to supersede the terms of Section 143.032(b) of the Texas Local Government Code. This Agreement does not prevent the City from taking steps to comply with USERRA under unique or special circumstances. | Page 50 E. Special Leave. 1. In addition to leaves authorized above, the Chief may authorize an employee to be absent without pay for personal reasons for periods not to exceed two hundred and forty (240) hours. Leaves without pay in excess of two hundred and forty (240) hours and not exceeding three hundred and sixty-five (365) days shall require approval of the City Manager. 2. The City Manager may authorize special leaves of absence with pay for any period or periods not to exceed three hundred and sixty-five (365-days for the following purposes: Attendance at college, university, or business school for the purpose of training in subjects relating to the work of the employee and which will benefit the employee and the City service, serving on a jury or attending a court as a witness; and for purposes other than the above that are deemed beneficial to the City service. 3. The City Council, upon the recommendation of the City Manager, may grant leaves of absence with or without pay in excess of the limitations above for the purposes of attending extended courses of training at a recognized university or college and for other purposes that are deemed beneficial to the City service. F. Line of Duty Injury or Illness. No sick leave shall be charged for an injury or illness sustained in the line of duty. Employees shall be paid injury leave in an amount not to exceed their regular salary as provided by the state law for injuries occurring while in the course of employment. The use of accrued sick leave may be granted to any officer at the discretion of the Chief for job related illnesses or injuries after injury leave have been exhausted. Line of duty illness shall be defined as an illness, which has been directly and substantially caused by the duties of the position. In the event the Chief denies a request pursuant to this section, the officer may appeal such denial in writing within fourteen (14) calendar days to the City Manager. The City Manager shall render a decision on the appeal in writing within fourteen (14) calendar days of receipt of the appeal. The determination of the City Manager shall be final and binding on the parties and shall not be subject to appeal to a grievance, arbitration or any other body. G. Administrative Leave. Assistant Chiefs and Deputy Chiefs may receive administrative leave time for work performed in excess of their regularly scheduled duties. Said leave time may be granted at the discretion of the Chief, subject to scheduling and manpower contingencies that may arise. Said administrative leave time shall, in no event, exceed that amount of time that Assistant Chiefs and Deputy Chiefs have accumulated in excess of their regularly scheduled work. H. Leave Buy-Back. On August 1 of each year an employee may elect to sell back to the City two (2) hours of vacation leave for every hour of vacation leave used during the following twelve (12) month period not to exceed eighty (80) hours per year. Selling vacation leave hours to the City under this provision shall be in lieu of any other option to vacation days under this Agreement or any other City policy or practice. The City shall distribute funds in cash or as contribution to deferred compensation or as otherwise directed by the employee. Any costs incurred for the transfer of funds for distributions other than direct payment to the employee shall be the responsibility of the employee. | Page 51 I. Sick Leave Pool. Each police officer shall accumulate one hundred and twenty (120) hours of sick leave with pay per calendar year. The sick leave pool will have a maximum balance of eight thousand (8,000) hours. When the total number of sick leave pool hours drop below three thousand two hundred (3,200) hours, eight (8) hours of sick leave with pay for each officer shall become part of the sick leave pool, until the pool reaches its eight thousand (8,000) hour limit, and any remaining hours shall continue to be credited to the individual officer. If an employee does not have eight (8) hours of accrued sick leave, the employee shall be debited eight (8) hours from compensatory time or vacation leave days, in that order. Upon completion of probation, each officer shall have eight (8) hours of sick leave credited to the pool. No officer shall be eligible to draw sick leave pool hours until eight (8) hours of his/her sick leave hours is credited to the pool. The following requirements determine when sick leave pool hours may be drawn: 1. Officers with four (4) years or less service may use pool hours after one hundred twenty (120) hours of continuous non-job related illness or injury. The first one hundred twenty (120) hours shall be charged to the officer's accumulated sick leave or vacation leave or, if personal sick leave has been exhausted, to dock time. 2. All other officers may use pool hours after one hundred sixty (160) hours of continuous non-job related illness or injury. Provided, however, in addition, before being untitled to use hours, such an officer must first use all his/her accumulated personal sick leave in excess of the amount payable upon termination. 3. No officer shall be permitted to use more than one thousand four hundred and forty (1,440) pool hours for a single illness or injury. 4. Pool hours may not be used for injuries or illnesses sustained in the line of duty. Injuries or illnesses sustained in the line of duty shall be compensated entirely under the terms of Article 11 (Section F) of this Agreement relating to "Line of Duty Injury or Illness." 5. The number of hours in the pool shall be solely for the benefit of officers with non-job related injuries or physical or mental illnesses (including alcohol or drug related problems) identified by a licensed medical physician that prohibits the officer from returning to full time, part time or light duty employment, and such hours shall not revert to the accumulated sick leave of individual employees. 6. Pool time may only be used for an illness or injury which is an Officer’s non-job related injury or physical or mental illness (including alcohol and drug related problems), identified by a licensed medical physician that prohibits the officer from returning to full time, part time or light duty employment. Incapacities due to elective procedures are not eligible under this program; however, complications that develop as a result of the elective procedure(s) may be considered eligible. 7. Requests for hours from the pool should be submitted when the need for assistance is determined. Hours will not be granted on a retroactive basis. 8. Requests for hours from the pool must: | Page 52 a. Be accompanied by a statement from a licensed practitioner that gives the diagnosis, prognosis, and anticipated return to work date of the Officer. b. Include a copy of the most current time and leave records information that reflects leave balances as of the Officer’s last day physically on duty and the date the required use of personal sick leave, as defined in this section, will be or was exhausted. c. Be submitted on the “Request for Sick leave Pool Hours” form. 9. The Chief of Police, or designee, shall facilitate a committee review of all requests for hours from the pool. The committee shall include the Chief of Police or designee, the Deputy Chief of the Department’s Administration Bureau or designee, and the Association President or designee. The decision of the committee will be final and can not be grieved. The Chief of Police or designee will provide written notification to the employee of the award or denial of pool hours by the committee. a. The committee will determine the amount of pool hours to be granted for the request, based upon the information provided by the Officer. The committee will deny requests for which the data provided is insufficient and/or does not meet the requirements of this section. b. The Chief of Police, or designee, may reconvene the committee for further consideration should evidence become available that would have affected the outcome of the committee’s decision. 10. If pool hours are used intermittently and an employee accrues vacation and sick leave prior to all granted pool hours being used, the Officer must use accrued leave prior to resuming use of pool hours. Hours granted under this program do not extend or increase time limits provided under any other policy (i.e. Limited Duty & Reasonable Accommodation, Family and Medical Leave Act, etc.) 11. Officers leaving employment with the City are not entitled to payment of unused pool hours. Additionally, the estate of a deceased Officer is not entitled to payment of unused hours. 