HomeMy WebLinkAbout3/11/2014 - AGREEMENTS S
CONSULTING SERVICES AGREEMENT
VACATION RENTAL FEE ASSESSMENT-A6491
CAPITAL ACCOUNTING PARTNERS, LLC
THIS AGREEMENT FOR CONSULTING SERVICES ("Agreement") is made and entered into on
December 1, 2019, by and between the City of Palm Springs, a California charter city and municipal
corporation ("City"), and Capital Accounting Partners, a Limited Liability Company, ("Consultant"). City
and Consultant are individually referred to as "Party" and are collectively referred to as the "Parties".
RECITALS
A. City requires the services of a consulting firm, for an assessment of the City's Vacation
.Rental Fees, ("Project").
B. Consultant has submitted to City a proposal to provide an assessment of the City's
Vacation Rental Fees,to City under the terms of this Agreement.
C. Based on its experience, education, training, and reputation, Consultant is qualified and
desires to provide the necessary services to City for the Project.
D. City desires to retain the services of Consultant for the Project.
In consideration of these promises and mutual agreements, City agrees as follows:
AGREEMENT
1. CONSULTANT SERVICES
1.1 Scope of Services. In compliance with all terms and conditions of this Agreement,
Consultant shall provide an assessment of Vacation Rental Fees, services to City as described in the
Scope of Services/Work attached to this Agreement as Exhibit "A" and incorporated by reference (the
"services" or "work"). Exhibit "A" includes the agreed upon schedule of performance and the schedule
of fees.'Consultant warrants that all services and work shall be performed in a competent, professional,
and satisfactory manner consistent'with prevailing industry standards. In the event of any inconsistency
between the terms contained in the Scope of Services/Work and the terms set forth in this Agreement,
the terms set forth in this Agreement shall govern.
1.2 Compliance with Law. Consultant services rendered under this Agreement shall comply
with all applicable federal, state, and local laws, statutes and ordinances and all lawful orders, rules, and
regulations.
1.3 Licenses and Permits. Consultant shall obtain at its sole cost and expense such licenses,
permits, and approvals as may be required by law for the performance of the services required by this
Agreement.
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1.4 Familiarity with Work. By executing this Agreement, Consultant warrants that it has
carefully considered how the work should be performed and fully understands the facilities, difficulties,
and restrictions attending performance of the work under this Agreement.
2. TIME FOR COMPLETION
The time for completion of the services to be performed by Consultant is an essential condition
of this Agreement. Consultant shall prosecute regularly and diligently the work of this Agreement
according to the agreed upon schedule of performance set forth in Exhibit "A." Consultant shall not be
accountable for delays in the progress of its work caused by any condition beyond its control and
without the fault or negligence of Consultant. Delays shall not entitle Consultant to any additional
compensation regardless of the party responsible for the delay.
3. COMPENSATION OF CONSULTANT
3.1 Compensation of Consultant. Consultant shall be compensated and reimbursed for the
services rendered under this Agreement in accordance with the schedule of fees set forth in Exhibit "A".
The total amount of Compensation shall not exceed $16,586.
3.2 Method of Payment. In any month in which Consultant wishes to receive payment,
Consultant shall submit to City an invoice for services rendered prior to the date of the invoice, no later
than the first working day of such month, in the form approved by City's finance director. Payments
shall be based on the hourly rates set forth in Exhibit "A" for authorized services performed. City shall
pay Consultant for all expenses stated in the invoice that are approved by City and consistent with this
Agreement, within thirty(30) days of receipt of Consultant's invoice.
3.3 Changes. In the event any change or changes in the Scope of Services/Work is requested
by City, Parties shall execute a written amendment to this Agreement, specifying all proposed
amendments, including, but not limited to, any additional fees. An amendment may be entered into:
A. To provide for revisions or modifications to documents, work product, or work,
when required by the enactment or revision of any subsequent law; or
B. To provide for additional services not included in this Agreement or not
customarily furnished in accordance with generally accepted practice in Consultant's profession.
3.4 Appropriations. This Agreement is subject to, and contingent upon, funds being
appropriated by the City Council of City for each fiscal year. If such appropriations are not made, this
Agreement shall automatically terminate without penalty to City.
4. PERFORMANCE SCHEDULE
4.1 Time of Essence. Time is of the essence in the performance of this Agreement.
4.2 Schedule of Performance. All services rendered under this Agreement shall be
performed under the agreed upon schedule of performance set forth in Exhibit "A." Any time period
extension must be approved in writing by the Contract Officer.
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4.3 Force Maleure. The time for performance of services to be rendered under this
Agreement may be extended because of any delays due to unforeseeable causes beyond the control and
without the fault or negligence of Consultant, if Consultant notifies the Contract Officer within ten (10)
days of the commencement of such condition. Unforeseeable causes include, but are not limited to,
acts of God or of a public enemy, acts of the government, fires, earthquakes, floods, epidemic,
quarantine restrictions, riots, strikes, freight embargoes, and unusually severe weather. After
Consultant notification, the Contract Officer shall investigate the facts and the extent of any necessary
delay, and extend the time for performing the services for the period of the enforced delay when and if,
in the Contract Officer's judgment, such delay is justified. The Contract Officer's determination shall be .
final and conclusive upon the parties to this Agreement.
4.4 Term. Unless earlier terminated in accordance with Section 4.5 of this Agreement, this
Agreement shall continue in full force and effect for the remainder of fiscal year 2019-2020,
commencing on December 1, 2019, and ending on June 30, 2020, unless extended by mutual written
agreement of the parties.
4.5 Termination Prior to Expiration of Term. City may terminate this Agreement at any time,
with or without cause, upon thirty (30) days written notice to Consultant. Where termination is due to
the fault of Consultant and constitutes an immediate danger to health, safety, and general welfare, the
period of notice shall be such shorter time as may be determined by the City. Upon receipt of the notice
of termination, Consultant shall immediately cease all services except such as may be specifically
approved by the Contract Officer. Consultant shall be entitled to compensation for all services rendered
prior to receipt of the notice of termination and for any services authorized by the Contract Officer after
such notice. Consultant may terminate this Agreement, with or without cause, upon thirty (30) days
written notice to City.
S. COORDINATION OF WORK
5.1 Representative of Consultant. The following principal of Consultant is designated as
being the principal and representative of Consultant authorized to act and make all decisions in its
behalf with respect to the specified services and work: Dan Edds, Project Manager. It is expressly
understood that the experience, knowledge, education, capability, and reputation of the foregoing
principal is a substantial inducement for City to enter into this Agreement. Therefore, the foregoing
principal shall be responsible during the term of this Agreement for directing all activities of Consultant
and devoting sufficient time to personally supervise the services under this Agreement. The foregoing
principal may not be changed by Consultant without prior written approval of the Contract Officer.
5.2 Contract Officer. The Contract Officer shall be the City Manager or his/her designee
("Contract Officer"). Consultant shall be responsible for keeping the Contract Officer fully informed of
the progress of the performance of the services. Consultant shall refer any decisions that must be made
by City to the Contract Officer. Unless otherwise specified, any approval of City shall mean the approval
of the Contract Officer.
5.3 Prohibition Against Subcontracting or Assignment. The experience, knowledge,
education, capability, and reputation of-Consultant, its principals and employees, were a substantial
inducement for City to enter into this Agreement. Therefore, Consultant shall not contract with any
other individual or entity to perform any services required under this Agreement without the City's
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express written approval. In addition, neither this Agreement nor any interest may be assigned or
transferred,voluntarily or by operation of law, without the prior written approval of City.
5.4 Independent Consultant. Neither City nor any of its employees shall have any control
over the manner, mode, or means by which Consultant, its agents or employees, perform the services
required, except as otherwise specified. Consultant shall perform all required services as an
independent Consultant of City and shall not be an employee of City and shall remain at all times as to
City a wholly independent Consultant with only such obligations as are consistent with that role;
however, City shall.have the right to review Consultant's work product, result, and advice. Consultant
shall not at any time or in any manner represent that it or any of its agents or employees are agents or
employees of City.
5.5 Personnel. Consultant agrees to assign the following individuals to perform the services
in this Agreement. Consultant shall not alter the assignment of the following personnel without the
prior written approval of the Contract Officer. Acting through the City Manager, the City shall have the
unrestricted right to order the removal of any personnel assigned by Consultant by providing written
notice to Consultant.
Name: Title:
Dan Edds, MBA, PMP Partner
6. INSURANCE
Consultant shall procure and maintain, at its sole cost and expense, policies of insurance as set
forth in the attached Exhibit "B", incorporated herein by reference.
7. INDEMNIFICATION.
7.1 Indemnification. To the fullest extent permitted by law, Consultant shall defend (at
Consultant's sole cost and expense), indemnify, protect, and hold harmless City, its elected officials,
officers, employees, agents, and volunteers (collectively the "Indemnified Parties"), from and against
any and all liabilities, actions, suits, claims, demands, losses, costs, judgments, arbitration awards,
settlements, damages, demands, orders, penalties, and expenses including legal costs and attorney fees
(collectively "Claims"), including but not limited to Claims arising from injuries to or death of persons
(Consultant's employees included), for damage to'property, including property owned by City, from any
violation of any federal, state, or local law or ordinance, and from errors and omissions committed by
Consultant, its officers, employees, representatives, and agents, that arise out of or relate to
Consultant's performance under this Agreement. This indemnification clause excludes Claims arising
from the sole negligence or willful misconduct of the City, its elected officials, officers, employees, .
agents, and volunteers. Under no circumstances shall the insurance requirements and limits set forth in
this Agreement be construed to limit Consultant's indemnification obligation or other liability under this
Agreement. Consultant's indemnification obligation shall survive the expiration or earlier termination of
this Agreement until all actions against the Indemnified Parties for such matters indemnified are fully
and finally barred by the applicable statute of limitations or, if an action is timely filed, until such action
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is final. This provision is intended for the benefit of third party Indemnified Parties not otherwise a party
to this Agreement.
7.2 Design Professional Services Indemnification and Reimbursement. If the Agreement is
determined to be a "design professional services agreement" and Consultant is a "design professional"
under California Civil Code Section 2782.8,then:
A. To the fullest extent permitted by law, Consultant shall indemnify, defend (at
Consultant's sole cost and expense), protect and hold harmless City and its elected officials, officers,
employees, agents and volunteers and all other public agencies whose approval of the project is
required, (individually "Indemnified Party"; collectively "Indemnified Parties") against any and all
liabilities, claims, judgments, arbitration awards, settlements, costs, demands, orders and penalties
(collectively "Claims"), including but not limited to Claims arising from injuries or death of persons
(Consultant's employees included) and damage to property, which Claims arise out of, pertain to, or are
related to the negligence, recklessness or willful misconduct of Consultant, its agents, employees, or
sub-Consultants, or arise from Consultant's negligent, reckless or willful performance of or failure to
perform any term, provision, covenant or condition of this Agreement ("Indemnified Claims"), but
Consultant's liability for Indemnified Claims shall be reduced to the extent such Claims arise from the
negligence, recklessness or willful misconduct of the City and its elected officials, officers, employees,
agents and volunteers.
B. The Consultant shall require all non-design-professional sub-Consultants, used or
sub-contracted by Consultant to perform the Services or Work required under this Agreement, to
execute an Indemnification Agreement adopting the indemnity provisions in sub-section 7.1 in favor of
the Indemnified Parties. In addition; Consultant shall require all non-design-professional sub-
Consultants, used or sub-contracted by Consultant to perform the Services or Work required under this
Agreement, to obtain insurance that is consistent with the Insurance provisions as set forth in this
Agreement, as well as any other insurance that may be required by Contract Officer.
8. RECORDS AND REPORTS
8.1 Reports. Consultant shall periodically prepare and submit to the Contract Officer reports
concerning the performance of the services required by this Agreement, or as the Contract Officer shall
require.
8.2 Records. Consultant shall keep complete, accurate, and detailed accounts of all time,
costs, expenses, and expenditures pertaining in any way to this Agreement. Consultant shall keep such
books and records as shall be necessary to properly perform the services required by this Agreement
and enable the Contract Officer to evaluate the performance of such services. The Contract Officer shall
have full and free access to such books and records at all reasonable times, including the right to inspect,
copy, audit, and make records and transcripts from such records.
8.3 Ownership of Documents. All drawings, specifications, reports, records, documents, and
other materials prepared by Consultant in the performance of this Agreement shall be the property of
City. Consultant shall deliver all above-referenced documents to City upon request of the Contract
Officer or upon the termination of this Agreement. Consultant shall have no claim for further
employment or additional compensation as a result of the exercise by City of its full rights or ownership
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of the documents and materials. Consultant may retain copies of such documents for Consultant's own
use. Consultant shall have an unrestricted right to use the concepts embodied in such documents.
8.4 Release of Documents. All drawings, specifications, reports, records, documents, and
other materials prepared by Consultant in the performance of services under this Agreement shall not
be released publicly without the prior written approval of the Contract Officer.
8.5 Cost Records. Consultant shall maintain all books, documents, papers, employee time
sheets, accounting records, and other evidence pertaining to costs incurred while performing under this
Agreement. Consultant shall make such materials available at its offices at all reasonable times during
the term of this Agreement and for three (3) years from the date of final payment for inspection by City
and copies shall be promptly furnished to City upon request.
9. ENFORCEMENT OF AGREEMENT
9.1 California Law. This Agreement shall be construed and interpreted both as to validity and
to performance of the parties in accordance with the laws of the State of California. Legal actions
concerning any dispute, claim, or matter arising out of or in relation to this Agreement shall be instituted
in the Superior Court of the County of Riverside, State of California, or any other appropriate court in
such county, and Consultant covenants and agrees to submit to the personal jurisdiction of such court in
the event of such action.
9.2 Interpretation. This Agreement shall be construed as a whole according to its fair
language and common meaning to achieve the objectives and purposes of the Parties. The terms of this
Agreement are contractual and the result of negotiation between the Parties. Accordingly, any rule of
construction of contracts (including, without limitation, California Civil Code Section 1654) that
ambiguities are to be construed against the drafting party, shall not be employed in the interpretation of
this Agreement. The caption headings of the various sections and paragraphs of this Agreement are for
convenience and identification purposes only and shall not be deemed to limit, expand, or define the
contents of the respective sections or paragraphs.
9.3 Waiver. No delay or omission in the exercise of any right or remedy of a non-defaulting
party on any default shall impair such right or remedy or be construed as a waiver. No consent or
approval of City shall be deemed to waive or render unnecessary City's consent to or approval of any
subsequent act of Consultant. Any waiver by either party of any default must be in writing. No such
waiver shall be a waiver of any other default concerning the same or any other provision of this
Agreement.
9.4 Rights and Remedies are Cumulative. Except with respect to rights and remedies
expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are
cumulative.The exercise by either party of one or more of such rights or remedies shall not preclude the
exercise by it, at the same or different times, of any other rights or remedies for the same default or any
other default by the other party.
9.5 Legal Action. In addition to any other rights or remedies, either party may take legal
action, in law or in equity, to cure, correct, or remedy any default, to recover damages for any default, to
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compel specific performance of this Agreement, to obtain injunctive relief, a declaratory judgment, or
any other remedy consistent with the purposes of this Agreement.
10. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION
10.1 Non-Liability of City Officers and Employees. No officer or employee of City shall be
personally liable to the Consultant, or any successor-in-interest, in the event of any default or breach by
City or for any amount which may become due to the Consultant or its successor, or for breach of any
obligation of the terms of this Agreement:
10.2 Conflict of Interest. Consultant acknowledges that no officer or employee of the City has
or shall have any direct or indirect financial interest in this Agreement nor shall Consultant enter into
any agreement of any kind with any such officer or employee during the term of this Agreement and for
one year thereafter. Consultant warrants that Consultant has not paid or given, and will not pay or give,
any third party any money or other consideration in exchange for obtaining this Agreement.
10.3 Covenant Against Discrimination. In connection with'its performance under this Agreement,
Consultant shall not discriminate against any employee or applicant for employment because of actual
or perceived race, religion, color, sex, age, marital status, ancestry, national origin ( i.e., place of origin,
immigration status, cultural or linguistic characteristics, or ethnicity), sexual orientation, gender identity,
gender expression, physical or mental disability, or medical condition (each a "prohibited basis").
Consultant shall ensurethat applicants are employed, and that employees are treated during their
employment, without regard to any prohibited basis. As a condition precedent to City's lawful capacity
to enter this Agreement, and in executing this Agreement, Consultant certifies that its actions and
omissions hereunder shall not incorporate any discrimination arising from or related to any prohibited
basis in any Consultant activity, including but not limited to the following: employment, upgrading,
demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other
forms of compensation; and selection for training, including apprenticeship; and further, that Consultant
is in full compliance with the provisions of Palm Springs Municipal Code Section 7.09.040, including
without limitation the provision of benefits, relating to non-discrimination in city contracting.
11. MISCELLANEOUS PROVISIONS
11.1 Notice. Any notice, demand, request, consent, approval, or communication that either
party desires, or is required to give to the other party or any other person shall be in writing and either
served personally or sent by pre-paid, first-class mail to the address set forth below. Notice shall be
deemed communicated seventy-two (72) hours from the time of mailing if mailed as provided in this
Section. Either party may change its address by notifying the other party of the change of address in
writing.
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720599.1
To City: City of Palm Springs
Attention: City Manager/City Clerk
3200 E.Tahquitz Canyon Way
Palm Springs, California 92262
To Consultant: Capital Accounting Partners, LLC(CAP)
3570 Buena Vista Drive
Sacramento, CA 95864
Attention: Dan Edds, MBA, PMP
11.2 Integrated Agreement. This Agreement contains all of the agreements of the parties and
supersedes all other written agreements.
11.3 Amendment. No amendments or other modifications of this Agreement-shall be binding
unless through written agreement by all Parties.
11.4 Severability. Whenever possible, each provision of this Agreement shall be interpreted in
such a manner as to be effective and valid under applicable law. In the event that any one or more of
the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared
invalid or unenforceable by valid judgment or decree of a court of competent jurisdiction, such invalidity
or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or
sections of this Agreement, which shall be interpreted to carry out the intent of the parties.
11.5 Successors in Interest. This Agreement shall be binding upon and inure to the benefit of
the Parties' successors and assignees.
11.6 Third Party Beneficiary. Except as may be expressly provided for in this Agreement,
nothing contained in this Agreement is intended to.confer, nor shall this Agreement be construed as
conferring, any rights, including, without limitation, any rights as a third-party beneficiary or otherwise,
upon any entity or person not a party to this Agreement.
11.7 Recitals. The above-referenced Recitals are hereby incorporated into the Agreement as
though fully set forth in this Agreement and each Party acknowledges and agrees that such Party is
bound,for purposes of this Agreement, by the same.
11.8 Authority. The persons executing this Agreement on behalf of the Parties warrant that
they are duly authorized to execute this Agreement on behalf of Parties and that by so executing this
Agreement the Parties are formally bound to the provisions of this Agreement.
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1
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the dates stated below.
"CITY"
City of Palm Springs
Date: l ZI(�� ��GIGI By:
David H. Ready, PhD
City Manager
APPROVED AS TO FORM: ATTEST
- n
By. B Jntho�ny
JfreyS. allingr Meji
City Attorney City Clerk
"CONSULTANT"
Capital Accounting Partners, LLC
Date: � � � aJ By e�a�
Name
Title
Date: Q ICJ l L
Name
Title
Not TO Exceed$
Without The Express Written
Authorization Of The City
Manager.
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720599.1
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720599.1
EXHIBIT "A"
CONSULTANT'S
SCOPE OF SERVICES/WORK
Including,
Schedule of Fees
And
Schedule of Performance
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720599.1
EXHIBIT "B"
INSURANCE PROVISIONS
Including
Verification of Coverage,
Sufficiency of Insurers,
Errors and Omissions Coverage,
Minimum Scope of Insurance,
Deductibles and Self-Insured Retentions, and
Severability of Interests (Separation of Insureds)
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INSURANCE
1. Procurement and Maintenance of Insurance. Consultant shall procure and maintain
public liability and property damage insurance against all claims for injuries against persons or damages
to property resulting from Consultant's performance under this Agreement. Consultant shall procure
and maintain all insurance at its sole cost and expense, in a form and content satisfactory to the City,
and submit concurrently with its execution of this Agreement. Consultant shall also carry workers'
compensation insurance in accordance with California workers' compensation laws. Such insurance
shall be kept in full force and effect during the term of this Agreement, including any extensions. Such
insurance shall not be cancelable without thirty (30) days advance written notice to City of any proposed
cancellation. Certificates of insurance evidencing the foregoing and designating the City, its elected
officials, officers, employees, agents, and volunteers as additional named insureds by original
endorsement shall be delivered to and approved by City prior to commencement of services. The
procuring of such insurance and the delivery of policies, certificates, and endorsements evidencing the
same shall not be construed as a limitation of Consultant's obligation to indemnify City, its elected
officials, officers, agents, employees, and volunteers.
2. Minimum Scope of Insurance. The minimum amount of insurance required under this
Agreement shall be as follows:
1. Comprehensive general liability and personal injury with limits of at least one
million dollars ($1,000,000.00) combined single limit coverage per occurrence and two million dollars
($2,000,000) general aggregate;
2. Automobile liability insurance with limits of at least one million dollars
($1,000,000.00) per occurrence;
3. Professional liability (errors and omissions) insurance with limits of at least one
million dollars ($1,000,000.00) per occurrence and two million dollars ($2,000,000) annual aggregate is:
required
is not required;
4. Workers' Compensation insurance in the statutory amount as required by the
State of California and Employer's Liability Insurance with limits of at least one million dollars $1 million
per occurrence. If Consultant has no employees, Consultant shall complete the City's Request for
Waiver of Workers' Compensation Insurance Requirement form.
3. Primary Insurance. For any claims related to this Agreement, Consultant's insurance
coverage shall be primary with respect to the City and its respective elected officials, officers,
employees, agents, and volunteers. Any insurance or self-insurance maintained by City and its
respective elected officials, officers, employees, agents, and volunteers shall be in excess of Consultant's
insurance and shall not contribute with it. For Workers' Compensation and Employer's Liability
Insurance only, the insurer shall waive all rights of subrogation and contribution it may have against City,
its elected officials, officers, employees, agents, and volunteers.
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4. Errors and Omissions Coverage. If Errors & Omissions Insurance is required, and if
Consultant provides claims made professional liability insurance, Consultant shall also agree in writing
either (1) to purchase tail insurance in the amount required by this Agreement to cover claims made
within three years of the completion of Consultant's services under this Agreement, or (2) to maintain
professional liability insurance coverage with the same carrier in the amount required by this Agreement
for at least three years after completion of Consultant's services under this Agreement. Consultant shall
also be required to provide evidence to City of the purchase of the required tail insurance or
continuation of the professional liability policy.
S. Sufficiency of Insurers. Insurance required in this Agreement shall be provided by
authorized insurers in good standing with the State of California. Coverage shall be provided by insurers
admitted in the State of California with an A.M. Best's Key Rating of B++, Class VII, or better, unless
otherwise acceptable to the City. -
6. Verification of Coverage. Consultant shall furnish City with both certificates of insurance
and endorsements, including additional insured endorsements, effecting all of the coverages required by
this Agreement. The certificates and endorsements are to be signed by a person authorized by that
insurer to bind coverage on its behalf. All proof of insurance is to be received and approved by the City
before work commences. City reserves the right to require Consultant's insurers to provide complete,
certified copies of all required insurance policies at any time. Additional insured endorsements are not
required for Errors and Omissions and Workers' Compensation policies.
Verification of Insurance coverage may be provided by: (1) an approved General and/or Auto
Liability Endorsement Form for the City of Palm Springs or (2) an acceptable Certificate of Liability
Insurance Coverage with an approved Additional Insured Endorsement with the following endorsements
stated on the certificate:
1. "The City of Palm Springs, its officials, employees, and agents are named as an additional
insured..." ("as respects City of Palm Springs Contract No. or "for any and all work performed with
the City" may be included in this statement).
2. "This insurance is primary and non-contributory over any insurance or self-insurance the
City may have..." ("as respects City of Palm Springs Contract No. or "for any and all work performed
with the City" may be included in this statement).
3. "Should any of the above described policies be canceled before the expiration date
thereof, the issuing company will mail 30 days written notice to the Certificate Holder named." Language
such as, "endeavor to" mail and "but failure to mail such notice shall impose no obligation or liability of
any kind upon the company, its agents or representative" is not acceptable and must be crossed out.
4. Both the Workers' Compensation and Employers' Liability policies shall contain the
insurer's waiver of subrogation in favor of City, its elected officials, officers, employees, agents, and
volunteers.
In addition to the endorsements listed above, the City of Palm Springs shall be named the certificate
holder on the policies.
14 Revised:1/31/18
720599.1
All certificates of insurance and endorsements are to be received and approved by the City before work
commences. All certificates of insurance must be authorized by a person with authority to bind
coverage, whether that is the authorized agent/broker or insurance underwriter. Failure to obtain the
required documents prior to the commencement of work shall not waive the Consultant's obligation to
provide them.
7. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions
must be declared to and approved by the City prior to commencing any work or services under this
Agreement. At the option of the City, either (1)the insurer shall reduce or eliminate such deductibles or
self-insured retentions with respect to the City, its elected officials, officers, employees, agents, and
volunteers; or (2) Consultant shall procure a bond guaranteeing payment of losses and related
investigations, claim administration, and defense expenses. Certificates of Insurance must include
evidence of the amount of any deductible or self-insured retention under the policy. Consultant
guarantees payment of all deductibles and self-insured retentions.
8. Severability of Interests (Separation of Insureds). This insurance applies separately to
each insured against whom claim is made or suit is brought except with respect to the limits of the
insurer's liability.
15 Revised:1/31/1 S
720599.1
CONSULTING SERVICES AGREEMENT
Comprehensive Fee and Rate Study
Capital Accounting Partners, LLC
TIIIS AGREEMENT FOR CONSULTING SERVICES ("Agreement") is made and
entered into on September 20, 2017, by and between the City of Palm Springs, a California
charter city and municipal corporation ("City"), and Capital Accounting Partners, LLC, a
Limited Liability Company, ("Consultant"). City and Consultant are individually referred to as
"Party" and are collectively referred to as the "Parties".
RECITALS
A. City requires the services of a Comprehensive Fee and Rate Study, for the City of
Palm Springs Development Services, ("Project").
B. Consultant has submitted to City a proposal to provide comprehensive review of
the City's Development Services Fee Study - 2017 Update, to City under the terms of this
Agreement.
C. Based on its experience, education, training, and reputation, Consultant is
qualified and desires to provide the necessary services to City for the Project.
D. City desires to retain the services of Consultant for the Project.
In consideration of these promises and mutual agreements, City agrees as follows:
AGREEMENT
1. CONSULTANT SERVICES
1.1 Scope of Services. In compliance with all terms and conditions of this
Agreement, Consultant shall provide professional services to City as described in the Scope of
Services/Work attached to this Agreement as Exhibit "A" and incorporated by reference (the
"services" or "work"). Exhibit "A" includes the agreed upon schedule of performance and the
schedule of fees. Consultant warrants that all services and work shall be performed in a
competent, professional, and satisfactory manner consistent with prevailing industry standards.
In the event of any inconsistency between the terms contained in the Scope of Services/Work
and the terns set forth in this Agreement, the terms set forth ur this Agreement shall govern.
1.2 Compliance with Law. Consultant services rendered under this Agreement shall
comply with all applicable federal, state, and local laws, statutes and ordinances and all lawful
orders, rules, and regulations.
1.3 Licenses and Permits. Consultant shall obtain at its sole cost and expense such
licenses, permits, and approvals as may be required by law for the performance of the services
required by this Agreement.
ORIGINAL BID
AND/OR 1GREEMENT Revised,4,27117
720599.1
1.4 Familiarity with Work. By executing this Agreement, Consultant warrants that
it has carefully considered how the work should be performed and fully understands the
facilities, difficulties, and restrictions attending performance of the work under this Agreement.
2. TIME FOR COMPLETION
The time for completion of the services to be performed by Consultant is an essential
condition of this Agreement. Consultant shall prosecute regularly and diligently the work of this
Agreement according to the agreed upon schedule of performance set forth in F,xhibit "A."
Consultant shall not be accountable for delays in the progress of its work caused by any
condition beyond its control and without the fault or negligence of Consultant. Delays shall not
entitle Consultant to any additional compensation regardless of the party responsible for the
delay.
3. COMPENSATION OF CONSULTANT
3.1 Compensation of Consultant. Consultant shall be compensated and reimbursed
for the services rendered under this Agreement in accordance with the schedule of fees set forth
in Exhibit "A". The total amount of Compensation shall not exceed TEN THOUSAND SEVEN
HUNDRED TWENTY-FIVE Dollars, S10,725.00 (Maximum Contract Amount).
3.2 Method of Payment. In any month in which Consultant wishes to receive
payment, Consultant shall submit to City an invoice for services rendered prior to the date of the
invoice, no later than the first working day of such month, in the form approved by City's
finance director. Payments shall be based on the hourly rates set forth in Exhibit "A" for
authorized services performed. City shall pay Consultant for all expenses stated in the invoice
that are approved by City and consistent with this Agreement, within thirty (30) days of receipt
of Consultant's invoice.
