Loading...
The URL can be used to link to this page
Your browser does not support the video tag.
Home
My WebLink
About
Revenue and Cost Specialists, LLC - 2009-06-03
7 CONTRACTS SUBMITTAL MR,I H -3 F Hi 2: 45 CITY CLERKS OFFIC� j I C,ILA To: .ROAN FLYNN, City Clerk Name of Contractor: Revenue and Cost Specialists, LLC Purpose of Contract: For Example:Audit Services or Water Quality Testing Huntington Lake—Huntington Central Park Prepare Master Facilities Plan and Development Impact Fee Nexus Report Amount of Contract: $29,950.00 Copy of contract distributed to: The original insurance certificate/waiver distributed Initiating Dept. F1 to Risk Management n Finance Dept. ORIGINAL bonds sent to Treasurer El Date: V Namel ens n City Attorney's Office k G:AttyMise/Contract Forms/City Clerk Transmittal PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND REVENUE & COST SPECIALISTS, L.L.C. FOR PREPARE MASTER FACILITIES PLAN AND DEVELOPMENT IMPACT FEE NEXUS REPORT Table of Contents 1 Scope of Services.....................................................................................................1 2 City Staff Assistance................................................................................................2 3 Term; Time of Performance.....................................................................................2 4 Compensation..........................................................................................................2 5 Extra Work...............................................................................................................2 6 Method of Payment..................................................................................................3 7 Disposition of Plans, Estimates and Other Documents ...........................................3 8 Hold Harmless .........................................................................................................3 9 Professional Liability Insurance.............................................................................4 10 Certificate of Insurance............................................................................................5 11 Independent Contractor............................................................................................6 12 Termination of Agreement.......................................................................................6 13 Assignment and Delegation......................................................................................6 14 Copyrights/Patents...................................................................................................7 15 City Employees and Officials..................................................................................7 16 Notices.........................................................................................7 17 Consent....................................................................................................................8 18 Modification.............................................................................................................8 19 Section Headings .....................................................................................................8 20 Interpretation of this Agreement..............................................................................8 21 Duplicate Original....................................................................................................9 22 Immigration...............................................................................................................9 23 Legal Services Subcontracting Prohibited................................................................9 24 Attorney's Fees..........................................................................................................10 25 Survival.....................................................................................................................10 26 Governing Law.........................................................................................................10 27 Signatories.................................................................................................................10 28 Entirety......................................................................................................................10 29 Effective Date.................................................................................11 PROFESSIONAL SERVICES CONTRACT BETWEEN THE CITY OF HUNTINGTON BEACH AND REVENUE & COST SPECIALISTS, L.L.C. FOR PREPARE MASTER FACILITIES PLAN AND DEVELOPMENT IMPACT FEE NEXUS REPORT THIS AGREEMENT ("Agreement") is made and entered into by and between the City of Huntington Beach, a municipal corporation of the State of California, hereinafter referred to as "CITY, and Revenue&Cost Specialists,L.L.C. , a corporation hereinafter referred to as "CONSULTANT." WHEREAS, CITY desires to engage the services of a consultant to prepare a Master Facilities Plan and Development Impact Fee Nexus Report ; and Pursuant to documentation on file in the office of the City Clerk, the provisions of the Huntington Beach Municipal Code, Chapter 3.03, relating to procurement of professional service contracts have been complied with; and CONSULTANT has been selected to perform these services, NOW, THEREFORE, it is agreed by CITY and CONSULTANT as follows: 1. SCOPE OF SERVICES CONSULTANT shall provide all services as described in Exhibit "A," which is attached hereto and incorporated into this Agreement by this reference. These services shall sometimes hereinafter be referred to as the "PROJECT." CONSULTANT hereby designates Scott Thorpe who shall represent it and be its sole contact and agent in all consultations with CITY during the performance of this Agreement. agree/surfnet/professional svcs to$49 12-07 1 of 1 2. CITY STAFF ASSISTANCE CITY shall assign a staff coordinator to work directly with CONSULTANT in the performance of this Agreement. 3. TERM; TIME OF PERFORMANCE Time is of the essence of this Agreement. The services of CONSULTANT are to commence on (Jn -P 3 , 20� (the "Commencement Date"). This Agreement shall automatically terminate three (3) years from the Commencement Date, unless extended or sooner terminated as provided herein. All tasks specified in Exhibit "A" shall be completed no later than one(1)year from the Commencement Date. The time for performance of the tasks identified in Exhibit "A" are generally to be shown in Exhibit "A." This schedule may be amended to benefit the PROJECT if mutually agreed to in writing by CITY and CONSULTANT. In the event the Commencement Date precedes the Effective Date, CONSULTANT shall be bound by all terms and conditions as provided herein. 4. COMPENSATION In consideration of the performance of the services described herein, CITY agrees to pay CONSULTANT on a time and materials basis at the rates specified in Exhibit "B," which is attached hereto and incorporated by reference into this Agreement, a fee, including all costs and expenses, not to exceed Twenty Nine Thousand Nine Hundred Fifty Dollars ($ 29,950,00 ) 5. EXTRA WORK In the event CITY requires additional services not included in Exhibit "A" or changes in the scope of services described in Exhibit "A," CONSULTANT will undertake such agree/surfnet/professionalsvcs to$49 12-07 2 of 2 work only after receiving written authorization from CITY. Additional compensation for such extra work shall be allowed only if the prior written approval of CITY is obtained. 6. METHOD OF PAYMENT CONSULTANT shall be paid pursuant to the terms of Exhibit "B." 7. DISPOSITION OF PLANS, ESTIMATES AND OTHER DOCUMENTS CONSULTANT agrees that title to all materials prepared hereunder, including, without limitation, all original drawings, designs, reports, both field and office notices, calculations, computer code, language, data or programs, maps, memoranda, letters and other documents, shall belong to CITY, and CONSULTANT shall turn these materials over to CITY upon expiration or termination of this Agreement or upon PROJECT completion, whichever shall occur first. These materials may be used by CITY as it sees fit. 8. HOLD HARMLESS CONSULTANT hereby agrees to protect, defend, indemnify and hold harmless CITY, its officers, elected or appointed officials, employees, agents and volunteers from and against any and all claims, damages, losses, expenses, judgments, demands and defense costs (including, without limitation, costs and fees of litigation of every nature or liability of any kind or nature) arising out of or in connection with CONSULTANT's (or CONSULTANT's subcontractors, if any) negligent (or alleged negligent) performance of this Agreement or its failure to comply with any of its obligations contained in this Agreement by CONSULTANT, its officers, agents or employees except such loss or damage which was caused by the sole negligence or willful misconduct of CITY. CONSULTANT will conduct all defense at its sole cost and expense and CITY shall approve selection of CONSULTANT's counsel. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are agree/surfnet/professional svcs to$49 12-07 3 of 3 applicable. The policy limits do not act as limitation upon the amount of indemnification to be provided by CONSULTANT. 9. PROFESSIONAL LIABILITY INSURANCE CONSULTANT shall obtain and furnish to CITY a professional liability insurance policy covering the work performed by it hereunder. This policy shall provide coverage for CONSULTANT's professional liability in an amount not less than One Million Dollars ($1,000,000.00) per occurrence and in the aggregate. The above-mentioned insurance shall not contain a self-insured retention without the express written consent of CITY; however an insurance policy "deductible" of Ten Thousand Dollars ($10,000.00) or less is permitted. A claims-made policy shall be acceptable if the policy further provides that: A. The policy retroactive date coincides with or precedes the initiation of the scope of work (including subsequent policies purchased as renewals or replacements). B. CONSULTANT shall notify CITY of circumstances or incidents that might give rise to future claims. CONSULTANT will make every effort to maintain similar insurance during the required extended period of coverage following PROJECT completion. If insurance is terminated for any reason, CONSULTANT agrees to purchase an extended reporting provision of at least two (2) years to report claims arising from work performed in connection with this Agreement. If CONSULTANT fails or refuses to produce or maintain the insurance required by this section or fails or refuses to furnish the CITY with required proof that insurance has been procured and is in force and paid for, the CITY shall have the right, at the CITY's election, to agree/surfnet/professional svcs to$49 12-07 4 of 4 forthwith terminate this Agreement. Such termination shall not affect Consultant's right to be paid for its time and materials expended prior to notification of termination. CONSULTANT waives the right to receive compensation and agrees to indemnify the CITY for any work performed prior to approval of insurance by the CITY. 10. CERTIFICATE OF INSURANCE Prior to commencing performance of the work hereunder, CONSULTANT shall furnish to CITY a certificate of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverage as required by this Agreement; the certificate shall: A. provide the name and policy number of each carrier and policy; B. state that the policy is currently in force; and C. shall promise that such policy shall not be suspended, voided or canceled ` by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice; however, ten (10) days' prior written notice in the event of cancellation for nonpayment of premium. CONSULTANT shall maintain the foregoing insurance coverage in force until the work under this Agreement is fully completed and accepted by CITY. The requirement for carrying the foregoing insurance coverage shall not derogate from CONSULTANT's defense, hold harmless and indemnification obligations as set forth in this Agreement. CITY or its representative shall at all times have the right to demand the original or a copy of the policy of insurance. CONSULTANT shall pay, in a prompt and timely manner, the premiums on the insurance hereinabove required. agree/surfnet/professional svcs to$49 12-07 5 of 5 11. INDEPENDENT CONTRACTOR CONSULTANT is, and shall be, acting at all times in the performance of this Agreement as an independent contractor herein and not as an employee of CITY. CONSULTANT shall secure at its own cost and expense, and be responsible for any and all payment of all taxes, social security, state disability insurance compensation, unemployment compensation and other payroll deductions for CONSULTANT and its officers, agents and employees and all business licenses, if any, in connection with the PROJECT and/or the services to be performed hereunder. 12. TERMINATION OF AGREEMENT All work required hereunder shall be performed in a good and workmanlike manner. CITY may terminate CONSULTANT's services hereunder at any time with or without cause, and whether or not the PROJECT is fully complete. Any termination of this Agreement by CITY shall be made in writing, notice of which shall be delivered to CONSULTANT as provided herein. In the event of termination, all finished and unfinished documents, exhibits, report, and evidence shall, at the option of CITY, become its property and shall be promptly delivered to it by CONSULTANT. 13. ASSIGNMENT AND DELEGATION This Agreement is a personal service contract and the work hereunder shall not be assigned, delegated or subcontracted by CONSULTANT to any other person or entity without the prior express written consent of CITY. If an assignment, delegation or subcontract is approved, all approved assignees, delegates and subconsultants must satisfy the insurance requirements as set forth in Sections 9 and 10 hereinabove. agree/surfnet/professional svcs to$49 12-07 6 of 6 14. COPYRIGHTS/PATENTS CITY shall own all rights to any patent or copyright on any work, item or material produced as a result of this Agreement. 15. CITY EMPLOYEES AND OFFICIALS CONSULTANT shall employ no CITY official nor any regular CITY employee in the work performed pursuant to this Agreement. No officer or employee of CITY shall have any financial interest in this Agreement in violation of the applicable provisions of the California Government Code. 16. NOTICES Any notices, certificates, or other communications hereunder shall be given either by personal delivery to CONSULTANT's agent (as designated in Section 1 hereinabove) or to CITY as the situation shall warrant, or by enclosing the same in a sealed envelope, postage prepaid, and depositing the same in the United States Postal Service, to the addresses specified below. CITY and CONSULTANT may designate different addresses to which subsequent notices, certificates or other communications will be sent by notifying the other party via personal delivery, a reputable overnight carrier or U. S. certified mail-return receipt requested: TO CITY: TO CONSULTANT: City of Huntington Beach Revenue&Cost Specialists,L.L.C. ATTN: Michael Solorza,Sr.Administrative Analyst Scott Thorpe,Sr.Vice President 2000 Main Street 1519 E.Chapman Avenue,Ste C Huntington Beach, CA 92648 Fullerton,CA 92831 agree/surfnet/professional svcs to$49 12-07 7 of 7 17. CONSENT When CITY's consent/approval is required under this Agreement, its consent/approval for one transaction or event shall not be deemed to be a consent/approval to any subsequent occurrence of the same or any other transaction or event. 18. MODIFICATION No waiver or modification of any language in this Agreement shall be valid unless in writing and duly executed by both parties. 19. SECTION HEADINGS The titles, captions, section, paragraph and subject headings, and descriptive phrases at the beginning of the various sections in this Agreement are merely descriptive and are included solely for convenience of reference only and are not representative of matters included or excluded from such provisions, and do not interpret, define, limit or describe, or construe the intent of the parties or affect the construction or interpretation of any provision of this Agreement. 20. INTERPRETATION OF THIS AGREEMENT The language of all parts of this Agreement shall in all cases be construed as a whole, according to its fair meaning, and not strictly for or against any of the parties. If any provision of this Agreement is held by an arbitrator or court of competent jurisdiction to be unenforceable, void, illegal or invalid, such holding shall not invalidate or affect the remaining covenants and provisions of this Agreement. No covenant or provision shall be deemed dependent upon any other unless so expressly provided here. As used in this Agreement, the masculine or neuter gender and singular or plural number shall be deemed to include the other whenever the context so indicates or requires. Nothing contained herein shall be construed so as agree/surfnet/professional svcs to$49 12-07 8 of 8 to require the commission of any act contrary to law, and wherever there is any conflict between any provision contained herein and any present or future statute, law, ordinance or regulation contrary to which the parties have no right to contract, then the latter shall prevail, and the provision of this Agreement which is hereby affected shall be curtailed and limited only to the extent necessary to bring it within the requirements of the law. 21. DUPLICATE ORIGINAL The original of this Agreement and one or more copies hereto have been prepared and signed in counterparts as duplicate originals, each of which so executed shall, irrespective of the date of its execution and delivery, be deemed an original. Each duplicate original shall be deemed an original instrument as against any party who has signed it. 22. IMMIGRATION CONSULTANT shall be responsible for full compliance with the immigration and naturalization laws of the United States and shall, in particular, comply with the provisions of the United States Code regarding employment verification. 