HomeMy WebLinkAbout12-076 - Berk & Associates - Fire Annexation Analysis Phase 1 (North Highline Area)City of Tukwila
6200 Southcenter Boulevard, Tukwila WA 98188
Contract Number: 12 -076
Council Approval NIA
CONSULTANT AGREEMENT FOR
Fire Annexation Analysis SERVICES
THIS AGREEMENT is entered into between the City of Tukwila, Washington, hereinafter
referred to as "the City and BERK Associates, Inc. hereinafter referred to as "the Consultant in
consideration of the mutual benefits, terms, and conditions hereinafter specified.
1. Proiect Designation. The Consultant is retained by the City to perform financial analysis of
fire district asset base in connection with the project titled Potential Annexation of Tukwila's
portion of the North Highline area.
2. Scone 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. Duration of Agreement: Time for Performance. This Agreement shall be in full force and
effect for a period commencing upon execution and ending July 30, 2012, unless sooner
terminated under the provisions hereinafter specified. Work under this Agreement shall
commence upon 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 no
later than July 30, 2012 unless an extension of such time is granted in writing by the City.
4. Pavment. 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 _$10,000.00 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 as 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 the state of Washington for a
period of three (3) years after final payments. Copies shall be made available upon
request.
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5. Ownership and Use of Documents. All documents, drawings, specifications and other
materials produced by the Consultant in connection with the services 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 rendered under this Agreement.
7. Indemnification. The Consultant shall defend, indemnify and hold the City, its officers,
officials, employees and volunteers harmless from any and all claims, injuries, damages,
losses or suits including attorney fees, arising out of or resulting from the acts, errors or
omissions of the Consultant in performance of this Agreement, except for injuries and
damages caused by the sole negligence of the City.
Should a court of competent jurisdiction determine that this Agreement is subject to RCW
4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or
damages to property caused by or resulting from the concurrent negligence of the Consultant
and the City, its officers, officials, employees, and volunteers, the Consultant's liability
hereunder shall be only to the extent of the Consultant's negligence. It is further specifically
and expressly understood that the indemnification provided herein constitutes the Consultant's
waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this
indemnification. This waiver has been mutually negotiated by the parties. The provisions of
this section shall survive the expiration or termination of this Agreement.
8. Insurance. The Consultant shall procure and maintain for the duration of the Agreement,
insurance against claims for injuries to persons or damage to property which may arise from
or in connection with the performance of the work hereunder by the Consultant, its agents,
representatives, or employees. Consultant's maintenance of insurance as required by the
agreement shall not be construed to limit the liability of the Consultant to the coverage
provided by such insurance, or otherwise limit the City's recourse to any remedy available at
law or in equity.
A. Minimum Amounts and Scope of Insurance. Consultant shall obtain insurance of the
types and with the limits described below:
1. Automobile Liabilitv insurance with a minimum combined single limit for bodily
injury and property damage of $1,000,000 per accident. Automobile Liability
insurance shall cover all owned, non owned, hired and leased vehicles. Coverage
shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute
form providing equivalent liability coverage. If necessary, the policy shall be
endorsed to provide contractual liability coverage.
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2. Commercial General Liabilitv insurance with limits no less than $1,000,000 each
occurrence, $2,000,000 general aggregate. Commercial General Liability
insurance shall be written on ISO occurrence form CG 00 01 and shall cover
liability arising from premises, operations, independent contractors and personal
injury and advertising injury. The City shall be named as an insured under the
Consultant's Commercial General Liability insurance policy with respect to the
work performed for the City.
3. Workers' Compensation coverage as required by the Industrial Insurance laws of
the State of Washington.
4. Professional Liabilitv with limits no less than $1,000,000 per claim and
$1,000,000 policy aggregate limit. Professional Liability insurance shall be
appropriate to the Consultant's profession.
B. Other Insurance Provision. The Consultant's Automobile Liability and Commercial
General Liability insurance policies are to contain, or be endorsed to contain that they
shall be primary insurance with respect to the City. Any Insurance, self- insurance, or
insurance pool coverage maintained by the City shall be excess of the Consultant's
insurance and shall not be contributed or combined with it.
C. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M.
Best rating of not less than A:VII.
D. Verification of Coverage. Consultant shall furnish the City with original certificates and
a copy of the amendatory endorsements, including but not necessarily limited to the
additional insured endorsement, evidencing the insurance requirements of the Consultant
before commencement of the work. Certificates of coverage and endorsements as
required by this section shall be delivered to the City within fifteen (15) days of execution
of this Agreement.
E. Notice of Cancellation. The Consultant shall provide the City with written notice of any
policy cancellation, within two business days of their receipt of such notice.
F. Failure to Maintain Insurance. Failure on the part of the Consultant to maintain the
insurance as required shall constitute a material breach of contract, upon which the City
may, after giving five business days notice to the Consultant to correct the breach,
immediately terminate the contract or, at its discretion, procure or renew such insurance
and pay any and all premiums in connection therewith, with any sums so expended to be
repaid to the City on demand, or at the sole discretion of the City, offset against funds due
the Consultant from the City.
9. Independent Contractor. The Consultant and the City agree that the Consultant is an
independent 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 program, otherwise assuming the duties of an employer with respect to
the Consultant, or any employee of the Consultant.
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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. ADnlicable Law; Venue; Attornev's Fees. This Agreement shall be subject to, and the
Consultant shall at all times comply with, all applicable federal, state and local laws,
regulations, and rules, including the provisions of the City of Tukwila Municipal Code and
ordinances of the City of Tukwila. In the event any suit, arbitration, or other proceeding is
instituted to enforce any term of this Agreement, the parties specifically understand and agree
that venue shall be properly laid in King County, Washington. The prevailing party in any
such action shall be entitled to its attorney's fees and costs of suit. Venue for any action
arising from or related to this Agreement shall be exclusively in King County Superior Court.
16. Severabilitv and Survival. If any term, condition or provision of this Agreement is declared
void or unenforceable or limited in its application or effect, such event shall not affect any
other provisions hereof and all other provisions shall remain fully enforceable. The
provisions of this Agreement, which by their sense and context are reasonably intended to
survive the completion, expiration or cancellation of this Agreement, shall survive
termination of this Agreement.
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17. Notices. Notices to the City of Tukwila shall be sent to the following address:
City Clerk
City of Tukwila
6200 Southcenter Boulevard
Tukwila, WA 98188
Notices to Consultant shall be sent to the following address:
2025 1 sr Avenue
Suite 800
Seattle, WA 98121
18. Entire Agreement: Modification. 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. No
amendment or modification of this Agreement shall be of any force or effect unless it is in
writing and signed by the parties.
DATED this day of alc� 20 0
J
CITY OF TUKWILA CONSULTANT
W" g 'v -V By: &M t
M or zo
Printed Name: Michael Hod2ins
Title: Principal
Attest/Authenticated: Approved as to Form:
City Clerk i J Office of the City Attorney
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ATTACHMENT A SCOPE OF WORK
Scope of Work
BERK will analyze the available information to develop an estimate of District asset value or
where appropriate a possible range of values. The approach will consider the relevant concepts of
value, such as market value, depreciated book value, and operational value of the assets in supporting
the District's ability to deliver effective fire and life safety services. The following describes the key
tasks for this engagement.
Task 1: Estimate of Assessed Value of Potential Annexation Area
The first step in estimating asset transfer values is to determine the share of the District's
assessed value base that is in the potential annexation area. Toward this end, BERK will
estimate the assessed value of the potential annexation area and the share using King
County Assessor's parcel -level records showing 2011 values for 2012 taxes and for the
District overall.
Task 2: Analysis of District Asset Data and Estimate of Value
BERK will work from existing information regarding the current assets of the District and
develop a spreadsheet based inventory and value estimate. Where it is relevant, the
estimate will consider alternative approaches to estimating value and clearly lay out all of
the key assumptions for the estimates. Depending on the outcome of the analysis, a range of
asset values may be developed. The analysis will also consider the District's liabilities,
including those associated with pension obligations. The information that will be needed to
perform this assessment will include:
Real Estate Assets. BERK would need to be provided a list of the District real estate
assets showing location and a brief description of the property and, to the extent it
exists, information such as original acquisition costs, investments in buildings (new
or rehabilitated), appraisals, and any other relevant information as to the current
value of these properties.