3.3 Changes. In the event any change or changes in the Scope of Services/Work is
requested by City, Parties shall execute a written amendment to this Agreement, specifying all
proposed amendments, including, but not limited to, any additional fees. An amendment may be
entered into:
A. To provide for revisions or modifications to documents, work product, or
work, when required by the enactment or revision of any subsequent law; or
B. To provide for additional services not included in this Agreement or not
customarily furnished in accordance with generally accepted practice in Consultant's profession.
3.4 Appropriations. This Agreement is subject to, and contingent upon, funds being
appropriated by the City Council of City for each fiscal year. If such appropriations are not
made, this Agreement shall automatically terminate without penalty to City.
Revised:4/27117
720599.1
4. PERFORMANCE SCHEDULE
4.1 Time of Essence. Time is of the essence in the performance of this Agreement.
4.2 Schedule of Performance. All services rendered under this Agreement shall be
performed under the agreed upon schedule of performance set forth in Exhibit "A." Any time
period extension must be approved in writing by the Contract Officer.
4.3 Force Maieure. The time for performance of services to be rendered under this
Agreement may be extended because of any delays due to unforeseeable causes beyond the
control and without the fault or negligence of Consultant, if Consultant notifies the Contract
Officer within ten (10) days of the commencement of such condition. Unforeseeable causes
include, but are not limited to, acts of God or of a public enemy, acts of the government, fires,
earthquakes, floods, epidemic, quarantine restrictions, riots, strikes, freight embargoes, and
unusually severe weather. After Consultant notification, the Contract Officer shall investigate
the facts and the extent of any necessary delay, and extend the time for performing the services
for the period of the enforced delay when and if, in the Contract Officer's judgment, such delay
is justified. The Contract Officer's determination shall be final and conclusive upon the parties
to this Agreement.
4.4 Term. Unless earlier terminated in accordance with Section 4.5 of this
Agreement, this Agreement shall continue in full force and effect for a period of 3 months,
commencing on September 20, 2017, and ending on December 31, 2017, unless extended by
mutual written agreement of the parties.
4.5 Termination Prior to Expiration of Term. City may terminate this Agreement
at any time, with or without cause, upon thirty (30) days written notice to Consultant. Where
termination is due to the fault of Consultant and constitutes an immediate danger to health,
safety, and general welfare, the period of notice shall be such shorter time as may be determined
by the City. Upon receipt of the notice of termination, Consultant shall immediately cease all
services except such as may be specifically approved by the Contract Officer. Consultant shall
be entitled to compensation for all services rendered prior to receipt of the notice of termination
and for any services authorized by the Contract Officer after such notice. Consultant may
terminate this Agreement, with or without cause, upon thirty (30) days written notice to City.
5. COORDINATION OF WORK
5.1 Representative of Consultant. The following principal of Consultant is
designated as being the principal and representative of Consultant authorized to act and make all
decisions in its behalf with respect to the specified services and work: Nicolie Cass Lettini,
MBA, Partner. It is expressly understood that the experience, knowledge, education, capability,
and reputation of the foregoing principal is a substantial inducement for City to enter into this
Agreement. Therefore, the foregoing principal shalt be responsible during the term of this
Agreement for directing all activities of Consultant and devoting sufficient time to personally
supervise the services under this Agreement. The foregoing principal may not be changed by
Consultant without prior written approval of the Contract Officer.
3 Revised:4/27117
720599A
5.2 Contract Officer. The Contract Officer shall be the City Manager or his/her
designee ("Contract Officer"). Consultant shall be responsible for keeping the Contract Officer
fully informed of the progress of the performance of the services. Consultant shall refer any
decisions that must be made by City to the Contract Officer. Unless otherwise specified, any
approval of City shall mean the approval of the Contract Officer.
5.3 Prohibition Against Subcontracting or Assignment. The experience,
knowledge, education, capability, and reputation of Consultant, its principals and employees,
were a substantial inducement for City to enter into this Agreement. Therefore, Consultant shall
not contract with any other individual or entity to perform any services required under this
Agreement without the City's express written approval. in addition, neither this Agreement nor
any interest may be assigned or transferred, voluntarily or by operation of law, without the prior
written approval of City.
5.4 Independent Contractor. Neither City nor any of its employees shall have any
control over the manner, mode, or means by which Consultant, its agents or employees, perform
the services required, except as otherwise specified. Consultant shall perform all required
services as an independent contractor of City and shall not be an employee of City and shall
remain at all times as to City a wholly independent contractor with only such obligations as are
consistent with that role; however, City shall have the right to review Consultant's work product,
result, and advice. Consultant shall not at any time or in any manner represent that it or any of
its agents or employees are agents or employees of City.
5.5 Personnel. Consultant agrees to assign the following individuals to perform the
services in this Agreement. Consultant shall not alter the assignment of the following personnel
without the prior written approval of the Contract Officer. Acting through the City Manager, the
City shall have the unrestricted right to order the removal of any personnel assigned by
Consultant by providing written notice to Consultant.
Name: Title:
Dan Edds, MBA, PMP Partner
6. INSURANCE
Consultant shall procure and maintain, at its sole cost and expense, policies of insurance
as set forth in the attached Exhibit"B", incorporated herein by reference.
7. INDEMNIFICATION.
7.1 Indemnification. To the fullest extent pernitted by law, Consultant shall
defend (at Consultant's sole cost and expense), indemnify, protect, and hold harmless City, its
elected officials, officers, employees, agents, and volunteers (collectively the "Indemnified
Parties"), from and against any and all liabilities, actions, suits, claims, demands, losses, costs,
judgments, arbitration awards, settlements, damages, demands, orders, penalties, and expenses
4 Revised:4127/17
720599.1
including legal costs and attorney fees (collectively "Claims"), including but not limited to
Claims arising fiom injuries to or death of persons (Consultant's employees included), for
damage to property, including property owned by City, from any violation of any federal, state,
or local law or ordinance, and from errors and omissions committed by Consultant, its officers,
employees, representatives, and agents, that arise out of or relate to Consultant's performance
under this Agreement. This indemnification clause excludes Claims arising from the sole
negligence or willful misconduct of the City, its elected officials, officers, employees, agents,
and volunteers. Under no circumstances shalt the insurance requirements and limits set forth in
this Agreement be construed to limit Consultant's indemnification obligation or other liability
under this Agreement. Consultant's indemnification obligation shall survive the expiration or
earlier tennination of this Agreement until all actions against the Indemnified Parties for such
matters indemnified are fully and finally barred by the applicable statute of limitations or, if an
action is timely filed, until such action is final. This provision is intended for the benefit of third
party Indemnified Parties not otherwise a party to this Agreement.
7.2 Desisn Professional Services Indemnification and Reimbursement. If the
Agreement is determined to be a "design professional services agreement" and Consultant is a
"design professional" under California Civil Code Section 2782.8, then:
A. To the fullest extent permitted by law, Consultant shall indemnify, defend
(at Consultant's sole cost and expense), protect and hold harmless City and its elected officials,
officers, employees, agents and volunteers and all other public agencies whose approval of the
project is required, (individually"Indemnified Party"; collectively"Indemnified Parties") against
any and all liabilities, claims,judgments, arbitration awards, settlements, costs, demands, orders
and penalties (collectively "Claims"), including but not limited to Claims arising from injuries or
death of persons (Consultant's employees included) and damage to property, which Claims arise
out of, pertain to, or are related to the negligence, recklessness or willful misconduct of
Consultant, its agents, employees, or subcontractors, or arise from Consultant's negligent,
reckless or willful performance of or failure to perform any tern, provision, covenant or
condition of this Agreement ("Indemnified Claims"), but Consultant's liability for Indemnified
Claims shall be reduced to the extent such Claims arise from the negligence, recklessness or
willful misconduct of the City and its elected officials, officers, employees, agents and
volunteers.
B. The Consultant shall require all non-design-professional sub-contractors,
used or sub-contracted by Consultant to perform the Services or Work required under this
Agreement, to execute an Indemnification Agreement adopting the indemnity provisions in sub-
section 7.1 in favor of the Indemnified Parties. In addition, Consultant shall require all non-
design-professional sub-contractors, used or sub-contracted by Consultant to perform the
Services or Work required under this Agreement, to obtain insurance that is consistent with the
Insurance provisions as set forth in this Agreement, as well as any other insurance that may be
required by Contract Officer.
5 Revised:4127117
�2Os9g.1
8. RECORDS AND REPORTS
8.1 Reports. Consultant shall periodically prepare and submit to the Contract Officer
reports concerning the performance of the services required by this Agreement, or as the
Contract Officer shall require.
8.2 Records. Consultant shall keep complete, accurate, and detailed accounts of all
time, costs, expenses, and expenditures pertaining in any way to this Agreement. Consultant
shall keep such books and records as shall be necessary to properly perform the services required
by this Agreement and enable the Contract Officer to evaluate the performance of such services.
The Contract Officer shall have full and free access to such books and records at all reasonable
times, including the right to inspect, copy, audit, and make records and transcripts from such
records.
8.3 Ownership of Documents. All drawings, specifications, reports, records,
documents, and other materials prepared by Consultant in the performance of this Agreement
shall be the property of City. Consultant shall deliver all above-referenced documents to City
upon request of the Contract Officer or upon the tennination of this Agreement. Consultant shall
have no claim for further employment or additional compensation as a result of the exercise by
City of its full rights or ownership of the documents and materials. Consultant may retain copies
of such documents for Consultant's own use. Consultant shall have an unrestricted right to use
the concepts embodied in such documents.
8.4 Release of Documents. All drawings, specifications, reports, records,
documents, and other materials prepared by Consultant in the performance of services under this
Agreement shall not be released publicly without the prior written approval of the Contract
Officer.
8.5 Cost Records. Consultant shall maintain all books, documents, papers, employee
time sheets, accounting records, and other evidence pertaining to costs incurred while performing
under this Agreement. Consultant shall make such materials available at its offices at all
reasonable times during the term of this Agreement and for three (3) years from the date of final
payment for inspection by City and copies shall be promptly furnished to City upon request.
9. ENFORCEMENT OF AGREEMENT
9.1 California Law. This Agreement shall be construed and interpreted both as to
validity and to performance of the parties in accordance with the laws of the State of California.
Legal actions concerning any dispute, claim, or matter arising out of or in relation to this
Agreement shall be instituted in the Superior Court of the County of Riverside, State of
California, or any other appropriate court in such county, and Consultant covenants and agrees to
submit to the personal jurisdiction of such court in the event of such action.
9.2 Interpretation. This Agreement shall be construed as a whole according to its
fair language and common meaning to achieve the objectives and purposes of the Parties. The
terms of this Agreement are contractual and the result of negotiation between the Parties.
Accordingly, any rule of construction of contracts (including, without limitation, California Civil
Code Section 1654) that ambiguities are to be construed against the drafting party, shall not be
6 Revised:4127117
720599.1
employed in the interpretation of this Agreement. The caption headings of the various sections
and paragraphs of this Agreement are for convenience and identification purposes only and shall
not be deemed to limit, expand, or define the contents of the respective sections or paragraphs.
9.3 Waiver. No delay or omission in the exercise of any right or remedy of a non-
defaulting party on any default shall impair such right or remedy or be construed as a waiver.
No consent or approval of City shall be deemed to waive or render unnecessary City's consent to
or approval of any subsequent act of Consultant. Any waiver by either party of any default must
be in writing. No such waiver shall be a waiver of any other default concerning the same or any
other provision of this Agreement.
9.4 Rights and Remedies are Cumulative. Except with respect to rights and
remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the
parties are cumulative. The exercise by either party of one or more of such rights or remedies
shall not preclude the exercise by it, at the same or different times, of any other rights or
remedies for the same default or any other default by the other party.
9.5 Legal Action. In addition to any other rights or remedies, either party may take
legal action, in law or in equity, to cure, correct, or remedy any default, to recover damages for
any default, to compel specific performance of this Agreement, to obtain injunctive relief, a
declaratory judgment, or any other remedy consistent with the purposes of this Agreement.
10. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION
10.1 von-Liability of City Officers and Employees. No officer or employee of City
shall be personally liable to the Consultant, or any successor-in-interest, in the event of any
default or breach by City or for any amount which may become due to the Consultant or its
successor, or for breach of any obligation of the terms of this Agreement.
10.2 Conflict of Interest. Contractor acknowledges that no officer or employee of the
City has or shall have any direct or indirect financial interest in this Agreement nor shall
Contractor enter into any agreement of any kind with any such officer or employee during the
term of this Agreement and for one year thereafter. Contractor warrants that Contractor has not
paid or given, and will not pay or give, any third party any money or other consideration in
exchange for obtaining this Agreement.
10.3 Covenant Against Discrimination. Consultant covenants that, by and for itself, its
heirs, executors, assigns, and all persons claiming under or through them, that there shall be no
discrimination or segregation in the performance of or in connection with this Agreement
regarding any person or group of persons on account of race, color, creed, religion, sex, marital
status, disability, sexual orientation, gender identity, gender expression, national origin, physical
or mental disability, medical condition, or ancestry. Consultant shall otherwise fully comply
with the provisions of Palm Springs Municipal Code Section 7.09.040 relating to non-
discrimination in city contracting.
7 Revised:4/27/17
720599.1
11. MISCELLANEOUS PROVISIONS
11.1 Notice. Any notice, demand, request, consent, approval, or communication that
either party desires, or is required to give to the other party or any other person shall be in
writing and either served personally or sent by pre-paid, first-class mail to the address set forth
below. Notice shall be deemed communicated seventy-two (72) hours from the time of mailing
if mailed as provided in this Section. Either party may change its address by notifying the other
party of the change of address in writing.
To City: City of Palm Springs
Attention: City Manager/City Clerk
3200 E. Tahquitz Canyon Way
Palm Springs, California 92262
To Consultant: Capital Accounting Partners, LLC (CAP)
3570 Buena Vista Drive
Sacramento, CA 95864
Attention: Nicolie Cass Lettini, MBA
Dan Edds, MBA, PMP
Telephone: 916-670-0001
Facsimile: 309-404-0697
11.2 Integrated Agreement. This Agreement contains all of the agreements of the
parties and supersedes all other written agreements.
11.3 Amendment. No amendments or other modifications of this Agreement shall be
binding unless through written agreement by all Parties.
11.4 Severability. Whenever possible, each provision of this Agreement shall be
interpreted in such a manner as to be effective and valid under applicable law. In the event that
any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this
Agreement shall be declared invalid or unenforceable by valid judgment or decree of a court of
competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining
phrases, sentences, clauses, paragraphs, or sections of this Agreement, which shall be interpreted
to carry out the intent of the parties.
11.5 Successors in Interest. This Agreement shall be binding upon and inure to the
benefit of the Parties' successors and assignees.
11.6 Third Party Beneficiary. Except as may be expressly provided for in this
Agreement, nothing contained in this Agreement is intended to confer, nor shall this Agreement
be construed as conferring, any rights, including, without limitation, any rights as a third-party
beneficiary or otherwise, upon any entity or person not a party to this Agreement.
8 Revised:4/27117
720599.1
11.7 Recitals. The above-referenced Recitals are hereby incorporated into the
Agreement as though fully set forth in this Agreement and each Party acknowledges and agrees
that such Party is bound, for purposes of this Agreement, by the same.
11.8 Authority. The persons executing this Agreement on behalf of the Parties
warrant that they are duly authorized to execute this Agreement on behalf of Parties and that by
so executing this Agreement the Parties are formally bound to the provisions of this Agreement.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the dates
stated below.
"CITY"
City of Palm Springs
Date: 0 l B
;avid H. Ready, PhD
City Manager
APPROVED By CRy MANgGER
APPROVE S TO FORM: ATTEST
L:::
By: By:
Edward Z. Kotkin Kathleen D. Hart, MMC
City Attorney Interim City Clerk
"CONSULTANT"
Nicolie Cass Lettini
Date: �� 17 By
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Date:
/ (name)
Not To Exceed $ / �b�
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Authorization Of The City
Manager. y Revised:4/27n7
??0599.1
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10 Revised:4127117
720599.1
EXHIBIT "A"
CONSULTANT'S
SCOPE OF SERVICES/WORK
Including,
Schedule of Fees
And
Schedule of Performance
1 Revised:4127/17
720599.1
CAPITAL
COUNTING
PARTNERS, LLC www.wpitalauountingpartnemcm
"We give you a product we are PROUD to put our name on."
September 18, 2017
Geoffrey Kiehl
Director of Finance and Treasurer
City of Palm Springs
3200 E. Tahquitz Canyon Way
P.O. Box 2743
Palm Springs, CA 92263-2743
RE: Review and comparison of development services costs
In-scope: This proposal covers a review and comparison of hourly rates and charges for positions
operating in development services. Specifically:
• Building & Safety;
• Development Engineering; and
• Planning Services.
The project will calculate the direct costs for each position based on fiscal 2017 budget year. These
rates will be calculated by adding all salary & benefit cost plus a prorated amount for services and
supplies. Citywide overhead rates will be adding by calculating the average increases in labor rates
for calendar years 15/16, plus 16117, and 17/18. From these calculations, an average cost per FTE
will be calculated. Comparisons will be made against these same years. In summary, average costs
for each position will be calculated. The following chart will outline the deliverable of this project:
Wages Original Model Fiscal 15-16 Fiscal 16-17 Fiscal 17-18
Benefits
Services and Supplies
Allocated Overhead
Total Costs
Total FTE
Average Cost/ FTE
Nicolie Cass Lettini, MBA Dan Edds, MBA, PMP
916.670.0001 425.269.8854
nlettiniamycaoartner.com danedds@mycapartner.com
Out-of-Scope: This project will not cover the re-calculation of individual user fees, total division or
departmental costs, or cost recovery rates for the individual work units. Nor will this project calculate
total productive hourly rates used in for billing purposes as these rates will incorporate
administrative costs and support costs such as customer service.
Cost Proposal: The estimated cost for this project follows.
Total Hours 65
Hourly Rate $165.
Total Project Cost $10,725
Presentation to City Council or $3,500 (including travel
equivalent expenses)
Optional Project Addition:
If the City determines that a complete update of user fees, including all development services, Fire
Prevention fees, and Police fees is warranted the following will summarize a project budget:
Calculate new costs for development services fees $34,500
(building, planning, and development engineering
Update the indirect cost allocation plan (no OMB A- $13,000
87 compliant Ian
Expenses $2,500
Total budgeted costs $50,000
Thank you for the opportunity of submitting these proposals.
Respectfully
Daniel B Edds, MBA, PMP
Partner
Page 2
EXHIBIT "B"
INSURANCE PROVISIONS
Including
Verification of Coverage,
Sufficiency of Insurers,
Errors and Omissions Coverage,
Minimum Scope of Insurance,
Deductibles and Self-Insured Retentions, and
Severability of Interests (Separation of Insureds)
1 Revised:4/270 7
720599.1
INSURANCE
1. Procurement and Maintenance of Insurance. Consultant shall procure and
maintain public liability and property damage insurance against all claims for injuries against
persons or damages to property resulting from Consultant's performance under this Agreement.
Consultant shall procure and maintain all insurance at its sole cost and expense, in a form and
content satisfactory to the City, and submit concurrently with its execution of this Agreement.
Consultant shall also carry workers' compensation insurance in accordance with California
workers' compensation laws. Such insurance shall be kept in full force and effect during the
term of this Agreement, including any extensions. Such insurance shall not be cancelable
without thirty(30) days advance written notice to City of any proposed cancellation. Certificates
of insurance evidencing the foregoing and designating the City, its elected officials, officers,
employees, agents, and volunteers as additional named insureds by original endorsement shall be
delivered to and approved by City prior to commencement of services. The procuring of such
insurance and the delivery of policies, certificates, and endorsements evidencing the same shall
not be construed as a limitation of Consultant's obligation to indemnify City, its elected officials,
officers, agents, employees, and volunteers.
2. Minimum Scope of Insurance. The minimum amount of insurance required
under this Agreement shall be as follows:
1. Comprehensive general liability and personal injury with limits of at least
one million dollars (S1,000,000.00) combined single limit coverage per occurrence and two
million dollars (S2,000,000) general aggregate;
2. Automobile liability insurance with limits of at least one million dollars
($1,000,000.00) per occurrence;
3. Professional liability (errors and omissions) insurance with limits of at
least one million dollars ($1,000,000.00) per occurrence and two million dollars (S2,000,000)
annual aggregate is:
V/ required
is not required;
4. Workers' Compensation insurance in the statutory amount as required by
the State of California and Employer's Liability Insurance with limits of at least one million
dollars $1 million per occurrence. If Consultant has no employees, Consultant shall complete the
City's Request for Waiver of Workers' Compensation Insurance Requirement form.
3. Primary Insurance. For any claims related to this Agreement, Consultant's
insurance coverage shall be primary with respect to the City and its respective elected officials,
officers, employees, agents, and volunteers. Any insurance or self-insurance maintained by City
and its respective elected officials, officers, employees, agents, and volunteers shall be in excess
of Consultant's insurance and shall not contribute with it. For Workers' Compensation and
Employer's Liability Insurance only, the insurer shall waive all rights of subrogation and
t 3 Revised:4l27I77
720599.1
contribution it may have against City, its elected officials, officers, employees, agents, and
volunteers.
4. Errors and Omissions Coverage. If Errors & Omissions Insurance is required,
and if Consultant provides claims made professional liability insurance, Consultant shall also
agree in writing either (1) to purchase tail insurance in the amount required by this Agreement to
cover claims made within three years of the completion of Consultant's services under this
Agreement, or (2) to maintain professional liability insurance coverage with the same carrier in
the amount required by this Agreement for at least three years after completion of Consultant's
services under this Agreement. Consultant shall also be required to provide evidence to City of
the purchase of the required tail insurance or continuation of the professional liability policy.
5. Sufficiency of Insurers. Insurance required in this Agreement shall be provided
by authorized insurers in good standing with the State of California. Coverage shall be provided
by insurers admitted in the State of California with an A.M. Best's Key Rating of B++, Class
VII, or better, unless otherwise acceptable to the City.
6. Verification of Coverage. Consultant shall furnish City with both certificates of
insurance and endorsements, including additional insured endorsements, effecting all of the
coverages required by this Agreement. The certificates and endorsements are to be signed by a
person authorized by that insurer to bind coverage on its behalf. All proof of insurance is to be
received and approved by the City before work commences. City reserves the right to require
Consultant's insurers to provide complete, certified copies of all required insurance policies at
any time. Additional insured endorsements are not required for Errors and Omissions and
Workers' Compensation policies.
Verification of Insurance coverage may be provided by: (1) an approved General and/or
Auto Liability Endorsement Form for the City of Palm Springs or(2) an acceptable Certificate of
Liability Insurance Coverage with an approved Additional Insured Endorsement with the
following endorsements stated on the certificate:
1. "The City of Palm Springs, its officials, emplovees, and agents care named as an
additional insured... " ("as respects City of Palm Springs Contract No._" or 'for any and all
workpeafbrmed with the City"may be included in this statement).
2. "This insurance is primary and non-contributory over anv insurance or self-
insurance the City may have..." ("as respects City of'Pahn Springs Contract Na" or 'fbr any
and all workperformed with the Citv" may be included in this statement).
3. "Should an v of the above described policies be canceled before the expiration
date thereof, the issuing company will mail 30 days written notice to the Certificate Holder
named." Language such as, "endeavor to" mail and "but failure to mail such notice shall impose
no obligation or liability of any kind upon the company, its agents or representative" is not
acceptable and must be crossed out.
14 Revised 4127i17
720599.1
4. Both the Workers' Compensation and Employers' Liability policies shall contain
the insurer's waiver of subrogation in favor of City, its elected officials, officers, employees,
agents, and volunteers.
In addition to the endorsements listed above, the City of Palm Springs shall be named the
certificate holder on the policies.
All certificates of insurance and endorsements are to be received and approved by the City
before work commences. All certificates of insurance must be authorized by a person with
authority to bind coverage, whether that is the authorized agent/broker or insurance underwriter.
Failure to obtain the required documents prior to the commencement of work shall not waive the
Consultant's obligation to provide them.
7. Deductibles and Self-Insured Retentions. Any deductibles or self-insured
retentions must be declared to and approved by the City prior to commencing any work or
services under this Agreement. At the option of the City, either (1) the insurer shall reduce or
eliminate such deductibles or self-insured retentions with respect to the City, its elected officials,
officers, employees, agents, and volunteers; or (2) Consultant shall procure a bond guaranteeing
payment of losses and related investigations, claim administration, and defense expenses.
Certificates of Insurance must include evidence of the amount of any deductible or self-insured
retention under the policy. Consultant guarantees payment of all deductibles and self-insured
retentions.
8. Severability of Interests (Separation of Insureds). This insurance applies
separately to each insured against whom claim is made or suit is brought except with respect to
the limits of the insurer's liability.
j Revised 4/27117
7205".1
CONSULTING SERVICES AGREEMENT
Comprehensive Fee and Rate Study
Capital Accounting Partners, LLC
TIIIS AGREEMENT FOR CONSULTING SERVICES ("Agreement") is made and
entered into on June 21, 2017, by and between the City of Palm Springs, a California charter city
and municipal corporation ("City"), and Capital Accounting Partners, LLC, a Limited Liability
Company, ("Consultant"). City and Consultant are individually referred to as "Party" and are
collectively referred to as the "Parties".
RECITALS
A. City requires the services of a Comprehensive Fee and Rate Study, for the City of
Palm Springs Parks and Recreation, ("Project").
B. Consultant has submitted to City a proposal to provide comprehensive review of
the City's Recreation Fee and Revenue Study, to City under the terms of this Agreement.
C. Based on its experience, education, training, and reputation, Consultant is
qualified and desires to provide the necessary services to City for the Project.
D. City desires to retain the services of Consultant for the Project.
In consideration of these promises and mutual agreements, City agrees as follows:
AGREEMENT
1. CONSULTANT SERVICES
1.1 Scope of Services. In compliance with all terms and conditions of this
Agreement, Consultant shall provide professional services to City as described in the Scope of
Services/Work attached to this Agreement as Exhibit "A" and incorporated by reference (the
"services" or "work"). Exhibit "A" includes the agreed upon schedule of performance and the
schedule of fees. Consultant warrants that all services and work shall be performed in a
competent, professional, and satisfactory manner consistent with prevailing industry standards.
In the event of any inconsistency between the terms contained in the Scope of Services/Work
and the terms set forth in this Agreement, the terms set forth in this Agreement shall govern.
1.2 Compliance with Law. Consultant services rendered under this Agreement shall
comply with all applicable federal, state, and local laws, statutes and ordinances and all lawful
orders, rules, and regulations.
1.3 Licenses and Permits. Consultant shall obtain at its sole cost and expense such
licenses, permits, and approvals as may be required by law for the performance of the services
required by this Agreement.
ORIGINAL BID
' AND/ORAGREEMENT Revised 4/27117
1.4 Familiarity with Work. By executing this Agreement, Consultant warrants that
it has carefully considered how the work should be performed and fully understands the
facilities, difficulties, and restrictions attending performance of the work tinder this Agreement.
2. TIME FOR COMPLETION
The time for completion of the services to be performed by Consultant is an essential
condition of this Agreement. Consultant shall prosecute regularly and diligently the work of this
Agreement according to the agreed upon schedule of performance set forth in Exhibit "A."
Consultant shall not be accountable for delays in the progress of its work caused by any
condition beyond its control and without the fault or negligence of Consultant. Delays shall not
entitle Consultant to any additional compensation regardless of the party responsible for the
delay.
3. COMPENSATION OF CONSULTANT
3.1 Compensation of Consultant. Consultant shall be compensated and reimbursed
for the services rendered under this Agreement in accordance with the schedule of fees set forth
in Exhibit "A". The total amount of Compensation shall not exceed NINETEEN THOUSAND
AND SEVENTY FIVE Dollars, $19,075.00 (Maximum Contract Amount).
3.2 Method of Payment. In any month in which Consultant wishes to receive
payment, Consultant shall submit to City an invoice for services rendered prior to the date of the
invoice, no later than the first working day of such month, in the form approved by City's
finance director. Payments shall be based on the hourly rates set forth in Exhibit "A" for
authorized services performed. City shall pay Consultant for all expenses stated in the invoice
that are approved by City and consistent with this Agreement, within thirty (30) days of receipt
of Consultant's invoice.
3.3 Chances. In the event any change or changes in the Scope of Services/Work is
requested by City, Parties shall execute a written amendment to this Agreement, specifying all
proposed amendments, including, but not limited to, any additional fees. An amendment may be
entered into:
A. To provide for revisions or modifications to documents, work product, or
work, when required by the enactment or revision of any subsequent law; or
B. To provide for additional services not included in this Agreement or not
customarily furnished in accordance with generally accepted practice in Consultant's profession.
3.4 Appropriations. This Agreement is subject to, and contingent upon, funds being
appropriated by the City Council of City for each fiscal year. If such appropriations are not
made, this Agreement shall automatically terminate without penalty to City.
4. PERFORMANCE SCHEDULE
4.1 Time of Essence. Time is of the essence in the performance of this Agreement.
2 Revised:4127;17
7�11j99.1
4.2 Schedule of Performance. All services rendered under this Agreement shall be
perfortned under the agreed upon schedule of performance set forth in Exhibit "A." Any time
period extension must be approved in writing by the Contract Officer.
