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HomeMy WebLinkAboutContract 59984CSC No. 59984 This VENDOR SERVICES AGREEMENT ("Agreement") is made and entered into by and between the CITY OF FORT WORTH ("City"), a Texas home rule municipal corporation, acting by and through its duly authorized Assistant City Manager, and MUNICAP, INC. ("Consultant"), a Maryland Corporation, and acting by and through Keenan Rice, its duly authorized President, each individually referred to as a "party" and collectively referred to as the "parties." AGREEMENT DOCUMENTS: The Agreement documents will include the following: 1. This Agreement for Professional Services; 2. Exhibit A-1 — Statement of Work — Public Improvement Districts ("PID"); 3. Exhibit A-2 — Statement of Work — Tax Increment Reinvestment Zone ("TIRZ"); 4. Exhibit B — Verification of Signature Authority Form 5. Exhibit C-1 — Consulting and Administration Service Fee Schedule — PID 6. Exhibit C-2 — Consulting and Administration Service Fee Schedule — TIRZ 7. Exhibit C-3 — List of PIDs 8. Exhibit C-4 — List of TIRZ Exhibits A- 1, A-2, B, C-1, C-2, C-3, and C-4 are attached hereto and incorporated herein for all purposes. are made a part of this Agreement for all purposes. 1. TERMINATION OF PRIOR AGREEMENT City and Consultant understand and acknowledge that they are currently parties to an agreement for services related to the financial and operational administrative services related to the Quail Valley and Rock Creek Ranch Capital Public Improvement Districts, the same being City Secretary Contract Number 49927 ("Prior Agreement"). The term of the Prior Agreement expires on November 30, 2023; however, because this Agreement will involve many of the same services as the Prior Agreement, plus new services related to new PIDs and TIRZs, the parties desire for this Agreement to supersede the Prior Agreement. Therefore, the parties agree that the Prior Agreement will terminate on the Effective Date of this Agreement, in which case this Agreement will control the obligations of the parties moving forward. 2. SCOPE OF SERVICES. Consultant will provide PID Assessment Plan consulting services, as well as administration services for the set-up of the assessment plan and TIRZ consulting services, as well as administration services for the set-up of the TIRZ and project plan and financing plan. Exhibits "A-1," and "A-2" set forth the services to be provided hereunder in more detail. 3. TERM. This Agreement will be effective beginning on August 9, 2023 ("Effective Date") and expire on July 31, 2027, unless terminated earlier in accordance with this Agreement ("Initial Term"). Following the Initial Term, the City's will have the option to renew this Agreement, in writing, for four (4) consecutive one-year terms (each a "Renewal Term"). The City will provide Consultant with written notice of its intent to renew at least thirty (30) days prior to the end of each term. 4. COMPENSATION. Vendor Services Agreement with MuniCap, Inc. 1 of 10 OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX 4.1 Total annual compensation under this Agreement will not exceed Four Hundred Five Thousand Dollars and Zero Cents ($405,000.00), which will be paid in accordance with the procedures set forth in this Agreement, including Exhibits C-1 and C-2. 4.2 Consultant will not perform any additional services or bill for expenses incurred for City not specified by this Agreement unless City requests and approves in writing the additional costs for such services. City will not be liable for any additional expenses of Consultant not specified by this Agreement unless City first approves such expenses in writing. 5. TERMINATION. 5.1. Written Notice. The City or Consultant may terminate this Agreement at any time and for any reason by providing the other party with 30 days' written notice of termination. 5.2 Non -appropriation of Funds. 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 will 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. 5.3 Duties and Obligations of the Parties. In the event that this Agreement is terminated prior to the expiration or termination of this Agreement, the City will pay Consultant for services actually rendered up to the effective date of termination and Consultant will continue to provide the City with services requested by the City and in accordance with this Agreement up to the effective date of expiration or termination. Upon termination of this Agreement for any reason, Consultant will provide the City with copies of all completed or partially completed documents prepared under this Agreement. In the event Consultant has received access to City information or data as a requirement to perform services hereunder, Consultant will return all City provided data to the City in a machine readable format or other format deemed acceptable to the City. 6. DISCLOSURE OF CONFLICTS AND CONFIDENTIAL INFORMATION. 