Loading...
HomeMy WebLinkAbout10-042 - Heartland LLC - (TIB) Tukwila International Boulevard Property Valuation ModelingCONSULTANT AGREEMENT FOR PROPERTY VALUATION SERVICES 10 -042 Council Approval N/A THIS AGREEMENT is entered into between the City of Tukwila, Washington, herein -after referred to as "the City and Heartland, hereinafter referred to as "the Consultant in consideration of the mutual benefits, terms, and conditions hereinafter specified. 1. Project Designation. The Consultant is retained by the City to perform property valuation services in connection with the project titled Newporter Land Value Scenarios. 2. Scope of Services. The Consultant agrees to perform the services, identified on Exhibit "A" attached hereto, including the provision of all labor, materials, equipment and supplies. 3. Time for Performance. Work under this contract shall commence upon the giving of written notice by the City to the Consultant to proceed. The Consultant shall perform all services and provide all work product required pursuant to this Agreement within 15 calendar days from the date written notice is given to proceed, unless an extension of such time is granted in writing by the City. 4. Payment. The Consultant shall be paid by the City for completed work and for services rendered under this Agreement as follows: A. Payment for the work provided by the Consultant shall be made as provided on Exhibit "B" attached hereto, provided that the total amount of payment to the Consultant shall not exceed $6,800 without express written modification of the Agreement signed by the City. B. The Consultant may submit vouchers to the City once per month during the progress of the work for partial payment for that portion of the project completed to date. Such vouchers will be checked by the City and, upon approval thereof, payment shall be made to the Consultant in the amount approved. C. Final payment of any balance due the Consultant of the total contract price earned will be made promptly upon its ascertainment and verification by the City after the completion of the work under this Agreement and its acceptance by the City. D. Payment is provided in this section shall be full compensation for work performed, services rendered, and for all materials, supplies, equipment and incidentals necessary to complete the work. E. The Consultant's records and accounts pertaining to this Agreement are to be kept available for inspection by representatives of the City and state for a period of three (3) years after final payments. Copies shall be made available upon request. 5. Ownership and Use of Documents. All documents, electronic spreadsheets, drawings, specifications and other materials produced by the Consultant in connection with the services 1 0 DY �iJ rendered under this Agreement shall be the property of the City whether the project for which they are made is executed or not. The Consultant shall be permitted to retain copies, including reproducible copies, of drawings and specifications for information, reference and use in connection with the Consultant's endeavors. The Consultant shall not be responsible for any use of the said documents, drawings, specifications or other materials by the City on any project other than the project specified in this Agreement. 6. Compliance with Laws. The Consultant shall, in performing the services contemplated by this Agreement, faithfully observe and comply with all federal, state, and local laws, ordinances and regulations, applicable to the services to be rendered under this Agreement. 7. Indemnification. The Consultant shall indemnify, defend and hold harmless the City, its officers, agents and employees, from and against any and all claims, losses or liability, including attorney's fees, arising from injury or death to persons or damage to property occasioned by any act, omission or failure of the Consultant, its officers, agents and employees, in performing the work required by this Agreement. With respect to the perform- ance of this Agreement and as to claims against the City, its officers, agents and employees, the Consultant expressly waives its immunity under Title 51 of the Revised Code of Washington, the Industrial Insurance Act, for injuries to its employees, and agrees that the obligation to indemnify, defend and hold harmless provided for in this paragraph extends to any claim brought by or on behalf of any employee of the Consultant. This waiver is mutually negotiated by the parties. This paragraph shall not apply to any damage resulting from the sole negligence of the City, its agents and employees. To the extent any of the damages referenced by this paragraph were caused by or resulted from the concurrent negligence of the City, its agents or employees, this obligation to indemnify, defend and hold harmless is valid and enforceable only to the extent of the negligence of the Consultant, its officers, agents and employees. 