HomeMy WebLinkAboutCarl Warren & Company - 2011-07-05Council/Agency Meeting Held:_ "/ /
Deferred/Continued to:
AApp ved ❑ Conditionally Approved ❑ Denied
U4 *tAerk' ignat
Council Meeting Date: July 5, 2011
Department ID Number: HR 11-006
CITY OF HUNTINGTON BEACH
REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Fred A. Wilson, City Manager
PREPARED BY: Michele Carr, Director of Human Resources
SUBJECT: Approve and authorize execution of a Professional Services Contract
between the City and Carl Warren & Company to provide liability
claims processing
Statement of Issue: City of Huntington Beach maintains a program of self-insurance for
general liability pursuant to the California Tort Claims Act. The City desires to contract with
Carl Warren & Co. to provide assistance in administering this program.
Financial Impact: The contract in an amount not to exceed $285,500.00 (over three
contract years or $95,000 annually) will be paid from appropriations made in Business Unit
10030502.69365 liability insurance fund.
Recommended Action: Motion to:
Approve and authorize execution of a "Professional Services Contract Between the City of
Huntington Beach and Carl Warren & Company for Liability Claim Investigation and
Processing."
Alternative Action(s):
Do not approve the agreement between the City of Huntington Beach and Carl Warren & Co.
and direct staff to find an alternately qualified TPA via the RFP process.
t 1t3 -49- Item 5. - 1
REQUEST FOR COUNCIL ACTION
MEETING DATE: 7/5/2011 DEPARTMENT ID NUMBER: HR 11-006
Analysis:
Carl Warren & Co. provides claims handling services on claims against the City, its officers,
agents and employers. Services include but are not limited to: Receipt, examination and
investigation of reports of accidents, incidents, claims or cases; which are or may be the
subject of claims. Carl Warren & Co. provides adjusting services, administrative services
and legal services as outlined in the contract. Carl Warren & Co. works directly with staff,
including the City Attorney's office to coordinate coverage and mitigate loss exposures with
respect to litigated claims.
The City has utilized Carl Warren & Co. for many years and has been satisfied with their
services. Current procurement of the contract was obtained via an inter -agency agreement
with Long Beach Public Transportation Company.
Some brief information regarding Carl Warren & Co.:
-Established in 1944
-Currently Covers 400 Public Entities including, Newport Beach, Costa Mesa, Garden Grove, OC
Sanitation District, County of Los Angeles, LA Unified School District, California JPIA.
Some brief information regarding Carl Warren & Co. and the City of Huntington Beach liability
program:
-Dedicated Claims Analyst
-Handled over 2100 claims since 2001
-70% of claims closed with $0 loss dollars paid
-10% or fewer litigated claims as a percentage of total claims since 2007
-85% of claims closed with under $25K loss dollars paid
-Collaborate with staff resulting in property damage recovery of $450K since 2007
-30% reduction in billed contract expenses since 2007
Staff recommends approval of the agreement insuring continuity of service for third party
administration of liability claims. The annual contract cost is approximately $95,000 per year
for three contract years for a total contract amount of $285,000.
Environmentai Siaiuis: N/A
Strategic Plan Goal: M-nintain financial viability and our reserves
Attachments: 4
Item 5. - 2 1113 -50-
AL
r7 J 11 1
FEACH
C ro v I Fo ri-n
kz� J C., , f s i r
PART I
Date: 12121/2010 Project Manager Name: Patti Williams
Requested by Name if different from Project Manager:
Departmient: Human Resources
PARTS) OF. THE PROFESSIONAL SERVICESi CONTRACTS APPROVAL FORM MUST BE
COMPLETED BY THE REQUESTING DEPARTMENT AND SIGNED BY THE CITY
ADMINISTRATOR, FOR APPROVAL, BEFORE PROCEEDING WITH THE SOLICITATION 09
CONTRACT PROCESS. PART'l MUST BE FILED WITH ALL APPROVED COMO Irs.
1) Briefly provide the purpose for the agteerneht:
The City of Huntingtdo Beach maintains- a program of self: insurance for general liability
,pursuant. to the California Tort Claims .Act. The City desires to retain the services of Carl
'Warren & Co. to provide assistance in administering this program.
2) Estimated.cost of the services being sought: $46,000.00 3 1, -+L"
3) Are sufficient funds available to fund this contract? 0 Yes [J No
4) is thiscontract.,qqn prally described on the. list of professional servic*_;contracts; approved by"tho
City Co W, .require a rovaJ from
.0hicil? If th-e.-- antviwto this question is "No- 4' the contra will quir pp the
'City. Council:) 'NYes f_1N`p
5) Business Unit. (6 digft) And Object Code (5 digits). where funds are: budgeted:
10030502,69360 Amount $ 430,00(:00'
Amountht . ."$,
ArridU$
Amount.$.'
Arnb6ht-$
how the be obtaineo;
0) Check below Seppices will
n A Bidi;solicitafi w s s'. n 'a c'—do to the MG 3.03,060 procedures, OR be conditated.
IVIC 1-01 Othierr Int exitPtIceftre.lVdit beUtdizOd, Long Beach Transit
Ej M contra 00 or Joss exempt procedure virtu be utilized.
D arthlent Hedd. Signa e Doito
Signature
Date.
A /11 * -
Date
./w. 9-1/
Date.
0
x CITY OF HUNTINGTON BEACH
Professional Service Approval•
PART 11
Date: 5/2/2011 Project Manager: Patti Williams
Requested by Name if different from Project Manager:
Department: Human Resources
PARTS I & II OF THE PROFESSIONAL SERVICES CONTRACTS APPROVAL FORM MUST BE
COMPLETED BY THE REQUESTING DEPARTMENT AND SIGNED FOR APPROVAL. PART I
& 11 MUST BE FILED WITH ALL APPROVED CONTRACTS.
Carl_- Warren & Company
1) Name of consultant: Provide Liability Claims Processing
2) Contract Number: HR 011 017 00
(Contract numbers are obtained through Finance Administration)
3) Amount of the contract: $ 285,500.00 (3 years)
4) Is this contract less than $50,000? ❑ Yes ® No
5) Does this contract fall within $50,000 and $100,000? ❑ Yes ® No
6) Is this contract over $100,000? ® Yes ❑ No
(Note: Contracts requiring City Council Approval need to be signed by the Mayor and
City Clerk. Make sure the appropriate signature page is attached to the contract.)
7) Were formal written proposals requested from at least three available qualified
consultants? ❑ Yes ® No
8) Attach a list of consultants from whom proposals were requested (including a contact
telephone number.)
9). Attach Exhibit A, which describes the proposed scope of work.
10) Attach Exhibit B, which describes the payment terms of the contract.
Direct of Financ (or designee) ignatu ate
October 25, 2010
1 C_ONC BIACH
T R A N S I
L'C).1ioa 711
IUhi E. Awheim `_ IC01
I,uug Iir,iili ( ..l 9h)Sk)l-t)7 it
Phouu•r (562) 51)1•8"'i i
t..�.: (;t,?) 7Iti.MI-11
Mr. Michael Reed ti�„�,11+fi'alri�Lt s n n
Carl Warren & Company
770 S. Placentia Ave.
.Placentia, CA 92870-5180
Subject: Agreements for Self -Insurance and Subrogation
Dear Mike,
Attached for your file is one (1) executed original of the agreements for the Seif-
Insuranee and Subrogation between Carl Warren & Company and LBT.
We look forward to a continuing relationship and if any questions, please contact me at
562 599-8546 or jvanleeuwen&lbtransit.com.
Sincerely,
John Van Leeuwen
LONG BEACH PUBLIC TRANSPORTATiON COMPANY
SECTION Vill
For
AIWALMU
Liability Claims Services
1 AG E.IlidENTN'Q.I0-016
2 BETWEEN
3 LONG BEACH PUBLIC TRANSPORTATION COMPANY
4 AND
s Carl Warren & Company
6 THIS AGREEMENT is made and entered into this 9th day of September, 2010,
7 by and between the LONG BEACH PUBLIC TRANSPORTATION COMPANY
8 (Buyer), a Non -Profit corporation of the state of California (Hereinafter referred to as
9 "Buyer", and Carl Warren & Company, (Hereinafter referred to as "Seller").
ID]
WITNESSETH:
1 V* EREAS, Buyer requires the services of a Seller to provide Liability Claims
12 services; and
13 WHEREAS, said work cannot be performed by the regular employees of Buyer;
14 and
15 WHEREAS, Seller has represented that it has the requisite personnel and
16 experience, and is capable of performing such services; and
17 WHEREAS, Seller wishes to perform these services;
18 NOW, THEREFORE, it is mutually understood and agreed by Buyer and Seller
19 as follows:
Rev. 12.17.09 PS Page 1 of 7
21 This Agreement, including Exhibits, RFP Package Documents, and Proposal
22 Documents constitutes the complete and exclusive statement of the terms and conditions
23 of the agreement between Buyer and Seller and it supersedes all prior representations,
24 understandings and communications. The invalidity in whole or in part of any term or
2s condition of this Agreement shall not affect the validity of other terms or conditions.
26 Buyer's failure to insist in any one or more instances upon Seller's performance of any
27 term(s) or condition(s) of this Agreement shall not be construed as a waiver or
28 relinquishment of Buyer's right to such performance or to future performance of such
29 term(s) or condition(s) and Seller's obligation in respect thereto shall continue in full
30 force and effect. Changes hereto shall not be binding upon Buyer except when
31 specifically confirmed in writing by an authorized representative of Buyer.
32 ARTICLE 2. BUYER DESIGNEE
33 The President & General Manager of Buyer, or his designee, shall have the
34 authority to act for and exercise any rights of Buyer as set forth in this Agreement
35 subsequent to, and in accordance with the authorization granted by Buyer's Board of
36 Directors.
37 ARTICLE 3. SCOPE OF WORK
38 Seller shall perform the work necessary to complete in a manner satisfactory to
39 Buyer, the services set forth in the Scope of Work / Requirements of RFP 10-016 and
Rev. 12.17.09 PS Page 2 of 7
4o scid UP is incorporated herein by reference �rtd a part of this Agreement. Seller
41 shall also perform in accordance with its proposal dated Ap ri 12, 2010.
42
43 ARTICLE 4. TERMS INCORPORATED BY REFERENCE
44 The following Terms and Conditions are incorporated herein by reference:
45 1. Purchase Order Attachment )LBT-01, General Terms & Conditions
46 2. Purchase Order Attachment LBT-02, Disadvantaged Business Enterprise (DBE)
47 Participation Requirements
48 3. Purchase Order Attachment LBT-04, Mandatory FTA Terms c& Conditions
49 4. Purchase Order Attachment LBT-10-02, Insurance Requirements
50 5. Purchase Order Attachment LBT-14, Request For Change Order Process
51
52 ARTICLE 5, TERM OF AGREEMENT
53 This Agreement shall commence upon execution by both parties and shall
54 continue in full force and effect until the services set forth in the Scope of Work /
55 Requirements of the RFP have been completed according to the schedule set forth in
56 Seller's proposal or as may be modified and agreed to in writing between Buyer and
57 Seller. Term of contract shall be for a Services will be set for three (3) year base period
58 commencing on July 1, 2010, through June 30, 2013 with (2) (1)-year options at the
54 discretion of the Principal with Option Year one (1) from July 1, 2013 through June 30,
60 2014 and Option Year two (2) from July 1, 2014 through June 30, 2015. See attached
61 Schedule A per proposal dated April 2, 2010.
Rev. 12.17.09 PS Page 3 of 7
62
63 ARTICLE 6. NOTICE TO PROCEED
64 The Notice to Proceed shall be issued within twenty (20) working days of the
65 Contract execution- Should there be reasons why the Notice to Proceed cannot be issued
66 within such period; the time may be extended by mutual agreement between Buyer and
67 Seller.
68
69 ARTICLE 7. COST BREAKDOWN
70 Within fifteen (15) calendar days after "Notice to Proceed", the Seller shall, upon
71 request by Buyer, submit a cost breakdown of the proposal on the Proposal Response /
72 Pricing Summary Form for all work. This cost breakdown (attached as Schedule A) will
73 form the basis for Progress Payments and shall show all of the major categories and
74 subcategories of work, requested by Buyer.
75
76 ARTICLE 8. PAYMENT
77 A. For Seller's full and complete performance for liability claims services of its
78 obligations under this Agreement, Buyer shall pay Seller on a time and expense basis
79 per the April 2, 2010 proposal. For budgetary purposes, it is estimated that the sum
80 for the period 9/1/10 through 6/30/11, including Seller's total direct costs, indirect
81 costs, expenses and profit, may be One hundred seventy nine thousand one hundred
82 and sixty seven dollars ($ 179,167). Subrogation recovery and contingency fees due
83 to Seller shall not be included.
Rev. 12.17,09 PS Page 4 of 7
h4 F. Invoices shall he subrniacd_ by Seller ;n dli; lie,-te to Buyer's Ac co,,:,nis P.-yable
85 Office. Each invoice shall reference Agreement No. 10-016, the Purchase Order
86 number assigned for this specific project, and the amount of payment requested.
87 Buyer shall remit payment within thirty (30) days of receipt and approval of each
88 correct invoice.
89
90 ARTICLE 9. MAXIMUM OBLIGATION
91 Notwithstanding any provisions of this Agreement to the contrary, Buyer and
92 Seller mutually agree that Buyer's budgetary amount hereunder for the period 9/1A0
93 through 6/30/11 shall one hundred seventy nine thousand one hundred and sixty seven
94 dollars ($ 179,167 ), including all amounts payable to Seller for any subcontracts, leases,
95 materials and costs arising from, or due to termination of this Agreement.
96
97 ARTICLE 10. NOTICES
98 All notices hereunder and communications regarding the interpretation of the
99 terms of this Agreement, or changes thereto, shall be effected by delivery of said notices
100 in person or by depositing said notices in the U.S. mail, registered or certified mail, return
101 receipt requested, postage prepaid and addressed as follows:
102
103 To: Carl Warren & Company
104
105 770 S. Placentia Ave.
To: LONG BEACH PUBLIC
TRANSPORTATION COMPANY
P.O. Sox 731
Rev, 12.17.09 PS P2ge 5 of 7
106 Pll certi-2, CA 912870-5I8()
107
108 ATTF.NCION: Michael Recd
104
1963 Anaheim Street
Long Beach, CA 90801
ATTENTION: Larry Jackson.
110 ARTICLE 11. OWNERSHIP OF REPORTS AND DOCUMENTS
III The originals of all custom letters, documents and reports produced under this
112 Agreement shall be delivered to, and become upon payment in full for all services
113 rendered, the property of, Buyer. Copies may be made for Seller's records. Such
114 deliverables shall be deemed works made for hire and all rights in copyright therein shall
115 be retained by Buyer.
116
117
11 s ARTICLE 12. CHANGE ORDERS
119
120 No changes may be made to the +General Requirements, Technical Specifications or
121 Scope of Work without written authorization from the Buyer. Any requests for changes
122 from the supplier (Seller) must be made using the Buyer's Request For Change Order
123 (RFCO) process identified as "Purchase Order Attachment LHT-14, Request for Change
124 Order Process". The RFCO process consists of completing a request form, identifying
125 any impact to cost or schedule, and obtaining written approval of the Buyer. Complete
126 instructions are attached to the form. Approved RFCO's will result in a revision to the
127 original Purchase Order.
Rev. 12.17.09 PS Page 6 of 7
12 �,
129 This Agreement shall be made effective upon execution by both parties.
130 IN WITNESS WHEREOF, the parties hereto have caused this Agreement No.
131 10-016 to be executed on the date first written above,
132
133
134 Carl Warren & Company
135
136
137
138 Title
Rev. 12.17.09 PS
LONG BEACH PUBLIC
T AN AN
B R ;r::7 COMPANY
Name
Title
Page 7 of 7
August 24, 2010
Mr. Michael Reed
Carl Warren & Company
770 S. Placentia Ave.
Placentia, CA 92870
A"'R L. 'iAVA R RR4
PLACENTIA OFFICE
Subject: Award of RFP 10-016 — Self -Insurance Liability/Subrogation
Dear Mr. Reed
LONG BEACH
T R A N S I T
N).11N,.7;1
;90; 1:..ln:i1wi m tinrt r
L, nig, Bead1 ( a 1)0.',01 0
I'Irnit,: (1(12) ,,)1,8 ;i
1:ix- O(C) 218199-1
,A-wv .IN r: m:.a.! om
Long Beach Transit is hereby providing notice that Carl Warren & Company has been
awarded .the contract for Third Party Administration for Self -Insurance
Liability/Subrogation per your proposal dated April 2, 2010.
A copy of the Purchase Order will be forwarded shortly.
We look forward to a continuing relationship with Carl Warren and Company and should
you have any questions regarding this contract, please contact me at 562 599-8546.
Sincerely,
ohn Van Leeuwen
Buyer/DBELO
i i C+ V1,e REaI"i , rlfc;n[f, l j1
April 2, 2010
John Van Leeuwen, Purchasing Department
Long Beach Public Transportation Company
1963 E. Anaheim Street
Long Beach, CA 90801
Regarding: Request for Proposal (RFP 10-016)
Third Party Administration for Self -Insurance Liability /Subrogation
(2) "Leiter of Transmittal' and (3) "Executive Summary"
Dear Evaluation Committee:
On behalf of the employee -owners of Carl Warren & Company we would like to
thank you for the opportunity to respond to your Request for Proposal.
Carl Warren & Company is one of the largest providers of claims services to Public
Entities within the State of California. Our Public Entity experience encompasses
all areas of government. The knowledge of our staff combined with our goal to
provide Quality and Innovative Services has led Carl Warren to achieve a 98%
client retention rate in 2008 & 2009 and over a 97% client retention rate over the
`- last 6 years.
Having been the Third Party Claims Administrator for Long Beach Public Transit
Company for over two decades without interruption, we understand the work that
needs to be completed and will always use the most cost effective and efficient
way to get things accomplished. Our files are thoroughly investigated to allow a
realistic and accurate evaluation of liability and damages. Our liability gold
standards and litigation management are superior to most and second to none. To
ensure a quality product, our internal quality assurance team audits files monthly,
for which there is no cost to the client. We continue to excel on external audits
conducted on our clients by carriers, brokers and others.
By partnering with you as our client, we are able to clearly define your claims
needs, address them and provide solutions while at the same time containing the
cost of claims, litigation and identifying sources of recovery. This is achieved by
our understanding of the work to be done, a positive commitment to perform the
work as specified by the client combined with a RMLS system that puts your data
at your fingertips from wherever you are 365/24/7. We feel that the requirements
of the LBPTC can be achieved and exceeded if Carl Warren & Company is
selected to continue as the TPA of record.
CARL WARREN & COMPANY
An Employee -Owned Company
CLAIMS MANAGEMENT . CLAIMS ADJUS-MAS
770 S_ Placentia Ave. Placentia, CA 92870
P.Q. Box 25180 Santa Ana, CA 92799-5180
Phone: (714) 572-5200 ON) 572- i900 Fax (714) 961-8131
li f; F,_ T ( ran(�E:F_:F._=PRL ,,RF;EN.CCIS' - Mi4-.e Reed i!�J2/05i
2C1G FA G fcC
As you are aware, we do not utilize sub -contractors. We utilize our own staff of
highly qualified employee -owners to perform the services and deliver the
excellent outcomes which you have come to expect over the years. Our cost
effective claims management is one of the many things that separates Carl Warren
& Company from our competitors in the industry and has Ied to Public Entity
clients remaining with Carl Warren in excess of 35 years. We manage our success
through employee -owners who are motivated and dedicated to provide quality
and innovative services that exceed customer expectations.
We are all hoping that the economy improves as we move forward in this new
decade. However, right now financial times are challenging. Therefore, as a
business partner, you will see that our proposal offers to charge the same rates
as currently for claims administration for July 2010-June 2011. And we are also
offering to decrease the percentage you pay us for subrogation recovery for the
next 5 years. We are proposing minor increases in July 2011 and July 2013 hoping
we have all gotten through the recession together.
We have reviewed the Request for Proposal and have received all of the RFP
addenda_ We accept and agree to provide all conditions and requirements
contained therein. Our proposal is valid for a period of 90 days from the date of
submittal.
