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HomeMy WebLinkAboutSCOTT FAZEKAS & ASSOC - 1997-01-06 • � - � C,��Nm�R- �uicDiNG 2C1z>,5 /,2/GN 7W605 Council/Agency Meeting Held` .SC (a b0•/b Deferred/Continued to: ® Approved ❑ Conditionally Approved ❑ Denied ZEcO Clerk's Signature Council Meeting Date:7-0 11/16/98 Department ID Number: CD98-52 CITY OF HUNTINGTON BEACH75 _" REQUEST FOR COUNCIL ACTION ca ---1 „-..1 a SUBMITTED TO: HONORABLE MAYOR AND CITY'COUNCIL MEMBERS SUBMITTED BY: RAY SILVER, City Administrat I•+V ' gyp/ PREPARED BY: ROSS CRANMER, Building & Safety Director w SUBJECT: Approve the use of Budgeted Contract Services Funds using Existing Contracts with SFA, Inc. --To Perform Plan Review and Staffing Services Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachmen Statement of Issue: The Building and Safety Department staffs the building counter, performs health and safety plan reviews and provides customer friendly inspection services for our community. The applicants who submit projects to the City pay fees for these services and expect reasonable service levels. The demand for these services varies due to the fluctuations in construction activity. In order to continue to deliver our services when construction activity is high, we rely on cost effective outside firms to augment our professional staff. SFA, Inc. is well respected in the industry and continues to provide exceptional services for the City of Huntington Beach. SFA also works exclusively for government agencies thus they avoid having any conflict of interest with private developers. Funding Source: The contract services would be financed by the $435,500 budgeted under contract services in the 98/99 Budget for Building and Safety. Recommended Action: Motion to: "Approve and authorize the use of budgeted contract funds in Program CD-234- 390 to provide both professional plan review and staffing services, using existing contracts with SFA, Inc." REQUEST FOR COUNCIL ACTION MEETING DATE: 11/16/98 DEPARTMENT ID NUMBER: CD98-52 Alternative Action(s): . The City Council may make the following motion: "Deny the use of budgeted contract funds for outside professional services and dramatically decrease the level of service." Analysis: The ability of the Building and Safety Department to provide counter, plan review and inspection services continue to be hampered by the substantial increase in construction activity. This increase in activity is primarily due to new residential construction in the PLC development area and large commercial projects in remaining open areas. We have been utilizing contract services to satisfy the increase in demand for both plan review and staffing services. SFA, Inc., continues to provide contract services in a timely and professional manner. SFA, Inc. has provided plan review and leased staff services under their existing contracts in Attachments #1 and #2. The contracts are still active and SFA, Inc. has indicated that the terms are still acceptable as noted in their letter dated October 30, 1998 (Attachment#3). As in the past the cost for providing the plan review services is calculated as a percentage of the fees we collect. The percentages that most firms' charge varies from 49% to 60% of the building permit fee. Attachment #4 summarizes the three (3) informal proposals for this service. In contrast to plan review, our other service needs cannot be provided away from City Hall. As noted we continue to utilize SFA, Inc., to provide leased staff in City Hall to perform counter, inspection and miscellaneous services. This service is cost effective since the hourly rates are substantially lower than contract professional services and the City is not obligated to maintain peak staffing when the construction activity declines. Environmental Status: NA CD98-52 -2- 11/09/98 5:18 PM • REQUEST FOR COUNCIL ACTION MEETING DATE: 11/16/98 DEPARTMENT ID NUMBER: CD98-52 Attachment(s): City Clerk's Page Number No. Description Services 1. ExistingContract with FA Inc. for Plan Review S C S 2. Existing Agreement with SFA, Inc. for Staffing Services 3. Letter dated October 30, 1998 from SFA, Inc. 4. Summary of Informal Proposals for Plan Review Services 5. Current Approved Insurance Certificates. RCA Author: Debra Gilbert CD98-52 -3- 11/09/98 6:18 PM r WX a PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS &ASSOCIATES FOR PLAN REVIEW SERVICES Table of Contents SECTION PAGE 1 Designation of Contractor.......................................................................... ......2 2 Conflict of Interest....................................................................................................2 3 Work to be Performed by Consultant and Compensation........................................2 4 Work to 4e Performed by the City ................................ ...4 5 Extra Work...............................................................................................................-4 6 Service Level Goals..................................................................................................5 7 Work Day Definition................................................................................................5 8 Method of Payment..................................................................................................5 9 Performance Documentation....................................................................................5 10 Non-Assignability ....................................................................................................6 11 Final Decision Authority....................................................................... ........6 12 Termination....................... ...........................................................................:.........6 13 Notices......................................................................................................................6 14 Immigration............................ 15 Legal Services Subcontracting Prohibited................................................................7 16 Indemnification and Hold Harmless.........................................................................7 17 Workers' Compensation...........................................................................................7 18 Insurance.................................................................................:.................................8 19 Certificates of Insurance; Additional Insured Endorsements...................................8 20 Independent Contractor............................................................................................9 21 Copyrights/Patents....................................................................................................9 22 City Employees and Officials 9 .23 Attorney's Fees 9 24 Entirety 10 PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS ASSOCIATES FOR PLAN REVIEW SERVICES THIS AGREEMENT, made and entered into this.6th day of aanuary , 1996,by and between the City of Huntington Beach, a municipal corporation of the State of California, hereinafter referred to as"CITY," and Scott Fazekas Associates, a California corporation, hereinafter referred to as "CONSULTANT." WHEREAS, CITY desires to employ the services of a consultant to provide plan review services involving ministerial code review for proposed building construction plans; and CITY1esires to implement a high level of professional and technical plan review,.services at a cost less than the fees.paid by the permit applicants; and CITY wishes to avoid conflict of interest problems by contracting with a corporation that performs no work for the private sector and provides services exclusively to government entities; and CITY wishes to contract with a firm directed by persons having experience and knowledge in the interpretation and application of complex regulations providing for protection of the public; and CITY desires to contract with a firm presently successfully providing plan review services to government agencies; and CONSULTANT's plan review engineers, supervisors and managers are all highly credentialed engineers with many years of regulatory plan review experience; and CONSULTANT is willing to enter into a contract with the CITY to provide plan review services to the CITY in accordance with this contract; and Pursuant to documentation on file in the office of the City Clerk, the provisions of Huntington Beach Municipal Code Chapter 3.03 relating to procurement of professional service contracts has been complied with; and CONSULTANT has been selected to perform said services, NOW, THEREFORE, it is agreed by CITY and CONSULTANT AS FOLLOWS: 1 4/s:PCD:Agrec:Razekas 11/15/96 RLS 96-755 Section 1. DESIGNATION OF CONTRACTOR, CONSULTANT hereby agrees to provide professional services for the review of proposed building plans for conformance to regulations contained in the state mandated building, plumbing, mechanical and electrical codes, as those codes are adopted by the CITY; to perform additional work when requested by CITY; and to perform all of the'above described work in accordance with the terms and conditions hereinafter set forth,when requested_ by the Building Official or his designated representative. Section 2. CONFLICT OF INTEREST. CONSULTANT expressly affirms that it nor any of its officers or directors will perform work or provide services to entities other than government entities during the time this Agreement is in force in order to insure the CITY that the CONSULTANT will not have a conflict of interest in discharging the work covered by this Agreement. - - - Section 3. WORK TO BE PERFORMED BY CONSULTANT AND COMPENSATION A. Plan Review Services Scope of Work. CONSULTANT shall: 1. Perform traditional preliminary plan review consultations_ in its main office by meetings or by telephone. 2. Perform traditional initial plan review of submitted plans to determine compliance with certain uniform codes as adopted by CITY, including: Uniform Building Code Uniform Plumbing Code Uniform Mechanical Code National Electrical Code California State, Title 24 (Energy Conservation; and Disabled Access) Noise Attenuation and local requirements Federal Flood Plain Regulations (FEMA) 3. Provide the applicant's designee and the CITY a list of items needing clarification or change to achieve conformance with the above regulations. 4. Perform all necessary liaison with the applicant's designee, by telephone, fax, mail or meeting in its main office, and perform all necessary rechecks to achieve conformance to the regulations. 2 4/s:PMAgree:Razekas 11/13/96 RLS 96-755 5: Perform all necessary liaison with the Building Official or his designee, by mail, telephone, fax or in its main office, to insure compliance with the Uniform Administrative Code(UAC)U.B.C. Sections 105 and 106 and to insure compliance with local policy interpretations. . 6. Perform plan reviews of revisions to plans that have previously been approved for permit issuance. 7. Perform extra work when requested in writing by CITY: 8. Attend meetings related to proposed building projects at the request of the Building Official at locations other than its office. B. Compensation for Plan Review Services 1. Compensation for each plan reviewed pursuant to this Agreement shall be 49% of the building permit fee calculated per Table 3A of the 1991 Uniform Administrative Code for each building plan checked. The construction valuation shall be based on the most recent valuation multiplier published by the International Conference of Building Officials in Building Standards or on the architect's estimated construction cost, or on the Building Official's cost estimate. The value shall include a proposed construction as defined in Uniform Administrative Code Section 304. Plan check fee for repetitive identical buildings shall be 49% of the building permit fee as noted above for the first, or basic building, and 14% of the building permit fee for each additional building. The single fee includes all rechecks, plan check conferences at CONSULTANT's office, reviewing plans that are initially found to be incomplete and for the transmitting of plans back to the jurisdiction. The minimum CONSULTANT fee for any proposed project plan review shall be one hundred dollars ($100.00). 2. Compensation for plan reviews of reviews to plans that have previously been approved for permit issuance, pursuant to Section 3(A)(6) of this Agreement, shall be calculated pursuant to Section 3(B)(1) of this Agreement or shall be$75.00 per hour. The method of calculating compensation for each such plan reviewed shall be as agreed to in writing by the Building Official and CONSULTANT. 3 4/s:PC D:A g ree:Raze leas l 1/15/96 RLS 96-755 -3. Compensation for extra work performed pursuant to Section 3(A)(7) of this Agreement shall be$75.00 per.hour. Section 4. WORK TO.BE PERFORMED BY THE CITY The CITY shall perform the following work: A. Arrange and pay the cost of shipping one set of plans and documents to the CONSULTANT's office. B. Obtain from the applicant,at the time of the project submittal,the necessary items.to allow plan review to be completed in the shortest overall time frame. Necessary items include, but are not limited to, complete plans, construction specifications, soil reports, Title 24 energy calculations, structural calculations, the name and address andtelcphone number of the applicant's designated contact person and similar items that may be unique to a particular project. C. Provide the valuation for the proposed construction or instruct the CONSULTANT to calculate the valuation in accordance with Section 3(B)(1) of this Agreement. D. Provide the CONSULTANT with copies of any CITY ordinances that modify the regulations listed in Section 3(A)(2) of this Agreement. E. Collect sufficient plan check fees or deposits from project applicants to ensure the CITY will not suffer a loss if the applicant decides to abandon the permit process after the CONSULTANT has completed this initial plan check. Section 5. EXTRA WORK The CONSULTANT shall not perform extra work without written authorization from the Building Official or his designated representative. 4 4/s:PCD:Agree:Razekbs 11/13/96 RLS 96-755 Section 6. SERVICE LEVEL GOALS The CONSULTANT agrees to provide adequate resources to achieve the following service delivery goals for timely performance of the work over which the CONSULTANT has decision authority: ITEM SERVICE GOAL A. Buildings less than four stories A. Complete initial plan review in and of normal complexity. less than twelve(12)work days. B. Buildings four or more stories B. Complete initial plan review in in height or of unusual less than fifteen(15)work days complexity. or as agreed by the CITY's - Building Official-and- CONTRACTOR. C. Residential and minor building C. Complete initial plan review in projects. less than eight(8)work days. Service level goals are subject to modification upon mutual agreement of CONSULTANT and CITY. Section 7. WORK DAY DEFINITION For the purpose of measuring performance, the work days specified in Section 6 of this Agreement exclude the day plans were received and include the day a plan review has been completed. Work days do not include Saturdays, Sundays, or CITY holidays. Section 8. METHOD OF PAYMENT CONSULTANT shall submit after the first work day of each month the invoice for initial plan reviews performed during the prior month. Payment of approved items on the invoice shall be mailed to the CONSULTANT within thirty (30) days after the date the invoice was submitted. Payments not made within the above time frame shall, when paid, be increased one and one-half percent per month, or portion of a month, for each month the payment was delayed. Any disputed invoices shall be brought to CONSULTANT's attention within ten(10) days of receipt. Section 9. PERFORMANCE DOCUMENTATION CONSULTANT shall note on the plan review correspondence to the CITY: 5 4/0MAgrecRazekas 11/13/96 RLS 96-755 y A. The day of the week and the date the plans were received; B. The day of the week and the date the initial plan review was completed; C. The day of the week and date the applicant's designee was notified that the initial plan review was completed; and D. The calculated number of work days to complete the initial plan review. Section 10. NON-ASSIGNABILITY This agreement is for the professional services of CONSULTANT and is non- assignable without the prior written consent of the CITY. Section-I.I.- FINAL DECISION AUTHORITY The CITY's Building Official shall have final decision authority over the results of the plan review by the CONSULTANT and all work performed by the CONSULTANT shall be to the satisfaction of the Building Official.. In instances where the permit applicant takes exception to the CONSULTANT's interpretation of the regulations, the Building Official shall render a final decision utilizing, if deemed appropriate, the resources of the City Attorney and/or the Board of Appeals. Section 12. TERMINATION Either party may terminate this Agreement,with or without cause, by providing thirty (30) days written notice to the other party. Section 13. NOTICES Any notice or special instructions required to be given in writing under this Agreement shall be given either by personal delivery to CONSULTANT's agent (as designated in Section 1 hereinab.ove) or to CITY's Director Community Development 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, addressed as follows: TO CITY: TO CONSULTANT: Ross Cranmer, Building Official Department of Community Development Scott Fazekas and Associates City of Huntington Beach 5 Corporate Park, Suite 160 2000 Main Street, 3rd Floor Irvine, CA 92714 Huntington Beach, CA 92648 6 4/s:PCD:Agree:Razekas 11/15/96 RLS 96.755 a Section 14. 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. Section 15. LEGAL SER_VICES 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 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 CIV shall not be liable for payment of any legal services expenses_incurred by CONSULTANT. - Section 16. INDEMNIFICATION AND HOLD HARMLESS CONSULTANT hereby agrees to indemnify, defend,and hold and save harmless CITY, its officers and employees from any and all liability, including any claim of liability and any and all losses or costs arising out of the negligent performance of this Agreement by CONSULTANT, its officers or employees. Section 17. WORKERS' COMPENSATION CONSULTANT shall comply with all of the provisions of the Workers' Compensation Insurance and Safety Acts of the State of California,the applicable provisions of the California Labor Code and all amendments thereto; and all similar state or federal acts or laws applicable; and shall indemnify, defend and hold harmless CITY from and against all claims, demands, payments, suits, actions,.proceedings and judgments of every nature and description, including attorney fees and costs presented,brought or recovered against CITY,for or on account of any liability under any of said acts which may be incurred by reason of any work to be performed by CONSULTANT under this Agreement. CONSULTANT shall obtain and famish evidence to CITY of maintenance of statutory workers' compensation insurance and employers liability in an amount of not less than $100,000 bodily injury by accident, each occurrence, $100,000 bodily injury by disease, each employee, and $250,000 bodily injury by disease,policy limit. 