4.3 Force Maieure. The time for performance of services to be rendered under this
Agreement may be extended because of any delays due to unforeseeable causes beyond the
control and without the fault or negligence of Consultant, if Consultant notifies the Contract
Officer within ten (10) days of the commencement of such condition. Unforeseeable causes
include, but are not limited to, acts of God or of a public enemy, acts of the government, fires,
earthquakes, floods, epidemic, quarantine restrictions, riots, strikes, freight embargoes, and
unusually severe weather. After Consultant notification, the Contract Officer shall investigate
the facts and the extent of any necessary delay, and extend the time for performing the services
for the period of the enforced delay when and if, in the Contract Officer's judgment, such delay
is justified. The Contract Officer's determination shall be final and conclusive upon the parties
to this Agreement.
4.4 Term. Unless earlier terminated in accordance with Section 4.5 of this
Agreement, this Agreement shall continue in full force and effect for a period of 5 months,
commencing on July 1, 2017, and ending on December 31, 2017, unless extended by mutual
written agreement of the parties.
4.5 Termination Prior to Expiration of Term. City may terminate this Agreement
at any time, with or without cause, upon thirty (30) days written notice to Consultant. Where
termination is due to the fault of Consultant and constitutes an immediate danger to health,
safety, and general welfare, the period of notice shall be such shorter time as may be determined
by the City. Upon receipt of the notice of termination, Consultant shall immediately cease all
services except such as may be specifically approved by the Contract Officer. Consultant shall
be entitled to compensation for all services rendered prior to receipt of the notice of termination
and for any services authorized by the Contract Officer after such notice. Consultant may
terminate this Agreement, with or without cause, upon thirty(30) days written notice to City.
5. COORDINATION OF WORK
5.1 Representative of Consultant. The following principal of Consultant is
designated as being the principal and representative of Consultant authorized to act and make all
decisions in its behalf with respect to the specified services and work: Nicolie Cass Lettini,
MBA, Partner. It is expressly understood that the experience, knowledge, education, capability,
and reputation of the foregoing principal is a substantial inducement for City to enter into this
Agreement. Therefore, the foregoing principal shall be responsible during the term of this
Agreement for directing all activities of Consultant and devoting sufficient time to personally
supervise the services under this Agreement. The foregoing principal may not be changed by
Consultant without prior written approval of the Contract Officer.
5.2 Contract Officer. The Contract Officer shall be the City Manager or his/her
designee ("Contract Officer"). Consultant shall be responsible for keeping the Contract Officer
fully informed of the progress of the performance of the services. Consultant shall refer any
3 Revised:412M 7
120i99.1
decisions that must be made by City to the Contract Officer. Unless otherwise specified, any
approval of City shall mean the approval of the Contract Officer.
.5.3 Prohibition Against Subcontracting or Assignment. The experience,
knowledge, education, capability, and reputation of Consultant, its principals and employees,
were a substantial inducement for City to enter into this Agreement. Therefore, Consultant shall
not contract with any other individual or entity to perform any services required under this
Agreement without the City's express written approval. In addition, neither this Agreement nor
any interest may be assigned or transferred, voluntarily or by operation of law, without the prior
written approval of City.
5.4 Independent Contractor. Neither City nor any of its employees shall have any
control over the manner, mode, or means by which Consultant, its agents or employees, perform
the services required, except as otherwise specified. Consultant shall perform all required
services as an independent contractor of City and shall not be an employee of City and shall
remain at all times as to City a wholly independent contractor with only such obligations as are
consistent with that role; however, City shall have the right to review Consultant's work product,
result, and advice. Consultant shall not at any time or in any manner represent that it or any of
its agents or employees are agents or employees of City.
5.5 Personnel. Consultant agrees to assign the following individuals to perform the
services in this Agreement. Consultant shall not alter the assignment of the following personnel
without the prior written approval of the Contract Officer. Acting through the City Manager. the
City shall have the unrestricted right to order the removal of any personnel assigned by
Consultant by providing written notice to Consultant.
Name: Title:
Dan Edds, MBA, PMP Partner
6. INSURANCE
Consultant shall procure and maintain, at its sole cost and expense, policies of insurance
as set forth in the attached Exhibit "B", incorporated herein by reference.
7. INDEMNIFICATION.
7.1 Indemnification. To the fullest extent permitted by law, Consultant shall
defend (at Consultant's sole cost and expense), indemnify, protect, and hold harmless City, its
elected officials, officers, employees, agents, and volunteers (collectively the "Indemnified
Parties"), from and against any and all liabilities, actions, suits, claims, demands, losses, costs,
judgments, arbitration awards, settlements, damages, demands, orders, penalties, and expenses
including legal costs and attorney tees (collectively "Claims"), including but not limited to
Claims arising from injuries to or death of persons (Consultant's employees included), for
damage to property, including property owned by City, from any violation of any federal, state,
4 Revised:4127/17
72Q>99.1
or local law or ordinance, and from errors and omissions committed by Consultant, its officers,
employees, representatives, and agents, that arise out of or relate to Consultant's performance
under this Agreement. This indemnification clause excludes Claims arising from the sole
negligence or willful misconduct of the City, its elected officials, officers, employees, agents,
and volunteers. Under no circumstances shall the insurance requirements and limits set forth in
this Agreement be construed to limit Consultant's indemnification obligation or other liability
under this Agreement. Consultant's indemnification obligation shall survive the expiration or
earlier termination of this Agreement until all actions against the Indemnified Parties for such
matters indemnified are fully and finally barred by the applicable statute of limitations or, if an
action is timely filed, until such action is final. This provision is intended for the benefit of third
party Indemnified Parties not otherwise a party to this Agreement.
7.2 Deshm Professional Services Indemnification and Reimbursement. If the
Agreement is determined to be a "design professional services agreement" and Consultant is a
"design professional" under California Civil Code Section 2782.8, then:
A. To the fullest extent permitted by law, Consultant shall indemnify, defend
(at Consultant's sole cost and expense), protect and hold harmless City and its elected officials,
officers, employees, agents and volunteers and all other public agencies whose approval of the
project is required, (individually "Indemnified Party"; collectively "Indemnified Parties") against
any and all liabilities, claims,judgments, arbitration awards, settlements, costs, demands, orders
and penalties (collectively "Claims"), including but not limited to Claims arising from injuries or
death of persons (Consultant's employees included) and damage to property, which Claims arise
out of, pertain to, or are related to the negligence, recklessness or willful misconduct of
Consultant, its agents, employees, or subcontractors, or arise from Consultant's negligent,
reckless or willful performance of or failure to perform any term, provision, covenant or
condition of this Agreement ("Indemnified Claims"), but Consultant's liability for Indemnified
Claims shall be reduced to the extent such Claims arise from the negligence, recklessness or
willful misconduct of the City and its elected officials, officers, employees, agents and
volunteers.
B. The Consultant shall require all non-design-professional sub-contractors,
used or sub-contracted by Consultant to perform the Services or Work required under this
Agreement, to execute an Indemnification Agreement adopting the indemnity provisions in sub-
section 7.1 in favor of the Indemnified Parties. In addition, Consultant shall require all non-
design-professional sub-contractors, used or sub-contracted by Consultant to perform the
Services or Work required under this Agreement, to obtain insurance that is consistent with the
Insurance provisions as set forth in this Agreement, as well as any other insurance that may be
required by Contract Officer.
8. RECORDS AND REPORTS
8.1 Reports. Consultant shall periodically prepare and submit to the Contract Officer
reports concerning the performance of the services required by this Agreement, or as the
Contract Officer shall require.
5 Revised:4/27/17
7?0>99.1
8.2 Records. Consultant shall keep complete, accurate, and detailed accounts of all
time, costs, expenses, and expenditures pertaining in any way to this Agreement. Consultant
shall keep such books and records as shall be necessary to properly perform the services required
by this Agreement and enable the Contract Officer to evaluate the performance of such services.
The Contract Officer shall have full and free access to such books and records at all reasonable
times, including the right to inspect, copy, audit, and make records and transcripts from such
records.
8.3 Ownership of Documents. All drawings, specifications, reports, records,
documents, and other materials prepared by Consultant in the performance of this Agreement
shall be the property of City. Consultant shall deliver all above-referenced documents to City
upon request of the Contract Officer or upon the tennination of this Agreement. Consultant shall
have no claim for further employment or additional compensation as a result of the exercise by
City of its full rights or ownership of the documents and materials. Consultant may retain copies
of such documents for Consultant's own use. Consultant shall have an unrestricted right to use
the concepts embodied in such documents.
8.4 Release of Documents. All drawings, specifications, reports, records,
documents, and other materials prepared by Consultant in the performance of services under this
Agreement shall not be released publicly without the prior written approval of the Contract
Officer.
8.5 Cost Records. Consultant shall maintain all books, documents, papers, employee
time sheets, accounting records. and other evidence pertaining to costs incurred while performing
under this Agreement. Consultant shall make such materials available at its offices at all
reasonable times during the term of this Agreement and for three (3) years from the date of final
payment for inspection by City and copies shall be promptly furnished to City upon request.
9. ENFORCEMENT OF AGREEMENT
9.1 California Law. This Agreement shall be construed and interpreted both as to
validity and to performance of the parties in accordance with the laws of the State of California.
Legal actions concerning any dispute, claim, or matter arising out of or in relation to this
Agreement shall be instituted in the Superior Court of the County of Riverside, State of
California, or any other appropriate court in such county, and Consultant covenants and agrees to
submit to the personal jurisdiction of such court in the event of such action.
9.2 Interpretation. This Agreement shall be construed as a whole according to its
fair language and common meaning to achieve the objectives and purposes of the Parties. The
terms of this Agreement are contractual and the result of negotiation between the Patties.
Accordingly, any rule of construction of contracts (including, without limitation, California Civil
Code Section 1654) that ambiguities are to be construed against the drafting party, shall not be
employed in the interpretation of this Agreement. The caption headings of the various sections
and paragraphs of this Agreement are for convenience and identification purposes only and shall
not be deemed to limit, expand, or define the contents of the respective sections or paragraphs.
6 Revised:4127117
'2US99.1
9.3 Waiver. No delay or omission in the exercise of any right or remedy of a non-
defaulting party on any default shall impair such right or remedy or be construed as a waiver.
No consent or approval of City shall be deemed to waive or render unnecessary City's consent to
or approval of any subsequent act of Consultant. Any waiver by either party of any default must
be in writing. No such waiver shall be a waiver of any other default concerning the same or any
other provision of this Agreement.
9.4 Rights and Remedies are Cumulative. Except with respect to rights and
remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the
parties are cumulative. The exercise by either party of one or more of such rights or remedies
shall not preclude the exercise by it, at the same or different times, of any other rights or
remedies for the same default or any other default by the other party.
9.5 Legal Action. in addition to any other rights or remedies, either party may take
legal action, in law or in equity, to cure, correct, or remedy any default, to recover damages for
any default, to compel specific performance of this Agreement, to obtain injunctive relief, a
declaratory judgment, or any other remedy consistent with the purposes of this Agreement.
10. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION
10.1 Non-Liability of City Officers and Emplovees. No officer or employee of City
shall be personally liable to the Consultant, or any successor-in-interest, in the event of any
default or breach by City or for any amount which may become due to the Consultant or its
successor, or for breach of any obligation of the tenns of this Agreement.
10.2 Conflict of Interest. Contractor acknowledges that no officer or employee of the
City has or shall have any direct or indirect financial interest in this Agreement nor shall
Contractor enter into any agreement of any kind with any such officer or employee during the
terrn of this Agreement and for one year thereafter. Contractor warrants that Contractor has not
paid or given, and will not pay or give, any third party any money or other consideration in
exchange for obtaining this Agreement.
10.3 Covenant Against Discrimination. Consultant covenants that, by and for itself, its
heirs, executors, assigns, and all persons claiming under or through them, that there shall be no
discrimination or segregation in the performance of or in connection with this Agreement
regarding any person or group of persons on account of race, color, creed, religion, sex, marital
status, disability, sexual orientation, gender identity, gender expression, national origin, physical
or mental disability, medical condition, or ancestry. Consultant shall otherwise fully comply
with the provisions of Palm Springs Municipal Code Section 7.09.040 relating to non-
discrimination in city contracting.
11. MISCELLANEOUS PROVISIONS
11.1 Notice. Any notice, demand, request, consent, approval, or communication that
either party desires, or is required to give to the other party or any other person shall be in
writing and either served personally or sent by pre-paid, first-class mail to the address set forth
below. Notice shall be deemed communicated seventy-two (72) hours from the time of mailing
7 Revised:3127117
"0399 I
if mailed as provided in this Section. Either party may change its address by notifying the other
party of the change of address in writing.
To City: City of Palm Springs
Attention: City Manager/ City Clerk
3200 E. Tahquitz Canyon Way
Palm Springs, California 92262
To Consultant_ Capital Accounting Partners, LLC (CAP)
3570 Buena Palm Springs Drive
Sacramento, CA 95864
Attention: Nicolie Cass Lettini, MBA
Dan Edds, MBA, PMP
Telephone: 916-670-0001
Facsimile: 309-404-0697
11.2 Integrated Agreement. This Agreement contains all of the agreements of the
parties and supersedes all other written agreements.
11.3 Amendment. No amendments or other modifications of this Agreement shall be
binding unless through written agreement by all Parties.
11.4 Severability. Whenever possible, each provision of this Agreement shall be
interpreted in such a manner as to be effective and valid under applicable law. In the event that
any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this
Agreement shall be declared invalid or unenforceable by valid judgment or decree of a court of
competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining
phrases, sentences, clauses, paragraphs, or sections of this Agreement, which shall be interpreted
to carry out the intent of the parties.
11.5 Successors in Interest. This Agreement shall be binding upon and inure to the
benefit of the Parties' successors and assignees.
11.6 Third Partv Beneficiary. Except as may be expressly provided for in this
Agreement, nothing contained in this Agreement is intended to confer, nor shall this Agreement
be construed as conferring, any rights, including, without limitation, any rights as a third-party
beneficiary or otherwise, upon any entity or person not a party to this Agreement.
11.7 Recitals. The above-referenced Recitals are hereby incorporated into the
Agreement as though fully set forth in this Agreement and each Party acknowledges and agrees
that such Party is bound, for purposes of this Agreement, by the same.
11.8 Authority. The persons executing this Agreement on behalf of the Parties
warrant that they are duly authorized to execute this Agreement on behalf of Parties and that by
so executing this Agreement the Parties are formally bound to the provisions of this Agreement.
$ Revised:4127117
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the dates
stated below.
"CITY"
City of Palm Springs
Date: ' ,K By
David H. Ready, PhD
City Manager
A�P�PROVED BY CITY MMJAGInER
;APPROVED TO FORM: ATTEST Ala��5 �� ►`C��R�
By: LL4V;
Edward Z. Kotkin Kathleen D. Hart, MMC
City Attorney Interim City Clerk
"CONSULTANT"
1 Nicolie Cass
Lett'
Date: By : C
(name)
(president)
Date:
(name)
(secretart)
4 Revised,4/27117
2,o 991
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10 Revised:4/27/17
7?pi99.1
EXHIBIT "A"
CONSULTANT'S
SCOPE OF SERVICES/WORK
Including,
Schedule of Fees
And
Schedule of Performance
1 Revised:4,27117
'10N9 I
Recreation Fee and Revenue Study
June 14, 2017
J
e
r
CAPITAL ACCOUNTING PARTNERS, LLC
3570 Buena Palm Springs Drive
Sacramento, CA 95864
TABLE OF CONTENTS
Letterof Transmittal.....................................................................................................................................3
Capital Accounting Partner's key individuals........................................................................................3
Why Capital Accounting Partners?.......................................................................................................4
ProjectSummary...........................................................................................................................................5
Our Understanding of Project Scope and Objectives ...........................................................................5
Approach...............................................................................................................................................5
Statementof Work(SOW)............................................................................................................................6
StepOne:...............................................................................................................................................6
StepTwo: ..............................................................................................................................................6
StepThree:............................................................................................................................................6
StepFour:..............................................................................................................................................6
StepFive:...............................................................................................................................................7
StepSix:.................................................................................................................................................7
OurExperience..............................................................................................................................................7
ProjectSpecific Experience...................................................................................................................7
ProjectBudget and Timeline.........................................................................................................................8
Basic Information of the Firm .......................................................................................................................8
A. Company General Information.........................................................................................................9
B. Qualifications and Experience of Proposed Project Team ....................................................................9
Summary of Qualifications for Daniel B. Edds, MBA, PMP...................................................................9
Summary of Qualifications for Nicky Lettini, MBA .............................................................................10
FullResumes:.......................................................................... ...................................................................11
Nicolie Lettini, MBA—Primary Cost Plan Consultant..............................................................................11
Daniel B. Edds, MBA, PMP—Primary User Fee Consultant.....................................................................12
Capital Accounting Partners Quote for City of Palm Springs Page 2
Letter of Transmittal
June 14, 2017
Geoffrey Kiehl
Director of Finance and Treasurer
3200 E. Tahquitz Canyon Way
P.O. Box 2743
Palm Springs, CA 92263-2743
Re: Recreation Fee and Revenue Study
Capital Accounting Partners, LLC (CAP) is very pleased to provide for your consideration our
proposal to partner with the City of Palm Springs in the preparation of a recreation fee and
revenue study. This will update and build on the project that was completed in 2014 with a
similar but limited objective. The objective of this project will be the following:
• Calculate the full cost of recreation services, including the City owned golf course and
facilities, based on fiscal 2017 budget;
• Calculate and compare full costs with revenues for each major recreation program;
• Identify high revenue recreation activities;
• Compare recreation services and non-citizen policies for other Coachella Valley
communities; and
• Work with the City Council Advisory Committee to develop cost recovery objectives,
policies and a plan to meet these objectives.
• Nicky Lettini, MBA is the owner& principal consultant, she will be managing the preparation of
the cost allocation plans. Nicky has:
• Prepared over 600 complete cost plans and cost of service analysis in her fifteen years
of consulting; and
• Defended numerous cost plans and ICRP/ICAP with auditors and cognizant agencies and
has succeeded in all of them.
• Daniel Edds, MBA, PMP will be the principal consultant on the user fee study. Besides nearly 20
years of experience consulting with local and State government agencies, Dan brings several
specialized skills to the City of Palm Springs:
• Senior Baldrige Quality Criteria examiner;
• Certified group facilitator;
• Certified in strategic planning; and
• Author of articles on the role of user fees in municipal government.
Capital Accounting Partners Quote for City of Palm Springs Page 3
Capital Accounting Partners has extensive experience, skills,talent,and the most reliable software
platform to complete this project to your specifications and complete satisfaction. The following will
outline a few of the benefits you will receive by working with CAP:
Experience: Consultants assigned to this project have over 30 years of
experience in the preparation of cost allocation plans and user fee
studies.
Partnership: We believe that a true partnership in the approach produces
better results.
Quality: With our designed processes and state of the art software, the
City can be confident the results are accurate and thoroughly
defensible.
Efficiency: Our designed processes have been developed throughout our
experience to eliminate wasted effort and deliver your project on
time and on budget.
Transparency: Transparency. Our systems and approach is designed for
transparent results and analysis.
Additional factors to take into consideration during your evaluation of the proposal are:
Small Business Certification (#0046082) — Capital Accounting Partners, LLC has received
certification from the Office of Small Business and DVBE Services, Procurement Division,
Department of General Services, State of California. In addition, we are a majority woman-
owned business.
Thank you for the opportunity to submit this proposal. We look forward to working with you
and developing a process which will allow additional reimbursements into the City of Palm
Springs's General Fund that can help provide resources in areas that may be lacking.
Sincerely,
Nicolie Lettini, MBA
Owner
Questions regarding this proposal can be addressed to:
Dan Edds
425.269.8854
danedds@mvcapartner.com
Capital Accounting Partners Quote for City of Palm Springs Page 4
Project Summary
of Project Sc op- find Ob e'ct:ves,
The following outlines the objectives of this project:
1. Calculate the full cost of recreation services, including the City owned golf course and
facilities, based on fiscal 2017 budget;
2. Calculate and compare full costs with revenues for each major recreation program;
3. Identify high revenue recreation activities;
4. Compare recreation services and non-citizen policies for other Coachella Valley
communities; and
5. Work with the City Council Budget and Finance Subcommittee to develop cost recovery
objectives, policies and a plan to meet these objectives.
These objectives are intentionally broad.To narrow the scope and insure the Council receives a service
of maximum value,we propose establishing specific objectives through our standard pre-project
planning process.This planning phase will narrow the scope,define specific objectives,and articulate
deliverables.
's p s;t#1.1
Our approach to every project is to establish strong working relationships with our clients and the
internal project manager.This serves two goals:
1. It facilitates a better experience for our clients; and
2. It provides the platform for accurate results.
Project Specific Approach
For this project,we would:
1. Update the data developed in 2014:
2. Determine what additional data is required to meet the objectives of the City Council Budget
and Finance Subcommittee;
3. Conduct analysis of revenues required to meet the objectives of the subcommittee;
4. Conduct surveys of other Coachella Valley communities to research policies and practices
regarding:
a. Nonresident policies and practices;
b. Major recreation programs and fees; and
c. A comparison of similar practices with the City of Palm Springs Recreation Department.
Capital Accounting Partners Quote for City of Palm Springs Page 5
5. Develop action plans to meet the objectives of the City Council Budget and Finance
Subcommittee and present these to the Council.
Statement of Work (SOW)
Based on the general approach outlined above, we propose the following work plan. This plan is still
broad by design.This will allow us to provide flexibility and the ability to adjust the SWO based on input
from the City Council Budget and Finance Subcommittee.
Step Osi :
Review 2014 study and determine opportunities to create additional value for this new project.
Meet with the project team and facilitate their identification of:
1. Specific project objectives;
2. Specific project deliverables;
3. Broad project timelines; and
4. Broad project activities designed to meet the objectives and deliverables.
This will be a facilitated discussion led by Dan Edds.
Step T hvi,�e
Structure and schedule a set of specific action items to meet the objectives of the project. We anticipate
these to be:
• Additional analysis of recreation participants segmented by program;
• Analysis of resident vs nonresident participation segmented by program;
• Comparisons with other Coachella Valley communities, as required; and
• Updating the 2014 study to the 2017 budget.
Present data and analysis to City management:
• Identify gaps in data or analysis;
• Insure analysis will meet the objectives; and
• Review and modify as required deliverables.
Capital Accounting Partners Quote for City of Palm Springs Page 6
Step Five:
Work with recreation staff and leadership to develop specific tasks,action items and modifications to
the Department that will meet the deliverables established by the City.
Step Six:
Present findings and action items to Council for adoption. This will involve:
• Compiling the analysis;
• Presenting the results into a report;
• Presenting findings, analysis and recommendations to the Council.
Our Experience
The team we are proposing to the City of Palm Springs is one of the most experienced in the West Coast.
• Nicky Lettini (owner of firm) has personally prepared over 600 indirect cost allocation plans. In
addition, she has the perspective and experience of having defended numerous cost plans and
ICRP/ICAP with auditors and cognizant agencies and has succeeded in all of them.
• Dan Edds (partner in the firm) has personally conducted over 70 user fee studies with most of
them having a development services component. In addition, he brings the added experience of
expertise in process and project management. He is a certified Project Manager Professional
(PMP)as well as a certified lean practitioner.
Project Specific Experience
Dan Edds is highly experienced in the analysis of costs, revenues and operations of recreation programs.
He has provided this type of analysis for many communities in the western region. In the latter half of
2016 he provided an extensive analysis of costs, revenues, and fee programs for the Sunriver Home
Owners Association. This is a destination resort and year-round recreational community just south of
Bend, Oregon. Specific recreation programs and facilities include:
• Two aquatic centers;
• Tennis/Pickleball courts;
• Summer day camps;
• Facility rentals; and .,
• Special events. `
The signature facility is a 22-acre world
class aquatic park which features _
multiple pools and 5000 SF venue for i
conferences and special meetings. , r
Capital Accounting Partners Quote for City of Palm Springs Page 7
Project Budget and Timeline
The following is our budget for this project. It is a fixed, not to exceed project budget. We
invoice monthly based on the work required.
Consultant Hours and Costs
Lettini Edds Totah
Recreation Cost and Revenue Analysis
$ 165 i$ 165
Review 2014 study and determine opportunities to create additional value for this new project. 6 $ 990
Meet with City and Recreation leadership to facilitate their identification of project objectives and
deliverables. 3 $ 495
...--_......._......._......._......._......._......._.....__._..._.. .. ..._......_.....__._...---__._.._...--
Structure and schedule a set of speck action items to meet the objectives of the City. 48 $ 7,920
Present data and analysis to City management 12 $ 1,980
Work with recreation staff and leadership to develop specific tasks,action Items and modifications to the
Department that will meet the deliverables established by the Finance Committee. 24 $ 3,960
Present findings and action items to Council for adoption. _ 12 $ 1,980
_...._......._......._......._......._......._......._......._......._......._.........- ------._.__.._.._...................._.......__ ......_.._..._......._....._._...._.__. _.._
Expenses: 1,750
$
Budget
The following is our timeline to complete the project by October of 2017.
Schedule By Tasks
July A "
Wkl Wk2 Wk3 Wk4 Wkl Wk2 Wk3 Wk4 Wkl Wk2 Wk3 Wk4
Review 2014 study and determine opportunities to create additional
value for this new project.
Meet with City and Recreation leadership to facilitate their
identification of project objectives and deliverables.
Structure and schedule a set of specific action items to meet the
objectives of the City.
Present data and analysis based on the 2014 study to City
management
Work with recreation staff and leadership to develop specific tasks,
action items and modifications to the Department that will meet the
deliverables established by the Finance Committee.
Present findings and action items to Council for adoption.
Basic Information of the Firm
Capital Accounting Partners Quote for City of Palm Springs Page 8
A. Company General Information
Capital Accounting Partners, LLC(CAP)
Legal name of firm
Address 3570 Buena Palm Springs Drive,
1 Sacramento,CA 95864
6046 118"Ave SE
I Bellevue,WA 98006
Legal form of company Limited Liability Corn pany
Telephone Sacramento:916.670.0001
Bellevue:425.269.8854
Fax 309.404.0697
Years in business Capital Accounting Partners was incorporated in 2007
Full-time personnel � Nicolie Cass Lettini, MBA
! Dan Edds, MBA, PMP
B. Qualifications and Experience of Proposed Project Team
Our two consultants for the project represent over 30 years of experience in the preparation of
cost of service studies and operational assessments. This includes organizational performance,
project management, facilitation, and strategic planning.
Summary of Qualifications for Daniel B. Edds, MBA, PMP
Dan Edds will provide overall management of the project and will be the City's primary point of contact.
Education Master Degree in Business Administration, International
Business, Albers School of Business and Economics, Seattle
University
Certifications: Project Manager Professional (PMP)
Strategic Planning
Group Facilitation
Lean Practitioner
Balanced Scorecard
Other Baldrige Quality Criteria - Examiner
Publications and Training Provided Author: Transformation Management, Spiro Press, London,
England
Government Finance Review (GFOA) articles on user fees and
performance management in the public sector j
Regional trainings(OMFOA, WFOA,etc)
Capital Accounting Partners Quote for City of Palm Springs Page 9
User Fee Studies
Calculating full cost
Performance management
Introduction to Activity Based Costing
Government Finance Officers Association:
Performance management (both national and regional
trainings)
Summary of Qualifications for Nicky Lettini, MBA
Nicky has over 16 years' experience in the preparation of Indirect Cost Allocation Plans. This is
her exclusive focus so the City will be hiring one of the most knowledgeable cost plan
consultants in the country. Furthermore, with her experience of preparing over 600 cost plans,
the City can be assured that she will be able to address any problem that may be encountered.
In addition, she is one of the few cost plan consultants that has defended numerous cost plans
and ICRP/ICAP with auditors and cognizant agencies and has succeeded in all of them.
---------------
Education Bachelor of Science in Managerial Economics from University of California, Davis and
has her MBA in Accounting from California State University,Sacramento.
Training and Certifications: ; OMB A-87 specialized training, provided by Management Concepts. This is a state j
approved course to learn the details of Super Circular 2 CFR Part 200 compliant plans.
Capital Accounting Partners Quote for City of Palm Springs Page 10
Full Resumes:
Nicolie Lettini, MBA — Primary Cost Plan Consultant -
Nicky has prepared over 600 complete cost plans and cost of service analysis
in her fifteen years of consulting. As a former senior consultant with Maximus
and Public Resource Management Group, LLC (now MGT), Nicky gained a
broad base of experience working for state and local governments throughout
California, Nevada, Oregon, Washington,Texas, New Mexico, and Colorado.
Her excellent working rapport with the State Controller's staff and her `
genuine desire to help her clients provides a level of service second to none. -
Because of her strong desire to provide unprecedented customer satisfaction Nicky formed
Capital Accounting Partners, LLC (CAP) in partnership with Tillman Sherman. Her reputation for
attention to detail and responsiveness to client needs quickly built her client roster.
Nicky's number one goal in every project is to provide the highest level of service to her client.
She brings a depth of knowledge and experience to the complexities of cost plans and cost of
services analysis. Most importantly she spends the time necessary working with you and your
staff on the level of detail needed to take full advantage of every benefit the cost plan can
provide while assuring costs are properly allocated by department. Nicky is able to identify
practices and procedures to make future plans easier to prepare. She will offer alternatives for
improving the process, when appropriate.