In addition to this Letter of Transmittal / Executive Summary, you will find the
following:
v Technical Proposal delineating:
o Our extensive experience handling claims and subrogation for self -
insured accounts.
o The details of our claims management and Risk Management
Information System and the reports to which you have had access.
o The qualifications of our firm to consistently meet and exceed your
Statement of Work.
a The profiles / resumes of key personnel as well as supporting team
members to deliver the highest in quality to LBPTC.
o Details regarding the primary tasks we perform upon receipt of a
claim, including but not limited to documentation, investigation,
analysis, negotiation, ' reserving and litigation management. The
additional management oversight functions of auditing, file
conferencing, and work product review are fundamental to our
approach and are the resources that give us the insight to achieve
superb results on your behalf.
Iir�., Iii sf� i6F l;r'.RL!•:t.F Reei_' [ (;i _ t
i
An Appendix containing customized and standard reports utilized by you
from our RMIS; a stewardship report demonstrating the claims, litigation,
exposure and cost trends relating to your portfolio of claims; and an
analysis as to the substantial subrogation recovery over the past two years.
+ Forms as Required by the RIP Including:
o PRIMARY PARTICIPANT CERTIFICATION regarding Debarment,
Suspension and Other Responsibility Matters
o LOWER -TIER PARTICIPANT CERTIFICATION regarding
Debarment, Suspension and Other Ineligibility and Voluntary
Exclusion
o RESTRICTIONS ON LOBBYING CERTIFICATION
o DRUG FREE WORKPLACE CERTIFICATION
o SF.CTTON VII PROPOSAL RESPONSE / PRICE SUMMARY FORM
(General Liability with Spreadsheet over 5 years)
o SECTION VIIA PROPOSAL RESPONSE / PRICE SUMMARY FORM
(Subrogation)
o DBE PARTICIPATION - (per Addendum #1 to RFP #: 10-016 -
encouraged but not required) - No participating firms to list.
o PROPOSING COMPANY'S LIST OF PARTICIPATING FIRMS -
(per Addendum #1 to RFP #:10-016 - encouraged but not required) -
No participating firms to list.
In our opinion, this proposal complies with your requirements as defined in the
Request for Proposal (RFP 10-016) without exception.
ii; - i.. IF;,;. Fir a,-, F=,;f::AFiL'�!ARREN Uifr'
We look forward to your response and toward a continuation of our relationship
and service excellence.
Very truly yours,
Carl Warren & Company
Michael Reed /Authorized Individual and Officer
Service & Retention Leader
Tel: 800-572-6900 x5273
rnreed(n)carl warren.com
W �`oryEe.o�k`�v
To,
I�I� t ...
un+M
cc: Caryn Siebert, President and CEO
Torn Boylan, Chief Operating Officer / CFO
Valentine Moser -Gonzales, Client Relationship Manager & Senior Adjuster
I
r
1RFTC
Jul 2009June 2010
Ju 2010•June 2011
2011-June 2012
Ju 2012-June 2U13
J _ 3.f�np 241d
2014-June Mf0 .
AdJUStEF Service Rate per Billable HowlUnit
$55
$57
o[ _4rdoes
_$09 -
Telephone
90A of services
B o1 services
996 of aelvices
896 of services
Photos
$2 per pdnl
er nl
$2 per print
$2 per prink
r
2 e riht
Mileage
IRS Rate
Rate
IRS Rate
IRS Role
1 RadA
IRS, ;Ile
Photocopies
25 cents per page
25 cents per page
25 cents PeF page
25 cents per page
per
2 -' "per, pge
Stenographic
$4.50 per page
$4.50 per page
$4.50 per page
$4.50 page
GMce Expense
16% of services
115%oteeFTC-es-
16% of services
16% of se s
File Set Up (under tilt hr)
$27
Administrative Fee
S350 per month
$550 per n►mrth
$575 per mo
rr!p7r_
Cassettes
$2,25 each
$225 each
$2.25 each
$2.25 eadi
1099s
$0
$0
40
Indexing UPDATED
$15
1 $18 due to OFAC
$18 due to OFAC
$18 due to
NEW MMSEA LAW Anfa
$4.85
$4.85
$4.85
Annual Budgetary Recommendalion Based
Upon Estimated Clalm Volume, Severity 8
Invesligallcn Required
Same as Currentl 1111111MIMIM rw increases 1111111113111= no kncreases
$215,000 $219,000 $223,000 $227,000 $232,{100
ii-i_fj ;(1FFG1:1 C P�RL'17;''RF�EIt! .C;ii;;; F;E' C i �f,t;F�,i'tjj I
Response to
Request for Proposal (RFP) No.10-016
Third Party Administration for
Self®Insurance Liability/ Subrogation
For
Fong Beach Public Transportation Company
Tuesday, March 23'. 2010
Presented By
Michael Reed
Service and Retention Leader
nueed@carlwarren.com
and
Valentine Moser -Gonzales
Client Relationship Manager
vmoser@carlwarren.com
(800) 572-6900
►4,
lQ0`/_57ATA MENT"TQ_ "
Carl Warren & Company 7
i. irj�� i1z L1-criF ,,51:Lii';?F, I,S7_ke FFcC
Section A
Qualifications, Related Experience and References
History of Firm
Carl Warren & Company was founded in Los Angeles, California in 1944. Last
year we celebrated 65 years of claims excellence and industry leadership.
Originally, an independent adjusting company specializing in liability claims,
Carl Warren & Company has subsequently developed into one of the preeminent
claim administration firms in terns of quality in the country. Many view us as a
specialized firm where personalized service, attention and customized solutions
are the keys to our success.
As a sole proprietorship, and then a three -person partnership, the Company
incorporated in 1974 and shortly thereafter was purchased by its employees
using an Employee Stock Ownership Plan -- which now owns 100a/ of the
company. Every employee has a vested interest in our work product and its
success.
Our experience with self -insured programs began in the early 1970's in response
to the insurance crisis faced by many of our Public Entity clients. At that time,
we initiated programs for many governmental agencies, as well as public and
private corporations, when they were not able to purchase affordable liability
coverage. Carl Warren & Company is licensed by the California Department of
Insurance; License Number 2607296. All services will be provided in accordance
of all laws - local, state and federal.
Carl Warren & Company 2
5f, 1r,`.,, 11 {2 R;_eF,; .." ArR L'�V 0fi�'05
Areas of Expertise
Carl Warren & Company specializes in the following: General Liability,
Automobile Liability, Property, Professional Liability, Product Liability and
Construction Defect. We also have extensive experience in providing both
Litigation Management and Subrogation Services on behalf of our clients.
Public Entity Experience
We are one of the largest providers of claims services to Public Entities within the
State of California. Approximately 60% of our business in California involves the
administration of public entity liability claims. We adjust and administer
liability claims for hundreds of public entities across the country and have been
providing Public Liability and Fleet Claims Investigation Services to Public
Entities for over 35 years, We pride ourselves in our ability to customize a
program to the client's size and needs. The Staff we propose to handle the Long
Beach Public Transportation Company's program has extensive experience
handling claims similar to those of LBPTC_
Claims that we handle for these public entities include, but are not limited to,
employment practices, property damage, personal injury, bodily injury, sexual
harassment and inverse condemnation. Our municipal/governmental entity
client base includes: transit systems, counties, cities, school districts, joint powers
authorities, pools, water districts, sanitation districts, fire districts & police
districts.
Carl Warren & Company 3
f ".' 0i Ir!'- F .:;I ;r'.RLW1'RF:Ef f014 it r' F'
Transit Experience
The Account Manager on your program has over 20 years experience adjusting
Transit claims and has been working with you for almost 10 years. These types of
claims range from simple trip/slip and falls to traffic accidents (multiple
claimants) and law enforcement type issues like excessive use of force,
jurisdictional matters, etc. Carl Warren & Company currently has 11 Transit
clients that we service within the state of California.
What Else Distinguishes Carl Warren & Company from Other TPAs?
The knowledge of our staff (especially in the case of being the incumbent and
being local) combined with our goal to provide Quality and Innovative
Services has led Carl Warren & Company to achieve a 98 % client retention rate
in 2008 & 2009 and over a 97% client retention rate over the last 6 years. We
understand the work that is required and will always do so in the most cost
effective and efficient way. Our files are thoroughly investigated to allow a
realistic and accurate evaluation of liability and damages. Our liability gold
standards and litigation management is superior to most and can be verified by
our references. To ensure a quality product, our internal quality assurance team
audits files monthly, for which there is no cost to the client. We continue to
excel on external audits conducted by our clients, their carriers and other
outside services.
Training is an ongoing commitment at Carl Warren & Company and is stressed
and encouraged. Seminars are not only attended by Carl Warren staff but on
Carl Warren & Company 4
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many occasions, Carl Warren & Company employees are speakers or
moderators at sessions at Public Entity conferences such as PARMA, PRIMA &
CAJPA. We have numerous employees that have secured or are currently
pursuing further education or degrees in the insurance and public entity sector.
Also, we have over a dozen employees with law degrees at Carl Warren &
Company.
By partnering with our client, we are able to clearly define your claims needs,
address them and provide solutions, while at the same time containing the cost
of claims and litigation in addition to identifying sources of recovery. This is
achieved by our understanding of the work to be done and a positive
commitment to perform the work as specified by you, the client.
Additional QualificationgRecognitiom:
✓ SA570 Type II Audit Compliant
✓ Recommended by A.M. Best
✓ National ESOP AACE Communication Excellence Award for Educational
Materials 2007 and External Advertising in 2009
✓ PERT approved Liability TPA (W
✓ Award of Excellence for Civil Litigation - Los Angeles County Sheriff's
Department.
Carl Warren &° Company 5
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Size and Number of Years in Business
Carl Warren & Company has been in business for 66 years. Our Placentia Office
(previously Santa Ana and then Orange Office), in California where your
Company program would be administered, has been in existence for over 40
years. We have 184 employee -owners working out of 23 offices in 12 states. Our
Placentia office has over 50 employees and LBPTC has interacted with and been
supported by over a dozen of those employees over the years, including the
company's President and CEO.
e of Organization
Carl Warren & Company was incorporated in 1974 and is 100% owned by our
Employee Stock Ownership Plan (ESOP). Each employee -owner has a percentage
of ownership in. the company. Carl Warren & Company is incorporated as a
subchapter S corporation, owned entirely by the Carl Warren & Company
Employee Stock Ownership Plan (ESOP). As an ESOP, every employee -owner
has "skin in the game' regarding client satisfaction and retention. Carl Warren
& Company was named the California J Western States I ESOP of the Year in
2006- We offer high financial security during this challenging economy and our
D&B Supplier Evaluation Report shows that we have a Supplier Risk Score of 1,
the lowest risk. There are currently no administrative proceedings, claims,
lawsuits, settlements or other exposures pending against Carl Warren &
Company.
Carl Warren & Company 6
Extensive Resources
We have a deep bench of team members in Finance, IT, Support and our
Adjusting and Supervisory Ranks so that there is always back up available in an
emergency situation.
Management: 10
Supervisors: 20
Adjusters: 110
IT: 8
Accounting: 6
Clerical/Support: 27
New Business Development: 4
Human Resources: 2
Service Office
If retained as the LBPTC's TPA, we propose that the program continue to be
managed and administered out of our Placentia, California office.
Carl Warren & Company
770 S. Placentia Ave.
Placentia, CA 97870
Tel: 714-572-5200 x 5272
Toll Free: 800-572-6900
Fax: 714-961-8131
Our Placentia office consists of 6 Supervisors, 2 Claims Managers, 25 Adjusters
and 5 Support Staff. Corporate resources that this home office location utilizes
includes our Subrogation Department, our IT Department which maintains our
Risk Management Information System, our Accounting Department for checks
and trust account matters as well as our Quality Assurance Team that not only
audits adjuster files, but identifies trends and analyzes those trends while
assisting you in the reduction of claims related costs.
Carl Warren & Company 7
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Your prim y adjuster is a resident of Long, Beach and is based in our Placentia
Office located in Orange County, CA which is our Home Office and will assist in
he servicing of the LBPTC account, as this is where our President, Chief Financial
Officer, Accounting Department & IT Department are located. These leaders and
support staff are always available at the address identified above.
Services Provided Relevant to this RFP
We are currently handling claims for you (LBPTC), Gardena Transit and. Solano
Transit Authority in California by way of some examples. Our adjusters are well
versed in transportation and motor vehicle codes and statutes as well as the
customs, practices and trends found in this area of claims handling and
subrogation procedures.
Customer Service & Quality_ Assurance
Carl Warren & Company's approach to quality control and the effective
management of claims is an ongoing process that has been cultivated over the
past 66 years. Although we only hire experienced adjusters with a proven
history, newer adjusters are provided with additional training on our systems
and methods at the time that they are hired.
Our quality control processes begin with notification of a claim and continue
throughout the life of the claim. Our adjusters are required to review and verify
information at the time a file is opened and all files are maintained on a diary
system to ensure timely, informative and accurate reporting. Adjusters and
Carl Warren Fay Company 8
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supervisors conduct a mandatory, monthly review of their files to ensure the
accuracy of the claim as well as the accuracy of payment and reserve data as
well. Our in house Quality Assurance team audits files and streamlines the
quality control process. Our Quality Assurance process is multilevel in structure
and is centered on accountability. All of our adjusters are accountable for their
work product as well as client service and satisfaction issues. Claim reports/files
(depending on severity and other criteria) are periodically reviewed by our
Account Executives/Supervisors. Service and Retention Leaders selectively
review claim files to verify our work meets the client's specifications. Finally, our
Quality Assurance Leader and his team conduct periodic audits. Our adjusters
are reviewed annually by supervisors within the management structure who are
most familiar with their work and their relationships with our clients.
a We require our adjusters to establish contact with the claimant and the
client within one business day of the receipt of an assignment, or sooner.
a An electronic acknowledgment is sent to the client contact at the time the
claim file is set up.
a All files are on a strict diary and are reviewed at pre -established intervals,
to ensure the timely completion of investigation, timely evaluation and
the adequacy of the established reserves.
Carl Warren & Company 9
1,& R
Files axe to be reviewed for initi 1 reserves v�Ithin 3-5 days, then at the 30
day diary there should be a fairly solid reserve set and an action plan in
place.
• After the 30 day review, we decide if this is a file that needs to be
reviewed every 30 to 60 days and diary same accordingly. The review
process is verified by notations to the claim file and even Account
Executives have requirements concerning the monthly auditing of open
files and quality control.
® Our process not only audits what the adjuster does, but allows us to
identify trends that will allow us to reduce claims as well as the costs
related to claims on behalf of you the client.
Performance Criteria
Our adjusters' annual performance reviews are based on client satisfaction,
feedback and retention, not by how much they bill clients. We have a Quality
Assurance Department that audits adjuster files for claims handling and
meeting the established requirements. To be acceptable, adjusters must receive a
90 % or higher score. In addition, Supervisors review and evaluate adjusters and
their files. Our standards are higher than the industry average and routinely we
receive glowing audit reviews and scores from external auditors and excess
carriers.
Quality Assurance
Sample of our audit form detailing the areas that are examined on next page.
Carl Warren & Company 10
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d
'
F
Area of Review: SaUsfactory Unastistactory N/A
Copy of policy and evidence of coverage review in file? 5
5
All potential coverage issues addressed? 5
5
A ro date position letter time idrafted/sent? Excess on notice? 5
5
Timely contact initiated and followed up? 6
6
Thorough and appropriate liability and damages investigation timely
undertaken? Recognition and pursuit of any potential co-defendants?
Fraud potential identified? 20
20
ISO ClaimSearch initiated and followed up? 4
4
Counsel timely retained and clear instructions provided7 3
3
Litigation budget obtained and evidence of independent analysis of
budget and bills? 3
3
Litigation strategy documented with evidence of independent input,
regular communication with and control of counsel 9
9
Reasonable diary dates established adhered to? 2
2
Reasonable Supervisor diary established with meaningful direction
rovided? 2
2
Time reits with a clearly stated course of action? 5
5
If an expert was retained, was it cost effective and did it meet the needs
of the file? Author' ranted? 2
2
Settlement negotiations timely and appropriate? Comparative
negl!Rence recognized? 4
4
Disposition appropriate and strategy documented and updated?
Alternative dispute resolution methods a bred? 5
5
Closinq documents in file? File timel closed? 21
2
Initial1historical reserves and coding timely and accurate, with
documented rationale? 5
5
Reserves accurate!y reflect probable outcome? 5
A ro riate reserve authorobtained time) 5
5
Subrogation potential identified, appropriately investigated and
pursued? 1
Deductible identified and timely pursued? 2
2
.SUBTOTAL
1001
0
0
File Score
100%
File Review Commants,
All criteria met. Good Investigation and sattlement
Carl Warren & Company 11
Advantages of Carl'Wa:rren. & conlyanv
Experience
.As, previously mentioned, within California alone we administer liability
and property claims for over 200 Public Entities, and have been providing
these claims services within the state for over 40 years. Our individual
adjusters average over 17 year's industry experience. While other firms
are laying people off, closing offices and consolidating their infrastructure,
Carl Warren & Company is hiring and expanding to meet our client's
needs. We know and understand the venues in California (conservative
vs. volatile). We know the values of claims in different jurisdictions as
well as the propensities of many of the plaintiff attorneys.
® Jndustry Knowledge
The line of coverage experience our adjuster's possess is not the only
value we provide to our clients. Our staff realizes that every dollar spent
is our client's dollar and every action needs to be value added. When you
review TAB 2 IN THE APPENDIX, you will note that 65% of the claims
Carl Warren & Company has closed for LEPTC have had no Ioss
payments on them! Our costs per claim are reasonable and keep in mind
the exposure and how your funds are utilized. We recognize that our
adjuster's skill level and expertise is essential when assigning an adjuster
to a program. Members of our staff are asked to speak at conferences and
seminars. We have also received awards for our claims work by various
Carr Warren & Company 12
California entities. Our claims staff knowledge equalls claims cost savings
and VALUE for L13PT'C. Some examples of unique outcomes
accomplished by our team are included at the back of APPENDIX TAB 2.
® Employee Ownership
Carl Warren & Company is 100% employee owned. Our independence
allows us to truly become an extension of the risk management
department of our clients. We are able to adjust their claims within their
protocols and philosophies and with no other agenda from a parent
company, broker, investor or carrier. Employee ownership also creates an
environment that allows our staff to be engaged with goals of client
satisfaction as we truly have "skim" in the game_ Over the years, we
tailored our claims handling to meet YOUR needs.
* Stabilify of our Company, Staff and Clients
Whether it is our adjusters, management or support staff, the average
tenure of our employee owners is beyond the industry standard. Most of
our management team has been employed for over 12 years with Carl
Warren & Company. Our adjusting staff has an average of over 7 years.
Our adjuster's also average over 17 years experience in the industry.
When our employees are fully vested in our Employee Stock Ownership
Plan, this benefit further strengthens staff retention. Lack of adjuster
turnover is one reason new clients make the transition to Carl Warren
Carl Warren & Company 13
1F.J_Lj+"r,'i.��
from their prior TPA and current [.Bents eontiz-�ue with us. It is also one o1
the many reasons that our customers do not leave - we have strong
partnerships and loyalty to one another. Eighteen of our clients have been
with us between 18-35 years. In 2008 & 2009 our Client Retention Rate was
98% and the average over the last 6 years is 97%.
In business since 1944, the Company is financially sound. We have grown
in size about 2-5% each of the last 3 years through the addition of new
customers; the only debt we carry is a small mortgage on the Placentia
building which we own; less than 5% of our accounts receivable is over
120 days old; and we continue to have a $500k+ line of credit (which we
have never had to utilize) readily available to us from Bank of America.
Being a 100 % ESOP, the FSOP funds are even maintained separately from
our corporate operational funds, thus providing clients and employees
with additional security_ Our Dun & Bradstreet Supplier Risk Score is a
1 which is the Lowest Risk.
Carl Warren & Company 14
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References
California joint Powers Insurance Authority
Mr. Jonathan Shull - Chief Executive Director
8081 Moody Street
La Palma, CA 90623
Tel: (562) 467-8700
Email: ishulMPia.org
Carl Warren & Company has been handling C.J.P.I.A. claims since
approximately 1979. Beyond the basic claims handling and investigating work
we do for their automobile and general liability claims, we also handle claims for
four transit district members (Pomona Valley TA; MARTA; PVPTA; & ESTA).
