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HomeMy WebLinkAboutContract 29199 10/15/2003 16:29 9723965679 GRAHAM MARCUS, INC. • 08/06/2M 11:20 8173358110 GRAIiAM MHkC;IR`� PAGE 01 r� Gl CITY SECRETARY CONTRACT NO CITY OF FORT'WORTH PLrUNEWNG INSPECTION AGREEMENT This Agreement made this day of C� y , .2403,between the City of Fort Worth (hereinafter referred to as the "City's sad Ae�u:a , ow i S > (hereinafter ref" the to as the "Plumbing Inspector"�. In consideration of the mutual promises contained in this Agreement, the parties agree as follows: lECITALS The City of Fort Worth is a home rule municipal corporation of the State of Texas,located within Tarrant and Denton Counties,Texas. The City desires to retain s Plumbing Inspector to provide the Services as set out in Exhibit, "A" which is attached hereto and made a part hereof for all purposes, being" hereinafter referred to as the"Services". The Plumbing Inspector agrees to perform the servioes as set out in Exhhit"A". AGREEWNT The City and .Plumbing Inspector, for and in consideration of the mutua] covenants herein,Be forth agree as follows: It is agreed that the City retains the Plumbing Inspector to provide the Services as set.out in Bxlu'bit "A", subject to the terms, conditions, and stipulations under this Agreement. C01VII'ENB�►.TION For and in consi,deratioa of the Services rendered by the Plumbing Inspector,the City shall pay and titer Plumbing Iuspaotor e)W1 raceive the fees set Sor& in Nachihii"A" attached hmeto and ineorpm7ded herein by reference.Plumbing Inspector shall not acospt arty compensation or anything of value fi- m any contractor or owner whose work is being ins�by the Plumbing Inspector.' PRU1P'FSS_�l�j�?.,1�'.�$PONSIS1LfT�$ . Plumbing 2n4wWr agrees to perform said Service® o"oditiously, an request of the city, in accordance with sound and generally accepted inspection principals and suwda,*to vhoak fbr compliance with the applicable City of Fort Werth Code or Codes_ Wbsn requested by the City, the Plumbing Inspector shall (1) conduct on-site ixwpect,'ons fbr Code compliance, and (2) provide review of plans, plats, documents. designs,developments.reports, studies,s=vya, data, etc, prepared by persons or entities other than the Plumbing Inspector and setbmimd to the Plumbing Inspector by the City, Fl iAl"01H TEX. 10/15/2003 16:29 9723965679 GRAHAM MARCUS, INC. 88/08/2003 11:28 8173358310 GRAHAM MWRGUS PAGE 02 $nd (3) provide input, comments, and/or redo M mdations and such response deevW appropriate by the Plumbing Inspector to assist the city in Code compliance. All documents which come into the posses ion of Plumbing Inspector are and shall remain the property of the City, 9MU be maintained at the City Hall, 1004 Tfnockmor on Street, and ate public records, subject to detetmination by the City otherwise. Ph=bing Inspector agrees and understands that City officials may, at their diecrotion, make periodic site visits to review, inspect and duplicate any inspee iom perfortne d by the Plumbing Inspector in order to insure a quality control of paformance, The city official shall maintain fdff interpretation amWic city of all affected codes as well as the authority to require corrections,including,but not limited to,notices and/or stop work order. Plumbing Inspector understands that, upon completion of all building projects,the City oftial will peribrm a final inspection prior to the issuance of a certificate of occupancy. This Agreement may be tmmunatted by either party for any reason by VVWg two (2) days' written notice. The City resew the right to suspend or stwp servk4a unmediately. N1'S TO AGREEMENT Any amendment to this Agreement must be in.writing mmd signal by the Plumbing Impactor and the City Manager of the City. NQN E UT—i nm AGAZE—A 1rIEEN'Y' It is understood and agreed that retention-of the Plumbing Inspector by the City to perfa=the Service e, and for the purposes stated in this Agreement,is not exclusive. ASSISTA The Plumbing Inspector does not have the right to employ assistants or sub