7 4/s:PCD:Agree:Razekas 11/13.96 RLS 96-753 Section 18. INSURANCE ? In addition to the workers compensation insurance and CONSULTANT's covenant to indemnify CITY, CONSULTANT shall obtain and furnish to CITY, a policy of general public liability insurance, including motor vehicle coverage;covering the work to be performed by CONSULTANT pursuant to this Agreement. Said policy shall indemnify CONSULTANT, its officers, agents and employees,while acting within the scope of their duties, against any and all claims of arising out of or in connection with this Agreement, and shall provide coverage in not less than the following amount: combined single limit bodily injury and property damage, including products/completed operations liability and blanket contractual liability, of$1,000,000 per occurrence. If coverage is provided under a form-which includes a designated general aggregate limit, the aggregate limit must be no less than$1,000,000. Said policy shall name CITY, its officers, and employees as.Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable shall be.deemed excess coverage ar�that CONSULTANT's insurance shall be primary. Under no circumstances shall said abovementioned insurance contain a self-insured retention, or a"deductible"or any other similar form of limitation on the required coverage. Section 19. CERTIFICATES OF INSURANCE: ADDITIONAL• INSURED ENDORSEMENTS Prior to commencing performance of the work hereunder,CONSULTANT shall furnish to CITY certificates of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverages as required by this Agreement; said certificates shall: 1. provide the name and policy number of each carrier and policy; 2. shall state that the policy is currently in force; 3. shall promise to provide that such policies will not be canceled or modified without thirty (30) days prior written notice of CITY; and 4. shall state as follows: ."The above detailed coverage is not subject to any deductible or self-insured retention, or any other form of similar type limitation." CONSULTANT shall maintain the foregoing insurance coverages in force until the work under this Agreement is fully completed and accepted by CITY. The requirement for carrying the foregoing insurance coverages shall not derogate from the provisions for indemnification of CITY by CONSULTANT under the Agreement. CITY or its representative shall at all times have the right to demand the original or a copy of all 8 4/s:PC D:Agree:Razekas 11/1.3196 RLS 96-755 said policies of insurance. CONSULTANT shall pay, in a prompt and timely manner,the premiums on all insurance hereinabove required. A separate copy of the additional insured endorsement to each of CONSULTANT's insurance policies, naming the CITY;its officers and employees as Additional Insureds shall be provided to the City Attorney for approval prior'to any payment hereunder. Section 20. jT1DEPENDENT CONTRACTOR CONSULTANT is, and shall be, acting at all times in the performance of this Agreement as an independent contractor. CONSULTANT shall secure at its 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 services to be-erforined hereunder. Section 21. 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. Section 22. 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 Californi Government Code. Section 23. ATTORNEY'S FEES In the event suit is brought by either party to enforce the terms and provisions of this agreement or to secure the performance hereof, each party shall bear its own attorney's fees. 9 4/s:PCD:Agree:Razekis 11/13/96 RLS 96-755 Section 24. ENTIRETY The foregoing, and Exhibit"A": attached hereto, set forth the entire Agreement between the parties. IN WITNESS WHEREOF,the parties hereto have caused this-Agreement to be executed by and through their authorized offices the day,month and year first above written. CONSULTANT: CITY OF HUNTINGTON BEACH,A SCOTT FAZEKAS AND ASSOCIATES municipal corporation of the State of a California corporation California All By: S«rE}- F=;cL2� print name Mayor - - ITS: (circle one)Chairrnarvrresiden ice President ATTEST: AND City Clerk By: ' APPROVED AS TO FORM: print name ' ITS: (circle one) ecret Chief Financial Officer/Asst. c Secretary-Treasurer City Attorney I r'��C P�1 LS1a6 REVIEWED AND APPROVED: INITIATED AND APPROVED: -Y C' Administrator Director of Communi evelopment 10 4/s:PCD:Agrce:Razckas t t/t 5/96 RIS 96-755 e v r x a AGREEMENT TO PROVIDE STAFFING SERVICES BETWEEN THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS &ASSOCIATES, INC. Table of Contents Section Page 1 Definitions 1 1.1 "Current Payroll" 1 1.2 "Employees" 2 1.3 "Employee Tax Forms" 2 1.4 . "Employer Tax Forms: 2 1.5 "Payment Due Date" 2 1.6 "Pay Period" 2 1.7 "Payroll" 2 . 2. Implementation - - - 3 .2.1 Relationship of Parties 3 2.2 Terms of Agreement 3 2.3 Specifications of Services and Approval of Compensation 3 2.4 Changes and Adjustments in Payroll 3 2.5 Employer Duties of SFA 4 2.6 Duties of CITY 4 2.7 Workers' Compensation, Health, and Other Benefits 4 . 3 Compensation 5 3.1 Fee 5 3.2 Payment Address 5 3.3 Terms of Compensation 5 4 Supervision of Employees 5 5 Indemnification 6 6 Insurance 6 7 Certificates of Insurance 7 8 General Provisions 8 8.1 Representation 8 8.2 Legal Action 8 8.3 Assignment 8 8.4 Audit 8 _ 8.5 Title 8 8.6 Severability 9 8.7 Legal Services Subcontracting Prohibited 9 8.8 Extent of Agreement 10 Exhibit A 11 ' kN0:Agree:Fazekaad1115196 RLS 96-911 - —- - - AGREEMENT TO PROVIDE STAFFING SERVICES BETWEEN _ THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS &ASSOCIATES, INC. THIS AGREEMENT.is.made and entered into this 6th day of 19-ii _, by and between the City of Huntington Beach, hereinafter referred to as 'CITY", and SCOTT FAZEKAS &ASSOCIATES, INC., hereinafter referred to as "SFA." WHEREAS, SFA is a California corporation which provides the seMces of its employees to government agencies for the purpose of discharging the responsibilities of government agencies; and CITY has engaged the personal services of certain persons as its employees; and Economic reasons exist which make it in the best interests of CITY.to discharge certain of its responsibilities through the use of SFA employees; NOW, THEREFORE, in consideration of the promises, covenants, and warranties hereinafter set forth, the parties hereto mutually agree as follows: 1. DEFINITIONS All terms used in this.Agreement shall have the customary meaning afforded such terms unless the same are used in a technical or business context, in which event such terms shall have the technical and/or special meaning normally afforded such terms within the particular trade, industry, or business to which they relate. The following are the definitions of special terms used herein: 1.1 "Current Payroll" means the payroll set forth on attached Exhibit A and incorporated by this reference. 1.2 "Employees" means those individual persons who are subject to the terms of this Agreement and whose services are identified on attached Exhibit A incorporated by this reference. 1 7Tk10:Agrca:Fazckaa/1115196 RL S 96-811 f y 1.3 "Employee Tax Forms" means all.forms applicable'to the payroll which are required by United States, state, and local governments to be provided by an employer to an employee, including U.S. Department of the Treasury, Internal Revenue Service Form W-2 (Wage and Tax Statement) and Form W-4 (Employee's Withholding Allowable Certificate) and Form 1099 (as and if applicable), as well as comparable and/or counterpart forms prescribed by the state and/or local government in which employees are performing services pursuant to this Agreement. 1.4 "Employer Tax Forms" means all forms required to fully and properly report the payroll to-the United States, state and/or local governments, including United States Department of the Treasury; Internal Revenue Service Form 941 (Employer's Quarterly Federal Tax Return for Federal Income Tax Withheld from Wages and for Federal Insurance Contributions Act Taxes), Form 940 (Employer's Annual Federal Unemployment Tax Return), and comparable and/or counterpart forms prescribed by the state and/or local government in which employees are performing services pursuant to this Agreement. 1.5 "Payment Due Date" means any date on or before the last day of each payroll period. 1.6 "Pay Period" means the interval between payments to employees. 1.7 "Payroll" means the.total payroll applicable to all employees and includes the aggregate of net compensation to employees, federal withholding taxes, state and local (if any) withholding taxes, employer and employee costs pursuant to the Federal Insurance Contributions Act, employer costs pursuant to the Federal Unemployment Tax Act, employer costs for state unemployment taxes (if any), employer costs pursuant to the Voluntary Compensation Plan (if any), and employer listed service fees (as applicable). 2 Tk\G:A&ree:F&ukas/11r!/95 RLS 96-811 2. IMPLEMENTATION #' 2.1 Relationship of Parties. Effective at the commencement of business on the day of , 19 , SFA will provide to CITY those of its employees who are qualified to perform the services'identified on attached Exhibit A and CITY hereby accepts such employees on the terms and conditions provided in this Agreement. 2.2 Term of Agreement. This Agreement and the rights and obligations of CITY and SFA shall commence on the effective time and date specified in paragraph 2.1 and shall continue until terminated. Either party may terminate this Agreement upon thirty (30) days written notice to the other party. 2.3 Specification of Services and Approval of Compensation. CITY shall specify, and by notice to SFA may accept, modify, or reject the services and/or rate of 1 compensation of any and all employees leased to CITY in accordance with this Agreement. In the event of rejection of services and/or rejection of the rate of compensation of any employee leased to CITY, the lease made by this Agreement shall terminate as to such employee, effective upon receipt by SFA of written notice thereof. For purposes of business and financial accounting between the parties, this Agreement shall be deemed several as to each employee and shall be deemed prorated on a daily or other periodic basis necessary to give effect to the manifest intentions of the contracting parties. 2.4 Changes and Adjustment in Payroll. CITY and SFA acknowledge the payroll will vary from pay period to pay period by reason of additions, terminations, and changes in compensation rates of employees. It is further acknowledged that the payroll also may vary from pay period to pay period by reason of changes in the rate and/or amount of employee withholding and/or employer payroll contributions and/or costs of employee benefit plans and programs. It is specifically agreed that the amount of all payments coming due and 3 7V O'Agrce:Fazckaz111/3/9S RLS 96-911 owing from CITY to SFA shall be adjusted (by increase or decrease, as applicable) to the extent necessary to directly reflect such changes on a current basis. All such changes and adjustments in payroll shall be.mutually agreed by the CITY and SFA.before revised hourly rates are applied. 2.5 Employer Duties of SFA. SFA shall (1) pay all wages and other remuneration to its employees who are subject to this Agreement; (2) notify CITY of the current . payroll prior to each pay period;.(3) prepare and file all payroll tax returns and reports; (4) pay all amounts due and owing pursuant to the payroll tax returns and reports which are prepared and filed; (5) prepare, file, and.fumish to employees applicable employee tax forms; and'(6) prepare and file, with a copy to CITY, applicable employer tax forms. 2.6 Duties of CITY. CITY shall (1) provide the workplace for all employees subject to this Agreement; (2) maintain the workplace in strict accordance with applicable health and working standards and specifications; (3) comply with all safety engineering and governmental health and safety rules, regulations, directives, orders or similar requirements; (4) provide all required safety equipment; (5) for employees located in California, take all actions necessary to establish and implement an injury and illness prevention program as required by the Occupational Injury Program Act, also known as Senate Bill.198, and codified at California Labor Code § 6401.7; (6) post or provide employee notices required by law; and (7) notify SFA immediately of all employee illnesses, accidents, injuries, and absences. 2.7 Workers' Compensation, Health, and Other Benefits. SFA maintains Workers' Compensation and Employers Liability Insurance of a form and in an amount as required by state law and CITY. Various health and other benefits are available to employees under a cafeteria plan which permits each employee to choose the type of benefits he or she will receive. 4 7\k\G:Aga:Fauku/11/3/9 S RLS 96-811 3. COMPENSATION ~ 3.1 Fee. CITY agrees to pay within the hourly range rate established in Exhibit A on or before each payment due date. The range rates are based on current SFA costs and is . subject to change when costs change due to factors which are beyond the control of SFA (such as insurance, payroll tax, etc.). Any adjustments made will be commensurate with increased costs to SFA as mutually agreed by the CITY and SFA. 3.2 Payment Address. All payments due SFA shall be paid to: SCOTT FAZEKAS &ASSOCIATES, INC. Attn: Scott Fazekas' 5 Corporate Park, Suite 160 Irvine, CA 92714 3.3 Terms of Compensation. Invoices are due within 30 days of receipt. Delinquent payments will be subject to a late payment carrying charge computed at a periodic rate of 1-1/2% per month, which is an annual percentage rate of 18%, which will be applied to any unpaid balance owed commencing forty-five (45) days after the date of the original invoice. Additionally, in the event CITY fails to pay any undisputed amounts due SFA within forty-five (45) days after payment due date, then CITY agrees that SFA shall have the right to consider said default a total breach of this Agreement and the duties of SFA under this Agreement may be terminated by SFA without liability to SFA upon ten (10) working days advance written notice. 4. SUPERVISION OF EMPLOYEES CITY shall supervise the daily activities of employees. Employees shall discharge government responsibilities and perform in accordance with the ordinances, resolutions, rules, regulations, and procedures adopted by CITY. SFA shall have no control over such government responsibilities and such ordinances, resolutions, rules, regulations, and procedures. 5 7Tk\G:AgrvrFaukas/1113195 RLS 96-911 5. INDEMNIFICATION SFA shall indemnify, defend, and hold harmless CITY for the purposes of all required payroll deductions and withholdings, legally required workers' compensation insurance, and health benefits of the employees. SFA shall also.indemnify, defend and hold harmless CITY for any liability arising under the Public Employees Retirement Law, as set forth in Califomia Govemment Code § 20000, et seq. However, inasmuch as the CITY shall supervise the daily activities of employees, and inasmuch as the employees will discharge government responsibilities and perform in accordance with the ordinances, resolutions, rules, regulations, and procedures'-adopted by CITY (1) SFA and its employees shall be entitled td all protection and immunities of government employees, including without limitation, those provided in California Government Code, Title 1, Division 3.6, Claims and Actions against Public Entities and Public Employees; and (2) CITY does release and agree to indemnify, defend and hold harmless the employees, SFA, and SFA's agents, personnel, directors, and officers from any and all actions, claims, damages or injuries to persons or property, penalties, obligations or liabilities arising out of or related to the services performed under this Agreement. In addition, the employees, SFA, and SFA's agent, personnel, directors, and officers shall be additional named insured on CITY's insurance policies or on any self-insurance agreement. If CITY is a member of a Risk Management Agreement (RMA) or similar agreement, CITY will notify the organization responsible for RMA or similar agreement in writing that the employees, SFA, and SFA's agents, personnel, directors, and officers do not have any applicable insurance coverage. 6. INSURANCE In addition to the workers compensation insurance and SFA's covenant to indemnify CITY, SFA shall obtain and furnish to CITY, a policy of general public liability 6 7\k%G:A47=:Fazckas/11/3/9 3 RIS 96-811 insurance, including motor vehicle coverage covering the project. Said policy shall indemnify ' $FA, its officers, agents and employees, while acting within the scope of their duties, against any and all claims of arising out of or in connection with the project, and shall provide coverage in not less than the following amount: combined single limit bodily injury and property damage, r including products/completed operations liability and blanket contractual liability, of$1,000,000 per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, the aggregate limit must be no less than $1,000,000. Said policy shall name CITY, its officers, and employees as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable to the project shall be deemed excess coverage and that SFA's insurance shall be primary. Under no circumstances shall said abovementioned insurance contain a self-insured retention, or a "deductible" or any other similar form of limitation on the required coverage. 7. CERTIFICATES OF INSURANCE; ADDITIONAL INSURED ENDORSEMENTS Prior to commencing performance of the work hereunder, SFA shall furnish to CITY certificates of insurance subject.to approval of the City Attorney evidencing the foregoing insurance coverages as required by this Agreement; said certificates shall: 1. provide the name and policy number of each carrier and policy; 2. shall state that the policy is currently in force; 3. shall promise to provide that such policies will not be canceled or modified without thirty (30) days prior written notice of CITY; and 4. shall state as follows: "The above detailed coverage is not subject to any deductible or self-insured retention, or any other form of similar type limitation:" 7 7\k\G:Agra:Fazeku/11/3/93 RLs 96-911 SFA shall maintain the foregoing insurance coverages in force until the work under this Agreement is fully completed and accepted by CITY. The requirement for carrying the foregoing insurance coverages shall not derogate from the provisions for indemnification of CITY by SFA under the Agreement. CITY or its representative shall at all times have the right to demand the original or a copy of all said policies of insurance. SFA shall pay, in a prompt and timely manner, the premiums on all. insurance hereinabove required. 8. GENERAL PROVISIONS 8.1 Representation. A CITY representative shall be designated-by the CITY and an SFA representative shall be designated by SFA as the primary contact person for each party regarding performance of this Agreement. The following are the designated representatives: i Scott Fazekas for SFA Ross Cranmer for the City of Huntington Beach 8.2 Legal Action. Should either party to this Agreement bring legal action against the other, the case shall be handled within the County where CITY is located, and the party prevailing in such action shall be entitled to reasonable attorneys' fee which shall be fixed by the judge hearing the case and such fee shall be included in the judgment. 8.3 Assignment. This Agreement shall not be assignable by either party without the prior written consent of the other party. 8.4 Audit. CITY shall have the right to audit and inspect SFA records and accounts covering costs under this Agreement for a period of two years after termination of the Agreement. 8.5 Titles. The titles used in this Agreement are for general reference only and are not part of the Agreement. 8 Tk\G:Agree:Faukas/11/3/93 RLS 96-911 i 8:6 --Severability. Should any provision of this Agreement be determined to be unenforceable, such determination shall not affect the remaining provisions. 