Her commitment is to see that the plan is done right the first time while exceeding all of your
expectations.
In addition to Nicky's commitment to her clients, she is also committed to staying abreast of
local government rules and regulations including the Office of Management and Budget A-87
Regulations and has received formal training endorsed by the State of California.
Education Bachelor of Science in Managerial Economics from University of California, Davis and
has her MBA in Accounting from California State University, Sacramento.
Training and Certifications: OMB A-87 specialized training, provided uby Management Concepts. This is a state
approved course to learn the ins and outs of the Circular. This course gives you i
continuing education credits and gives me a special insight in to the circular OMB A-87 +
guidelines that I will be able to share with you.
Capital Accounting Partners Quote for City of Palm Springs Page 11
Daniel B. Edds, MBA, PMP— Primary User Fee Consultant
Dan is a project manager with Capital Accounting Partners (CAP). He has
more than fifteen years of experience consulting within the public sector. His
operational improvement work has involved problem solving and process
improvement opportunities for core business processes. In these projects,
business processes are evaluated for cost, and opportunities for
improvement.The result is a clear understanding of how to improve the
delivery of services; lower long term operational cost, and increase staff productivity. Mr. Edds
has extensive training in facilitation, group decision-making and strategic planning from the
Institute of Cultural Affairs.
Prior to joining CAP he was a project manager with FCS GROUP, a regional firm out of
Redmond, Washington. He also served for five and a half years as senior project manager with a
major international governmental consulting firm with offices in the western United States. In
that position, he conducted and managed financial and operational analysis with numerous
counties and cities. His work has involved process analysis for the purpose of restructuring fees
for full cost recovery of Land Development, Planning, Public Works, Recreation, Police, Fire
Prevention, Hazardous Materials, GIS, Library and other services.
Education Bachelor of Science in Business Administration from California State University,
Sacramento
Training and Certifications: • Professional Project Manager(PMP); j
• Kaplan Norton Balanced Scorecard Graduate; it
• Senior Baldridge Quality Award Examiner;
• Strategic Planner;
• Group facilitator;and
• Lean Principles.
Publications and Training Provided • Author, Transformational Management,Spiro Press,2003 I
• Performance Management as a Sustainable Enterprise - Government "
Finance Review
• Managing User Fees-Government Finance Review
• Calculating The Cost of Government Services—Oregon Municipal Finance
Officers Association
• Strategic Project Management—Various
Capital Accounting Partners Quote for City of Palm Springs Page 12
EXHIBIT "B"
INSURANCE PROVISIONS
Including
Verification of Coverage,
Sufficiency of Insurers,
Errors and Omissions Coverage,
Minimum Scope of Insurance,
Deductibles and Self-Insured Retentions, and
Severability of Interests (Separation of Insureds)
12 Revised.4127/17
720i99.1
INSURANCE
1. Procurement and Maintenance of Insurance. Consultant shall procure and
maintain public liability and property damage insurance against all claims for injuries against
persons or damages to property resulting from Consultant's performance under this Agreement.
Consultant shall procure and maintain all insurance at its sole cost and expense, in a form and
content satisfactory to the City, and submit concurrently with its execution of this Agreement.
Consultant shall also carry workers' compensation insurance in accordance with California
workers' compensation laws. Such insurance shall be kept in full force and effect during the
term of this Agreement, including any extensions. Such insurance shall not be cancelable
without thirty(30) days advance written notice to City of any proposed cancellation. Certificates
of insurance evidencing the foregoing and designating the City, its elected officials, officers,
employees, agents, and volunteers as additional named insureds by original endorsement shall be
delivered to and approved by City prior to commencement of services. The procuring of such
insurance and the delivery of policies, certificates, and endorsements evidencing the same shall
not be construed as a limitation of Consultant's obligation to indemnify City, its elected officials,
officers, agents, employees, and volunteers.
2. Minimum Scone of Insurance. The minimum amount of insurance required
under this Agreement shall be as follows:
1. Comprehensive general liability and personal injury with limits of at least
one million dollars (S1,000,000.00) combined single limit coverage per occurrence and two
million dollars ($2,000,000) general aggregate;
2. Automobile liability insurance with limits of at least one million dollars
($1,000,000.00) per occurrence;
3. Professional liability (errors and omissions) insurance with limits of at
least one million dollars ($1,000,000.00) per occurrence and two million dollars (S2,000,000)
annual aggregate is:
required
is not required;
4. Workers' Compensation insurance in the statutory amount as required by
the State of California and Employer's Liability insurance with limits of at least one million
dollars $l million per occurrence. If Consultant has no employees, Consultant shall complete the
City's Request for Waiver of Workers' Compensation Insurance Requirement form.
3. Primary Insurance. For any claims related to this Agreement, Consultant's
insurance coverage shall be primary with respect to the City and its respective elected officials,
officers, employees, agents, and volunteers. Any insurance or self-insurance maintained by City
and its respective elected officials, officers, employees, agents, and volunteers shall be in excess
of Consultant's insurance and shall not contribute with it. For Workers' Compensation and
Employer's Liability insurance only, the insurer shall waive all rights of subrogation and
13 Revised 4i27117
'20i99_I
contribution it may have against City, its elected officials, officers, employees, agents, and
volunteers.
4. Errors and Omissions Coverage. If Errors & Omissions Insurance is required,
and if Consultant provides claims made professional liability insurance, Consultant shall also
agree in writing either (1) to purchase tail insurance in the amount required by this Agreement to
cover claims made within three years of the completion of Consultant's services under this
Agreement, or (2) to maintain professional liability insurance coverage with the same carrier in
the amount required by this Agreement for at least three years after completion of Consultant's
services under this Agreement. Consultant shall also be required to provide evidence to City of
the purchase of the required tail insurance or continuation of the professional liability policy.
5. Sufficiency of Insurers. Insurance required in this Agreement shall be provided
by authorized insurers in good standing with the State of California. Coverage shall be provided
by insurers admitted in the State of California with an A.M. Best's Key Rating of B++, Class
VII, or better, unless otherwise acceptable to the City.
6. Verification of Coverage. Consultant shalt furnish City with both certificates of
insurance and endorsements, including additional insured endorsements, effecting all of the
coverages required by this Agreement. The certificates and endorsements are to be signed by a
Person authorized by that insurer to bind coverage on its behalf. All proof of insurance is to be
received and approved by the City before work commences. City reserves the right to require
Consultant's insurers to provide complete, certified copies of all required insurance policies at
any time. Additional insured endorsements are not required for Errors and Omissions and
Workers' Compensation policies.
Verification of Insurance coverage may be provided by: (1) an approved General and/or
Auto Liability Endorsement Form for the City of Palm Springs or (2) an acceptable Certificate of
Liability Insurance Coverage with an approved Additional Insured Endorsement with the
following endorsements stated on the certificate:
1. "The City of Palm Springs, its officials, emplovees, and agents are named as ail
additional insured... " ("as respects City of Pahn Springs Contract No. " or 'Tor any and all
ivork performed with the Cn"may be included in this statement).
2. "This insurance is primary and non-contributoov over anv insurance or self-'
insurance the City may have..." ("as respects City of'Palm Springs Contract No. " or "for any
and all work performed with the Citv" may be included in this statement).
3. "Should anv of the above described policies be canceled before the expiration:
date thereof the issuing company will mail 30 days written notice to the Certificate Holder
ncrrned." Language such as, "endeavor to" mail and "but failure to mail such notice shalt impose
no obligation or liability of any kind upon the company, its agents or representative" is not
acceptable and must be crossed out.
14 Revised:4/27/17
"OS99_I
4. Both the Workers' Compensation and Employers' Liability policies shall contain
the insurer's waiver of subrogation in favor of City, its elected officials, officers, employees,
agents, and volunteers.
In addition to the endorsements listed above, the City of Palm Springs shall be named the
certificate holder on the policies.
All certificates of insurance and endorsements are to be received and approved by the City
before work commences. All certificates of insurance must be authorized by a person with
authority to bind coverage, whether that is the authorized agent/broker or insurance underwriter.
Failure to obtain the required documents prior to the commencement of work shall not waive the
Consultant's obligation to provide them.
7. Deductibles and Self-Insured Retentions. Any deductibles or self-insured
retentions must be declared to and approved by the City prior to commencing any work or
services under this Agreement. At the option of the City, either (1) the insurer shall reduce or
eliminate such deductibles or self-insured retentions with respect to the City, its elected officials,
officers, employees, agents, and volunteers; or (2) Consultant shall procure a bond guaranteeing
payment of losses and related investigations, claim administration, and defense expenses.
Certificates of Insurance must include evidence of the amount of any deductible or self-insured
retention under the policy. Consultant guarantees payment of all deductibles and self-insured
retentions.
8. Severability of Interests (Separation of tnsureds). This insurance applies
separately to each insured against whom claim is made or suit is brought except with respect to
the limits of the insurer's liability.
15 Revised:4127117
'30599 1
Kathie Hart
From: Kat'nle Hart
Sent: Wed ,'-,sday,June 15, 2016 10:37 AM
To: Aria, i Muniz
Cc: Jay 1: ompson; Geoffrey Kiehl
Subject: RE:F.6491-Capital Accounting Partners
Thank you.
I will close this agreement f"
Cathie `
Kathie Hart, MMC
Chief Deputy City Clerk !!,,,, �b
City of Palm Springs (760)323-8206 bw/
3200 E. Tahquitz Canyon Way (760) 322-8332
Palm Springs, CA 92262 Kathie.Hart@PalmSpringsCA.gov
City Hall is open 8 am to 6 ; Monday through Thursday, and closed on Fridays.
+o�Mu1Q.
CITY OF 1M SPRINGS
Like no p .-e else to Ivor
From: Ariana Muniz
Sent: Wednesday, June 15, : ?16 10:30 AM
To: Kathie Hart
Cc: Jay Thompson; Geoffrey :ehl
Subject: RE: A6491 - Capi' `ccounting Partners
Good Morning Kathie.
We are not doing anN, fsin^ss with Capital Accounting Partners at this time. This is done.
Final revision to final !'_ r Fens report prior to Council Meeting was invoiced in August.
Paid and Closed PO itvp,.:inber 2015.
Sincerely,
Administrative Asp, In to the Director of Finance I Comunission secretary
City of Palm Springs Ili Lm,-nt of Finance and Treasury
3200 E. Tahquitz Canyon y I P. O. Box 2743 Palm Springs,CA 92263-2743
Office: (760) 323-8229 ( F, 0( " 60-322-8320
Palm Springs City Hall is t` « `Aondoy through Thursday, and Closed on Friday.
CONFIDENTIALITY NOTICE-This- -.oqe is intended only for the addresses shown above.It may contain information that is privileged,confidential,
or otherwise protected from disco. Any review,dissemination,or use of this transmission or its contents by persons other than the addressee is
strictly prohibited.If you have re r .,is e-essage in. r.rror,please notify the sender immediately at (760) 323-8229.
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1
PROFESSIONAL SERVICES AGREEMENT
COMPREHENSIVE FEE AND RATE STUDY
THIS PROFESSIONAL SERVICES AGREEMENT ( "Agreement") is entered into, and effective on
2014, between the CITY OF PALM SPRINGS, a California charter city and municipal
corporation, ("City") and CAPITAL ACCOUNTING PARTNERS, a Limited Liability Company ("Consultant").
City and Consultant are individually referred to as"Parry"and are collectively referred to as the"Parties".
RECITALS
A. City has determined that there is a need for a Comprehensive Fee and Rate Study for the City of
Palm Springs project("Project").
B. Consultant has submitted to City a proposal to provide a comprehensive review of the City's fee
and rated structure for the Project under the terms of this Agreement.
C. Consultant is qualified by virtue of its experience, training, education, reputation, and expertise to
provide these services and has agreed to provide such services as provided in this Agreement.
D. City desires to retain Consultant to provide such professional services.
In consideration of these promises and mutual obligations, covenants, and conditions, the Parties agree as
follows:
AGREEMENT
1. SERVICES OF CONSULTANT
1.1 Scope of Services. In compliance with all terms and conditions of this Agreement,
Consultant agrees to perform the professional services set forth in the Scope of Services described in Exhibit "A"
(the"Services"or"Work"),which is attached and incorporated by reference. As a material inducement to the City
entering into this Agreement,Consultant represents and warrants that Consultant is a provider of first class work and
professional services and that Consultant is experienced in performing the Work and Services contemplated and, in
light of such status and experience, Consultant covenants that it shall follow the highest professional standards in
performing the Work and Services required in this Agreement. For purposes of this Agreement,the phrase "highest
professional standards" shall mean those standards of practice recognized as high quality among well-qualified and
experienced professionals performing similar work under similar circumstances.
1.2 Contract Documents. The Agreement between the Parties shall consist of the following: (1)this
Agreement;(2)the Scope of Services;(3)the City's Request for Proposals; and,(4)the Consultant's signed,original
proposal submitted to the City ("Consultant's Proposal"), (collectively referred to as the "Contract Documents").
The City's Request for Proposals and the Consultant's Proposal, which are both attached as Exhibits "B" and "C",
respectively, are incorporated by reference and are made a part of this Agreement. The Scope of Services shall
include the Consultant's Proposal. All provisions of the Scope of Services,the City's Request for Proposals and the
Consultant's Proposal shall be binding on the Parties. Should any conflict or inconsistency exist in the Contract
Documents,the conflict or inconsistency shall be resolved by applying the provisions in the highest priority
document, which shall be determined in the following order of priority: (1")the provisions of the Scope of
Services(Exhibit "A"); (2"d)the provisions of the City's Request for Proposal (Exhibit "B"); (3`d)the terms of this
Agreement; and,(0)the provisions of the Consultant's Proposal (Exhibit"C").
1.3 Compliance with Law. Consultant warrants that all Services rendered shall be performed in
accordance with all applicable federal, state, and local laws, statutes, ordinances lawful orders, rules, and
regulations.
1.4 Licenses,Permits, Fees,and Assessments. Consultant represents and warrants to City that it has
obtained all licenses,permits,qualifications, and approvals of whatever nature that are legally required to practice its
I
^�':D`Gfz „Graf � ♦ ,
profession and perform the Work and Services required by this Agreement. Consultant represents and warrants to
City that Consultant shall, at its sole cost and expense,keep in effect at all times during the term of this Agreement,
any license, permit, qualification, or approval that is legally required for Consultant to perform the Work and
Services under this Agreement. Consultant shall have the sole obligation to pay for any fees, assessments, and
taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for the
Consultant's performance of the Work and Services required by this Agreement. Consultant shall indemnify,
defend, and hold harmless City against any such fees, assessments, taxes penalties, or interest levied, assessed, or
imposed against City to the fullest extent permitted by law.
1.5 Familiarity with Work. By executing this Agreement, Consultant warrants that Consultant (a)
has thoroughly investigated and considered the Scope of Services to be performed, (b)has carefully considered how
the Services should be performed, and (c) fully understands the facilities, difficulties, and restrictions attending
performance of the Services under this Agreement. If the Services involve work upon any site, Consultant warrants
that Consultant has or will investigate the site and is or will be fully acquainted with the conditions there existing,
prior to commencement of any Services. Should the Consultant discover any latent or unknown conditions that will
materially affect the performance of the Services, Consultant shall immediately inform the City of such fact and
shall not proceed except at Consultant's risk until written instructions are received from the City.
1.6 Care of Work. Consultant shall adopt reasonable methods during the term of the Agreement to
furnish continuous protection to the Work and the equipment, materials, papers, documents, plans, studies, and/or
other components to prevent losses or damages. Consultant shall be responsible for all such damages,to persons or
property, until acceptance of the Work by the City, except such losses or damages as may be caused by City's own
negligence.
1.7 Further Responsibilities of Parties. Parties agree to use reasonable care and diligence to
perform their respective obligations under this Agreement. Parties agree to act in good faith to execute all
instruments,prepare all documents, and take all actions as may be reasonably necessary to carry out the purposes of
this Agreement.
1.8 Additional Services. City shall have the right at any time during the performance of the Services,
without invalidating this Agreement, to order extra work beyond that specified in the Scope of Services or make
changes by altering, adding to, or deducting from such Work. No such extra work may be undertaken unless a
written order is first given by the City to the Consultant, incorporating any adjustment in (i)the Maximum Contract
Amount, as defined below, and/or(ii)the time to perform this Agreement. Any adjustments must also be approved
in writing by the Consultant. Any increase in compensation of up to twenty-five percent (25%) of the Maximum
Contract Amount or$25,000, whichever is less,or in the time to perform of up to thirty(30)days, may be approved
by the City Manager, or his designee, as may be needed to perform any extra work. Any greater increases,
occurring either separately or cumulatively, must be approved by the Palm Springs City Council. It is expressly
understood by Consultant that the provisions of this section shall not apply to the services specifically set forth or
reasonably contemplated within the Scope of Services.
2. COMPENSATION
2.1 Maximum Contract Amount. For the Services rendered under this Agreement, Consultant shall
be compensated by City in accordance with the Schedule of Compensation, which is attached as Exhibit "D" and
incorporated in this Agreement by reference. Compensation shall not exceed the maximum contract amount of
FIFTY TWO THOUSAND THREE HUNDRED THIRTY Dollars, ($52,330.00) ("Maximum Contract Amount"),
except as may be provided under Section 1.8. The method of compensation shall be as set forth in Exhibit "D."
Compensation for necessary expenditures for reproduction costs, telephone expenses, and transportation expenses
must be approved in advance by the Contract Officer designated under Section 4.2 and will only be approved if such
expenses are also specified in the Schedule of Compensation. The Maximum Contract Amount shall include the
attendance of Consultant at all Project meetings reasonably deemed necessary by the City. Consultant shall not be
entitled to any increase in the Maximum Contract Amount for attending these meetings. Consultant accepts the risk
that the services identified in the Scope of Services may be more costly and/or time-consuming than Consultant
anticipates, that Consultant shall not be entitled to additional compensation, and that the provisions of Section 1.8
shall not be applicable to the services identified in the Scope of Services. The maximum amount of city's payment
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obligation under this section is the amount specified in this Agreement. If the City's maximum payment obligation
is reached before the Consultant's Services under this Agreement are completed, Consultant shall complete the
Work and City shall not be liable for payment beyond the Maximum Contract Amount.
2.2. Method of Payment. Unless another method of payment is specified in the Schedule of
Compensation(Exhibit"D"), in any month in which Consultant wishes to receive payment, Consultant shall submit
to the City an invoice for services rendered prior to the date of the invoice. The invoice shall be in a form approved
by the City's Finance Director and must be submitted no later than the tenth(10)working day of such month. Such
requests shall be based upon the amount and value of the services performed by Consultant and accompanied by
such reporting data including an itemized breakdown of all costs incurred and tasks performed during the period
covered by the invoice, as may be required by the City. City shall use reasonable efforts to make payments to
Consultant within forty-five (45)days after receipt of the invoice or as soon as is reasonably practical. There shall
be a maximum of one payment per month.
2.3 Chances in Scope. In the event any change or changes in the Scope of Services is requested by
City, Parties shall execute a written amendment to this Agreement, specifying all proposed amendments, including,
but not limited to,any additional fees. An amendment may be entered into:
A. To provide for revisions or modifications to documents, work product, or work, when
required by the enactment or revision of any subsequent law;or
B. To provide for additional services not included in this Agreement or not customarily
furnished in accordance with generally accepted practice in Consultant's profession.
2.4 Appropriations. This Agreement is subject to and contingent upon funds being appropriated by
the City Council for each fiscal year covered by the Agreement. If such appropriations are not made, this
Agreement shall automatically terminate without penalty to the City.
3. SCHEDULE OF PERFORMANCE
3.1 Time of Essence. Time is of the essence in the performance of this Agreement. The time for
completion of the services to be performed by Consultant is an essential condition of this Agreement. Consultant
shall prosecute regularly and diligently the Work of this Agreement according to the agreed upon attached Schedule
of Performance(Exhibit"E"), incorporated by reference.
3.2 Schedule of Performance. Consultant shall commence the Services under this Agreement upon
receipt of a written notice to proceed and shall perform all Services within the time period(s) established in the
Schedule of Performance. When requested by Consultant, extensions to the time period(s)specified in the Schedule
of Performance may be approved in writing by the Contract Officer, but such extensions shall not exceed one
hundred eighty(180)days cumulatively;however,the City shall not be obligated to grant such an extension.
3.3 Force Maieure. The time period(s) specified in the Schedule of Performance for performance of
the Services rendered under this Agreement shall be extended because of any delays due to unforeseeable causes
beyond the control and without the fault or negligence of the Consultant(financial inability excepted) if Consultant,
within ten(10)days of the commencement of such delay,notifies the Contract Officer in writing of the causes of the
delay. Unforeseeable causes include, but are not limited to, acts of God or of the public enemy, unusually severe
weather, fires, earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, and/or
acts of any governmental agency, including the City. The City Manager shall ascertain the facts and the extent of
delay, and extend the time for performing the Services for the period of the enforced delay when and if in the
judgment of the City Manager such delay is justified. The City Manager's determination shall be final and
conclusive upon the Parties to this Agreement. In no event shall Consultant be entitled to recover damages against
the City for any delay in the performance of this Agreement, however caused, Consultant's sole remedy being
extension of the Agreement under this section.
3.4 Term. Unless earlier terminated under this Agreement, this Agreement shall commence upon the
effective date of this Agreement and continue in full force and effect until completion of the Services. However,the
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term shall not exceed one (1) year from the commencement date, except as otherwise provided in the Schedule of
Performance described in Section 3.2 above. Any extension must be through mutual written agreement of the
Parties.
3.5 Termination Prior to Expiration of Term. City may terminate this Agreement for its
convenience at any time, without cause, in whole or in part, upon giving Consultant thirty (30)days written notice.
Where termination is due to the fault of Consultant and constitutes an immediate danger to health, safety, and
general welfare,the period of notice shall be such shorter time as may be determined by the City. Upon such notice,
City shall pay Consultant for Services performed through the date of termination. Upon receipt of such notice,
Consultant shall immediately cease all work under this Agreement, unless stated otherwise in the notice or by
written authorization of the Contract Officer. After such notice, Consultant shall have no further claims against the
City under this Agreement. Upon termination of the Agreement under this section, Consultant shall submit to the
City an invoice for work and services performed prior to the date of termination. Consultant may terminate this
Agreement, with or without cause, upon sixty(60) days written notice to the City, except that where termination is
due to material default by the City,the period of notice may be such shorter time as the Consultant may determine.
4. COORDINATION OF WORK
4.1 Representative of Consultant. The following principal of Consultant is designated as being the
principal and representative of Consultant authorized to act in its behalf and make all decisions with respect to the
Services to be performed under this Agreement: Nicolie Cass Lettini, MBA, Partner. It is expressly understood that
the experience, knowledge, education, capability, expertise, and reputation of the foregoing principal is a substantial
inducement for City to enter into this Agreement. Therefore,the foregoing principal shall be responsible during the
term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise
the services performed hereunder. The foregoing principal may not be changed by Consultant without prior written
approval of the Contract Officer.
4.2 Contract Officer. The Contract Officer shall be the City Manager or his/her designee("Contract
Officer"). Consultant shall be responsible for keeping the Contract Officer fully informed of the progress of the
performance of the services. Consultant shall refer any decisions that must be made by City to the Contract Officer.
Unless otherwise specified,any approval of City shall mean the approval of the Contract Officer.
4.3 Prohibition Against Subcontracting or Assignments. The experience, knowledge, capability,
expertise,and reputation of Consultant, its principals and employees, were a substantial inducement for City to enter
into this Agreement. Therefore, Consultant shall not assign full or partial performance of this Agreement, nor any
monies due, voluntarily or by operation of law, without the prior written consent of City. Consultant shall not
contract with any other entity to perform the Services required under this Agreement without the prior written
consent of City. If Consultant is permitted to subcontract any part of this Agreement by City, Consultant shall be
responsible to City for the acts and omissions of its subcontractor(s) in the same manner as it is for persons directly
employed. Nothing contained in this Agreement shall create any contractual relationships between any
subcontractor and City. All persons engaged in the Work will be considered employees of Consultant. City will
deal directly with and will make all payments to Consultant. In addition,neither this Agreement nor any interest in
this Agreement may be transferred, assigned,conveyed,hypothecated,or encumbered voluntarily or by operation of
law,whether for the benefit of creditors or otherwise, without the prior written consent of City. Transfers restricted
in this Agreement shall include the transfer to any person or group of persons acting in concert of more than twenty
five percent (25%) of the present ownership and/or control of Consultant, taking all transfers into account on a
cumulative basis. In the event of any such unapproved transfer, including any bankruptcy proceeding, this
Agreement shall be void. No approved transfer shall release Consultant or any surety of Consultant from any
liability under this Agreement without the express written consent of City.
4.4 Indenendent Contractor. The legal relationship between the Parties is that of an independent
contractor,and nothing shall be deemed to make Consultant a City employee.
A. During the performance of this Agreement, Consultant and its officers, employees, and
agents shall act in an independent capacity and shall not act or represent themselves as City officers or employees.
The personnel performing the Services under this Agreement on behalf of Consultant shall at all times be under
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Consultant's exclusive direction and control. Neither City nor any of its officers, employees, or agents shall have
control over the conduct of Consultant or any of its officers, employees, or agents, except as set forth in this
Agreement. Consultant, its officers, employees, or agents shall not maintain an office or any other type of fixed
business location at City's offices. City shall have no voice in the selection, discharge, supervision, or control of
Consultant's employees, servants, representatives, or agents, or in fixing their number, compensation, or hours of
service. Consultant shall pay all wages, salaries, and other amounts due its employees in connection with this
Agreement and shall be responsible for all reports and obligations respecting them, including but not limited to
social security income tax withholding, unemployment compensation, workers' compensation, and other similar
matters. City shall not in any way or for any purpose be deemed to be a partner of Consultant in its business or
otherwise ajoint venturer or a member of any joint enterprise with Consultant.
B. Consultant shall not have any authority to bind City in any manner. This includes the
power to incur any debt,obligation,or liability against City.
C. No City benefits shall be available to Consultant, its officers, employees, or agents in
connection with any performance under this Agreement. Except for professional fees paid to Consultant as provided
for in this Agreement, City shall not pay salaries,wages,or other compensation to Consultant for the performance of
Services under this Agreement. City shall not be liable for compensation or indemnification to Consultant, its
officers, employees, or agents,for injury or sickness arising out of performing Services. If for any reason any court
or governmental agency determines that the City has financial obligations, other than under Section 2 and
Subsection 1.8 in this Agreement, of any nature relating to salary, taxes, or benefits of Consultant's officers,
employees, servants, representatives, subcontractors, or agents, Consultant shall indemnify City for all such
financial obligations.
5. INSURANCE
5.1 Types of Insurance. Consultant shall procure and maintain, at its sole cost and expense, the
insurance described below. The insurance shall be for the duration of this Agreement and includes any extensions,
unless otherwise specified in this Agreement. The insurance shall be procured in a form and content satisfactory to
City. The insurance shall apply against claims which may arise from the Consultant's performance of Work under
this Agreement, including Consultant's agents, representatives, or employees. In the event the City Manager
determines that the Work or Services to be performed under this Agreement creates an increased or decreased risk of
loss to the City,the Consultant agrees that the minimum limits of the insurance policies may be changed accordingly
upon receipt of written notice from the City Manager or his designee. Consultant shall immediately substitute any
insurer whose A.M. Best rating drops below the levels specified in this Agreement. Except as otherwise authorized
below for professional liability (errors and omissions) insurance, all insurance provided under this Agreement shall
be on an occurrence basis. The minimum amount of insurance required shall be as follows:
A. Errors and Omissions Insurance. Consultant shall obtain and maintain in full force and
effect throughout the term of this Agreement, standard industry form professional liability (errors and omissions)
insurance coverage in an amount of not less than one million dollars($1,000,000.00)per occurrence and two-million
dollars($2,000,000.00)annual aggregate, in accordance with the provisions of this section.
(1) Consultant shall either: (a)certify in writing to the City that Consultant is unaware of
any professional liability claims made against Consultant and is unaware of any facts which may lead to such a
claim against Consultant; or(b) if Consultant does not provide the certification under(a), Consultant shall procure
from the professional liability insurer an endorsement providing that the required limits of the policy shall apply
separately to claims arising from errors and omissions in the rendition of services under this Agreement.
(2) If the policy of insurance is written on a "claims made" basis, the policy shall be
continued in full force and effect at all times during the term of this Agreement, and for a period of three (3) years
from the date of the completion of the Services provided hereunder. In the event of termination of the policy during
this period, Consultant shall obtain continuing insurance coverage for the prior acts or omissions of Consultant
during the course of performing Services under the terms of this Agreement. The coverage shall be evidenced by
either a new policy evidencing no gap in coverage, or by obtaining separate extended "tail" coverage with the
present or new carrier or other insurance arrangements providing for complete coverage, either of which shall be
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subject to the written approval by the City Manager.
(3) In the event the policy of insurance is written on an "occurrence" basis, the policy
shall be continued in full force and effect during the term of this Agreement, or until completion of the Services
provided for in this Agreement, whichever is later. In the event of termination of the policy during this period,new
coverage shall immediately be obtained to ensure coverage during the entire course of performing the Services
under the terms of this Agreement.