plumbing Inapoctors to perfizm the Scrvicca without the advanoed written consent of the City Development Director. All assistants or sub plumbing inspectors shall be currently licensed plumbing bwpeAtors. PLUMBING INSPECTOR ASSUMES THR ENTIRE RESPOMSDUL1W AND LUBILrff FOR AW CLAIM pR ACrIUr4 mASrD ON Olt ARISINCS OUT OF IN.IU11. ZS. INC-1 Tr YNG DRATH, TO PEWONiS OR DAMAGES TO OR DESTRIJCTIDIN OF PROPERTY,bUSTAINRD Wt ALLV=D TO awva BmN susTmftn '[N C NRZCMON WITH OR TO RAYS AMZX OUT OF OA 2 10/15/2003 16:29 9723965679 08/88/2083 11:20 8173358110 GRAHAM MARCUS, INC. tzkAH+am �:ua PAGE 03 INCIDENTAL TO THE PERFORMANCE OF THIS CONTRACT BY PLUMBING INSPitC!'OR, REGAIML99S OF NWMTSBR Stan CLAIMS oR ACTIONS ARE FOUNDED IN WHOLE OR IN MT UPON ALLEGED NEGLIGENCE OF THE CITY OF FORT WORT'R,' ITS OFFICF AGENTS OIL SWLOYEES, OR THE EMPLOXEBS, AGERA INv1TEES, OR LICENSERS THEREOF. PLUMBING INSPECTOR FURTHER AGREES TO MZMNIFY AND HOLD HAmmss THE CITY OF FORT WORTH, TrS OFFICERJ4 AGENTS AND FaWLO'YE88 IN RSSPEGT TO ANY SUCH MATTERS AS SET OUT ABOVE AND AGREES To DICF$ND ANY CLAIM OR SUIT OR ACTION AT PLUMBING INSPECTOR'S OWN HXPENSE WHEN gUI.I. 19 BROUGRY AGAINST THS CITY DF FORT WORTH,ITS OMCRR.C,AGENTS OR EMPLoy$ES, AIWA EMPL 0YRUo AGENT'S,INV TTERS,AND LICENSERS THEREOF. It is agreed between Plumbing Inspector and City of Fort 'Wort[ that Plumbing Inspector will Secure and fizrnish City with a certificate.of gmwid liability and automobile insuzaucc coverage in an mnount specified by stsndard policies and procedures of the Risk Management Department of the City during the terns of this oonu=L Said policy is to include eoveMe for negligent acts, errors, and omissions and be maintained in force for five years from date of cerp$cation or certification rmcwal, The City of Fort Worth shall be shown as an additional insured on said policies of PURCE MAJEUl E rI c,Plumbing Inspector shall not he responszlble or liable for any loss,damage,or delay caused by farce majmo which is beyond the control of the parties, which shall include riot, insurrection,ambargo,fire or explosion,the elem=ta,act of Clad,epidemic„ war, earthquake,flood,or the official act of any government. LXG&L CONS MCTIUN In case.of any one or more of the provirimts contained in this Agreement shall for my reason be held to be invalid, illegal,or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not o►ffect any adw proVision and this Agreement shall be construed as if such invalid, illegal, or unenforceable provision had nevor bom t uWned in it. WAxi,RAh1WIES Plumbing iasp=tor hcmby wwmta that_ Plumbing Inspector bas, atnreatly in effect, all necessary licenses to'pmfotm the woad, and Plumbing Tnapector is qualified to perform the work as required by the City's Codes and the$We of Texas; a. All assistants or sub-plumbing itpectors employed by Phmibing Inspector, shall be cmrrntly licensed plumbing luspoctors. b. AU wwk is to be pm*a=ed in a professional and womanlike manner. 3 10/15/2003 16:07 9723965679 GRAHAM MARCUS, INC. PAGE 03 ytI(kkif'ldtl� 11:1!7 tl1 ryy7tl11L7 �7hCf1l�WI IMAIlt+lb f+H(� �S a Attrnficn: DCvekgmwmt Director Telephone(817)871-5901 AA nod= and aommuniWm ender this Agremet tO be mailed or delivered to tho Plumblag Inter aad if applicable, the crnpom don, asircKdasom,patwft or any odw=n-Soverpmaatal entity khan employs said Ph mbing bqmtw shall be scot as fbllows,unhwe and=61 the City is odunwiso noti$od: Plumbing Inwpectos: u1 Inc-. a AA ilAn 0 k.AA ,. • Any no om and exxmmvnic ations required to be given in writiug by one p uty io the odd oW be conUdaed as having bow given to the addressee on the date the notice or coeanuuk atian is placed in the Uaitsd Stator Mail. BEteauWca in mmItiple pountapa lfit at Fort Worth,Tama;on the day and yen•first abon wry,sad cash sipel catmtagnut shall be trnatod as an aaiginal for all purposes. QTY OF FORT WORTS Gl —.leasson,my-Secretary Aaistemt City Manager • Ammed ss to form and le S I zyi Contract Authorization ' David Yett;O�Atoan�► . ' 1 gate s��llen�ia� . 