We take reports from witnesses, bus operators, etc. and work closely and
monitor defense attorneys to the conclusion of the claims.
Gardena Transit & City of Gardena
D. Christine (Chris) Hach - Risk Management
1700 West 162nd Street
Gardena, CA 90247
Tel: (310) 217-9516
Email: chach@-ci.gardena.ca,us
Carl Warren & Company has been handling Gardena s claims for 20+ years. We
handle their general liability claims for both the Transit line and the City. We
take reports from witnesses, bus operators, etc. and work closely with their
defense attorneys.
Cart Warren & Company 15
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Recology
Jon Braslaw - Nice President/ Director of Finance
50 Califo-rnia Street, 24I Floor
San Francisco, CA 94111
Tel: (415) 875-1164
Email: ibraslaw@recology.com
Recology is one of our newest clients obtained after following a competitive
and lengthy process. They are the parent company to two dozen subsidiaries
providing collection, recycling and disposal services to more than 50
communities and are the exclusive service provider in San Francisco. We
handle their general liability claims as well as their auto claims for an entire
fleet of 400+ trucks. We were awarded this program at the end of 2009,
successfully transferred over 5,300 claims into mycarlwarren.com and
assumed over 150 existing files in a seamless fashion
Carl Warren & Company 16
Section B
Proposed Staffing and Project Organization
(Qualification & Experience of Team)
Please refer to APPENDIX TAB 4 for more extensive staff resumes.
We certify that the following key personnel will be available to the extent
proposed, for the duration of the project in the manner prescribed. No person
designated as key personnel shall be removed or replaced without the prior
written consent of LBPTC.
Michael Reed - Account Executive
Michael has been a Carl Warren & Company employee -owner since 1983. He
has over 25 years experience handling litigation, general liability and auto claims
for public entities and is currently the supervisor for various public entity
accounts in Southern California. He has handled and supervised high exposure
and litigated files to conclusion. Michael will be the individual overseeing the
Ur-r C's program and will have overall responsibility for the performance of
Carl Warren & Company under the contract. He will perform random audits on
the adjuster's files and approve all billing before invoices are issued. The LBPTC
will have direct access to Michael on all matters and he will take all necessary
steps to ensure the District's expectations are met.
Carl Warren & Company 17
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Valentine Maser -Gonzales - CRM/Senior Claims Adil ster
Valentine has been a Carl Warren & Company employee -owner since 1988 with
22 years of public entity experience and has extensive experience in personal
injury claims. She has been working on the LBPTC account for almost 10 years.
She also is very familiar with commercial liability and property liability claims
with a background that includes extensive litigation management, alternative
dispute resolution and negotiating skills. Valezitine's previous experience
includes managing .the City of Buena Park account and handling related claims
aswell as premises liability, police and auto claims. Her current duties include:
investigating, reserving, adjusting, accepting, denying/rejecting and negotiating
to conclusion public entity and first/third party general liability claims.
- Residing in Long Beach, Valentine has access to additional executive
conference/interview facilities in the area in case of conflicts or special needs.
Steve Rolon - Back -Up Claims Adjuster
Steve has 11 years of experience in the insurance industry, including a few years in law
enforcement, and will continue to be back-up to Valentine, especially in cases involving
Spanish speaking persons. He too will be conducting investigations, reporting,
negotiations, settlements and reserving functions from inception to conclusion on the
cases he handles as monitored by Valentine.
Carl Warren & Company 78
- - - t:- - -
Kdth]een Brown:: Siabro ation Supervisor / 1 idiuster
Over $350,000. That's how much Kathleen has recovered for LBPTC in just over
2 years. Kathleen has been a Carl Warren & Company employee -owner since
2006 but has been in the field of Subrogation since 1981. She has over 25 years
experience in the insurance industry handling subrogation matters through
litigation. Kathleen also is Long Beach based and works out of our Placentia
office.
Dixie Peralta - Support
Dixie has been a Carl Warren & Company employee -owner since 2006. Her daily
duties for LBPTC include compiling reports, billing, and handling customer
service questions. She will be able to identify and quickly resolve any issues
. including, but not limited to, order and invoicing problems. Her bi-lingual
abilities also assist in the handling of customer inquiries.
Selection & Assignment of Personnel
Carl Warren & Company customizes each of our client's programs to meet their
needs. Our Account Manager is within close proximity to the LBPTC and in fact,
lives part time in the City of Long Beach with quick access to the Court, the
Offices of Defense Counsel, Company Offices and the bus yard. We provide a
back-up adjuster who also knows the account well should there be any overflow
claims or a need for bi-lingual assistance. Carl Warren & Company staff selected
to handle the program were previously been approved by the LBPTC.
Carl Warren & Company 19
F G P,
Section C
Resumes
Please refer to APPENDIX TAB 4 for staff resumes.
Continuity in Staffing
Carl Warren & Company 20
1C ir. Fri,.
Section D
Work Plan
(Scope of Services)
Quality Service
We pride ourselves as being one of the best Public Entity TPNs in California.
Our work product and reputation has allowed us to increase our client base in
Southern and Northern California. We feel that Carl Warren & Company would
continue to meet and exceed the needs of the LBPTC through our expertise with
your account as the incumbent, claims handling processes, claims staff,
experience with similar client types and thus seeing patterns and trends in the
sector, and knowledge of Long Beach as well as our geographic location. The
LBPTC remains a prestigious and well recognized account in our portfolio.
Communication
From an account management perspective, we remain in constant contact
through the CRM/ Account Manager but are available to meet with LBPTC
quarterly unless requested more often. As situations arise or trends develop and
where communication is vital, we will make contact immediately. Adjusters will
make contact with LBPTC personnel on each new claim and return calls the same
day and on emails, within 24 hours. We also offer to prepare and present an
annual stewardship report to the client at the end of each policy year as an
emerging part of our services, a part of which is contained in TAB 2 of the
APPENDLX of this proposal.
Carl Warren & Company 21
Reportin
We tailor a preliminary and investigative template to meet your needs but
include in the initial report the date of loss, filing date, six months, location, facts,
statute of limitations, immunities, recommended action plan, possible co-
defendants/ other insurance, index/ MMSEA, evaluation, reserves, type of claim,
comment/work to be completed, next report date.
Our initial investigation will be reported to the LBPTC within 24 hours. We will
then follow up with a full investigative report within 30 days (unless another
timeframe is desired).
Standards and procedures for initial file set-up, including tirneframes
New claims may be reported electronically via email, through our website,
by telephone -using a toll free number, or by fax. The most common method
is email or fax. Via email, we will confirm receipt to LBPTC and provide a
claim number.
If the claim notice is faxed it will automatically turn into an electronic
version upon receipt that goes directly to an assignment mail folder set up
for LBPTC. The notice will be reviewed by the Supervisor/Account
Executive and assigned to the adjuster, typically within twenty-four (24)
hours, and no later than 2 business days unless a specified response time
has been requested. Adjusters cell phone numbers are provided should
Carl Warren & Company 22
cf-1 YY !'. is
LB?TC' need to contact them after-liours or wMle tl.-Le acljnster is out of the
office during the business day_
o Procedures and criteria for initial determination of liability
Each claim is investigated and liability is determined on its own merits
factoring in liability, possibility immunity, the type of injury and the
venue. A captioned report with an evaluation of the injury/damage,
liability, possible co-defendants, contribution, subrogation, and plan of
action is provided to the client with all options to include the cost of those
options as well as our recommendations for resolution or denial.
e Timelines and methods of contact of claimants and witnesses
Contact with any claimant and, if applicable, witnesses and other
interested parties, will be made within 24 hours of receipt of the first
report. When necessary, police reports will be immediately obtained upon
receipt of the claim. Initial statements and/or inspections will be taken
within 72 hours of receipt of the claim. This includes taking pictures or
preparing diagrams to illustrate the mechanism, cause or location of the
accident. It also includes preserving evidence in the Communication
Command Center of LBPTC - surveillance, black box etc.
Carl Warren & Company 23
a. Sta,,ndl_ards a3'ttd me-thods for providing ctier t stzLtus reports
We Will diSCUSS arlU prepare �i- client profile oi.lfht'iing all g'.ddc-line-s for all
reports to the client to include the format and process of transmission as
well as the timeline and criteria for other than normal reporting.
® Diary system for adjusters and supervisors
Our files are on strict diary (picture inserted on the next page) and are
reviewed at pre -established intervals, to ensure the timely investigation
and completion of work as well as the adequacy of the established
reserves. The Claims Supervisor/ Account Executive reviews at least 3
adjuster files monthly. Any trends or problems found will be addressed
internally- Supervisors review all reserve changes, payments and ensure
the files are on diary.
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Carl Warren & Company 24
Froced-ores for case dispo+dtion plans
A liability assessment is completed to include liability, injury, co-
defendants, contribution, immunities, MMSEA and damages. A plan of
action to include the settlement process and value to include all
alternatives is put into a captioned report and submitted to the client. If
there are any applicable statutes or deadlines, those issues are addressed.
• Procedures for supervisory review
Claims are initially assigned to the claims supervisor by the account
manager upon receipt and reviewed for investigation and handling. The
claim is then assigned to a claims examiner based on they type of claim (BI
or PD) and its complexity. All claim evaluations and proposed
settlements are reviewed by the supervisor both within authority and
those over authority being sent to the LBP 1`C with our recommendations.
Adjusters maintain a caseload average of 125-150 claims.
Security Measures and Internal Controls
These are outlined in our SAS 70 compliance document which is available upon
request. We have had a clean Type II SA$ 70 (no qualifications) for several years
and the external audit is performed twice a year. We have provided these to you
in the past but have not enclosed as it is 68 pages and may be viewed as
"extraneous' material in the RFP setting.
Cart Warren & Company 25
Rec:o, l .eep rf Dada and. i� isk h�%a - En:eitt Izttc�rr�t,ation sierra-s
We have our own in house IT department that created our system which is
compatible with all current systems. As you are aware, we have created
customized reports for your use as part of our service. When situations arise,
such as MMSEA, we can add features to the system to allow the client to better
track these additional needs. We then show the client how to access and use
these changes without the need of outside personnel. All of this is provided to
the LBPTC through our risk management information system,
mycarlwvarren.com. LBPTC personnel can access the site to view and sort data,
generate graphs, print reports and export information to a variety of formats
including Microsoft Excel. Ad -hoc reporting is fully supported as are
subscription services for e-mailed reports and event based alerting. It has been
tailored to meet the LBPTC's requirements and needs. These reports are
considered standard and can be provided at no cost to the LBPTC. Frequency
options for delivery include daily, weekly, monthly and quarterly. The reports
can be as detailed as the LBPTC desires and examples are contained in TAB I OF
THE APPENDrX
Carl Warren & Company will continue to deliver claim information to the
LBPTC through our online access information system, mycarlwarren.com. No
software installation is required only access to the internet and a standard
Microsoft or Netscape browser. This application is available for review at any
Carl Warren & Company 26
tiFi,e. - 2,,V%/265 -. 2rid ft;rctlons iri real 'Lime w-fth updates every few hours.
Access to our data system can be made via iPhone and Blackberry literally
putting data at your fingertips. All you need is an internet browser.
Mycarlwarren.com uses technology from the business -intelligence software firm
MicroStrategy which sits atop our SQL Data Warehouse and will allow LBPTC
customized access to their financial and claim information. The system is
structured as a risk management tool in addition to providing claims data, and
will provide designated LBPTC staff easy access to records.
You can access the site to view and sort data, generate graphs, print reports and
export information to a variety of formats including, but not limited to, Excel,
PDF and TXT.
A flash demonstration of our system can be viewed online at your convenience at
www.carlwarren.com although you have already been using it for years.
Mycarlwarren.com is maintained, updated and administered internally by Carl
Warren & Company employee -owners. LBPTC has access to the adjusters file
notes, all claimant information, and financial data (including financial summary
and payment detail). You will be able to access an extranet environment to
perform intuitive reporting and ad -hoc analysis on risk and loss prevention data.
You will continue to be able to link to individual claims information, drill down
to a particular payment and read the narrative associated with the payment.
Carl Warren & Company 27
Ad hoc reporting is fia,lly supporter, asare subscription services toz e-mailed
reports and event based alerting. Standard Reports that are available on
mycarlwarren.com are as follows (with examples of your data and reports in
TAB 1 OF'Y THE APPENDIX):
Snapshot An overview of the program from inception provides
a quick Program Overview with graphics.
Payment Info Payment Summary, or the check and recover registers
can be sorted by location and policy year.
Additional Reports Coverage, Cause/ Pay Code, Litigation or
Stratification Reports can be produced by location.
Claims Info Adjuster Notes, Claims Histories, Registers or
Transaction Reports can be sorted by Evaluation Date
& Policy Year. This report also allows claims to be
sorted by cause code by code, policy year, frequency
and severity.
Location Info Reports can be sorted by location to provide
frequency by location, summary by policy year and
severity by location.
Custom Reports We can also provide custom reports to our clients for
no additional fee.
Carl Warren & Company 28
''tandarcxs of Excellence
Eest Pra-ctice_.slClaiuis Guidelines
Claims Handling
Within 24 hours of receipt of the claim, all files will be created, reserved
and assigned the proper location and cause code, and will be entered into
the information system. This process will be closely monitored by
management in order to assure correct coding (etc).
d A diary system will be established so that each case is reviewed at least
every 30 days or more frequently where warranted.
® Any payments from a client's trust account will be made in a timely
manner.
• All payments, reserve revisions, and file closures will be properly entered
into the information system with accurate assignment of location and
cause codes. This process will be closely monitored by management in
order to assure accuracy.
® All injury cases will be reported to the Central Index Bureau as soon as
possible upon receipt of the claim and re -indexed when appropriate every
nine (9) to twelve (12) months. The reserve will take into consideration all
potential payments related to the loss including liability, allocated
expenses and adjustment expenses.
Carl Warren & Company 29
.pile Documenfatjon and Report-i_n
The basis for the b.-A ai reserve, any reserve revisions and all pavment-s
will be clearly explained in the file.
The BODILY INJURY WORKSHEET will be completed on any file with a
reserve in excess of $5,000.00.
0 An initial advisory report will be directed to the client within 21 days of
receipt of the claim regarding our recommendation for action by the
public entity considering the Tort Claims Act requirements, initial
evaluation of liability and available immunities, and appraisal of known
damages.
® A full investigative report will follow within 45 days of receipt of the
claim_
m An updated status report will be completed at least every 30 days
following the investigative report and will include information outlining
further work to be done, case evaluation, verdict potential, laws and
immunities affecting the case, co-defendant contribution,
settlement/ defense strategy, and a target date for completion of the
outstanding work.
a All phone conversations, discussions and meetings held on the case will
be clearly documented in the file.
Carl Warren & Company 30
r All rdev nt contracts, in1SUr.e,nce certificates, adri-itional insured
endorsemeiits and other hold harmless/indemnity agreements will be
obtained and reviewed-
0 Claims which fall within the excess carrier's reporting guidelines will be
reported in a timely manner.
4 The diary schedule will be clearly evidenced on the file jacket.
Investigations
* Contact with any injured claimant will be made within the first 24 hours
of the assigned adjuster's receipt of the Claim file and a statement taken.
• Where warranted by the damages and/or legal exposures, necessary
statements will be taken as soon as possible from all other involved
parties.
® All appropriate departments will be contacted and all relevant
documentation, including plans, permits, contracts, insurance certificates,
memos and reports will be obtained promptly,
a Within 30 days of receipt of the verified claim, there should be an
investigation of the facts of the accident and injury sufficient to
substantiate the initial reserve, including pertinent official reports and
photographs, plans, permits, adjuster's photographs, witness reports,
wage loss and injury data.
Carl Warren & Company 31
F° Frop er hisp d—ion" Zvhere J Justified by foie expense, shiail be made on any
alleged property damage loss within 5 working days of receipt of the
claim and any payment to be made will be adjusted and recommended
promptly.
® Contact will be maintained with any claimant on an ongoing basis for
maintenance of necessary control and amicable rapport.
® All relevant evidence will be secured and retained on behalf of the client.
Where a medical evaluation is questioned, an IME will be scheduled on a
timely basis with a qualified physician, providing to that physician any
relevant medieal'and job information that might affect the evaluation by
the physician.
Where the length of the disability is questioned and where justified by the
exposure, an outside activity check/surveillance will be conducted in
order to determine the physical activities of the injured party.
6 On a file where settlement is being considered, the medical bills, medical
reports/records and documentation of the lost wages will be obtained in
order to properly document the claim file-
® All medical bills submitted by the claimant will be closely reviewed for
causal relationship to the accident as well as for reasonableness.
a Expert consultants will be retained where necessary.
-- Carl Warren & Company 32
t fiC}?J1.t nd �evera� contyi i]tIOTi aiYii C0-noa.ra ve il_abffity possi� iiitiEs wi!I
he promptly recognized and investigated, preserving required evidence
and utilizing experts where needed.
e All reserves and settlement potential will be evaluated every time the file
is reviewed, with particular attention to any new information that has
developed impacting liability and/or damages.
• Where warranted, settlement will be pursued in a timely and aggressive
manner, and all negotiations will be handled or managed internally by the
claims person assigned the file unless there is a documented basis to
handle it some other way.
e Settlement authority will be obtained as required by the service agreement
with the client and all appropriate releases, "good faith" motions, and
minors' compromises will be secured.
• When a claim has been rejected and is not being considered for
compromise, the appropriate court records will be reviewed for filing of
lawsuits after the six month statute.
® Liability, damages, potential co-defendants, subrogation potential and the
value of the claim are all considered when determining the extent of time
to be spent ozi a claim.
a If scene investigation, a statement or other documentation is needed to
document the loss or determine liability, then the necessary fieldwork will
Carl Warren & Company 33
be deterrnirted and concir;.cted. If this information can be obtained over the
phone and the claim is minor, then that course of action will be taken. We
have a 183 page claims manual which provides extensive procedures.
® Since all of our clients have different needs we build a customized
program for each client. However, the following are constants that can be
generally said for us across the board. Carl Warren & Company takes
fraudulent claims seriously. As with all claims our goal is to protect our
client's assets and to ensure only valid claims are paid. Our fraud
program is built around recognition, applying the necessary resources to
the claim and communication with the client.
o Depending on the exposure, Supervisory review is either done via file
review or in a round table discussion as soon as necessary. Anytime a
reserve change of $25K for legal fees is needed, the claim is reviewed.
Dama a Appraisal
Carl Warren uses Coastal Appraisal Service but with the addition of Steve Rolon,
we will now be able to offer more in-house automobile appraising for LBI'TC
claims. All adverse parties are contacted within 24 hours and inspections
completed as soon as there after possible. Total losses or vehicles incurring
storage charges are immediately reported to fast track to minimize costs and
related expenses.
Carl Warren & Company 34
Set-ttejnf-nt A.uthatity
Gist ih' ,- C- i & Connpany !;�tz is Well �',ersed with e'nd con -,ply With the--
LBPTC`s requirements regarding settlement authority.
Litigation Management
It is the philosophy of Carl Warren & Company to manage litigation fxom a two -
prong approach - strategy and cost containment. We will work with LBPTC
selected counsel to meet these goals_ A strong working relationship between the
adjuster and defense attorney is important since both bring different skills to
claims handling and resolution.
A complete copy of the investigative file will be transmitted to the defense
counsel. Our strategy is to assist in providing an objective analysis of
those cases that should be vigorously defended, as contrasted to those that
should be settled once limited discovery has been conducted to leverage a
negotiated settlement.
Defense counsel will be asked to provide a liability evaluation with a plan
of action, budget and time line for completion of items listed. It will
indicate the handling counsel at the defense firm and will be signed so
everyone has a clear understanding or what is to be done, when and at
what price. Additional work must be approved by the managing adjuster
before any expense for experts, records, etc. can be obtained.
Carr Warren & Company 35
,ct'_.'-;
4 A n)T ncr,-legal -vyork should be referred and completed b tl�e handling
adjuster. We will be available to work with the selected counsel to develop
an intelligent and reasonable litigation plan that will achieve the case
goals.