12. Documentation provided in association with a request for hours from the pool will be maintained in a confidential manner, as allowed by law. J. Other Leave Time Policies. The City shall maintain all other leave time policies affecting police officers currently in effect and not otherwise altered by provisions of this contract. K. Bereavement Leave. Upon the employee’s request due to the death of an immediate family member, three (3) duty days of bereavement leave shall be granted. Immediate family members | Page 53 shall include the employee’s parents, spouse, children, brothers, sisters, mother-in-law, father-in- law, brothers-in-law, and sisters-in-law, employee’s or spouse’s grandparents and grandchild. L. Funeral Benefit. The City Manager shall approve up to $16,000 documented funeral expenses for employees who lose their lives in the course and scope of employment. ARTICLE 12 - PERSONNEL PRACTICES A. Interchangeable Use of Police Officers and Senior Police Officers. Senior Police Officers and Police Officers may be freely utilized interchangeably in positions presently staffed by either classification in the various divisions with the following exceptions where only Senior Police Officers may be permanently assigned: 1. Criminal Investigation Division 2. Internal Affairs Unit 3. Narcotics and Vice Investigation Division 4. Organized Crime Unit 5. Training The Chief of Police shall not assign any officer to the position of Field Training Officer who has less than three (3) years of seniority. In the event of exigent circumstances, the Chief of Police may assign an employee from the rank of police officer to work in one (1) of the Senior Police Officer only positions for a period not to exceed ninety (90) calendar days during a calendar year. This period may be extended for one (1) additional ninety (90) calendar day period. B. Disability. 1. A disability shall be defined as a physical injury or illness which prevents an officer from fully performing assigned duties in all major divisions of the Department. 2. A permanent disability shall be defined as an injury or illness which disables an officer to the extent that it cannot be said in reasonable medical probability that the officer will be able to return to full duties within one (1) calendar year. 3. The Chief may at any time require a medical examination to determine if an officer is permanently disabled. When it is determined that an officer is permanently disabled, the Chief shall be entitled to terminate or retire the officer, and whichever is applicable. In the event the Chief determines, after consultation with the City Physician, that the officer is permanently unable to perform his or her job duties, he may institute immediate termination or retirement if applicable. An officer may call for further examination by a board of three (3) physicians. One such physician | Page 54 shall be appointed by the City, one (1) by the officer and the third by agreement of said physicians. The officer and the City shall pay their own appointed physicians and the parties shall share equally in the cost of the third physician. The majority finding of the three (3) physicians as to whether a permanent disability exists shall be final and non-appealable. 4. Upon termination or retirement for permanent disability, the officer shall be entitled to a lump sum payment for all his/her accumulated personal sick leave, but shall not be entitled to use or be compensated for any pool hours. 5. Upon any employee's being absent from duty for ninety (90) working days as a result of a single illness or injury, the Chief shall immediately require the employee to submit to a medical examination to determine whether the employee is permanently disabled, such determination to be made in accordance with the procedures in the preceding paragraph. 6. An officer who has previously been declared permanently disabled may be eligible for re-appointment to the service by the Chief upon certification by the City Physician that he or she recovered from the disability and is able to perform full duties. Provided, however, after two (2) years from the date of such disability the employee shall no longer be eligible for re-appointment. In the event the Chief denies a request for reappointment pursuant to this section, the officer may appeal such denial in writing within fourteen (14) calendar days to the City Manager. The City Manager shall render a decision on the appeal in writing within fourteen (14) calendar days of receipt of the appeal. The determination of the City Manager shall be final and binding on the parties and shall not be subject to appeal to a grievance, arbitration or any other body. C. Civil Service Internal Investigations. The Civil Service Commission shall not conduct investigations of internal affairs within the Police Department. The term "investigation" means investigations of alleged misconduct of one (1) or more police officers by the internal investigation unit of the Police Department. It is agreed that such internal investigations shall be the duty and responsibility of the Chief of Police. This specific alteration of Chapter 143 is authorized by Chapter 174. D. Civil Service Commission Records. All rules, opinions, directives, decisions, and orders issued by the Civil Service Commission shall be preserved in written minutes. Such actions need not be copied verbatim in the minutes; it shall be sufficient to accurately summarize such actions. The Chairman or, in his/her absence, the Vice-Chairman of the Commission shall sign the minutes; the signatures of the concurring members on any action shall not be required. The Commission may, if it desires, cause any rules, decisions, directives, or orders to be reduced to writing, apart from the minutes. All such written records of the Commission shall be public records. E. Notice of Shift Change. The Chief of Police shall post the monthly shift change schedule at least forty-eight (48) hours prior to the beginning of said shift change. This requirement shall not limit the right of the Chief of Police to reassign employees on short notice to other shifts, based upon scheduling and manpower contingencies that may arise. Recognizing that shift changes, transfers and job assignments may require the assessment of a number of factors, the Chief of Police maintains the right to make all shift changes, transfers | Page 55 and job assignments in accordance with its determination of what is in the best interest of the Department. The Chief of Police shall adopt and provide a copy of the departmental transfer procedure to each employee. Except in the case of an emergency, or unless operational circumstances require otherwise, job vacancies will be brought to the attention of employees so that those interested in a vacant position may express their interest to the supervisor who is responsible for selection. Notice of vacant positions, skills required, and process to be used to make the selection will be posted on the department bulletin boards in the form of a staff memorandum or e-mailed to all employees. The Chief of Police shall make a reasonable effort to assure that all eligible employees under his/her command are aware of the vacancy and the process to be used to make the selection. Employees who are interested in a vacant position should contact the appropriate supervisor in writing. Before the vacancy is filled, employees will be allowed a reasonable amount of time to apply. Skills, knowledge, abilities, training, previous experience and seniority shall be among the factors considered in the policy adopted by the Chief of Police. The Chief of Police shall post the results of his/her decision on the filling of any job vacancy. Although not subject to the grievance procedure, should an employee feel that a misapplication of this provision in regards to shift changes, transfers or job assignments has occurred, he or she may file an informational complaint with the Chief of Police. The Chief of Police shall meet personally with the employee within thirty (30) calendar days of the complaint being filed. Although not subject to the grievance procedure, should the Association feel that there has been a misapplication of this provision in regards to the policy or process on shift changes, transfers or job assignments, the Association may file an informational complaint with the Chief of Police. The Chief of Police shall meet personally with the Association and respond in writing to all Association informational complaints within thirty (30) calendar days of the complaint being filed. F. Wearing of Uniform on Off-Duty Security Jobs. An “off-duty security job” shall be defined as off-duty employment, the primary purpose of which is to utilize, or to potentially utilize, the training and police powers of the Corpus Christi police officer. The Chief