End -of -year 2011 Financial Statement(s) from District. The financial statement
would also include a current summary of the District's outstanding debt;
Fleet Inventory. Inventory of the District's fleet including acquisition date, original
purchase price, depreciation and expected useful life; and
Firefighting and IT Equipment. Inventory of firefighting and IT equipment,
including acquisition date, purchase price, depreciation, expected useful life.
Task 3: Meetings with City and District Staff to Discuss Analysis and Findings
A key element of this effort will be to work collaboratively with the parties to share findings
and work toward a consensus view of the asset value. BERK will participate in up to 3
meetings with City and District staff a kick -off meeting, a meeting to share preliminary
findings and a meeting to review draft final products.
Task 4: Documentation and Products
The products of this effort will be a white paper describing the assessed value analysis and
the approach and findings of the asset valuation analysis, including a spreadsheet with the
inventory and estimated asset values.
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ATTACHMENT A SCOPE OF WORK
Scope of Work
BERK will analyze the available information to develop an estimate of District asset value or
where appropriate a possible range of values. The approach will consider the relevant concepts of
value, such as market value, depreciated book value, and operational value of the assets in supporting
the District's ability to deliver effective fire and life safety services. The following describes the key
tasks for this engagement.
Task 1: Estimate of Assessed Value of Potential Annexation Area
The first step in estimating asset transfer values is to determine the share of the District's
assessed value base that is in the potential annexation area. Toward this end, BERK will
estimate the assessed value of the potential annexation area and the share using King
County Assessor's parcel -level records showing 2011 values for 2012 taxes and for the
District overall.
Task 2: Analysis of District Asset Data and Estimate of Value
BERK will work from existing information regarding the current assets of the District and
develop a spreadsheet based inventory and value estimate. Where it is relevant, the
estimate will consider alternative approaches to estimating value and clearly lay out all of
the key assumptions for the estimates. Depending on the outcome of the analysis, a range of
asset values may be developed. The analysis will also consider the District's liabilities,
including those associated with pension obligations. The information that will be needed to
perform this assessment will include:
Real Estate Assets. BERK would need to be provided a list of the District real estate
assets showing location and a brief description of the property and, to the extent it
exists, information such as original acquisition costs, investments in buildings (new
or rehabilitated), appraisals, and any other relevant information as to the current
value of these properties.
End -of -year 2011 Financial Statement(s) from District. The financial statement
would also include a current summary of the District's outstanding debt;
Fleet Inventory. Inventory of the District's fleet including acquisition date, original
purchase price, depreciation and expected useful life; and
Firefighting and IT Equipment. Inventory of firefighting and IT equipment,
including acquisition date, purchase price, depreciation, expected useful life.
Task 3: Meetings with City and District Staff to Discuss Analysis and Findings
A key element of this effort will be to work collaboratively with the parties to share findings
and work toward a consensus view of the asset value. BERK will participate in up to 3
meetings with City and District staff —a kick -off meeting, a meeting to share preliminary
findings and a meeting to review draft final products.
Task 4: Documentation and Products
The products of this effort will be a white paper describing the assessed value analysis and
the approach and findings of the asset valuation analysis, including a spreadsheet with the
inventory and estimated asset values.
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ATTACHMENT B ESTIMATED LEVEL -OF- EFFORT
AND BUDGET
Task 1: Estimate Assessed Value of Annexation Area
Subtotal
Task 2: Analysis of District Asset Value
Subtotal
Task 3: Meetings and Documentation
Subtotal
Total Estimated Hours
Cost(Hours *Rate)
Subtotal Consultant Cost
Project Expenses 2% of project budget
Estimated Project Total
Principal I Associate Total Hours and
$250 $140 Estimated Cost
4 10 14
$2,400
8 24 32
$5,360
4 8 12
$2,120
16 42 58
$4,000 $5,880 $9,880
$9,880
$120
$10,000
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