B. Workers' Compensation Insurance. Consultant shall obtain and maintain, in full force
and effect throughout the term of this Agreement, workers' compensation insurance in at least the minimum
statutory amounts, and in compliance with all other statutory requirements, as required by the State of California.
Consultant agrees to waive and obtain endorsements from its workers' compensation insurer waiving subrogation
rights under its workers' compensation insurance policy against the City and to require each of its subcontractors,if
any, to do likewise under their workers' compensation insurance policies. If Consultant has no employees,
Consultant shall complete the City's Request for Waiver of Workers' Compensation Insurance Requirement form.
C. Commercial General Liability Insurance. Consultant shall obtain and maintain, in full
force and effect throughout the term of this Agreement,a policy of commercial general liability insurance written on
a per occurrence basis with a combined single limit of at least one million dollars ($1,000,000.00) and two million
dollars($2,000,000.00)general aggregate for bodily injury and property damage including coverages for contractual
liability,personal injury, independent contractors,broad form property damage,products and completed operations.
D. Business Automobile Insurance. Consultant shall obtain and maintain, in full force and
effect throughout the term of this Agreement, a policy of business automobile liability insurance written on a per
occurrence basis with a single limit liability in the amount of one million dollars($1,000,000.00) bodily injury and
property damage. The policy shall include coverage for owned,non-owned, leased, and hired cars.
E. Employer Liability Insurance. Consultant shall obtain and maintain, in full force and
effect throughout the term of this Agreement, a policy of employer liability insurance written on a per occurrence
basis with a policy limit of at least one million dollars($1,000,000.00) for bodily injury or disease.
5.2 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be
declared to and approved by the City Manager or his/her designee prior to commencing any work or services under
this Agreement. Consultant guarantees payment of all deductibles and self-insured retentions. City reserves the
right to reject deductibles or self-insured retentions in excess of$10,000, and the City Manager or his/her designee
may require evidence of pending claims and claims history as well as evidence of Consultant's ability to pay claims
for all deductible amounts and self-insured retentions proposed in excess of$10,000.
5.3 Other Insurance Requirements. The following provisions shall apply to the insurance policies
required of Consultant under this Agreement:
5.3.1 For any claims related to this Agreement, Consultant's coverage shall be primary
insurance with respect to the City and its officers,council members, officials,employees,
agents, and volunteers. Any insurance or self-insurance maintained by the City and its
officers, council members, officials, employees, agents, and volunteers shall be in excess
of Consultant's insurance and shall not contribute with it.
5.3.2 Any failure to comply with reporting or other provisions of the policies, including
breaches of warranties, shall not affect coverage provided to City and its officers, council
members,officials,employees, agents,and volunteers.
5.3.3 All insurance coverage and limits provided by Consultant and available or applicable to
this Agreement are intended to apply to each insured, including additional insureds,
against whom a claim is made or suit is brought to the full extent of the policies. Nothing
contained in this Agreement or any other agreement relating to the City or its operations
shall limit the application of such insurance coverage.
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5.3.4 No required insurance coverages may include any limiting endorsement w i
substantially impairs the coverages set forth in this Agreement_(e.g., elimination of
contractual liability or reduction of discovery period), unless the endorsement has first
been submitted to the City Manager and aooroved in writing.
5.3.5 Consultant agrees to require its insurer to modify insurance endorsements to delete any
exculpatory wording stating that failure of the insurer to mail written notice of
cancellation imposes no obligation, or that any party will "endeavor" (as opposed to
being required) to comply with the requirements of the endorsements. Certificates of
insurance will not be accepted in lieu of required endorsements, and submittal of
certificates without required endorsements may delay commencement of the Project. It is
Consultant's obligation to ensure timely compliance with all insurance submittal
requirements as provided in this Agreement.
5.3.6 Consultant agrees to ensure that subcontractors, and any other parties involved with the
Project who are brought onto or involved in the Project by Consultant, provide the same
minimum insurance coverage required of Consultant. Consultant agrees to monitor and
review all such coverage and assumes all responsibility for ensuring that such coverage is
provided in conformity with the requirements of this section. Consultant agrees that upon
request, all agreements with subcontractors and others engaged in the Project will be
submitted to the City for review.
5.3.7 Consultant acknowledges and agrees that any actual or alleged failure on the part of the
City to inform Consultant of non-compliance with any insurance requirement in no way
imposes any additional obligations on the City nor does it waive any rights in this or any
other regard.
5.3.8 Consultant shall provide proof that policies of insurance required in this Agreement,
expiring during the term of this Agreement, have been renewed or replaced with other
policies providing at least the same coverage. Proof that such coverage has been ordered
shall be submitted prior to expiration. Endorsements as required in this Agreement
applicable to the renewing or new coverage shall be provided to City no later than ten
(10)days prior to expiration of the lapsing coverage.
5.3.9 Requirements of specific insurance coverage features or limits contained in this section
are not intended as limitations on coverage, limits, or other requirements, or as a waiver
of any coverage normally provided by any given policy. Specific reference to a given
coverage feature is for purposes of clarification only as it pertains to a given issue, and is
not intended by any party or insured to be limiting or all-inclusive.
5.3.10 The requirements in this section supersede all other sections and provisions of this
Agreement to the extent that any other section or provision conflicts with or impair the
provisions of this section.
5.3.11 Consultant agrees to provide immediate notice to City of any claim or loss against
Consultant arising out of the Work performed under this Agreement and for any other
claim or loss which may reduce the insurance available to pay claims arising out of this
Agreement. City assumes no obligation or liability by such notice,but has the right(but
not the duty) to monitor the handling of any such claim or claims if they are likely to
involve City,or to reduce or dilute insurance available for payment of potential claims.
5.3.12 Consultant agrees that the provisions of this section shall not be construed as limiting in
any way the extent to which the Consultant may be held responsible for the payment of
damages resulting from the Consultant's activities or the activities of any person or
person for which the Consultant is otherwise responsible.
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5.4 Sufficiency of Insurers. Insurance required in this Agreement shall be provided by authorized
insurers in good standing with the State of California. Coverage shall be provided by insurers admitted in the State
of California with an A.M. Best's Key Rating of B++, Class VII, or better, unless such requirements are waived in
writing by the City Manager or his designee due to unique circumstances.
5.5 Verification of Coverage. Consultant shall furnish City with both certificates of insurance and
endorsements, including additional insured endorsements, affecting all of the coverages required by this Agreement.
The certificates and endorsements are to be signed by a person authorized by that insurer to bind coverage on its
behalf All proof of insurance is to be received and approved by the City before work commences. City reserves the
right to require Consultant's insurers to provide complete, certified copies of all required insurance policies at any
time. Additional insured endorsements are not required for Errors and Omissions and Workers' Compensation
policies.
Verification of Insurance coverage may be provided by: (1) an approved General and/or Auto Liability
Endorsement Form for the City of Palm Springs or (2) an acceptable Certificate of Liability Insurance Coverage
with an approved Additional Insured Endorsement with the following endorsements stated on the certificate:
I. "The City of Palm Springs, its officials, employees, and agents are named as an additional
insured... " ("as respects City of Palm Springs Contract No._"or 'for any and all work performed with the City"
may be included in this statement).
2. "This insurance is primary and non-contributory over any insurance or self-insurance the City
may have..." ("as respects City of Palm Springs Contract No._" or'for any and all work performed with the City"
may be included in this statement).
3. "Should any of the above described policies be canceled before the expiration date thereof, the
issuing company will mail 30 days written notice to the Certificate Holder named."Latlguage such as, "endeavor to"
mail and "but failure to mail such notice shall impose no obligation or liability of any kind upon the company, its
agents or representative" is not acceptable and must be crossed out.
4. Both the Workers' Compensation and Employers' Liability policies shall contain the insurer's
waiver of subrogation in favor of City,its elected officials,officers, employees, agents,and volunteers.
In addition to the endorsements listed above, the City of Palm Springs shall be named the certificate holder on the
policies. All certificates of insurance and endorsements are to be received and approved by the City before work
commences. All certificates of insurance must be authorized by a person with authority to bind coverage, whether
that is the authorized agent/broker or insurance underwriter. Failure to obtain the required documents prior to the
commencement of work shall not waive the Consultant's obligation to provide them.
6. INDEMNIFICATION
6.1 Indemnification and Reimbursement. To the fullest extent permitted by law, Consultant
shall defend(at Consultant's sole cost and expense), indemnify,protect, and hold harmless City, its elected officials,
officers, employees, agents, and volunteers (collectively the "Indemnified Parties"), from and against any and all
liabilities, actions, suits, claims, demands, losses, costs, judgments, arbitration awards, settlements, damages,
demands, orders, penalties, and expenses including legal costs and attorney fees (collectively "Claims"), including
but not limited to Claims arising from injuries to or death of persons (Consultant's employees included), for damage
to property, including property owned by City, from any violation of any federal, state, or local law or ordinance,
and from errors and omissions committed by Consultant, its officers, employees, representatives, and agents, that
arise out of or relate to Consultant's performance under this Agreement. This indemnification clause excludes
Claims arising from the sole negligence or willful misconduct of the City, its elected officials, officers, employees,
agents, and volunteers. Under no circumstances shall the insurance requirements and limits set forth in this
Agreement be construed to limit Consultant's indemnification obligation or other liability under this Agreement.
Consultant's indemnification obligation shall survive the expiration or earlier termination of this Agreement until all
actions against the Indemnified Parties for such matters indemnified are fully and finally barred by the applicable
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statute of limitations or, if an action is timely filed, until such action is final. This provision is intended for the
benefit of third party Indemnified Parties not otherwise a party to this Agreement.
6.2 Desien Professional Services Indemnification and Reimbursement. If the Agreement is
determined to be a "design professional services agreement" and Consultant is a "design professional" under
California Civil Code Section 2782.8,then:
A. To the fullest extent permitted by law, Consultant shall indemnify, defend (at
Consultant's sole cost and expense), protect and hold harmless City and its elected officials, officers, employees,
agents and volunteers and all other public agencies whose approval of the project is required, (individually
"Indemnified Party"; collectively`Indemnified Parties")against any and all liabilities,claims,judgments,arbitration
awards, settlements, costs, demands, orders and penalties (collectively "Claims"), including but not limited to
Claims arising from injuries or death of persons (Consultant's employees included)and damage to property, which
Claims arise out of,pertain to, or are related to the negligence, recklessness or willful misconduct of Consultant, its
agents, employees, or subcontractors, or arise from Consultant's negligent, reckless or willful performance of or
failure to perform any term, provision, covenant or condition of this Agreement ("Indemnified Claims"), but
Consultant's liability for Indemnified Claims shall be reduced to the extent such Claims arise from the negligence,
recklessness or willful misconduct of the City and its elected officials, officers,employees,agents and volunteers. ;
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B. The Consultant shall require all non-design-professional sub-contractors, used or sub-
contracted by Consultant to perform the Services or Work required under this Agreement, to execute an
Indemnification Agreement adopting the indemnity provisions in sub-section 6.1 in favor of the Indemnified Parties.
In addition, Consultant shall require all non-design-professional sub-contractors, used or sub-contracted by
Consultant to perform the Services or Work required under this Agreement, to obtain insurance that is consistent
with the Insurance provisions as set forth in this Agreement, as well as any other insurance that may be required by
Contract Officer.
7. REPORTS AND RECORDS
7.1 Accountine Records. Consultant shall keep complete,accurate, and detailed accounts of all time,
costs, expenses, and expenditures pertaining in any way to this Agreement. Consultant shall keep such books and
records as shall be necessary to properly perform the Services required by this Agreement and to enable the Contract
Officer to evaluate the performance of such Services. The Contract Officer shall have full and free access to such
books and records at all reasonable times, including the right to inspect, copy, audit, and make records and
transcripts from such records.
7.2 Reports. Consultant shall periodically prepare and submit to the Contract Officer such reports
concerning the performance of the Services required by this Agreement, or as the Contract Officer shall require.
Consultant acknowledges that the City is greatly concerned about the cost of the Work and Services to be performed
under this Agreement. For this reason, Consultant agrees that Consultant shall promptly notify the Contract Officer
the estimated increased or decreased cost if Consultant becomes aware of any facts, circumstances, techniques, or
events that may or will materially increase or decrease the cost of the contemplated Work or Services. If Consultant
is providing design services, Consultant shall promptly notify the Contract Officer the estimated increased or
decreased cost for the project being designed if Consultant becomes aware of any facts, circumstances, techniques,
or events that may or will materially increase or decrease the cost of the design services.
7.3 Ownershiu of Documents. All drawings, specifications, reports, records, documents,
memoranda, correspondence, computations, and other materials prepared by Consultant, its employees,
subcontractors, and agents in the performance of this Agreement shall be the property of City and shall be promptly
delivered to City upon request of the Contract Officer or upon the termination of this Agreement. Consultant shall
have no claim for further employment or additional compensation as a result of the exercise by City of its full rights
of ownership of the documents and materials. Any use of such completed documents for other projects and/or use
of incomplete documents without specific written authorization by the Consultant will be at the City's sole risk and
without liability to Consultant, and the City shall indemnify the Consultant for all resulting damages. Consultant
may retain copies of such documents for their own use. Consultant shall have an unrestricted right to use the
concepts embodied tin this Agreement. Consultant shall ensure that all its subcontractors shall provide for
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assignment to City of any documents or materials prepared by them. In the event Consultant fails to secure such
assignment,Consultant shall indemnify City for all resulting damages.
7.4 Release of Documents. All drawings, specifications, reports, records, documents, and other
materials prepared by Consultant in the performance of services under this Agreement shall not be released publicly
without the prior written approval of the Contract Officer. All information gained by Consultant in the performance
of this Agreement shall be considered confidential and shall not be released by Consultant without City's prior
written authorization.
7.5 Audit and Inspection of Records. After receipt of reasonable notice and during the regular
business hours of City, Consultant shall provide City, or other agents of City, such access to Consultant's books,
records, payroll documents, and facilities as City deems necessary to examine, copy, audit, and inspect all
accounting books, records, work data, documents, and activities directly related to Consultant's performance under
this Agreement. Consultant shall maintain such books, records, data, and documents in accordance with generally
accepted accounting principles and shall clearly identify and make such items readily accessible to such parties
during the term of this Agreement and for a period of three (3) years from the date of final payment by City
hereunder.
8. ENFORCEMENT OF AGREEMENT
8.1 California Law and Venue. This Agreement shall be construed and interpreted both as to
validity and as to performance of the Parties in accordance with the laws of the State of California. Legal actions
concerning any dispute, claim, or matter arising out of or in relation to this Agreement shall be instituted in the
Superior Court of the County of Riverside, State of California, or any other appropriate court in such County, and
Consultant covenants and agrees to submit to the personal jurisdiction of such court in the event of such action.
8.2 Interpretation. This Agreement shall be construed as a whole according to its fair language and
common meaning to achieve the obiectives and oumoses of the Parties. The terms of this Agreement are contractual
and the result of negotiation between the Parties. Accordingly, any rule of construction of contracts (including,
without limitation, California Civil Code Section 1654) that ambiguities are to be construed against the drafting
party, shall not be employed in the interpretation of this Agreement. The caption headings of the various sections
and paragraphs of this Agreement are for convenience and identification purposes only and shall not be deemed to
limit,expand, or define the contents of the respective sections or paragraphs.
8.3 Default of Consultant. Consultant's failure to comply with any provision of this Agreement shall
constitute a default.
A. If the City Manager, or his designee, determines that Consultant is in default in the
performance of any of the terms or conditions of this Agreement, he/she shall notify Consultant in writing of such
default. Consultant shall have ten (10) days, or such longer period as City may designate, to cure the default by
rendering satisfactory performance. In the event Consultant fails to cure its default within such period of time, City
shall have the right, notwithstanding any other provision of this Agreement, to terminate this Agreement without
further notice and without prejudice of any remedy to which City may be entitled at law, in equity, or under this
Agreement. Consultant shall be liable for all reasonable costs incurred by City as a result of such default.
Compliance with the provisions of this section shall not constitute a waiver of any City right to take legal action in
the event that the dispute is not cured, provided that nothing shall limit City's right to terminate this Agreement
without cause under Section 3.5.
B. If termination is due to the failure of the Consultant to fulfill its obligations under this
Agreement, City may, after compliance with the provisions of Section 8.3A, take over the work and prosecute the
same to completion by contract or otherwise. The Consultant shall be liable to the extent that the total cost for
completion of the Services required hereunder exceeds the Maximum Contract Amount(provided that the City shall
use reasonable efforts to mitigate such damages). The City may withhold any payments to the Consultant for the
purpose of set-off or partial payment of the amounts owed the City as previously stated. The withholding or failure
to withhold payments to Consultant shall not limit Consultant's liability for completion of the Services as provided
in this Agreement.
10
8.4 Waiver. No waiver of any provision of this Agreement shall be effective unless in writing and
signed by a duly authorized representative of the Party against whom enforcement of a waiver is sought. Any
waiver by the Parties of any default or breach of any covenant, condition, or term contained in this Agreement, shall
not be construed to be a waiver of any subsequent or other default or breach, nor shall failure by the Parties to
require exact, full, and complete compliance with any of the covenants, conditions, or terms contained in this
Agreement be construed as changing the terms of this Agreement in any manner or preventing the Parties from
enforcing the full provisions.
8.5 Rights and Remedies Cumulative. Except with respect to rights and remedies expressly
declared to be exclusive in this Agreement,the rights and remedies of the Parties are cumulative and the exercise by
either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different
times,of any other rights or remedies for the same default or any other default by the other Party.
8.6 Leeal Action. In addition to any other rights or remedies, either Party may take legal action, in
law or in equity,to cure, correct,remedy or recover damages for any default,to compel specific performance of this
Agreement, to obtain declaratory or injunctive relief, or to obtain any other remedy consistent with the purposes of
this Agreement.
8.7 Attorney Fees. In the event any dispute between the Parties with respect to this Agreement
results in litigation or any non judicial proceeding, the prevailing Party shall be entitled, in addition to such other
relief as may be granted, to recover from the non-prevailing Party all reasonable costs and expenses. These include
but are not limited to reasonable attorney fees, expert consultant fees, court costs and all fees, costs, and expenses
incurred in any appeal or in collection of anyjudgment entered in such proceeding. To the extent authorized by law,
in the event of a dismissal by the plaintiff or petitioner of the litigation or non judicial proceeding within thirty(30) y
days of the date set for trial or hearing,the other Party shall be deemed to be the prevailing Party in such litigation or
proceeding.
9. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION
9.1 Non-liability of City Officers and Emplovees. No officer or employee of the City shall be
personally liable to the Consultant, or any successor-in-interest, in the event of any default or breach by the City or
for any amount which may become due to the Consultant or to its successor, or for breach of any obligation of the
terms of this Agreement.
9.2 Conflict of Interest. No officer or employee of the City shall have any direct or indirect financial
interest in this Agreement nor shall any such officer or employee participate in any decision relating to the
Agreement which effects their financial interest or the financial interest of any corporation, partnership, or
association in which he/she is, directly or indirectly, interested in violation of any state statute or regulation.
Consultant warrants that Consultant has not paid or given, and will not pay or give, any third party any money or
other consideration in exchange for obtaining this Agreement.
9.3 Covenant Against Discrimination. In connection with its performance under this Agreement,
Consultant shall not discriminate against any employee or applicant for employment because of race,religion,color, i
sex, age, marital status, ancestry, or national origin. Consultant shall ensure that applicants are employed, and that
employees are treated during their employment, without regard to their race,religion, color, sex, age, marital status,
ancestry, or national origin. Such actions shall include, but not be limited to,the following: employment, upgrading,
demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of
compensation;and selection for training, including apprenticeship.
10. MISCELLANEOUS PROVISIONS
10.1 Patent and Copyright Infrineement. To the fullest extent permissible under law, and in lieu of
any other warranty by City or Consultant against patent or copyright infringement,statutory or otherwise:
A. It is agreed that Consultant shall defend at its expense any claim or suit against City on
11
account of any allegation that any item furnished under this Agreement, or the normal use or sale arising out of the
performance of this Agreement, infringes upon any presently existing U.S.letters patent or copyright and Consultant
shall pay all costs and damages finally awarded in any such suit or claim, provided that Consultant is promptly
notified in writing of the suit or claim and given authority, information and assistance at Consultant's expense for
the defense of same, and provided such suit or claim arises out of, pertains to, or is related to the negligence,
recklessness or willful misconduct of Consultant. However, Consultant will not indemnify City if the suit or claim
results from: (1) City's alteration of a deliverable, such that City's alteration of such deliverable created the
infringement upon any presently existing U.S. letters patent or copyright; or (2) the use of a deliverable in
combination with other material not provided by Consultant when it is such use in combination which infringes
upon an existing U.S. letters patent or copyright.
B. Consultant shall have sole control of the defense of any such claim or suit and all
negotiations for settlement in the event City fails to cooperate in the defense of any suit or claim,provided,however,
that such defense shall be at Consultant's expense. Consultant shall not be obligated to indemnify City under any
settlement that is made without Consultant's consent,which shall not be unreasonably withheld. If the use or sale of
such item is enjoined as a result of the suit or claim, Consultant,at no expense to City, shall obtain for City the right
to use and sell the item, or shall substitute an equivalent item acceptable to City and extend this patent and copyright
indemnity thereto.
10.2 Notice. Any notice, demand, request, consent, approval, or communication that either party
desires, or is required to give to the other party or any other person shall be in writing. All notices shall be
personally delivered, sent by pre-paid First Class U.S. Mail, registered or certified mail, postage prepaid, return
receipt requested, or delivered or sent by facsimile with attached evidence of completed transmission. All notices
shall be deemed received upon the earlier of(i) the date of delivery to the address of the person to receive such
notice if delivered personally or by messenger or overnight courier; (ii) five (5) business days after the date of
posting by the United States Past Office if by mail; or (iii) when sent if given by facsimile. Any notice, request,
demand, direction, or other communication sent by facsimile must be confirmed within forty-eight (48) hours by
letter mailed or delivered. Other forms of electronic transmission such as e-mails, text messages, and instant
messages are not acceptable manners of notice required hereunder. Notices or other communications shall be
addressed as follows:
To Ci City of Palm springs
Attention: City Manager&City Clerk
3200 E.Tahquitz Canyon Way
Palm springs,California 92262
Telephone: (760)323-8204
Facsimile: (760)323-8332
To Consultant: Capital Accounting Partners,LLC
3570 Buena Vista Drive
Sacramento, CA 95864
Attention:Nicolie Cass Lettini
Telephone: 916-670-0001
Facsimile: 309-404-0697
10.3 Inteerated Agreement. This Agreement constitutes the entire agreement between the Parties and
supersedes all prior negotiations, arrangements,agreements,representations,and understandings, if any, made by or
among the Parties with respect to the subject matter in this Agreement.
10.4 Amendment. No amendments or other modifications of this Agreement shall be binding
unless through written agreement by all Parties.
10.5 Severabilitv. Whenever possible, each provision of this Agreement shall be interpreted in such a
manner as to be effective and valid under applicable law. If any provision of this Agreement shall be determined to
be invalid by a final judgment or decree of a court of competent jurisdiction, such provision shall be ineffective only
to the extent of such prohibition or invalidity, without invalidating the reminder of that provision, or the remaining
12
provisions of this Agreement unless the invalid provision is so material that its invalidity deprives either Party of the
basic benefit of their bargain or renders this Agreement meaningless.
10.5 Successors in Interest. This Agreement shall be binding upon and inure to the benefit of the
Parties' successors and assignees.
10.6 Third Party Beneficiary. Except as may be expressly provided for in this Agreement. nothing
contained in this Agreement is intended to confer, nor shall this A eement be construed as onf rrin . any ri ht
including, without limitation, any rights as a third-party beneficiary or otherwise, upon any entity or person not-4
party to this Agreement
10.7 Recitals. The above-referenced Recitals are hereby incorporated into the Agreement as though
fully set forth in this Agreement and each Party acknowledges and agrees that such Party is bound, for pumoses of
is Agreement,by the same.
10.8. Corporate Authority. Each of the undersigned represents and warrants that (i) the Party for
which he or she is executing this Agreement is duly authorized and existing, (ii) he or she is duly authorized to
execute and deliver this Agreement on behalf of the Party for which he or she is signing, (iii) by so executing this
Agreement, the Party for which he or she is signing is formally bound to the provisions of this Agreement, and(iv)
the entering into this Agreement does not violate any provision of any other Agreement to which the Party for which
he or she is signing is bound.
13
IN WITNESS WHEREOF,the Parties have executed this Agreement as of the dates stated below.
"CITY"
City of Palm Springs
Date: `
David H.Ready
City Manager APPROVED BY CITY COUNCIL
APPROVED O FORM: ATTEST
By: B .
Dou a . Holland, James Thompson,
City Attorney City Clerk
APPROVED BY CITY COUNCIL:
;f
Date: Agreement No.
Corporations require two notarized signatures. One signature must be from Chairman of Board President,or an Vice President. The
p 4 1� gn � Y
second signature must be from the Secretary,Assistant Secretary,Treasurer,Assistant Treasurer,or Chief Financial Officer.
CONSULTANT NAME:
a1 ca p 1 /j I Check one Individual_Partnership_Corporation
3570 &,4 i �Or �N- Lt c
Address
SmcugrnOnC4 WVq
By By
Signature(Not ' ed) Signature(Notarized)
14
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
State of California
County of—L'� _2`
On 91 3nOlq before rne,
erc mft7�T
personally appeared /v i`G o £ L � ►�L
nsntd m sgna1q -
who proved to me on the basis of satisfactory evidance to
be the person(A)whose name(s) 6490 aubscrtbed to 1he
within instrument and acknowledged to me that
tAshattf"wwo iced the same in K/heolf eir authorized
capadly(i#s),and that by bisAwApeir sigrwlukp)on the
Instrument the person(a), or the entity upon behalf of
J. O JR
which the person(s'1 acted,executed the Instrument.
CatMMaaloa 0111111171111115 1 certify under PENALTY OF PERJURY under the laws
xMV hibMO-ewoaMa of the State of California that the foregoing paragraph Is
PHL' 'd Coo" true and correct.
M Comm.FnrplM 21 201 41
WITNESS my hand and official seal.
Signature i xzz� ;�=
Peaa PbMry Seal 0.Eaw S No ryPutac
OPT1pNfAL
76or0 the kabrmafiar below is not reguNed by raw B may Prove%0uAWe to persons tv"V on the document
and court prevent/mrdurent removal and reaft chnmvmf or Lois form to arrdrwr document
Description of Attached Docu.noo
Title or Type of Document: Pi' F
Document Date: / l Number of Peggy:
Signar(a)Other Than Named Above:
Capecny(les)Claimed by Signer(s)
Signers Name: Signet's Name:
❑ Individual ❑Individual
• Corporate Officer—Title(s): ❑Corporate Officer—Title(s):
0 Partner—LI Limited O General ❑Partner—❑Limited L General
0 Attorney in Fact L Attorney in Fad
0 Trustee tap v umb here 0 Trustee l Top d hvnb hom
0 Guardian or Conservator ❑Guardian or Conservator j
❑ Other. ❑Other:
Signer Is Representing: Signer Is Representing:
CaX0 rqa lNMq Amdabn-"W Cb Sob Am.Mft♦ NWd- M1eYwnI,.CA eists¢eoz•wiulAim,�Ntlyd♦ ben Y590T Rtadnrnal TdLFroel epbai486P'J
15
F
EXHIBIT"A"
SCOPE OF SERVICES
The scope of work consists of, but is not limited to a plan that contains the following information:
• A comprehensive review of the City's fee and rate structure with the goal of establishing a
consistent and objectively based fee and rate structure that meets the needs of the City and its
citizenry, along with meeting the various requirements set forth in state law.
• Consultant will work with selected staff to define the purpose, uses, and goals for an overhead
cost allocation plan ensuring that the development of the plan will be both accurate and
appropriate for the City's current needs.
• Consultant shall conduct a review of the documentation supporting the current fee and rate
structures for all departments and services and recommend a new methodology for preparing the
City's internal charge allocations for a variety of departments.
• Develop an Overhead Cost Allocation Model for calculating the full costs of providing each City
service. The requirements of the model shall allow for:
o The addition or removal of direct and overhead costs so that the overhead cost allocation
plan can be developed from a simple plan to a progressively more inclusive plan.
o The ability to continuously update the model and overhead cost allocation plan from
year-to-year as the organizational structure changes and the costs change.
o The addition of hypothetical 'service area information for future services enhancements,
and the ability to calculate the estimated costs of providing the service under
consideration.
• Work with the Finance Department in developing service provisions, cost categories, and
allocation criteria for current and future programs.
• Provide hourly rates for any additional services including but not limited to professional fees,
hourly rates, travel costs, clerical& communications costs, and any other"special"costs that may
performed on an as needed basis outside of the initial scope of work.
• Participate in the presentation of the Draft Overhead Cost Allocation Plan to select City staff and
City Council. Collect and document comments and concerns from staff and Council members.
• The consultant shall prepare a final study and comprehensive fee schedule and provide 5 bound
copies and one unbound copy(or file copy in PDF format)to the City.