may at his/her discre- tion; require a police officer working an off-duty security job to wear a police uniform during his/her first (1st) year of employment. After the first (1st) year of employment, the Chief may require a police officer working an off-duty security job to wear a police uniform where the circumstances clearly demonstrate that by said officer’s failure to wear a uniform; he would present a danger to the public, the secondary employer, and the efficiency of the Police Department. The criteria that the Chief shall consider in determining whether or not a danger exists include: 1. The secondary job assignment; 2. The officer's personnel evaluations and experience; 3. The officer's prior disciplinary record; and | Page 56 4. The presence or absence of commendations and awards. G. Entrance Examinations. Entrance examinations may be administered at any time or location to qualified groups or individual applicants. Names placed on the eligibility list for entrance appointments shall remain on that list for three hundred and sixty-five (365) calendar days from the date of the written examination. The eligibility list shall exist continually as names are added and deleted. No applicant shall be permitted to take an entrance exam more than once for an academy class. The oral interview shall be graded and such grade shall be computed into the final score. H. Lateral Hiring Process. (a) The Chief, without regard to the existence of or requirement for any eligibility list for beginning positions in the Department, may appoint applicants to beginning positions in accordance with this lateral hiring process. Each applicant must (1) have a current TCOLE peace officer intermediate certification; (2) be employed or have been employed for at least three (3) continuous years as police officer by an incorporated Texas city, as a deputy sheriff in any Texas County of at least 120,000 population according to the most recent U.S. Census, or by the Texas Department of Public Safety; and (3) actively worked as such within the three hundred and sixty- five (365) calendar day period preceding his/her application. (b) Each applicant must successfully complete entry requirements, including a medical examination, a physical fitness examination, a written proficiency examination to identify writing skills and knowledge of Texas law, a background investigation (to include a polygraph), a pre- employment drug test, a psychological examination, a panel interview (panel to be appointed by the Chief) and any other current eligibility requirements deemed appropriate by the Chief. (c) The Chief, in his/her sole discretion, may deny the application of any applicant at any time. Such decision shall not be appealed to arbitration, to the Commission or to any Court and shall not be subject to the grievance procedure in this contract. Applicants who are hired must successfully complete an academy specifically designed for applicants who are hired in accordance with this lateral hiring process. (d ) The beginning salary of officers appointed under this lateral hiring process is found in Article 10, Salary and Benefits. These officers shall be treated as new employees for all other purposes, including seniority, benefits and eligibility for promotion. Officers hired through this lateral hiring process must meet the same promotional eligibility requirements as Corpus Christi Police Department Officers hired through the Department’s regular hiring process. (e) Officers hired under this lateral hiring process shall serve a three hundred and sixty five (365) calendar day probationary period beginning with completion of the academy and may be discharged during this period at the discretion of the Chief, without appeal to arbitration, to the Commission or to any Court and shall not be subject to the grievance procedure in this contract. | Page 57 (f) The Association, recognizing the City’s need for flexibility in the hiring process, hereby agrees this article supersedes the hiring procedures in Chapter 143 of the Texas Local Government Code (Civil Service Act) I. Reinstatement The Chief, at his/her sole discretion, may rehire police officers who terminate their employment with the City of Corpus Christi and request in writing to be reinstated within eighteen (18) months. The rehired officer shall be required to enter at the rank of police officer regardless of the rank they held when they terminated their employment. The rehired officer shall be allowed to retain all seniority they held prior to terminating their employment; however, the rehired officer must wait eighteen (18) months to be eligible to take the senior officer examination. If rehired, the officer shall not be required to take the civil service entrance examination or to re-enter the basic academy. For example, a rehired officer who had five (5) years of seniority when they terminated their employment would be rehired at PO7 at the forty-two (42) month pay step. When a rehired (reinstated) officer passes the senior officer examination, he or she shall retain all seniority he or she had as a senior officer prior to terminating their employment. For example, if an officer had five (5) years of service in the rank of senior officer when he or she terminated their employment, the officer shall be credited with five (5) years of seniority as a senior officer when they pass the senior officer examination after being rehired (reinstated), and shall be paid as a five (5) year senior officer. However, a rehired (reinstated) officer who makes senior officer again shall serve for a period of two (2) continuous years before being eligible to take the lieutenant’s examination. The Chief shall have the right to require a rehired officer to successfully complete a designated course of in-service training and to impose a one hundred and eighty (180) day probationary period from the date of rehire during which the officer may be discharged at the discretion of the Chief without appeal to arbitration, to the Commission, or to any court and shall not be subject to the grievance procedure in this agreement.] J. Mandatory Random Drug Testing. The City and the Association agree that police officers may be called upon in hazardous situations without warning, and that it is imperative to the interest of police officers and the public to ensure that police officers are not substance impaired. In order to further their joint interest in protecting police officers and the public, the City and the Association agree to mandatory random drug testing described in this section. Thirty percent (30%) of police officers of all ranks shall be mandatory random drug tested during each calendar year on a fair and impartial statistical basis as provided in the Police Department's Drug and Alcohol Policy. The fair and impartial statistical basis (in which each police officer has an equal chance of being selected) shall be by a non-discriminatory computerized program operated and certified as non-discriminatory by an independent firm hired by the City, and the employee shall be tested upon being selected by the computer. The City shall notify the officer as to whether the test was post-accident, random or based upon reasonable suspicion. At no time will “Direct Observation” be used during any type of drug testing. For the purposes of this section: | Page 58 A. “drug testing” shall be defined as the compulsory production and submission of urine by an officer for chemical analysis to detect the presence of prohibited drug usage. B. “random drug testing” shall mean drug testing of individuals selected by the method described in the prior paragraph. C. “reasonable suspicion” shall be defined as a judgment/conclusion that a person is unable to safely and/or effectively perform their duties due to the suspected influence of drugs, alcohol, or inhalants. Reasonable suspicion is based on specific, observable facts that an officer may be under the influence of drugs, alcohol, or inhalants. Reasonable suspicion testing may involve urine or blood as determined under existing legal standards. An employee’s mandatory random drug test results and related collection and diagnostic information shall be disclosed to the City to administer and enforce the Police Department’s Alcohol and Drug Policy and this Collective Bargaining Agreement. The City and the Association otherwise regard an employee’s mandatory random drug test results and related collection and diagnostic information as confidential. The City and the Association have a mutual interest in ensuring that drug impaired employees do not perform law enforcement duties. The City and the Association agree that the purpose of the mandatory random drug testing is not to punish an employee who has not violated the Police Department’s Drug and Alcohol Policy. The City and the Association