23. LEGAL SERVICES SUBCONTRACTING PROHIBITED CONSULTANT and CITY agree that CITY is not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly 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. agree/surfnet/professional sves to$49 12-07 9 of 9 24. ATTORNEY'S FEES In the event suit is brought by either party to construe, interpret and/or enforce the terms and/or provisions of this Agreement or to secure the performance hereof, each party shall bear its own attorney's fees, such that the prevailing party shall not be entitled to recover its attorney's fees from the nonprevailing party. 25. SURVIVAL Terms and conditions of this Agreement, which by their sense and context survive the expiration or termination of this Agreement, shall so survive. 26. GOVERNING LAW This Agreement shall be governed and construed in accordance with the laws of the State of California. 27. SIGNATORIES Each undersigned represents and warrants that its signature hereinbelow has the power, authority and right to bind their respective parties to each of the terms of this Agreement, and shall indemnify CITY fully for any injuries or damages to CITY in the event that such authority or power is not, in fact, held by the-signatory or is ith`drawn. CONSULTANT's initi s 28. ENTIRETY The parties acknowledge and agree that they are entering into this Agreement freely and voluntarily following extensive arm's length negotiation, and that each has had the opportunity to consult with legal counsel prior to executing this Agreement. The parties also acknowledge and agree that no representations, inducements, promises, agreements or warranties, oral or otherwise, have been made by that party or anyone acting on that party's agree/surfnet/professional svcs to$49 12-07 10 of 10 behalf, which are not embodied in this Agreement, and that that party has not executed this Agreement in reliance on any representation, inducement, promise, agreement, warranty, fact or circumstance not expressly set forth in this Agreement. This Agreement, and the attached exhibits, contain the entire agreement between the parties respecting the subject matter of this Agreement, and supersede all prior understandings and agreements whether oral or in writing between the parties respecting the subject matter hereof. 29. EFFECTIVE DATE IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers. This Agreement shall be effective on the date of its approval by the City Attorney. This Agreement shall expire when terminated as provided herein. CONSULTANT, CITY OF HUNTINGTON BEACH, a municipal corporation of the State of REVENUE & COST SPECIALISTS, LLC California COMPANY NAME By: F'/A,4111 C.F Directs (Pursuant To HBMC§3.03.100) print name ITS: (circle one)Chairma President,Nice President APPROVED AS TO FORM: C _ AND �. G a ��� jam✓ ��'Jp.,City Attorney By: Date du n e- print name ITS: (circle one) ecretar hief Financial Officer/Asst. Secretary—Treasurer agree/surfnet/professional Svcs to$49 12-07 11 of 11 EXHIBIT "A" A. STATEMENT OF WORK: Consultant shall conduct a development impact fee study for various City departments. The study shall consist of two components: A Master Facilities Plan(MFP) - Serves as evidence of a legally supportable schedule of DIFs and provides other collateral purposes such as a CIP and basis for a long range capital financing planning policy document. e Development Impact Fee (DIF)—Required by various land use decision of the U.S. Supreme Court. B. CONSULTANT'S DITTIES AND RESPONSIBILITIES: Consultant shall perform services as specified in Exhibit A.1 of this agreement. In addition, Consultant shall obtain a Huntington Beach Business License upon award of contract. C. CITY'S DITTIES AND RESPONSIBILITIES: City staff shall perform tasks specified in Exhibit A.1. D. WORK PR®GRAMIPR®,IECT SCHEDULE: To be determined. jmp/contracts group/exA/5/20/09 1 of 1 EXHIBIT A.1 Proposal to .Prepare a Master Facilities Plan and Development Impact Fee News Report for the City of Huntington Beach April, 2009 Copyright, 2007, 2008&2009 by Revenue& Cost Specialists, L.L.C. All rights reserved. No part of this work covered by the copyright hereon may be reproduced or copied in any form or by any means --graphic, electronic, or mechanical including any photocopying,recording, taping or information storage and retrieval systems without written permission of Revenue& Cost Specialists, L.L.C. 2545 East Chapman Avenue, Suite 103 Fullerton, CA 92831 (714)992 9020 PROPOSAL Services To Be Provided - The City of Huntington Beach is continuing to experience significant new development as well as additions to and some replacement and remodeling of buildings. This rate of construction and growth continues to drive the demand for significant additions to the City's public facilities. The incremental effect may be gradual, but cumulatively it will directly impact the City's on-going ability to provide basic municipal services. The question confronting every municipality undergoing any growth is, how to pay for these needed capital improvements inevitably needed to serve new development? Growth is at a Cost. A City cannot grow or accommodate new development without incurring infrastructure costs. The "costs" of development will be paid either in the form of new capital projects financed by impact fees imposed upon those that are creating the new costs, or in the alternative, paid for by the entire existing population. The third cost option is to entirely ignore the need for additional infrastructure and have the service level to the existing residents and business community decline. Who Pays? Development raises the question of how to avoid levying charges against existing taxpayers in the City when the costs are being generated entirely by new development. In response many cities have begun to look to development impact fees, which are direct charges to the developments for capital equipment, facilities, and allied expenses. The federal courts have issued numerous rulings on the takings issue, that is the unfair or unreasonable imposition of conditions (i.e. impact fees, dedications, etc.) on private developers in exchange for permission to build on their laud. A development impact fee calculation and nexus statement is required by precedence or such calculations cannot be levied as fees. A nexus, or relationship between the conditions being required by the land- use decision-making agency and the impact being caused by the private development, must be demonstrated or justified. Additionally, the California State legislature approved AB1600 which specifically authorizes the imposition of impact fees, but also defines limits for their application. Neither of the above rulings/statutes, make finding a nexus a snipe hunt nor do they create an undue burden on public agencies. They merely require government to demonstrate that they have a well thought-out plan for community growth and a reasonable revenue stream (DIFs)with which to support that plan. Good and reasonable government efforts can readily identify the capital costs of approving private property development. It merely takes an effort to try. Most federal court cases, turn on one issue, that the agency that imposed the condition had little if any.evidence in support the requirement or exaction. The City is now prepared to create the evidence necessary to support the need for and the imposition of impact fees. To insure that the City can continue to provide basic municipal services, RCS proposes to complete Development Impact Fee Calculation and Nexus Report fully supported by a City of Huntington Beach MFP and DIF Proposal Apral, 2009 Master Facilities Plan. The two components are now described in detail (and are further referred to as MFP or the DIFs). Master Facilities Plan (MFP) Component - Revenue & Cost Specialist staff proposes to prepare an Extended MFP' (through "theoretical general plan build-out"') for the City. This document serves as evidence of a legally-supportable schedule of DIFs and provides other collateral purposes such as a CIP and basis for a long range capital financing planning policy document. A sample of a Master Facilities Plan detail page is included as Appendix A. Scope of Work. RCS will perform the following specific steps: 1. Prepare a project identification, description, cost estimate and request form for the submission to City departments. 2. Meet with planning staff to identify the service area boundaries of the City and distribute the information to the other participating departments. 3. Identify the existing Levels of Service (LOS) provided by the infrastructure and appropriations currently afforded by the City. 4. Meet with City staff responsible for each infrastructure (infrastructure managers) to assist in the identification of all projects needed through theoretical build-out via use of master plans, specific plans, and other service requirement studies. The greater the back-up detail available supporting the project need and the costs, the better. The greatest support is an engineer- prepared Master Plan. If such a document is not available, RCS will endeavor to increase the validity of available information. 