The City staff will provide the consultant with all relevant information it has pertaining to the City and its
operations including employee hourly cost rates, operating and capital budgets, the existing cost
allocation plan, current fee resolutions and related documents.
16
EXHIBIT"B"
CITY'S REQUEST FOR PROPOSALS
CITY OF PALM SPRINGS, CA
NOTICE INVITING PROPOSALS FOR RFP#08-14
COMPREHENSIVE FEE AND RATE STUDY
NOTICE IS HEREBY GIVEN that the City of Palm Springs is requesting proposals from
qualified firms to provide the City with a Comprehensive Fee and Rate Study.
SCOPE OF SERVICES: The scope of work will consist of providing professional Consultant
Services to ensure that the City of Palm Springs is utilizing comprehensive overhead rates and
accurately accounting for the true cost of providing various services within the City operations.
OBTAINING RFP DOCUMENTS AND ADDENDA: The RFP document may be downloaded
via the internet at www.paimspringsca.gov (go to Departments, Procurement, Open Bids & a
Proposals), or by calling the Office of Procurement and Contracting, (760) 322-8374. Upon
downloading the RFP via the internet, contact Leigh Gileno, Procurement Specialist II, via email
at Leigh.Gilenoapalmspringsca.gov to register as a firm interested in this project. Failure to
register may result in not receiving addenda to the RFP. Failure to acknowledge Addenda may
render a proposal as being non-responsive. We strongly advise that interested firms officially
register per the instructions.
EVALUATION OF PROPOSALS AND AWARD OF CONTRACT: This solicitation has been
developed in the Request for Proposals (RFP) format. Accordingly, firms should take note that
multiple factors as identified in the RFP will be considered by the Evaluation Committee to
determine which proposal best meets the requirements set forth in the RFP document. PRICE
ALONE WILL NOT BE THE SOLE DETERMINING CRITERIA. The City reserves the right to
negotiate the terms and conditions of any resulting contract. Final contract award, if any, will be
made by the Palm Springs City Council. The selected firm will be required to comply with all
insurance and license requirements of the City.
DEADLINE: All proposals must be received in the Procurement and Contracting Office, 3200
E. Tahquitz Canyon Way, Palm Springs, CA, 92262 by 3:00 P.M., LOCAL TIME, TUESDAY,
NOVEMBER 26, 2013. The receiving time in the Procurement Office will be the governing time
for acceptability of Proposals. Telegraphic and telephonic Proposals will not be accepted.
Reference the RFP document for additional dates and deadlines. Late proposals will not be
accepted and shall be returned unopened.
PROPOSALS TO REMAIN OPEN: The Proposer shall guarantee that all contents of their
proposal shall be valid for a period of 120 calendar days from the due date of proposals.
Leigh Gileno, Procurement Specialist II
October 23, 2013
17
OF PALM
♦ �U�A
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A[IfOM1NP
CITY OF PALM SPRINGS, CA
REQUEST FOR PROPOSALS (RFP)#08-14
COMPREHENSIVE FEE AND RATE STUDY
Requests for Proposals (RFP #08-14), for Comprehensive Fee And Rate Study services for the
City of Palm Springs, CA, (hereinafter the "RFP") will be received at the Office of Procurement &
Contracting, 3200 East Tahquitz Canyon Way, Palm Springs, California, until 3:00 P.M. LOCAL
TIME, TUESDAY, NOVEMBER 26, 2013. It is the responsibility of the respondent to see that
any proposal sent through the mail, or by any other delivery method, shall have sufficient time to
be received by this specified date and time. The receiving time in the Procurement Office will
be the governing time for acceptability of proposals. Telegraphic, telephonic, faxed or emailed
proposals will not be accepted. Late proposals will be returned unopened. Failure to register
as a Proposer to this RFP process per the instructions in the Notice Inviting Requests for
Proposals (under "Obtaining RFP Documents') may result in not receiving Addenda or other
important information pertaining to this process. Failure to acknowledge Addenda may render a
proposal as being non-responsive. We strongly advise that interested firms officially register y
per the instructions.
1. PURPOSE AND SCHEDULE: The City of Palm Springs is requesting proposals from
qualified firms to provide the City with a Comprehensive Fee and Rate Study (hereinafter the
"Project"). The selected firm will be expected to provide the required services to ensure that the
City of Palm Springs is accurately accounting for the true cost of providing services within the
City operations and that the fees for services are reflected in those costs.
SCHEDULE:
Notice requesting Proposals posted and issued .............................................. October 23, 2013
Deadline for receipt of Questions............................Tuesday, November 19, 2013, 3:00 P.M.
Deadline for receipt of Proposals ............................Tuesday, November 26, 2013, 3:00 P.M.
Short List/ Interviews/, *if desired by City .........................................................to be determined
Contract awarded by City Council ..................................................................... to be determined
NOTE: There will NOT be a pre-proposal conference for this procurement. *Oates above
are subject to change.
"KEY" TO RFP ATTACHMENTS:
ATTACHMENT "A"- Signature Authorization Form, including Addenda acknowledgment.
*Must be completed and included with Technical Proposal envelope.
ATTACHMENT "B" — Non Collusion Affidavit Form. *Must be completed and included
with Technical Proposal envelope.
ATTACHMENT "C" — Cost Proposal Form. *Must be completed and included in a
separately sealed envelope—do NOT include this with your Technical Proposal.
ATTACHMENT "D" — General Fund Revenues Versus Expenses for City.
ATTACHMENT "E" — Sample boilerplate Contract Services Agreement (for reference
only)
2. BACKGROUND: The City of Palm Springs, California is requesting proposals from
qualified firms or individuals to provide a Comprehensive Fee and Rate Study. The purpose of
this study is to ensure that the City of Palm Springs is utilizing comprehensive overhead rates
18
and accurately accounting for the true cost of providing various services within the City
operations
The City of Palm Springs is a full-service City that is governed by a Council —Administrator form
of government and provides a full range of municipal services. The City employs approximately
402 full-time employees and was incorporated in 1938 and has a population of 47,601
permanent residents. In the peak season from October thru May the City has an increase of
approximately 30,000 residents. The City is noted as a vacation/resort destination.
The City of Palm Springs total budget for 2012-2013 FY was $180,609,844, the operations
representing approximately $68,126,414 with a capital budget of $6,989,999. The General
Fund's appropriations of $68 million support the main operations of the City including public
safety, public works, engineering, recreation, parks, library, airport, community services and
general administration.
The Citywide User Fees currently being used were developed over 7 years ago. The City is
interested in identifying common and unusual fees for services that are currently not being
assessed.
3. SCOPE OF WORK, SERVICES, OBJECTIVES AND SPECIFICATIONS:
Generally, the scope of work consists of, but is not limited to a plan that contains the following
information:
• A comprehensive review of the City's fee and rate structure with the goal of establishing
a consistent and objectively based fee and rate structure that meets the needs of the
City and its citizenry, along with meeting the various requirements set forth in state law.
• Consultant will work with selected staff to define the purpose, uses, and goals for an
overhead cost allocation plan ensuring that the development of the plan will be both
accurate and appropriate for the City's current needs.
• Consultant shall conduct a review of the documentation supporting the current fee and
rate structures for all departments and services and recommend a new methodology for
preparing the City's internal charge allocations for a variety of departments.
• Develop an Overhead Cost Allocation Model for calculating the full costs of providing
each City service. The requirements of the model shall allow for:
o The addition or removal of direct and overhead costs so that the overhead cost
allocation plan can be developed from a simple plan to a progressively more
inclusive plan.
o The ability to continuously update the model and overhead cost allocation plan
from year-to-year as the organizational structure changes and the costs change.
o The addition of hypothetical service area information for future services
enhancements, and the ability to calculate the estimated costs of providing the
service under consideration.
• Work with the Finance Department in developing service provisions, cost categories,
and allocation criteria for current and future programs.
• Provide hourly rates for any additional services including but not limited to professional
fees, hourly rates, travel costs, clerical & communications costs, and any other "special"
costs that may performed on an as needed basis outside of the initial scope of work.
• Participate in the presentation of the Draft Overhead Cost Allocation Plan to select City
staff and City Council. Collect and document comments and concerns from staff and
Council members.
• The consultant shall prepare a final study and comprehensive fee schedule and provide
5 bound copies and one unbound copy (or file copy in PDF format) to the City.
19
The City staff will provide the consultant with all relevant information it has pertaining to the City
and its operations including employee hourly cost rates, operating and capital budgets, the
existing cost allocation plan, current fee resolutions and related documents.
4. PROPOSAL REQUIREMENTS:
The firm's proposal should describe the methodology to be used to accomplish each of the
project tasks. The proposal should also describe the work which shall be necessary in order to
satisfactorily complete the task requirements.
Please note: this RFP cannot identify each specific, individual task required to successfully and
completely implement this project. The City of Palm Springs relies on the professionalism and
competence of the selected firm to be knowledgeable of the general areas identified in the
scope of work and to include in its proposal all required tasks and subtasks, personnel
commitments, man-hours, direct and indirect costs, etc. The City of Palm Springs will not
approve addenda to the selected firm's agreement which involve a substantial change from the
general scope of work identified in this RFP. The City's final selection will not be dictated on
any single factor, including price. The relative importance of these factors involves judgment on
the part of the City's RFP evaluation committee and will include both objective and subjective
analysis. A vendor may be eliminated from consideration for failure to comply with any of the
requirements, depending upon the critical nature of such requirements.
5. SELECTION PROCESS: This solicitation has been developed in the Request for
Proposals (RFP) format. Accordingly, proposers should take note that multiple factors as
identified in the RFP will be considered by the Evaluation Committee to determine which
proposal best meets the requirements set forth in the RFP document. PRICE ALONE WILL
NOT BE THE SOLE DETERMINING CRITERIA. The City shall review the proposals submitted
in reply to this RFP, and a limited number of firms may be invited to make a formal presentation
at a future date if desired by the City. The format, selection criteria and date of the presentation
will be established at the time of short listing, if conducted.
6. PROPOSAL EVALUATION CRITERIA: An Evaluation Committee, using the following
evaluation criteria for this RFP, will evaluate all responsive proposals to this RFP. Firms are
requested to submit their proposals so that they correspond to and.are identified with the
following specific evaluation criteria (100 total points possible):
A. Firm / Staff / Team (including any subcontractors) Qualifications and experience in
providing similar services as defined in the RFP, including References
(15 POINTS)
B. Proposal Organization, conformance with the RFP instructions, and demonstrated
Understanding of the overall project and requested Scope of Work (10 POINTS)
C. Work Proposal, including detailed proposed methodology and approach, used to provide a
comprehensive fee and rate study for the requested Scope of Work (25 POINTS)
D. Detailed Project Schedule to fully complete the scope of work as defined herein, including
developing an overhead Cost Allocation Model for calculating the full costs of providing
each City service. (15 POINTS)
E. Local Preference (5 POINTS)
Firms that qualify as a Local Business, or employ local sub-consultants, and submit a valid
business license as more fully set forth in Section F.1 below, pursuant to the City of Palm
Springs Local Preference Ordinance 1756). The full local preference, five (5) points, may
be awarded to those that qualify as a Local Business. Two (2) points may be awarded to
20
a non-local business that employs or retains local residents and/or firms for this project.
Non-local firms that do not employ or retain any local residents and/or firms for this project
shall earn zero (0) points for this criteria.
F. Cost Proposal (30 POINTS)
PRIOR CITY WORK: If your firm has prior experience working with the City DO NOT assume
this prior work is known to the evaluation committee. All firms are evaluated solely on the
information contained in their proposal, information obtained from references, and presentations
if requested. All proposals must be prepared as if the evaluation committee has no knowledge
of the firm, their qualifications or past projects.
7. PROPOSAL CONTENTS: Firms are requested to format their proposals so that
responses correspond directly to, and are identified with, the specific evaluation criteria stated in
Section 6 above. The proposals must be in an 8 % X 11 format, may be no more than a
total of Twenty Five (25) sheets of paper (double sided is OK ), including a cover letter.
NOTE: Dividers, Attachments included in this RFP that are to be submitted with the proposal,
Addenda acknowledgments and the separately sealed Cost Proposal do NOT count toward the
page limit. Interested firms shall submit SIX (6) copies (one marked "Original" plus five (5)
copies) of its proposal by the deadline.
All proposals shall be sealed within one package and be clearly marked, 'RFP #08-14,
REQUESTS FOR PROPOSALS FOR COMPREHENSIVE FEE AND RATE STUDY. Within the
sealed proposal package, the Cost Proposal shall be separately sealed from the
Technical/Work Proposal. Proposals not meeting the above criteria may be found to be
non-responsive.
EACH PROPOSAL PACKAGE MUST INCLUDE TWO (2) SEPARATELY SEALED
ENVELOPES:
r
Envelope #1, clearly marked "Technical/Work Proposal', shall include the following
items:
• Completed Signature authorization and Addenda Acknowledgment (see Attachment A)
• If applicable, your specific request for Local Preference (see Attachment A) and a copy of a
valid business license from a jurisdiction in the Coachella Valley.
• Completed, and notarized, Affidavit of Non-Collusion (see Attachment B)
In addition to the items above, at a minimum, firms must provide the information identified
below. All such information shall be presented in a format that directly corresponds to the
numbering scheme identified here.
TECHNICALlWORK PROPOSAL: The TechnicallWork Proposal (Envelope #1) shall be
clearly marked and shall include the Sections A, B, C, D and E (*if Local Preference is
applicable) below:
SECTION A:
FIRM, STAFF, TEAM (including any subcontractors) QUALIFICATIONS AND
EXPERIENCE, INCLUDING REFERENCES
A.1 Follow the instructions and properly complete and execute both Attachment "A" and
Attachment "B" that are provided in the RFP and include them here in your proposal. If
applicable, your specific request for Local Preference (reference Attachment A) and a copy of a
valid business license from a jurisdiction in the Coachella Valley is to also be included here.
21 q
A.2 Describe the firm's background and qualifications in the type of effort that this project will
require, specifically identifying experience with relevant projects successfully completed of
similar size and scope.
A.3 Indicate the name of any sub-contractor firms that will be utilized to make up your team.
Describe each sub-contractor's qualifications, background and specific expertise that they bring
to the Project.
AA List the name and qualifications of the key staff/team members that will be assigned to
the Project. Provide detailed qualifications of the Project Manager that will be assigned to the
Project.
A.5 Include a minimum of three (3) references of recent customers for who your firm has
provided similar study completed for another jurisdiction within the state of California and
include a sample copy from one (1) of these firms as contemplated herein. You must include
the name of the key contact person, their title, and a current phone number, fax number, email
address and business address along with a brief description of the scope of work and cost for
each successfully completed referenced project.
SECTION B:
PROPOSAL ORGANIZATION, CONFORMANCE WITH RFP INSTRUCTIONS, AND
DEMONSTRATED UNDERSTANDING OF THE OVERALL PROJECT AND REQUESTED
SCOPE OF WORK
BA Carefully review and verify that your proposal is well organized and follows ALL OF THE
INSTRUCTIONS on proper organization, format, order, and conformance with all requirements,
including any and all required signatures, attachments, acknowledgements, or other documents
that are required to be submitted. Failure to follow the instructions may result in your proposal
being non-responsive and rejected from consideration.
B.2 Without reciting the information regarding the Project verbatim as contained in this RFP,
convey your overall understanding of the Project and an understanding of the City's
expectations upon implementation of the Project.
6.3 Identify any "key" or "critical" issues that you believe may be encountered on the Project
based on the firm's prior experiences; and provide steps to be taken to ensure the issues
identified do not affect the successful delivery of the Project.
SECTION C:
WORK PROPOSAL
CA Proposer should refine and/or expand the Scope of Work to reflect their understanding
of the tasks and services requested and provide a detailed Work Proposal/Approach to
accomplish the tasks. Identify all tasks and sub-tasks required to successfully implement all
phases of the project.
SECTION D:
PROJECT SCHEDULE
D.1 Proposer shall provide a detailed Project Schedule/Timeline, including all tasks and sub-
tasks, as well as an Overhead Cost Allocation Model that can be developed from a simple plan
to a progressively more inclusive plan, and to fully execute the scope of work as defined herein.
D.2 Discuss lines of communication necessary to maintain the project schedule/timeline.
Discuss the key issues that could impact the schedule and ways to minimize or eliminate them.
D.3 Discuss your quality control methods to ensure consistent and accurate final results.
22
SECTION E:
LOCAL PREFERENCE
E.1 Pursuant to the City of Palm Springs Local Preference Ordinance 1756, in awarding
contracts for services, including consultant services, preference to a Local Business shall be
given whenever practicable and to the extent consistent with the law and interests of the public.
The term "Local Business" is defined as a vendor, contractor, or consultant who has a valid
physical business address located within the Coachella Valley, at least six months prior to bid or
proposal opening date, from which the vendor, contractor, or consultant operates or performs
business on a day-to-day basis, and holds a valid business license by a jurisdiction located in
the Coachella Valley. "Coachella Valley" is defined as the area between the Salton Sea on the
south, the San Jacinto and Santa Rosa Mountains on the west, and the Little San Bernardino
Mountains on the east and north. For the purposes of this definition, "Coachella Valley"
includes the cities of Beaumont and Banning and the unincorporated areas between Banning
and the City of Palm Springs. Post office boxes are not verifiable and shall not be used for the
purpose of establishing such physical address.
The consultant will also, to the extent legally possible, solicit applications for employment and
proposals for subcontractors and sub-consultants for work associated with the proposed
contract from local residents and firms as opportunities occur and hire qualified local residents
and firms whenever feasible.
In order for a business to be eligible to claim the preference, the business MUST request the
preference in the Solicitation response (see Attachment Al and provide a copy of its current
business license (or of those it employs for this project) from a jurisdiction in the Coachella
Valley. A non-local business that requests the preference based on employing local residents
must provide proof of full-time primary residency from a jurisdiction in the Coachella Valley with
the proposal. The City reserves the right to determine eligibility.
E.2 List all team members with local expertise. Clearly define their role in the overall project.
COST PROPOSAL; The Cost Proposal (Envelope #2) shall be clearly marked in a
separately sealed envelope and shall include Section F below:
SECTION F:
COST PROPOSAL (*see instructions in Section 6 above and Attachment "C")
F.1 The cost proposal (in a separate sealed envelope) shall include a detailed cost estimate
for completion of the scope of services with cost breakdowns by scope element. All professional
fees, hourly rates, travel costs, clerical and communications costs, and any other "special' costs
must be clearly identified and defined. In addition, an hourly rate for any additional services that
were not originally requested in the Scope of Work, but may be added at the discretion of the
City, shall also be included. Note that the Cost Proposal, including all fees and compensation
shall remain firm for a minimum of 90 days from the proposal submission deadline.
PROPOSERS MUST USE THE COST PROPOSAL FORM, ATTACHMENT "C", PROVIDED
BY THE CITY IN THE RFP DOCUMENTS. Failure to use the Cost Proposal form Attachment
"C" provided by the City WILL be cause for rejection of a proposal. Do NOT include
Attachment "A" or Attachment "B" in the Cost Proposal, Envelope #2,. Attachments "A"
and "B" are to be included in Envelope#1, "Technical/Work Proposal".
8. GENERAL AND SPECIAL CONDITIONS:
DEADLINE FOR SUBMISSION OF PROPOSALS: Proposals will be received in the City of
Palm Springs, Office of Procurement and Contracting until 3:00 P.M., LOCAL TIME,
23
TUESDAY, NOVEMBER 26, 2013. Proof of receipt before the deadline is a City of Palm
Springs, Office of Procurement and Contracting time/date stamp. It is the responsibility of the
firms replying to this RFP to see that any proposal sent through the mail, or via any other
delivery method, shall have sufficient time to be received by the Procurement Office prior to the
proposal due date and time. Late proposals will be returned to the firm unopened. Proposals
shall be clearly marked and identified and must be submitted to:
City of Palm Springs
Procurement and Contracting Department "
3200 E. Tahquitz Canyon Way
Palm Springs, CA 92262
Attn: Leigh Gileno Procurement Specialist II
QUESTIONS: Firms, their representatives, agents or anyone else acting on their behalf are
specifically directed NOT to contact any city employee, commission member, committee
member, council member, or other agency employee or associate for any purpose related to
this RFP other than as directed below. Contact with anyone other than as directed below
WILL be cause for rejection of a proposal.
Any questions, technical or otherwise, pertaining to this RFP must be submitted IN WRITING
and directed ONLY to:
Leigh Gileno
Procurement Specialist II
3200 East Tahquitz Canyon Way, Palm Springs, CA 92262
via FAX (760) 323-8238
or via EMAIL: Leigh.Gileno(apalmspringsca.gov
Interpretations or clarifications considered necessary in response to such questions will be
resolved by the issuance of formal Addenda to the RFP. The deadline for all questions is
3:00 P.M., Local Time, Tuesday, November 19, 2013. Questions received after this date and
time may not be answered. Only questions that have been resolved by formal written Addenda
via the Division of Procurement and Contracting will be binding. Oral and other interpretations
or clarifications will be without legal or contractual effect.
FORM OF AGREEMENT: The selected firm will be required to enter into a contractual
agreement, inclusive of insurance requirements, with the City of Palm Springs in accordance
with the standard Contract Services Agreement (see Attachment "E"). Please note that the
Exhibits are intentionally not complete in the attached sample standard document. These
exhibits will be negotiated with the selected firm, and will appear in the final Contract Services
Agreement executed between the parties.
The term of the agreement that is awarded as a result of this RFP will be negotiated and agreed
between the City and the awarded Consultant. Upon the completion of the Scope of Work as
defined herein, the City reserves the right to extend the term of the agreement with the
Consultant for the purposes of performing additional services as maybe needed.
Failure or refusal to enter into an Agreement as herein provided or to conform to any of the
stipulated requirements in connection therewith shall be just cause for an annulment of the
award. If the highest ranked Proposer refuses or fails to execute the Agreement, or
negotiations are not successful, or the agreement is terminated, the City may, at its sole
discretion, enter negotiations with and award the Contract to the second highest ranked
Proposer, and so on.
AWARD OF CONTRACT: It is the City's intent to award a contract to the firm that can provide
all of the scope of work, equipment and services identified in the RFP document. However, the
24
City reserves the right to award a contract, or to make no award, whichever is in the best
interest of the City. It is anticipated that award of the contract will occur at the next regularly
scheduled City Council meeting after the evaluation committee has made its final selection of
the firm to be recommended for award and a contract has been negotiated and agendized for
consideration. The decision of the City Council will be final.
RIGHT TO ACCEPT OR REJECT PROPOSALS: The City of Palm Springs reserves the right
to waive any informality or technical defect in a proposal and to accept or reject, in whole or in
part, any or all proposals and to cancel all or part of this RFP and seek new proposals, as best
serves the interests of the City. The City furthermore reserves the right to contract separately
with others certain tasks if deemed in the best interest of the City.
INSURANCE: Insurance provisions are contained in the Standard Contract Services sample
agreement included in the RFP. The successful Proposer will be required to comply with these
provisions. It is recommended that Proposers have their insurance provider review the
insurance provisions BEFORE they submit their proposal.
RESPONSIBILITY OF PROPOSER: All firms responding to this RFP shall be responsible. If it
is found that a firm is irresponsible (e.g., has not paid taxes, is not a legal entity, submitted an
RFP without an authorized signature, falsified any information in the proposal package, etc.),
the proposal shall be rejected.
PUBLIC RECORD: All documents submitted in response to this solicitation will become the
property of the City of Palm Springs and are subject to the California Code Section 6250 et seq.,
commonly known as the Public Records Act. Information contained in the documents, or any
other materials associated with the solicitation, may be made public after award of contract to a
specific firm, if any, by the City Council.
COST RELATED TO PROPOSAL PREPARATION: The City will NOT be responsible for any
costs incurred by any firm responding to this RFP in the preparation of their proposal or
participation in any presentation if requested, or any other aspects of the entire RFP process.
BUSINESS LICENSE: The selected firm will be required to be licensed in accordance with the
City of Palm Springs Business License Ordinance, Municipal Code Chapter 3.40 through 3.96,
entitled 'Business Tax".
INVESTIGATIONS: The City reserves the right to make such investigations as it deems
necessary to determine the ability of the firms responding to this RFP to perform the Work and
the firm shall furnish to the City all such information and data for this purpose as the City may
request. The City reserves the right to reject any proposal if the evidence submitted by or
investigation of such firm fails to satisfy the City that such firm is properly qualified to carry out
the obligations of the Contract and to complete the Work contemplated therein.
NONCOLLUSION: The undersigned, by submission of this Proposal Form, hereby declares
that this Proposal is made without collusion with any other business making any other Proposal,
or which otherwise would make a Proposal. Proposer must execute an Affidavit of Non-
Collusion provided as Attachment "B" in the RFP and include it with their proposal.
PROPOSALS TO REMAIN OPEN: The Proposer shall guarantee that all contents of their
proposal shall be valid for a period of 120 calendar days from the due date of proposals.
SIGNED PROPOSAL AND EXCEPTIONS: Submission of a signed proposal will be interpreted
to mean that the firm responding to this RFP has hereby agreed to all the terms and conditions
set forth in all of the sheets which make up this Request for Proposals, and any attached
sample agreement. Exceptions to any of the language in either the RFP documents or
attached sample agreement, including the insurance requirements, roust be included in the
�a. 25
proposal and clearly defined. Exceptions to the City's RFP document or standard boilerplate
language, insurance requirements, terms or conditions may be considered in the evaluation
process; however, the City makes no guarantee that any exceptions will be approved.
j
26
s
ATTACHMENT "A"
*THIS FORM MUST BE COMPLETED AND SUBMITTED WITH YOUR TECHNICALIWORK PROPOSAL
(Envelope#1)*
REQUESTS FOR PROPOSALS (RFP)#08-14
COMPREHENSIVE FEE AND RATE STUDY
SIGNATURE AUTHORIZATION
NAME OF COMPANY(PROPOSER):
BUSINESS ADDRESS:
TELEPHONE: CELL PHONE FAX
CONTACT PERSON EMAIL ADDRESS
A. I hereby certify that I have the authority to submit this Proposal to the City of Palm Springs for the
above listed individual or company. I certify that I have the authority to bind myself/this company in a
contract should I be successful in my proposal.
PRINTED NAME AND TITLE
SIGNATURE AND DATE
B. The following information relates to the legal contractor listed above, whether an individual or a
company. Place check marks as appropriate:
1. If successful, the contract language should refer to me/my company as:
_An individual;
—A partnership, Partners' names:
—A company;
_A corporation If a corporation, organized in the state of:
_A Local Business (Licensed within the jurisdiction of the Coachella Valley).
Copy of current business license is required to be attached to this document. (include this
only if applicable*)
2. My tax identification number is:
ADDENDA ACKNOWLEDGMENT:
Acknowledgment of Receipt of any Addenda issued by the City for this RFP is required by including the
acknowledgment with your proposal. Failure to acknowledge the Addenda issued may result in your proposal
being deemed non-responsive.
In the space provided below, please acknowledge receipt of each Addenda:
Addendum(s) # is/are hereby acknowledged.
27
ATTACHMENT "B"
*THIS FORM MUST BE COMPLETED AND SUBMITTED WITH YOUR TECHNICALIWORK
PROPOSAL (Envelope#1)*
NON-COLLUSION AFFIDAVIT TO BE EXECUTED BY
PROPOSER AND SUBMITTED WITH PROPOSAL
STATE OF CALIFORNIA) ss
COUNTY OF RIVERSIDE)
The undersigned, being first duly sworn, deposes and says that he or she is
of the party making the
foregoing Proposal. That the Proposal is not made in the interests of, or on the behalf of, any
undisclosed person, partnership, company, association, organization, or corporation; that the Proposal
is genuine and not collusive or sham; that the Proposer has not directly or indirectly induced or solicited
any other Proposer to put in a false or sham Proposal, and has not directly or indirectly colluded,
conspired, connived, or agreed with any Proposer or anyone else to put in a sham Proposal, or that
anyone shall refrain from Proposing; that the Proposer has not in any manner, directly or indirectly,
sought by agreement, communication, or conference with anyone to fix the Proposal price of the
Proposer or any other Proposer, or to fix any overhead, profit, or cost element of the Proposal price, or
of that of any other Proposer, or to secure any advantage against the public body awarding the contract
of anyone interested in the proposed contract; that all statements contained in the Proposal are true;
and, further, that the Proposer has not, directly or indirectly, submitted his or her Proposal price or any
breakdown thereof, or the contents thereof, or divulged information or data relative thereof, or paid, and
will not pay, any fee to any corporation, partnership, company, association, organization, Proposal
depository, or any other member or agent thereof to effectuate a collusive or sham Proposal.
BY:
Title:
Subscribed and sworn to before me this day of 2013.