are committed to the principal that the mandatory random drug testing for employees is designed and will be administered to result in disciplinary action only against those officers who have violated the Police Department Drug and Alcohol Policy. The City has developed a Police Department Drug and Alcohol Policy with procedures and protocols, which follow the requirements of SAMHSA/CAP FUDTP. The section of the Police Department Drug and Alcohol Policy dealing with mandatory random drug testing and the consequences thereof is subject to amendment by the City only as the City determines is necessary to follow the requirements of SAMHSA/CAP FUDTP. A grievance regarding the application, interpretation or enforcement of the language in this section is subject to mandatory arbitration. The sample for testing shall be a split sample. The collector shall inform the officer of the size of the required sample, and shall use a chain of custody process to split, label and send the sample, which shall be forwarded on the same day as the sample is taken. The City shall require any laboratory selected for collecting samples, to conduct a background investigation on those laboratory personnel involved in the collecting or handling an unsealed sample. The City is permitted to and does utilize a different lab for steroid testing. In addition, the City shall require any laboratory selected for collecting samples to use only employees who have not been arrested by members of the Corpus Christi Police Department or convicted of a felony or misdemeanor crime involving dishonest conduct or possession of illegal drugs to be involved in the collecting or handling of an unsealed sample collected from a Corpus Christ Police Officer. Test results shall be inadmissible in any administrative disciplinary hearing if it is determined that the laboratory collecting samples has failed to conduct a background investigation on the laboratory personnel involved in collecting or handling the unsealed sample which resulted in a positive test result. The burden of showing that a background investigation was not conducted shall be on the party seeking | Page 59 to have the test results excluded from the administrative hearing. The City shall use only a SAMHSA/CAP FUDTP certified laboratory for mandatory random drug testing and shall require that such laboratory comply with the requirements of SAMHSA/CAP FUDTP. The results of the test or tests shall be sent by the laboratory to the Medical Review Officer via express mail service. The MRO may act separately on test results from each lab. The City shall allow the Association input into the Request For Proposal (RFP) on the selection of the Medical Review Officer. The test shall be a Police Department ten (10) panel test as set out in the Police Department Drug and Alcohol Policy. The specimens collected for testing shall be maintained in a secured area until picked up by the courier. The City shall use only a Medical Review Officer (MRO) for the City of Corpus Christi who is a licensed physician and who is certified as a Medical Review Officer by the American Association of Medical Review Officers. Nothing in this article shall be construed to abolish the existing authority and practice of the City to conduct drug test for: 1. Pre-employment 2. Pre-assignment for Vice, Narcotics, Organized Crime or Emergency Reaction Units or as a dispatcher or clerk in the Communications Division or as a Bomb Technician or as a member of the Peer Support team. 3. Reasonable suspicion. 4. Post - accident 5. Post - firearm discharge Such test will be conducted under the same laboratory processes and protocols as mandatory random testing. K. Layoffs, Recalls and Reductions in Force. Layoffs, recalls and reductions in force shall be pursuant to Section 143.085. L. Temporary Duties in Higher Classification. A Senior Police Officer temporarily performing the duties of a Lieutenant or a Lieutenant temporarily performing the duties of a Captain shall not be temporarily appointed or made acting Lieutenant or Captain, but shall be paid for hours worked in the higher classification pursuant to Chapter 143.038, Texas Local Government Code. M. Physical Fitness. 1. The Chief of Police and the Association may mutually agree in writing to adopt a physical fitness assessment model, adjusted for age and gender. 2. The City at its sole discretion may offer incentives, either in pay or leave time, if the Association mutually agrees in writing. | Page 60 3. The City agrees to establish a police officer wellness program. This program will also include distribution of nutrition and fitness information during in-service training. ARTICLE 13 - PROMOTIONS A. Posting and Administration of Promotional Examinations. A listing of materials from which promotional examination questions are taken shall be posted annually each January for examinations administered within the three hundred and sixty-five (365) calendar day period beginning the following April. The City shall post the date of the examination and a listing of the above materials no later than sixty (60) calendar days prior to an affected examination. Study materials will be available at least sixty (60) calendar days prior to an examination. No competitor for an exam may receive from an authorized or unauthorized person any part of a promotional examination for unfair personal gain or advantage. With respect to vacancies in the ranks of Lieutenant and Captain, where no current eligibility roster exists, the City shall have one hundred and twenty (120) calendar days from the date of vacancy to complete the administration of written and Assessment Center examinations and post an eligibility roster. The Chief shall have thirty (30) calendar days from the posting of a Lieutenant or Captain eligibility roster to review the candidates and select an appointee, even if posting should for some reason occur more than one hundred and twenty (120) calendar days from the date of vacancy. For the purposes of this agreement, the term “vacancy” shall occur whenever no person holds the position or a person previously holding the position is permanently disqualified from maintaining the position. A vacancy does not occur during the pendency of a person’s appeal of a suspension, indefinite suspension or demotion. B. Promotional Examination Corrections. The Civil Service Director shall have authority to recommend to the Civil Service Commission changes to entrance, or promotional examination questions where clerical errors in compiling the test questions have been discovered or where a question arises as to general accuracy. C. Senior Police Officer's Proficiency Examination. Police officers who have sixty (60) months of service in the Corpus Christi Police Department after commissioning as a police officer and possess either an Intermediate Certificate from TCOLE or at least sixty (60) hours of college credit from an accredited college or university shall be eligible to take an individual pass-fail written proficiency examination to qualify for immediate advancement to the rank of Senior Officer. Proficiency examinations shall be administered on a semi-annual basis. One (1) test shall be given within one (1) month of each academy becoming eligible. If only one (1) academy is eligible in any given year, the second test shall be given within six (6) months of the last test if there are any eligible officers. Officers shall advance only after successfully passing the examination by correctly answering at least seventy percent (70%) of all questions provided in the test. The results, of the proficiency test, with the exception of fraud, shall not be appealable to the Civil Service Commission. | Page 61 D. After Acquired Educational Requirement for Lieutenants Promoted to Captain. Lieutenants promoted to Captain who do not have a bachelor’s degree from an accredited college or university shall be required to obtain a bachelor’s degree from an accredited college or university within forty-eight (48) calendar months of their promotion. This section does not apply to employees promoted to Captain prior to April 22, 2003. An employee who fails to obtain the required bachelor’s degree shall be demoted to Lieutenant. An employee so demoted shall have no right to prior notice, a statement of charges, or to file a grievance or to appeal the demotion, and the Commission shall have no jurisdiction, power, or authority to investigate or review such demotion or to alter the terms of such demotion. Upon demotion from the Captain classification, an employee shall resume the competitive classification of Lieutenant from which he was promoted and his/her salary shall be in accordance with said competitive classification with service time credited as continuous time in that competitive classification and with his/her salary