5. Develop draft four-year and extended project lists incorporating the input from steps # 1 through 4 and attend a review meeting with Council for final modification and consensus of the Master Facilities Plan project list. The MFP provides the "build-out" detail necessary to support the Development Impact Fee calculation process described next. While the work defined above in the MFP component 1 Defined as first four years and remaining years through build-out. 2 The point in time when there is little if any private development opportunity that results in increased demand for City services. 2 City of Huntington Beach MFP and DI'Proposal April, 2009 is discretionary, the data generated and compiled is critical to serving the community, Council and staff in terms of improved public policy making, public information and long- term planning. The MFP detail pages serve an additional important purpose. They provide an audit trail for future updates. Development impact fees, to remain valid and financially relevant, need to be updated on a routine basis'. Experience, gained over the past eight to ten years, has shown us that without adequate detail, key project cost information can become lost. Thus RCS recommends that a minor additional effort now, creating MFP detail pages, will save a great deal of time later, during the succeeding updates. Development Impact Fee Component (Calculation Report) - This Component is required by various land use decisions of the U.S. Supreme Court, and must be undertaken or Development Impact Fees will not be legally accepted as fees. Upon completion'of the City's MFP, RCS would perform the following to complete the Development Impact Fee calculation and quantify the costs generated by new development in terms of a Development Impact Fee for City land uses as defined later in this Proposal. RCS will quantify the impact of capital projects, their nexus with development projects, and establish a recommended an updated development impact fee for each of the following; 1. Law Enforcement Facilities, Vehicles and Equipment 2. Fire Suppression/Medic Facilities, Vehicles and Equipment 3. Local Circulation (streets, signals and bridges) System 4. Storm Drainage Collection System Facilities 5. General Facilities, Vehicles and Equipment(City Ball and corporate yard) 6. Public library Facilities (and Library Enrichment) 7. Public Use (community center) Facilities 8. Parkland and Open Space Acquisition and Recreation/Trails Facilities Development, and any other Americans with Disabilities Act compliance.needed for any of the above infrastructure areas and any infrastructure allowed by Government Code§66000, et. seq. Scope of Work. To provide the basis for the Development Impact Fees the following steps would be taken by the Revenue &Cost Specialist staff, working with any consultant(s) and 3 RCS recommends that DIFs be updated every year with an appropriate cost inflation factor and updated every 3-4 years. 3 City of Huntington Beach MPP and DIF Proposal April, 2009 City staff where necessary and appropriate: 1.Review all City maps, land use documents and available master plans, especially the Comprehensive General Plan. Conduct a field "windshield" survey to become acquainted with the physical characteristics and general improvement needs and standards of the City. Collect all previously completed development Impact Fee studies and reports for review and continued application. 2.Discuss the City planning and capital financing process and community develop- ment standards with the City Engineer, City Planner, Finance Director and the City project contact, to determine the level of improvements which most likely will evolve from the project planning documents and are needed to support, and give validity to, the City's Comprehensive General Plan. 3.By working with appropriate staff, develop a specific list (with costs) of needed standards and improvements, (from the Master Facilities Plan process), for each of the previously proposed Development Impact Fee infrastructure areas. 4.Work with the City Planner to identify the land use acreage, where applicable, for each of the following existing and planned categories of use: Residential: Detached Dwellings Attached Dwellings Mobile Homes Commercial Lodging Commercial Uses Office Uses Industrial Uses TOTAL 4 City of Huntington Beach MFP and DIF Proposal April, 2009 5. Identify and analyze the "demand drivers" specific to each infrastructure or service area. The "drivers" are the factors of nexus demand related to each land use and would be based upon the project plans or City productivity records. 6. Apply the RCS nexus factors/formulas for the distribution of the benefits of and impact of each group of projects on each of the above categories of land use. Undertake the proportional analysis necessary to identify the appropriate burden to be placed upon both the existing and future infrastructure. 7. Make every effort to advise, seek input from, and in general to explain the work as it is being performed to interested parties by attending meetings of various groups. Meet with any local chapter of organized builders or contractors to explain the process and receive any constructive input. 8. Identify any excess capacity provided by the existing infrastructure, the cost for which may be recovered from future residents and businesses. 9. Develop a specific fee structure for each of the previously listed (and existing) development impact fees. 10. Meet with the City Attorney to review the relevant California State Statutes, specifically Government Code §66000, et. seq., relating to land use and definition of fees in light of current United States Supreme Court rulings. 11. Prepare a comprehensive report consisting of the fee-structures and the relevant and necessary nexus text and present the City with an adequate and sufficient number of copies the Report (cover stock) with recommended fees, along with a digitized copy for website application. One draft report(cycle) is included in the proposal. 12. Attend necessary City Council/Committee study sessions/public hearings explanations of the resultant fees, and the process through which they were deter- mined. Staff Time Required - RCS will require some Department Head, City Planner, City Engineer, Finance Director time, as set out herein, to develop the basic cost distribution structure, once the capital needs are identified by the various planning documents and approved by Council (see Master Facilities Plan identified above). During the MFP/DIF process, RCS cannot decide what facilities the City needs or wants, nor set development standards for the City. City staff retains the primary responsibility for 5 City of Huntington Beach MF'P and LDIF Proposal April, 2009 determining the projects needed for the desired service levels or necessary to support the General Plan and its many elements. RCS must rely upon various reports, master plans, specific plans, and other related reports identifying needed infrastructure. Time requirements will vary depending upon the current availability of needed information. As an example, a current master plan will reduce the time necessary for project identification and costing. Lack of one will require an engineer's time in creating the costing information. RCS will endeavor to limit the amount of time needed from the above staff members. However, RCS and any other contractual specialist are dependent upon City staff for the data that identifies the policies of the City Council. The result will be a set of fully- supportable development impact fees that will allow the City to grow while maintaining the current levels of service. Fee for Services-The City has indicated the need for impact fees based upon the provision of public safety, circulation, drainage, general facilities, public facilities and park land acquisition and park facilities development. Based upon these requests and the proposed scope of work, the fee for our services for the various components is the following: e Master Facilities Plan Document $1,750 Development Impact Fee Calculation(1) $28,000 Textual Nexus Support Document(DIF Report) Included EI Travel and Commercial Delivery Charges. RCS will also bill for travel costs and commercial mailing costs to a not-to-exceed amount of$200 as follows: • Mon-commercial car mileage will be charged at $0.585 per mile; and, ® Mail and commercial delivery charges as incurred. The previously mentioned flat rate fees cover costs except any required business license, insurance coverage beyond normal RCS coverage, travel, general liability and workers compensation requiring an additional premium, sales tax or any other tax imposed on these fees or RCS salaries which if required by the City would be added to the final invoice. 6 City of Huntington Beach MFP and DIF Proposal April, 2009 This Proposal and cost for services are in effect and will be honored until January 1, 2010. Invoicing Schedule. RCS will submit five equal invoices totaling the fee for services. First invoice .................................. Two weeks after the kick-off meeting. Second Invoice ......................Upon submission of the draft MFP document. Third Invoice ............................ Upon submission of the draft DIF Report. Fourth Invoice............................Upon submission of the final DIF Report. Fifth and Final Invoice............. 30 days after submission of final DIF Report. Recovery of Proposal Fees by the City-In order to insure that the existing citizens are not unwittingly subsidizing the cost of development, the costs of undertaking this project can and should be recaptured from one of two possible methods. The first method of recovery would be through the application of a calculated overhead rate applied upon the collection of DIFs. The overhead rate should be calculated to generate adequate monies for additional staff hours required for the necessary accounting, annual auditing, and the updating of DIFs. An alternative to the above recovery method would be to capitalize the cost of the DIF calculations and include it as a project cost to be recovered directly from the DIF collections. RCS strongly recommends consideration of one of these options. References - We have completed similar Master Facilities Plan and Development Impact Fee projects for the following jurisdictions (including updates). They are identified on the following page. We would request you to contact clients listed for references regarding our understanding of the nature of municipalities and of the quality of our work. Jurisdiction Contact Title City of Ontario Grant Yee Admin. Svcs. Dir. 909/395-2000 Otto Kroutil Comm. Dev. Dir. City of Loma Linda Dennis Halloway City Manager 909/799-2800 Diana De Anda Finance Manager City of Big Bear Lake James Miller Bldg./Planning Mgr. 909/878-4511 Kelly Ent Dir. Of Admin. Svcs. City of Barstow Richard Rowe City Manager 760/256-3531 Mark Murphy Economic Development 7 City of Huntington Beach MFP and DIF Proposal April, 2009 Jurisdiction Contact Title City of Newport Beach Sharon Z. Wood Asst. City Manager 951/270-5650 Richard Edmonston, P.E. P.W. Engineering City of Chino Jim Hill Asst. P.W. Dir. 909/464-8391 David Cain Finance Director Project Staff Scott I. Thorpe, Senior Vice President, will manage the project and undertake the Master Facilities Plan and Development Impact calculation effort. His professional qualifications are attached hereto as Appendix B. Cost-Conscious Municipal Operations - The principles and staff of Revenue & Cost Specialist have well-deserved reputations for their long-standing efforts in bringing cost- consciousness to municipal operations and the considerable management advantages of such. The RCS principals have conducted a total of more than 300 consulting engagements. We also have other municipal accountants and analysts available to us, as needed. The RCS Staff have also contributed to the body of text of general public financial management information through publication of articles and other writings. They are available for downloading from our website www.reveituecost.com. Available is: "Financing Capital Improvements" was published in the Journal (of the) American Water Works .Association, August, 1991, pages 50-52. This article, written at the AWWA's request, illustrates the continuing importance of the capital improvement planning process and simplifies its veneer of complexity. It also demonstrates RCS's understanding of the relationship of the DIFs to the City's Comprehensive General Plan and overall capital planning process. Impact Fees: Practical Guide for Calculation and Implementation is considered by some to be the most concise primer on the calculation of impact fees. This paper was presented to the American Society of Civil Engineers at the Society's annual land management conference and was then selected for publication in their September, 1992 Journal of Urban Planning and Development, (Vol. 18, No. 3), pages 106-118. This document suitably demonstrates RCS's understanding of the nexus requirement for legally-supportable impact fees. Conflict of Interest - No principal of RCS has any interests in the City of Huntington Beach, financial or otherwise that would preclude the completion of impartial work. RCS would be willing to complete such declarations and file them with the City Clerk. 8 City of Huntington Peach MFP and DIF Proposal April, 2009 Legal Advice-RCS is not authorized to practice law, however we will offer management advice on issues related to impact fee setting. The City is advised to verify the legality of such issues prior to attempting to adopt ordinances, resolutions and code modifications. Insurance Certificates-RCS maintains adequate levels of insurance and will provide proof to the City Clerk. Reservation of Rights -Some of the concepts discussed in this proposal are considered to be proprietary and are the property of Revenue & Cost Specialist. All rights are reserved and no part of this work may be reproduced or copied in any form without written permission of RCS. Express permission is hereby granted to Huntington Beach to make sufficient copies of this proposal to permit evaluation thereof. No other use or distribution of this document is permitted. The Revenue & Cost Specialist staff looks forward to being of assistance in bringing the management advantages and the revenue fairness and equity benefits of our System to the City, the.Mayor, its City Council, and their constituents, and to City staff. END 9 APPENDIX A Sample Master Facilities Plan Project Detail page itti;;:;:;?:{:}:;i{:<:?}::?::S::t`}}j vie:•:•:is City 1 o �to Il Bea ch fH Master Facilities ties Plan Pro Ject Detail Project Title: Program: Widen and improve Springdale Street from Edinger Avenue to Slater Circulation(Streets, Signals and Bridges)System Avenue. Submitting Department(s): Project No.: Public Works-Engineering ST-Ol Project Description: Widen the remaining two lane sections of Springdale Street to a a full width collector from Edinger Avenue to Slater Avenue. Justification/Requirement for Project: The Circulation Element of the City of Huntigton Beach's General Plan has identified the widening of Springdale Street to a full four lane collector as necessary to maintain the existing level of service. Failure to make the Circulation Element's proposed improvements would ultimately reduce the City's transportation Level of Service to LOS "F"at the intesection of Springdale Street and Edinger Avenue. Consequences of Not Completing Project: The project also requires the relocation of numerous utility poles and a fifteen specimen sized palm trees. These costs are included. X. Reference Document: Project Timing: The City of Huntington Beach's Circulation Element based of the Project timing is not a component of this current effort. Therefore all City's General Plan. projects default to the"201 I-12 to Build-out" column. 2 _:; •:: •:01 14.•3 Total PROPOSED 2009-10 2010-11 2011-12 2012-13 through all EXPENDITURES Build-out Years Design/Engineering/Admin. $0 $0 $0 $0 $375,000 $375,000 Land Acquisition/Right.of Way $0 $0 $0 $0 $175,000 $175,000 Construction $0 $0 $0 $0 $21500,000 $2,500,000 Contingency $0 $0 $0 $0 $250,000 $250,000 Equipment/Other $0 $0 $0 $0 $171,600 $171,600 TOTAL COST $0 $0 $0 $0 $3,471,600 $3,471,600 's's Potential Funding Sources: A combination of unobligated monies from a variety of funds, impact fees,and specific agreements. The construction of some projects may be required as a condition of development. >x=: APPENDIX E Resumes SCOTT LAN THORPE EDUCATION Bachelor of Public Administration(B.P.A.)-San Diego State University Master of Public Administration(M.P.A.)-California State University Fullerton PROFESSIONAL EXPERIENCE Revenue&Cost Specialists,L.L.C.