HomeMy WebLinkAboutContract 42106GI tY SECRETARY STATE OF TEXAS § ����ACT NO.. �0' ka
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§ KNOWN ALL BY THESE PRESENTS:
COUNTY OF TARRANT §
THIS AGREEMENT ("Agreement") is entered into the \ 0 day of
1 I Q , 2011 by and between the City of Fort Worth, a home -rule municipal
corp • tion of Tarrant, Denton, Parker, and Wise Counties, Texas ("City") acting herein
by and through Karen L. Montgomery, its duly authorized Assistant City Manager and
MGT of America, Inc., an independent contractor, acting by and through Mark Epstein,
its duly authorized Senior Partner, hereinafter called "Consultant." City and Consultant
may be referred to herein individually as a Party, or collectively as the Parties.
WITNESSETH
That for and in consideration of mutual covenants and agreements herein contained, the
Parties hereto mutually agree as follows:
ARTICLE 1
SERVICES
Section 1.
Consultant hereby agrees to perform as an independent contractor the services set forth in
the Scope of Services attached hereto as Attachment "A." These services shall be
performed in connection with the preparation of Cost Allocation Plans and Indirect
Cost Rates in accordance with OMB Circular A-87, Full Cost Allocation Plans, and
Water and Sewer Cost Allocation Plans ("Project"),
Section 2.
Additional services, if any, will be requested in writing by the City. City shall not pay for
any work performed by Consultant or its subconsultants, subcontractors and/or suppliers
that has not been ordered in writing and approved by an authorized representative of the
City. It is specifically agreed that Consultant shall not be compensated for any alleged
additional work resulting from oral orders of any person.
ARTICLE 2
COMPENSATION
OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
Consultant shall be compensated a firm fixed -price of $29,000 for the Initial Term
of one year ("Initial Term") and $29,000 for option years one and two and $30,500
for option years three and four in accordance with Attachment "A." Payment shall
be considered full compensation for all labor, materials, supplies, and equipment
necessary to complete the services described in Attachment "A." The firm fixed -
City of Fort Worth_MC ' of America Inc.
Cost Allocation Plan Services Agreement
Page l of i i
08-09-11 PO4:24 IN
price for the option years will be in accordance with Attachment "A." This fee shall
be paid on the following schedule:
For the OMB Circular A-87 Cost Plan and Full Cost Allocation Plan fee of $23,500,
45% of the contract amount ►mill be invoiced following completion of initial on -site
work including department interviews.
45% of the contract amount will be invoiced following delivery of the draft cost
allocation plan.
10% of the contract amount will be invoiced following submittal of the final cost
allocation plan and indirect cost rates.
The same percentage payment schedule will occur for the Water and Sewer Cost Plan fee
of $5,500. Additionally, the option year fees will use the same percentage payment
schedule.
The Consultant shall provide monthly invoices to the City. Payment for the performance
of uncontested services rendered shall be due within thirty (30) days of the receipt by
City of Consultant's invoice for payment of same.
Acceptance by Consultant of said payment shall operate as and shall release the City
from all claims or liabilities under this Agreement for anything related to, done, or
furnished in connection with the services for which payment is made, including any act
or omission of the City in connection with such services.
ARTICLE 3
TERM
Unless terminated pursuant to the terms herein, this Agreement shall be for a one (1) year
Initial Term with four (4) one-year options to renew at the City's sole discretion The
Initial term shall begin upon the date of execution of this Agreement. For each renewal
thereafter, the City shall provide thirty (30) days written notice of its intent to ienew this
Agreement.
ARTICLE 4
INDEPENDENT CONTRACTOR
Consultant shall operate hereunder as an independent contractor, and not as an officer,
agent, servant, or employee of the City. Consultant shall have exclusive control of and
the exclusive right to control the details of its work to be performed hereunder and all
persons performing same, and shall be solely responsible for the acts and omissions of its
officers, agents, employees contractors and subcontractors. The doctrine of respondeat
superior shall not apply as between City and Consultant, its officers, agents, employees,
contractors, and subcontractors, and nothing herein shall be construed as creating a
partnership or joint venture between City and Consultant.