increases to which he would have been automatically entitled had he continuously remained in said competitive classification. When an employee is demoted, the demoted employee shall not “bump” another employee who is in the competitive rank of Lieutenant. E. Appointment of Assistant Chiefs, and Deputy Chiefs. All promotions to the classifications of Assistant Chief or Deputy Chief shall be exempt from competitive examinations, and instead shall be made by appointment by the Chief. The appointment shall be within the discretion of the Chief, provided that the Chief shall promote the employees from the classifications specified elsewhere in this agreement. Captains appointed to Deputy Chief after May 1, 2003, who do not have a bachelor’s degree from an accredited college or university, shall be required to obtain a bachelor’s degree from an accredited college or university within forty-eight (48) months calendar months of appointment by the chief. Lieutenants appointed to Deputy Chief after January 30, 2007 who do not have a bachelor’s degree from an accredited college or university shall be required to obtain a bachelor’s degree from an accredited college or university within forty-eight (48) calendar months of appointment by the chief. Persons who fail to obtain the required bachelor’s degree shall be removed from the appointed position by the chief. Captains or Deputy Chiefs appointed to Assistant Chief who do not have a master’s degree from an accredited college or university shall be required to obtain a master’s degree from an accredited college or university within forty-eight (48) calendar months of appointment by the Chief. Lieutenants appointed to Assistant who do not have a master’s degree from an accredited college or university shall be required to obtain a master’s degree from an accredited college or university within forty-eight (48) calendar months of appointment by the Chief. Persons who fail to obtain the required master’s degree shall be removed from the appointed position by the Chief. Employees appointed to the positions of Assistant Chief or Deputy Chief under the provisions set out herein may be demoted from said position at the discretion of the Chief. An employee so demoted shall have no right to prior notice, a statement of charges, or to file a grievance or to appeal the demotion, and the Commission shall have no jurisdiction, power, or authority to investigate or review such demotion or to alter the terms of such demotion. Upon demotion from such an appointed classification, an employee shall resume the competitive classification from which he or she was appointed and his/her salary shall be in accordance with said competitive classification with service time credited as continuous time in that competitive classification and with all salary increases to which he or she would have been automatically entitled had he or she continuously remained in said competitive classification. When an employee is demoted in rank from an appointed classification due to a reduction in force, the demoted employee shall not “bump” another employee who is in a competitive rank. | Page 62 F. Probationary Period for Lieutenants and Captains. Employees promoted to the rank of Lieutenant or Captain may be demoted at the discretion of the Chief, without appeal to the Commission at any time during the three hundred and sixty-five (365) calendar day period subsequent to being so promoted. An employee so demoted shall have no right to prior notice, a statement of charges, or to file a grievance or to appeal the demotion, and the Commission shall have no jurisdiction, power, or authority to investigate or review such demotion or to alter the terms of such demotion. G. Filling Vacancies Below Deputy Chief. Upon written request by the Police Chief for a person to fill a vacancy in any classification below the rank of Deputy Chief, the Commission shall certify to the Police Chief the names of the three (3) persons on the eligibility list having the highest grades for the position to be filled, and the Police Chief may select any one (1) of the three (3) persons so certified. The Police Chief need not state in writing his/her reason for selection or rejection of any of the three (3) persons certified by the Commission. In the event a person rejected desires to appeal the action of the Police Chief, such appeal shall be to an arbitrator selected as specified in paragraph F of Article 7, and there shall be no appeal to the Civil Service Commission. The person rejected who desires to appeal the action of the Police Chief is charged with the burden of proof of showing that the rejection was for some reason other than the officer's ability to perform at the higher rank. The arbitrator may overturn the decision of the Chief. The question of rejection on the part of the Police Chief shall be determined by the arbitrator. To the extent this paragraph alters any provision of Chapter 143, Chapter 143 is so altered, and it is mutually so agreed. H. Eligibility for Promotion. The following rank, service, and educational or certification levels shall be required of all officers participating in the promotional procedure as set forth in this contract. Current Rank Rank Sought Service Requirements Testing Requirements Police Officer Senior Police Officer 5 years prior to exam and possess either an Intermediate certificate or 60 hours of credit from an accredited college/university. Written Proficiency Exam Senior Police Officer Lieutenant 2 years of service in rank immediately prior to exam and possess either an Intermediate certificate or 60 hours of credit from an accredited college/university. Promotional Exam and Assessment Center Lieutenant Captain 2 years service in rank immediately prior to exam and a Bachelors Degree from an accredited college/university within 48 months of appointment to Captain. Promotional Exam and Assessment Center Lieutenant Deputy Chief 2 years service in rank immediately prior to appointment and a Bachelors Degree from an accredited college/university None | Page 63 within 48 months of appointment to Deputy Chief. Lieutenant Assistant Chief 5 years service in rank immediately prior to appointment and a Masters degree from an accredited college/university within 48 months of appointment to Assistant Chief. None Captain Deputy Chief No minimum service requirement. A Bachelors degree from an accredited college/university within 48 months of appointment to Deputy Chief. None Captain or Deputy Chief Assistant Chief No minimum service requirement. A Masters degree from an accredited college/university within 48 months of appointment to Assistant Chief. None I. Promotional Procedures. The promotional examination procedure for the classification of Lieutenant and Captain shall consist of two (2) parts as follows: 1. Written Examination - Shall consist of questions relating to the specific duties of the position to be filled. The written examination shall have no specific failing score but will provide a ranking of participants from high to low score. In the event that written examination scores are the same, the earliest time for submitting the examination form to the test administrator for grading shall determine respective standing. Only the highest ten (10) scorers from the Captain’s written examination shall be allowed to continue on to the next phase of the examination process. Only the highest fifteen (15) scorers from the Lieutenant’s written examination shall be allowed to continue on to the next phase of the examination process (Assessment Center). The City will engage an independent consultant firm to professionally develop the written examination questions after consultation with the Human Resources Department. Such firm shall deliver the examination questions in a sealed and secured manner confidentially to the Human Resources Department, which will maintain them confidential, in a safe and secure manner. Under no circumstances shall the examination questions be taken out from under the confidential supervision and control of the Human Resources Department. If any of the eligible ten (10) candidates for Captains or the eligible fifteen (15) candidates for Lieutenant has an indefinite suspension on appeal the City may add an additional candidate for each such pending appeal to the Assessment Candidate Pool. 2. Assessment Center Examination - Shall consist of: An adequate number of certified police officers from outside the Police Department holding comparable or higher positions in a Police Department operating in a city of 100,000 or more population shall be selected to serve as assessors. All Assessors may be chosen by the Association and must have received authorization to participate by his/her respective Department. The Chief shall have the right to review the list of assessors and may strike no