8.7 Legal Services Subcontracting Prohibited. SFA and CITY agree that CITY is not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly outside the scope of services contemplated hereunder. SFA 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 SFA.. REST OF PAGE NOT USED 9 n\G:Agra:Fazckas1 I 1 r319 S RLS 96-811 8.8 Extent of Agreement. This Agreement represents the entire and integrated Agreement between CITY and SFA and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be modified or , amended only by a subsequent written agreement signed by both parties. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date and year first above written. SCOTT FAZEKAS &ASSOCIATES, INC. CITY OF HUNTINGTON BEACH, A a California corporation municipal corporation of the State of p� California By: print name ITS: (circle one)Chairma Presiders ice President Mayor By: TTEST: - I=etzc�ti , print name ITS: (circle one Secrets Chief Financial City Cleric Officer/Asst. Secretary-Treasurer APPROV D AS TO FORM: i c r REVIEWED AND APPROVED: ToCity Attorney CK9 Administrator INITIATED AND APPROVED: Y Director of Communi y Development 10 7VdG:Agee:Fazckas/11/3195 RLS 96-811 Exhibit A SERVICES - Services included in this Agreement by and between the CITY OF HUNTINGTON BEACH and SCOTT FAZEKAS &ASSOCIATES, INC., are listed below: Service 1: Plan Check Services: Hourly.Billing Rate Range: $40.00 to $70.00 per hour* Service 2- Inspection Services Hourly Billing Rate Range: $24.00 to $45.00 per hour' - Service 3: Management Services Hourly Billing Rate Range $40.00 to $70.00 per hour' Service 4: Counter Services Hourly Billing Rate Range $15.00 to $30.00 per hour' Service 5: Planning Services Hourly Billing Rate Range $30.00 to 70.00 per hour' 'It is understood that employees providing services will be driving city vehicles for any field assignments. If the employees use a personal car on such assignments, billing to the City of Huntington Beach will be at the rate of$0.36/mile. Exhibit A Tk\G:Agree:Fazekas/1113/9 S RLS 96-911 M ---WN wa 11-03-98 16:10 2k 6196791374 SCOTT FAZEKAS 6 002 menil# 178YAksom & Anx4p4jasksm, N, A Btdlding Safety for Government October 30, 1998 Ms. Debra Gilbert Senior Analyst City of Huntington Beach Community Development Department 2000 Main Street Huntington Beach,CA 92648 Subject: Building Safety Consulting Services Dear Ms.Gilbert: 'rhis letter is to confirm SFA's continued interest in providing professional consulting and staffing services to the City of Huntington Beach under the terns of the existing Agreement. STA continues to provide cervices exclusively to governmental agencies and therefor has no potential conflicts of interest. The staff who will potentially be providing plan review services for Huntington Beach are as follows: Scott Fazekas, AIA,C110 Ted Beckwith,C.E. Michael.Ktntz, P.E. Unsun Ku,S.E. Oliver Roan,S.E. Gancsh Rao, I'.f. 011ie Apahidean,E.I.T. -['he statt'pmviding inspection services are as follows: Steve Kennedy David Wunderlich chuck Watkins Mark Carnahan Tom Savas Rick Olson Il'you have any questions feel free to contact me and thank you for your continued use of SFA's services. Sincerely, SCOTT FALEKAS&ASSOCIATES,INC. Scott K. Fazekas;AIA,CBO President :to Corporate Park,Suite 107,Irvine.CA 92600-5132•949/475.2901 FAX 9491475.2550 An Equal Opportunity Empfoyer • c #` �.�` -v � � �` ,t �„ may,'. ��.. s � s'b �g�; � L �-� � � c� r�%x`:� ��.�< -gam. �#�` _ _ N e:!- w5, Summary of Informal Proposals for Plan Review Services (per professional services—Chapter 3.03) Plan Review Fee (hourly fee) • International Conference of Building Officials (ICBO) 60% of Permit Fee ($75/hr) • SFA Consultants, Inc. 49% of Permit Fee ($75/hr) • EsGil Corporation 56% of Permit Fee ($87.51/hr) Selection Guidelines: (per 3.03.040) • Each of the above are well known for their quality Plan Review Services. • SFA provides their service at a cost that is at or below the industry standard. • SFA has staff that has provided excellent service to Huntington Beach in the past. gOR ? T A x ...... ....... MMIDDlYY ::.......::. : DATE 1 ) 6/30/98 ::. :::::::. PRODUCER 619-231-1010 THIS CERTIFICATE ERTIIFICATE IS ISSUED AS A.MATTER OF INFORMATION John Burnham & Company ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR 610 West Ash Street ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. P.O. Box 2910 COMPANIES AFFORDING COVERAGE -u San Diego, CA 921 1 2-421 5 COMPANY AMERICAN MOTORISTS INS./KEMPER INSURED COMPANY LUMBERMENS MUTUAL CAS./KEMPER B Scott Fazekas & Associates, Inc. COMPANY ' ATTN: Scott Fazekas C 15583 Harrow Lane COMPANY Poway CA 92064 D .. ....:.:....:::.::::..:. ...... :::.:::.....:::::.:.._'_..:.::::.:: :::: ::: ........... ::::::::.:::. _... ....... . .. .... ...._........... ._.. ......._.... . . _....... _.._.. .. THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. CO TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE POLICY EXPIRATION LIMITS LTR DATE(MM/DD/YY) DATE(MM/DD/YY) A GENERAL LIABILITY 7RS68869400 06/05/98 06/05/99 GENERAL AGGREGATE S 2000000 X COMMERCIAL GENERAL LIABILITY PRODUCTS-COMP/OP AGG $ 2000000 CLAIMS MADE a OCCUR PERSONAL&fCDV INJURY $ 1000000 OWNER'S&CONTRACTOR'S PROT - EACH OCCURRENCE $ 1000000 FIRE DAMAGE(Any one fire) $ 100000 MED EXP IAny one person) $ 10000 • AUTOMOBILE LIABILITY 7RS68869400 06/05/98 06/05/99 ANY AUTO T„�, A ry ,�„ {{ COMBINED SINGLE LIMIT $ 1000000 ALL OWNED AUTOS BODILY INJURY S SCHEDULED AUTOS (Per person) X HIRED AUTOS <--i Y - - BODILY INJURY $ X NON-OWNED AUTOS (Per accident) H - - PROPERTY DAMAGE $ GARAGE LIABILITY AUTO ONLY-EA ACCIDENT S ANY AUTO OTHER THAN AUTO ONLY: EACH ACCIDENT S AGGREGATE S EXCESS LIABILITY EACH OCCURRENCE S UMBRELLA FORM AGGREGATE 9 OTHER THAN UMBRELLA FOAM 9 - B WORKERS COMPENSATION AND 76A00753400 06/05/98 06/05/99 WCRY LIMITS ER sTATu- oTH- EMPLOYERS'LIABILITY EL EACH ACCIDENT S 1000000 THE PROPRIETOR/ INCL EL DISEASE-POLICY LIMIT 9 1000000 PARTNERS/EXECUTIVE ` OFFICERS ARE: EXCL EL DISEASE-EA EMPLOYEE S 1000000 OTHER DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES/SPECIAL ITEMS RE: BUILDING SAFETY PLAN CHECK SERVICES, CERTIFICATE HOLDER, ITS AGENTS,OFFICERS AND EMPLOYEES ARE INCLUDED AS ADDITIONAL INSURED AS RESPECTS GEN.LIA. PER ATTACHED CO. FORM. G1=R ....... SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE CITY OF HUNTINGTON BEACH EXPIRATION DATE THEREOF, THE ISSUING COMPANY WILLIBOLVEM MAIL ATTN: ROSS CRAMMER 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT. 2000 MAIN STREETNM HUNTINGTON BEACH, CA 92648 AUTHORIZED REPRESENT TIVE .. :. ....:........................... . T : : ..: . diIre: s ::.:::: ::..:::::::::.::.:: .:.: ::::::. .::::::.:: ::: as.................................................................................... .....................................:............:............:.........:..................:..:.:::9.J � f1 ....:....................................... r Aa ee Comm ,be„t,ilea Y.-W THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY_ ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS (FORM B) This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Name of Person or Organization: CITY OF HUNTINGTON BEACH BUILDING SAFETY PLAN CHECK SERVICES ATTN: ROSS CRANME�R - - 2000 MAIN ST. ' HUNTINGTON BEACH, CA 92648 'If no entry appears above, information required to complete this endorsement will be shown.in the Declara- ions as applicable to this endorsement.) /VHO IS AN INSURED (Section 11) is amended to include as an insured the person or organization shown in he Schedule, but only with respect to liability arising out of your ongoing operations performed for that in- ured. endorsement is a part of your policy and takes effect on the effective date of your policy, unless another effec- late is shown below. .Kest Be Completed FComplete Only When This Eadarsement Ir.vot Prepared with the Pblicy Or_Is Not to be Effective with the Pallcy Ot NO• Poucr NQ ISSUED TO EFFEGTNE oATE OF 7RS68869400 SCOTT FAZEKAS & ASSOCIATES, INC. THIS HIS t:ENONoaRSEMENr 6-5-98 iu"W cawafly campaay t', americaa Casaatrr Campaay if Radial. Pa. n- Nan al Fire inwnAm Coatpaoy of Harirard csportataa lasuraace camFuty r! V&Uy Fargo(r=raacc Campaay Cl YanscaMieieatal lasaaccce COMPaay n cauatemigned by �r - Au Holt R encatire 3 07-30-98 09:56 2 6196791374 SCOTT FAZEKAS B 004 CORD �{ oA 90 W re IMiiTio0"vVl PRODUCER 619.231-1010 THIS CERTIFICATE 18 ISSUED AS A MATTER OF INFORMATION John Burnham & Company ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE 61(3 West Ash Street HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. P.O. Box"2910 COMPANIES AFFORDING COVERAGE___`_ San Diego, CA 92112-4215 COMPANY — M� A CONTINENTAL CASUALTY INS COtVOS INSURED COMPANY B Scott Fezekas & Associates, Inc. COMPANY ---_----_ --1—_------ ATTN: Scott Fazekes _C___ 16583 Harrow Lane owa CA 92064 Ik,M. - "1'( t } --..:. iI ).":.::: ` ' I- '{-r't" *„�°•R , 'n7 'p .w L- M:P.�LCi ." r'. xw::::. iw��`Z�q-h ,1!{'N Y.1.7..".._M..p kS: L'�iRS r•-_ M,7MRN' L�i•S`rt� -.���: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED, NOTWIT14STANDING ANY REOUIREMENT,TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH T14I9 CERTIFICATE MAY OF ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN ►S SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. CO TYPE Of INSURANCE POLICY NUMBER POLICY EFFECTIVE POLICY EXPIRATION - LIMITS Lyn DATE(MMMOITYI DATE(MMIDDIVYi GENERALLIARBJTY O6NERAL AOOREOATE e COMMERCIAL OF.NeAAI.LIADMITY PRODU_C_T$•COMP/OP.AGO e_ CLAMN MART. OCCUR PER60NAL&AOV INJURY, e OWNER')6 CONTNACTOW0*07 _ EACH OCCURRENCE -e .,__..... .-..+...��._�. FIRE OA_AAA_OE IAnY one"Ll MEP EXP jAny ono•mew, a ^• AUTOMOBILE LIABILITY _ ANY AUTO �v� COMBINED DINGLE LIMIT• e•—_-_-- 1 ALL 0WNE0 AUTOS r — �'' OODILV INJURY _ RC14EDULID AUTON - IPa pae0nl IRAEO mplos BODILY INJURY --T_�--^ - NDN•OWNEOAII)Oh Y IPer M•ChIAn11 e - -��—_ - - .. ,�1 •'7,• I PROPERTY OAMAOE e . QANAO[LIABILITY _l AUTO ONLY•EA ACCIDENT e ANV AV 10 "• ;j OTHER THAN AUTO ONLY: ' AQOREQATE e - EXCEBB►IADII.II Y VMBRDLI.A 1`0110M Ai0RE0ATE e OTHER THAN UMBRELLA FORM - e WC ST4TU. O H- WORKERS QOMFENEATION AND EMPLOV9RE•LIABILITY _EL EACH ACCIDENT___ e TNR PROPRI@TOR, _ INCI. EL 016EA6Ew0UCY LIMIT a ---_— F4RTN[R&/[X[C uhvE - — ...„....._.—.�r— OPFICF,RS ARE: _ r:XC.L EL DISEASE•EA EMPLOYEE e A OTRER SFN 113970938 6105/96 6/05/99 PROFESSIONAL. 1,000,000 EACH CLAIM LIMIT LIABILITY 1,000.000 ANNUAL AOOREQATE LMT I 1,000 DEDUCTIBLE PER CLAIM DESCRIPTION OF OPERA?HINDILUOATK R$tvtt11CLEE/SIECIAL ITEM&. - ALL OPERATIONS OF NAMED INSURED sari :.; ;Npa Y �:� ►., 1� y, ,w*<, >rsp}► CITY OF HUNTINGTON BEACH SHOULD ANY OF THE ABOVE DEECMDEO POL(CI[E BE CANCELLED BEFORE THE y EXPIRATION DATE THEREOF: TIID IE6UINO COMPANY WILL f�fXNK)6 MAIL ATTN: ROSS CRANMER 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE MOLDER MAIM TO TMB LQT, 2000 MAIN ST, AKKUMUN � r �e�xX�BZfdf� fiX>M>K�Ii+X,lf HUNTINGTON BEACH, CA 92648 AX'xx K' "m x)EKX"*yAxm"if"" AUTHORIZED REPREEENTjO IVE �.11u�K�•��2 .1N}7 I: �. RCA ROUTING SHEET INITIATING DEPARTMENT: Building & Safety Department SUBJECT: Contract Services for Plan Review and Staffing COUNCIL MEETING DATE: November 16, 1998 RCA ATTACHMENTS STATUS Ordinance (w/exhibits & legislative draft if applicable) Not Applicable Resolution (w/exhibits & legislative draft if applicable) Not Applicable Tract Map, Location Map and/or other Exhibits Not Applicable Contract/Agreement (w/exhibits if applicable) (Signed in full by the City Attome Attached Subleases, Third Party Agreements, etc. (Approved as to form by City Attome Not Applicable Certificates of Insurance (Approved by the City Attome Attached Financial Impact Statement (Unbudget, over $5,000) Not Applicable Bonds (If applicable) Not Applicable Staff Report (If applicable) Not Applicable Commission, Board or Committee Report (If applicable) Not Applicable Findings/Conditions for Approval and/or Denial Not Applicable EXPLANATION FOR`MISSING ATTACHMENTS --REVIEWED RETURNED FOR, DED Administrative Staff Assistant City Administrator Initial City Administrator Initial City Clerk EXPLANATION FOR RETURN OF ITEM: Space . Only) RCA Author: Debra Gilbert 0 a&,..- Zell, Council/Agency Meeting Held: _ s1��9-7 606.10 ChaWYLa,-d&M.Lg Deferred/Continued to: 7� approved ❑ Conditionally Approved ❑ Denied City ClerOal Signature - o Council Meeting Date: +245/99 � ��1Department ID Number: CDU 6:E CITY OF HUNTINGTON BEACH �m N REQUEST FOR COUNCIL ACTION "'m mt,r"rn C- SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS C ._,, : SUBMITTED BY: RAY SILVER, Acting City AdministratorG�R� PREPARED BY: MELANIE S. FALLON, Director of Community Development IOZA�# SUBJECT: Authorization to Use Budgeted Contract Funds and Existing Contracts with SFA, Inc. and EsGil, Inc.--To Perform Plan Review and Staffing Services Statement of Issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachment(s) IF Statement of Issue: Within the Community Development Department, the Building and Safety Division staffs the building counter, performs health and safety plan reviews and provides customer friendly inspection services for our community. The applicants who submit projects to the City pay fees for these services and expect reasonable service levels. The demand for these services vary due to the fluctuations in construction activity. In. order to continue to deliver our services when construction activity is high, we rely on cost effective outside firms to augment our professional staff. The two (2) firms, SFA, Inc. and EsGil, Inc., are well respected in the industry and each firm continues to provide exceptional services for Huntington Beach. Both firms also work exclusively for government agencies thus do not have any conflict of interest with private developers. Funding Source: The contract services would be financed by the $275,500 budgeted under contract services in the 97/98 Budget for Building and Safety. Recommended Action: Motion to: "Approve and authorize the use of budgeted contract funds in Program CD-234 to provide professional plan review and staffing services, using existing contracts with SFA, Inc. and EsGil, Inc." R�QUEST FOR COUNCIL ACTS MEETING DATE: 12/15/97 DEPARTMENT ID NUMBER: CD97-63 Alternative Action(s): The City Council may make the following motion: 'Deny the use of budgeted contract funds for outside professional services and service the increase in construction activity with a dramatic reduction in staffing levels." Analysis: The ability of the Building and Safety Division to provide counter, plan review and inspection services continues to be hampered by the substantial increase in construction activity. This increase in activity is primarily due to new residential construction in the Holly Seacliff development area and large commercial projects in remaining open areas. We have been utilizing contract services to satisfy the increase in demand for both plan review and staffing services. EsGil, Inc. and SFA, Inc., continue to provide these contract services in a timely and professional manner. EsGil, Inc. has provided plan reviews at their place of business and their existing contract is in Attachment #1. SFA, Inc. has also provided plan review services and additionally they provide leased staff services under their existing contracts in Attachments #2 and #3. The contracts are still active and both firms have indicated that the terms are still acceptable as noted in their letters in Attachment #4. As in the past the cost for providing the plan review services is calculated as a percentage of the fees we collect. The percentages that most firm's charge varies from 49% to 60% of the building permit fee. Attachment #5 shows the three (3) informal proposals for this service. In contrast to plan review, our other service needs cannot be provided away from City Hall. As noted we continue to utilize SFA, Inc., to provide leased staff in City Hall to perform counter, inspection and misc. services. This service is cost effective since the hourly rates are substantially lower than contract professional services and the City is not obligated to maintain peak staffing when the construction activity declines. Environmental Status: NA CD97-63.DOC -2- 11/20/97 2:10 PM ROQUEST FOR COUNCIL ACTIA MEETING DATE: 12/15/97 DEPARTMENT ID NUMBER: CD97-63 Attachment(s): City Clerk's Page Number No. Description 1. Existing Contract with EsGil, Inc. for Plan Review Services 2. Existing Contract with SFA, Inc. for Plan Review Services 3. Existing Agreement with SFA, Inc. for Staffing Services 4. Letters from EsGil, Inc. and SFA, Inc. 5. Summary of Informal Proposals for Plan Review Services 6. Current Approved Insurance Certificates. RCA Author: Ross Cranmer CD97-63.DOC -3- 11/19/97 9:25 AM .......... ........................... .. ......................... ... . ..................................... ........................... AT' EN T 2 ............. PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS &ASSOCIATES FOR PLAN REVIEW SERVICES Table of Contents SECTION PAGE 1 Designation of Contractor........................................................................................2 2 Conflict of Interest....................................................................................................2 3 Work to be Performed by Consultant and Compensation........................................2 4 Work to be Performed by the City ...........................................................................4 5 Extra Work...............................................................................................................4 6 Service Level Goals..................................................................................................5 7 Work Day Definition................................................................................................5 8 Method of Payment..................................................................................................5 9 Performance Documentation....................................................................................5 10 Non-Assignability ....................................................................................................6 11 Final Decision Authority..........................................................................................6 12 Termination..............................................................................................................6 13 Notices.......................................................................................................................6 14 Immigration..............................................................................................................7 15 Legal Services Subcontracting Prohibited................................................................7 16 Indemnification and Hold Harmless.........................................................................7 17 Workers' Compensation...........................................................................................7 18 Insurance...................................................................................................................8 19 Certificates of Insurance; Additional Insured Endorsements...................................8 20 Independent Contractor............................................................................................9 21 Copyrights/Patents....................................................................................................9 22 City Employees and Officials 9 23 Attorney's Fees 9 24 Entirety 10 PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS ASSOCIATES FOR PLAN REVIEW SERVICES THIS AGREEMENT, made and entered into this 6th day of January , 1996, by and between the City of Huntington Beach, a municipal corporation of the State of California, hereinafter referred to as "CITY," and Scott Fazekas Associates, a California corporation, hereinafter referred to as "CONSULTANT." WHEREAS, CITY desires to employ the services of a consultant to provide plan review services involving ministerial code review for proposed building construction plans; and CITY desires to implement a high level of professional and technical plan review services at a cost less than the fees paid by the permit applicants; and CITY wishes to avoid conflict of interest problems by contracting with a corporation that performs no work for the private sector and provides services exclusively to government entities; and CITY wishes to contract with a firm directed by persons having experience and knowledge in the interpretation and application of complex regulations providing for protection of the public; and CITY desires to contract with a firm presently successfully providing plan review services to government agencies; and CONSULTANT's plan review engineers, supervisors and managers are all highly credentialed engineers with many years of regulatory plan review experience; and CONSULTANT is willing to enter into a contract with the CITY to provide plan review services to the CITY in accordance with this contract; and Pursuant to documentation on file in the office of the City Clerk, the provisions of Huntington Beach Municipal Code Chapter 3.03 relating to procurement of professional service contracts has been complied with; and CONSULTANT has been selected to perform said services, NOW, THEREFORE, it is agreed by CITY and CONSULTANT AS FOLLOWS: 1 4/s:PCD:Agree:Razekas 11/15/96 RiS 96-755 Section 1. DESIGNATION OF CONTRACTOR. CONSULTANT hereby agrees to provide professional services for the review of proposed building plans for conformance to regulations contained in the state mandated building, plumbing, mechanical and electrical codes, as those codes are adopted by the CITY; to perform additional work when requested by CITY; and to perform all of the above described work in accordance with the terms and conditions hereinafter set forth, when requested by the Building Official or his designated representative. Section 2. CONFLICT OF INTEREST. CONSULTANT expressly affirms that it nor any of its officers or directors will perform work or provide services to entities other than government entities during the time this Agreement is in force in order to insure the CITY that the CONSULTANT will not have a conflict of interest in discharging the work covered by this Agreement. Section 3. WORK TO BE PERFORMED BY CONSULTANT AND COMPENSATION A. Plan Review Services Scope of Work. CONSULTANT shall: 1. Perform traditional preliminary plan review consultations in its main office by meetings or by telephone. 