We believe that utilization of structured settlement plans can reduce loss costs in
moderate to severe claims. We also believe in the utilization of Alternative
Dispute Resolution (ADR) to reduce litigation costs and loss results. We will also
assist in the preparation of the defense of a claim by helping to prepare discovery
responses, negotiate settlements and subrogation actions. On litigated claims,
we will keep the LBPTC informed in writing of conferences, hearings and trials.
When requested to assist, we will attend trials, hearings, arbitrations, mediations,
settlement conferences and any other legal proceedings. Counsel is assigned
either from carrier approved counsel, specific client request counsel or selected
from panel list of approved counsel with specific expertise related to the client or
claims type as well as knowledge of certain venues.
® Once a lawsuit has been filed by a claimant, consideration will be given to
either settlement or defense of the case, and the evaluation process will be
clearly documented in the file.
® Where the case is to be defended, legal counsel will be selected on the basis
of needed expertise and expected performance and in consultation with
client prior to the selection being made.
Carr Warren & Company 36
e= fi letce of dirociion w ll accompL ;Y1�i aSsl pinent to C�d nse' cc1lIL ,
outlining the work to be done, by whom and in what time frame. If verbal
assignment is made in the interest of time, the claim file reflects the scope of
the instruction and be documented by a written communication to counsel.
+ Defense counsel activity will be managed on an ongoing basis. Defense
counsel will not do anything that could be accomplished just as effectively
and economically by the claims person.
Within 30 days after receipt of the case, defense counsel's written opinion
will be obtained and will include evaluation of liability, exposure, verdict
potential, settlement value, and settlement/ defense strategy.
• Itemized legal bills will be solicited and reviewed for payment
consideration at least semi-annually.
Criteria and Procedures for Reserving
• Establishing initial reserves
Case reserves are established within 7 days of receipt of the claim. They
are established on a case by case basis. The liability exposure, expense and
anticipated life of the claims are all factors taken into consideration when
reserving a file.
0 Updating reserves.
The adjuster will review the reserve each time work is done on the file
and./or when new information is received that would change the
evaluation of the claim. Reserves are re-evaluated at least every 30 days.
Carl Warren & Company 37
-i-�,,--i.; �'.:Fi :FPi„
Updating client of major reserve cl,anges-
The reserve caption on wr;t_'Len reports will provide the LLI'TC with the.
current reserve as well as an analysis of why the reserve change was
made.
Excess Carrier Reporting
When it is determined that a claim meets the reporting guidelines for reporting to
the carrier, the applicable primary or excess carrier will be placed on notice with
all available information by telephone and followed up with a hardcopy report,
with a copy to the LBPTC_ Generally, a copy of the file is sent to them within 10
days of notice of claim filing when the type of loss or injury is either known or
alleged. LBFTC will also be sent a copy of each report and Carl Warren &
Company will pursue, when appropriate, excess reimbursements from the carrier.
We will act as the liaison between the insurance carriers and the LBPTC on matters
affecting the adjustment of such claims. We will notify the LBPTC when entitled to
reimbursements for loss in excess of retention, and will maintain records on any
such claims.
Subrogation
Carl Warren & Company actively pursues subrogation when ever possible. Each
claim is always investigated to determine if subrogation or recovery potential
exists. Such evaluation will be dearly posted to the claim file and/or our online
claim system. The insured will be contacted for approval to pursue and/or
review contracts before any notice is given to a potential third party. Once
Carl Warren & Company 38
i
clearance is obtaizlc d from theinsured, recovery froin responsible third. parties
will be aggressively pursued by the claim adjuster. We have an in-house
subrogation team which handles subrogation nationwide for our clients as well
as insurance carriers. In slightly over 2 years, we have recovered over $3,50,000
for LBPTC as demonstrated in TAB 3 OF THE APPEND]X.
Medicare, Medicaid and SCHIP Reporting Extension Act of 2007
Carl Warren & Company is compliant with the Medicare, Medicaid and
SCHIPAct that went into effect January Is' of this year under Section 111
(Medicare Secondary Payer) of the Medicare, Medicaid and SCHIP Extension
Act. We continue to monitor and educate our staff on updates and changes as
they occur. We have incorporated our MMSEA services with the Index Bureau.
As of June 2009 all Carl Warren & Company employees have completed the
necessary MMSEA training. We would be happy to discuss our MMSEA
procedures in further detail, if needed.
Carl Warren & Company 39
Cos4 and Price ProposaI
As we hope you have seen throughout this proposal and presentation, we view
the relationship between LBPTC and CWC as a long term relationship. We are
all hoping that the economy improves as we move forward in this new decade.
However, right now financial times are challenging. Therefore, as a business
partner, you will see that our proposal offers to charge the same rates as
currently for claims administration for July 2010-June 2011. And we are also
offering to decrease the percentage you pay us for subrogation recovery for the
next 5 years. We are proposing minor increases in July 2011 and July 2013
hoping we have all gotten through the recession together.
erne ea cumorm _ no Inaeoeee no Increases
Annual BudaetaryRecomnfendanen eased
Upon Eeslrnalad Clalm V01Ume, 8 evens B
IrnesUgadnnRegUnd 1216,000 6219,d00 9223.000 BVTXO 9232.000
By way of reference, for the period July 2008 to June 2009, CWC invoiced LBPTC
approximately $215,000 for services rendered. The period July 2009 to June 2010
is obviously still in progress but is likely to exceed $215,000 due to the increased
percentage of files in litigation and a variety of other factors discussed in the
materials. We estimate )uly 2010-June 2011 to reflect more like 2008-2009.
Carl Warren & Company 40
Section E
Exceptions and Deviations
NONE
We can and will fully comply with the RFP Requirements
Carl Warren & Company 41
.— i. _ ;i� . c_ _- _..�..:_s�_iii��F...._t_,.—.,�,_.�,,,�,��1�� �"#`•i, — ..:.��.: r''T=: i�'�4—. : _ i
— �!
s � �.
'� t�-
r..�
�•
Dear Baluaiion Committee:
Please consider this statement in compliance with your Request for Proposal (10-016)
regarding the current employment status of employees working on the LBPTC Account.
Per the Section on Content (Section B5), be advised that the persons listed in this
Proposal are full-time employees of Carl Warren & Company and barring events beyond
our control, will be available to work on LBPTC claims throughout the duration of the
project_
Michael Reed
Corporate Secretary
Carl Warren & Company
Email: mreed ,carlwarren.com
(800) 572-6900 x 5273
Cell: (949) 433-5609
LONG PEACH PUBLIC TRANS ORTA1ION G01MtFAVY
clfi-I� irr�RG�lSubrag *for. RFP KO' 10-Mi
- FR1fAAPY PARTICIPANT CER:T(FICATiGN
Regarding
Debarment, Suspension and Other Responsibility Putters
The Co--, certifies to the best of its knowledge
irm name/pElf ncipa )
and belief, that it and its principals;
1. Are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily
excluded from covered transactions by any Federal department or agency;
2. Have not within a three-year period preceding this proposal bean convicted of or had a civil judgment
rendered against them for commission of fraud or a criminal offense in connection with obtaining,
attempting to obtain, or performing a public (Federal, State or local) transaction or contract under or
public transaction; violation of Federal or State antitrust statutes or commission of embezzlement,
theft, forgery, bribery; falsification or destruction of records, making false statements, or receiving
stolen property,
3. Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity
(Federal, State or local) with commission of any of the offenses enumerated in paragraph (2) of this
certification; and
4. Have not within a three-year period preceding this applicationtproposal had one or more public
transactions (Federal, State or local) terminated for cause or default.
If unable to certify to any of the statements in this certification, the participant shall attach an explanation to
this certification.
The primary participant,
certifies or
affirms the truthfulness and accuracy of the contents of the statements submitted on or with this
certificati and understands that the provision f 31 U.S.C. sections 3801 et_ sec. are applicable thereto.
i at
and Title of Au ri d Offici 1
Michael Reed, Corporate Secretary
Rev. 7.2.09 1 of 6
_
Solt insurar cal urrogat[or�, Pr-P 140: 10-61E
LOWER -TIER PARTICIPANT CERTIFICATION
Regarding
Debarment, Suspension and Other ineligibility and Voluntary Exclusion
The Carl Warren & Company
(Firm name/principal)
certifies by submission of this proposal, that neither it nor its principals are presently debarred, suspended.
proposed for debarment, declared ineligible, or voluntarily excluded from participant in this transaction by
any Federal department or agency.
If unable to certify to any of the statements in this certification. such participant shall attach an explanation
to this proposal.
The
(irm name/principal)
certifies or. ffirms the truthfulness and accuracy of the statements submitted on or with this certification
and unde nds that the provisions of 31 U.S.C. tions 3801 et seg. are applicable thereto.
ti gn ure and Title of Authorized-,75fficiR
Michael Reed, Corporate Secretary
Rev. 72.09 206
LONG 15Eh.CF PULLI r �t"+'uPORIA` 40N COVGf ANY
e4f-{�15urbrrG81vU rac tips, Prp wo.- 10-G46
RESTRiCTIONS ON LOBBYING CERTIFICkTt0N
I,_ _ Michael Reed , hereby certify onbehalf of_ Carl Warren &Company
(Name, authorized Official)
(Name of company)
(1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the
undersigned, to any person for influencing or attempting to influence an officer or employee of any agency,
a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in
connection with the awarding of any Federal contract, the making of any Federal grant, the making of any
Federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal,
amendment, or modification of any Federal contract, grant, loan, or cooperative agreement.
(2) If any funds, other than Federal appropriated funds, have been paid or will be paid to any
person for influencing or attempting to influence an officer or employee of any agency, a Member of
Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection
with this Federal contract, grant, loan, or cooperative agreement, the undersigned shall complete and
submit Standard Form - LLL, "Disclosure of Lobbying Activities; in accordance with its instructions.
(3) The undersigned shall require that the language of this certification be included in all
_ subcontracts, and that all subcontractors shall certify and disclose accordingly.
This certification is a material representation of fact upon which reliance is placed when this
transaction was made or entered into_ Submission of this certification is a prerequisite for. making or
entering into this transaction imposed by section 1352, title 31, U.S. Code. Any person who fails to file the
required certification shall be subject to civil penalty of not less than $%000 and not more than $100.000
for each such failure.
Executed this day of i i , 20u n
gy
(Signature of authorized fficial
M shael Reed,-D-Qp7arate Bearetary
(Title of authorized official)
Rev. 7.2.09 3 of 6
L.ONC� LEACH FIOULkG COMPANY
S61Ansurz�ncetSubre99atif, n, RFP NO. 10416
DRUG- FREE WORKPLACE CERTIFICATION
I, Mi n.}7 A C_1 __RM P rl , hereby certify on behalf of
(Name of authorized official)
C�xI .Warren .& _ Company that
(Name of company)
The Proposing Company named above, and any Sub -Contractors working on this effort, will comply with
Government Code Section 8355 in matters relating to providing a drug -free workplace. The
CONTRACTOR and all Sub -Contractors will therefore:
Publish a statement notifying employees that unlawful manufacture, distribution, dispensation,
possession, or use of a controlled substance are prohibited, and that specified actions will be taken
against employees for violation of these prohibitions, as required by Government Code Section
8355(a)_
Establish a Drug -free Awareness Program, as required by Government Code Section 8355(b), to
inform employees all of the following:
1. The dangers of drug abuse in the workplace.
2. The firm's policy of maintaining a drug -free workplace.
_ 3. Any available counseling, rehabilitation and employee assistance programs, and
4. Penalties that may be imposed upon employees for drug abuse violations, including that no
employee who tests positive for use of a controlled substance shall be permitted to work on
this contract.
Provide, as required by Government Code Section 8355(c), that every employee who works on the
proposed contract:
1. Will receive a copy of the firm's drug -free policy statement, and
2. Will agree to abide: by the terms of the firm's statement as a condition of employment on
the contract.
CERTIFICATION:
1, 1R doe hereby certify that the above -named company,
which I am duly au ri a to represent, will mply ith the Drug Free Workplace requirements of this
contract, I unders nd that this certification is made un er penalty of perjury, under the laws of the State of
California.
Executed this 2nd day of April _ 2010
iO
(Signature of authorized official)
n r..12
(Title of authorize official)
Rev. 7.2.09 4 of 6
k-_0f:.t_.';zC".r;f `' ,_v'_fC y-,iz,u,.`,;,:"r"'f
Self Inst!rat,ice/SuIxogstion RPP NO: -,0-096
PROPOSAL RESPONSE I PRICE SUMMARY FORM
In accordance with the Request for Proposal issued by the Long Beach Public Transportation
Company (hereinafter referred to as "Buyer"), the undersigned Proposing Company hereby
agrees to furnish all necessary labor, materials and incidentals required for the above stated
project as set forth in the Scope of Work and any addenda thereto, and to perform all work in
the manner and time prescribed therein.
ADDENDA
The bidder acknowledges the receipt and incorporation of the following Addenda into the
proposed price.
Issue Date
Addendum Number
March 31, 2010 ADDENDUM #1
PART A: BASE PROPOSAL:
Case Contract Scope of Work:
Expense Category
Hours
Telephone
Photographs
Mileage
Gopies
Pages
Cassettes for Permanent Recording
Office Expense
Set-up Fee
Administration
Ca1c. Type
Percentage of Service
Calculation
Calculation
Calculation
Calculation
Calculation
Percentage of Service
Calculation
Monthly Fee
Adj. Service #See
;S
Please indicate if there are any costs for the following administrative services:
1099's Calculation $
Index Searches Calculation $
Costs associated with Medicare Section 11 Reporting $
Rev. 8,20.08 Salon VII. Proposal Response / Price Summary Form
endix
ear prici
_r, r, n.0
�f Services
_.2.00 per print
—IRS—Rate
2¢'-per page
40- per page
2 25- per page
— .—o£ Services
_r%-F-n0 per month
Page 1 of 2
I—
Set`-issuranceISut?rcg flan R r P NO 10-0A6
s`!Ee t3nCersi,�e.d trees tli2t, ii sciectei;s the Rropotirfg Company, ivillwithin tr3
(IQ) wo*irg days after notiiF�tiorr c` aware by' the Buyer, execute a Coriir2Ct in accordance with
the terns of Lhi prot)cs�l.
Date: ADril 2, 2010
(Seat if proposed by a Corporation) By:
Corporate Secretary
Title
Carl Warren & Company
Company
770 So. Placentia Ave,
Business Address
Cityand State
Bid must be signed by a competent member
That can contractually commit the firm.
Rev- 8.20.08 Section Vit. Proposal Response / Price Summary Form Page 2 of 2
f
LBpTC
July 2D09-Jurte 201D
Ju =O-June 2011
July 2011-Juns2012
Ju 2012-Jute 2D13
M 82014
July 2014-•Jung, 2415
Adjuster Service Rate perBlllabre tfaurfUnit
$55
9% of services
7
9% of services
aw
r 1
Telephone
9% at services
of services
sorer�4
Photos
$2 per prinl
$Z per prini
$2 per riot
per print
$? DT
'pi?rrt
Mileage
IRS Rate
IRS Rate
IRS Rate
Rate
: ff
IRS Rils -'
Photocopies
25 cents per page
25 cents per page
25 cents per page
25 cents per page
;?&c%ftp.Or 000
25 Co, :,- p or pf,,
Stenographic
$4.50 per page
$4.50 per page
$4.50 per page
$er ge
4.50 pservices
r_
cr �fr
Office Expense
15% olservices
o
1 services
15 of
§�Jvi : _J.
+ai, nn a�r;—
Fire Set Up (under U2 hr)
$27
$2.25 Pact
8
Administrative Fee
$550 per month
WO per month
$575 per road
Cassettes
$2.25 each
$2.25 each
$2.25 each
1099s
$D
1 $0
$0
$0
-1
Indexing UPDATED
1$is
$18 due to OFAC
$18 due Jo OFAC
$18 due Jo OFAC
3l3 dill is C:,'
NEW MMSEA LAW
Na
$4.85
$4.85
$4.85
` _ _; ` :'`
t.tti';
Annual Budgetary Reoommendation Based
Upon estimated Calm Volume. Severity S
Investigation Required
Same as cunerrti 181116JUDIMOM= no increases no incra�ses
$215,000 $219.000 $2.23,000 $227,000 T212,000
._.,.�.._..,tiP:t.__�.
1.
Sef-in�urcncelSubrooa ion RFP NO: 10-016
PROPOSAL RESPONSE / PRICE SUMMARY FORM
In accordance with the Request for Proposal issued by the Long Beach Public Transportation
Company (hereinafter referred to as "Buyer'), the undersigned Proposing company hereby
agrees to furnish all necessary labor, materials and incidentals required for the above stated
project as set forth in the Scope of Work and any addenda thereto, and to perform all work in
the manner and time prescribed therein.
ADDENDA
The bidder acknowledges the receipt and incorporation of the following Addenda into the
proposed price.
Issue Date Addendum Number
March 31, 2010 ADDENDUM #1
PART A: BASE PROPOSAL:
Base Contract Scope of Work: Subrogation
i
Please provide percentage of amount collected as follows:
$1.00 to $50.000 22 _ % of the gross recovery
$50,001 to $100,000 111 % of the gross recovery above
$100,001 and above 1 0 _ % of the gross recovery above
Gross recovery is the amount recovered without deduction for costs or legal fees. An incident is defined as
a singe occurrence, case, loss or accident. Should an occurrence happen wherein there is a bounced
check PRINCIPAL will not collect a fee.
Rev. 6.20.08 Section vtf. Proposal Rasponse I Price Summary Form Page 1 of 2
= 1 i i F S i i_I I i h ,:, :: ; % :_ r, : F. i' - . •: ',_, = : Ir, i+ = l:. o car; iG i, i r, { ; .
Sit`-ICStsr�.ncer' ubrcQaifer, RFP NO: 110-016,
The undersicned agrees that, if selected ias the successful Pro;-o:.Jnc Company, wilt vviihin ten
(1 ' working, davE G`e-r notificzHon of award by the Buyer, eyecute a Coritr;�ci In accor . nce with
the terry* of this proposal.
Date: Apr ' 1 2. 2010
(Seal if proposed by a Corporation) By,
Corporate Secretary
Title
Carl Warren & Company
Company
'720 So. Placentia Ave.
Business Address
City and State
Bid must be signed by a competent member
That can contractually commit the firm.
Rev. 6.20.08 Section VII, Proposal Response I Price Summary Form Paga 2 of 2
p�
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LON'G 2EACH PUBLIC TRAME-:PORTATION IWVTAU�
SECTION IV
Purchase Order Attachment LHT®
Mandatory FTA Terms & Conglfl2ns
APPficeble to Professional and ME SerAcer,
P Y rch 2M , d rLet Ate
M2r1 ore E[ATs;MS & CortdltlonS
Applicable to Professional and A$E Sarvj=
TABLE OF CONTENTS
1. No Government Obligation to Third par-ties...................................................................................................2
2. program Fraud and False or Fraudulent Statements or Related Acts ...................................................................2
3. Aceess to Recorft......................................... ... ... ...2
4. Civil Rights....................................................._........................................,.......................,........................................3
5. Disadvantaged Business Enterprises......................................................................................................3
6. Federal Changes ................ .... .......... .,......................................................... .,............................ .............----... I— .... 3
7. Inoorporation or Federal Tran4it Administration (FTA) Terms ............. 0«....................................I...........................3
8. Energy Conservation ........................................ ..................... ........................................................................
e. Suspension and Debarment (lf order excaeds $25,000) ..................................................................................3
10. Fly America Requirements (Foreign Tranaiwrt) ............................... ....................................... 4
11. Seismic Safety (A&E requirements only. For now Buildings -M Additions)._........................................................4
12. patent A Rights in Data QM Requirements only) ... ................. ............ .......... ...... ........ ......•............ ,.i,................ 4
13. ITS National Architecture (Electronic System Requirements Only) ...... .... ..................................................
.5
14. disputes, Breaches or Litigation .......................................,.«..... _..........................................