more than three (3) names from the list. If the Chief exercises the right to strike, he must provide a replacement(s) | Page 64 within five (5) calendar days of reviewing the list. The identification of the assessors shall be kept confidential. The Association President or Designee who develops the assessor list must not be a candidate for the promotional exam for which the list of assessors has been developed. The assessment center examination date(s) will be posted on the same day the written test announcement is posted. On the day or days of the promotional assessment center the candidates may participate in the assessment process in lieu of duty. Assessors shall be trained in the methods to be used in administering the test for a minimum of eight (8) hours. All candidates will be given the opportunity to attend a classroom orientation period concerning the assessment center process. The orientation will include general information concerning the exercises they will be taking during the assessment process. The independent consultant shall develop at least three (3) exercises which he/she determines adequately assess measurable dimensions of the job analysis. All oral, group or role-playing exercises shall be audio and visually recorded to be graded at a later time. If a role-playing exercise is included as part of the assessment center, the same assessor(s) shall serve as the actor(s) for all candidates for that specific exercise. In any role- playing exercise, the assessor(s) that serves as the actor(s) shall be provided with a standardized script or list of questions and/or responses. Each candidate will be presented with the same script or list of questions and/or responses by the role-playing assessor(s). In no case shall an assessor evaluate a candidate where they performed the role of actor. Time shall be allotted that each individual exercise will be assessed in order, by the same assessors per exercise and without interruption, to insure fairness and the elimination of exterior factors. Feedback shall be provided to each candidate in a “feedback” session by the assessment center coordinators. The purpose of this session will be to provide each candidate with his/her score, what areas he/she excelled in, what areas he/she did poorly in, and what they might do to improve their performance in the future. The scores of the assessment center shall count sixty percent (60%) of the combined score and the written examination scores shall count forty percent (40%) of the combined scores to determine the final ranking when one (1) point for each year of service is added up to a total of ten (10) points maximum and (5) points maximum from lieutenant to captain for each year of service at the rank of lieutenant. J. Eligibility List. Within forty-eight (48) hours of the completion, excluding weekends and holidays, of the Assessment Center Examination, an eligibility list shall be prepared and posted with the respective ranking of all applicants based on the following weights: (1) Written Examination 40% (2) Assessment Center Examination 60% 100% Points on Lieutenant’s Examination 1 point for each year of service as a commissioned officer with the department up to a maximum of 10 points 10 points 110 Maximum Points | Page 65 Points on Captain’s Examination 1 point for each year in rank up to a maximum of 5 points 5 points 105 Maximum Points The results of the Assessment Center shall be binding for three hundred and sixty-five (365) calendar days and with the exception of fraud, shall not be appealable to the Civil Service Commission or arbitration. K. Contract Training for Lieutenants. As part of the New Lieutenant Training Program, employees newly-promoted to the rank of Lieutenant will be required to attend one four (4) hour contract training session relating to specific provisions of the current Collective Bargaining Agreement between the City of Corpus and the Corpus Christi Police Officers Association. The training session will be sponsored by the Association and will be held at a place designated by the Association. L. Grievances or Suits Claiming Right to Promotion. Any grievance or suit, known or unknown, claiming a right to promotion shall be filed in compliance with this Agreement no later than twenty (20) calendar days after the expiration of the eligibility list which is the subject of such grievance or suit. In the event of an award by an arbitrator or court in such a proceeding, no other person with a ranking on any previously expired eligibility list pertaining to any rank, at the time of such judgment or award, shall ever be entitled to promotion, back pay, enhanced seniority, or any other relief. M. Chapter 143 Applicability. No Portion of Chapter 143 is applicable to the promotional process for Assistant Chief, Deputy Chief, Captain or Lieutenant with the exception of Sections 143.032(h), (i), and 143.034 and 143.028(c). N. Nepotism. 1. Promotions. This section shall take precedence over any other provisions of this Article or Agreement. If a relative of the Chief is a candidate for lieutenant or captain and qualifies by written examination to continue with the assessment center examination, the Chief shall not participate in the promotional process or in making of any appointment from the list established there from and the City Manager shall exercise all of the contractual and statutory authority of the Chief with respect to said process and appointments. If the Chief’s relative is promoted, the Chief shall not participate in the probationary review of the relative under Section E of this Article, and the City Manager shall exercise all of the Chief’s authority under Section E and any related statutory provision. The Chief shall not participate in any other action, which would affect the relative’s promotion or probationary review, and the City Manager shall exercise all contractual and statutory authority, which the Chief would otherwise exercise in connection with any such action. “Relative” is a person related to the Chief within a degree described by Section 573.002, Government Code. | Page 66 2. Transfers. This section shall take precedence over any other provisions of this Article or Agreement. If a relative of the Chief requests an inter-divisional personnel transfer, the Chief shall not participate in the decision-making process or in making any transfer. The City Manager pursuant to General Rules Manual 1.12 shall exercise all of the contractual and statutory authority of the Chief with respect to said transfer. “Relative” is a per son related to the Chief within a degree described by Section 573.002, Government Code. O. The final score shall be carried forward until a decimal place determines their ranking on the eligibility list. P. Time served as an acting or temporary Lieutenant between December 1, 2006 and December 10, 2010. For the sole purpose of moving beyond the eighteen (18) month step, officers holding the rank of Lieutenant who were appointed between December 1, 2006 and December 10, 2010 shall be credited for time served as an acting or temporary Lieutenant. This section shall not be appealed to arbitration, to the Commission or to any Court and shall not be subject to the grievance procedure in this contract. ARTICLE 14 - EMPLOYEE MANAGEMENT RELATIONS A. Labor Relations Committee. The City and the Association, having recognized that cooperation between management and employees is indispensable to the accomplishment of sound and harmonious labor relations shall jointly maintain and support a labor relations committee. The labor-management committee shall consider, discuss and recommend to the Chief any problems pertaining to the employment conditions of employees. Matters subject to the grievance procedure shall not be appropriate items for consideration by the labor-management committee. The labor management committee shall consist of the following: (1) Director of Human Resources or his/her designee; (2) The Chief or his/her designee, who shall be a police officer within the Police Department; (3) the Association President or his/her designee, who shall be a police officer from the Police Department from the Association; (4) the Association Vice-President or his/her designee, who shall be a police officer from within the Police Department from the Association; and (5) a member of the Association designated by the President who must be a police officer within the department. There shall be a written agenda of matters to be discussed. Officers desiring items placed on the written agenda shall forward the matter in writing to the Office of the Chief of Police through the President of the Association. The labor- management committee shall meet bi- monthly unless mutually agreed otherwise, and a written summary report of the meeting shall be generated within thirty (30) calendar days subsequent to the meeting. B. Legal Defense. The City will provide a legal defense to any police officer in a civil lawsuit, on account of any action taken by such police officer while acting within the course and scope of the police officer's employment for the City of Corpus Christi. The City, by conducting or participating in the employee’s defense, does not assume any obligation or liability not otherwise imposed by law, and does not expressly or impliedly waive an immunity or defense, which is available to the City. The City need not assume any obligation not otherwise imposed by law for any judgment which is rendered against an employee who committed intentional acts, was grossly negligent, or reckless. | Page 67 1. The police officer shall notify the City of any claim being made against such police officer not later than thirty (30) calendar days from that date that such police officer received notice of such claim, and shall request the City to assume the defense of the police officer regarding such claim. The City may require that such request be made in writing. 