28
ATTACHMENT "C"
"THIS FORM MUST BE COMPLETED AND SUBMITTED IN A SEPERATELY SEALED
ENVELOPE#2 "Cost Proposal", NOT with Envelope #1, TechnicalfWork Proposal')
REQUEST FOR PROPOSAL (RFP #08-14)
COMPREHENSIVE FEE AND RATE STUDY
COST PROPOSAL
Responding to Request for Proposal No. 08-14 Comprehensive Fee and Rate Study , I/WE will accept
as full payment the following "not-to-exceed" fixed fee including all associated fees (i.e. printing costs,
attendance at meetings, etc.) and be based on achievement of deliverables, which should be outlined
on the consultant's proposed timeline for providing all services to complete the Comprehensive Fee
and Rate Study. The undersigned Proposer proposes and agrees to provide all work and services
necessary to deliver a comprehensive fee and rate study as defined in the Scope of Work herein. }
TOTAL NOT-TO-EXCEED AMOUNT:
(PRICE IN FIGURES)
(PRICE IN WORDS)
In the event that additional services are required beyond the scope of work as defined in this document,
please provide your hourly rate (regular business hours only')
Hourly rate for additional services not covered in RFP document. $
Hourly rates for all Project Team members: $
Administrative Rates for additional services not covered in RFP
document. $
Hourly rate for any sub-consultant used in this Fee Study not covered
in this RFP document. $
Indicate time in calendar days, for completion after receipt of notice to proceed:
DAYS (NTP).
29
Planning, Building, and Engineering Department
General Fund Revenues Versus Expenses
City of Palm Springs
Projected Projected
2006-2007 2007-2008 2008-2009 2009-2010 2010-2011 2011-2012 2012-2013 2013-2014
Planning:
Revenues $1,200,465 $817,613 $327,761 $299,868 $363,378 $279,661 $350.000 $350,000
Expenses $1,376,287 $1,459,347 $1,306,959 $1,087,336 $976,532 $1,026,887 $1,080 181 $1 189 861
Rev as%of Exp 87% 56% 25% 28% 37% 27% 32% 29%
D
Building: n
Revenues $2,933,336 $2,283,961 $1,461,219 $1,182,148 $1,498.765 $1,460,689 $1,825,028 $1,825,028 n
Expenses $2,389,717 $2,502,496 $2,395,504 $1,950,198 $1,628,577 $1,688,842 $1 931i62 $2 045 709 =
3
Rev as%of Exp 123% 91% 61% 61% 92% 86% 95% 89% Z
1
Engineering: o
Revenues $736,907 $359,874 $207,230 $146,072 $241,053 $147,605 $185,000 $185,000
Expenses $1,785,077 $1,895,923 $1,703,172 $1,356,993 $1,467,774 $1,581,405 $1,777,869 $1 944 990
Rev as%of Exp 41% 19% 12% 11% 16% 9% 10% 10%
Combined
Totals:
Revenues $4,870,708 $3,461,448 $1,996,210 $1.828,088 $2,103,196 $1,887,955 $2,360,028 $2,360,028
Expenses $6,551,081 $5,857,766 $5,405,635 $4,394,527 $4,072,883 $4,297,134 $4,789,212 $5,180,560
Rev as%of Exp 88% 59% 37% 37% 52% 44% 49% 46%
2/2 5120 13 Planning Building and Engineering Revenues vs Expenses(06-07 thru 13-14) 4:22 PM
4>
a
P PALM S
p y cti°t+
" REQUEST FOR PROPOSAL (RFP 08-14)
FOR
' tq<<FORNP COMPREHENSIVE FEE AND RATE STUDY
ADDENDUM NO. 1
This Addendum is being issued for the following changes and informational items:
THE FOLLOWING REVISIONS AND/OR ADDITIONS TO THE RFP DOCUMENT AND
INSTRUCTIONS ARE TO BE INCLUDED AND SHALL TAKE PRECEDENCE OVER
ANYTHING CONTRARY ON THE PREVIOUSLY ISSUED SPECIFICATIONS AND
INSTRUCTIONS AND SHALL BE REFERRED TO HEREINAFTER AS PART OF THE
CONTRACT DOCUMENTS.
The City has received the following questions and is hereby providing answers thereto:
Q 1: Can you please send the current list of the Citywide user fees that will be included in the review
of this scope of work?
A 1: The city's current Comprehensive Fee Schedule can be found on the City's website by
going to: www.palmsprincisca.gov, and selecting the link "Government', and go to "City
Clerk" link and there you will find the "comprehensive Fee Schedule' Link under
Publications and Reports for you to down load.
Q 2: Under section 2 of the RFP, it lists the scope of work and tasks to be completed in the project.
The term "overhead Cost Allocation Plan" is used in several bullet points. A Cost Allocation
Plan (CAP) is a separate type of cost analysis from a User Fee and Rate Study. A CAP
analysis identifies the appropriate overhead allocations to the benefiting organizational units
within Citywide operations. A User Fee and Rate study focuses on determining the full cost of
providing user fee services to the public. Is it the City's intent to have us conduct, through this
RFP, a User Fee and Rate Study as well as an Overhead Cost Allocation Plan study, or just the
User Fee and Rate Study?
A 2: Yes, it is the intent of the City for the selected firm and contract to prepare the Overhead
Cost Allocation Plan, as it is the City's intent to adopt a new comprehensive fee schedule
that captures all allowable costs including 1) direct labor and materials; 2) departmental
overhead. and 3) central services overhead such as City Manager, Attorney, Clerk,
Finance, HR, Procurement, IT, etc.
BY ORDER OF THE CITY OF PALM SPRINGS, CALIFORNIA
Leigh Gileno
Procurement Specialist 11
DATE: October 28,2013
ADDENDUM ACKNOWLEDGMENT:
Proposer Firm Name:
Authorized Signature: Date:
Acknowledgment of Receipt of Addendum 1 is required by signing and including the acknowledgment with your submittal, or you
may also acknowledge the Addenda on the bottom of Attachment A. Failure to acknowledge this Addendum may result in your
submittal being deemed non-responsive.
' 31
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Cos t A 11ocation and Master Fee Professional
Services City of Palm Spring5
CONTENTS
CoverLetter......... ................................--...................... ........ ............... ......... ....... ............. ..............2
Section A: Firm,Staff,Qualifications,and References...............................—.........................................................4
Consultant Qualifications and Experience..................-.....................................---.............................................4
Summary of Experience and Project Team........ .............-......................—................. ........................ .......4
References.......--..... ...........................—........ .................. ......--...........—................................................. ........8
Indirect Cost Allocation Plans........--.........................—........................................................................... ........8
UserFee Studies.............. ............................................................... ........................................ ................9
Addendum(s)Itall is/are hereby acknowledged....... .......................... ............. ......... .........
11
Subscribed and sworn to before me this day of, 2013.... ..........--............................... .........--.... ..................M
Section B:Our Understanding of This Project........................ .......................................... .................................13
SectionC:Work Proposal...........................—.—................ ........r............ .................................... ..... ....... ........-15
Annual Update of Cost Allocation Plan:......---................................-......................... ........ ........................16
Section D:Schedule Proposal ......... ...-......---......................--...... ...................... ............ .............-.........23
Schedule............................................................. ..........--... .......................... ..............................................23
AttachmentA:...............................................................--.......................................................... .......................24
Nicolle(Nicky)Cass Lettini,MBA-Owner/Partner.................. ........................-......... ........... .......................24
Daniel B.Edds,MBA,PIVIP-Project Consultant... ................................... ....................... .....................25
V
Capital Accounting Partners, LLC Page 1 of 25
Cost Allocation and Master Fee Professionaf
services City of Palm Springs
COVER LETTER
November 26,2013
City of Palm Springs
Attention:Leigh Gileno
Procurement and Contracting Office
3200 E Tahquitz Canyon Way
Palm Springs,CA 92262
Reference: Comprehensive User Fee Study and Cost Allocation Plan
Capital Accounting Partners,LLC(CAP)is submitting for your consideration our proposal to develop the City of
Palm Springs Indirect cost allocation plan and the preparation of a Comprehensive Fee and Rate Study. CAP
has extensive expertise in both of these services. This proposal is valid for one-hundred twenty(120)days
from November 26, 2013.
Capital Accounting Partners understands that the City of Palm Springs is taking an important step by a review
of its user fees,charges,and cost recovery.We understand that the City desires to be fiscally responsible with
the services it provides while maintaining a high level of customer service.To accomplish these important
goals it desires to have a thorough and professional review of its user fees and indirect cost.During this time
of economic uncertainty this is an important goal.
Our designed processes are structured to produce your cost allocation plan and user fee study—as fast as the
City can provide data and access to those we need to interview.Our process for user fee studies calls for us to
collect 75%-80%of our data onsite,working directly with staff.This process allows us to complete our costing
models faster,with greater accuracy of results,and spend more time consulting over the policy and
operational impacts.
Our goal is to put senior level consultants on these projects. Nicolle Cass Lettini,MBA(Kicky),is an
experienced expert who understands the value and nuances of how accurate cost allocation plans impact a
city's revenue sources and the proper allocation of costs for each individual department.Nicky not only has
extensive experience working with cities preparing cost plans,she has also completed full cost plans,OMB-87
cost allocation plans and rate studies for a number of counties and special districts. In all, Nidry has prepared
over 300 cost plans in her twelve(12)years in the business with Maximus,Public Resource Management
Group(now MGT)and now with her own company.
Dan Edds will be lead consultant for the user fee. He brings 15 years of experience as a public sector
consultant.Dan has direct experience with many Cities in the Los Angeles area. He is recognized for his
expertise in user fee study.The GFOA published two of his articles in the national publication-Government
Finance Review. In addition,the GFOA has tasked him to teach some of their national and regional trainings on
performance management.
This combination of experience and skills gives the CAP consultants the ability to provide clients accurate,
complete,and on-time cost plans and user fees studies,using custom designed software which was developed
based on their knowledge. All of this know-how is provided by a team that prides itself in offering exceptional
customer service.
Capital Accounting Partners,LLC Page 2 of 25 I
r � '
selvice5 City of Palm Springs
We are very proud of our work product. Our commitment is to bring to the City of Palm Springs the best
methodology and the best trained and experienced staff possible.Additional factors to take into consideration
during your evaluation of the proposal are:
Small Business Certification (#0046082) — Capital Accounting Partners,LLC has received
certification from the Office of Small Business and DVBE Services,Procurement Division,Department of
General Services,State of California.
Capital Accounting Partners,LLC is a majority woman-owned business.
As you review the enclosed proposal,you will see that CAP has the experience,skills,talent,and capacity. By
relying on CAP s expertise to meet your requirements,your staff can focus on other important responsibilities
and tasks.In addition,CAP is available to present any necessary reports or studies to elected officials and/or
the general public if necessary.
Thank you for the opportunity to submit this proposal.We look forward to working with you.
Sincerely,
Nicolie Cass Lettini
Capital Accounting Partners,LLC
3570 Buena Vista Drive
Sacramento,CA 95864
,t
Capital Accounting Partners,LLC Page 3 of 25
s�
SECTION A: FIRM, STAFF, QUALIFICATIONS, AND
REFERENCES
Capital Accounting Partners,LLC(CAP)
Legal name of firm
Address
Legal form of company limited Liabih Com a
Telephone
Fax 309.404.0697
Years in business
Full-time personnel Nicofie'Cass Lettini,MBA
Dan Edds,MBA, PMP
CONSULTANT QUALIFICATIONS AND EXPERIENCE
SUMMARY OF EXPERIENCE AND PROJECT TEAM
Capital Accounting Partners is exclusively focused on providing cost of service studies for municipal
government.We do this through the preparation of indirect cost allocation plans and user fee studies.This
focus provides a level of experience that we feel is unmatched in our industry.For example,out principle
consultant for indirect cost allocation plans,(Nicky Lettini)has personally prepared over 300 of these plans
and is one of the few cost plan consultants that has actually negotiated directly with the Federal Government
in preparing Indirect cost rates.For userfee studies,our principle is Dan Edds and he has personally prepared
nearly 70 such plans. In addition,the Government Finance Office Association(GFOA)has published his articles
on user fees and performance management in their national publication—Government Finance Review.
Summary of Qualifications for Nicky Lettini, MBA
Education Bachelor of Science in Managerial Economics from
University of California,Davis and has her MBA in
Accounting from California State University,Sacramento.
Training and Certifications:
Capital Accounting Partners,LLC Page 4 of 25
!'
Cost Allocation and Muster Fee Professional
Set vices City of Pairn Springs
Summary of Experience for Nicky Lettini, MBA
Nicolie Cass Lettini,MBA(Nicky),is an experienced expert who understands the value and nuances of how
accurate cost allocation plans impact a city's revenue sources and the proper allocation of costs for each
individual department.Nicky has solely worked on cost plans for her whole career. In all, Nicky has prepared
over 300 cost plans in her twelve(12)years in the business with Maximus,Public Resource Management
Group(now MGT)and now with her own company
Summary of Qualifications for Daniel B. Edds, MBA, PMP
Education Master Degree in Business Administration, International
Business,Albers School of Business and Economics,
Seattle University
Certifications:
Strategic Plannin
Lean Practitioner
Other 841dri t$uality Criteria Examiner
Publications and Training Provided
Government Finance Review(GFOA)articles on user fees
and performance management in the ublicsector
Government Finance Officers Association:
Performance managen"t(both national and regional
trainings)
Summary of Experience for Daniel B. Edds, MBA, PMP
Dan Edds brings more than fifteen years of public sector consulting. His consulting work has focused on
providing high end cost analysis as welt as operations improvement work.Recently his operations
improvement work has focused on the application of lean principles and Balanced Scorecard work.
A partial list of user fee projects that Dan Edds has personally led include:
Capital Accounting Partners,LLC Page 5 of 25
i
Setvice,-City Of Palm Sprillys
(alifoinia Munidpal Agencies Building Planning Lngineering FircPrPv Police Recreation
City of aeverly Hills
City of Fremont
City of Dublin
Town of Atherton
City of Pasadena
City of Napa
City of Ontario
City of Alameda # #
City of Vacaville
City of Dana Polnt - d rt
City of Tulare
City of Los Gatos
City of Paso Robles -'
City of Martinez A f 'R
City of Lakeport
City of Pomona # #
City of Woodland
City of Herculesk
City of San Luis Obispo
City of Lathrop
City of Moreno Valley
City of Ind Ian Wells
City of Rancho Cucamonga
City of Mountain View A,
City of Del Mar
City of Campbell # `A
Capital Accounting Partners,LLC Page 6 of 25
Cost Allocation and Master fee Prole ssionnl
\01 Services—City of Paim Springs
California Municipal Agencies Building Planning Engineering hire Prev Police Recreation
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Oregon Municipal Agencies Pudding Planning Engineering Fire Prev Police Recreation
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ralion and Master Fee Professional
Services -City of Patin Springs
REFERENCES
CAP suggests you contact our previous clients to discuss our work.CAP is proud of our reputation within the
industry and would like you to hear it for yourself.
"(Nicky) is by for, one of the best consultants i have ever worked with. Nicky is
extremely professional, thorough, knowledgeable and unbelievably customer service
focused."
A. Ng, Financial Management 8 Business Process Manager,
Golden Gate Bridge, Highway and Transportation District
"...the excellent support and service you provided...helped to increase our productivity
and responsiveness to any and all questions arising from the cost plan process. " D.
Sellers,Auditor-Controller, County of Yuba
"It has always been a pleasure to work with Nicky due to her can-do attitude, attention
to detail, unparalleled level of service,and most importantly, her knowledge of Cost
Allocation Plans and OMB A-87 requirements."
t
B. Torrez,Finance Director,City of Burbank
"...with(her] expertise in Cost Plan preparation, [Kicky has] brought accuracy,
consistency and accountability to the preparation of our Cost Plan..."
R. Adler,Assistant Controller, County of Son Mateo
INDIRECT COST ALLOCATION PLANS
Capital Accounting Partners(CAP)prepares numerous indirect cost allocation plans every year.Our Principal,
Nicky Cass Lettini has prepared nearly 300 indirect cost allocation plans in her career.Many of our clients
contract with CAP annually for preparation of their OMB compliant and full Cost indirect cost allocation plans.
The following is a list of agencies that contact with CAP for annual updates to their cost plans.
The following is a partial list of her clients that are available for referral.
Capital Accounting Partners, LLC Page 8 of 25
Cost Allocation and Master Fee Professional
Services—City of Palm Springs
The City of Burbank, Full Cost County of Contra Costa, OMB
Allocation Plan A-87 Cost Allocation and Full-
Jennifer Becker, Deputy Financial Cost Allocation Plans
Services Director Marie Rulloda, Assistant Auditor-
275 East Olive Avenue, PO Box 6459 Controller
Burbank, CA 91510 625 Court Street, Room 103
818.238.5507 Martinez, CA 94553
' 925.646-2186
City of Burbank, Golden Gate Bridge, Highway &
' Cost of Service Analysis for Transportation District, OMB A-
Information Technology 87 Cost Allocation Plan and
_ Penny Forbes 61 Indirect Cost Rate Plans
275 East Olive Avenue, PO Box 6459 Alice Ng, Financial Management and Business
Burbank, CA 91510 Process Analyst
818.238.5087 Toll Plaza Administration Building, Golden
' Gate Bridge
PO Box 9000, Presidio Station
San Francisco, CA 94129
415.923.2339
City of Glendale, Full Cost Allocation County of Riverside, OMB A-87
Plan Cost Allocation Plan
Bob Elliot, Finance Director Tess Soriano, Chief Accountant
141 North Glendale Avenue 4080 Lemon Street, 3'd Floor
Glendale, CA 91206 Riverside, CA 92502
' 818.548.2085 951.955.8138
City of Glendale, Information County of San Benito, OMB A-87
Services Department Cost Rates Cost Allocation Plan
' Ed Fraga, Information Services Larry Chapin, Assistant Auditor
Director 0 481 4t^ Street, 2nd Floor
141 North Glendale Avenue Hollister, CA 95023
Glendale, CA 91206 831.636.4090
818.548.3957
' City of Stockton, Full Cost & OMB A-87 Cost City of Santa Barbara, Full
Allocation Plan and ICRP's Cost & OMB A-87 Cost
Ryan Pham, Finance Allocation Plan
Stockton, CA Michael Pease
209.937.8215 IN CITYOF 735 Anacapa St
STOCKTON Santa Barbara, CA 93101
805.564.5337
USER FEE STUDIES
' Dan Edds will be our primary consultant on this project. He has prepared numerous similar studies.These
California Cities can be contacted for reference purposes. (Some of these projects were completed while Dan
was with his previous firm.)
Capital Accounting Partners, LLC Page 9 of 25
i
Cost Allocation and Master Fee Professional
Services—City of Palm Springs
1 . i
City of Dublin Town of Atherton
The city engaged CAP to prepare an The City engaged Capital
indirect cost allocation plan and , Accounting Partners to prepare an
' comprehensive user fee study. In OF DUBUN. indirect cost allocation plan and
Nicky Cass Lettini is preparing the conduct a comprehensive user fee study.This
indirect cost allocation plan and Dan Edds is preparing the project is nearing completion.
' user fee study.Areas of study include planning, building, Robert Barron
development engineering, police, fire prevention and Finance Director
business license costs. (650)752-0552
This project is nearing completion.
Or Laura Jammal
Administrative Technician—Administrative Services
' City of Dublin (925)556-4574
laumjammal du lin v
City of Indian Wells City of Vernon
The City engaged Dan Edds, (while with another firm)to +R�°`ve"ti The city engaged CAP to
' conduct several user fee and business license studies. ° prepare an indirect cost
allocation plan and
Mr. Kevin McCarthy ��% ,,,,�. comprehensive user fee study.
Finance Director Nicky Cass Lettini is preparing
(760)346-2489 the indirect cost allocation plan and Dan Edds is
kmccarthy@cityofindianwells.org preparing the user fee study.Areas of study
include planning, building, development
engineering, police,fire prevention and
' environmental controls.
Masami Higa
Assistant Finance Director
' (323)583-8811 x254
City of Beverly Hills City of Campbell
' The city engaged CAP to prepare an indirect Mr. Edds and an
cost allocation plan and comprehensive associate prepared
user fee study. Nicky Cass Lettini prepared both an indirect
' the indirect cost allocation plan and Dan cost allocation plan and a comprehensive user
Edds prepared the user fee study.Areas of fee study. Mr. Edds prepared the user fee study.
study include planning, building, Areas of the user fee study included planning,
development engineering, police, fire prevention, and building, development engineering, police, and
recreation. business license.
Mr. Don Harrison Mr. Mike Wright
' Budget and Revenue Officer Budget Manager
(310) 285-2445 City of Campbell
(408)866-2112
mikewt@citvofcamobell.com
' Capital Accounting Partners, LLC Page 10 of 25
Services—City of Palm Springs
o
Cost Allocation and Master Fee Professional
ATTACHMENT"A"
*THIS FORM MUST BE COMPLETED AND SUBMITTED WITH YOUR TECHNICALIWORK
PROPOSAL(Envelope#1)`
REQUESTS FOR PROPOSALS (RFP)#08-14
COMPREHENSIVE FEE AND RATE STUDY
SIGNATURE AUTHORIZATION
NAME OF COMPANY(PROPOSER):
_Capital Accounting Partners
BUSINESS ADDRESS:T3570 Buena Vista Driver, Sacramento, CA 95864
TELEPHONE:(916)670-0001_CELL PHONE(916) 670-0001
FAX
CONTACT PERSON_Nicolie Lettini_ EMAIL ADDRESS—same as above
A. I hereby certify that I have the authority to submit this Proposal to the City of Palm Springs for
the above listed individual or company. I certify that I have the authority to bind myself/this company
in a contract should I be successful in my proposal.
_Nicolie Lettini, MBA. Owner/Partner
PRINTED NAME AND TITLE
SITIURE AND
B. The fallowing information relates to the legal contractor listed above, whether an individual or a
company. Place check marks as appropriate:
1. If successful, the contract language should refer to me/my company as:
—An individual;
A partnership, Partners' names:
...x_A company;
—A corporation If a corporation, organized in the state of:
_A Local Business (Licensed within the jurisdiction of the Coachella Valley).
Copy of current business license is required to be attached to this document. (include this only if
applicable")
2. My tax identification number is:
ADDENDA ACKNOWLEDGMENT:
Acknowledgment of Receipt of any Addenda issued by the City for this RFP is required by including
the acknowledgment with your proposal. Failure to acknowledge the Addenda issued may result in
your proposal being deemed non-responsive.
In the space provided below, please acknowledge receipt of each Addenda:
ADDENDUM(S)#ALL 1 IS/ARE HEREBY ACKNOWLEDGED.
Capital Accounting Partners, LLC Page 11 of 25
Services — City Cost Allocation and Master Fee Professional
ATTACHMENT "B"
' *THIS FORM MUST BE COMPLETED AND SUBMITTED WITH YOUR TECHNICALIWORK
PROPOSAL (Envelope#1)*
NON-COLLUSION AFFIDAVIT TO BE EXECUTED BY
' PROPOSER AND SUBMITTED WITH PROPOSAL
STATE OF CALIFORNIA) ss
COUNTY OF RIVERSIDE)
' The undersigned, being first duly sworn, deposes and says that he or she is
of , the party making the foregoing Proposal. That the Proposal is not made in the interests of, or on
the behalf of, any undisclosed person, partnership, company, association, organization, or
corporation; that the Proposal is genuine and not collusive or sham; that the Proposer has not directly
or indirectly induced or solicited any other Proposer to put in a false or sham Proposal, and has not
directly or indirectly colluded, conspired, connived, or agreed with any Proposer or anyone else to put
in a sham Proposal, or that anyone shall refrain from Proposing; that the Proposer has not in any
manner, directly or indirectly, sought by agreement, communication, or conference with anyone to fix
' the Proposal price of the Proposer or any other Proposer, or to fix any overhead, profit, or cost
element of the Proposal price, or of that of any other Proposer, or to secure any advantage against
the public body awarding the contract of anyone interested in the proposed contract; that all
statements contained in the Proposal are true; and, further, that the Proposer has not, directly or
' indirectly, submitted his or her Proposal price or any breakdown thereof, or the contents thereof, or
divulged information or data relative thereof, or paid, and will not pay, any fee to any corporation,
partnership, company, association, organization, Proposal depository, or any other member or agent
thereof to effectuate a collusive or sham Proposal.
By: Daniel B Edds
' Title: Partner
SUBSCRIBED AND SWORN TO BEFORE ME THIS DAY OF,2013
Subscribed and sworn to before me ARD
Ths9wti. cl 3a t 60D $ GV ,
Y of_ tee
Notary I lic In arld for the 5t�to of
' residing at
`SATE OF
Capital Accounting Partners, LLC Page 12 of 25
1
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.�
SECTION B: OUR UNDERSTANDING OF THIS PROJECT
From our reading of the RFP,we understand that the City of Palm Springs is taking an important step in its
revenue management program.This step is to calculate the full cost of fee generating services. Furthermore,
the City is looking for and independent analysis that includes both the preparation of an indirect cost
allocation plan as well a user fee study.The objective of the project is to calculate the full cost of services but
also be in compliance with all State requirements concerning the pricing of user fees my local government
agencies.
Critical Issues to Consider
Based on our experience of preparing over 300 cost allocation plans and nearly 70 user fee studies,we have
found that there are three critical issues our clients are looking for.
Experience Beyond Calculating a Number
♦ Nicky has specialized as a Cost Allocation Consultant her whole career.in all,Nicky has prepared
over 300 cost plans in her career.She not only has extensive experience working with cities
preparing cost plans,she has also completed full cost plans,OMB-87 cost allocation plans and rate
studies for a number of counties and special districts.
♦ Dan brings substantial user fee study experience to the Palm Springs.He has prepared over 60
user fee studies and brings the credentials of a certified Project Manager Professional(PMP).This
means he is formally trained in managing projects that are completed on time and on budget. In
addition,he brings the perspective of a Baldrige Quality Examiner,a certified facilitator,and a
certified LEAN practitioner.We are proud of the fact that no other firm can match these
qualifications.
Approach that maximizes value minimal staff disruption
Our data collection methods require us to collect 70%-8096 of the data while on-site for the user fee.This
approach results in more accurate data,faster project completion times,and less impact on staff.Many firms
will produce worksheets and then ask staff to complete them.We have found that this approach results in
costly errors,excessive staff time,slower response to project completion,and lower quality data. In addition,
this transfers the responsibility of keeping project timelines fully onto the i
shoulders of City staff.
Confidence from diligent quality controls
Within our process we have several tests for quality data.We do not move
forward until each of our tests indicates we have quality results.We BY COLLECTING 7ar.-80%OFTHE DATA
utilized both qualitative and quantitative tests for accuracy.A qualitative WHILE WORKING WITH STAFF.WE
test might be a review by the Community Development Director looking SECURE BETTER RESULTS.FASTER.AND
WITH LESS STAFF DISRUPTION.
for results that don't"feel"right.Our quantitative tests include:
Capital Accounting Partners,LLC Page 13 of 25
45
♦ Measuring total time assigned vs.total time available;
♦ Measuring our projection of current revenue against actual revenue;and
♦ Measuring our projection of revenue at full cost against actual full cost,
$s
Capital Accounting Partners,LLC Page 14 of 25
46
ram,
Cost Allocation and Moster Fee Projes5ion
Set vices City of Palm Sprin
SECTION C: WORK PROPOSAL
Preparing the Indirect Cost Allocation Plan
The methodology in preparing an indirect cost allocation plan is fairly universal.With the standards
established by the Federal Office of Management and Budget the method becomes widespread.Where CAP
adds value is in the process and experience that Nicky will bring to the City of Palm Springs.She is one of a
select group of cost plan preparers who have actually negotiated directly with Federal or State Auditors in the
setting of overhead rates and cost allocation plans.In addition,she has experience of preparing indirect cost
allocation plans at a state level,which are the most complex plans in existence.In addition,we utilize a
database program to build the allocation model.This tool is significantly superior over a simple spreadsheet
model.Spreadsheets cannot handle the complex"double step down"that is required by OMB A-87.See
Attachment C for Sample Cost Plan Sheets.
Scope of Services Required — Overhead Cost Allocation Plan:
Below are the basic steps the consultant will complete to meet requirements to prepare the City of Palm
Springs s Full Cost Allocation Plan and OMB A-87 Cost Allocation Plan which will be done in conjunction with
each other:
Task 1: Project initiation
Preliminary phone conference to review requirements,current allocation plan methods,means for consultant
to obtain copies of current City documentation of cost allocation plan,and to schedule initial meeting with
staff.
Task 2: Interview various departmental staff
Schedule and hold individual interviews with the necessary staff to discuss information needed by the
consultant to complete the cost plan.These meetings are held to get a thorough understanding of the
department's major functions and how CAP can best allocate the costs to all departments that receive their
services. CAP will work with the City to establish the goals for overhead cost allocation ensuring that the
development of the plan will be accurate,fair,and defensible.
Task 3: Data collection and preparation of draft plan
Collection of all necessary information from the client to prepare the draft cost allocation plans,such as
revenue and expenditure reports,functional information and statistical data.
Task 4: Prepare cost allocation plans
Develop a draft of the cost allocation plans.
Task 5: Review draft plan with staff and make changes as required
Work with client to go over draft and explain what the draft means.Talk about questions and come up with
any necessary changes.
Capital Accounting Partners,LLC Page 15 of 25
se,vice, - 01'Y of Pahn Springs
,V61
Task 6: Review plan with staff for clarity and understanding
Meet with client to present and discuss the plans so there is a clear understanding by the client of the content
and assurance of accuracy.
Task 7: Develop allocation measures and statistics
Work with city in developing service provisions,cost categories,and allocation criteria for future programs.
Task 8: Meet with impacted staff for questions and clarity
Meet with any additional staff from other departments to answer questions and go over the cost plan to
ensure the most accurate plan will be prepared.