«.............5
15. Lobbying............................................I.............................................._..............
11L Clean Air ........ ............. .................................... ....... ................. ............................................. --................ ........... .....
s
17. Clean Water .................................. ............... ......._.................... ........... ... ..................... ............. - .. .....Z
Rev 12.14.09 Sectan IV. Wndalay FTA Terms page 9 of 5
CONE 8E6GH E!MLIC TRANMRI TIf4, ON CgMPA
PuEghase QrderAttachment L@I:g4
anda!Qef FTA Tt = & Condlillons
Applicable to Professional and ME Services
J ido Gomernment QMigatlen to Third PA%m
(1) The Buyer and Senor admemodge and agree tha� aotwostaepirp
anY concurrence CY the Federal Government in or approval of the
saNtlr9lion w award of the under" cuntrart, stttsom the a4ress
written Consent by the Federal Government the Federal Government is
not a party to this contract and shall not be subject to any obligations or
habilitiea to the Buyer, Seller. or any other party (whether or not a party
10 that contract) pertaining to any mamar rasufing ►rom the underlying
conftct'
(2) The SePer agtaes to Incluft the above Clause in mech m boonbad
fianal in whole or in part with Federal assMarice providW by FM It
is further agreed that the louse email not be modHiad, except to Idan*
the auhcattrasxorwno will be aul jed to its provislan5.
Z PrncMm Fraud and Fa ft or Fratt W%g AMmeat or fteLOS atad
(1) Ttea Seller arivwwiedges that the provisions of Ote Program Fraud
Civil Remedies Art of 1096, as anhansied, 31 U.S.C. J 3MI at sM, and
U.S. DOT regulations, 'Program Fraud CM Rwnedie%. 49 C.F_R_ Pad
31, appy to he actions pertaining to this Projod, Upon eaawtim Ofthe
underlying coriliraCi, the Seller certlfrae or affirms ttrQ trutiMmaste and
aceuraey of any MAWhtant it has mode, it makaa, it may Hake, or casts"
to be rr+ede, pertaining to the underift contract or the FTA assisted
projad for which thts cantrmct work is being pedwmed, in &WItion tv
other pinalties that moy be asaplioubb, the seller further acknowledges
that 9 R makea, or cages to be made. a tales, fiddioris, or fr&Kkdmrlt
erotic, stat"Vnt. Submhmlon, Orcert0lpsWn, the Frwral Covemment
reserras the right tv arapose the penalties of the Program Frwd CM
Ramer ies Act of 1 RW an the Seller to the extent the Federal
Government deem wrocriato.
(2) The Safer also oc knowieego that 0 it rnuhw, or causes to be made,
a feriae, fMlous, orfraudulent dace, ststemig, snt>imission, OFrar6firatlon to the Federal Government under a OonheCt cortnocted with
a project that is financed in whole or in part with Federal asaistance
originally awarded by FTA under the audnedly of 49 U.S.C. § 5307. the
Government reserves the right to unpase the penalties of 1E U.u-C, §
1001 and 49 V.S,C. § 9307(n)(1) on me Seller, to the weant the Federal
Gwmrnmart deems sppr9niate.
(3) Tne Seller agrees to include the above two claissgy in each
subcontract financed In whole or in part with Federal esslotance pmvkkV
by M It is further weed Ural the clauses chat trot be modified,
except to Wen" the subcontrsctar whe wili be subJo;sai tv the provisions.
The following ae ms to meorft requiaamards apply to this Can"Ct
(1) Where tlhm buyer is not a Stale but a Weal gowornmssnt mW iS the
FTA Recipient or a subgramae of the FTA Replant in accordance wim
49 C.F.R.19.360, the Better agro u, to provide the Bntysr, the rrA
AdminIMMIlor, the Cannptm11- General of the United Slates or arry of
their Au rK*4t ry rapreventativea aeceea to any bosh documeatF.
paper+ SM M OMe of the 66111erwhich are directlyporinerA to this
contrad for the purpaame of making audits, exIminadom, ekwrpts and
VonsCtlptions. Sew• also agree, Pursuant tv 49 C.F.K. M.17 to
provide the FTA Administrator or his authorized rePresenhdIves including
any PMO Sailer Access to Sellers records ace WatruMn atlas
pertaining to a major capital projaci, defined at 49 U.S.D. a=(2)1,
whfdn is %Nlving fide rat financial assistance through the progrerna
described at 49 U.S.C. 5307, Q09 or 5311.
(2) WRhete the Wyer is a State and la the FTA Izipient or a subgrant"
of the FTA RAoipierrt le aacordanc a with 49 C.F.R. 03.17. Seller agrees
to provide the Buyac, the FfA Administrator or his ouiborkad
moreserttatives, including any PMa Seller, aim" to the %N 4 re0ords
Mid raAOM;iivn sites pertt k ft to a major CwPftW Pro1e0. defined ®t 49
U.S.C. 5302(a)1, which is receiving federal financial wa&tard* through
the programa did at 49 U.S.C. 007. M or W1. By deft l[W.
a rMW *ApW p vlect excludes conlyada of We than the simpt9fe6
anquMfion tivoshold currently yet at S100,0M
(3) Wherd the Buyer arBers Into a negotiated contract far Ow than a
smil pwrtiase or under Olt® esnpkfied aCquWiJon thtanhoW and is on
inaMution of higher education, a hospital or other no"roft otganlaWon
and is the FTA Reoiplerd or a subgrantee of the FTA Recipthrt in
accordance wrlth 49 C.F.R. 10AS, 6eRM agree to txovidQ the 6luyer.
FTA Armnistrotor, the Comptroller General of the United Shies or any
of dour duly autherizad reprmaentativse ► IM awes to any bo*ks,
documents, Jsapets and raoord of the stainer which am directly pertinent
to this Contract for the ouncos+es of molding audlfs. eYammatiens. e=arpts
and transcription.
(4) Where any Buyer which is ilia FTA Recipient or a zubpfemmtea of tits
FTA Recipient in accordance with 49 V.S.G. 5323(s) enters ®Bit
oonlmd rw a capital pMed or Immwement (defined ad 49 U.S.C.
S=0)1) through ether than aampetit"bidding, Iha Smiler shall make
available records ruled to the commet to the Buyer, the Secretary of
Transptarlsiailon and the OwWwOtlor General or any autherim officer or
employee or any of Oren for the purposes of=%luding an audit and
1neloion•
(6) The Sager agrees to permt any of the fwegoirT patties in reproduce
by any a nvana vAtatsaever or to copy axcarpta and trarmaigon as
reasonably aeoded.
(6) The Seller agrees to maintain ®R books, rt COW accounts and
Warts mWiteed undeer this contract for a period of net lew titan three
pars after the date of ttr Wetion or exgiratbn of Usis oontregL eraaept In
the evert of fitigallon & sediment of deft arwng tram th0
porWi Y r4a of this Co+ltMM in which 08se Seller agrees to 71*111 trim
sync until the Buyer, the FTA Admlrhlslraaor, the Gornptmksr General, or
any of their duly authorized repretieitat m, have disposed of all such
hbgafien, appeals. ClIpIms or eldUp6*ns relatsad ftreto, Referenad 49
GFR 1&39(1)(11j�
(7) FTA does trot mquftu the Indust" of then r"IAwneris in
rubcontocts,
Rev 12-14.09 Section JV, Mandau ry FTA Tanh+s
Page 2 of 6
! 1,i: :li 'r'}'.i e i', L t'r. Ci f, L, It
LGwl Rr4 htr'
The afVY tc tEe v1dcKylnp gh'.mrt.;
(1) NondiscrimtnWIGn - If, abasrdence with Tine VI of the Civil Rights Ad,
as amended. 42 U_S_C_ 6 200Od, seuc tIon 303 of ft Age Disermin8tion
Art of 1976, a6 anWded. 42 U.S,C. § 6102, aection 202 of the
Americaris with Iasbiptla s Ass of IM, 42 U.S.C. § 1213Z Federal
transit tool at 49 U.S.C. § 5332 and she Buyers EEO policy, M■ Saller
egrears that it Yip not ftcriminate soinst arty employee or applicant for
ern*yment bemuse of race. color, religion, national 0691n, sex, ape,
ancesdy, srexual orientatloe, mental or physical disatm7ty, veteran status,
r»ediaul condition, pregnancy, marital atatus or any other "tested
category. In addition, rho $*Aa►agrm to comply with applicable
Federal implementing regutallona and other implementing requirements
FTA may issue.
(2) Equal Employment Opportunity - The tbilpwring equrlll employment
opperN,nityy requirlinvnis apply to the undedyittg Contract
(a) Rees. Color. Creed, Nadonal Or,¢iin Sex - In accordance with Buyers
Civil li
EEO policy end Title vli of the ghts Act, as amended, 42 U.S.C. §
2000e. end Federal transit taws at 49 U.$.6. § 5332, the Seller agrees to
comply with an appdcable ®qua! emp"nent opportwntly mqufmm*Ua of
U.S, Deperlment of Labor (U.S. DOL) regeAnorks, `OfhW of Federal
Contract Compliance Programs, Equal Employment OppuxWnity,
Npattment 0 Labor:41 C.F.R Per% 60 of W q„ (w ch implement
Executive Order No.11246, Twal enployment Opportunity," as
amended by F.xOmAve Order No.11375, A memmng Execufive Order
11246 Relating to Equal Bmp+ioyffont Qpportunity., 42 U.S.C. § 2006a
note), any spprrca6le Federal statutes, axaacudve orders, ropufatbns, and
Federal pofidire that may to tK kitum •flea activities undertaken in the
course of the Project- TheSellerkgrees to fake aifirmative acdpn to
ensure ftt apppcanta We employed, and that emptVAO are treated
during employment, without regarii to Moir race, color, rellglon, na@anal
origin, sex, age, anoesiry, sexual nrlonladon, mental or phylow
c518billty, veteran aisqus, tradW ogaOWn. PMW=nW. Marital status or
any dMar prolsdW category. Such action or policy ankle Wend ID every
phase of tha employment process and Shag include, but rot be mmltad fa,
the fdloWnpc empioymenk rein mont or teerttl mwd advartiding,
selection for training. indudutp apprentlaRship, pro motion. demotlori or
transfer. Ccmpensalton. benefits, trnmr:tars, layoffs at tormina tt, recalls.
and Cornpartyaritansored edhtcaGanal, socdral end recreational program.
N additbn, the Seller agrees to comply frith any Implementing
requirements FTA may issue.
(b) Age - In accordance with eectlon 4 of the Age Dk o ruination In
Employment Act of 1967, 14 amerMd. 29 U.S_c_ § § 60 and Federal
transit taw at 49 UAG. § 5332. the Samar vorsac to mftn from
discrimination against present amp prWpeolive employees for reason of
age. In adelltlen, the Seller agrees to comply with any kr plemsAtng
re0crireMentS FrA may Issue.
(6) DiseWities - In accordance with S4dlon 102 of ft Americanswith
Disabilities Aft. as amended. 42 U_S_C. § 12112, the Soper agrhems Utai k
Will canpty, aWth the requirements of US. Equal EmPlayme.ra Opportanity
Commission, "ReguisMma to Implement the Equal Employmient
PrMiSlond of the Americans wfih DwW%a Act.' 2a C.F.R part IM,
pettatning 10 wVlotnnent of puns with disaMIdea. In addltlon, the
Seller agrees to Comply W M any iMplememmng raquiremants FTA may
issue.
(3) The Seller also agren to include these mquk*merrts in Such
subarntract finmxad In whole or In pert with Federal assistance provlppd
by FTA, modified"F neoessary to identify the atiCesi rt parl1w.
L bias nRytgirheas Erhter gn
(1) This wntrad is subject to the mqu inaments of Time 4a, cuts at
Federal ReWledons, Part 26. Pal'116 Wan by pfitddwbttaged 8nrsrness
JFJterpdS" in OeparfMentOfrnW40Ort^V0n FrnsrrdafAsslstance
Programs, The nadenat goal for participailm of O volg9ed t1winesa
Enterprises (06E) is 10616. it estaokl*d, specmic rantracfs gook and
inftvve:on, f6, Liu pr a 7vne-:.t,rill t;rpvarint7z ryas drantaI;c
E.u-qm- r i.svz, i tc on of 15y preoL4Inc, fd mal Rom,
(2) The Seiler ahr.11 not di2erV nate on the tresis of race, cok:k% national
origin, or Mm in the pwamanca or M contract The Seller snap carry
out appricable rtaqutnamnts of 41a CFK Part 25 In the awaa'd and
administration or this DOT-Migted odtWd Fallura by the Seller to
carry out the requitements is a material breach of thle Contract, wldoh
may reault in the tvrininatton of this oMh*M or weir ob'W remedy as the
Buyer deems appropriate. Each subcontract the Soper hdgne with a
aubcontraMor must Include the assurance In this paragraph (wo 49 CFR
26.13(I6)),
(3) If a separate contract goal has been astabli bed for this procurement,
the 10110Wlnp applies: 81de1erWa tas are required to datumant SuR1pent
DBE participation to meet Ihwa goals or. tdlemadvaly. dommwt
adequete oW faith effoita to do so. as providad forks 49 OFR 26_ft
(4) If no se;arale contract goal has been established. Hie fb1ovAV
applies; The sucbessful biddarrofim wpl be regtdred to report its OBE
partidpadon obtained through race-nettkal nuns 0%rou$uhA Cte period
of perfonnanve,
(5) The Seger Is required to pay Its subcontractors performing work
related to thra contract IOr saftfeotory perbm arcs of that Work no tstsr
than 30 days After the 6~9 receipt of payment for that work hnm the
Buyer In addltlon; the Seller may not hold ,-W, sae from Its
auhcantraeWM, is required to ►alum any MWrftg payments th those
subcontractors within 30 days otter the subountraciWa work catered to
this contract Is eagafac to ily completed, is mqulred to return any
r*Wege payments to those auboentr tors within 30 days sitar
incremental acceptarim of the eutl0otttratsaPs work by fhb Buyer and
SelleO$ rwV of the partial.retalnape payment MISInd to the
aubcorihacl oes work.
(S) The Seiler moat PrornPdy nptifr UN Buyer, whenever a DBE
subalrAractor peffarMN work related to Oft co ntnaell Is ierriftl9d or
We t0 Oomplats its vaonk. and muStw4Ke good faith efforts to w0ge
mother DRE aubc onlregWr to perform atleast the same Mount of work.
The Seder may that termlahate ally OBE subcombactoi and perform that
vm* IhMV t+ Ina own farces or those at an PM1210 WkhU prior wdWn
GWWt of" Buyer
=r:
Seiler attain at all meet comply WA h ern aPPft" Fro replatians,
policies, procedures and directives, khdumnp vulmtdtd mnnleadctt thoga�
"led d;M*j or by reference In the Master Agred (behwen Buyer
and FTA, as they maybe aanerid60 or promulgated from arm to doe
during rho term d Vft eaorttracf. i3emare talWre to SyD OQfipy shall
awrAt lle a material breech of this ayontrat L
7. Ineevndmtldn of Fedansl Trenalt Adminicbmtion WOU Terms
The Mot d ria provistdna Include, In W, WtO t Standard Totme and
t:ondlllono mqu W ay DOT. whaatar or not aNwessly set froth in the
pree"" conk ct provision. All eNtraoAl pmvta om required by
DOT. as sot 1011h in the current FTA Circular 422Mi, we Aerar
bhwrpdrated by rafaranog. Anytlllnp to the conhary town
n dWtharanding, as FTA mwxhmd Iamv t;WI be dsented to ooritrd In
the event of a ConNtX wlM ayfter Movtmons cantwnad In it* Agmethetht.
The Setef WMIJ rat Itarttrrm any aid. fail to perform any e4 or rahm to
comply with any the Buyers requests wWM would Cotrse the Buyerto ba
in vl4t Son of ft FTA temw and oOCMons.
Tim setter agre,aa to cotmofy with mandatory sWdards and Ppr4"
r>alatIM to enwrglr etfidenq whidn are contalned in the stater enw&
consemilon plan Issued in Compliance with the EttOW Poky anti
COn9ea rM ACt
Rev 12-14.02 3ecdon W, Mandatory FrA Terms Pape 3 of 5
6lul;r'.h;L,.r;ci.. IS
_Suet�nt�.lcn end Ch�rr3,�' (tf coder exc�<� Si*,P;�
i'h 4 ta7trxc iE a CNNbrad iransr.�i o-: tYx ptlrp Xx c # 4 CFf.
jr�z Agin. fi¢ Se kr It r"uirec to verl(' iha.t rare
life 841W, h.5 prindpols, as defined at 49 CFR 29.985, ar
af6Gaies, 8e4 defined at 49 CFR 29.905, ere exciudea or
ditgVaIMGd as dOiiried at 49 CFR 29.940 and 29,p45.
The Sorer i9 rtilqu)ted tp comply with 49 CfR 29, Subpart C
and must Include trhe re Wfmmerht to comply with 49 CFR 29,
$ab)aR C in any 1p^ der =mad trinweVan it eeter5 hgo,
lay signing end Subehiltinn its blot or proposer, the bboRr Or
Proposer certifies as rorluws:
The Creroka6an to thi$ dal'se i$ a m814rial repryaerdatlan of fad relied
upon by Buyer- if it is later determined that t w bidder or proposar
k"*Y4n91Y rendered an emtineote wank Wrl, in aderdion to rerriedlies
available tO Buyer, the Federal Goverttment may pursue syailable
remedies, Irroutesing but not smited m su spanalon anWor debannerri. The
Uidder or proposer agrees to convoy with the requirements of 49 CFR
20, Subpart C while this otfw 16 vallo and throuppWul the period of arty
contract that troy arise from this offer. The bidder or propae4r furdwr
some$ to Incly* a provision rsqui ft 4uc h Car npliance to ils loner liar
covered transactions.
® (Fcr4(On Tran qW*
The Seger agrees m comply with 49 U.S.C. 4011 B (the fly ArnarlW
Act) in eOdordante with the General Services Adminrstrafiom'S
reWladorrt; at 41 CFR Part 301.10. whidt pry that raaPtatttt: and
Federal runds and their "1412 We Mciuked to use tjS.
Fft norfor U.S Gavemm&rvt*narm6d national air travel and
trBnspO fin of 'h* personal ONCES Or tuOMAY, to the e=ftl such
sw-lm is 2mloWe. w**8 travel by foreign air eerier is a matter of
neoe9911y, a9 defined by the Fly America Act The Seger shall submit, If
a foreign air carrtarvats used, an Appropriate c argiiallan or
menorandurrt adegtiSlialy w plaiming why servke by a US. flee air
C2e11erwle trot Wall" a why It ums necassoiy to use a krelpn air
Carrier and shag. In Orly wmnL provide a caffiicale of compliance vhl h
the Fly America reQuinementA. The Seaw aWom to include tha
raquirwnwtka Of ft secgan in an subcontracts that may Involve
intematgtral air transportation.
i. qW— Way (AM repine enento only. For new Buildings a
Additions)
The Seller agrees that any new bu*kV or addition to an sodsfing
"Oh'ho will fie tlt>Rigrw and conmbucle4 in "COtdsaicti VAl h the
sbttdards for Seismic Safety mquhed In DePartnrent of Tranaportallat
Seismic Safety Rookdaillm 48 CFR Part 41 and will elm* to
e "1311ahce to the wdent requlrbd by to reguktion. The Seller WHO
agrhaes to Omura do at work perfantnad undw lira contract, indudirii
work perfexmed by a 8ntlWritrackw is incomplionae aft the standards
required by Ube S4lsmic Safely Regulalow and th8 CerlefiCaW of
oampnaWA tsserad on dhe pr oo.
11 patent AL &gbM In Data (R&D ft0wrement9 only)
CONTRACTS 1NVC1L%nN& EXPMMENTAL, DeVL-LGPMENTAL. OR
RMARCH WORK:
M- Righm in Data - This kfir& riq requirements apply to each oaritrad
61YO(viV eWerimentol, deve bprnontai or roseareh work.