2. Perform traditional initial plan review of submitted plans to determine compliance with certain uniform codes as adopted by CITY, including: Uniform Building Code Uniform Plumbing Code uniform Mechanical Code National Electrical Code California State,Title 24 (Energy.Conservation; and Disabled Access) Noise Attenuation and local requirements Federal Flood Plain Regulations (FEMA) 3. Provide the applicant's designee and the CITY a list of items needing clarification or change to achieve conformance with the above regulations. 4. Perform all necessary liaison with the applicant's designee, by telephone, fax, mail or meeting in its main office, and perform all necessary rechecks to achieve conformance to the regulations. 2 4/s:P C D:A gree:Raze k as 11/13/96 RLS 96-755 5. Perform all necessary liaison with the Building Official or his designee, by mail, telephone, fax or in its main office, to insure compliance with the Uniform Administrative Code (UAC) U.B.C. Sections 105 and 106 and to insure compliance with local policy interpretations. 6. Perform plan reviews of revisions to plans that have previously been approved for permit issuance. . 7. Perform extra work when requested in writing by CITY: 8. Attend meetings related to proposed building projects at the request of the Building Official at locations other than its office. B. Compensation for Plan Review Services 1. Compensation for each plan reviewed pursuant to this Agreement shall be 49% of the building permit fee calculated per Table 3A of the 1991 Uniform Administrative Code for each building plan checked. The construction valuation shall be based on the most recent valuation multiplier published by the International Conference of Building Officials in Building Standards or on the architect's estimated construction cost, or on the Building Official's cost estimate. The value shall include a proposed construction as defined in Uniform Administrative Code Section 304. Plan check fee for repetitive identical buildings shall be 49% of the building permit fee as noted above for the first, or basic building, and 14% of the building permit fee for each additional building. The single fee includes all rechecks, plan check conferences at CONSULTANT's office, reviewing plans that are initially found to be incomplete and for the transmitting of plans back to the jurisdiction. The minimum CONSULTANT fee for any proposed project plan review shall be one hundred dollars ($100.00). 2. Compensation for plan reviews of reviews to plans that have previously been approved for permit issuance, pursuant to Section 3(A)(6) of this Agreement, shall be calculated pursuant to Section 3(B)(1) of this Agreement or shall be $75.00 per hour. The method of calculating compensation for each such plan reviewed shall be as agreed to in writing by the Building Official and CONSULTANT. 3 4/s:PCD:Agree:Razekas 11/15/96 RLS 96-755 m 3. Compensation for extra work performed pursuant to Section 3(A)(7) of this Agreement shall be $75.00 per hour. Section 4. WORK TO BE PERFORMED BY THE CITY The CITY shall perform the following work: A. Arrange and pay the cost of shipping one set of plans and documents to the CONSULTANT's office. B. Obtain from the applicant, at the time of the project submittal,the necessary items to allow plan review to be completed in the shortest overall time frame. Necessary items include,but are not limited to, complete plans, construction specifications, soil reports, Title 24 energy calculations, structural calculations,the name and address and telephone number of the applicant's designated contact person and similar items that may be unique to a particular project. C. Provide the valuation for the proposed construction or instruct the CONSULTANT to calculate the valuation in accordance with Section 3(B)(1) of this Agreement. D. Provide the CONSULTANT with copies of any CITY ordinances that modify the regulations listed in Section 3(A)(2) of this Agreement. E. Collect sufficient plan check fees or deposits from project applicants to ensure the CITY will not suffer a loss if the applicant decides to abandon the permit process after the CONSULTANT has completed this initial plan check. Section 5. EXTRA WORK The CONSULTANT shall not perform extra work without written authorization from the Building Official or his designated representative. 4 4/s:PCD:Agree:Razekas 11/13/96 RLS 96-755 • m • Section 6. SERVICE LEVEL GOALS The CONSULTANT agrees to provide adequate resources to achieve the following service delivery goals for timely performance of the work over which the CONSULTANT has decision authority: ITEM SERVICE GOAL A. Buildings less than four stories A. Complete initial plan review in and of normal complexity. less than twelve (12) work days. B. Buildings four or more stories B. Complete initial plan review in in height or of unusual less than fifteen (15) work days complexity. or as agreed by the CITY's Building Official and CONTRACTOR. C. Residential and minor building C. Complete initial plan review in projects. less than eight (8)work days. Service level goals are subject to modification upon mutual agreement of CONSULTANT and CITY. Section 7. WORK DAY DEFINITION For the purpose of measuring performance, the work days specified in Section 6 of this Agreement exclude the day plans were received and include the day a plan review has been completed. Work days do not include Saturdays, Sundays, or CITY holidays. Section 8. METHOD OF PAYMENT CONSULTANT shall submit after the first work day of each month the invoice for initial plan reviews performed during the prior month. Payment of approved items on the invoice shall be mailed to the CONSULTANT within thirty (30) days after the date the invoice was submitted. Payments not made within the above time frame shall, when paid, be increased one and one-half percent per month, or portion of a month, for each month the payment was delayed. Any disputed invoices shall be brought to CONSULTANT's attention within ten (10) days of receipt. Section 9. PERFORMANCE DOCUMENTATION CONSULTANT shall note on the plan review correspondence to the CITY: 5 4/s:PCD:Agree:Razekas 11/13/96 RLS 96-755 A. The day of the week and the date the plans were received; B. The day of the week and the date the initial plan-review was completed; C. The day of the week and date the applicant's designee was notified that the initial plan review was completed;.and D. The calculated number of work days to complete the initial plan review. Section 10. NON-ASSIGNABILITY This agreement is for the professional services of CONSULTANT and is non- assignable without the prior written consent of the CITY. Section 11. FINAL DECISION AUTHORITY The CITY's Building Official shall have final decision authority over the results of the plan review by the CONSULTANT and all work performed by the CONSULTANT shall be to the satisfaction of the Building Official. In instances where the permit applicant takes exception to the CONSULTANT's interpretation of the regulations,the Building Official shall render a final decision.utilizing, if deemed appropriate, the resources of the City Attorney and/or the Board of Appeals. Section 12. TERMINATION Either party may terminate this Agreement,with or without cause,by providing thirty (30) days written notice to the other party. Section 13. NOTICES Any notice or special instructions required to be given in writing under this Agreement shall be given either by personal delivery to CONSULTANT's agent(as designated in Section 1 hereinabove) or to CITY's Director Community Development 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, addressed as follows: TO CITY: TO CONSULTANT: Ross Cranmer, Building Official Department of Community Development Scott Fazekas and Associates City of Huntington Beach 5 Corporate Park, Suite.160 2000 Main Street, 3rd Floor Irvine, CA 9M4 Huntington Beach, CA 92648 6 4/s:PMAgree:Razekas 11/15/96 RLS 96-755 Section 14. 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. Section 15. 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 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. Section 16. INDEMNIFICATION AND HOLD HARMLESS CONSULTANT hereby agrees to indemnify, defend, and hold and save harmless CITY, its officers and employees from any and all liability, including any claim of liability and any and all losses or costs arising out of the negligent performance of this Agreement by CONSULTANT, its officers or employees. Section 17. WORKERS' COMPENSATION CONSULTANT shall comply with all of the provisions of the Workers' Compensation Insurance and Safety Acts of the State of California, the applicable provisions of the California Labor Code and all amendments thereto; and all similar state or federal acts or laws applicable; and shall indemnify, defend and hold harmless CITY from and against all claims, demands, payments, suits, actions,proceedings and judgments of every nature and description, including attorney fees and costs presented,brought or recovered against CITY, for or on account of any liability under any of said acts which may be incurred by reason of any work to be performed by CONSULTANT under this Agreement. CONSULTANT shall obtain and furnish evidence to CITY of maintenance of statutory workers' compensation insurance and employers liability in an amount of not less than $100,000 bodily injury by accident, each occurrence, $100,000 bodily injury by disease, each employee, and $250,000 bodily injury by disease, policy limit. 7 4/s:PCD:Agree:Raze kas 11/13:96 RLS 96-755 r • • Section 18. INSURANCE In addition to the workers compensation insurance and CONSULTANT's covenant to indemnify CITY, CONSULTANT shall obtain and furnish to CITY, a policy of general public liability insurance, including motor vehicle coverage, covering the work to be performed by CONSULTANT pursuant to this Agreement. Said policy.shall indemnify CONSULTANT, its officers, agents and employees, while acting within the scope of their duties, against any and all claims of arising out of or in connection with this Agreement, and shall provide coverage in not less than the following amount: combined single limit bodily injury and property damage, including products/completed operations liability and blanket contractual liability, of$1,000,000 per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, the aggregate limit must be no less than $1,000,000. Said policy shall name CITY, its officers, and employees as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable shall be deemed excess coverage and that CONSULTANT's insurance shall be primary. Under no circumstances shall said abovementioned insurance contain a self-insured retention, or a"deductible" or any other similar form of limitation on the required coverage. Section 19. CERTIFICATES OF INSURANCE: ADDITIONAL INSURED ENDORSEMENTS Prior to commencing performance of the work hereunder, CONSULTANT shall furnish to CITY certificates of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverages as required by this Agreement; said certificates shall: 1. provide the name and policy number of each carrier and policy; 2. shall state that the policy is currently in force; 3. shall promise to provide that such policies will not be canceled or modified without thirty (30) days prior written notice of CITY; and 4. shall state as follows: "The above detailed coverage is not subject to any deductible or self-insured retention, or any other form of similar type limitation." CONSULTANT shall maintain the foregoing insurance coverages in force until the work under this Agreement is fully completed and accepted by CITY. The requirement for carrying the foregoing insurance coverages shall not derogate from the provisions for indemnification of CITY by CONSULTANT under the Agreement. CITY or its representative shall at all times have the right to demand the original or a copy of all 8 Vs:PCD:Agree:Razekas 11/H/96 RLS 96-755 said policies of insurance. CONSULTANT shall pay, in a prompt and timely manner, the premiums on all insurance hereinabove required. A separate copy of the additional insured endorsement to each of CONSULTANT's insurance policies, naming the CITY,its off cers and employees as Additional Insureds shall be provided to the City Attorney for approval prior to any payment hereunder. Section 20. INDEPENDENT CONTRACTOR CONSULTANT is, and shall be, acting at all times in the performance of this Agreement as an independent contractor. CONSULTANT shall secure at its 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 services to be performed hereunder. Section 21. 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. Section 22. 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 aC lifornia Government Code. Section 23. ATTORNEY'S FEES In the event suit is brought by either party to enforce the terms and provisions of this agreement.or to secure the performance hereof, each party shall bear its own attorney's fees. 9 4/s:PC D:Agree:Razekas 11/13/96 RLS 96-755 I Section 24. ENTIRETY The foregoing, and Exhibit "A": attached hereto, set forth the entire Agreement between the parties. IN WITNESS WHEREOF,the parties hereto have caused this Agreement to be executed by and through their authorized offices the day, month and year first above written. CONSULTANT: CITY OF HUNTINGTON BEACH, A SCOTT FAZEKAS AND ASSOCIATES municipal corporation of the State of a California corporation California By: fZ, F, k Mayor print name ITS: (circle one)Chairm residen ice President ATTEST: AND ')�k C� q CU City Clerk BY: APPROVED AS TO FORM: print name ITS: (circle one) ecret Chief Financial Officer/Asst. Secretary-Treasurer City Attorney c REVIEWED AND APPROVED: INITIATED AND APPROVED: • ,Y C" Administrator Director of Communi evelopment 10 4/s:PCD:Agree:Razekas 11/15/96 RLS 96-755 ............................ ................................................... ............... ................. .... ............ ............... ............. ...... ------ ....... ...... ....... ...... ..... ..... ...... ..... ..... .... .... ..... ... ... ...... .. ....... .. ........ TTACHMEN`� . ............... AGREEMENT TO PROVIDE STAFFING SERVICES BETWEEN THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS &ASSOCIATES, INC. Table of Contents Section - PaQe 1 Definitions 1 1.1 "Current Payroll" 1 1.2 "Employees" 2 1.3 "Employee Tax Forms" 2 1.4 "Employer Tax Forms: 2 1.5 "Payment Due Date" 2 1.6 "Pay Period" 2 1.7 "Payroll" 2 2. Implementation 3 2.1 Relationship of Parties 3 2.2 Terms of Agreement 3 2.3 Specifications of Services and Approval of Compensation 3 2.4 Changes and Adjustments in Payroll 3 2.5 Employer Duties of SFA 4 2.6 Duties of CITY 4 2.7 Workers' Compensation, Health, and Other Benefits 4 3 Compensation 5 3.1 Fee 5 3.2 Payment Address 5 3.3 Terms of Compensation 5 4 Supervision of Employees 5 5 Indemnification 6 6 Insurance 6 7 Certificates of Insurance 7 8 General Provisions 8 8.1 Representation 8 8.2 Legal Action 8 8.3 Assignment 8 8.4 Audit 8 8.5 Title 8 8.6 Severability 9 8.7 Legal Services Subcontracting Prohibited 9 8.8 Extent of Agreement 10 Exhibit A 11 Tk\G:Agree:Fazeka&11115196 RLS 96-811 AGREEMENT TO PROVIDE STAFFING SERVICES BETWEEN THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS &ASSOCIATES, INC. THIS AGREEMENT is made and entered into this 6t-h day of ,Tanuary , 19 , by and between the City of Huntington Beach, hereinafter referred to as 'CITY', and SCOTT FAZEKAS & ASSOCIATES, INC., hereinafter referred to as "SFA." WHEREAS, SFA is a California corporation which provides the services of its employees to government agencies for the purpose of discharging the responsibilities of government agencies; and CITY has engaged the personal services of certain persons as its employees; and Economic reasons exist which make it in the best interests of CITY to discharge certain of its responsibilities through the use of SFA employees; NOW, THEREFORE, in consideration of the promises, covenants, and warranties hereinafter set forth, the parties hereto mutually agree as follows: 1. DEFINITIONS All terms used in this.Agreement shall have the customary meaning afforded such terms unless the same are used in a technical or business context, in which event such terms shall have the technical and/or special meaning normally afforded such terms within the particular trade, industry, or business to which they relate. The following are the definitions of special terms used herein: 1.1 "Current Payroll" means the payroll set forth on attached Exhibit A and incorporated by this reference. 1.2 "Employees" means those individual persons who are subject to the terms of this Agreement and whose services are identified on attached Exhibit A incorporated by this reference. 1 7TZG:AgrecFazekas/1115196 RCS 96-811 m 1.3 "Employee Tax Forms" means all forms applicable to the payroll which are required by United States, state, and local governments to be provided by an employer to an employee, including U.S. Department of the Treasury, Internal Revenue Service Form W-2 (Wage and Tax Statement) and Form W-4 (Employee's Withholding Allowable Certificate) and Form 1099 (as and if applicable), as well as comparable and/or counterpart forms prescribed by the state and/or local government in which employees are performing services pursuant to this Agreement. 