-Senior Vice President (1998-Present)The principals of Management Services Institute formed Revenue&Cost Specialists,as an LLC. Management Services Institute-Senior Vice President . (1985-1998)Principal in a municipal management services company providing diversified financial services. City of Brea-Management and Budget Manager (1984-1985)Developed budget preparation and management information reporting systems. Established personal computer operations including acquisition,placement,and maintenance of all equipment to initial and on-going employee training. Created a comprehensive legislative program for reviewing all federal,state,and local legislation. City of Anaheim-Budget Analyst/Management Operations Auditor (1979-1984)Assisted in the preparation of$350,000,000 annual budget. Provided centralized management support and assistance of line departments with a variety of services including work measurement and management techniques program development, productivity improvement, internal management audits, budget review/analysis, revenue forecasting and auditing,data processing systems development.Specialized in management assistance to public safety,stadium, convention center,and golf operations. Responsible for fiscal,work-unit measurement and management training sessions required of all city management staff. City of Covina-Administrative Assistant to the City Manager (1974-1979)Performed general program development with significant emphasis on the improvement of the budget process, legislative, public information, and agenda process systems. Conducted major annexation study and effort. City of Chula Vista-Administrative Aide (1973-1974)Entry level job which involved completion of a City-wide Policy and Procedure Manual,operation reviews of long term fire vehicle equipment purchases and of the municipal bus system stop locations. OTHER ACCOMPLISHMENTS ABC Elementary School District Closure Project-Enrollment Projections Charter Oak Unified School District Facility Closure Committee-Board Appointee Lecturer on various municipal government/management topics at two universities PUBLICATIONS (Both available at www.reveanecost.com) "Financing Capital Improvements",Journal American Water Works Association,August, 1991,pages 50-52 "Impact Fees: Practical Guide for Calculation and Implementation",Journal of Urban Planning and Development,Vol. 18,No. 3, September, 1992,pages 106-118 Resume of Scott Ian Thorpe, continued CLIENTS SERVED DEVELOPMENT IMPACT FEES DEVELOPMENT IMPACT FEES(continued) City of Alhambra Utilities,CA City of Sedona,AZ(1) City of Anaheim CA,Fire/Police/Library Services(1)(2) City of Selma,CA(1) Town of Apple Valley,CA City of Sierra Madre,CA Antelope Valley Fire Protection District,CA SANBAG,CA Apple Valley Fire Protection District,CA City of San Bernardino,CA(1) City of Atascadero,CA(1) County of San Bernardino,CA City of Barstow,CA Bridge/Interchange City of Scotts Valley,CA City of Barstow,CA South Jordan City,UT(1) Barstow Fire Protection District,CA South Ogden City,UT Bridegeport Fire Protection District,CA City of Thousand Oaks,CA,Review Existing Impact Fees City of Big Bear Lake,CA(1) City of Tracy,CA Public Facilities Brigham City Corporation,UT Town of Truckee,CA Carpinteria-Summerland,CA Fire Protection District(1) City of Tulare,CA Chalfant Public Services(Fire)District,CA Washington Terrace City,UT City of Carpinteria,CA(1) West Jordan City,UT City of Chino,CA(1) Wheeler Crest(CA)Fire Protection District City of Chino Preserve(Sub-area 11) City of Wheatland,CA City of Coachella,CA City of Whittier,CA,Parkland and Facilities(2) City of Corona,CA(1) City of Corona-South Corona Specific Plan Impact Fees City of Desert Hot Springs,CA(1) MASTER FACILITIES PLANS/ClPs City of Folsom,CA(1) City of Gilroy,CA,Review of Existing DIFs City of Anaheim,CA Police/Fire/Library Services(1)(2) City of Glendale CA,Parks,Open Space and Community Facilities Town of Apple Valley,CA City of Gonzales,CA (1) Apple Valley Fire Protection District City of Grand Terrace,CA Antelope Valley Fire Protection District City of Greenfield,CA,Police/Fire/Community Centers City of Atascadero,CA Feather River Recreation and Park District City of Barstow,CA City of Hemet,CA(1) Barstow Fire Protection District,CA City of Highland,CA(1) Bridgeport Fire Protection District,CA June Lake(CA)Fire Protection District City of Big Bear Lake,CA(5110 year) King City,CA(1) Brigham City Corporation,UT City of Lake Havasu City,AZ City of Carpinteria,CA City of Lemoore,CA Carpinteria-Summerland Fire Protection District Long Valley(CA)Fire Protection District Chalfant Public Services(Fire)Protection District City of Loma Linda,CA City of Chino,CA(1) Town of Mammoth Lakes,CA(1) City of Corona,CA(1) County of Monterey Sheriffs Department DIFs(2) City of Folsom,CA(1) City of Morgan Hill,CA City of Desert Hot Springs,CA(1) City of Murrieta,CA(1) City of Gonzales,CA City of Needles,CA(1) City of Grand Terrace,CA City of Newport Beach, CA Circulation System DIFs City of Greenfield,CA City of Norco,CA City of Highland,CA(1) City of North Ogden City,UT June Lake(CA)Fire Protection District North Central Fire Protection District,CA King City,CA North View Fire Department,UT City of Lake Havasu City,AZ City of Ontario,Core/New Model Colony,CA(1) City of Lancaster,CA City of Orange-Fire Services,CA City of Loma Linda,CA City of Oroville,CA Long Valley(CA)Fue Protection District Town of Paradise,CA Town of Mammoth Lakes,CA(1) City of Paso Robles,CA City of Murrieta,CA(1) City,of Petaluma,CA City of Needles,CA City of Rancho Cordova CA,Circulation System DIFs City of Newport Beach City of Reedley,CA City of Norco,CA City of Rialto,CA North Ogden City,UT City of Riverside,CA Public Safety Services North Central Fire Protection District City of Riverside,CA,Parks/Open Space(K-Rat Habitat) City of Santa Paula,CA(1) (1)Includes one or more impact fee calculation updates (2)Project in progress Resume of Scott Ian Thorpe, continued MASTER FACILITIES PLANS/CIPs(continued) MUNICIPAL BUSINESS SYSTEM COST OF SERVICES City of Ontario,CA CALCULATIONS City of Oroville,CA City of Orange,CA Fire Suppression System City of Azusa,CA Town of Paradise,CA City of Banning,CA City of Paso Robles,CA City of Brea,CA City of Rancho(CA)Cordova Circulation System City of Riverside. City of Bend,OR CA Police/Fire Services City of Carpinteria,CA City of San Bernardino,CA City of San Bernardino,CA City of Carson,CA City of Santa Paula,CA(1) City of Chino,CA City of Sedona,AZ Chino Valley Independent Fire District,CA City of Selma,CA(1) City of Corona,CA South Jordan City,UT(1) City of Cotati,CA South Ogden City,UT City of Fontana,CA City of Tracy,CA,Public Facilities City of Hesperia,CA Town of Truckee,CA City of Highland,CA City of San Bernardino,CA City of Kennewick,WA City of San Bernardino,CA City of Lake Elsinore,CA Wheeler Crest(CA)Fire Protection District City of Long Beach,CA,Marine Bureau City of Wheatland,CA City of Lynwood,CA City of Whittier Park System City of Ontario,CA,Fire Department City of Porterville,CA MISCELLANEOUS PROJECTS City of Rancho Mirage,CA City of Redlands,CA City of Azusa,CA-Bldg.Plan Check/Inspection Process Review City of Rialto,CA Brigham City Corporation-Closed Indian School Use Conversion. City of Rocklin,CA City of Colton,CA-Electric Utilities Collection Procedural Manual South Jordan City,UT City of Corona,CA-I-15 Area Public Safety Facility Financing City of Shafter,CA City of Corona,CA-Communication Repeater Cost Financing City of Taft,CA City of Fontana,CA-General&Departmental Overhead Plan City of Upland,CA City of Hemet,CA-Supplemental DIF-Public Peril Report City of West Covina,CA City of Highland,CA-Capital Financing Plan City of Highland,CA-Fee and Rate Schedule County of Imperial,CA City of Lake Havasu City,AZ-Capital Financing Plan County of Ventura Consolidated Fire District,CA Los Angeles Fire/Police Retirement System-Fiscal Review City of Needles-Development Agreement Assistance City of Milpitas-Business License Ordinance Review City of Redlands, CA - Corporation Yard Debt Financing Cost Distribution City of Redlands,CA-Solid Waste Collection/Landfill Rate Study City of Redlands,CA-Street Sweeping Rate Study City of Pico Rivera-Business License Ordinance Review City of Port Hueneme,CA-Revenue Search Report San Bernardino County,CA,Special Dist.Office,Finance Review City of San Clemente Business License Review San Diego City-Building&Safety Fee Litigation Assistance San Diego County Counsel-Impact Fee Use Litigation Assistance City of Santa Paula Park General Plan Element City of Seaside-Hayes Housing Development Service Demands South Jordan City-Business Regulation Costing 1)Includes one or more impact fee calculation updates City of South Lake Tahoe, CA - Transfer of Custody Cost (2)Project in progress Verification City of Westminster,CA-Productivity Measurement Module Town of Windsor,CA-Long Range Capital Financing Plan City of San Bernardino,CA-Verdemont Area Financing Analysis INTERNATIONAL MUNICIPAL MANAGEMENT TRAINING Slovenia Ministry of Local Affairs(municipal services) Philippine Ministry of Economic and Capital Development EXHIBIT "B" Payment Schedule 1. Charges for time during travel are normally not reimbursable and will only be paid if such time is actually used in performing services for CITY or as otherwise arranged with CITY. 2. CONSULTANT shall be entitled to a full payment towards the fixed fee set forth herein in accordance with the following fee schedule: Fee for Services Total Master Facilities Plan Document $1,750 Development Impact Fee Calculation $28,000 Textual Nexus Support DIF Report) Included Travel and Commercial Delivery Charges * $200 Total $29,950 * Consultant will bill for travel costs and commercial mailing costs to a not-to-exceed amount of $200 as follows: ® Non-commercial car mileage of$0.585 per mile ® Mail and commercial delivery charges as incurred Total fees shall not exceed Twenty Nine Thousand Nine Hundred Fifty Dollars ($29,950.00). CONSUTANT agrees to inform the CITY when CONSULTANT is at the point of reaching the maximum limit. CONSULTANT shall not continue with any work effort over the amount of the maximum limit unless first authorized in writing by City authorized representative(s). 