ARTICLE 5
PROFESSIONAL COMPETENCE, LIABILITY AND INDEMNIFICATION
Section 1.
Work performed by Consultant shall comply in all aspects with all applicable local, state
and federal laws and with all applicable rules and regulations promulgated by the local,
state and national boards, bureaus and agencies. Appioval by the City shall not constitute
or be deemed to be a release of the responsibility and liability of Consultant or its
officers, agents, employees, contractors and subcontractors for the accuracy and
competency of its services performed hereunder.
Section 2.
CONSULTANT SHALL BE LIABLE FOR AND SHALL INDEMNIFY, HOLD
HARMLESS AND DEFEND THE CITY AND ITS OFFICERS, AGENTS, SERVANTS
AND EMPLOYEES FROM AND AGAINST ANY AND ALL CLAIMS OR SUITS
FOR PROPERTY DAMAGE OR LOSS AND/OR PERSONAL INJURY, INCLUDING
DEATH, TO ANY AND ALL PERSONS OF WHATSOEVER KIND OR
CHARACTER, INCLUDING BUT NOT LIMITED TO EMPLOYEES OF
CONSULTANT, EMPLOYEES OF SUBCONRACTORS, AND ALL OTHER
PERSONS PERFORMING WORK INCIDENT TO THIS AGREEMENT WHICH
MAY RISE OUT OF OR BE CONNECED WITH DIRECTLY OR INDIRECTLY
WITH PERFORMANCE OF THIS AGREEMENT. CONSULTANT SHALL
LIKEWISE BE LIABLE FOR AND INDEMNIFY, AND HOLD HARMLESS, CITY
FOR ANY AND ALL INJURY OR DAMAGE TO CITY PROPERTY ARISING OUT
OF, OR IN CONNECTION WITH, ANY AND ALL ACTS OR OMISSIONS OF
CONSULTANT, ITS OFFICERS, AGENTS, EMLOYEES, OR SUBCONTRACTORS.
ARTICLE 6
INSURANCE
Section 1.
Consultant shall not commence work under this Agreement until it has obtained all
insurance required below and set forth herein in this Article and the City has approved
such insurance not shall Consultant allow any subcontractor to commence work on its
subcontract until all similar insurance of the subcontractor has been so obtained and
approval given by the City; provided, however, Consultant may elect to add any
subconsultant as an additional insured under its liability policies.
Commercial General Liability
$1,000,000 each occurrence
$1,000,000 aggregate
Automobile Liability
$1,000,000 each accident (or reasonably equivalent limits of
coverage if written on a split limits basis) Coverage shall
be on any vehicle used in the course of the Project.
Worker's Compensation
Coverage A: statutory limits
Coverage B: $100,000 each accident
$500,000 disease - policy limit
$100,000 disease - each employee
Professional Liability (Errors and Omissions)
$1,000,000.00 Each occurrence
$1,000,000.00 Aggregate Limit
Section 2.
Additional Insurance Requirements
a. Except for employer's liability insurance coverage under Consultant's
worker's compensation insurance policy, the City, its officers, employees and
servants shall be endorsed as an additional insured on Consultant s insurance
policies.
b. Certificates of insurance shall be delivered to the City of Fort Worth, Attention:
Risk Manager, 1000 Throckmorton Street, Fort Worth, TX 76102, prior to
commencement of work.
c. Any failure on part of the City to request required insurance documentation
shall not constitute a waiver of the insurance requirements specified herein.
d. Each insurance policy shall be endorsed to provide the City a minimum thirty
(30) days notice of cancellation, non -renewal, and/or material change in policy
terms or coverage. A ten (10) days notice shall be acceptable in the event of
non-payment of premium.