'AWstimt City A 092W PL 7G n"PEC'TOR • KeviA....Day �MARY OCT-15-2003 WED 04:03PM ID: PAGE:3 10/15/2003 16:29 9723965679 GRAHAM MARCUS, INC. PAGE 05 08/08/2003 11:20 0173356110 GRAHAM MARCU5 PAGE 06 ATTACHED TO AND MADE A PART OF AN INSPECTION AND CODE CONRLIANCE SERVICES AGREEMENT Plumbing Inspector; ����J ►rlI 5 Name Address Phone A,2 Scope of Services: Plumbing Inspection A-3 Frequency: As Called/On R.equoSt A»4 sation: Ten percent(10%)of the City Council established buildh* permit fie. Payment as based on the oompkdon of the struoU=and m=thly invoiaes submitted to the City for each individual building permit. 10/15/2003 16:29 9723965679 GRAHAM MARCUS, INC. PAGE 06 68108/2883 11:20 8173356110 GRAHAM MARCUS PAGE PJ7 ` 1Z.ISK MANAGMYMN!'REMMMENDA17ONS roR INSURANCE RSQUIRI3MBN'I'g :8rsie requirements or limits of insurance eovtrage are listed below.• Limits of covtuago depend an several each= incclu ft but not kited to rJslc azposure In regards to respective=71cea,prod=procured, or eoturaetaal t=rz,to mane a few. Bhw4my Limits- of Workers' Colr4x=4an is $pplicable for all public prajecta. Coverage limits are Tj%C,- towalmmftdon of Risk Mwagemont, There am w=ptiona and depwtmenia are nitimately respamaible far$veins acafteot Iinzits. • 1. Commmrcial i3eneralLiabflity(CAZ)Imrruanon Policy • $11000,000 awh oceurr=A $2,D00,000• aggregate bmit Covaege shall include but. not be limited to the fallow*: p ipes 'op independent contra tots, productarcoMkted opemdoas, (include c tlasion/aollapselundargiouatl property if applicable), personal iqury, and coact W liability, Insurance shall be provided on an oceu=enee basis, be u comprehensive es the ctw=t Iasmaac9 SerAm Office(ISO)policy. (Sudden pollution coverage may not be.excluded by endara mmt, Include as a requirement of the line oc endome mmtt that you'do not want excluded. Determined by a revkw of the risk exposures)All eaclarsacl vmhuicm are.subject:to rcvie•w of the City in order to'determine if the cxchraiams are acceptable. In the evmg tine e:xdadaas are unacceptable and tine City desires the contractodengineer (fill in with ,appnMiste title) to obtain such cunpg0.t8e Contractpdoe shall bo adjusted by ihs post of the prft*m for sacb a4ditinnal,coverage plus In%. ' 2. .�+atambblk Liabt�ty Insurance Politzy . . . $1,000,000 each accident on a=3bkwd xiagic Uu it basis or $250,000 Property DemagC ' $500,000 Bodily Injury per pmon per oocutrence A enRaner W bnainosa policy droll provide coverage oar "Any Auto', defied as euUm ownad, bhvd aced =%. owned. 3. Workers'Co tiom Insurance Policy Statatoty hilts Bmpkryart liability $100,000 Boob aacidentloccurrence $100,000 Disaaaa-per each employee $500,000 Disease-policy limit -This coverage may be wjdtten as follows: , • Wodccts'•C,rnupaeaatiDn and&upinyers,Liability Covetttge avith Iitaita connaiatmt will atatutexy baaa8te avtlmsd is the Texas vAnkaa' Compensation Act (Art. 6308 — 1,01 at seq. Tex. Rev. Civ. Slat.) and 1"Wma n policy Hn ib fee players'Lwaility of S 100,000 each accidont/oocua+enco,$500,000 boMy injury diaease policy limit and 5100,000 per dice w nst FIDYed Other Linea of Insurance Other linos of.iats WA=CovCaaga,whicb may bc•eppHanble to a oaoatnrc; could include cme or rite of the hZWKWO types Ustai below. The insuranoe typo is not an a4-*1=ivo lfet, E1L and Professional Uability]Emits arc 11=dowd beemme tbey are$equeady required. 1. Bw4%vnmu=tLl Impabameont Liability(BIL) &/Or Pollution LWnlity $2,000,000 to$5,000,000 per accrLul aoe 55,000,000 to S 10,000,000aggnatc . • 1 ins.Req�riremente ,grased Amt 2002 .16/15/2003 16:29 9723965679 GRAHAM MARCUS, INC. PAGE 67 09/98/2003 11:20 8173358110 GRAHAM MARCUS PAGE 08 2. Prokmiotiai Liability The minitmrm insurance requiranumt for this liar of coverage should be sufficient enough to coverage the completed operations of the consttuction prgject. The Texas Statute of Repose, §§ 1608-9, of tile'Texan Civil prance sad Remedies Code,requires a clai>uant to bring slut foi a dc&ctiva c r tulsafe condition of as fizprOvemmt to real property or equipment attwJwd