1.4 "Employer Tax Forms" means all forms required to fully and properly report the payroll to the United States, state and/or local governments, including United States Department of the Treasury; Internal Revenue Service Form 941 (Employer's Quarterly Federal Tax Return for Federal Income Tax Withheld from Wages and for Federal Insurance Contributions Act Taxes), Form 940 (Employers Annual Federal Unemployment Tax Return), and comparable and/or counterpart forms prescribed by the state and/or local government in which employees are performing services pursuant to this Agreement. 1.5 "Payment Due Date" means any date on or before the last day of each payroll period. 1.6 "Pay Period" means the interval between payments to employees. 1.7 "Payroll" means the total payroll applicable to all employees and includes the aggregate of net compensation to employees, federal withholding taxes, state and local (if any) withholding taxes, employer and employee costs pursuant to the Federal Insurance Contributions Act, employer costs pursuant to the Federal Unemployment Tax Act, employer costs for state unemployment taxes (if any), employer costs pursuant to the Voluntary Compensation Plan (if any), and employer listed service fees (as applicable). 2 Tk\G:Agri:Fazekas/11/3/9 5 RLS 96-911 2. IMPLEMENTATION 2.1 Relationship of Parties. Effective at the commencement of business on the. day of , 19 , SFA will provide to CITY those of its employees who are qualified to perform the services identified on attached Exhibit A and CITY hereby accepts such employees on the terms and conditions provided in this Agreement. 2.2 Term of Agreement. This Agreement and the rights and obligations of CITY and SFA shall commence on the effective time and date specified in paragraph 2.1 and shall continue until terminated. Either party may terminate this Agreement upon thirty (30) days written notice to the other party. 2.3 Specification of Services and Approval of Compensation. CITY shall specify, and by notice to SFA may accept, modify, or reject the services and/or rate of compensation of any and all employees leased to CITY in accordance with this Agreement. In the event of rejection of services and/or rejection of the rate of compensation of any employee leased to CITY, the lease made by this Agreement shall terminate as to such employee, effective upon receipt by SFA of written notice thereof. For purposes of business and financial accounting between the parties, this Agreement shall be deemed several as to each employee and shall be deemed prorated on a daily or other periodic basis necessary to give effect to the manifest intentions of the contracting parties. 2.4 Changes and Adjustment in Payroll. CITY and SFA acknowledge the payroll will vary from pay period to pay period by reason of additions, terminations, and changes in compensation rates of employees. It is further acknowledged that the payroll also may vary from pay period to pay period by reason of changes in the rate and/or amount of employee withholding and/or employer payroll contributions and/or costs of employee benefit plans and programs. It is specifically agreed that the amount of all payments coming due and 3 7Tk\G:Agee:Fazekas/11/3/9 3 RLS 96-911 owing from CITY to SFA shall be adjusted (by increase or decrease, as applicable) to the extent necessary to directly reflect such changes on a current basis. All such changes and adjustments in.payroll shall be mutually agreed by the CITY and SFA.before revised hourly rates are applied. 2.5 Employer Duties of SFA. SFA shall (1) pay all wages and other remuneration to its employees who are subject to this Agreement; (2) notify CITY of the current payroll prior to each pay period; (3) prepare and file all payroll tax returns and reports; (4) pay all amounts due and owing pursuant to the payroll tax returns and reports which are prepared and filed; (5) prepare, file, and furnish to employees applicable employee tax forms; and (6) prepare and file, with a copy to CITY, applicable employer tax forms. 2.6 Duties of CITY. CITY shall (1) provide the workplace for all employees subject to this Agreement; (2) maintain the workplace in strict accordance with applicable health and working standards and specifications; (3) comply with all safety engineering and governmental health and safety rules, regulations, directives, orders or similar requirements; (4) provide all required safety equipment; (5) for employees located in California, take all actions necessary to establish and implement an injury and illness prevention program as required by the Occupational Injury Program Act, also known as Senate Bill 198, and codified at California Labor Code § 6401.7; (6) post or provide employee notices required by law; and (7) notify SFA immediately of all.employee illnesses, accidents, injuries, and absences. 2.7 Workers' Compensation, Health, and Other Benefits. SFA maintains Workers' Compensation and Employers Liability Insurance of a form and in an amount as required by state law and CITY. Various health and other benefits are available to employees under a cafeteria plan which permits each employee to choose the type of benefits he or she will receive. 4 7\k\G:Agree:Fazekas/11/3/95 RLs 96-811 3. COMPENSATION 3.1 Fee. CITY agrees to pay within the hourly range rate established in Exhibit A on or before each payment due date. The range rates are based on current SFA costs and is subject to change when costs change due to factors which are beyond the control of SFA (such as insurance, payroll tax, etc.). Any adjustments made will be commensurate with increased costs to SFA as mutually agreed by the CITY and SFA. 3.2 Payment Address. All payments due SFA shall be paid to: SCOTT FAZEKAS &ASSOCIATES, INC. Attn: Scott Fazekas 5 Corporate Park, Suite 160 Irvine, CA 92714 3.3 Terms of Compensation. Invoices are due within 30 days of receipt. Delinquent payments will be subject to a late payment carrying charge computed at a periodic rate of 1-1/2% per month, which is an annual percentage rate of 18%, which will be applied to any unpaid balance owed commencing forty-five (45) days after the date of the original invoice. Additionally, in the event CITY fails to pay any undisputed amounts due SFA within forty-five (45) days after payment due date, then CITY agrees that SFA shall have the right to consider said default a total breach of this Agreement and the duties of SFA under this Agreement may be terminated by SFA without liability to SFA upon ten (10) working days advance written notice. 4. SUPERVISION OF EMPLOYEES CITY shall supervise the daily activities of employees. Employees shall discharge government responsibilities and perform in accordance with the ordinances, resolutions, rules, regulations, and procedures adopted by CITY. SFA shall have no control over such government responsibilities and such ordinances, resolutions, rules, regulations, and procedures. 5 7WG:Agree:Fazeka3/11/3/93 RLS 96-811 5. INDEMNIFICATION SFA shall indemnify, defend, and hold harmless CITY for the purposes of all required payroll deductions and withholdings, legally required workers' compensation insurance, and health benefits of the employees. SFA shall also indemnify, defend and hold harmless CITY for any liability arising under the Public Employees Retirement Law, asset forth in Califomia Govemment Code § 20000, et seq. However, inasmuch as the CITY shall supervise the daily activities of employees, and inasmuch as the employees will discharge government responsibilities and perform in accordance with the ordinances, resolutions, rules, regulations, and procedures adopted by CITY (1) SFA and its employees shall be entitled to all protection and immunities of government employees, including without limitation, those provided in California Government Code, Title 1, Division 3.6, Claims and Actions against Public Entities and Public Employees; and (2) CITY does release and agree to indemnify, defend and hold harmless the employees,.SFA, and SFA's agents, personnel, directors, and officers from any and all actions, claims, damages or injuries to persons or property, penalties, obligations or liabilities arising out of or related to the services performed under this Agreement. In addition, the employees, SFA, and SFA's agent, personnel,directors, and officers shall be additional named insured on CITY's insurance policies or on any self-insurance agreement. If CITY is a member of a Risk Management Agreement (RMA) or similar agreement, CITY will notify the organization responsible for RMA or similar agreement in writing that the employees, SFA, and SFA's agents, personnel, directors, and officers do not have any applicable insurance coverage. 6. INSURANCE In addition to the workers compensation insurance and SFA's covenant to indemnify CITY, SFA shall obtain and furnish to CITY, a policy of general public liability 6 7\k\G:Agee:Fazekac/11/3/9 5 RLS 96-811 insurance, including motor vehicle coverage covering the project. Said policy shall indemnify SFA, its officers, agents and employees, while acting within the scope of their duties, against any and all claims of arising out of or in connection with the project, and shall provide coverage in not less than the following amount: combined single limit bodily injury and property damage, including products/completed operations liability and blanket contractual liability, of$1,000,000 per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, the aggregate limit must be no less than $1,000,000. Said policy shall name CITY, its officers, and employees as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable to the project shall be deemed excess coverage and that SFA's insurance shall be primary. Under no circumstances shall said abovementioned insurance contain a self-insured retention, or a "deductible" or any other similar form of limitation on the required coverage. 7. CERTIFICATES OF INSURANCE; ADDITIONAL INSURED ENDORSEMENTS Prior to commencing performance of the work hereunder, SFA shall furnish to CITY certificates of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverages as required by this Agreement; said certificates shall: 1. provide the name and policy number of each carrier and policy, 2. shall state that the policy is currently in force; 3. shall promise to provide that such policies will not be canceled or modified without thirty (30) days prior written notice of CITY; and 4. shall state as follows: "The above detailed coverage is not subject to any deductible or self-insured retention, or any other form of similar type limitation." 7 7\k\G:Agra:Fazekas/11/3/95 RLS 96-811 SFA shall maintain the foregoing insurance coverages in force until the work under this Agreement is fully completed and accepted by CITY. The requirement for carrying the foregoing insurance coverages shall not derogate from the provisions for indemnification of CITY by SFA under the Agreement. CITY or its representative shall at all times have the right to demand the original or a copy of all said policies of insurance. SFA shall pay, in a prompt and timely manner, the premiums on all insurance hereinabove required. 8. GENERAL PROVISIONS 8.1 Representation. A CITY representative shall be designated by the CITY and an SFA representative shall be designated by SFA as the primary contact person for each party regarding performance of this Agreement. The following are the designated representatives: Scott Fazekas for SFA Ross Cranmer for the City of Huntington Beach 8.2 Legal Action. Should either party to this Agreement bring legal action against the other, the case shall be handled within the County where CITY is located, and the party prevailing in such action shall be entitled to reasonable attorneys' fee which shall be fixed by the judge hearing the case and such fee shall be included in the judgment. 8.3 Assignment. This Agreement shall not be assignable by either party without the prior written consent of the other party. 8.4 Audit. CITY shall have the right to audit and inspect SFA records and accounts covering costs under this Agreement for a period of two years after termination of the Agreement. 8.5 Titles. The titles used in this Agreement are for general reference only and are not part of the Agreement. 8 7Tk1G:Agrce:Faukas/11/3/95 RLS 96-811 m 8.6 Severability. Should any provision of this Agreement be determined to be unenforceable, such determination shall not affect the remaining provisions. 8.7 Legal Services Subcontracting Prohibited. SFA and CITY agree that CITY is not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly outside the scope of services contemplated hereunder. SFA 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 SFA. REST OF PAGE NOT USED 9 7\k\G:Agree:Fazekav/11/3/93 RLS 96-811 8.8 Extent of Agreement. This Agreement represents the entire and integrated Agreement between CITY and SFA and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be modified or . amended only by a subsequent written agreement signed by both parties. IN WITNESS WHEREOF, the parties hereto have executed.this Agreement as of the date and year first above written. SCOTT FAZEKAS &ASSOCIATES, INC. CITY OF HUNTINGTON BEACH, A a California corporation municipal corporation of the State of California By: print name ITS: (circle one)Chairma Presiders ice President Mayor By: TTEST: print name City Clerk `%� ITS: (circle one Secrete Chief Financial Officer/Asst. Secretary-Treasurer APPROV D AS TO FORM: i c ,— REVIEWED AND APPROVED: City Attorney 1t 1 If. '14-.5 b C-CAE U'�, C6 Administrator INITIATED AND APPROVED: Y Director of Communi y Development 10 Tk\G:Agra:Faukas/11/3/9 3 RLS 96-911 Exhibit A SERVICES Services included.in this Agreement by and between the CITY OF HUNTINGTON BEACH and SCOTT FAZEKAS &ASSOCIATES, INC., are listed below: Service 1: Plan Check Services: Hourly Billing Rate Range: $40.00 to $70.00 per hour* Service 2: Inspection Services Hourly Billing Rate Range: $24.00 to $45.00 per hour' Service 3: Management Services Hourly Billing Rate Range $40.00 to $70.00 per hour' Service 4: Counter Services Hourly Billing Rate Range $15.00 to $30.00 per hour' Service 5: Planning Services Hourly Billing Rate Range $30.00 to 70.00 per hour' *It is understood that employees providing services will be driving city vehicles for any field assignments. If the employees use a personal car on such assignments, billing to the City of Huntington Beach will be at the rate of $0.36/mile. Exhibit A 7\k\G:Agcee:Fazekas/11/3/9 S RLS 96-911 ................................................................................................................... A............................ TTACHM............ E .:..:..:..........:.: 4..................................................................................................... S17AScoott Fnzelrns & Associntes, Inc. Building Safety for Government November 10, 1997 Ms. Debra Gilbert Senior Analyst Community Development Department City of Huntington Beach 2000 Main Street Huntington Beach, CA 92648 Subject: Building Plan Review Contract Dear Ms. Gilbert: I am writing in response to your request for additional information regarding SFA's employees and work practices. The responses are numbered in accordance with your letter. 1. Scott Fazekas &Associates, Inc. (SFA) does no private design work or work for the private sector. We only do regulatory work for municipal agencies when so authorized by those agencies. None of SFA's employees do any private work in keeping with SFA's policy to avoid the potential for real or perceived conflicts of interest. 2. The employees providing plan review services to the City of Huntington Beach are as follows: Scott Fazekas, AIA Ted Beckwith, C.E. Ginsun Ku, S.E. David Lin, S.E. 3. SFA will notify the City of any modifications to our policy or staffing should such a change occur. 4. SFA does not desire to make any modifications to the existing Agreement and will continue to recognize the existing terms and conditions in the coming year. I hope this is responsive to your request. Please don't hesitate to call me at(714) 475-2901 if you require additional information and thank you for using SFA's services. Sincerely, SCOTT FAZEKAS &ASSOCIATES, INC. Scott R. Fazekas, AIA, CBO President 5 Corporate Park,Suite 160, Irvine,CA 92714•714/475-2901 •FAX 714/553-0935 An Equal Opportunity Employer ATTACHMENT 5 Summary of Informal Proposals for Plan Review Services (per professional services--Chapter 3.03) Plan Review Fee (hourly fee) • International Conference of Building Officials (ICBO) 60% of Permit Fee ($75/hr) • SFA Consultants, Inc. 49% of Permit Fee ($75/hr) • EsGil Corporation 56% of Permit Fee ($87.15/hr) Selection Guidelines: (per 3.03.040) • Each of the above are well known for there quality Plan Review Services. • SFA and EsGil provide their service at a cost that is at or below the industry standard. • Both firms have staff that have provided excellent service to Huntington Beach in the past. • EsGil has an extensive staff that can handle projects when other companies are busy. pc-sent-h ATTACH M E N T 6 7 : ,..! >::::��: ::i .,.,>E: i; "'.:;f:;;:C<> :a::: . .:; :. .:.::<;: ::i:::<:: ISSUE DATE (MM/DD/YY). : :. : . _ E ._ .� _ :..::::::::>:::.:::::::::::: ::::::::: : .:: :::. : ::::.:.:: _ 06 .10 .97 PRODUCER THISERTIFICAT .l E S ISSUED AS��A MATTER�OF�INFORMATION O NLY AND CO NFERS S R NO RIGHTS UPON THE CERTIFICATE H HOLDE R.THIS CER TIFICATE -DOES NOT AWRENCE UNITED ORP. POLICIES BELOW.,EXTEND OR ALTER THE COVERAGE AFFORDED BY THE �ti,� (000. P.O. BOX 80187 COMPANIES AFFORDING COVERAGE AN DIEGO CA 92138y` � ! 1 COMPANY A CONTINENTAL CASUALTY INS . CO. y��?: l LETTER _ . `66r d�0 �Vo CDMPANY B AMERICAN MOTORISTS INS. CO. / KEMPER INSURED LETTER COTT FAZEKAS &� ®a� O COMPANY C SSOCIATES, INC. LETTER 15583 HARROW LANE �y. COMPANY D OWAY, CA 92064 LEER COMPANY E LETTER .Co . RAG ::>: .v . . s THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED NOTWITHSTANDING ANY REQUIREMENT TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS EXCLUSIONS AND CONDITIONS OF SUCH PTOLNd1ES.LIMITS SHOWAFFORDED MAY HAVE BEEN REDUCED DESCRIBED Y PAID CLLAIMSEIN IS SUBJECT TO ALL THE TERMS, O POLICY EFFECTIVE POLICY EXPIRATION TYPE OF INSURANCE POLICY NUMBER LIMITS TR ATE (MM/DD/YY) DATE (MM/DD/YY) 13 GENERAL LIABILITY 7 J J 6 10 8 10 0 1 0 6/0 5/9 7 6/0 5/9 8 GENERAL AGGREGATE $ 2 O O O O O OMMERCIAL GENERAL LIABILITY PRODUCTS—COMP/OP AGG. $ 2 , 000 , 00C LA MADE OCCUR. PERSONAL&ADV.INJURY $ 1, 000 , 00( OWNER'S&CONTRACTOR'S PROT. EACH OCCURRENCE $ 1 0 0 0 O O FIRE DAMAGE(Any one fire) $ 10 O 0 O MEO.EXP.(Any ons person) $ 5 ,00( AUTOMOBILE LIABILITY 7 J J 610 810 O 1 0 6/0 5/9 7 6/0 5/9 8 COMBINED SINGLE ANY AUTO r LIMIT $ 1 , 000 , 000 ALL OWNED AUTOS BODILY INJURY SCHEDULED AUTOS ;;;; (Per person) $ HIRED AUTOS rry n ;• ':`.: BODILY INJURY NON—OWNED AUTOSAUTOS (Per accident) $ GARAGE LIABILITY J ' p G,' i Ol si d PROPERTY;AMAGE $ EXCESS LIABILITY __ : ,' ` EACH OCCURRENCE $ UMBRELLA FORM �. V�J V AGGREGATE $ OTHER THAN UMBRELLA FORM y J 7BA11059401 /05/97 6/05/98 STATUTORY LIMITS WORKER'S COMPENSATION p,D AND EACH ACCIDENT $ 110 0 0 0 0 EMPLOYERS'LIABILITY DISEASE—POLICY LIMIT $ 1 , 000 ,00( DISEASE—EACH EMPLOYEE $ 1 ,000 . 00 OTMETROFESSIONAL SFN113970938 06/05/96 6/05/99 $1, 000,000 EA CLM. LIABILITY $1,000 ,000 ANN AGG DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES/SPECIAL ITEMS E: BUILDING SAFTEY PLAN CHECK :SERVICES / CITY OF HUNTINGTON BEACH ITS AGENTS, FFICERS AND EMPLOYEES ARE INCLUDED AS ADDITIONAL INSURED AS RESPECTS GENERAL LrIABILITY PER ATTACHED FORM. :CI ..a�IC14T1_;HOL .E . .... ........ ..... . ......... ....::::': :: AN.. , ; �`tON.