(a) The term'subled data, used in this dausa meant; Moww
'nbmmtiOn, wl'*VW Or net CopyABhted. that is derwerarf or r, ld ttad to
bO degvered under the contact. The terra Indude9 gr&ptii0 or pktorW
dalineattan in mdia} such
eas drawings Or Pt'10i09116phs. bu in
speedfcabons or related Performanes err de519ht-brPie daoprieriLv;
rharhlna iorril6 suds oral Aeuhdhed card Of
magnetic tope, or txnreptrter
memory printouts: and nfbrmaton ratairrad in mmet,tpr nran,ory
Exannplu inflame. but are nest Baited tOr computer saftwIle, engineering
Rev IZ-114.09
cra inc4 arc ._s tci fist , 4P tot a! p S, ztandp*ds" pr�-.c'�6.t5,
rn nuRli, Oe rsF a! ,, mtvlo�, lterrt idFr,fincat ns, and rEirta_
rote mt an- Tor E le m 's; bje :. d� ts' dGe rr , Imo C SindrtCd{ ,
east ar�siyres, and ale nilat itiOrhhhaAWi inddent;l to eeS Ing
adminlatratlon.
(b) Trha k@&Mn9 r*ab9caone apply tool subject data SMt produoad in the
Performance of the contrad to which this Attachment has been added:
(4.1) Etezept for Its mvn internal uft, the gttyar ar Seger may not publssh
Or r"duee sub}eol data hn whOTe or to part, Orin any manner ar fam.
nor may the Buyer or Seller authorize others to do so, without the Milan
aunstmi of the Federal OcyorrmGn% unW such time as the Federal
Government may have either released or Approved rtre release of such
data to din twbtt� this reStrtWon on pubikation. however, dons not apply
to any contract vft on academic institution.
(13.2) In acaerdwli a wlth 49 C.F.A. § 18.34 ano 49 C.F.R. § 19.86, tlhe
Federal Opvenvr-Ohl MWNU a roYIt34rae, eon-eWuStve artd
irrevocable license to reproduce, publish. or oLtwrwdo8 ilsa, and to
authorize Others to gas, toe `Federal 0010errtrne11t purposes,' &V subypat
dais or copyright desrltbed In subsectiahs (M)j and (2)(b)2 of 9*
dame below. As used In the prVviwJs gerltance.'(Or Federal
Garertrnent purposes,' means use only forthe direct purposes or the
Federal Govammem. Wnhout the copyeht owners Odepeef, d►e
Federal Govemrent miry not extend its Federal ficange to any ORW
party.
(b.2.1) Any W*Ct data developed Wider that =*Wt. Whether Or Iron a
oPt h �ohrahted; and
ro
Federal aesistarm in whole at to Part Provided by FTAorSeUar tlsmg
(b.8) When PTA m rards Federal azaWonce far glMlarimental,
davelopment il, or research worst, it is PTA's ()coast k ten60n W teGsease
transportation kniawledga available to the public, tallier than to msW 4
the beftft res Aft from One wu& to partioipunis h gnat work
Therebre, urdetass FTA detamUneas otherwise, Cie Suter and 0% Seller
Pwbnyft tscperimedlet, 6%VI prWtaL Or research work required by
the
contract nto to which
ft file Anachmentis added agrees to
pennit
copyright to any eut� date in le co F e o No t cm M h ck
derelope�d n the cauraa of that tzaitfat� or
s copy of the subject data Bret produoud under the ambactfor a
copyright Imp not bean obtilned. if ttha eq*dn%arttal, deye14tsmarttar, ar
research work. which is the subject of the ur>darlyIng amtrsct is not
rrorrghroiad for any roasah wftetapetrar, All OM devS"W fades tMet
O0ft11W Shan b@Qwl srtMW dola ss tlefined In subeacti m (a) of glis
cause and OwR be delivered as the Federal QOVerr TQm Roy ftCL
This subsection Cc), hNie9er, dose not apply to edeplefforis of automatic
data processing equipment or ptagrm a for the 8t49r Or Somers Uge
wtmae GmIs rare financed in whole Or in part with Federal ambnance
P wAdad by FTAfoe lam;par rh caplet pmpct .
(b-4) Unless pr ah"W by state law. Won r9"M by rho FederN
00vwnment. the 6hryer and the Seger agree to hdarlh y, save, and hold
h2ffn)ess the Federal Clovemm"t, Pis officers, 09001s, and ernptoyos
8ding rw4lin the mope of their of5cial dub= against ally gahNly,
Including coats and expenses, resulting from any wlltgt ew inWitionai
vldrtion by IN O yer or Seger of Woprlelary rights. oapyrWhls. or right of
Privacy. arising outof to pubticati , trartslatlgn, repta#L don, dagvtry,
use, or dtePOSition of any data Awlished under thal conlraet Neither @te
Buyer nor the Seliershag be mgt+md to W9MAt{y the Federal
Gaeremment ror any such CabgTgr adshV outcf the wrongful pot of any
. M7Wat, or a9enlnof fbe Feft I GovarnnWL
(b.5) nothing contained in this sages an r>gfibl in deb shag 4ntpy a
license ro the FedOMI GOvemnte nt under any P01W or be cOnsinno so
Wed roil the soaps or any licensor or QUW tight O#Wwibe Qranled to the
Federal Government under any patent.
tb-8) Oats dtrvWOM pie Ore Buyer or selbr and financed endra�r waU M4
asrnp Federal aaslsttrice Provkled by Ill@ Federal C%Ove:nmMt tttatIm
been irraprppr81nd tret4 wont fequino by the underlying contract a which
9eCllon Iv, Mandatory FTA Terms
Page 4 d S
f ,is Awls ,mar„ hoc- beer, emir is entrap: (ram ft, rev rentr of
sofl�e is (r-1, (r), rrd (6) Lf *N6 t#��t, prCw!d�4 th-ts th€EUYQr a:
St k-,- ids nt5t Llv t date~ �.-. "0tg ra rt the t ❑r dOUYI.ry of S v�ntrzGt
u�rk.
(b.7) Unless FTA defear t m aftrwise, the Seller agrees to Include
these, requirements in each subcontract for axpedrnmlal. devakrprr> nlal,
or raWrCh work financed In whole Orin part with Federal d86WMee
provided by FTA.
(a) Unless the Federal C-mmment Inter makes a contrary determination
In writing, Irw poW48 of the Salters stator C49., ¢ laVQ i; wslnM, small
business. State govemnrent or stale ktatrumentaky. boas goirernmenL
nonprofit organizstlDn, Institution of Wgher eWotien,14dividval, eto.), the
Buyer and the Seller &glee to bake the netasaary actions to provide,
through PTA, the®* rights In that Invention due the Federal 0avetnment
as described In U.$, Depai tirnent of Commerce regulations, 'Rights to
Imendw4 NWde by Nonprofit Orgdnt=tions ar10 Small BvstneSS PWfns
Under Government Grants. Contrattz and Cooperative Agreemante,' 37
CSYL PaR d01.
(d) The Seiler also agrees to htelude them requuenwilc In oaeh
Subemstra,t far e*erimerdal, d"opmental. or research work financed
In whole or in pall,; with Federal assistance provided by FTA
2. Patent Rights -The following requirements apply to eadr contract
invohirng enperimerltal, devekapmertt&t, or research work
(a) Gggeni( - If any invention. Improvement, or discovery is conceived or
first aftaly redixed to practice In the course of or under fie► amtmat ID
vAgen this Alt chrtient has been arided, and etat irtvention, 6itprsrelrrtar►t,
or discovery Is patentable under the boys of the Unmid States or NrwAca
or any foreign country, the Buyer and Seger agree to take acVom
neaeniaary to provtda immrtdlate rtauea and a 6101 d rei>M to the party
at a hlgnar der until PTA is u0notyaly notiflK
(d) LkWggs ere P*CW t Government later makes a contrary detenninatIM
In tenting, Irrespective bt Use SelhWe atatus (a large business, small
business, state gehrernmoilt or W41te kl5tr Rnentatiy, I*WJ gWemrner t,
nonpn6t ogetdZatiwt, ins%utien of httler edtxagart, IndhddualL the
Buyer and the Seller ogree to faker the r*cUWy acWq iD provide.
through 1= rA, dtaat NMI; in Met invention due the Federal Government
as doscnbed th U S. Department of Camrreree ropuladbna.'fRights to
Irmnflone Made by Nonprofit Organizations and Small Bminess Errata
Under Guvernm nt Grunts, Contrary and Cooperativu Agmerrrtentei; 37
C_F.R. Part 401.
(c) The Seller also *"a to ineWe the requImments or this douse In
each etrtioanbsa for experimenter, davelOpittental, or research work
flnonced in whole or in part vtddh Fetleml assistMgD ptssvlded by FTA.
y%LM Notional Archrteeture (E6=01de System Reaftn e O Only)
ITS conformanoe pears vary by prta and the PTA has estabhOad no
qx dfic terrns at this Ilma. Any ITS requhwar ta, a hohdd be described in
Me resptselive Sbriernsnt of Work, Scope of Work, or mchnical
speetlkntiom made part of rule iF$, RFP, or Order,
THE F&.40 IMI GOIVOY VKS APPLY
FORA &L REQU11101115NM 6Kt MQ$t00,0W.
A{thpsutwL lira& .I Or L-M-moon
(1) Disputes - $ftpyt" *Ming in the partomimem of this Qtmtract which
ate not resolved by agreement of the parties shag be derided in writing
by the 2,j0xxtted represaRhafive or the Buyers Purchasing management
Yhis decision shall be anal and 6 mdusive unless within (halt (10)] days
iron the date of tutor of Its thy, the Soft maU4 or ofewise
tumishss a vatban appear to the Buyers Purcha®ing fdanaaement. to
ctmnotlfon with aunt m;ct appeal. the Wer Mail be aff qd on
appo :onto Luix- h4%t a to cr` e �G rC - in supper cf it } 5#EG ,
T!'rfnwreint shAl. N to r`rl'IV uDon !ie
Stier Znd the $exe; WW1' abide by the dKr ,4c-.
(2) Performance During Dispute - Unleesa otherwise directed by Ube
Buyer, S4Gw shall continuo performance under No CGnvad While
matters in dispute are beieV resolvad,
(3) Claims for DanMw - Should egher•porly tD the Contractu fer Injury
or dpmage 10 parson or property because of any trot or ornkw t of the
party or of any d his ernpfoyees, agents or others for whose ads he is
ieptiy (I.oble. a claim for dertttipos rho*" snarl to made in writing to
such other party within a neasombie time after the first observant& of
avch Wu y of damage.
(4) RMedies - Unless thle contrsd provides otherwise. all chins.
oounterdalrrm, dtsputos and o9tsrMatters in question Whr een the Buyer
and irtc Sealer &Wng out of or relating to this agnsrnant or Its breach A
be derided by arbitration If they padteia mutually agues, Or In 0 cowl of Los
Angslas County, Caltirxnla.
(rg) Rthte and Rem4K%v - The duties ant! obligation® impsed by the
Contrect Dacurnersts and the rights and remedleea tardibbte thereunder
SW be In addition to and not a sensation of any duties, owgatiexs, fights
and fernediss otlm%se krtp4meq or ava fileole by tow. No action or
failure to act by the Buyer or Setter shag conslltute a wafer of any merit
tic ttuty afforded any at Nhem rmdeet the C *WL nor shall any such
action or melee to act conattntba an approval of or aggUWA*r4Q )A ally
breach Ihareunder, acept aS may be tpedAel911y, agreed In wrtttng.
,%flare who apply or bid for an award of $1110.0W or more shag file the
oertficallon requ'sred by 49 CFR Rant 20, "Mew Re5ldGtiotS on Labbft.g
Each tier oKNOG tq ft OW ®Dore that It will not and has not used
Federal appropriated funds to pay any parson or organl2adon for
htflusndng or sty 110 In itencA an offim or employee of any
sooncy. a mprnber of Congress. oniceror employee et congreso. or an
employee of a member of Coe gre s In oonnecdon Wlfh obtaining WW
Feet" cWft4L grant or any other award towered by 31 t1.S.C.1362.
152ch tier shag also dlWam the name of any KtteUant under the
Lnb&AV Disclosure Act of I M who has made lobbylrle conlaeW On its
behtdf inch nort-Federal ftwok with map= to thar Fderdl 00ftck grant
or award muted by 31 U.S.C.1362. Such disclosures are knorded
from ber to her up to ate redpleni.
113[a[�TrT2'-la
(1) The Seger agrees to comply with sit iDpllcable mridafds. orders or
regulations lasuod pWstrettt to Me Clean Air Act. tie arnendad, 42 U.S.G.
§j 7401 fit M. The Seler agrees to report each violation le the Buyer
and under$rertds and ages th6tt the
OWv Milt, in turn, report each violation is required to assuie R* fro dm
to FTA and Use mppvqprI: to EPA PjKllonel Me,
(2) The Seler also ogreasL to inWade Uhsho regsdremants In each
subeontlraot Weeding $100,000 financed In whole on In pwt wilt
Federal a&aratance provided by FTA.
17, Mean W&ter
(1) The Eager aortae to complyvWt h all sWicable atandarbs, orders or
regulations Issued puramm to the Fodetdl Water Pollution C,onfiv lid,
ae t+mended. 33 U.S.C. nsi at all. The Seger agrees to teport each
violation to tits Buyer and uAdarelands and agrees that sea fttpreradll. In
rum, report teach vidabort as regt*" to hdMM noblication 10 FTA attd
the appropriate IjPA Regional Offtc6.
(2) The Wier also agreft to Include thmis requirerrunts In toah
aubcantrad exceeding S100,M0 fmanood in wide or in port with
Federal ttsr6anee provided by FTA
-
Rev 12.1d.09 SOG&M IV, Wf ftWy FTA Terms pap 6 of 5
1-4
1"m Wm
SECTION V
Purchase Order Attachment LBT-1-9-01
INSUR16big-E -REQUIREMENTS
Pmfe*sional Services
cE:i
Purchase t rder 6ttachme0i LBT-1 "I
Summmgy of Indemnity and Insurance RecuirameLits idde,m/Sellem/Contrracwjg
- Professional Services
1. This ds a Summary of indemnity and Insurance ReQulrements for Bidders/SellersfContractors (Sellers)
providing services or supplies to Long Beach Transit (LgT), By agreeing to psrfurm the work or
submitting a bid, you verify OW you comply with and agrea to be bound by these requirements. if any
additional Contract documents are executed, the aGWal Indemnity language and Insurance Requirements
may Include additional provisions as deamed appropriate by LBT.
2. You should check with your Insurance advisors to verify compliance and determine if additional
coverages or limits may be needed to adequately insure your obligations under this agreement. Thews
are the rnlnimum required and do not in any way r6present or imply that such eovemige is sufficient to
adequately cover the Sellers liability under this agreement. The full coverage and llmlts afforded under
&-lier's policies of Insurance shall be available to LBT and these insurance Requirements ahall not In any
way act to reduce coverage that is broader or includes higher limits than those required.
3. Seller shall provide LBT with Cerfificoas of Insurance including all required endorsements and a copy of
the Declarations Page of tha CGL policy to LBT before worts begins. LBT reserves the right to require full
certified copies of all Insurance coverage and endorsaments.
L lNDEMbQQCA'r19M:
To the fullest extent permitted by law, Seiler shall defend, indemnify and hold harmless Long Beach Transit
its employsas, agents and officials, front any liability, claims, snits, actions, arbitration proceedings,
administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind whatsoever without
restriction or limitation. Incurred in relation to, as a consequence of or arising out of or in any wray attributable
actually, allegedly or Irnplledly, in whole or in part, to the performance of Mis Agreement The Seller shall
defend any suit or action brought against LBT embraced by the Indemnity regardless of the Wual negligence
of the Seller_ All obligations under this provision are to be paid by Seller as they are incurred by LBT. Seller
has no obligation under this Indemnification agreement for liability proven in a mrt or competent Jurisdiction
or by written agmeriwt between the parties to be the sole or willful or active fault of LBT as defined in
section 2782(b) of Hie California Civil Code, or the Iiabifty attributable to negligenoe or fault of LBT as defined
in Section 2782.8 of the Galifomia Civil mode_
This obligation to indemnify end defend LBT as set forth herein Is binding on the successors, assigns, or heirs
of Seller and shall survive the termination of this agruioment i3y execution of this Agreement. Seller
acknowledges anti agmes that it has read and understands the provisions hereof and that this paragraph Is e
material element of consideration. These Indemnification provisions era independent of and shall not in any
way be limited by the insurance requirements of this agreement LIST approval of the insurance contracts
required by this Agreement does not in any way relieve the Seiler or subcontractors from liability under this
section. The parties agree that if any part of this Indemnification is found to conflict wjth applicable laws, such
part shall be unenforceable only insofar as it conflicts with said laws, and that this Indemnification shall be
judicially interpreted and rewritten to provide the broadest possible indemnifKation legally allowed and shall
be Isgaliy bindiing upon Seller.
11. INSURANCE
Seller shall procure and maintain for the duration of the contract insurance against claims for injuries to
persons or damages to property, whigh may arise from or in connodlon with the performance of the work
Rey_ 2.8.10 Page 1 lit a
L0149 B�AqB PUEUC TRANSPORTAUON COMPANY
SECTION V
Purchase Otdor Attachment LBT-1040l
INSUR.AACE RggUlfLEMENTA
Pmfesslonal Services
28 E" c.F
P/��
!'�NY
P urchase C}Nor Attachment: LBT-10-01
&rnrr .11y of IndernniN and Insurance Regu1r9Inent2 forr B1ddoWS&11em1ContragM
Profession! Services
1. This is a Summary of Indemnity and insurance Requirements for BiddeWSellamlContractors (Sellers)
Providing services or supplies to Long Beach Transit (LBT)_ By agroeing t0 perform the work or
submitting a bid, you verify that you comply with and agree to be bound by these requirements. if any
additional Contract documents ere executed, the actuai Indemnity longue" and Insurance Requirements
may include additional provisions as deemed appropriate by LIST.
You should check with your insurance advisors to verify compliance and determine if additlonai
coverages or limits may be needed to adequately Insure your obligations under this agn_emert These
are the minimum required and Cleo not in any way rapresent or imply that such coverage is sufficient to
adequately cover the Seller's liability under this agreement The full coverage and limits afforded under
Seller's policies of Insurance shall be available to LBT and these Insurance Requirements shall not In any
wary act to reduce coverage that is broader or includes higher limits than those required.
I Seller shall provide LBT with Certificates of Insurance Including all required endorsements and a dopy of
the Declarations page of the CGL policy to LIST beford work beginit. LBT reserves the right to require full
certified copies of ail insurance coverage and endorsements.
EMNIFICATiON:
To the fullest extent permlttO by laW, Wier shall defend, indemnify and hold hdrmless Long Beach Transit,
its employees, agents and officials, from any liability, claims, suits, actions, arbitration pr+omedings,
administrative proceedings. regulatory proceedings, losses, expenses or cost& of any kind whatsoever without
restriction or limitation, incurred in relation to, as a consequence of or arising out of at in any way attributable
actually, allegedly or impliedly, in whole or in part, to the performance of this Agreement The Seiler shag
defend any suit or action brought against LBT embraced by the Indemnity regardlm of the actual negligence
of the Seller. All obligations under this provision are to be paid by Sailer as they are incurred by LBT. Seller
has no obilgation under this Indemnification agreement for liability proven in a court of competent jurisdiction
or by written agreement between the psrtles to be the sole or willful or active fault of LBT as defined in
Section 2782(b) of Me California Civil Code, or the liability attrlbutsble to rkogl-ipenca or fault of LBT as defined
in Section 2782.8 of the California Civil Code,
This obligation to indemnify and defend LET as set forth herein is binding on the suc msafs, assigns, or heirs
of Seller and shall survive the termination of this agreement By execution of this Agreement. Seller
acknowledges and agrees that it has read and understands the provisions hereof and that this paragraph Is a
materiel ekrnerrt of consideration. These indemnification provisions are independent of and shall not in any
way be limited by the. Insurance requirements of this agreement LBT approval of the Insurance contracts
required by this Agreement does not In any way mileve the Seller or subcontractors from llablilty under this
section. The parties agree that if any part of this Indemnification is found to conflict with applicable Iews, such
part shall be unenforceable only insofar es it conflicts with said laws, and that this Ind®mniificailon steal! be
Judicially interpreted and rewritten to provide the broadest possible Indemnification legally allowed and shall
be legally binding upon Seller.