8. Insurance. The Consultant shall secure and maintain in force throughout the duration of this contract comprehensive general liability insurance, with a minimum coverage of $500,000 per occurrence and $1,000,000 aggregate for personal injury; and $500,000 per occurrence/ aggregate for property damage, and professional liability insurance in the amount of $1,000,000. Said general liability policy shall name the City of Tukwila as an additional named insured and shall include a provision prohibiting cancellation of said policy except upon thirty (30) days prior written notice to the City. Certificates of coverage as required by this section shall be delivered to the City within fifteen (15) days of execution of this Agreement. 9. Independent Contractor. The Consultant and the City agree that the Consultant is an inde- pendent contractor with respect to the services provided pursuant to this Agreement. Nothing in this Agreement shall be considered to create the relationship of employer and employee between the parties hereto. Neither the Consultant nor any employee of the Consultant shall be entitled to any benefits accorded City employees by virtue of the services provided under this Agreement. The City shall not be responsible for withholding or otherwise deducting federal income tax or social security or for contributing to the state industrial insurance 2 program, otherwise assuming the duties of an employer with respect to the Consultant, or any employee of the Consultant. 10. Covenant Against Contingent Fees. The Consultant warrants that he has not employed or retained any company or person, other than a bonafide employee working solely for the Consultant, to solicit or secure this contract, and that he has not paid or agreed to pay any company or person, other than a bonafide employee working solely for the Consultant, any fee, commission, percentage, brokerage fee, gifts, or any other consideration contingent upon or resulting from the award or making of this contract. For breach or violation of this warrant, the City shall have the right to annul this contract without liability, or in its discretion to deduct from the contract price or consideration, or otherwise recover, the full amount of such fee, commission, percentage, brokerage fee, gift, or contingent fee. 11. Discrimination Prohibited. The Consultant, with regard to the work performed by it under this Agreement, will not discriminate on the grounds of race, color, national origin, religion, creed, age, sex or the presence of any physical or sensory handicap in the selection and retention of employees or procurement of materials or supplies. 12. Assignment. The Consultant shall not sublet or assign any of the services covered by this Agreement without the express written consent of the City. 13. Non Waiver. Waiver by the City of any provision of this Agreement or any time limitation provided for in this Agreement shall not constitute a waiver of any other provision. 14. Termination. A. The City reserves the right to terminate this Agreement at any time by giving ten (10) days written notice to the Consultant. B. In the event of the death of a member, partner or officer of the Consultant, or any of its supervisory personnel assigned to the project, the surviving members of the Consultant hereby agree to complete the work under the terms of this Agreement, if requested to do so by the City. This section shall not be a bar to renegotiations of this Agreement between surviving members of the Consultant and the City, if the City so chooses. 15. Attorneys Fees and Costs. In the event either party shall bring suit against the other to enforce any provision of this Agreement, the prevailing party in such suit shall be entitled to recover its costs, including reasonable attorney's fees, incurred in such suit from the losing party. 3 16. Notices. Notices to the City of Tukwila shall be sent to the following address: Notices to Consultant shall be sent to the following address: 17. Integrated Agreement. This Agreement, together with attachments or addenda, represents the entire and integrated Agreement between the City and the Consultant and supersedes all prior negotiations, representations, or agreements written or oral. This Agreement may be amended only by written instrument signed by both the City and the Consultant. DATED this day of gar; 2010. CITY OF TUKWILA Attest/Authenticated: Lv ,AY; City'Clerk U V City Clerk City of Tukwila 6200 Southcenter Boulevard Tukwila, WA 98188 Heartland 524 Second Avenue, Suite 200 Seattle, WA 98104 CONSULTANT B Printed Name: 41( Title: ;ec Approved as to Form: z/L Office of the City Attorney 4 April 5, 2010 524 SECOND AVENUE SUITE 200 SEATTLE, WA 98104 TEL 206•682•2500 FAX 206•467•1429 