3. Delivery of work product: A copy of every memorandum, letter, report, calculation and other documentation prepared by CONSULTANT shall be submitted to CITY to demonstrate progress toward completion of tasks. In the event CITY rejects or has comments on any such product, CITY shall identify specific requirements for satisfactory completion. 4. CONSULTANT shall submit to CITY five equal invoices for each progress completed: First invoice Two Weeks after the kick-off meeting Second invoice Upon submission of the draft MFP document Third invoice Upon submission of the draft DIF Report Fourth invoice Upon submission of the final DIF Report Fifth &Final Invoice 30 days after submission of final DIF Report jmp/contracts group/exB-1/5/20/09 1 EXHIBIT B Alternative#1 Such invoice shall: 1) Reference this Agreement; 2) Describe the progress completed; 3) Show the total amount of the payment due; 4) Include a certification by a principal member of CONSULTANT's firm that the work has been performed in accordance with the provisions of this Agreement; and 5) For all payments include an estimate of the percentage of work completed. Upon submission of any such invoice, if CITY is satisfied that CONSULTANT is making satisfactory progress toward completion of tasks in accordance with this Agreement, CITY shall approve the invoice, in which event payment shall be made within thirty (30) days of receipt of the invoice by CITY. Such approval shall not be unreasonably withheld. If CITY does not approve an invoice, CITY shall notify CONSULTANT in writing of the reasons for non-approval and the schedule of performance set forth in Exhibit "A" may at the option of CITY be suspended until the parties agree that past performance by CONSULTANT is in, or has been brought into compliance, or until this Agreement has expired or is terminated as provided herein. 5. Any billings for extra work or additional services authorized in advance and in writing by CITY shall be invoiced separately to CITY. Such invoice shall contain all of the information required above, and in addition shall list the hours expended and hourly rate charged for such time. Such invoices shall be approved by CITY if the work performed is in accordance with the extra work or additional services requested, and if CITY is satisfied that the statement of hours worked and costs incurred is accurate. Such approval shall not be unreasonably withheld. Any dispute between the parties concerning payment of such an invoice shall be treated as separate and apart from the ongoing performance of the remainder of this Agreement. imp/contracts group/exB-1/5/20/09 2 EXHIBIT B Alternative#1 AC RE CERTIFICATE OF LIABILITY INSURANCE DATE(MM/DWYYYY) 05/12/2009 PRODUCER (909)931-1S00 FAX (909)932-2133 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION . Kessler Alair Ins. Services, Inc. ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE License # OA 91387 HOLDER.THIS CERTIFICATE DOES NOT AMEND,EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. 2335 W Foothill Blvd., Ste. 1 Upland, CA 91786 INSURERS AFFORDING COVERAGE NAIC# INSURED Revenue Cost Specialist, LLC INSURER A: Philadelphia Insurance Companies Attn: Sheila Allen INSURER B: 1S19 East Chapman Avenue, Suite #C INSURERC: Fullerton, CA 92631-4031 INS URERD: INSURER E: COVERAGES 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.AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR DD' POLICY EFFECTIVE POLICY EXPIRATION LTR NSR TYPE OF INSURANCE POLICY NUMBER DATE MM/DD/YYY DATE MM/D LIMITS GENERAL LIABILITY PHSD38S267 12/31/2008 12/31/2009 EACH OCCURRENCE $ 1,000,00 X COMMERCIAL GENERAL LIABILITY REMISES Ea ocarrence $ S00,00 CLAIMS MADE ®OCCUR MED EXP(Any one person) $ S,000 A X Non-Owned & Hired PHSD38S267 12/31/2008 12/31/2009 PERSONAL BADVINJURY $ 11000,00 Automobile Li ab. GENERAL AGGREGATE $ 2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: PRODUCTS-COMP/OP AGG $ 11000,000 POLICY PRO- 1-1 LOC JECT AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT $ ANY AUTO (Ea accident) ALL OWNED AUTOS BODILY INJURY $ SCHEDULED AUTOS (Per person) HIRED AUTOS -�y�, BODILY INJURY $ NON-OWNED AUTOS 2VED AS 10 O (Per accident) / PROPERTY DAMAGE $ (Per accident) GARAGE LIABILITY !!! AUTO ONLY-EA ACCIDENT $ ANY AUTO EA ACC $ OTHER THAN AUTO ONLY: AGG $ EXCESS/UMBRELLA LIABILITY PHUB264S37 01/29/2009 12/31/2009 EACH OCCURRENCE $ 11000,00 X OCCUR CLAIMS MADE AGGREGATE $ 1,000,000 A Products & Comp $ 1,000 00 DEDUCTIBLE Aggregate $ X RETENTION $ 10,000 $ WORKERS COMPENSATION WC STATU- - AND EMPLOYERS'UABILITY Y/N TORY LIMITS ER ANY PROPRIETOR/PARTNER/EXECUTIVE❑ E.L EACH ACCIDENT $ OFFICEWMEMBER EXCLUDED? (Mandatory In NH) E.L.DISEASE-EA EMPLOYE $ If yes,describe under SPECIAL PROVISIONS below E.L.DISEASE-POLICY LIMIT $ OTH PHSD38S267 12/31/2008 12/31/2009 $1,000,000 EACH CLAIM A ro!Fessional Liability $1,000,000 ANNUAL AGGREGATE $2,500 DEDUCTIBLE EACH CLAIM DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES!EXCLUSIONS ADDED BY ENDORSEMENT/SPECIAL PROVISIONS dditional Insured is City of Huntington Beach - City Hall, its officers officials, employees and volunteers as per attached, PI-BP-001 (9-OS) endorsement IN THE EVENT OF NON-PAYMENT OF PREMIUM A 10 DAY NOTICE SHALL APPLY* CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF,THE ISSUING INSURER WILL ENDEAVOR TO MAIL *30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT,BUT FAILURE TO DO SO SHALL City of Huntington Beach-City Hall IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER,ITS AGENTS OR 2000 Main Street REPRESENTATIVES. Huntington Beach, CA 92648 AUTHORIZED REPRESENTATIVE Mar Strohman MARY C. ACORD 25(2009/01) ©1988-2009 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD IMPORTANT If the certificate holder is an ADDITIONAL INSURED,the policy(ies)must be endorsed.A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). If SUBROGATION IS WAIVED,subject to the terms and conditions of the policy,certain policies may require an endorsement.A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). DISCLAIMER This Certificate of insurance does not constitute a contract between the issuing insurer(s),authorized representative or producer,and the certificate holder,nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon. ACORD 25(2009/01) Sew j CITY OF HUNTINGTN BEACH wf - Professional Service Contracts Purchasing Certification 1. Date: 5/22/2009 2. Contract Number: FIN 00902200 3. Department: Finance 4. Requested by: Michael Solorza 5. Name of consultant: Revenue and Cost Specialists, LLC 6. Attach the written statement of the specification, conditions, and other requirements for the requested services provided to solicited consultants. See Exhibit A 7. Amount of the contract: $29,950 8. Are sufficient funds available to fund this contract?' ® Yes ❑ No 9. Is this contract generally described on the list of professional service contracts approved by the City Council?' ® Yes ❑ No 10. Business Unit and Object Code where funds are budgeted: 10040101.69365 11. Is this contract less than $50,000? ® Yes ❑ No 12. Does this contract fall within $50,000 and $100,000? ❑ Yes ® No 13. Is this contract over$100,000? ❑ Yes ® No (Note: Contracts requiring City Council Approval need to be signed by the Mayor and City Clerk. Make sure the appropriate signature page is attached to contract.) 14. Were formal written proposals requested from at least three available qualified consultants? ❑ Yes ® No 15. Attach list of consultants from whom proposals were requested (including a contact telephone number). N/A -Agreement is exempt from bid process as per MC 3.03.080(c). 16. Attach proposed scope of work. See Exhibit A 17. Attach proposed payment schedule. See Exhibit B Department Head Signature RIC R AMADRIL Centr ervices Manager 1. If the answer to this question is "No,"the contract will require approval from the City Council. PI-BP-001 (9/05) THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BUSINESSOWNERS POLICY-ELITE ENHANCEMENT This endorsement modifies insurance provided under the following: BUSINESSOWNERS LIABILITY COVERAGE FORM BUSINESSOWNERS SPECIAL PROPERTY COVERAGE FORM It is understood and agreed that the following extensions only apply in the event that no other specific coverage for the indicated loss exposures are provided under this policy. If such specific coverage applies, the terms,conditions and limits of that coverage are the sole and exclusive coverage applicable under this policy. Throughout this endorsement the words"you"and"your"refer to the Named Insured shown in the Declarations. The words"we", "us"and"our"refer to the Company providing this insurance. Part 1: Property Coverane Enhancements: The following amendments are a part of the BUSINESSOWNERS SPECIAL PROPERTY COVERAGE FORM: 1. Increased Glass Limits Section A.Coverage,item 4.b.is replaced by. b. With respect to glass(other than glass building blocks)that is part of the interior of a building or structure,or part of an outdoor sign,we will not pay more than$3,000 for the total of all loss or damage in any one occurrence. This Limitation does not apply to loss or damage by the"specified causes of loss",except vandalism. 