>:• <:. :::°:::.: :''::::: «,'<:'�;::>:< :;::.;> SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE '> EXPIRATION DATE THEREOF,THE ISSUING COMPANY WILL "xx „ CITY OF HUNTINGTONI 'B�ACH I.; rF E1<` a I:�MAILS 30-- DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE . ATTNi. ROSS CRANMER LEFT, gI�) �A94�L 2000 MAIN . S THEET ' XN R*Mx x3Mx2wxxx9l R ADM- HUNTINGTON BEAC CA9921.6. 4;8! l? :auni�ti,RIZEDREs,:errATll►E X. :�Cp.R(1.25 S.7.1#1 ....................................::...:::..::.�:.::::..::::.::::.:::::.::::.::::.:.:..:................................................................. 4,.....:.:..:.::.:::.:;.::.:::�::;.;:::::,..�hCQFfi�:? I�t�f�ATiCSN.:��9t1 LNI;UiED INSURED: SCOTT FAZEKAS & ASSOCIATES, INC. POLICY NO. : 7JJ610 r' ADDITIONAL INS ED }' n=nai_ InsulIance camnnies THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY., This endorsement modifies insurance provided under the following: BUSINESSOWNERS POLICY I. The following provision is added to paragraph C., .- 2) "Bodily injury'or"property damage" axis- WHO IS AN INSURED, in the Liability Coverage ing out of any act or omission of the "ad- Form: ditional insured(s)" or any of their employees. Any person or organization you are required by written contract to name as an. insured (called 3) "Property damage"to: if insured") Is an insured, but only with respect to liability arising out of your premises or a) Property owned, used or occupied your work"for the"additional insured." by or rented to the "additional insured(s)"; 2. With respect to the insurance afforded these "additional insureds,"the following additional pro- b. Property in the care, custody, or visions apply: control of the "additional insured(s)" or over which the "additional in- A. The limits of Insurance provided on behalf of sured(s)" are for any purpose exer- the "additional insured" are not greater than cising physical control; or those required by such contract. In no event shall the Limits of Insurance in this Coverage c. "Your worts" for the additional Form be increased by such contract. insured(s)." B. Additional Exclusions C. With respect to "additional insureds" who are architects. engineers or surveyors, this This insurance does not apply to : insurance does not apply to "bodily injury," "property damage," "personal injury' or "ad- 1.) "Bodily injury" or "property damage" oc- vertising injury" arising out of.the rendering curring after: of or the failure to render any professional services by or for you, including: a) All work on the project to be per- formed by or on behalf of the "addi- 1) The preparing, approving, or failing to tional insured(s)" at the. site,of the prepare or approve .maps, drawings, covered operations has been com- opinions, reports, surveys, change or- pleted; or ders, designs or specifications; and b) That portion of "your work" out of 2) Supervisory, inspection or engineering which the injury or damage arises services. that has been put to its intended use by any person or organization other D. Any coverage provided by this endorsement than another contractor or subcon- shall be excess over any other valid and col- tractor engaged in performing opera- lectible insurance available to the "additional tions for a principal as a part of the insured(s)" whether primary, excess, contin- same project. gent or on any other basis. CBE ATTACttED TQ, ct1ANGE ENDORSEMENT WHEN ISSUED AFTER THE THIS ENDORSEMENT MUSTI(I POLICY IS WRITTEN. BP 86 04 (Ed. 10 90) `R j. Printed in U,S.A. I . cR Council/Agency Meeting Held: 17 Deferred/Continued to: 1J0 Approved ❑ Conditionally Approved ❑ Denied City Clerk's SignaffureT— Council Meeting Date: 1/6/97 Department ID Number: CD96-55 CITY OF HUNTINGTON BEACH REQUEST FOR COUNCIL ACTION SUBMITTED TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS SUBMITTED BY: MICHAEL T. UBERUAGA, City Administrator PREPARED BY: MELANIE S. FALLON, Director of Community Development'­n�`' SUBJECT: CONTRACT WITH SFA, INC. AND ESGIL, INC.--TO PERFORM PLAN REVIEW SERVICES and CONTRACT WITH SFA, INC. TO PROVIDE STAFFING SERVICES Statement of issue,Funding Source,Recommended Action,Alternative Action(s),Analysis,Environmental Status,Attachments) Statement of Issue: Within the Community Development Department, the Building and Safety Division staffs the building counter, performs health and safety plan reviews and provides customer friendly inspection services for our community. The applicants who submit projects to the City pay fees for these services and expect reasonable service levels. The demand for these services vary due to the fluctuations in construction activity. In order to continue to deliver our services when construction activity is high, we rely on cost effective outside firms to augment our professional staff. The two (2) proposed firms, SFA, Inc. and EsGil, Inc., are well respected in the industry and individuals within each firm have provided exceptional services for Huntington Beach in the past. Funding Source: The contract services would be financed by the $350,000, "One Time Revenues", identified in the 1996/97 Budget. The contract services would not be utilized until the anticipated revenues are collected by the City. Recommended Action: Staff Recommendation: Motion to "Approve and authorize the Mayor to execute contracts with SFA, Inc. and EsGil, Inc. to provide professional plan review services and with SFA, Inc. for staffing services, with a total amount for all three (3) contracts not to exceed $300,000. Further to appropriate $300,000 to contact services in Program CD-234, with the requirement that expenditure of the funds are only to occur after the revenues have been received by the City." Alternative Action(s): The City Council may make the following motion: "Deny the execution of the contracts for outside professional services and service the increase in construction activity with existing staffing levels." 96, E '�llp� 3,_ NUZ�Nt1N REQUEST FOR COUNCIL ACTION MEETING DATE: 1/6/97 DEPARTMENT ID NUMBER: CD96-55 Analysis: The ability of the Building and Safety Division to provide counter, plan review and inspection services has been hampered by the substantial increase in construction activity. Due to the increased activity our customers are waiting an average of 10 additional minutes for counter service, plan review time is now running approx. 4 weeks and the inspection activity has increased to an average of 140 inspections per day. This increase in activity is primarily due to the new housing in the Holly Seacliff development area and more of the new tracts are scheduled to begin this fiscal year. It is estimated that 389 units will be built this fiscal year which is an increase of 189 units over last year or almost a 95% increase in residential new construction. Staff has worked with Administrative Services to estimate the additional user fee revenue that will be generated from this construction activity. Staff has estimated the additional revenue at approximately $350,000. This revenue is identified in the 96/97 Budget as "One Time Revenue" (Attachment #6), with the anticipation that the monies would be needed to finance contract services to support the service demand of the projects being developed. Developers and homeowners pay for the services and expect the city to perform their mandated review in a reasonable time frame. EsGil, Inc. and SFA, Inc., are well known for their professional and timely plan review services. The plan reviews are performed at their place of business and they make every attempt to assist the applicants through the process. Each firm has staff that has provided services for Huntington Beach in the past and their services have been delivered in a professional, expedient and friendly manner. The cost for this outside plan review service is a percentage of the permit fee that we collect. The percentages that the various consultant firm's charge varies from 49% to 60% of the building permit fee. Attachment #5 shows the results of the three (3) informal proposals for this service. The proposed third contract is again with SFA, Inc. to provide staffing services. In contrast to plan review our other services cannot be provided away from City Hall. We have utilized firms in the past to place contract or leased staff in City Hall to perform counter, inspection and misc. services. This service is cost effective since the hourly rates are substantially lower than contract professional services and the City is not obligated to maintain peak staffing when the construction activity declines. Companies are"able to provide staff at a lower rate since their overhead is substantially less when they function as an employment service. Most notably we have used the firm ESI, Inc. in the past and the principal of SFA, Inc. was the President and cofounder of ESI, Inc., thus we feel we will.receive good service. The cost for staffing services varies dependent upon the expertise of the individuals. As an example, our experience has been that this service can provide building inspectors for $25 to $35 per hour. This is a substantial savings over a typical consulting firm that would bill this expertise at $50 to $70 per hour. CD96-55.DOC -2- 12/09/96 3:52 PM REQUEST FOR COUNCIL ACTION MEETING DATE: 1/6/97 DEPARTMENT ID NUMBER: CD96-55 Environmental Status: NA Attachment(s): City Clerk's Page Number 1. Contract with EsGil, Inc. for Plan Review Services ......... .. ......... 2. Contract with SFA, Inc. for Plan Review Services _........ ..........................._....... ....... ...._ . .......... .... ........ .......... ........................_ ... ..... . .................... . ... ........ .. ..................... .. ... ............................ ..... ................................... ...... ......................... 3. Agreement with SFA, Inc. for Staffing Services 9 9 ......... .. ............ 4. Approved Insurance Certificates ............. ............ .......... ............. . ............. _ ............. ............. ......... ......... .. ............ ...... . . ..... . ......... 5. Summary of Informal Proposals for Plan Review Services 6. 1996/97 Budget--General Fund Revenue Summary 7. FIS 97-07 CD96-55.DOC -3- 12/02/96 4:19 PM CITY OF HUNTINGTON BEACH 2000 MAIN STREET CALIFORNIA 92648 OFFICE OF THE CITY CLERK CONNIE BROCKWAY CITY CLERK January 13, 1997 Scott Fazekas and Associates 5 Corporate Park, Suite 160 Irvine, Ca 92714 Dear Mr. Fazekas: The City Council of the City of Huntington Beach at the meeting held January 6, 1997, approved execution of Professional Services Contract Between The City Of Huntington Beach And Scott Fazekas Associates For Plan Review Services and the Agreement To Provide Staffing Services Between the City of Huntington Beach and Scott Fazekas &Associates, Inc. Enclosed is a duly executed copy of the contract for your records. Sincerely, Connie Brockway City Clerk Enclosure: Contract G:fo11o% up:agrmtltr/SFA:cc (Telephone: 714.536-5227) PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS & ASSOCIATES FOR PLAN REVIEW SERVICES Table of Contents SECTION PAGE 1 Designation of Contractor........................................................................................2 2 Conflict of Interest....................................................................................................2 3 Work to be Performed by Consultant and Compensation........................................2 4 Work to be Performed by the City ............................................................................4 5 Extra Work.............................:.................................................................................4 6 Service Level Goals..................................................................................................5 7 Work Day Definition.................................................................................................5 8 Method of Payment.....................................:............................................................5 9 Performance Documentation....................................................................................5 10 Non-Assignability ....................................................................................................6 11 Final Decision Authority..........................................................................................6 12 Termination..............................................................................................................6 13 Notices......................................................................................................................6 14 Immigration........................................................................:.....................................7 15 Legal Services Subcontracting Prohibited................................................................7 16 Indemnification and Hold Harmless................:..:.....................................................7 17 Workers' Compensation...........................................................................................7 .18 Insurance...................................................................................................................8 19 Certificates of Insurance; Additional Insured Endorsements...................................8 20 Independent Contractor..........................................................................:.................9 21 Copyrights/Patents....................................................................................................9 22 City Employees and Officials 9 23 Attorney's Fees 9 24 Entirety 10 PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS ASSOCIATES FOR PLAN REVIEW SERVICES THIS AGREEMENT; made and entered into this 6 th day of January , 1996, by and between the City of Huntington Beach, a municipal corporation of the State of California, hereinafter referred to as "CITY," and Scott Fazekas Associates, a California corporation, hereinafter referred to as"CONSULTANT." WHEREAS, CITY desires to employ the services of a consultant to provide plan review services involving ministerial code review for proposed building construction plans; and CITY desires to implement a high level of professional and technical plan review services at a cost less than the fees paid by the permit applicants; and CITY wishes to avoid conflict of interest problems by contracting with a corporation that performs no work for the private sector and provides services exclusively to government entities; and CITY wishes to contract with a firm directed by persons having experience and knowledge in the interpretation and application of complex regulations providing for protection of the public; and CITY desires to contract with a firm presently successfully providing plan review services to government agencies; and CONSULTANT's plan review engineers, supervisors and managers are all highly credentialed engineers with many years of regulatory plan review experience; and CONSULTANT is willing to enter into a contract with the CITY,to provide plan review services to the CITY in accordance with this contract; and Pursuant to documentation on file in the office of the City Clerk,the provisions of Huntington Beach Municipal Code Chapter 3.03 relating to procurement of professional service contracts has been complied with; and CONSULTANT has been selected to perform said services, NOW, THEREFORE, it is agreed by CITY and.CONSULTANT AS FOLLOWS: 1 4/s:PCD:Agree:Razekas 11/15/96 RLS 96-755 Section 1. DESIGNATION OF CONTRACTOR. CONSULTANT hereby agrees to provide professional services for the review of proposed building plans for conformance to regulations contained in the state mandated building, plumbing, mechanical and electrical codes, as those codes are adopted by the CITY; to perform additional work when requested by CITY; and to perform all of the above described work in accordance with the terms and conditions hereinafter set forth,when requested by the Building Official or his designated representative. Section 2. CONFLICT OF INTEREST. CONSULTANT expressly affirms that it nor any of its officers or directors will perform work or provide services to entities other than government entities during the time this Agreement is in force in order to insure the CITY that the CONSULTANT will not have a conflict of interest in discharging the work covered by this Agreement. Section 3.' WORK TO BE PERFORMED BY CONSULTANT AND COMPENSATION A. Plan Review Services Scope of Work. CONSULTANT shall: 1. Perform traditional preliminary plan review consultations in its main office by meetings or by telephone. 2. Perform traditional initial plan review of submitted plans to determine compliance with certain uniform codes as adopted by CITY, including: Uniform Building Code Uniform Plumbing Code Uniform Mechanical Code National Electrical Code California State, Title 24 (Energy Conservation; and Disabled Access) Noise Attenuation and local requirements Federal Flood Plain Regulations (FEMA) 3. Provide the applicant's designee and the CITY a list of items needing clarification or change to achieve conformance with the above regulations. 4. Perform all necessary liaison with the applicant's designee,by telephone, fax, mail or meeting in its main office, and perform all necessary rechecks to achieve conformance to the regulations. 2 4/s:PCD:Agree:Razekas 11/13/96 RLS 96-755 5. Perform all necessary liaison with the Building Official or his designee, by mail,telephone, fax or in its main office,to insure compliance with the Uniform Administrative Code (UAC)U.B.C. Sections 105 and 106 and to insure compliance with local policy interpretations. 6. Perform plan reviews of revisions to plans that have previously been approved for permit issuance. . 7. Perform extra work when requested in writing by CITY. 8. Attend meetings related to proposed building projects at the request of the Building Official at locations other than its office. B. Compensation for Plan Review Services 1. Compensation for each plan reviewed pursuant to this Agreement shall be 49%of the building permit fee calculated per Table 3A of the 1991 Uniform Administrative Code for each building plan checked. The construction valuation shall be based on the most recent valuation multiplier published by the International Conference of Building Officials in Building Standards or on the architect's estimated construction cost, or on the Building Official's cost estimate. The value shall include a proposed construction as defined in Uniform Administrative Code Section 304. Plan check fee for repetitive identical buildings shall be 49% of the building permit fee as noted above for the first, or basic building, and 14% of the building permit fee for each additional building. The single fee includes all rechecks,plan check conferences at CONSULTANT's office, reviewing plans that are initially found to be incomplete and for the transmitting of plans back to the jurisdiction. The minimum CONSULTANT fee for any proposed project plan review shall be one hundred dollars ($100.00). 2. Compensation for plan reviews of reviews to plans that have previously been approved for permit issuance,pursuant to Section 3(A)(6) of this Agreement, shall be calculated pursuant to Section 3(B)(1) of this Agreement or shall be $75.00 per hour. The method of calculating compensation for each such plan reviewed shall be as agreed to in writing by the Building Official and CONSULTANT. 