to real property, or.defieiersay in tbw Construction or repair of an impmvmWW to the--perk' Whbin 10 years of sub5ft'V al CMPktinn. The statute applies to property darnage, bodily eantn'bution,or indemnity. Y m1 Y, wrnngfltl loath, Errors&Omissions.coverage is an integral part of the Proh aionel Liability policy. The coverage protects the innvw against liability(fmtincial lass)should an error or an omispion occur in the performance of bds professional duties .professional Liability limits should be consistent with other requirements. The mcoarunendrd mini>zfflm should be no Ion dmn-1 51,000,000 per accurmace $2,000,000 aggregate paHcleaare to be written an an oc=rrenae basis or will provide a mininzim of a five(5)year tml coverage for policies svdttaa or1 a olatma made baaia. Subcontractors polioica abould follow the ante minimum reguisam mots ne des=w above. 3. Excess LYabil�t''y 4., Liquor IA"ity ' S, Garage Liability . - ' 6. Cyarage4wperl Liability •7. Builders'Ri* 8, LegseelTobant User of City Owned Facilities 9. Miacellamom Coverage and Flottedrsllt.fciers BONDS FidOty Bond-fbr b0ncltY eau.ibltlM performance of duties and for acts of dishonesty' Surety Bond—Quaranteca the perfcunmncn of aaathar Fm*rnume Bond—Gazmtdcea the weak to completion "NZRAL p_MLMtBMETNS&for POLICY REQUIUMENTS Thg City of Item,Worth, its'Officers, lanTloyces•and Vohmteers shall be teamed as an Additional Insm& Bxacptlon...Bic additional irtam@d status does net apply to Wor3cera' C;orrg�saeatioa poliCiell a Forty-five (43) days notice of dencellation or non-=Urg►aL It would be advantages to the City to require the following c2sueer "This iastua=shall not be canceled.limited i n scope or oaaverago,canceled cor>w&Prteaod,until oft forty-five(45)days prior-V4*==U v has beau glyen to the City of Fort W'M& • Wavier of rights of recovery(subrogation)in favor of 015 City of Fort Worib. 2 Ins.Bsgtmemrs. Revised Augnet 2002 10/15/2003 16:29 9723965679 GRAHAM MARCUS, INC. PAGE 08 08/aB/2003 11.20 8173358118 GRAHAM MARCUS wAtati 09 • The grouters for all polid a must.be lieemed/approved to do bumineam in the 5tatrr.of Tcxaa. Except fbr wodlrars' compaasatign, alt inata'ere must have a minimum rating of A VII in am current A.M.But Key Rating GaW[c or have reasonably equivalent flnaadal sttgogtb and solvency to the satisfaction of Risk Mampt;=t: r If insurance policies are not written for specified coverage limits, en Umbrella or Excess avy dffereaacas ie required. Bxems Liabftity shall fctlOw form of the primary coverage, if coverage is underwritten on.a claims•rtrado basis,the retroactive date s>aall be coiucidomt wftb or prior to The dace of the contractual agrrenuat and the otrti&ate of insurance alull atate that 64 covaago u claimsgzrado and the retroactive date. The maum=e coverage shall be maintained for the duration of the coxtaaata.al ngmm=t and fbr five (S)years following completion of the service provided under the contractual agreement or for ibe warranty period,wm aever is longer. An annual cara0 ate of t mmmoo aftnitted to the City sbAU evidence much irt=mm coverage. Tim dzduatible or self+insured retention(MR)affecting required insurance coverage d mU be acceptable to'tbe Itiak Manager of&a City of Fort Worth in regards to asaet value and stockitoldorW equity. ln.iicu of traditional insurance,altmaative coverage maintained through insurance pools or risk retention groups must also be approved. e Tbr City, at its sole discretion, reserves the right v review the insurance regaremoats and to make ieasonable aeUgatmantm to i=mmcs coverngai and their limits when deemed necessary and prudent by the City basset n,4on. cbnngos in statutory law,court docisioti or the claims history of the industry as well as of the contracting putty to the City of port Worth. Tfi&City shrill he required to provide prior notice of ninety(days). The City gmD be entitled, upon Yegnest.and wifhaut expeme, to receive copies of policies and arms nmments thereto end may mate say reasonable requests for deletion or revision or modifications of particular POW.