Insurers must be authorized to do business in the State of Texas and have a
current A.M Best rating of A: VII or equivalent measure of financial strength
and solvency.
f. Other than worker's compensation insurance, in lieu of traditional insurance,
City may consider alternative coverage or risk treatment measures through
insurance pools or risk retention groups. The City must approve in writing any
alternative coverage.
g.
Workers' compensation insurance policy(s) covering employees employed on
the Project shall be endorsed with a waiver of subrogation providing rights of
recovery in favor of the City.
h. City shall not be responsible for the direct payment of insurance premium
costs for Consultant's insurance.
i. Consultant's insurance policies shall each be endorsed to provide that such
insurance is primary protection and any self -funded or commercial coverage
maintained by City shall not be called upon to contribute to loss recovery.
j. In the course of the Agreement, Consultant shall report, in a timely manner, to
City's officially designated contract administrator any known loss occurrence
which could give rise to a liability claim or lawsuit or which could result in a
property loss.
k. Consultant's liability shall not be limited to the specified amounts of insurance
required herein.
1. Upon the request of City, Consultant shall provide complete copies of all
insurance policies required by these Agreement documents.
ARTICLE 7
TRANSFER OR ASSIGNMENT
City and Consultant each bind themselves, and their lawful successors and assigns, to this
Agreement. Consultant, its lawful successors and assigns, shall not assign sublet or
transfer any interest in this Agreement without prior written consent of the City.
ARTICLE 8
TERMINATION OF CONTRACT
Section 1.
City may terminate this Agreement for its convenience on thirty (30) days' written notice.
Either the City or the Consultant, for cause, may terminate this Agreement if either Party
fails substantially to perform through no fault of the other and does not commence
correction of such non-performance with five (5) days of written notice and diligently
complete the correction thereafter.
Section 2.
If City chooses to terminate this Agreement under Article 8, upon receipt of notice of
termination, Consultant shall discontinue services rendered up to the date of such
termination and City shall compensate Consultant fell all Services actually performed, plus
expenses incuned, as of the day of termination provided that such Services and expenses conform
to the terms of this Agreement.
Section 3.
All reports, whether partial or complete, prepared under this Agreement, including any
original drawings or documents, whether furnished by the City, its officers, agents,
employees, consultants, or contractors, or prepared by Consultant, shall be or become the
property of the City, and shall be furnished to the City prior to or at the time such
services are completed, or upon termination or expiration of this Agreement.
Section 4.
In the event no funds or insufficient funds are appropriated by the City in any fiscal
period for any payments due hereunder, City will notify Consultant of such occurrence
and this Agreement shall terminate on the last day of the fiscal period for which
appropriations were received without penalty or expense to the City of any kind
whatsoever, except as to the portions of the payments herein agreed upon for which
funds have been appropriated.
ARTICLE 9
RIGHT TO AUDIT
(a) Consultant agrees that the City shall, until the expiration of three (3) years after final
payment under this Agreement, have access to and the right to examine any directly
pertinent books, documents, papers and records of Consultant involving transactions
relating to this Agreement. Consultant agrees that the City shall have access during
normal working hours to all necessary facilities and shall be provided adequate and
appropriate workspace in older to conduct audits in compliance with the provisions of
this section. City shall give Consultant reasonable advance notice of intended audits.
(b) Consultant further agrees to include in all its subcontracts hereunder, a provision to
the effect that the subcontracting consultant agrees that the City shall, until the
expiration of three (3) years after final payment under the subcontract, have access to
and the right to examine any directly pertinent books, documents, papers and records
of such subconsultant, involving transactions to the subcontract, and further that City
shall have access during normal working hours to all subeonsultant facilities, and
shall be provided adequate and appropriate work space in order to conduct audits in
compliance with the provisions of this article. City shall give Consultant and any
subconsultant reasonable advance notice of intended audit.