3 4/s:PCD:Agree:Razekas 11/15/96 RLS 96-755 3. Compensation for extra work performed pursuant to Section 3(A)(7) of this Agreement shall be $75.00 per hour. Section 4. WORK TO BE PERFORMED BY THE CITY The CITY shall perform the following work: A. Arrange and pay the cost of shipping one set of plans and documents to the CONSULTANT's office. B. Obtain from the applicant, at the time of the project submittal, the necessary items to allow plan review to be completed in the shortest overall time frame. Necessary items include, but are not limited to, complete plans, construction specifications, soil reports, Title 24 energy calculations, structural calculations, the name and address and telephone number of the applicant's designated contact person and similar items that may be unique to a particular project. C. Provide the valuation for the proposed construction or instruct the CONSULTANT to calculate the valuation in accordance with Section 3(B)(1) of this Agreement. D. Provide the CONSULTANT with copies of any CITY ordinances that modify the regulations listed in Section 3(A)(2) of this Agreement. E. Collect sufficient plan check fees or deposits from project applicants to ensure the CITY will not suffer a loss if the applicant decides to abandon the permit process after the CONSULTANT has completed this initial plan check. Section 5. EXTRA WORK The CONSULTANT shall not perform extra work without written authorization from the Building Official or his designated representative. 4 4/s:PCD:Agree:Razekas 11/13/96 RLS 96-755 Section 6. SERVICE LEVEL GOALS The CONSULTANT agrees to provide adequate resources to achieve the following service delivery goals for timely performance of the work over which the CONSULTANT has decision authority: ITEM SERVICE GOAL A. Buildings less than four stories A. Complete initial plan review in and of normal complexity. less than twelve (12) work days. B. Buildings four or more stories B. Complete initial plan review in in height or of unusual less than fifteen(15) work days complexity. or as agreed by the CITY's Building Official and CONTRACTOR. C. Residential and minor building C. Complete initial plan review in projects. less than eight(8) work days. Service level goals are subject to modification upon mutual agreement of CONSULTANT and CITY. Section 7. WORK DAY DEFINITION For the purpose of measuring performance, the work days specified in Section 6 of this Agreement exclude the day plans were received and include the day a plan review has been completed. Work days do not include Saturdays, Sundays, or CITY holidays. Section 8. METHOD OF PAYMENT CONSULTANT shall submit after the first work day of each month the invoice for initial plan reviews performed during the prior month. Payment of approved items on the invoice shall be mailed to the CONSULTANT within thirty (30) days after the date the invoice was submitted. Payments not made within the above time frame shall, when paid, be increased one and one-half percent per month, or portion of a month, for each month the payment was delayed. Any disputed invoices shall be brought to CONSULTANT's attention within ten(10) days of receipt. Section 9. PERFORMANCE DOCUMENTATION CONSULTANT shall note on the plan review correspondence to the CITY: 5 4/s:PCD:Agree:Razekas 11/13/96 RLS 96-755 A. The-day of the week and the date the plans were received; B. The day of the week and the date the initial plan review was completed; C. The day of the week and date the applicant's designee was notified that the initial plan review was completed; and D. The calculated number of work days to complete the initial plan review. Section 10. NON-ASSIGNABILITY This agreement is for the professional services of CONSULTANT and is non- assignable without the prior written consent of the CITY. Section 11. FINAL DECISION AUTHORITY The CITY's Building Official shall have final decision authority over the results of the plan review by the CONSULTANT and all work performed by the CONSULTANT shall be to the satisfaction of the Building Official. In instances where the permit applicant takes exception to the CONSULTANT's interpretation of the regulations, the Building Official shall render a final decision utilizing, if deemed appropriate,the resources of the City Attorney and/or the Board of Appeals. Section 12. TERMINATION Either party may terminate this Agreement,with or without cause, by providing thirty (30) days written notice to the other party. Section 13. NOTICES Any notice or special instructions required to be given in writing under this Agreement shall be given either by personal delivery to CONSULTANT's agent(as designated in Section 1 hereinabove) or to CITY's Director Community Development 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, addressed as follows: TO CITY: TO CONSULTANT: Ross Crammer, Building Official Department of Community Development Scott Fazekas and Associates City of Huntington Beach 5 Corporate Park, Suite 160 2000 Main Street; 3rd Floor Irvine, CA 92714 Huntington Beach, CA 92648 6 4/s:PCD:Agree:Razekas 11/15/96 RLS 96-755 Section 14. 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. Section 15. 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 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. Section 16. INDEMNIFICATION AND HOLD HARMLESS CONSULTANT hereby agrees to indemnify, defend, and hold and save harmless CITY, its officers and employees from any and all liability, including any claim of liability and any and all losses or costs arising out of the negligent performance of this Agreement by CONSULTANT, its officers or employees. Section 17. WORKERS' COMPENSATION CONSULTANT shall comply with all of the provisions of the Workers' Compensation Insurance and Safety Acts of the State of California,the applicable provisions of the California Labor Code and all amendments thereto; and all similar state or federal acts or laws applicable; and shall indemnify, defend and hold harmless CITY from and against all claims, demands, payments, suits, actions,proceedings and judgments of every nature and description, including attorney fees and costs presented, brought or recovered against CITY, for or on account of any liability under any of said acts which may be incurred by reason of any work to be performed by CONSULTANT under this Agreement. CONSULTANT shall obtain and f irni.sh evidence to CITY of maintenance of statutory workers' compensation insurance and employers liability in an amount of not less than $100,000 bodily injury by accident, each occurrence, $100,000 bodily injury by disease, each employee, and $250,000 bodily injury by disease,policy limit. 7 4/s:PCD:Agree:Razekas 11/13/96 RLS 96-755 c • • Section 18. INSURANCE In addition to the workers compensation insurance and CONSULTANT's covenant to indemnify CITY, CONSULTANT shall obtain and furnish to CITY, a policy of general public liability insurance, including motor vehicle coverage, covering the work to be performed by CONSULTANTpursuant to this Agreement. Said policy shall indemnify CONSULTANT, its officers, agents and employees, while acting within the scope of their duties, against any and all claims of arising out of or in connection with this Agreement, and shall provide coverage in not less than the following amount: combined single limit'bodily injury and property damage, including products/completed operations liability and blanket contractual liability, of$1,000,000 per occurrence. If coverage is provided under a form which includes a designated general aggregate limit,the aggregate limit must be no less than$1,000,000. Said policy shall name CITY, its officers, and employees as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable shall be deemed excess coverage and that CONSULTANT's insurance shall be primary. Under no circumstances shall said abovementioned insurance contain a self-insured retention, or a"deductible" or any other similar form of limitation on the required coverage. Section 19. CERTIFICATES OF INSURANCE: ADDITIONAL INSURED ENDORSEMENTS Prior to commencing performance of the work hereunder, CONSULTANT shall furnish to CITY certificates of insurance'subject to approval of the City Attorney evidencing the foregoing insurance coverages as required by this Agreement; said certificates shall: 1. provide the name and policy number of each carrier and policy; . 2. shall state that the policy is currently in force; 3. shall promise to provide that such policies will not be canceled or modified without thirty (30) days prior written notice of CITY; and 4. shall state as follows: "The above detailed coverage is not subject to any deductible or se#Wnsured retention, or any other form of similar type limitation." CONSULTANT shall maintain the foregoing insurance coverages in force until the work under this Agreement is fully completed and accepted by CITY. The requirement for carrying the foregoing insurance coverages shall not derogate from the provisions for indemnification of CITY by CONSULTANT under the Agreement. CITY or its representative shall at all times have the right to demand the original or a copy of all 8 . 4/s:PCD:Agree:Razekas 11/13/96 RLS 96-755 said policies of insurance. CONSULTANT shall pay, in a prompt and timely manner, the premiums on all insurance hereinabove required. A separate copy of the additional insured endorsement to each of CONSULTANT's insurance policies, naming the CITY, its officers and employees as Additional Insureds shall be provided to the City Attorney for approval prior to any payment hereunder. Section 20. INDEPENDENT CONTRACTOR CONSULTANT is, and shall be, acting at all times in the performance of this Agreement as an independent contractor. CONSULTANT shall secure at its 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 services to be performed hereunder. Section 21. 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. Section 22. 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 Californi Government Code. Section 23. ATTORNEY'S FEES In the event suit is brought by either party to enforce the terms and provisions of this agreement or to secure the performance hereof, each party shall bear its own attorney's fees. 9 4/s:PCD:Agree:Razekas 11/13/96 RLS 96-755 Section 24. ENTIRETY The foregoing, and Exhibit "A": attached hereto, set forth the entire Agreement between the parties. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized offices the day,month and year first above written. CONSULTANT: CITY OF HUNTINGTON BEACH, A SCOTT FAZEKAS AND ASSOCIATES municipal corporation of the State of a California corporation California By: 6,� cL��✓ sue+rz print name Mayor ITS: (circle one)Chairrnarbzesiden ice President i ATTEST: AND - City Clerk'% By: QA aLea, �--' APPROVED AS TO FORM: print name ITS: (circle one) ecret Chief Financial Officer/Asst. Secretary-Treasurer City Attorney �-� kk�131-16 1 i-z8� REVIEWED AND APPROVED: INITIATED AND APPROVED: C' Administrator Director of Communi evelopment 10 4/s:PCD:Agree:Razekas 11/15/96 RLS 96-755 AGREEMENT TO PROVIDE STAFFING SERVICES BETWEEN THE CITY OF HUNTINGTON BEACH AND SCOTT FAZEKAS &ASSOCIATES, INC. Table of Contents Section Paqe 1 Definitions 1 1.1 "Current Payroll" 1 1.2 "Employees" 2 1.3 "Employee Tax Forms" 2 1.4 "Employer Tax Forms: 2 1.5 "Payment Due Date" 2 1.6 "Pay Period" 2 1.7 "Payroll" 2 2. Implementation 3 2.1 Relationship of Parties 3 2.2 Terms of Agreement 3 2:3 Specifications of Services and Approval of Compensation 3 2.4 Changes and Adjustments in Payroll 3 2.5 Employer Duties of SFA 4 2.6 Duties of CITY 4 2.7 Workers' Compensation, Health, and Other Benefits 4 3 Compensation 5 3.1 Fee 5 3.2 Payment Address 5 3.3 Terms of Compensation 5 4 Supervision of Employees 5 5 Indemnification 6 6 Insurance 6 7 Certificates of Insurance 7 8 General Provisions 8 8.1 Representation 8 8.2 Legal Action 8 8.3 Assignment 8 8.4 Audit 8 8.5 Title 8 8.6 Severability 9 8.7 Legal Services Subcontracting Prohibited 9 8.8 Extent of Agreement 10 Exhibit A 11 7\k\G:Agree:Fazekas/11/3/96 RLS 96-811 AGREEMENT TO PROVIDE STAFFING SERVICES BETWEEN THE CITY OF HUNTINGTON BEACH AND . SCOTT FAZEKAS &ASSOCIATES, INC. THIS AGREEMENT is made and entered into this tith day of ,Tanu;;ry , 19_qL, by and between the City of Huntington Beach, hereinafter referred to as `CITY", and SCOTT FAZEKAS &ASSOCIATES, INC., hereinafter referred to as "SFA." WHEREAS, SFA is a California corporation which provides the services of its employees to government agencies for the purpose of discharging the responsibilities of government agencies; and CITY has engaged the personal services of certain persons as its employees; and Economic reasons exist which make it in the best interests of CITY to discharge certain of its responsibilities through the use of SFA employees; NOW, THEREFORE-, in consideration of the promises, covenants, and warranties hereinafter set forth, the parties hereto mutually agree as follows: 1. DEFINITIONS All terms used in this Agreement shall have the customary meaning afforded such terms unless the same are used in a technical or business context, in which event such terms shall have the technical and/or special meaning normally afforded such terms within the particular trade, industry, or business to which they relate. The following are the definitions of special terms used herein: 1.1 "Current Payroll' means the payroll set forth on attached Exhibit A and incorporated by this reference. 1.2 "Employees" means those individual persons who are subject to the terms of this Agreement and whose services are identified on attached Exhibit_A incorporated by this reference. 1 7\k\G:Agree:Fazekea/11/5/96 RLS 96-811 1.3 "Employee Tax Forms" means all forms applicable to the payroll which are required by United States, state, and local governments to be provided by an employer to an employee, including U.S. Department of the Treasury, Internal Revenue Service Form W-2 (Wage and Tax Statement) and Form W-4 (Employee's Withholding Allowable Certificate) and Form 1099 (as and if applicable), as well as comparable and/or counterpart forms prescribed by the state and/or local government in which employees are performing services pursuant to this Agreement. 1.4 "Employer Tax Forms" means all forms required to fully and properly report the payroll to the United States, state and/or local governments, including United States Department of the Treasury; Internal Revenue Service Form 941 (Employer's Quarterly Federal Tax Return for Federal Income Tax Withheld from Wages and for Federal Insurance Contributions Act Taxes), Form 940 (Employer's Annual Federal Unemployment Tax Return), and comparable and/or counterpart forms prescribed by the state and/or local government in which employees are performing services pursuant to this Agreement. 1.5 "Payment Due Date" means any date on or before the last day of each payroll period. 1.6 "Pay Period" means the interval between payments to employees. 1.7 "Payroll' means the total payroll applicable to all employees and includes the aggregate of net compensation to employees, federal withholding taxes, state and local (if any)withholding taxes, employer and employee costs pursuant to the Federal Insurance Contributions Act, employer costs pursuant to the Federal Unemployment Tax Act, employer costs for state unemployment taxes (if any), employer costs pursuant to the Voluntary-, Compensation Plan (if any); and employer listed service fees (as applicable). 2 7Uc\G:Agree:Faukae/11/3/93 RLS 96-811 2. IMPLEMENTATION 2.1 Relationship of Parties. Effective at the-commencement of business on the day of , 19 , SFA will provide to CITY those of its employees who are qualified to perform the services identified on attached Exhibit A and CITY hereby accepts such employees on the terms and conditions provided in this Agreement. 2.2 Term of Agreement. This Agreement and the rights and obligations of CITY f and SFA shall commence on the effective time and date specified in paragraph 2.1 and shall continue until terminated. Either party may terminate this Agreement upon thirty (30) days written notice to the other party. 2.3 Specification of Services and Approval of Compensation. CITY shall specify, and by notice to SFA may accept, modify, or reject the services and/or rate of compensation of any and all employees leased to CITY in accordance with this Agreement. In the event of rejection of services and/or rejection of the rate of compensation.of any employee leased to CITY, the lease made by this Agreement shall terminate as to such employee, effective upon receipt by SFA of written notice thereof. For purposes of business and financial accounting between the parties, this Agreement shall be deemed several as to each employee and shall be deemed prorated on a daily or other periodic basis necessary to give effect to the manifest intentions of the contracting parties. 2.4 Changes and Adjustment in Payroll. CITY and SFA acknowledge the payroll will vary from pay period to pay period by reason of additions, terminations, and changes in compensation rates of employees. It is further acknowledged that the payroll also may vary from pay period to pay period by reason of changes in the rate and/or amount of employee withholding and/or employer payroll contributions and/or costs of employee benefit plans and programs. It is specifically agreed that the.amount of all payments coming due and 3 7\k\G:Agree:Fazekas/11/3/95 RIS 96-911 owing from CITY to SFA shall be adjusted (by increase or decrease, as applicable) to the extent necessary to directly reflect such changes on a current basis. All such changes.and adjustments in payroll shall be mutually agreed by the CITY and SFA before revised hourly rates are applied. 2.5 Employer Duties of SFA. SFA shall (1) pay all wages and other remuneration to its employees who are subject to this Agreement; (2) notify CITY of the current payroll prior to each pay period; (3) prepare.and file all payroll tax returns and reports; (4) pay all amounts due and owing pursuant to the payroll tax returns and reports which are prepared and filed; (5) prepare, file, and furnish to employees applicable employee tax forms; and (6) prepare and file, with a copy to CITY, applicable employer tax forms. 2.6 Duties of CITY. CITY shall (1) provide the workplace for all employees subject to this Agreement; (2) maintain the workplace in strict accordance with applicable health and working standards and specifications; (3) comply with all safety engineering and governmental health and safety rules, regulations, directives, orders or similar requirements; (4) provide all required safety equipment; (5) for employees located in California, take all actions necessary to establish and implement an injury and illness prevention program as required by the Occupational Injury Program Act, also known as Senate Bill 19.8, and codified at California Labor Code § 6401.7; (6) post or provide employee notices required by law; and (7) notify SFA immediately of all employee illnesses, accidents, injuries, and absences. 2.7 Workers' Compensation, Health, and Other Benefits. SFA maintains Workers' Compensation and Employers Liability Insurance of a form and in an amount as required by state law and CITY. Various health and other benefits are available to employees under a cafeteria plan which permits each employee to choose the type of benefits he or she will receive. 4 7\k\G:Ag=:Fazekas/11/3/95 RLS 96-811 3. COMPENSATION 3.1 Fee. CITY agrees to pay within the hourly range rate established in Exhibit A on or before each payment due date. The range rates are based on current SFA costs and is subject`to change when costs change due to factors which are beyond the control of SFA (such as insurance, payroll tax, etc.). Any adjustments made will be commensurate with increased costs to SFA as mutually agreed by the CITY and SFA. 3.2 Payment Address. All payments due SFA shall be paid to: SCOTT FAZEKAS &ASSOCIATES, INC. Attn: Scott Fazekas 5 Corporate Park, Suite 160 Irvine,.CA 92714 3.3 Terms of Compensation. Invoices are due within 30 days of receipt. Delinquent payments will be subject to a late payment carrying charge computed at a periodic rate of 1-1/2% per month, which is an annual percentage rate of 18%, which will be applied to any unpaid balance owed commencing forty-five (45) days after the date of the original invoice. Additionally, in the event-CITY fails to pay any undisputed amounts due SFA within forty-five (45) days after payment due date, then CITY agrees that SFA shall have the right to consider said default a total breach of this Agreement and the duties of SFA under this Agreement may be terminated by SFA without liability to SFA upon ten (10) working days advance written notice. 