2. If suit is brought against such police officer, such police officer shall immediately forward to the City Attorney every demand, notice, summons or other process received by him. 3. Such police officer shall cooperate with the City, and, upon the City's request, shall assist the City in arriving at settlement agreements, and the conduct of suits, and in enforcing any rights of contribution or indemnity against any person or organization who may be liable for all or part of such damages, and shall attend all hearings and trials and assist in securing and giving evidence and obtaining the attendance of witnesses. 4. If the City Attorney undertakes to represent the employee rather than provide private counsel, he or she shall disclose to the employee any conflicts of interest between the employee and the City in the civil action. If the employee chooses not to waive the conflict of interest, the City shall retain qualified private counsel. ARTICLE 15 - IMPASSE PROCEDURES Negotiations for a new contract shall commence in accordance with Chapter 174. If impasse should be reached as defined in Chapter 174, either party may request mediation, and upon such request, the parties shall immediately proceed to choose one mediator as provided herein. The function and powers of the mediator shall be as specified in Section 174.151. The mediation shall extend for fourteen (14) calendar days. If no agreement is reached through mediation, upon request of either party, the parties shall submit the dispute to one (1) Fact finder, chosen as provided herein. The Fact finder shall conduct a full and fair hearing. By agreement the parties may submit an issue or issues to the Fact finder. If no agreement is reached, each party shall be entitled to submit four (4) proposals to the Fact finder, each proposal on a distinct topic. For example, each of these constitutes a distinct topic: salary, dependent health insurance coverage, promotional procedures, and political activities. Each party may submit its four (4) proposals and its alternatives to the other party’s proposals. The hearing shall be informal and strict rules of evidence shall not apply. After hearing all evidence offered by the parties, and any evidence requested independently by the Fact finder, the Fact finder shall render a written decision making findings of fact and recommendations as to all matters in dispute. In the opinion, the Fact finder shall state his/her reasons for his/her findings of fact and recommendations. In rendering such findings and recommendations, the Fact finder shall exercise his/her independent judgment and shall not attempt to “split the difference.” In making the findings of fact and recommendations, the Fact finder shall consider the following evidence submitted to him by the parties or obtained at his/her direction: the overall compensation in the current contract including direct salary and fringe benefits; the income available to the City and demands on that income; a comparison of wages, hours, and conditions of employment of Corpus Christi police officers with the wages, hours, and conditions of | Page 68 employment of other public and private employees performing similar services and with other employees generally in public and private employment in comparable communities and in Corpus Christi; the hazards of employment, physical, educational, and mental qualifications, job training and skills required of a Corpus Christi police officer; the cost of living in Corpus Christi relative to other communities; the rate of increase in the cost of living for the preceding twelve (12) month period using localized data to the fullest extent feasible; and any current national or state policies or guidelines with respect to compensation. The selection of the mediator and the Fact finder shall occur as follows. When either party requests mediation or fact-finding, the parties may agree to choose any mediator or Fact finder or method of choosing it. If no agreement occurs within five (5) days from the request, the parties shall request a list of seven (7) neutrals from the American Arbitration Association (AAA). Upon receiving the list, the parties shall select the Mediator or Fact finder by alternately striking names. The request to AAA shall state the dates on which the neutrals must be available. The mediator and the Fact finder shall be selected within seven (7) calendar days after receipt of the list from the AAA. The fee and expenses of the mediator and the Fact finder shall be split equally between the City and the Association. All other expenses, including witness fees, shall be paid by the party incurring the expense or calling the witness. If, within seven (7) calendar days after fact-finding, the parties have failed to agree to a contract, the major, unresolved issues shall be submitted to the qualified voters of Corpus Christi in a referendum election according to the following procedure. The election shall be held on the first date permissible under state law. By agreement the parties may submit any issue or issues to the voters. If no such agreement is reached, then each party shall be entitled to submit two (2) issues to the voters, each issue on one (1) distinct topic. For example, each of these constitutes a distinct issue: salary, dependent health insurance coverage, promotional procedures, and political activities. Each party will submit its two (2) issues, and its alternatives to the other party's issues, so that the voters will vote on four (4) distinct issues. Each voter will have the option of voting for all of the issues of one party, or for some issues of one party and some of the other. The issues submitted to the voters will appear on the ballot exactly as each respective party would have them appear in the contract. The decision on each issue by a majority of the voters voting on the issue at the referendum election shall be binding on the parties, subject to the laws of Texas, and shall be adopted as part of the collective bargaining agreement. In the absence of agreement of the parties to the contrary, the term of the provisions adopted by the voters shall be the same as the term of the entire contract entered into by the parties, or, in absence of such a contract, shall extend until the next July 31 following the election or until a new contract is agreed upon. The Association shall pay the cost of printing the ballots. All other costs of the elections shall be paid by the City. The place of the respective parties on the ballot shall be determined by coin flip. An impasse referendum can be canceled at any time up to fifteen (15) calendar days prior to the election date by agreement of the parties. The Association and the City agree that during the term of Article 16, no request shall be made for submission of unresolved issues to arbitration under Chapter 174 or any other statute, charter or ordinance provision, and that any such request shall be void and ineffective. | Page 69 Any provision of this Article 16 may be amended by written agreement of the parties. If the impasse procedures established herein shall be held invalid by the courts, all other provisions of this Article 16 shall become ineffective, unless the parties agree in writing to continue them in effect. ARTICLE 16 - POLITICAL ACTIVITIES The City may prohibit police officers from taking an active part in any political campaign of another for an elective position of the city if they are in uniform or on active duty. ARTICLE 17 - EXISTING CONDITIONS No employee shall be unfavorably affected by the signing of this agreement as to wages, hours, or other conditions of employment that he now enjoys, except as otherwise provided in this agreement. ARTICLE 18 - CLOSING CLAUSES A. The effective