(farms,, condido=6 liautationk or excisions eaeept Wbere policy providcros are estabbibed by law or regulations blndtng Wm oittur of party or the underwriter on arty such poW08. 3 lea.Requkenmab Ravised Angbst 2002 10/15/2003 16:29 9723965679 GRAHAM MARCUS, INC. - W/08/2003 11:28 9173358110 C'�ghfpM �s PAGE 09 And -•.r ,• YiiVt ltl a a k R�FERENCtM NUNISEl� 05 NAME- •i/1. "G-93' 27 06PROGRAM PAGE•. - '. sue.l ct•. AC3REEMEN79 -AND ORDINANCES. l;8TABL1SHING TFtIRD .PARTY PLUMBIf INSPECTION PROGRAM 1 R1=00MMENDATION: It is recommended that the City Council:; . • ` 1. Authorize thv City Manager td enter into agreeMente%with Independent contractors for third part plumbing Inspectors-to perform'piumbing inspections withid the.Crty of Fort Werth;and. 2. Adopt-the attached ordinances vhtloh establish 1096 as the amount raetained for new constructiol building permits to cover the maximum amount payablo for third party plumbing Inspection serviou and 3;. Adopt the attached ordinances which establish 90% as the amount refatned for all plumbing wort permits, other than now construction, to covbr the 'maximum amount,payable fbr third pwt Plumbing Inspection services; and 4. Adopt the atladhed appropriation ordinance Increasing estimated receipts and appropriation$ in th, Goneral Fund by$116,000. • . . . On March 2, 1998 (MSC G•-124923, the My Council•adopfed ordinano6 oinandmahts and.dh-cted stet to implement a_program allowing third party.plan -review and lrllspectlon services for the Building ElacMcel,.Plumbing and Mechanical•Codesw_This program was.necessary to address Heavy demands In bulfding•construction Inspacftons; proiiame wl#h requiting;arid r•+etalnine quell le City ats�t#, and i( better most the special eycpertise or expedited schedules for various projects. At the time'c implementationb the City was wportencing.30% of all inspection requ>r'sts not being performedwlthin'b hours,of the request, resulting in's decrease of produc%?Ity,•conktruction delays and Increased exists::,. ' The third 'party program alloilvad contractors and/or owners of prb]eots to contract'directly ,., rdth ptai •reAsw or inspection firms'to provide services normally'dellveied by the Development Department••0i May 25, '1999 (M&C.0-1?.588), the qty Council authorized a waiver of 0896 of'thv calculated bulid N electrical, plumbing or mechanical fees for projects managed by a third party firm. The collection c 10% by the Ctty was,detarmined as the arnount necessary to cover staff costs In cjuai"ty'contrd any •record gerieration'or nianadeitli6 On August 16, 2000,'the Texas Stato Board of Plumbing Examiners (Board) Inquired Into Fort Wdrth' thirdk party progrWn..to dett�r iMb if tfiie pmgrarri was trpholdirig the ,State' Plumbing Licenss Law air •Board's rules. In.perticulsi••, the Board held qoe' a lops.reepsrding'the ernploymnf'reletlarishlp'tietwee the-City and the third party 0lumb1n9 'ln'30eotoe•aid the:m6thod•ofi payment-for these samlobt Subsequent replies-and oommunlcatlons with the Board resulted in the Board Administrator ruling thr the Fort Worth third party plumbing inspection process was riot meettrrg the requirements of'-th Plumbing Ucense Lew or-the Board's rules. The matter was forwarded to the Board's Enforoemer Committee for consideratlon on Soptembar 28, 2000. 10/15/2003 16:29 9723965679 GRAHAM MARCUS, INC. 0810812003 11:20 8173358110 GRAHAM MARCUS PAGE 10 'r PAGE I I Y and ,a DATE REFS E NCE NU* EFt _ -131227 06PROGI" • SUBJECT AGREEMENTS AND ORDINANCES ESTABL1SHfNG THIRD PgF�7Y AL 3 of INSPECTION PROGRAM • umew t"avorable eonsideratian by the City Council -for the third party plumbing [nspedlorr ' structure s authorize staff to Implement the program on February S.2001. Pr'0g�efft em It should be noted that staff has been worldng ►kith the Safety and Community development ComrrjitteE to change the structure and amounts of•bundirig permits: ,Changes of fees and the percent waiver fo third.party Inspection setvic*8 will be recommended In the near future. At that time• the alvar ec ordinances wl0 n6ed tD be amended appropriately. FISCAL . CRMATiONICERTIFICATION: The Finance'Dirertor certifies that upon approval of the above recommendatlons, funds",wall be available, as eppmprlated, in the General Fund. MG:k • _. . • • � • .