Task 9: Finalize cost plans
Finalize updated cost allocation plan to incorporate changes from departments during review process.
Task 10: Prepare and present Cost Allocation Plans to Select City Staff as required
Participate in presentation to City Finance staff and other select City Staff.
ANNUAL UPDATE OF COST ALLOCATION PLAN:
We understand the City is looking for a cost plan system that it can maintain the cost plan in house.We are
pleased to report that we are utilizing a web based cost plan system developed by CostTree Systems and our
team that can be updated by the City in subsequent years.
The initial year of your plan's preparation will be done by us which will build the structure into the
system. Beyond the first year,the City will have access to update their plan with CAP by CostTree which is a
web based application that can be accessed through any web browser for an annual licensing fee which is a
fraction of the consulting cost.
This system is a highly effective tool for us and our clients.One of the advantages of a web based solution is
that we can provide support and assistance to the City as the cost plan grows and matures with City
government.Other excel based systems do not allow for change and growth easily,while this web based
system grows and changes as your city does.
We will be happy to introduce the solution to the City and train staff on the maintenance and updating of your
cost plan. One additional benefit is that the management team of Capital Accounting Partners is also the
management team of CostTree Systems and will commit to the successful implementation for the City.
The many improvements that you will experience with the new system include:
♦ Spreadsheet upload functionality—Improves the efficiency of loading supporting data into the System
and populating the current Allocations,Budgets,Expenditures,and Departments.And takes user error
out of the equation.
♦ Document Repository for Audit Support—CAP by CostTree includes a document storage area for you
to load your plan's support for easy review of your plan and its'support.
Capital Accounting Partners,LLC Page 16 of 25
48
Cost Allocation of?Of Master Fee ProteSSional
ram,
,� Services —City of Palo, spfinqs
♦ User Role Enhancement—The system will allow for unique user roles that enable certain users to
access and modify data based on the appropriate user functions. i.e.the Reviewer/Auditor can only J
review supporting documentation and data without the ability to change and of the inputs. There are
three user roles within the system,Account Administrator(full access),Regular User(data input),and
Reviewer/Auditor(No ability to make changes)
♦ Smart Copy and Paste—Allows users the ability to accurately copy and paste values while maintaining
their associated department or line item no matter how you have sorted or arranged your list of
departments.
♦ Error Checking—System has the functionality to run an error-check that verifies that you haven't
made any significant mechanical errors in the plan.
♦ Report formatting and Output—You can choose to export your final plan to either POF or Excel
depending on the preference of your end user.
♦ Backup/Restore—At any given point,you can create a backup file that can be restored at any given
time. The Backup/Restore functionality not only saves the data points in your plan,but also creates a
backup of all supporting documentation that has been uploaded to the document repository.
CAP by CostTree is a revolutionary tool that will improve the City's efficiency and give you the ability to own
your plan and it's preparation. In addition to a great product,the City will also maintain a leadership team
that is committed to their clients success in the future.
Preparing the Comprehensive User Fee Study
OUTLINE OF SCOPE
Upon reviewing the CitYs master fee schedule we propose assessing user fees for the following:
A. Building&Safety permits;
B. Planning applications
C. Development engineering;
D. Parks and Recreation;
E. Police fees,
F. Fire Fees;and
G. Hourly rates where applicable.
CALCULATING THE COST OF USER FEES—DESIGNED PROCESSES
our methodology for user fee studies relies on providing detailed analysis at an operational level.This
provides staff and the City council the confidence they need to set reasonable fees and policies where
required.We do this by developing driver based costing models.Some methodologies rely on a simple
allocation of cost to general fee categories.Our approach emphasizes a detailed analysis of what drives the
cost of each fee.Graphically,the methodology can be illustrated in the following manner.
Capital Accounting Partners, LLC Page 17 of 25
vy
-�
Cost APOCUtiOn and Muster Fee P,ofessionut
Services - City of Pahn Springs
♦ User Role Enhancement—The system will allow for unique user roles that enable certain users to
access and modify data based on the appropriate user functions. i.e.the Reviewer/Auditor can only
review supporting documentation and data without the ability to change and of the inputs. There are
three user roles within the system,Account Administrator(fuli access),Regular User(data input),and
Reviewer/Auditor(No ability to make changes)
♦ Smart Copy and Paste—Allows users the ability to accurately copy and paste values while maintaining
their associated department or line item no matter how you have sorted or arranged your list of
departments.
♦ Error Checking—System has the functionality to run an error-check that verifies that you haven't
made any significant mechanical errors in the plan.
♦ Report formatting and Output—You can choose to export your final plan to either PDF or Excel
depending on the preference of your end user.
♦ Backup/Restore—At any given point,you can create a backup file that can be restored at any given
time. The Backup/Restore functionality not only saves the data points in your plan, but also creates a
backup of all supporting documentation that has been uploaded to the document repository.
CAP by CostTree is a revolutionary tool that will improve the City's efficiency and give you the ability to own
your plan and it's preparation. In addition to a great product,the City will also maintain a leadership team
that is committed to their client's success in the future.
Preparing the Comprehensive User Fee Study
OUTLINE OF SCOPE
Upon reviewing the City's master fee schedule we propose assessing user fees for the following:
A. Building&Safety permits;
a. Planning appilcations
C. Development engineering;
D. Parks and Recreation;
E. Police fees;
F. Fire Fees;and
G. Hourly rates where applicable.
CALCULATING THE COST OF USER FEES— DESIGNED PROCESSES
Our methodology for user fee studies relies on providing detailed analysis at an operational level.This
provides staff and the City council the confidence they need to set reasonable fees and policies where
required.We do this by developing driver based costing models.Some methodologies rely on a simple
allocation of cost to general fee categories.Our approach emphasizes a detailed analysis of what drives the
cost of each fee.Graphically,the methodology can be illustrated in the following manner.
Capital Accounting Partners,LLC Page 17 of 25
50
Cost Allocation and Master Fee Professional
Services—City of Polm Springs
' Contributing staff Process Steps �e —
Planning Tech Application Intake I
'
Initial Application Review
Planner I Site Plan Review
' Review Application for
Planner II Review
ions of Approval
' Plannng Director
Prepare Report for Planning
Commission
Step One: Calculate the Full Cost of Services
Calculating the full cost of services begins with reviewing the budgeted expense and revenue data.This gives
us a high level overview of costs and revenues and allows us the ability to see the "bigger" picture. By"full
cost' we mean the total cost at a division or departmental level. We also compare the full cost with the total
revenue so that leadership can understand the relationships between direct and indirect costs.
' Step Two: Calculate the Cost of Individual Fee Items
Staff interviews are done on-site in a series of focus group style workshops. Each workshop series can span 2-3
' days depending up the size of the community, number of staff, number of fees, and number of work units that
are involved.These workshops are designed specifically to maximize staff input with the least disruption to
their day to day work.
WORKSHOP SERIES#1
' This first workshop series will provide two rounds of interviews with each work unit that is involved. Each
interview will last 2-3 hours. For example, during this first workshop we will want to meet with Planning staff
for 2-3 hours on day one and then again for approximately 2 hours on day two or three.This gives us ample
' time to understand operations, identify costing issues that will be important to understand, and time to
review and confirm our data.
This first set of interviews will have five objectives:
1. Identify all practices or policies that drive cost recovery.
2. Identify core business processes that drive the cost of services.
' These are both direct project activities as well as those
activities that support the department or division.
3. Identify components of cost such as salaries, benefits, non- _ - �1�
personnel costs, contractor costs,etc. BY COLLECTING 70%-80%OF THE DATA WHILEWORKING WITH STAFF,WE SECURE BETTER
RESULTS,FASTER,AND WITH LESS STAFF
4. Calculate annual productive hours available.This is done by DISRUPTION,
subtracting vacation, sick, personal leave, holiday,training,
meeting,and break time from the standard 2080 hour hours.
S. Begin and complete gathering time estimate data with staff.
Capital Accounting Partners, LLC Page 18 of 25
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Coil Allocation and Waster Fee Professional
WORKSHOP SERIES#2
The second workshop will again be comprised of two separate interviews with each work unit that is
represented in the study.As in workshop#1 we will schedule the initial interview followed by a second one on
subsequent day(s).However,these interviews are substantially shorter and often the second interview session
Is not necessary.
There are four objectives to this second workshop:
1. Review and update time estimates.
ausE TO BE ctEafe:
2. Assign time to support activities such as customer service, we do not fiand your staff a series
long range planning,management&administration,etc. of'cxce@ spreadsheets and ask
chew to con,*te them.This
3. Review staff salaries,budgeted expenses,FrE method res❑lts In Longer project
assignments,etc. firnes,More staff disruption,
4. Review preliminary results for any obvious missing data. greater probaesta.ias for errors,
waste,and suspect data
Step Three: Quality Check and Formal Review
Our quality checks are based on two broad criteria "
Qualitative checks:
• 0o the results make sense to staff and departmental leadership? '
• Can staff explain to a customer or citizen how we arrived at the numbers we have calculated?
Quantitative checks:
• Quantitative checks assure compliance with state law requiring that user fees be aligned with the cost
to actually provide the service.
Quantitative Checks Acceptable Margin of
Error
1.Budgeted expenses entering the cost.models must equal total expenses
accounted for in the costing model.
2.Projected revenue from fees must closely match actual revenue from +or-5%10%
fees.
3.Available staff time must be fully accounted for In the costing models.
4.Total revenues from fees and contributions from the general fund or 0%
other sources must match total expenses.
Step Four: Provide Comparison Study
We offer to the City of Palm Springs a two step approach to comparative surveys.In step one we will identify
5-10 specific fees for each division or department reviewed. In step two we will also identify 2-4 development
projects that are routine to the City.This approach will provide the City with a clear picture of where it stands
Capital Accounting Partners,LLC t Page 19 of 25
JG
I . ;
I I • Professional
1 Services — City I Palm Springs
1, I
t in comparison with surrounding jurisdictions and their fees. A simple fee by fee comparison does not provide
adequate comparative analysis as many cities may have identical fee descriptions but incorporate very
different services into each. By adding the additional step of pricing specific development projects the City will
' have a better basis for comparison.
750 SF Room Addition. All Fees Combined
$1,400
' $1,200
$1,000
' $800
$600
' $400
' $200
$-
City A City B City C Client City City E City F
Step Five: Prepare Report
' After all data has been identified, costs calculated, and final reviews by staff have been completed, we will
then prepare a full and comprehensive report. We take great pride in our reports and our clients appreciate
' the full and complete nature of this document.The City will find in its report a complete discussion of direct
costs, indirect costs, comparisons of revenue at full cost and current costs, and recommendations for policy
development that will guide the City in its fee setting activities.
At a minimum our reports will provide a comprehensive:
✓ Analysis of the direct cost of services;
' ✓ Analysis of the indirect activity cost that supports the direct processing of applications and permits;
✓ Analysis of cost from City overhead;
' ✓ Analysis of the per unit cost of each service;
✓ Analysis of the current cost recovery rate for each service;
✓ Analysis of cost and recovery by fee category such as planning fees approved administratively vs.
planning fees approved by the planning commission;
✓ Analysis of cost recovery given a targeted cost recovery rate;
' ✓ Annual summary of revenue recovery from current fee levels;
✓ Annual summary of revenue recovery at full cost recovery;
' Capital Accounting Partners, LLC Page 20 of 25
Cost Allocation and Master Fee Projessiona7
Services—City of Palm Springs
✓ Annual summary of revenue sources such as fees vs. general fund;
' ✓ Annual summary of sources of cost such as City overhead, department overhead, and direct activity
costs;
' ✓ Annual summary of cost by core business processes; and
✓ Analysis of fee comparisons against five benchmark cities.
' ✓ Recommendations regarding cost recovery of user fees
The following graphics illustrate the quality of our reports and the level of analysis that we provide.
' Cost and Revenue Comparisons
Comparison of Total Costs Vs.Total Revenues
Ory OH Costs,
$75,000
DpItOK011%
' Comparing the
components of cost
against revenues provide
the "big" picture view of
cost of services.
Revenue
BY COMPARING TOTAL COSTAND TOTAL REVENUES BY INDIVIDUAL COMPONENTS THE CITY COUNCIL CAN HAVE A FAST VISUAL ANALYSIS FOR SETTING
COST RECOVERY POLICY.
i
1
' Capital Accounting Partners, LLC Page 21 of 25
1Lei
1 Cost Allocation and Master Fee Professional
Understanding cross
departmL
ch as
1 engineerion,
and fire pComponents of Cost
le st
1 Demolition of Historic Landmark 0 0 0 $0W$6, (9,509
Demolition of Historic Landmark 0 0 0Discretionary Use 19,670 5,873 391 $25,934 Discretionary Use 7,093 2,013 137 $9,242
DWP Overlay District Development 11,569 3,020IA41 $15,629
1 DWP Overlay District Development 0 0 0 $0 $0 0
Establishment of Historic Landmark
Inventory 0 0 0 $0 $D 0
Establishment of Historic Landmark
1 Inventory0 0 0 $0 $0 0
Annual Totals
$1,086,009 $483,383 1 ($602,126)
1
OUR REPORTS CAN PROVIDE THE CITY WITH A VARIETY OF ANALYTICAL DATA.THIS GRAPHIC SHOWS THE ANNUAL FULL COST,THE FULL COST BY
1 THE SOURCES OF COSTS,THE CURRENT ANNUAL REVENUES WITH A COMPARISON OF ANNUAL COST AND REVENUES.IN ADDITION,WE CAN
SHOW THE CURRENT COST RECOVERY RATE AND THE REQUIRED INCREASE TO BRING THE FEES UP TO FULL COST RECOVERY ON A CATEGORY
BASIS.
1 Our reports can provide the City of Palm Springs with a variety of analytical data.This graphic shows the
annual full cost,the full cost by the sources of costs,the current annual revenues with a comparison of annual
cost and revenues. In addition, we can show the current cost recovery rate and the required increase to bring
1 the fees up to full cost recovery on a category basis.
Step Six: Council Presentations
1 The RFP does not reference a presentation to the City of Palm Springs City Council. However, it would be
unusual to do a cost of service study and not have a presentation to the Council. For this reason,we have
included on within our pricing structure.
1 Prior to the Council presentation and/or final stakeholder presentation, we will make all necessary
adjustments to the draft report.This report, after review by staff, will form the basis of the Council
1 presentation.We will work with staff to determine what type of presentation will be best suited for the City.
Some councils want full and comprehensive presentations with full descriptions of methodologies, results,
policy considerations, etc.Others want a briefer presentation that will provide a summary of costs and results.
1 Whatever the City decides we will be available to meet the needs and provide a presentation that will work for
the City of Palm Springs. However,we do find that a fuller presentation during study sessions provides the
best opportunity for the Council to have a full understanding of the project.
1 Capital Accounting Partners, LLC Page 22 of 25
1
1 e• Cost Allocation and Ma5 ter Fee Professional
1 of i
1 SECTION D: SCHEDULE PROPOSAL
SCHEDULE
1 We realize that the RFP schedule calls for the award of the project to be on September 9. We have set the
project start date on October I".This date is set arbitrarily assuming that factors beyond anyone's control
may slow progress toward the initiation of the project.
1Schedule By TasksWkl Wk2 Wk3 Wk4 Wk1 Wk2 Wk Wk4 Wk Wk Wk Wk Wk1 Wk2 Wk3 Wk4
Full Cost AfloLatio.Plan
Task 1:Project initiation
1 Task2:Imerviewvarious departmental staff I,
Task 3:Data collection and preparation of draft plan
1 Task4:Prepare full cost allocation plan
Tasks:Review draft plan with staff and make changes as required
Task 6:Review plan with staff for clarity and understanding
1 Task 7:Develop allocation measures and statistics
Task 8:Meet with impacted staff for questions and clarity
1 Task 9:Finalize full cost plan
Task 10:Prepare and present full Cost Allocation Plan to Select City
Staff as required
ComPnehensive User Fee Study
1 Step One:Calculate the Full Cost of Services
Step Two:Calculate the Cost of Individual Fee Items
1 Step Three:Quality Check and Formal Review
Step Four:Provide Comparison Study
1 Step Five:Prepare Report
1 Step six:Council and Stakeholder Presentations
1
1
1
1 Capital Accounting Partners, LLC Page 23 of 25
1
r .r
Cost Allocation and Alas ter I ee Professional
splvifp� City of Cuba Springs
ATTACHMENT A:
NICOLIE (NICKY( CASs LETTMI, MBA- OWNER/PARTNER
Your project leader has prepared over three hundred complete cost plans
and cost of service analysis in her twelve years of consulting. As a former
senior consultant with Maximus and Public Resource Management Group,
LLC(now MGT)and now with her own company,Nicky gained a broad base
of experience working for state and local governments throughout California,
Nevada,Oregon,Washington,Texas,New Mexico,and Colorado. Her
excellent working rapport with the State Controller's staff and her genuine
desire to help her clients provides a level of service second to none.
Because of her strong desire to provide unprecedented customer satisfaction
Nicky formed Capital Accounting Partners,LLC(CAP)in partnership with
Tillman Sherman. Her reputation for attention to detail and responsiveness
to client needs quickly built her client roster.
Nicky's number one goal in every project is to provide the highest level of service to her client.She brings a
depth of knowledge and experience to the complexities of cost plans and cost of services analysis.Most
importantly she spends the time necessary working with you and your staff on the level of detail needed to
take full advantage of every benefit the cost plan can provide while assuring Costs are properly allocated by
department.Nicky is able to identify practices and procedures to make future plans easier to prepare. She will
offer alternatives for improving the process,when appropriate.
Her commitment is to see that the plan is done right the first time while exceeding all of your expectations.
She is happy to report that EVERY ONE of her over two hundred and ninety cost plans has been turned in on
time or before the due date.
In addition to Nicky's commitment to her clients,she is also committed to staying abreast of local government
rules and regulations including the Office of Management and Budget A-87 Regulations and has received
formal training endorsed by the State of California and is scheduled for refresher course this September.
Nicky has a Bachelor of Science in Managerial Economics from University of California,Davis and has her MBA
in Accounting from California State University,Sacramento.
� i
Capital Accounting Partners,LLC Page 24 of 25
-�
se'vices City of Palm spono
DANIEL B. EDDS, MBA, PIMP - PROJECT CONSULTANT
Dan is a project manager with Capital Accounting Partners(CAP). He has
more than thirteen years of experience consulting within the public sector. a-
His operational improvement work has involved problem solving and
process improvement opportunities for core business processes. In these
projects, business processes are evaluated for cost,and opportunities for
improvement.The result is a clear understanding of how to improve the
delivery of services;lower long term operational cost,and increase staff
productivity. Mr.Edds has extensive training in facilitation,group decision-
making and strategic planning from the Institute of Cultural Affairs.
Prior to joining CAP he was a project manager with FCS GROUP,a regional JL
firm out of Redmond,Washington.He also served for five and a half years
as senior project manager with a major international governmental
consulting firm with offices in the western United States. In that position, he conducted and managed financial
and operational analysis with numerous counties and cities.His work has involved process analysis for the
purpose of restructuring fees for full cost recovery of Land Development, Planning,Public Works, Recreation,
Police,Fire Prevention,Hazardous Materials,GIS,Library and other services.
Mr. Edds holds a Masters of Business Administration from the Albers School of Business and Economics at
Seattle University.He is a regular presenter at state GFOA conferences,and has been professionally training in
strategic planning and group facilitation.In addition he is a Kaplan Norton Balanced Scarecard Certiilled
Graduate and he is a Baldrige QualityAward Examiner through the Washington State Quality Award program.
Capital Accounting Partners,LLC Page 25 of 25
58
Capital Accounting Part
-- Preparation of a User
�� _ �- Fee study, City of Palm
Springs—
r
° ° ' � "'� � '�► Cost Proposal
November 1 2013
COST AND SCHEDULE PROPOSAL
COST PROPOSAL
Capital Accounting Partners, LLC(CAP) is submitting for your consideration our proposal to provide the
City of Palm Springs's Comprehensive Fee and Rate Study.CAP has extensive expertise in both of these
services. This proposal is valid for ninety(90)days from November 26, 2013
The following is a fixed, not to exceed, price based on our reading of the RFP. Our method of payment is
to invoice monthly based on the work actually performed.
We will furnish all materials and services set forth herein subject to all conditions outlined in the
Proposal Document at prices indicated below:
Consultants
Consultant Hours and Costs
ruii Cost Allocation Plan
Task Plan
Lettlni Edds
Tvtals
Task 1:Project initiation N30
$ 15s
Task2:Imerviewvarious departmental staff $ 1,240
Task 3:Data collection and preparation of draft plan $ 1550
Task 4:Prepare full cost allocation plan $ 4,650
Task 5:Review draft plan with staff and make changes as required $ 1,240
Task 6:Review plan with staff for clarity and understanding $ 775
Task 7:Develop allocation measures and statistics 10 $ 1550
Task 8:Meet with impacted staff for questions and clarity 4 $ 620
Task 9:Finalize full cost plan 10 $ 1,550
Task 10:Prepare and present full Cost Allocation Plan to Select City Staff as required 6 $ 930
Total Estimated Labor _.. 92 $ 14,260
Ez enses - - - ""
S 1,
Total Budget $ 15,260
Comprehensive User Fee Study
Task Plan
Step One: Calculate the Full Cost of Services 36 $ 5,
Ste 580
Two: Calculate the Cost of Individual Fee Items 48 $ 7580
Step Three: Quallty Check and Formal Review 36 $ 5,580
Step Four: Provide Comparison Stud 24 $ 3,720
Step Five: Prepare Re ort 24 $ 3,720
Step Six: Council and Stakeholder Presentations 16 $ 2,480
Total Estimated Labor 0 184 $ 28,520
Total Budget
Total . Budget
tl
FIXED FEE:
The total fixed fee for full preparation and support of the User Fee Study to include tasks listed in the
Scope of Service in the Technical proposal shall be $29,865.
HOURLY RATES
Should work outside the Scope of Service as identified in the Request for Proposal be requested of the
consultant,the hourly rate for each consultant shall be:
For Nicolie Cass Lettini, MBA, $155 (one-hundred fifty-five dollars) per hour;
For Dan Edds, $155 (one-hundred fifty—five dollars) per hour.
ASSUMPTIONS
The assumptions covered in this proposal include:
1. Data supplied is in good order and accurate.
2. Agreed up schedules for on-site visits will be maintained.
3. Participants in data collection workshops and review discussions will have the necessary
authority required to make recommendations on fee schedule structure and services.
4. The RFP covers the fees that appear in the City's Master Fee Schedule.
S. The project covers user fees and does not include impact fees,fines, in-lue-of-fees, or taxes.
6. Each costing model will require a reasonable number of iterations.Typically 2-3. Excessive
iterations, multiple scenarios,and additional calculations beyond calculating the cost of user
fees may require additional compensation.
7. Data requests will be provided in good order, in timely fashion, and in a format that can be
easily accessed.
8. We understand that organizational restructuring and staffing fluctuations do happen and we are
happy to work within these normal variances. Occasionally, however, projects have known to
come to a complete halt because of new leadership and massive organizational restructuring.
We understand these realities but occasionally these events do create the need for additional
work and charges.
i
Additional and optional services that may be requested.
1) Stakeholder and Council Subcommittee meeting to review results of the user fee study:
a. Labor=$1600(day rate plus travel time);and
b. Expenses=$750.
2) Additional Council meeting to review results of the user fee study:
a. Labor=$1600(day rate plus travel time);and
b. Expenses=$750.
3) Additional Council and/or Council Subcommittee meeting to review results of the cost allocation
plan.
a. Labor=$1600(day rate plus travel time);and
b. Expenses=$750.
Fixed,not to exceed cost=$52,330
HOURLY RATES
Should work outside the Scope of Service as identified in the Request for Proposal be requested of the
consultant,the hourly rate for each consultant shall be:
For Nicolie Cass Lettini, MBA,$155{one-hundred fifty-five dollars)per hour;
For Dan Edds,$155 (one-hundred fifty—five dollars)per hour.
ASSUMPTIONS
The assumptions covered in this proposal include:
1. Data supplied is in good order and accurate.
2. Agreed up schedules for on-site visits will be maintained.
3. Participants in data collection workshops and review discussions will have the necessary !
authority required to make recommendations on fee schedule structure and services.
4. The RFP covers the fees that appear in the City's Master Fee Schedule. !,
5. The project covers user fees and does not include impact fees,fines, in-lue-of-fees, or taxes.
6. Each costing model will require a reasonable number of iterations.Typically 2-3.Excessive
iterations, multiple scenarios,and additional calculations beyond calculating the cost of user
fees may require additional compensation.
7. Data requests will be provided in good order, in timely fashion,and in a format that can be
easily accessed.
8. We understand that organizational restructuring and staffing fluctuations do happen and we are
happy to work within these normal variances.Occasionally, however, projects have known to
come to a complete halt because of new leadership and massive organizational restructuring.
We understand these realities but occasionally these events do create the need for additional
work and charges.
61
ATTACHMENT"C"
*THIS FORM MUST BE COMPLETED AND SUBMITTED IN A SEPERATELY SEALED ENVELOPE#2 "Cost
Proposal", NOT with Envelope#1,Technical/Work Proposal*)
REQUEST FOR PROPOSAL(RFP#08-14)
COMPREHENSIVE FEE AND RATE STUDY
COST PROPOSAL
Responding to Request for Proposal No. 08-14 Comprehensive Fee and Rate Study, I/WE will accept as
full payment the following "not-to-exceed"fixed fee including all associated fees (i.e. printing costs,
attendance at meetings, etc.) and be based on achievement of deliverables, which should be outlined on
the consultant's proposed timeline for providing all services to complete the Comprehensive Fee and
Rate Study.The undersigned Proposer proposes and agrees to provide all work and services necessary
to deliver a comprehensive fee and rate study as defined in the Scope of Work herein.
TOTAL NOT-TO-EXCEED AMOUNT:
$45,280
(PRICE IN FIGURES)
Forty five thousand,two hundred and eighty dollars.
(PRICE IN WORDS)
• In the event that additional services are required beyond the scope of work as defined in this
document, please provide your hourly rate(regular business hours only*)$155/hour
• Hourly rate for additional services not covered in RFP document. $155.
• Hourly rates for all Project Team members: $155.
Administrative Rates for additional services not covered in RFP
document.$N/A
• Hourly rate for any sub-consultant used in this Fee Study not covered
• in this RFP document. $N/A
• Indicate time in calendar days,for completion after receipt of notice to proceed: 120 (based
upon the City's ability to maintain an agreed upon schedule DAYS(NTP).
i
EXHIBIT"D"
SCHEDULE OF COMPENSATION
COMPREHENSIVE FEE AND RATE STUDY
COST PROPOSAL
The following "not-to-exceed" fixed fee including all associated fees (i.e. ptinting costs, attendance at
meetings, etc.) to be based on achievement of deliverables, which should be outlined on the
consultant's proposed timeline for providing all services to complete the Comprehensive Fee and Rate
Study. The undersigned Proposer proposes and agrees to provide all work and services necessary to
deliver a comprehensive fee and rate study as defined in the Scope of Work herein. `.
TOTAL NOT-TO-EXCEED AMOUNT:
$ 52,330.00
(PRICE IN FIGURES)
Fifty Two Thousand, Three Hundred and Thirty Dollars
(PRICE IN WORDS)
In the event that additional services are required beyond the scope of work as defined in this document,
please provide your hourly rate (regular business hours only')
Hourly rate for additional services not covered in RFP document. $ 155.00
Hourly rates for all Project Team members: $ 155.00
Administrative Rates for additional services not covered in RFP
document. $ n/a
Hourly rate for any sub-consultant used in this Fee Study not covered
in this RFP document. $ n/a
Indicate time in calendar days,for completion after receipt of notice to proceed:
120(based upon the City's ability to maintain an agreed upon schedule 120 days(NTP).
63
EXHIBIT i°E"
SCHEDULE OF PERFORMANCE
and Master Fee Prafesslonal
K*W,J
SECTION D: SCHEDULE PROPOSAL
SCHEDULE
We realize that the RFP schedule calls for the award of the project to be on September 9.We have set the
project start date on October 1't.This date is set arbitrarily assuming that factors beyond anyone's control
may slow progress toward the initiation of the project.
"I V*z1voialwk4witx , ; NY$4+tac..: wk xwlrz an s: s.
Task 2:Project iolthitlon
Task 2:Intefview WooVz departmemai Stall pp°
Task 3:Data coliectbn and preparation of Craft plan
Task4:Prepare fuil cost allocation plan
Task S:Review Craft Plan with staff and make 41herhiphsas required
Task 6:Review plan with staff for clarity and urdendandinR
Task 7:Oevek)p allOfAtiOn 111@84nfe5 8[W Stat15[ILS
task R:meet with impacted staff for questions vd clarity
Task%Finalize full cost plan
Task M:Prepare and present full Cost Nlecatlon 13a1,to Select City
Staffaire aired
Step Une:Calculate the Fuli Cest o1 Services
Step TWO:Calculate me Cost Of Indlvkual Fee Items it
Step Three'Quillty Check aM Formal Revlesv
Step Four Provide Companson Study
Step Fhoet Prepare Report
Step So!Council and Stakelrober Pfesentotlani
t
64