date of this agreement shall be the 1st day of October, 2019 except as otherwise provided herein, and the agreement shall remain in effect until 11:59 p.m. on September 30, 2023 and thereafter until superseded by a new agreement, whichever occurs later provided however, that in no event shall this Agreement continue in effect after September 30, 2027. B. This document constitutes the sole and complete agreement between the parties. During the term of the Contract neither party shall be obligated to bargain collectively with the other with respect to any subject; provided, this provision does not affect any obligation which may exist to negotiate a successor contract effective after the expiration of this document. The impasse procedure in Article 16 of this agreement shall be wholly inapplicable to any matter except impasse of a successful contract. C. The provisions of this contract shall take precedence over all State and local Civil Service provisions which are in conflict herewith, including for example and not by way of limitation, any contrary provisions of Chapter 141,142 and 143; City Charter of the City of Corpus Christi, Texas; ordinances of the City; Rules and Regulations of the Firefighters' and Police Officers' Civil Service Commission; and Rules and Orders of the Police Department of the City. D. If any article or section of this agreement should be found invalid, unlawful or unenforceable by reason of any existing or subsequent enacted legislation or by judicial authority, all other articles and sections of this agreement shall remain in full force and effect for the duration of this agreement. E. Both the City and the Association have relied upon their factual and legal understanding that the City is currently in compliance with state and federal law in the payment of straight time and overtime compensation in bargaining the wages and economic benefits under this agreement. Fiscal certainty is of the essence of this agreement to the City. In the event of any adverse judicial | Page 70 or agency determination finding that the City owes straight time or overtime compensation under state or federal law above that paid under past practices reflected by the City’s payroll records, the City may request in writing that the parties collectively bargain in good faith for the limited purpose of resolving the impact of any adverse ruling. FOR THE CITY OF CORPUS CHRISTI, CORPUS CHRISTI POLICE TEXAS: OFFICERS’ ASSOCIATION Date____________________________ Date_______________________________ _________________________________ ____________________________________ City Manager President CCPOA ATTEST: ___________________________________ City Secretary APPROVED AS TO FORM: _____ Day of _________________, 2019 ___________________________________________ Assistant City Attorney | Page 71 APPENDIX "A" DUES DEDUCTION AND SPECIAL ASSESSMENT AUTHORIZATION CORPUS CHRISTI POLICE OFFICERS' ASSOCIATION Dues Title Code_________ Payroll No.________ Employee No.__________ Code No.__________ Social Name__________________________________ Security No.____________________ (Last) (First) (M.I.) Address____________________________________________ Zip Code_____________ I hereby authorize the City of Corpus Christi to deduct each pay period a sum as certified by the Corpus Christi Police Officers’ Association as the current rate of dues or an amount as may hereafter be established by the Corpus Christi Police Officers’ Association as dues, or special assessment approved in accordance with the collective bargaining agreement and Association Constitution and Bylaws. This deduction is to be forwarded directly to the Corpus Christi Police Officers' Association. The authorization of this deduction is entirely voluntary on my part. I understand that the City of Corpus Christi will be obligated to forward to the Association only those sums actually deducted and will not be liable for damages to me for failure to deduct any authorized sum for any reason. Signed_______________________ Date ________________________ | Page 72 APPENDIX "B" TERMINATION OF DUES DEDUCTION ON SPECIAL ASSESSMENT AUTHORIZATION CORPUS CHRISTI POLICE OFFICERS' ASSOCIATION Dues Title Code___________ Payroll No.________ Employee No.__________ Code No.________ Social Name______________________________________ Security No.___________________ (Last) (First) (M.I.) Address______________________________________________ Zip Code_____________ I hereby terminate the authorization previously executed by me on _______________________ for dues deduction for the Corpus Christi Police Officers' Association and request that the City make no further deductions under said authorization. This termination of dues deduction is entirely voluntary on my part and I understand that the City of Corpus Christi will not be liable for failure to promptly effectuate this termination for any reason. Signed__________________________ Date: __________________ | Page 73 APPENDIX “C” GRIEVANCE FORM City of Corpus Christi Grievance No.______ Employee:__________________________ Immediate Supervisor: Printed name: Printed Name: Grievance must be filed within thirty (30) calendar days of its occurrence or knowledge of occurrence. Any grievance not submitted within thirty (30) calendar days shall not be considered timely and shall be void. Date of Occurrence or Knowledge of Occurrence: _____________________________________ Date Grievance Submitted to the Association: ________________________________________ Step 1 Association Review (Within thirty (30) calendar days of receipt of the grievance, the Association shall determine whether the grievance is valid and notify the Chief of police in writing pursuant to Step 2.) The written grievance at Step 2 and at all steps thereafter shall contain the following information: (1) a statement of the grievance setting out the specific provision of this agreement to be interpreted, applied or enforced and the facts upon which it is based; (2) how the facts result in a violation of the agreement; (3) the remedy or adjustment sought including a clear statement of the proper interpretation, application or enforcement of this agreement; and (4) the signature of the aggrieved employee. Statement of Facts: Policy, Practice, or Contract Provision alleged to be violated: Other Individuals affected by Grievance: Remedy Sought: Grievance sent to Chief of Police this , 201__, at a.m./p.m. Date Time Grievance received by Chief/Staff Member this __________, 201__, at ____a.m./p.m. Date Time Signature of Chief or Staff Member | Page 74 Step 2 Chief of Police Review (The Chief of Police shall respond in writing to this grievance within sixty (60) calendar days of its receipt. If the Chief of Police does not respond within sixty (60) calendar days, the grievance shall be deemed denied and the Association may proceed to the next step.) The written response at this step, and management responses at all steps thereafter, shall contain the following information: (1) an affirmation or denial of the facts upon which the grievance is based; (2) an analysis of the alleged violation of the agreement; (3) the remedy or adjustment, if any, to be made; (4) the signature of the appropriate management representative. See Attached Response. Submitted by Chief of Police this , 201__, at a.m. /p.m. Date Time Signature of Chief Grievance Committee Representative received response this , 201__, at a.m. /p.m. Date Time Signature of Grievance Committee Representative | Page 75 Step 3 City Manager Review (The Association may submit a written grievance from Step 2 to the City Manager within thirty (30) calendar days of receiving the Chief of Police’s written response. The City Manager shall respond in writing to this grievance within thirty (30) calendar days of its receipt. If the City Manager does not respond within thirty (30) calendar days, the grievance shall be denied and the Association may proceed to the next step.) Grievance Sent To City Manager this , 201__, at a.m. / p.m. Date Time City Manager received Grievance this , 201__, at a.m. /p.m. Date Time Signature of City Manager or Staff Member See Attached Response. Submitted by City Manager this , 201__, at a.m. / p.m. Date Time Received by Grievance Committee Representative this , 201__, at a.m. /p.m. Date Time Signature of Grievance Committee Representative | Page 76 Step 4 Request for Arbitration (The Association may request, within thirty (30) calendar days of the denial of Step 3, that the grievance be submitted to arbitration.) Association Elects to Proceed to Arbitration on Grievance No._ _ Submitted to Human Resources by Association this , 201__, at a.m. / p.m. Date Time Signature of Association President or Designee Human Resources received from Association this , 201__, at a.m. /p.m. Date Time Signature of Director of H.R. or Staff Member