(c) Consultant and subconsultants agree to photocopy such documents as may be requested
by the City. The City agrees to reimburse Consultant for the cost of copies at the rate
published in the Texas Administrative Code in effect as of the time copying is
performed.
ARTICLE 10
OBSERVE AND COMPLY
Consultant shall at all times observe and comply with all federal, state, and local laws and
regulations and with all City ordinances and regulations which in any way affect this
Agreement and the work hereunder, and shall observe and comply with all orders, laws
ordinances and regulations which may exist or may be enacted later by governing bodies
having jurisdiction or authority for such enactment. No plea of misunderstanding or
ignorance thereof shall be considered. Consultant agrees to defend indemnify and hold
harmless City and all of its officers, agents and employees from and against all claims or
liability arising out of the violation of any such order, law, ordinance, or regulation, whether
it be by itself or its employees.
ARTICLE 11
VENUE AND GOVERNING LAW
If any action, whether real or asserted, at law or in equity, arises on the basis of any
provision of this Agreement, venue for such action shall lie in state courts located in
Tarrant County, Texas or the United States District Court for the Northern Distiict of
Texas — Fort Worth Division. This Agreement shall be construed in accordance with the
laws of the State of Texas.
ARTICLE 12
CONTRACT CONSTRUCTION
The Parties acknowledge that each party and, if it so chooses, its counsel have reviewed
and revised this Agreement and that the normal rule of construction to the effect that any
ambiguities are to be resolved against the drafting party must not be employed in the
interpretation of this Agreement or any amendments or exhibits hereto.
ARTICLE 13
SEVERABILITY
The provisions of this Agreement are severable, and if any word, phrase, clause,
sentence, paragraph, section or other part of this Agreement or the application thereof to
any person or circumstance shall evei be held by any court of competent jurisdiction to
be invalid or unconstitutional for any reason, the remainder of this Agreement and the
application of such word, phrase, clause, sentence, paragraph, section or other part of
this Agreement to other persons or circumstances shall not be affected thereby and this
Agreement shall be construed as if such invalid or unconstitutional portion had never
been contained therein.
ARTICLE 14
NOTICES
Notices to be provided heieunder shall be sufficient if forwarded to the other Party by
hand -delivery or via U.S. Postal Service certified mail return receipt requested, postage
prepaid, to the address of the other Party shown below:
City of Fort Worth
Attn: Financial Management Services
1000 Throckmorton Street
Fort Worth, Texas 76102
Consultant:
MGT of America, Inc.
Attn Mark Epstein
502E 11 `I St., Ste. 300
Austin, TX 78701
ARTICLE 15
HEADINGS
The headings contained herein are for the convenience in reference and are not intended
to define or limit the scope of any provision of this Agreement
ARTICLE 16
OWNERSHIP OF WORK PRODUCT
City shall be the owner of all work papers created in connection with this Agreement.
Consultant shall deliver all such work papers created in connection with this Agreement
to City upon completion or termination of this Agieement. Consultant shall be entitled to
retain a set of such work papers for its files
ARTICLE 17
FORCE MAJEURE
The City and Consultant shall exercise their best efforts to meet their respective duties
and obligations as set forth in this Agreement, but shall not be held liable for any delay or
omission in performance due to force majeure or other causes beyond their reasonable
control (force majeure), including, but not limited to, compliance with any government
law, ordinance or regulation, acts of God, acts of the public enemy, fires, strikes,
lockouts, natural disasters, wars, riots, mateiial or labor restrictions by any governmental
authority, transportation problems and/or any other similar causes
ARTICLE 18
SIGNATURE AUTHORITY
The person signing this agreement hereby warrants that he/she has the legal authority to
execute this agreement on behalf of the respective party, and that such binding authority
has been granted by proper order, resolution, ordinance or other authorization of the
entity. The other party is fully entitled to rely on this warranty and representation in
entering into this Agreement.