Derek Speck Economic Development Administrator City of Tukwila 6200 Southcenter Boulevard Tukwila, Washington 98188 0cHiarTA H E A R T L A N D Sent Via Email dspeck@ci.tukwila.wa.us RE: Tukwila International Boulevard Property Valuation Modeling Dear Mr. Speck: It was a pleasure meeting with you on Thursday afternoon to discuss the dynamics of the Tukwila International Boulevard (TIB) corridor. Based on our meeting, we understand that you would like assistance analyzing the potential market values associated with several properties along the TIB under three development scenarios. This proposal recommends "stepping into a prospective buyers shoes" to understand what a developer may pay for the land using a discounted cash flow model that solves for the residual land value. Such a dynamic model will allow us to understand value under different development and timing scenarios. In addition to this model, we will review our sales database to identify potential comparable transactions to supplement the findings from the model. We would propose the following steps to compete this scope: Step 1: Development Scenarios Heartland will create three development scenarios based on current zoning regulations and our opinion of a developer's likely end use for the property. Net and gross square footage and the number of parking stalls (surface, structured garage, or below grade) will be calculated and used in the cash flow model. Step 2: Cash Flow Model A dynamic discounted cash flow model will be developed to estimate the residual land value of the property to the City of Tukwila under the three development scenarios created in Step 1. Development cost and income inputs for this model will be generated using readily available data sources. Also included in this step is a review of comparable transactions. Step 3: Opinion of Value Memorandum A brief memorandum indicating Heartland's opinion of value for each of the three development scenarios will be prepared. In this memorandum, we will explain our methodology and assumptions. Supporting tables and charts will be included. We have CONSULTING FEE AND REIMBURSEMENT SCHEDULE HOURLY BILLING RATES: Effective January 1, 2010 Matt Anderson $235 Richard Loo $175 Matt Hoffman $165 Research Interns $85 (Note: General office overhead and general clerical work are incorporated in these hourly rates) REIMBURSABLE COSTS: Binders and supplies Cost Copies black white $.10 each Copies color 11 x 17 $2.00 each Copies color 8 -1/2 x 11 $1.50 each Copies of large format originals all types Cost Developing film and photo Cost Document purchases Cost Incidental professional fees Cost Marketing expenses and advertisements Cost Mileage $.50 /mile Mounting on presentation board $3.75/ sf Parking and tolls Cost Postage and delivery Cost Printing out-of -house Cost Prints full color 11 x 17 $2.00 each Prints full color 81/2 x 11 $1.50 each Prints large format $8.50 sf Scans color $1.00 each Subscriptions Cost Telephone long distance and facsimiles Cost Travel airfare, car rental, lodging and meals Cost plus 2% RATES ARE SUBJECT TO ANNUAL INCREASES J4iii31T R April 5, 2010 Page 3 ACORD OP ID DATE (MMlDDlYYYY) CERTIFICATE OF LIABILITY INSURANCE HEALL -1 04/09/10 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE Hall- Conway Jackson, Inc HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR P.O. Box 8010 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. Mill Creek WA 98082 -8010 Phone: 425 -368 -1200 Fax:425- 368 -1290 INSURERS AFFORDING COVERAGE I NAIC INSURED I INSURER A: Continental Casualty Co. I INSURER B: Transportation Ins Co Heartland, LLC Attn: Erica Buckley 524 Second Avenue, Suite 200 Seattle, WA 98104 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. LTR NS TYPE OF INSURANCE I POLICY NUMBER I DATE (MM F DDm( IPDATE(MMPIDD LIMITS GENERAL LABILITY I EACH OCCURRENCE 1,000,000 ANwmt I v A X I COMMERCIAL GENERAL LIABILITY B2075931077 11/29/09 11/29/10 P eNirs, ence) 100,000 CLAIMS MADE OCCUR MED EXP (My one person) 5,000 A A X 1 GARAGE LIABILITY ANY AUTO CERTIFICATE HOLDER Ix I G EN'L AGGREGATE LIMIT APPP PER: JECT POLICY i I LOC AUTOMOBILE LIABILITY ANY AUTO ALL OWNED AUTOS SCHEDULED AUTOS HIRED AUTOS NON -OWNED AUTOS EXCESS/UMBRELLA LIABIUTY X 1 OCCUR El CLAIMS MADE B3011020287 DEDUCTIBLE RETENTION WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETORIPARTNER/EXECUTIVE OFFICER/MEMBER EXCLUDED? If yes describe under SPECIAL PROVISIONS below OTHER DESCRIPTION OF OPERATIONS LOCATIONS VEHICLES EXCLUSIONS ADDED BY ENDORSEMENT SPECIAL PROVISIONS Re: Newporter Land Value Scenarios. Certificate holder is an additional insured for general liability per attached form no. SB- 146935A. City of Tukwila Attn: City Clerk 6200 Southcenter Blvd Tukwila, WA 98188 ACORD 25 (2001/08) 8 CITYTUK INSURER C: I INSURER D: I INSURER E: 11/29/09 11/29/10 