11. INSURANCE
Seller shag procure and maintain for the duration of the contract insurance against claims for Injuries to
persons or damages to property, which may arise from or in connection with the performar4e of the work
Rev. 2.8.10 Page t of 3
-iC
here'under ty t ,e S filer, Vhc Sol)ees e ent~, rf j7tES rifc':ivf , cr cmplryee�,,
k Ccverapr that! be at I"st r & bred eg;
i . insurance Services Office Commercial General Liability coverage (occurrence form CO 0001 or
equivalent) that includes Unmodified Contractua Liability Coveragge. Non standard (non -ISO)
Endorsements, requlr® approval from LBT.
2. Insurance Services Ofte form number CA 0001 (Ed. 1187) c ov,wing Sus kmiss Automobile Liability,
Code t (any auto).
31. If non-standard Insurance forms are used rather than the standard insurance Services offim (iSQ)
forms shown, Sailer agrees to pay LBT for an Independent Expert evaluation and opinion as needed
to determine whether or not they are at least equivalent In coverage to the standard ISO forms. The
charge shall be $160 for each nQn-standard endarsemerd and $575 for each non-standard policy.
4. Workers' Compensation insurance as required by the State of California and Employer's Liability
insurance_ The policy .shad be endorsed to waive any right of subroWion as reapeaft 1-13T, its
employees Of agents and such endorsement shag be provided to LBT with the Certifrtate of
insurance.
5. Profess"I ilabillty or errors and omissions liability insurance as appropriate to the SeAer's
profession as shown below.
B_ MINIMUM LIMITS GE INSURANCE; Seller shall maintain Ilmits no lass titan:
1. General Liability: $1,000,QW per owA mence / $2,000= aggregate limits 1br Wdily Injury, personal
injury, property damage. The geheral aggregate Limit shall be twice the required occuumance limit
unless the occurrence limit applies separately by endorsement to thie projecUlocatlon_
2. Automobile Liability. $1,000,000 par sooldent for bodily injury and property damage.
8. Workers' Compsnsation to satutory limits_
A. Employer's LlabNity: $1.000,000 per accident for bodily Injury or disease.
S. professional Liability: iVot IftA than $1,000,000,00 each claim and S2,000,00i).00 aggregate. Seger
roust maintain Professional Upb4ity cove" for a period of three years attar tfie axpiration of this
Agreement.
C. DEDUCTIBLES AND SELF-INSUREIb Rt>T "QNS
Any deductibles or self-Inaured retentions must be declared to and approved by LBT_ At the Option of LBT,
either! the insurer shalt reduce or ellminate such deductibles or self insumd retentlons as respects LBT, its
officers, officials, employees and volunteers; or the Sailor shall process" acceptable alternative risk financing to
assure payment of such deductibles or seli-ir►aured reteribons_
D. OTHER INSURANCE PROVISIONS
The diabgity policies are to contain, or be endorsed to contain. the following provisions
1. L.13T, its officers, oficials, employees anti volunteers are to be covered as an additional insured as
respects: liability ei-Wng out of ac wities performed by or on behalf of the Seiler products and completed
Rev_ 2.8,10 Page 2 of 3
cper t �;s of the- Sel!er pre mt s owned, eccupit,-," cr ( by the Seller, or u,L tornr, ,,Res cwne-�11, laasec�
k reed trr h� ree by ! t6 S�ticor.
2. For any claims refuted to this project., the Seger's insurance, coveraV shall tee primary Insurance as
respects LBT, its officers, officials, employees or valunteem. Any Insurance or ss(f-Insurance maintained
by LBT, its officers, officials, employees or volunteer$ shall be excess of the Seller's insurance and shall
not contribute with it.
3. Any facture to comply with reporting or other provisions of the policies i"uding breathes Of "ffwties
shall not affect coverage provided to LBT, its offlows, officials, employees or volunteers.
4. The Sellers Insurance shall apply separately to each insured against whom daim is msde of suit Is
brought, excerpt with respect to the limits of the insurer's liability.
5. Each insurance policy required by this Cause shall be endorsed to state that coverage shall not be
suspended, voided, canceled by either party, reduced In coverage or in limits except after thirty (30) days'
prior written notice by Certlfieed mall, return receipt requested, has been given to LOT.
E. ACCEPTABILITY OF INSURERS
Insurarioe Is to be placed with insurers with a current A. M. Be9 A rating of no teas than A-;VII., and shalt ba
®Cal bmia-eftitted caniers,6 unless otherwise acceptable to LST.
F. VERIFICATION OF INSURANCE
Seller shall fumish L13T with original endorsements effecting coverago required by (his Section. All
endorsements am to be recelved and approved by LOT before work con+rrrencea. Certificates of Insurance
are requested for information only, and shall not be amepted as substitutes for endorsements required
herein, except W errors and omissions liability insurance.
Fallure by LIST to enforce any of Me Seller's obligations smell not Wnstime a waiver of LST's right to enforce
them at a later time. jr any portion of these requir rients shall be found to be unenforceable, It shag be
severed and the remaining portions shall continue to apply.
Flew, 2Aic Page 3 of 3
LOWG REACH Pgg�LiC TRANSPOa-L&TIQN COPAP&NY
I
SECTION VI
WtIpilillit 1 4
M;
Self-insurance Liabiliti/Suorogation
1 r
LONG FFACH PUBLIC TPARSPOP7t,'nON CMWANY
RFP Ntc$: SG 016
LQNQ-bEACH PUBUC TRANSPORTADON GQMPANY
SECTION Vil
r,
L'G-"-
LO9G EFACN PUrC1G T RA N',F- P 0: KTAM ON COWPAF*Y
SeH-Irrsurei;,;�1Se.'bro�:L;s�h KIFF NO: 10-01rtE
PROPg. AL RASP Nsr= 1 PRICE SUMMABX±OW
In accordance with the Request for Proposal Issued by the Long Beach Publlc Transportatim
Company (hereinafter referred to as "Buyer'), the undersigned Proposing Company hereby
agrees to furnish all necessary labor, materials and incidentals required for the above stated
project as set forth in the $c Ope of Worts and any addenda thereto, and to perform all work in
the manner and time prescribed therein.
The bidder acknowiedges the receipt and incorporation of the foitewing Addenda into the
proposad price_
IssM Date Addendum Ngglber
PART A: BA$E PROPOSAL -
Babe Contract Scope of Worts;
EXpOnSe Category
Cale. Type
Hours
Can ulativn
$
Telephone
Percentage of Sary ce
% -
Photographs
Calculation
$
mHeage
Caloutetion
Cop*4
Crtldulatien
$ --
Pages
Calculattlon
S
Cassettes for Permanent RecoMing
wCulation
$
Office a,.xpQnse
Percentage of service
$ _
Set-up Fee
Calculation
S
Administration
Monthly Fee
$
Pima indicate if there are any casts for the following edminiaftfim services:
I D99's Calculation $
Intlex Searches caftlation S �_
Coats associated whh Medreer+e Sectfon 11 Reporting $
Rev. 0,29-oa Section %Al. PrW=vl Responae / Pdm Sumffoly Form Pogo 1 of 2
F
1' n ;,',
-i *- � - ,, r 1;, M � i-! t -,- i t L -, ! ,
LON0 SFACH PUBLIC TRAN�c,'TORIATMH COW-
RFP NO,. 10016
The undersigned agrees that, if selected as the successful Proposing Company, will within ten
(10) working days after notificstion of award by the Buyer, execute a Contract in accordanoe wfth
the terms of this proposal.
Nte:
(Seal if proposed by a Corporation) By:
Name of Autharind RWasentaWs
Tltle
Company
Suslness Address
City and State
Aid must be signed by a competent member
That can eontrwItually commit the firm.
Rev. 8.20.08 SeCLIW VII, PMPDM Response I Rice -%fn=fy Fovp POW 2 of 2
is 5
LONG; Fr%�CH FLIBUG MANSFORTAnoN COkFANY
RFP NO: 10-016
LONQ BEAChl EUS41C TRMSPORTATION COMPANY
SECTION VII(A)
...n -' E ,,:[i`r.=iP-:LF..`
Sci to urz�n^ thra tcrr RFP 140.- le-0 16-
In accordance with the Request for Proposal issued by the Long Beach Public Transportation
Company (hereinafter referred to as "Euywr"), the undersigned Propxing Company hereby
agrees to fumish all necessary labor, materials and Incidentals required for the above stag
project as set forth in the Scope of Work and any addenda thereto. and to perform all work in
the manner and time prescribed therein.
ADDENDA
The bidder acknowledges the receipt and Incorporation of the following Addenda into the
proposed price.
Issue Date
PART A: BASE PROPOSAL:
Addar&ym Number
lam Contract Scope of work: Subregatlon
Please prof -Ad* pemontage of amount collected as Mims:
$1.00 to $50,000 % of file gross rewvery
$50,001 to $100,00() % of the grilse recovary abOvs
$100,001 and above % of the gross recovery Above
Grass rewery is the amount recovered without deduction for oasts or legal fees_ An incident Is defined as
a single occurrence, case, loss Or Accident_ Should an occurrence happen whmin there is a bounced
check PRINCIPAL will not collect a fee.
Rev. 8.20.08 SeOon b11. Prapaaal Respon" ! Price S=nVq Form Pape 7 of 2
L
LONCT EEACH P-UP--UC TFJ*�',-'PORTAMOK COMPARY
FFF NO; 10-016
The E�-;tm(-s V-,z3i, ff -tie: eb as thl� FUCCL--sful Proposing Company, VAII WftNn ten
(IiQ) wOrkdag days after nCt*Caldon of award 4 the Buyer, execue a Contract In accordance with
the terms of this proposal.
Date:
Name of Authorized ReprssentatW
(Seal If proposed by a Corporation) Sy:
Me
Compvny
Business Address
My and State
Bid must be Signed by a cDmpetent member
That Can contractually commit the firm.
Rev. 820.06 Sedlon V11, Pmpa-W Respomce t PrIce Summary Form Pap 2 of 2
A D
r- E
.t .
Seff.fn6L�rZac.el'Ub'ogttla.q, R-I`i' NO' 10-016
PrRo Ing aomoany (Prime Contractor) Most sul Mft with proolat tha fattowing information for all
parUi irYgng firms.
Prim@ GantmELor Information
Company Name -- -- - Age of Firm
Address Annual On= Receipts
DBE Certified? V yes
Phone _ Date Certrfed
Dollar amount of contract $ _ ay (Agency) _
Describe work
�ubcontr�t4r Infarnnetion
Company Name Age of Firm
Address Annual [goes Receipts $
DBE Certified? . if yes
Phone Date Certified
Dollar amount of subcontract $ By (Aggncy)
Describe work - -
Company .Name _ Age of Fhm
Address Arutual Gross Receipts $
DBE Certified? . if yes
Phone r - bite Certlfft
Dollar amount of subcontract 3 By (Agency)
Desuibe wort(
(Attach copies for additional subcontractors as needed)
FW. 7.2.09 5 of a
LONG BLACH PUELJC TR-kRc,'POFZTATOKCOMPAKY
RFF NO,' 10-616
CIBE P6RTI- IP,4-TION
Proposing Company -
The fallowing stated dollar ($) amount wall ba the wmpensfton paid to D13E Flags cortiflable or cerUW
under the provisions of the ®Long 8wch Tranalt Disadvantaged Business Enterprise ProgramO.
Firm Nams'.
Firm Addreaw.
Telephone Number
Desaiption of Work
$ Firm Name,
Firm Address:
Telephone Number
Description of Work
$ Fran Name:
ne:
Firm Address:
Telephone Number
Description of Work
Total DIRE pementage participation
Total dollar value of ME participation
The undersigned hereby ceMes that the foMoina statements and informalion are true and correct_
SignatureTitle
Date
Rev,72.09 6of a
ATTACHMENT
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PROFESSIONAL SERVICES CONTRACT BETWEEN
THE CITY OF HUNTINGTON BEACH AND
CARL WARREN & COMPANY FOR
LIABILITY CLAIM INVESTIGATION AND PROCESSING
Table of Contents
Scopeof Services.................................................................................................................
I
CityStaff Assistance............................................................................................................2
Term; Time of Performance................................................................................................2
Compensation......................................................................................................................2
ExtraWork...........................................................................................................................2
Methodof Payment..............................................................................................................
3
Disposition of Plans, Estimates and Other Documents.......................................................3
HoldHarmless.....................................................................................................................
3
Professional Liability Insurance.............................................................................4
Certificateof Insurance........................................................................................................5
IndependentContractor.......................................................................................................6
Termination of Agreement...................................................................................................
6
Assignmentand Delegation.................................................................................................7
Copyrights/Patents...............................................................................................................
7
City Employees and Officials..............................................................................................7
Notices.........................................................................................7
Consent................................................................................................................................
8
Modification........................................................................................................................8
SectionHeadings....:............................................................................................................
8
Interpretation of this Agreement..........................................................................................
8
DuplicateOriginal...............................................................................................................9
Immigration..........................................................................................................................9
Legal Services Subcontracting Prohibited............................................................................9
Attorney's Fees......................................................................................................................10
Survival.................................................................................................................................10
GoverningLaw.....................................................................................................................10
Signatories............................................................................................................................10
Audit..........................................................................................................................
11
Entirety.................................................................................................................................
I I
EffectiveDate.................................................................................
I I
PROFESSIONAL SERVICES CONTRACT BETWEEN
THE CITY OF HUNTINGTON BEACH AND
CARL WARREN & COMPANY FOR
LIABILITY CLAIM INVESTIGATION AND PROCESSING
THIS AGREEMENT ("Agreement") is made and entered into this 01 day
of October 2010 , , by and between the City of Huntington Beach, a
municipal corporation of the State of California, hereinafter referred to as "CITY, and
CARL WARREN & COMPANY, a California corporation hereinafter referred to as
"CONSULTANT."
WHEREAS, CITY desires to engage the services of a consultant to provide liability
claim investigation and processing services; and
Pursuant to documentation on file in the office of the City Clerk, the provisions of
the Huntington Beach Municipal Code, Chapter 3.03, relating to procurement of
professional service contracts have been complied with; and
CONSULTANT has been selected to perform these services,
NOW, THEREFORE, it is agreed by CITY and CONSULTANT as follows:
1. SCOPE OF SERVICES
CONSULTANT shall provide all services as described in Exhibit "A,"
which is attached hereto and incorporated into this Agreement by this reference. These
services shall sometimes hereinafter be referred to as the "PROJECT."
CONSULTANT hereby designates Michael Reed who shall represent it and
be its sole contact and agent in all consultations with CITY during the performance of this
Agreement.
Page 1 of 13
11-2767/58006
2. CITY STAFF ASSISTANCE
CITY shall assign a staff coordinator to work directly with CONSULTANT
in the performance of this Agreement.
3. TERM; TIME OF PERFORMANCE
Time is of the essence of this Agreement. The services of CONSULTANT
are to commence on October 1 12010 (the "Commencement Date"). This
Agreement shall automatically terminate three (3) years from the Commencement Date,
unless extended or sooner terminated as provided herein. All tasks specified in Exhibit
"A" shall be completed no later than three (3) years from the Commencement Date. The
time for performance of the tasks identified in Exhibit "A" are generally to be shown in
Exhibit "A." This schedule may be amended to benefit the PROJECT if mutually agreed
to in writing by CITY and CONSULTANT.
In the event the Commencement Date precedes the Effective Date,
CONSULTANT shall be bound by all terms and conditions as provided herein.
4. COMPENSATION
In consideration of the performance of the services described herein, CITY
agrees to pay CONSULTANT on a time and materials basis at the rates specified in
Exhibit "B," which is attached hereto and incorporated by reference into this Agreement,
a fee, including all costs and expenses, not to exceed Two Hundred Eighty Five Thousand
Five Hundred Dollars ($285,500.00).
5. EXTRA WORK
In the event CITY requires additional services not included in Exhibit "A"
or changes in the scope of services described in Exhibit "A," CONSULTANT will
Page 2 of 13
11-2767/58006
undertake such work only after receiving written authorization from CITY. Additional
compensation for such extra work shall be allowed only if the prior written approval of
CITY is obtained.
6. METHOD OF PAYMENT
CONSULTANT shall be paid pursuant to the terms of Exhibit "B."
7. DISPOSITION OF PLANS, ESTIMATES AND OTHER DOCUMENTS
CONSULTANT agrees that title to all materials prepared hereunder,
including, without limitation, all original drawings, designs, reports, both field and office
notices, calculations, computer code, language, data or programs, maps, memoranda,
letters and other documents, shall belong to CITY, and CONSULTANT shall turn these
materials over to CITY upon expiration or termination of this Agreement or upon
PROJECT completion, whichever shall occur first. These materials may be used by CITY
as it sees fit.
8. HOLD HARMLESS
CONSULTANT hereby agrees to protect, defend, indemnify and hold
harmless CITY, its officers, elected or appointed officials, employees, agents and
volunteers from and against any and all claims, damages, losses, expenses, judgments,
demands and defense costs (including, without limitation, costs and fees of litigation of
every nature or liability of any kind or nature) arising out of or in connection with
CONSULTANT's (or CONSULTANT's subcontractors, if any) negligent (or alleged
negligent) performance of this Agreement or its failure to comply with any of its
obligations contained in this Agreement by CONSULTANT, its officers, agents or
employees except such loss or damage which was caused by the sole negligence or willful
Page 3 of 13
11-2767/58006
misconduct of CITY. CONSULTANT will conduct all defense at its sole cost and expense
and CITY shall approve selection of CONSULTANT's counsel. This indemnity shall
apply to all claims and liability regardless of whether any insurance policies are applicable.
The policy limits do not act as limitation upon the amount of indemnification to be
provided by CONSULTANT.
9. PROFESSIONAL LIABILITY INSURANCE
CONSULTANT shall obtain and furnish to CITY a professional liability
insurance policy covering the work performed by it hereunder. This policy shall provide
coverage for CONSULTANT's professional liability in an amount not less than One
Million Dollars ($1,000,000.00) per occurrence and in the aggregate. The above -
mentioned insurance shall not contain a self -insured retention without the express written
consent of CITY; however an insurance policy "deductible" of Ten Thousand Dollars
($10,000.00) or less is permitted. A claims -made policy shall be acceptable if the policy
further provides that:
A. The policy retroactive date coincides with or precedes the initiation
of the scope of work (including subsequent policies purchased as
renewals or replacements).
B. CONSULTANT shall notify CITY of circumstances or incidents
that might give rise to future claims.
CONSULTANT will make every effort to maintain similar insurance during
the required extended period of coverage following PROJECT completion. If insurance is
terminated for any reason, CONSULTANT agrees to purchase an extended reporting
Page 4 of 13
11-2767/58006
provision of at least two (2) years to report claims arising from work performed in
connection with this Agreement.
If CONSULTANT fails or refuses to produce or maintain the insurance
required by this section or fails or refuses to furnish the CITY with required proof that
insurance has been procured and is in force and paid for, the CITY shall have the right, at
the CITY's election, to forthwith terminate this Agreement. Such termination shall not
effect Consultant's right to be paid for its time and materials expended prior to notification
of termination. CONSULTANT waives the right to receive compensation and agrees to
indemnify the CITY for any work performed prior to approval of insurance by the CITY.
10. CERTIFICATE OF INSURANCE
Prior to commencing performance of the work hereunder, CONSULTANT
shall furnish to CITY a certificate of insurance subject to approval of the City Attorney
evidencing the foregoing insurance coverage as required by this Agreement; the certificate
shall:
A. provide the name and policy number of each carrier and policy;
B. state that the policy is currently in force; and
C. shall promise that such policy shall not be suspended, voided or
canceled by either party, reduced in coverage or in limits except
after thirty (30) days' prior written notice; however, ten (10) days'
prior written notice in the event of cancellation for nonpayment of
premium.
CONSULTANT shall maintain the foregoing insurance coverage in force
until the work under this Agreement is fully completed and accepted by CITY.
Page 5 of 13
11-2767/58006
The requirement for carrying the foregoing insurance coverage shall not
derogate from CONSULTANT's defense, hold harmless and indemnification obligations as
set forth in this Agreement. CITY or its representative shall at all times have the right to
demand the original or a copy of the policy of insurance. CONSULTANT shall pay, in a
prompt and timely manner, the premiums on the insurance hereinabove required.