ARTICLE 19
COUNTERPARTS
This Agreement may be executed in one or more counterparts and each counterpart shall,
for all purposes, be deemed an original, but all such counterparts shall together constitute
but one and the same instrument.
(Remainder of Page Intentionally Left Blank)
IN WITNESS THEREOF, the parties hereto have made and executed this Agreement in
multiple originals the day and year first above written, in Fort Worth, Tarrant County,
Texas.
CITY OF FORT WORTH:
B
Karen `�. Montgomery
Assistant City Manager
Date:
sith
APPROVED AS TO FORM AND
LEGALITY:
B
Maleshia Farm r
Assistant City Attorney
ATTEST:
By: kmititiw%
\.- Marty Hendrix
City Secretary
the
CONTRACT AUTHORIZATION.
M&C: C— as•o(I
Date Approved: 311917.01(
CONSULTANT:
MGT of America, Inc.
By:
Mark Epstein
Senior Partner
Date: -1 /(24 / 1 /
ATTEST:
By: "e/b4Cs
Name cz p 67.9gA' et
Title: pcf/re t G R .
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OFFICIAL RECORD
CITY SECRETARY
FtWORTH,TX
ATTACHMENT A
SCOPE OF SERVICES
1 Develop detailed cost allocation plans that comply with the provisions of OMB
Circular A-87. The following plans will be prepared:
• Cost Allocation Plan per OMB Circular A-87 based on actual costs for
fiscal year (FY) 2010
• Full Cost Allocation Plan based on budgeted costs for fiscal year (FY)
2011.
2, The OMB Circular A-87 cost allocation plans will be used to recover indirect
costs from state and federal grants by establishing new sates and reconciling
actual costs with charges made in the prior year. The OMB Circular A-87 is
available at the White House web site.
httn://www,whitehouse.aov/omb/circulars/a087/a087-all,html,
3. Negotiate completed cost allocation plans with the appropriate federal and/or
state representatives if requested. Also, assist the City in preparing claims to the
state and/or outside sources to insure that the City receives all recoveries owed to
it.
4. Develop full cost allocation plans in accordance with a full cost concept. The full
cost plan will include general government costs and will be used for management
purposes such as internal service costing, administrative cost transfers from
enterprise funds and information for budgeting. The full cost plans will be based
upon budgeted costs for fiscal year 2011.
5. The City of Fort Worth Water and Wastewater Enterprise Fund provides services
to other City Enterprise Funds which are not considered "utility rate" services.
These services include but are not limited to: customer account setup and
database management, monthly billing remittance processing, customer service,
accounting and delinquency maintenance. The Water and Wastewater Enterprise
Fund is currently under recovering costs for the service piovided to other
Enterprise Funds.
The scope of services desired:
• Obtain an understanding of services being provided to other enterprise
funds
• Determine cost drivers.
• Differentiate between costs common to the parties while identifying
costs that exceed the Water Department s stand-alone costs.
• Estimate direct and indirect costs being absorbed by the Water and
Wastewater Enterprise Fund.
• Develop a fair and equitable allocation method for costs to the various
Enterpi ise Funds for the services performed.
MG 1 Response to Fort Worf h -I exas
REP No. 11 -012.0
Indirect Cost Allocation Plan
Part VI - Fees
Full Cost and OMB Circular A-87 Cost Allocation Plans
MGT will provide the proposed services for the following annual, fixed, all-inclusive fee. This fee
contains all direct and indirect costs including meetings, presentations, document production,
etc. No additional expenses will be charged.
$23,500 $23,500
$23,500
$24,700 $24,700
Progressive payments are requested based on achieving project milestones.
Water and Sewer Enterprise Fund Cost Allocation Plan
MGT will provide the proposed services for the following annual, fixed, all-inclusive fee. This fee
contains all direct and indirect costs including meetings, presentations, document production,
etc. No additional expenses will be charged.
Progressive payments are requested based on achieving project milestones.
15
OF AMERICA, INC..