2. Increased Fire Department Service Charge Section A.Coverage, item 5.c. is replaced by: c. Fire Department Service Charge When the fire department is called to save or protect Covered Property from a Covered Cause of Loss,we will pay up to$3,000 for your liability for fire department service charges: (I)Assumed by contract or agreement prior to loss;or (2)Required by local ordinance. 3. Reduced Waiting Period and Longer Duration for Civil Authority Coverage Section A.Coverage, item 5.i.is replaced by: 1. Civil Authority We will pay for the actual loss of Business Income you sustain and necessary Extra Expense caused by action of civil authority that prohibits access to the described premises due to direct physical loss of or damage to property,other than at the described premises,caused by or resulting from any Covered Cause of Loss. The coverage for Business Income will begin 48 hours after the time of that action and will apply for a period of up to three consecutive weeks after coverage begins. Page 1 of 5 Includes copyright material of the tnsurance Services Office.Inc.used with its permission. PI-BP-001 (9/05) The coverage for necessary Extra Expense will begin immediately after the time of that action and ends: (1) 5 consecutive weeks after the time of that action;or (2) When your Business Income coverage ends;whichever is later. The definitions of Business Income and Extra Expense contained in the Business Income and Extra Expense Additional Coverages also apply to this Civil Authority Additional Coverage. The Civil Authority Additional Coverage is not subject to the Limits of Insurance. 4. Broadened Personal Property Coverage Section A.Coverage,item 1.b., the first paragraph is replaced by: b. Personal Property located in or on the buildings at the described premises or in the open(or in a vehicle)within 1,250 feet of the described premises, including: 5. Increased limits for Personal Property Off Premises Section A.Coverage, item 6.b.is replaced by: b. Personal Property Off Premises You may extend the insurance that applies to Business Personal Property to apply to covered Business Personal Property, other than "money" and "securities", "valuable papers and records"or accounts receivable,while it is in the course of transit or temporarily at a premises you do not own, lease or operate. The most we will pay for loss or damage under this Extension is$10,000. 6. Increased limits for Outdoor Property Section A.Coverage, item 6.c. is replaced by: c. Outdoor Property You may extend the insurance provided by this policy to apply to your outdoor fences, radio and television antennas(including satellite dishes),signs(other than signs attached to buildings),trees,shrubs and plants, including debris removal expense,caused by or resulting from any of the following causes of loss: (1) Fire; (2) Lightning; (3) Explosion; (4) Riot or Civil Commotion;or (5) Aircraft. The most we will pay for loss or damage under this Extension is$5,000, but not more than $1,000 for any one tree, shrub or plant. 7. Fire Extinguisher Recharge Section A.Coverage,item 6. Coverage Extensions will also include: You may extend the insurance provided by this coverage form to cover expenses you incur to recharge portable fire extinguishers,dry chemical,carbon dioxide,or liquid automatic fire extinguishing systems and the cost of resetting automatic fuel shut-off connections, if any of the above are discharged to fight a fire or are discharged due to a mechanical malfunction. The most we will pay for loss or damage under this extension is$3,000. Page 2 of 5 Includes copyright material of the Insurance Services Office.Inc.used with its permission. PI-SP-001 (9/05) No deductible shall apply to this coverage. 8. Business Income Enhancement Section A. Coverage, item 5 Additional Coverages,section f. Business Income is amended as follows: The reference to"60 days"as the limitation on payroll expenses is replaced by"365 days." 9. Lock Replacement Section A Coverage,item 6. Coverage Extensions will also include.- You may extend the Insurance provided by this coverage form to cover necessary expense to repair to replace exterior or interior door locks of a covered building: a) if your door keys are stolen in a covered theft loss; or b) When your property is damaged and your door keys are stolen by the burglars. The most we will pay under this extension of$250 for any one occurrence. 10. Removal of Sewer Backup Exclusion Section B. Exclusions, item g(3)is amended to include: Backups of sewers will not be excluded,but the most we will pay for such losses is$500 in the policy period. Part 2: Liability Coverage Enhancements: The following amendments are a part of the BUSINESSOWNERS LIABILITY COVERAGE FORM: 1.Medical Payments If Medical Payments Coverage(Coverage A.2.)is not otherwise excluded from this Coverage Part: The Medical Expense Limit is changed subject to all the terms of Limits Of Insurance(Section D)to the greater of: a. $10,000;or b. The Medical Expense Limit shown in the Declarations of this Coverage Part. 2.Supplementary Payments In the Supplementary Payments—(Coverage A.1 d.): 1. The limit for the cost of bail bonds(item(2))is changed from$250 to$500;and 2. The limit for loss of earnings(item to?)is changed from$250 a day to$500 a day 3. Blanket Additional Insureds Who is An Insured(Section C)is amended to include the following, but only for liability arising out of the negligence of the Named Insured: Each of the following is also an Insured: a. any Contractor,including contracting governmental entities,who hires you as their subcontractor; b. any person or organization who has an ownership interest in you; c. any lessor of leased equipment,who rents equipment to you, but only with respect to liability arising out of the maintenance,operation,or use by you,provided however that this Page 3 of 5 Includes copyright material of the Insurance Services Office,Inc used with its permission. Pt-BP-001 (9/05) item c.will not apply to(1)any occurrence which takes place after the equipment lease expires;nr(2)"Bodily Injury"or"Property Damage"arising out of the negligence of the lessor or contractor engaged to operate the leased equipment;and d. any owner,mortgagor,lessor,landlord,condominium association or manager of a premises leased by you, but only for"occurrences"that take place while you occupy the premises, provided however that this item d.will not apply to structural alterations,new construction,or demolition operations;and With regard to parties applicable under items a.through d.above,the Insurer and the Named Insured agree to waive rights of recovery,as provided within the policy. Nothing contained in this section C.shall serve to nullity matters excluded under section B.of the policy. 4. Bodily Injury-Mental Anguish The definition of"bodily injury"is changed to read: "Bodily Injury": a. Means bodily injury,sickness or disease sustained by a person,and includes mental anguish resulting from any of these;and b. Except for mental anguish,includes death resulting from the foregoing(item a.above)at any time. 5. Llbemilu an If we revise this endorsement to provide more coverage without additional premium charge,we will automatically provide the additional coverage to all endorsement holders as of the day the revision is effective in your state. 6. Employee Indemnification Defense Coverage Under SUPPLEMENTARY PAYMENTS—COVERAGES A.1.d.,the following is added: (8)We will pay on your behalf defense costs incurred by an"employee"in a criminal proceeding, provided, however that you must have a prior written agreement with such"employee" whereby you agree to indemnify the"employee"for such defense costs,and the agreement includes a provision for repayment of defense costs in the event of an adverse judgment.The most we will pay for any"employee"who is alleged to be directly involved in a criminal proceeding is$2,500 regardless of the number of employees,claims or"suits"brought or persons or organizations making claims or bringing"suits." T. Amendment of Aggregate Limit SECTION D.4.—Aggregate Limits,item B is replaced by: b. All other injury or damage,including medical expenses,arising from all"occurrences"during the policy period is three times the Liability and Medical Expenses limit.This limitation does not apply to"property damage"to premises while rented to you or temporarily occupied by you with permission of the owner,arising out of fire or explosion. 8. Amendment to Watercraft Exclusion Part B-Exclusions, item g.(2xa)is amended by the following: The phrase"less than 26 feet"is replaced by"less than 51 feet." Page 4 of 5 Includes copyright material of the Insurance Services Office,Inc.used with its permission. PI-BP-001 (9/05) Part 3:Amendment of Conditions: 1.Other provisions of the policy notwithstanding,this policy will be primary for all losses covered herein, and the existence of other insurance will not serve to reduce our obligation. 2.You will have the right to waive our rights of recovery prior to a loss with respect to any party.This must be done in writing to affect our rights. Page 5 of 5 Includes copyright material of the Insurance Services Office.Inc.used with its permission.