11. INDEPENDENT CONTRACTOR
CONSULTANT is, and shall be, acting at all times in the performance of
this Agreement as an independent contractor herein and not as an employee of CITY.
CONSULTANT shall secure at its own cost and expense, and be responsible for any and
all payment of all taxes, social security, state disability insurance compensation,
unemployment compensation and other payroll deductions for CONSULTANT and its
officers, agents and employees and all business licenses, if any, in connection with the
PROJECT and/or the services to be performed hereunder.
12. TERMINATION OF AGREEMENT
All work required hereunder shall be performed in a good and workmanlike
manner. CITY may terminate CONSULTANT's services hereunder at any time with or
without cause, and whether or not the PROJECT is fully complete. Any termination of this
Agreement by CITY shall be made in writing, notice of which shall be delivered to
CONSULTANT as provided herein. In the event of termination, all finished and
unfinished documents, exhibits, report, and evidence shall, at the option of CITY, become
its property and shall be promptly delivered to it by CONSULTANT.
Page 6 of 13
11-2767/58006
13. ASSIGNMENT AND DELEGATION
This Agreement is a personal service contract and the work hereunder shall
not be assigned, delegated or subcontracted by CONSULTANT to any other person or
entity without the prior express written consent of CITY. If an assignment, delegation or
subcontract is approved, all approved assignees, delegates and subconsultants must satisfy
the insurance requirements as set forth in Sections 9 and 10 hereinabove.
14. COPYRIGHTS/PATENTS
CITY shall own all rights to any patent or copyright on any work, item or
material produced as a result of this Agreement.
15. CITY EMPLOYEES AND OFFICIALS
CONSULTANT shall employ no CITY official nor any regular CITY
employee in the work performed pursuant to this Agreement. No officer or employee of
CITY shall have any financial interest in this Agreement in violation of the applicable
provisions of the California Government Code.
16. NOTICES
Any notices, certificates, or other communications hereunder shall be given
either by personal delivery to CONSULTANT's agent (as designated in Section 1
hereinabove) or to CITY as the situation shall warrant, or by enclosing the same in a sealed
envelope, postage prepaid, and depositing the same in the United States Postal Service, to
the addresses specified below. CITY and CONSULTANT may designate different
addresses to which subsequent notices, certificates or other communications will be sent by
notifying the other party via personal delivery, a reputable overnight carrier or U. S.
certified mail -return receipt requested:
Page 7 of 13
11-2767/58006
TO CITY:
City of Huntington Beach
ATTN: Risk Manager
2000 Main Street
Huntington Beach, CA 92648
17. CONSENT
TO CONSULTANT:
Carl Warren & Company
ATTN: Michael Reed
770 South Placentia Avenue
Placentia, CA 92870-6832
When CITY's consent/approval is required under this Agreement, its
consent/approval for one transaction or event shall not be deemed to be a consent/approval
to any subsequent occurrence of the same or any other transaction or event.
18. MODIFICATION
No waiver or modification of any language in this Agreement shall be valid
unless in writing and duly executed by both parties.
19. SECTION HEADIN
The titles, captions, section, paragraph and subject headings, and descriptive
phrases at the beginning of the various sections in this Agreement are merely descriptive
and are included solely for convenience of reference only and are not representative of
matters included or excluded from such provisions, and do not interpret, define, limit or
describe, or construe the intent of the parties or affect the construction or interpretation of
any provision of this Agreement.
20. INTERPRETATION OF THIS AGREEMENT
The language of all parts of this Agreement shall in all cases be construed
as a whole, according to its fair meaning, and not strictly for or against any of the parties.
If any provision of this Agreement is held by an arbitrator or court of competent
jurisdiction to be unenforceable, void, illegal or invalid, such holding shall not invalidate
Page 8of13
I1-2767/58006
or affect the remaining covenants and provisions of this Agreement. No covenant or
provision shall be deemed dependent upon any other unless so expressly provided here.
As used in this Agreement, the masculine or neuter gender and singular or plural number
shall be deemed to include the other whenever the context so indicates or requires.
Nothing contained herein shall be construed so as to require the commission of any act
contrary to law, and wherever there is any conflict between any provision contained herein
and any present or future statute, law, ordinance or regulation contrary to which the parties
have no right to contract, then the latter shall prevail, and the provision of this Agreement
which is hereby affected shall be curtailed and limited only to the extent necessary to bring
it within the requirements of the law.
21. DUPLICATE ORIGINAL
The original of this Agreement and one or more copies hereto have been
prepared and signed in counterparts as duplicate originals, each of which so executed shall,
irrespective of the date of its execution and delivery, be deemed an original. Each
duplicate original shall be deemed an original instrument as against any party who has
signed it.
22. IMMIGRATION
CONSULTANT shall be responsible for full compliance with the
immigration and naturalization laws of the United States and shall, in particular, comply
with the provisions of the United States Code regarding employment verification.
23. LEGAL SERVICES SUBCONTRACTING PROHIBITED
CONSULTANT and CITY agree that CITY is not liable for payment of any
subcontractor work involving legal services, and that such legal services are expressly
Page 9of13
11-2767/58006
outside the scope of services contemplated hereunder. CONSULTANT understands that
pursuant to Huntington Beach City Charter Section 309, the City Attorney is the exclusive
legal counsel for CITY; and CITY shall not be liable for payment of any legal services
expenses incurred by CONSULTANT.
24. ATTORNEY' S FEES
In the event suit is brought by either party to construe, interpret and/or
enforce the terms and/or provisions of this Agreement or to secure the performance hereof,
each party shall bear its own attorney's fees, such that the prevailing party shall not be
entitled to recover its attorney's fees from the nonprevailing party.
25. SURVIVAL
Terms and conditions of this Agreement, which by their sense and context
survive the expiration or termination of this Agreement, shall so survive.
26. GOVERNING LAW
This Agreement shall be governed and construed in accordance with the
laws of the State of California.
27. SIGNATORIES
Each undersigned represents and warrants that its signature hereinbelow has
the power, authority and right to bind their respective parties to each of the terms of this
Agreement, and shall indemnify CITY fully for any injuries or damages to CITY in the
event that such authority or power is not, in fact, held by the si '' atory or is withdrawn.
CONSULTANT's initials
Page 10 of 13
11-2767/58006
28. AUDIT
The CONSULTANT's files shall be made available for audits at any time
upon reasonable notice. Reasonable notice shall be defined as thirty (30) days or as
otherwise agreed by the parties. If special retrieval or shipment of the requested files is
necessary, CITY shall reimburse CONSULTANT at cost. The CONSULTANT reserves
the right to reject an auditor proposed by CITY if the proposed auditor may gain an unfair
competitive advantage over CONSULTANT by conducting such an audit.
29. ENTIRETY
The parties acknowledge and agree that they are entering into this
Agreement freely and voluntarily following extensive arm's length negotiation, and that
each has had the opportunity to consult with legal counsel prior to executing this
Agreement. The parties also acknowledge and agree that no representations, inducements,
promises, agreements or warranties, oral or otherwise, have been made by that party or
anyone acting on that party's behalf, which are not embodied in this Agreement, and that
that party has not executed this Agreement in reliance on any representation, inducement,
promise, agreement, warranty, fact or circumstance not expressly set forth in this
Agreement. This Agreement, and the attached exhibits, contain the entire agreement
between the parties respecting the subject matter of this Agreement, and supersede all prior
understandings and agreements whether oral or in writing between the parties respecting
the subject matter hereof.
30. EFFECTIVE DATE
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed by and through their authorized officers. This Agreement shall be effective on
Page 11 of 13
11-2767/58006
the date of its approval by the City Council. This Agreement shall expire when terminated
as provided herein.
CARL WARREN & COMPANY
By:
print name
ITS: (circle one) Chairmaneside ice President
AND
print -name
ITS: (circle one) ecretary Chief Financial Officer/Asst.
Secretary - Treasurer
CITY OF HUNTINGTON BEACH, a
municipal corporation of the State of
California --%
Clerk
felis"IT-1i1
alter
MSIV/ a a
77 Ak
APPROVED AS TO FORM:
p
mot; % q
-City Attorney AV S 74
Page 12 of 13
11-2767/58006
A. STATEMENT OF Wt.IR.IC: (Narrate of work to be perfamwd7
"lam City of Huntington Beach maintatxis a program of self-insurance for general. liability
g_w'uaut to the California Tort Claims Act The Consultant shall assist the City in administ=i g
such a program including the investigation, adjustment, processing, supervision and resolution of
claims asserted by third pmt = against the City, its officers, agents and employees.
IL CONSULT
_ANrS-DUTMS AND RESPONSIBIf
The: Consultant is to provide the City with the following services:
1) Investigative Services.
a) Consultant shall provide investigative services on claims against the City, its officers,
agents, and employees. Such services shall include, but is not limited to: Receipt,
examination and investigation of reports of accidents, incidents, claims or cases,
which are or may be the subject of claims- The term "invcstigation" shall include on -
site investigation, necessary photographs, the inverviewing of witnesses, the
dete rnination of losses, and other such investigative services necessary to detwnine
City's liability and financial exposure, if any.
b) Conduct and/or engage, on behalf of the City, the services of independent outride
investigators to conduct all Meld investigation flail is needed to properly bindle
general and automobile claims, The selection of outside investigators shall bo made
from a list approved by the City.
c) Without compromising the quality of inveWption, make every attempt to conduct as
mwch investigation from the office as possible _before conducting outside
investigadoa an&or engaging the services of outside investigators. In the event that
outside investigation is necessary, monitor outside investigation to minftni expense.
2) Claims Adj ent Services.
Consultant shall provide claims adjustment spices on calms against the Ciiy, its offi=s,
agents, and employees. Such services shall include, but is not limited to:
a) Smeen accident reports for legitimate potential claims and attempt to initiate rapport
with claimant before attorney involvement, while caring not to -solicit unlikely claims.
b) Attempt to settle or recommend denial of claims.
c) Preps necessary reports of claims filed to the City's prittnary and excess carriers.
d) Serve as liaison between carriers and the City on mars affecting the adjustment of
claims, unless otherwise advised by the City Attorney.
e) Establish and maintain a file for each potential claim reported.
3) Administrative SerWces.
Consultant shall provide administrative services that include, but is not limited to:
a) The assignment of qualified personnel, including at least one. principal aecowt
4ustm, to efficieutly and effectively rat the scope of serviow listed in fills section.
Such assignment shall be subject to approval of the City.
b) Preparation of a Montbly SWus Report on all claims includit litigated claims.
Copies of the xcpott sball be furnished to boil, the City Attorney and Risk
ilabCiaimidvest wit A 1 of 2
EX-J _D31-T I s I ti
Maaagcment within twenty (20) days of the close of each calendar month. The
Monthly Statm Report shall includes but is not €united, to the following:
+ The details of each claim. This inc-lades a list of all claims segregated by
policy year showing the following: policy year, case number, claimant's
name, cause of loss description, date of loss, type of loss, status, lasers paid to
date, reserves, acid total incuamd
The outstanding reserves of each claim and details of all claim payments
during the month, and
* The cost of investigation
Claims opened and closed during the month
4- Active liability litigation
c) The egtablishmcnt and periodic review of reserves on all open claims (Ditigated and
non litid).
d) Maintain a procedure to alert necessary persons of important dates with respect to the
claims.
4) Legal Support Services.
Consultant shall provide legal Support services on each litigated Claim. Such Services shall
include, but is not limited to:
a) Mmicipal, Superior or Federal Court Litigation. Upon notdication by City that suit
bas been filed on any claim, the Consultant shall:
# Comet the City Attorney and provide her with all inform on and files
concerning said claims
® Malmo liaison with Risk Management and provide such investigation
services as are required by the City Attorney, and outside counseL if any,
during pre-trial and trial stages
Assist the City Anorney, and outside counsel, if any, in answering my
fi tetrogatories filed by the claimant as roqdred by the City Attorney
b) Small Claims Litigation. Consultant shall assist Risk Management in Small Claims
actions filed against City on claims handled by Consultant bar pfoviding Risk
Management with:
e Names ofwitnesses to be subpoenaed
e Necessary evidence
0 Assistance at the trial, including appearance as a witness, if pessary
1) City shall provide ConsulUmt with copies of documents within its control without BeIM
and shall make City earpIoyem available for interviews at reasonable times.
2) City will furnish at no cost to Consultant copies of attorneys reports and other r+elemt -
materials for Consultant's use in preparing case analysis or status reports Sind for reviemirng
purposes, but CITY" wiU not incur any additional expenses in such regard.
To be determined
LiiPCWmIfww Ezhibk A 2 .of 2
EXHIBIT "B"
Payment Schedule
1. Charges for time during travel are normally not reimbursable and will only be
paid if such time is actually in performing services for CITY or as otherwise arranged with
CITY.
2. CONSULTANT shall be entitled to monthly progress payments toward the fixed
fee set forth herein in accordance with the following progress and payment schedules:
Services
$55.00 per hour/billing unit
Mileage
.51 per mile/or IRS rate (the greater of)
Telephone
10 % of Services
Photocopies
.30 cents per page
Transcription/Steno
$5.00 per page
File Set-up
$27.50
Photographs
$2.25 per photo
Tapes
$2.00
Office Expense
18 % of Services
Data Processing
$35.00 per suffix (i.e. per line entry)
1099 Preparation
Included
Cassettes
Included
Index Bureau )
OFLAC )
$18.00 (per submission)
MMSEA 1
MMSEA $4.85
Compass2 / MyCarlWarren $750.00 Monthly Administration Fee
(Includes data Processing charges and inputting data on claims handled by the City)
Three Year Fee (not to exceed) $285,500.00*
Based on 150 new claims per year. Claims in excess of 150 will be billed at the hourly
rate plus add-ons.
In addition, all allocable loss expenses including but not limited to legal fees, appraisal
fees, expert witness fees, report fees, photocopying service charges or similar charges
are to be pass -through expenses paid by the City.
CONSULTANT agrees to inform CITY when CONSULTANT is at the point of reaching
the maximum limit per year. CONSULTANT shall not continue with any work effort over the
amount of the maximum limit per year unless first authorized in writing by CITY.
65495
EXHIBIT B
3. Delivery of work product: A copy of every memorandum, letter, report,
calculation and other documentation prepared by CONSULTANT shall be submitted to CITY to
demonstrate progress toward completion of tasks. In the event CITY rejects or has comments on
any such product, CITY shall identify specific requirements for satisfactory completion.
4. CONSULTANT shall submit to CITY an invoice for each monthly progress
payment due. Such invoice shall:
A) Reference this Agreement;
B) Describe the services performed;
C) Show the total amount of the payment due;
D) Include a certification by a principal member of CONSULTANT's firm
that the work has been performed in accordance with the provisions of this
Agreement; and
E) For all payments include an estimate of the percentage of work completed.
Upon submission of any such invoice, if CITY is satisfied that CONSULTANT is
making satisfactory progress toward completion of tasks in accordance with this Agreement,
CITY shall approve the invoice, in which event payment shall be made within thirty (30) days of
receipt of the invoice by CITY. Such approval shall not be unreasonably withheld. If CITY
does not approve an invoice, CITY shall notify CONSULTANT in writing of the reasons for
non -approval and the schedule of performance set forth in Exhibit "A" may at the option of
CITY be suspended until the parties agree that past performance by CONSULTANT is in, or has
been brought into compliance, or until this Agreement has expired or is terminated as provided
herein.
S. Any billings for extra work or additional services authorized in advance and in
writing by CITY shall be invoiced separately to CITY. Such invoice shall contain all of the
information required above, and in addition shall list the hours expended and hourly rate charged
for such time. Such invoices shall be approved by CITY if the work performed is in accordance
with the extra work or additional services requested, and if CITY is satisfied that the statement of
hours worked and costs incurred is accurate. Such approval shall not be unreasonably withheld.
Any dispute between the parties concerning payment of such an invoice shall be treated as
separate and apart from the ongoing performance of the remainder of this Agreement.
2
65495
ATTACHMENT
CIE Ii 11:14 IFA)% Oran9eFa>:[CARLYi f,REN.COhi
Mike Reed 001/001
ACC `w CERTIFICATE 4F LIABILITY INSURANCE DATE p5104/20il YrY,
2D„
THIS CERTIFICATE IS ISSUED E S A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIF'JNATIVELY OR NEGATIVI:LY AMEND, EXTEND OR ALTER THE COVERAQE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING iNSURER(S), AUTHORIZED
REPRESENTATIVE OR PRODUCI:R, AND THE CERTIFICATI? HOLDER.
IMPORTANT: If the certlficats h Ader Is an ADDITIONAL INSURED, the pollcy(108) must be endorsed- if SUBROGATION IS WAIVED, subject to
the terms and conditions of (Ike I-ollcy, certain Policies me) require an endorsemenL A statement on thle certificate does not confer rights to the
certificate holder In Iiou of such undorsement(s).
PROOUcM F!
E!
Marsh Risk & Insurance Sarvk:ea PHONE -- ^—� FAX Na
4F95 MacArthur Own. Suhs700 _ _ I (A,&_ _.._
(949) 399.5600 L
LlcensogM3110 AAbDUC
DUCER
NewponBceM.CA 92660 - - -- --t
INSURED
Carl Wanen 9 Company
770 S Placenta Avenue
PLve zla. CA 92870
A: Everest NatloW Insurance Co
a: Federal Insurelua Company
c : Chubb National lf1SWance Co.
D;WA
E : NIA
E
(HIS IS TO CERTIFY THAT THE.. POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED 10 THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
INDICATED. NOTYMATHSTANOING ,%NY REQUIREMEN r. TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OF MAY PERTAIN. THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES, LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. _
ITR� TYPE OF INSURANCE DDL p �1.ICY NU IBER MM1DD EFP MMID EXP uwt
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City of HuntrIpton Al AO
2D00 Mom Street
Huntington Beeo, CA 92645
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E.L DISEASE-POUCYUMIT ' s
Prlmary Fao Umlt 3.000,000
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
THE E)(PIRA110N DATE THEREOF, NOTICE WILL BE DELIVERED IN
ACCORDANCE WITH THE POLICY PROVISIONS.
AUTHOR® REPRESENTATIVE
of Minh Rlaki Imur ae SaMM:ga
John der �/ s
0)1988-2009 AO
ACORD 25 (2009109) The ACORD name and logo are registered marks of ACORD
All fights resmad.
ATTACHMENT
i _
1. Requested by: Risk Management
2. Date: June 28, 2011
3. Name of contractor/permittee: Carl Warren & Company
4. Description of work to be performed: Liability Claims processing
5. Value and length of contract: 3 years; $285,500
6. Waiver/modification request: $25,000 Professional Liability deductible
7. Reason for request and why it should be granted: unable to comply with requirements
8. Identify the ri to the City in proving this waiver/modification: N/A
f
Departmen ea ignature ate:
APPROVALS
Approvals must be obtained in the order listed on this form. Two approvals are required
for a request to be granted. Approval fro the City Administrator's Office is only required if
Risk Managemen nd t City Attorney's Office disagree.
1. i Management
Approved El Denied 12,
Signature Date
2. City Attorney's Office ___-►, _
Approved ❑ Denie,
Signature Date
3. City Administrator's Office
❑ Approved ❑ Denied
Signature Date
If approved, the completed waiver/modification request is to be submitted to the
City Attorney's Office along with the contract for approval. Once the contract has been approved,
this form is to be filed with the Risk Management Division of Human Resources
City of Huntington Beach
2000 Main Street ♦ Huntington Beach, CA 92648
(714) 536-5227 ♦ www.huntingtonbeachca.gov
Office of the City Clerk
Joan L. Flynn, City Clerk
July 7, 2011
Carl Warren & Company
Attn: Michael Reed
770 South Placentia Avenue
Placentia, CA 92870-6832
Dear Mr. Reed:
Enclosed for your records is a copy the Professional Services Agreement between the City
of Huntington Beach and Carl Warren & Company for Liability Claim Investigation and
Processing.
Sincerely,
I � 0�j+*)
Joan L. Flynn, CIVIC
City Clerk
JF:pe
Enclosure
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Sister Cities: Anjo, Japan ♦ Waitakere, New Zealand