DATE:
COUNCIL ACTION: Approved on 7/19/2011
LOG NAME
PUBLIC
HEARING:
SUBJECT: Authorize Execution of a Professional Services Agreement with MGT of America Inc., for
the City's Cost Allocation Plans and Indirect Cost Rates with an Annual Cost Up to
$29,000.00 (ALL COUNCIL DISTRICTS)
Official site of the City of Fo t Worth, Texas
FORT WORT
7/19/2011 REFERENCE
NO.:
CODE C
TYPE•
**C-25011
CONSENT
13P11-0120 COST
ALLOCATION PLANS SV
NO
RECOMMENDATION:
It is recommended that the City Council authorize the City Manager to execute an Agreement with
MGT of America, Inc., to develop detailed cost allocation plans in accordance with the Federal Office
of Management and Budget Circular A-87, Full Cost Allocation Plans and Water and Sewer Cost
Allocation Plans at an annual cost up to $29,000.00.
DISCUSSION:
The City provides support services for its federal and state grant funded programs. The support
services may include the costs of building occupancy, equipment usage, procurement, personnel
administration, accounting and other overhead activities, which are charged to the grants as indirect
costs. Federal Office of Management and Budget (OMB) Circular A-87, provides guidelines for
identification and recovery of indirect costs. Before the City can charge indirect costs to grants, it
must submit proposed indirect cost rates to the grantor or cognizant agency for approval on an
annual basis The proposed rates must be supported by the cost allocation plan.
An evaluation panel was made up of representatives from Financial Management Services, Public
Events Parks and Community Services, City Manager's Office and Water Departments Proposals
were received from Business & Financial Solutions, MGT of America, Inc , Maximus Consulting
Services, Inc., and Seel Jackson Consulting, LLC. The recommended vendor, MGT of America, Inc.,
was determined to be the most qualified to perform the services required
BID ADVERTISEMENT - This bid was advertised in the Fort Worth Star-Telearam on Wednesdays
from March 9, 2011 through March 30, 2011. The Purchasing Division solicited ninety vendors from
the purchasing system database and four bids were received.
M/WBE - A waiver of the goal for M/WBE subcontracting requirements was requested by the
Purchasing Division and approved by the M/WBE Office because the purchase of goods or services
is from sources where subcontracting or supplier opportunities are negligible.
AGREEMENT TERMS — The initial term of the Agreement will begin July 20, 2011 and expire July
19, 2012.
RENEWAL OPTIONS — This Agreement may be renewed for up to four successive one-year terms at
the City's option. This action does not require specific City Council approval provided that the City
Council has appropriated sufficient funds to satisfy the City's obligations during the renewal term.
Staff is bringing this before City Council because the considerable likelihood, that all four options will
be renewed making the total contract value $148,000.00 ($29,000 00 for FY2011; $29,000.00 for FY
2012 $29 000.00 for FY 2013, $30,500.00 for FY 2014, $30,500 00 for FY 2015), which exceeds
$50,000.00 thereby requiring City Council Approval.
http://apps.cfwnet.org/council_packet/mc_review.asp7ID=15529&councildate=7/19/2011 8/4/2011
FISCAL INFORMATION/CERTIFICATION:
The Financial Management Services Director certifies that funds are available in the current operating
budget, as appropriated, of the General Fund and the Water and Sewer Fund.
BQN\11-0120\MJ
TO Fund/Account/Centers
FROM Fund/Account/Centers
GG01 531200 0131010 $23.500.00
PE45 539120 0609000 $2.750.00
PE45 539120 0709000 $2.750.00
Submitted for City Manaaer's Office by: Karen Montgomery (6222)
Oriainatina Department Head: Lena Ellis (8517)
Additional Information Contact: Stephen Vogl (2041)
ATTACHMENTS
http://apps.cfwnet.org/council_packet/mc_review.asp?ID=15529&councildate=7/19/2011 8/4/2011