•_• r • ♦t • • • wM • r•• r_ •r ..• •«r rrr�rr a _+..ra.rw�rr• ♦w_r• ••�♦r♦•_• .••y..w.�.••r wW.«•.,,_/. Subedited for C*Mmagges FUND ACc4T N'T CENTER AMOUNT CITY s=mAity Mki arbomec ` 6140 —:.-APPROVED-.— orl�lett�� eperrn, � r 1TY.COUNCIL-. Bob Alley 5901 0104 ...ice . . r.. Sob Riley 8901 of rod WGiV4 TW= Adopted Ordinance No' I Adopted•Ordina s No„L" e . City of Fort Worth, Texas 4vagor And Council COMI"U"icatio" DATE REFERENCE NUMBER LOG NAME PAGE 1/16/01 **G-13127 1 06PROGRAM 1 of 3 SUBJECT AGREEMENTS AND ORDINANCES ESTABLISHING THIRD PARTY PLUMBING INSPECTION PROGRAM RECOMMENDATION: It is recommended that the City Council: 1. Authorize the City Manager to enter into agreements with independent contractors for third party plumbing inspectors to perform plumbing inspections within the City of Fort Worth; and 2. Adopt the attached ordinances which establish 10% as the amount retained for new construction building permits to cover the maximum amount payable for third party plumbing inspection services; and 3. Adopt the attached ordinances which establish 90% as the amount retained for all plumbing work permits, other than new construction, to cover the maximum amount payable for third party plumbing inspection services; and 4. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the General Fund by $115,000. DISCUSSION: On March 2, 1999 (M&C G-12492), the City Council adopted ordinance amendments and directed staff to implement a program allowing third party plan review and inspection services for the Building, Electrical, Plumbing and Mechanical Codes. This program was necessary to address heavy demands in building construction inspections, problems with recruiting and retaining qualified City staff, and to better meet the special expertise or expedited schedules for various projects. At the time of implementation, the City was experiencing 30% of all inspection requests not being performed within 24 hours of the request, resulting in a decrease of productivity, construction delays and increased costs. The third party program allowed contractors and/or owners of projects to contract directly with plan review or inspection firms to provide services normally delivered by the Development Department. On May 25, 1999 (M&C G-12568), the City Council authorized a waiver of 90% of the calculated building, electrical, plumbing or mechanical fees for projects managed by a third party firm. The collection of 10% by the City was determined as the amount necessary to cover staff costs in quality control and record generation or management. On August 16, 2000, the Texas State Board of Plumbing Examiners (Board) inquired into Fort Worth's third party program to determine if the program was upholding the State Plumbing License Law and Board's rules. In particular, the Board had questions regarding the employment relationship between the City and the third party plumbing inspector and the method of payment for those services. Subsequent replies and communications with the Board resulted in the Board Administrator ruling that the Fort Worth third party plumbing inspection process was not meeting the requirements of the Plumbing License Law or the Board's rules. The matter was forwarded to the Board's Enforcement Committee for consideration on September 28, 2000. City of Fort Worth, Texas qV01.4or And Council communication DATE REFERENCE NUMBER LOG NAME E PAG 1/16/01 **G-13127 06PROGRAM 2 of 3 SUBJECT AGREEMENTS AND ORDINANCES ESTABLISHING THIRD PARTY PLUMBING INSPECTION PROGRAM City staff attended the Enforcement Committee meeting in September 2000, and it was determined that a contractual agreement similar to those with other jurisdictions might address the Board's concerns of employment and compensation. A draft agreement between the City and individual