REPRESENTATIVES. AUTHORIZED REPRESENTATIVE Thomas E PERSONAL &AOV INJURY 1,000,000 GENERAL AGGREGATE $2,000,000 (PRODUCTS COMP/OP AGG 5 2,000,000 COMBINED SINGLE LIMIT (Ea accident) BODILY INJURY (Per person) BODILY INJURY (Per accident) PROPERTY DAMAGE (Per accident) AUTO ONLY EA ACCIDENT OTHER THAN AUTO ONLY: I EACH OCCURRENCE 11/29/09 11/29/10 I AGGREGATE r EA ACC AGG 5 5 51,000,000 51,000,000 S s I YHUJIHI U- UI- rI ITORY LIMITS I X I ER 82075931077 11/29/09 11 /29 /10 El. EACH ACCIDENT $1,000,000 WA STOP GAP I E.LDISEASE EAEMPLOYEE'S 1,000,000 1 EL DISEASE POLICY LIMIT I s 2,000,000 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 IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR 7 �RD CORPORATION 1988 cNA IMPORTANT: THIS ENDORSEMENT CONTAINS DUTIES THAT APPLY TO THE ADDITIONAL INSURED IN THE EVENT OF OCCURRENCE, OFFENSE, CLAIM OR SUIT. SEE PARAGRAPH C.1. OF THIS ENDORSEMENT FOR THESE DUTIES. THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. CONTRACTOR'S SCHEDULED AND BLANKET ADDITIONAL INSURED ENDORSEMENT WITH PRODUCTS COMPLETED OPERATIONS COVERAGE This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Name of Person or Organization: Designated Project: (Coverage under this endorsement is not affected by an entry or lack of entry in the Schedule above.) A. Paragraph C. WHO IS AN INSURED? is amended to include as an Insured any person or organization, including any person or organization shown in the schedule above, (called additional insured) whom you are required to add as an additional insured on this policy under a written contract or written agreement; but the written contract or written agreement must be: 1. Currently in effect or becoming effective during the term of this policy; and 2. Executed prior to the "bodily injury," "property damage," or "personal and advertising injury.' 0 B. The insurance provided to the additional insured Is limited as follows: 1. That person or organization is an additional insured solely for liability due to your negligence specifically resulting from your work for the additional insured which is the subject of the written contract or written agreement. No coverage applies to liability resulting from the sole negligence of the additional insured. 2. The Limits of Insurance applicable to the additional insured are those specified in the written contract or written agreement or in the Declarations of this policy, whichever is Tess. These Limits of insurance are inclusive of, and not in addition to, the Limits of Insurance shown in the Declarations. SB- 146935 -A (Ed. 01/06) C. SB- 146935 -A (Ed. 01/06) 3. The coverage provided to the additional insured by this endorsement and paragraph F.S. of the definition of "Insured contract" under Liability and Medical Expenses Definitions do not apply to "bodily injury" or "property damage" arising out of the "products- completed operations hazard" unless required by the written contract or written agreement. 4. The insurance provided to the additional Insured does not apply to "bodily injury," "property damage," or "personal and advertising injury" arising out of an architect's, engineer's, or surveyor's rendering of or failure to render any professional services including: a. The preparing, approving, or failing to prepare or approve maps, shop drawings, opinions, reports, surveys, field orders, change orders or drawings and specifications; and b. Supervisory, or inspection activities performed as part of any related architectural or engineering activities, As respects the coverage provided under this endorsement, BUSINESSOWNERS LIABILITY COVERAGE FORM is amended as follows: 1. The following is added to E2. Duties In The Event of Occurrence, Offense, Claim or Suit Page 1 of 2 SB- 146935 -A (Ed. 01/06) e. An additional insured under this endorsement will as soon as practicable: (1) Give written notice of an occurrence or an offense to us which may result in a claim or suit under this insurance; (2) Tender the defense and indemnity of any claim or suit to any other insurer which also has insurance for a loss we cover under this Coverage Part; and (3) Agree to make available any other insurance which the additional insured has for a loss we cover under this Coverage Part. t We have no duty to defend or indemnify an additional insured under this endorsement SB- 146335 -A (Ed. 01/06) until we receive written notice of a claim or suit from the additional insured. 2. The following is added to Paragraph H. of the BUSINESSOWNERS COMMON POLICY CONDITIONS: H. Other Insurance 4. This insurance is excess over any other insurance naming the additional insured as an insured whether primary, excess, contingent or on any other basis unless a written contract or written agreement specifically requires that this insurance be either primary or primary and noncontributing. Page 2 of 2