4. SUPERVISION OF EMPLOYEES CITY shall supervise the daily activities of employees. Employees shall discharge government responsibilities and perform in accordance with the ordinances, resolutions, rules, regulations, and procedures adopted by CITY. SFA shall have no control over such government responsibilities and such ordinances, resolutions, rules, regulations, and procedures. 5 7\k\G:Agee:Fazekas/11/3/95 RL3 96-811 5. INDEMNIFICATION SFA shall indemnify, defend, and hold harmless CITY for the purposes of all required payroll deductions and withholdings, legally required workers' compensation insurance, and health:benefits of the employees. SFA shall also indemnify, defend and hold harmless CITY for any liability arising under the Public Employees Retirement Law, as set forth in Califomia Govemment Code§20000, et seq. However, inasmuch as the CITY shall supervise the daily activities of employees, and inasmuch as the employees will discharge government responsibilities and perform in accordance with the ordinances, resolutions, rules, regulations, and procedures adopted by CITY(1) SFA and its employees shall be entitled to all protection and immunities of government employees, including without limitation, those provided in California Government Code, Title 1, Division 3.6, Claims and Actions against Public Entities and Public Employees; and (2) CITY does release and agree to indemnify, defend and hold harmless the employees, SFA, and SFA's agents, personnel, directors, and officers from any and all actions, claims, damages or injuries to persons or property, penalties, obligations or liabilities arising out of or related to the services performed under this Agreement. In addition, the employees, SFA, and SFA's agent, personnel, directors, and officers shall be additional named insured on CITY's insurance policies or on any self-insurance agreement. If CITY is a member of a Risk Management Agreement (RMA) or similar agreement, CITY will notify the organization responsible for RMA or similar agreement in writing that the employees, SFA, and SFA's agents, personnel, directors, and officers do not have any applicable insurance coverage. 6. INSURANCE In addition to the workers compensation insurance and SFA's covenant to indemnify CITY, SFA shall obtain and furnish to CITY, a policy of general public liability 6 7Uc\Q:Agee:Fazekas/11/3/95 RLS 96-811 insurance, including motor vehicle coverage covering the project. Said policy shall indemnify SFA, its officers, agents and employees, while acting within the scope of their duties, against any and all claims of arising out of or in connection with the project, and shall provide coverage in not less than the following amount: combined single limit bodily injury and property damage, including products/completed operations liability and blanket contractual liability, of$1,000,000 per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, the aggregate limit must be no less than $1,000,000. Said policy shall name CITY, its officers, and employees as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable to the project shall be deemed excess coverage and that SFA's insurance shall be primary. Under no circumstances shall said abovementioned insurance contain a self-insured retention, or a "deductible" or any other similar form of limitation on the required coverage. 7. CERTIFICATES OF INSURANCE; ADDITIONAL INSURED ENDORSEMENTS Prior to commencing performance of the work hereunder, SFA shall furnish to CITY certificates of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverages as required by this Agreement; said certificates shall: 1. provide the name and policy number of each carrier and policy; 2. shall state that the policy is currently in force; 3. shall promise to provide that such policies will not be canceled or modified without thirty (30) days prior written notice of CITY; and 4. shall state as follows:- "The above detailed coverage is not subject to any deductible or self-insured retention, or any other form of similar type limitation." 7 7\k\Q:Agrce:Fazekas/11/3/95 RLS 96-811 SFA shall maintain the foregoing insurance coverages in force until the work under this Agreement is fully completed and accepted by CITY. The requirement for carrying the foregoing insurance coverages shall not derogate from the provisions for indemnification of CITY by SFA under the Agreement. CITY or its representative shall at all times have the right to demand the original or a copy of all said policies of insurance. SFA shall pay, in a prompt and timely manner, the premiums on all insurance hereinabove required. 8. GENERAL PROVISIONS 8.1 Representation. A CITY representative shall be designated by the CITY and an SFA representative shall be designated by SFA as the primary contact person for each parry regarding performance of this Agreement. The following are the designated representatives: Scott Fazekas for SFA Ross Cranmer for the City of Huntington Beach 8.2 Legal Action. Should either party to this Agreement bring legal action against the other, the case shall be handled within the County where CITY is located, and the party prevailing in such action shall be entitled-to reasonable attorneys' fee which shall be fixed by the judge hearing the case and such fee shall be included in the judgment. 8.3 Assignment. This Agreement shall not be assignable by either party without the prior written consent of the other party. 8.4 Audit. CITY shall have the right to audit and inspect SFA records and accounts covering costs under this Agreement for a period of two years after termination of the Agreement. 8.5 Titles. The titles used in this Agreement are for general reference only and are not part of the Agreement. 8 7\k\0:Agee:Fazekas/11/3/95 RL3 96-811 8.6 Severability. Should any provision of this Agreement be determined to be unenforceable, such determination shall not affect the remaining provisions. 8.7 Legal Services Subcontracting Prohibited. SFA and CITY agree that CITY is,not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly outside the scope of services contemplated hereunder. SFA 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 SFA. REST OF PAGE NOT USED 9 7Udd:Agree:Fazeka9/11/3/95 RLS 96-811 8.8 Extent of Agreement. This Agreement represents the entire and integrated Agreement between CITY and SFA and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be modified or amended only by a subsequent written agreement signed by both parties. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date and year first above written. SCOTT FAZEKAS &ASSOCIATES, INC. CITY OF HUNTINGTON BEACH, A a California corporation municipal corporation of the State of By: " California SGo�az, F-a-Ze gas print nameA^- ITS: (circle one)Chairma Presiden ice President Mayor By: TTEST: print name City Clerk 917 ITS: (circle one Secrete Chief Financial Officer/Asst. Secretary-Treasurer APPROVW AS TO FORM: REVIEWED AND APPROVED: City Attorney CoAdministrator INITIATED AND APPROVED: Director of Communi y Development 10 7Uc\G:Agrce:Fazekas/11/3/95 RIS 96-911 Exhibit A SERVICES Services included in this Agreement by and between the CITY OF HUNTINGTON BEACH and SCOTT FAZEKAS &ASSOCIATES, INC., are listed below: Service 1: Plan Check Services: Hourly Billing Rate Range: $40.00 to $70.00 per hour* Service 2: Inspection Services Hourly Billing Rate Range: $24.00 to $45.00 per hour* Service 3: Management Services Hourly Billing Rate Range $40.00 to $70.00 per hour` Service 4: Counter Services Hourly Billing Rate Range $15.00 to $30.00 per hour* Service 5: Planning Services Hourly Billing Rate Range $30.00 to 70.00 per hour* *It is understood that employees providing services will be driving city vehicles for any field assignments. If the employees use a personal car on such assignments, billing to the City of Huntington Beach will be at the rate of$0.36/mile. Exhibit A 7\k\G:Agree:Fazekas/11/3/95 RIS 96-811 i Summary of Informal Proposals for Plan Review Services (per professional services--Chapter 3.03) Plan Review Fee (hourly fee) • International Conference of Building Officials (ICBO) 60% of Permit Fee ($75/hr) • SFA Consultants, Inc. 49% of Permit Fee ($75/hr) • EsGil Corporation 56% of Permit Fee ($87.15/hr) Selection Guidelines: (per 3.03.040) • Each of the above are well known for there quality Plan Review Services. • SFA and EsGil provide their service at a cost that is at or below the industry standard. • Both firms have staff that have provided excellent service to Huntington Beach in the past. • EsGil has an extensive staff that can handle projects when other companies are busy. pc-sent-h AttachmeTit 8 - General Fund Revenuelummary . - .::::.............................. ............................................................................................................................................................................. Property Taxes $24,800,000 $25,702,000 $25,024,000 ($678,000) Sales Tax 16,700,000 16,600,000 16,600,000 Proposition 172 Sales Tax 1,100,000 1,144,000 1,144,000 Utility Tax 13,125,000 13,322,550 13,497,550 175,000 Transient Occupancy Tax 1,100;000 1,122,000 1,122,000 Other Local Taxes 4,970,000 5,432,450 5,432,450 Licenses& Permits 4,270,300 4,772,830 4,834,830 62,000 Fines/Forfeitures/Penalties 2,220,000 2,347,000 2,355,000 8,000 Use of Money & Property 6,683,155 6,587,250 6,868,250 281,000 Revenue from Other Agencies 10,325,627 8,536,000 8,536,000 Charges for Current Service 8,759,500 9,980,725 9,254,725 (726,000) Other Revenue 543,000 477,700 522,700 45,000 Transfer from Other Funds 2,990,000 2,490,000 2,490,000 . . Tt�t I sm . ...: 5fl6'' 12 ><:' >>' 8<5Eli >> ........>.......................................f........................................r........................................................................... ::>:::::i::>::>::»:: ;:: :::<::.....:.fia el..fln 0 ..Reven3ue..;;;.W"of .:....... . 9$'t f... Qb ......... ' 7.fit SQS.... ;:.;:.;:.;::::.>:. .................... ...............................................�......A...:..�..................... ......r.......................................................................... ................................................. ......f................................................................................►................................................................. Reconciliation of Changes > hat titti€€>€> »< ><< >Ch iii Etev iue.:...> <> >< > R �3i .... `> < i trr "cat or <<> ><> > <> > >. sxtrr <> >«>> >' l. t<i. tii.. '>:.. > > > Property Tax ($678,000) ($678,000) Utility Tax 175,000 175,000 Licenses and Permits -Reduce Business License Tax ($ 320,000) -Increase Business License Fee 186,000 -Increase Building Fees 196,000 Licenses and Permits Sub Total 62,000 Fines/Forfeitures/Penalties 8,000 8,000 Use of Money& Property 100,000 181,000 281,600 Charges for Current Service -Sewer Fee ($ 1,000,000) -Police Department Fees 84,000 -Engineering/Inspection Fees 190,000 Charges for Service Sub Total (726,000) Other Revenue 45.000 46,000 TOTAL ($754,000) ($79,000) ($833,000) BGTREV97.DOC CITY OF HUNTINGTON BEACH INTERDEPARTMENTAL COMMUNICATION To: Michael T. Uberuaga, City Administrator From: Robert J. Franz, Deputy City Administrator Subject: FIS 97-07 Contract with SFA, Inc and ESGIL Date: November 25, 1996 As required by Resolution 4832, a Fiscal Impact Statement has been prepared for for $350,000 for a Contract with SFA and ESGIL. If the City Council approves this request, the estimated, fund balance of the General Fund at September 30, 1997 will be reduced to $6,194,271 . - Robert J. Fr nz, Deputy City dministrator • fis9707 • Adopted Budget $3,584,549 Revised Estimate $6,_194,271 Adopted Current Fund Balanceli! -General Fund Budget Estimate Beginning Fund Balance $3,227,959. $6,699,000 Budget Surplus/(Shortfall) . 356,590 356,590 Less Approved One-Time Costs (423,319) Less: Pending Budget Amendments (88,000) Less FIS 97-07 (350,000) Plus PERS Refund Estimated 9/30/97 Balance $3,584,549 $6,194,271 I Fund Balance -General Fund i $6,500,000 - _.... ......_ , 57 $6,000,000 - $5,600,000 - I $5,000,000 - $4,600,000 - 42-Rnn-nnn `T� ` $4,000,000 - N ' $6,194,271 $3,500,000 - $3,000,000 - _ _ $3,584,549 $2,500,000 - $2,000,000 -, Adopted Revised Budget Estimate G:WCCTGgFIS.XLS]fis9707 Page 1 E RTI F t G 0 5 75 ISSUE DATE (AdAA/DD/YY) a1:11i:��e OF - :-SU`.-ANC� _. . Nn 11 15/96 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER.THIS CERTIFICATE DOES NOT AMEND,EXTEND OR ALTER THE COVERAGE AFFORDED BY THE AWRENCE UNITED CORP. POLICIES BELOW. .0. BOX 80187 COMPANIES AFFORDING COVERAGE AN DIEGO CA 92138 COMPANY A CONTINENTAL CASUALTY INS . CO. LETTER COMPANY B AMERICAN MOTORISTS INS. CO. / KEMPER INSURED LETTER COTT FAZEKAS & COMPANY C SSOCIATES, INC. LETTER 15583 HARROW LANE COMPANY D OWAY, CA 92064 LETTER COMPANY E LETTER COVERAGI=S ...... .. .... ........:.. ..... . ...::....:. .. .. THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED NOTWITHSTANDING ANY REQUIREMENT TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS EXCLUSIONS AND CONDITIONS OF SUCH PTOLIG�IES.IMITS SHOWN IV."AFFORDED DVE BEEN REDUCED DESCRIBED E PAID CDLAIMSEIN IS SUBJECT TO ALL THE TERMS, p POLICY EFFECTIVE POLICY EXPIRATION TYPE OF INSURANCE POLICY NUMBER LIMITS TR ATE (MMIDD/YY) DATE (MMIDONY) GENERAL LIABILITY 7 JJ 610 810 0 0 0 6/0 5/9 6 0 6/0 5/9 7 GENERAL AGGREGATE $ 2 O O O O O OMMERCIAL GENERAL LIABILITY pp pp R t PRODUCTS—COMP/OP AGG. $ 2 0 0 O 0 O LAIMS MADE �OCcuR. *ADD IT I ONAPIISVEr A T O FORM�I PERSONAL&ADV.INJURY $ 1 000,0001 NOWNER'S&CONTRACTOR'S PROT. ENDORSEMENfgj 0 +i EACH OCCURRENCE $ 1 O O O O O ('I 1 'Y FIRE DAMAGE(Any one fire) $ 50,00 A �}/y�.� MED.EXP.(Any one person) $ AUTOMOBILE LIABILITY 7 JJ 6 10 8 10 0 0. 2 rt y/ ®�7y"7 ve 6/0 5/9 7 COMBINED SINGLE ANY AUTO LIMIT $ 1 O O O O O ALL OWNED AUTOS FOR PROFESSION LI ILITY COVE GE, THE BODILY INJURY SCHEDULED AUTOS AGGREGATE LIMIT IS THE TOTAL IN URANCE (Perpemon) $ HIRED AUTOS AVAILABLE WITHIN THE POLICY PER OD: THE BODILY INJURY NON—OWNEDAUTOS PAYMENTS FOR INDEMNITY AND EXPE SE (Peraccidenq $ GARAGE LIABILITY PROPERTY DAMAGE r,- $ EXCESS LIABILITY EACH OCCURRENCE $ UMBRELLA FORM ADD'L• INSURED E�1DOR` L ' " ' AGGREGATE xx F RM N O OTHER THAN UMBRELLA WORKER'S COMPENSATION 7 BA 110 5 9 4 0 0 0 6/0 5/9 6 0 6/0 5/9 7 STATUTORY umms AND EACH ACCIDENT $ 1 O O O O O EMPLOYERS'LIABILITY DISEASE—POUCY LIMIT $ 1.000100( DISEASE—EACH EMPLOYEE 1 Pi oTHEIPROFESSIONAL SFN113970938 06/05/96 06/05/99 $1,000,000 EA CLM. LIABILITY $1,000,000 ANN AGG DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES/SPECIAL ITEMS E: BUILDING SAFTEY PLAN CHECK SERVICES / CITY OF HUNTINGTON BEACH ITS AGENTS, FFICERS AND EMPLOYEES ARE INCLUDED AS ADDITIONAL INSURED AS RESPECTS GENERAL IABILITY PER ATTACHED FORM. D .. .;. CANE FICAT HQL E>A . ; r:::::::::: SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF,THE ISSUING COMPANY WILL CITY OF HUNT INGTON BEACH MAIL 3 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE ATTN: ROSS CRANMER LEFT,XXW]MKKPA.¢k9VA%M WA XW R0MX 2000 MAIN STREET XXIXXXk�4]i�II€Ac43��L4EI€ ARK HUNT INGTON BEAC CA 92648 AUTHOR ATIV t......�. . . �acolD cOR� l 'ricr � r N-z\.1-1ED I!`SURED: SCOTT FAZEKAS & ASSOCIATES, INC. r POLICY NO. : 7JJ6108 EFFECTIVE DATE: 6/5 ADDITIONAL INSURED .Y' nanonal. CITY OF HUNTINGTON BEACH In5l11Zr7 es comnanies ITS AGENTS, OFFICERS AND EMPLOYEES ® THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.. This endorsement modifies insurance provided under the following: BUSINESSOWNERS POLICY I. The following provision is added to paragraph C., - 2) "Bodily Injury'or"property damage"aris- WHO IS AN INSURED, in the Liability Coverage Ing out of any act or omission of the"ad- Form: ditional insured(s)" or any of their employees. Any person or organization you are required by written contract to name as an insured (called 3) "Property damage"to: "additional insured") is an insured, but only with respect to liability arising out of your premises or a) Property owned, used or occupied "your work"for the"additional insured." by "or rented to the "additional insured(s)"; 2. With respect to the insurance afforded these "additional insureds,"the following additional pro- b. Property in the care, custody, or Visions apply: control of the "additional insured(s)" or over which the "additional in- A. The limits of insurance provided on behalf of sured(s)" are for any purpose exer- the "additional insured" are not greater than rising physical control; or those required by such contract. In no event shall the Limits of Insurance in this Coverage c. "Your work" for the additional Form be increased by such contract, insured(s)." B. Additional Exclusions C. With respect to "additional insureds" who are architects. engineers or surveyors, this This insurance does not apply to : insurance does not apply to "bodily injury," "property damage," "personal injury' or "ad- :1.) "Bodily injury" or "property damage" oa vertising injury" arising out of the rendering curving after: of or the failure to render any professional services by or for you, including: a) All work on the project to be per- formed by or on behalf of the "addi- 1) The preparing, approving, or failing to tional insured(s)" at the site of the prepare or approve maps, drawings, cowered operations has been com- opinions, reports, surveys, change or- pleted; or ders, designs or specifications; and b) That portion of "your work" out of 2) Supervisory, inspection or engineering which the injury or damage arises services. that,has been put to its intended use by any person or organization other D. Any coverage provided by this endorsement than another contractor or suboon- shall be excess over any other valid and col- tractor engaged in performing opera- lectible insurance available to the "additional tions for a principal as a part of the insured(s)" whether primary, excess, contin- same project. gent or on any other basis. THIS ENDORSEMENT MUST BE ATTACHED T��"GE ENDOR EM T WHEN ISSUED AFTER THE POLICY IS WRITTEN. BP 86 04 (Ed. 10 90) AUTHORIZED REPR13SEN VE rinted in U,S.A. RCAROUTING ' SHEET INITIATING DEPARTMENT: Community Development SUBJECT: Contracts with SFA, Inc. and EsGil Inc. COUNCIL MEETING DATE: January 6, 1997 RCA ATTACHMENTS STATUS Ordinance (w/exhibits & legislative draft if applicable) Not Applicable Resolution (w/exhibits & legislative draft if applicable) Not Applicable Tract Map, Location Map and/or other Exhibits Not Applicable Contract/Agreement (w/exhibits if applicable) (Signed in full by the City Attorney) Attached Subleases, Third Party Agreements, etc. (Approved as to form by City Attome Not Applicable Certificates of Insurance (Approved by the City Attome Attached Financial Impact Statement (Unbudget, over $5,000) Attached Bonds (If applicable) Not Applicable Staff Report (If applicable) Not Applicable Commission, Board or Committee Report (If applicable) Not Applicable Findings/Conditions for Approval and/or Denial Not Applicable EXPLANATION.FOR MISSING ATTACHMENTS' W .... ..... RETURNED ED O ........ . .... Administrative Staff Assistant City Administrator Initial City Administrator Initial City Clerk EXPLANATItN FC)R RETURN OF ITEM. 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