plumbing inspectors was submitted to the Board on November 8, 2000, and discussed at their November 13, 2000 meeting. Following the hearing, the Board's attorney relayed to the City that minor changes to the agreement would make the contract acceptable to the Board. A revised agreement was submitted to the Board on December 8, 2000. The proposed agreement makes each third party plumbing inspector an independent contractor of the City and restructures the method of payment for those inspection services. The City will collect, at the time of permitting issuance, a percentage of the total building permit for the plumbing portion of a project. Upon completion of plumbing inspections by the third party inspector and invoicing of those services, the City will issue payment for the services rendered. On December 22, 2000, the Board Administrator communicated that the Board's Enforcement Committee, Board staff and the Board's attorney had reviewed the Plumbing Inspection Agreement submitted on December 8, 2000. The Board's attorney advised the Board that under the revised agreement, the relationship between the Licensed Plumbing Inspectors and the City of Fort Worth, along with the method for compensating the Licensed Plumbing Inspectors, does not violate the Plumbing License Law or Board rules. In order to begin implementation of the restructured third party plumbing inspection program, it is necessary to authorize the City Manager to enter into agreements with each third party plumbing inspector as independent contractors. A copy of the proposed Plumbing Inspection Agreement is attached. Additionally, it is proposed to withhold 10% of all building permit fees for related plumbing inspection services for each new construction project. In the case of remodeling projects or jobs with only plumbing work, the City will collect the entire plumbing permit fee of which 90% will be returned as payment for inspection services. These collections will equal the maximum amount payable to the third party plumbing inspector for services rendered. It is estimated that for the remainder of the fiscal year, collection for the new construction projects would be $105,000, and collections for the plumbing permit only projects would be $10,000. Attached are the necessary ordinance amendments to facilitate this collection. In order to manage the collections, invoicing and issuance of payments for the third party plumbing inspection program, it is estimated that one additional authorized position and associated office supplies and equipment will be needed. The annual impact on the General Fund budget is estimated to be $43,000. The present implementation of this program will be handled as an overage and more clearly identified in the proposed FY2001-2002 General Fund budget once actual impact can be determined. City of Fort Worth, Texas "agor And Council communication DATE REFERENCE NUMBER LOG NAME PAGE 1/16/01 **G-13127 1 06PROGRAM 3 of 3 SUBJECT AGREEMENTS AND ORDINANCES ESTABLISHING THIRD PARTY PLUMBING INSPECTION PROGRAM Favorable consideration by the City Council for the third party plumbing inspection program and structure will authorize staff to implement the program on February 5, 2001. It should be noted that staff has been working with the Safety and Community Development Committee to change the structure and amounts of building permits. Changes of fees and the percent waiver for third party inspection services will be recommended in the near future. At that time, the attached ordinances will need to be amended appropriately. FISCAL INFORMATION/CERTIFICATION: The Finance Director certifies that upon approval of the above recommendations, funds will be available, as appropriated, in the General Fund. MG:k Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY Office by: (to) Mike Groomer 6140 Originating Department Head: APPROVED 1-16-01 Bob Riley 8901 (from) ORDINANCE NO.14485 ORDINANCE NO. 14486 Additional Information Contact: ORDINANCE NO. 14487 ORDINANCE NO. 14488 Bob Riley 8901 ORDINANCE NO.14489