6.1 Disclosure of Conflicts. Consultant hereby warrants to the City that Consultant has made full disclosure in writing of any existing or potential conflicts of interest related to Consultant's services under this Agreement. In the event that any conflicts of interest arise after the Effective Date of this Agreement, Consultant hereby agrees immediately to make full disclosure to the City in writing. 6.2 Confidential Information. Consultant, for itself and its officers, agents and employees, agrees that it will treat all information provided to it by the City as confidential and will not disclose any such information to a third party without the prior written approval of the City. 6.3 Unauthorized Access. Consultant will store and maintain City Information in a secure manner and will not allow unauthorized users to access, modify, delete or otherwise corrupt City Information in any way. Consultant will notify the City immediately if the security or integrity of any City information has been compromised or is believed to have been compromised, in which event, Consultant will, in good faith, use all commercially reasonable efforts to cooperate with the City in identifying what information has been accessed by unauthorized means and will fully cooperate with the City to protect such information from further unauthorized disclosure. Vendor Services Agreement with MuniCap, Inc. 2 of 10 V�� S M 1101 T.1111116 7.1 Consultant agrees that the City will, until the expiration of three (3) years after final payment under this Agreement, or the final conclusion of any audit commenced during the said three years, have access to and the right to examine at reasonable times any directly pertinent books, documents, papers and records of the Consultant involving transactions relating to this Contract at no additional cost to the City. Consultant agrees that the City will have access during normal working hours to all necessary Consultant facilities and will be provided adequate and appropriate work space in order to conduct audits in compliance with the provisions of this section. The City will give Consultant reasonable advance notice of intended audits. 7.2 Consultant further agrees to include in all its subConsultant agreements hereunder a provision to the effect that the subConsultant agrees that the City will, until expiration of three (3) years after final payment of the subcontract, or the final conclusion of any audit commenced during the said three years have access to and the right to examine at reasonable times any directly pertinent books, documents, papers and records of such subConsultant involving transactions related to the subcontract, and further that City will have access during normal working hours to all subConsultant facilities and will be provided adequate and appropriate work space in order to conduct audits in compliance with the provisions of this paragraph. City will give subConsultant reasonable notice of intended audits. 8. INDEPENDENT CONSULTANT. It is expressly understood and agreed that Consultant will operate as an independent Consultant as to all rights and privileges and work performed under this agreement, and not as agent, representative or employee of the City. Subject to and in accordance with the conditions and provisions of this Agreement, Consultant will have the exclusive right to control the details of its operations and activities and be solely responsible for the acts and omissions of its officers, agents, servants, employees, Consultants and subConsultant. Consultant acknowledges that the doctrine of respondeat superior will not apply as between the City, its officers, agents, servants and employees, and Consultant, its officers, agents, employees, servants, Consultants and subConsultant. Consultant further agrees that nothing herein will be construed as the creation of a partnership or joint enterprise between City and Consultant. It is further understood that the City will in no way be considered a Co -employer or a Joint employer of Consultant or any officers, agents, servants, employees or subConsultant of Consultant. Neither Consultant, nor any officers, agents, servants, employees or subConsultant of Consultant will be entitled to any employment benefits from the City. Consultant will be responsible and liable for any and all payment and reporting of taxes on behalf of itself, and any of its officers, agents, servants, employees or subConsultant. 9. LIABILITY AND INDEMNIFICATION. 9.1 LIABILITY - CONSULTANT WILL BE LIABLE AND RESPONSIBLE FOR ANY AND ALL PROPERTY LOSS, PROPERTY DAMAGE AND/OR PERSONAL INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, OF ANY KIND OR CHARACTER, WHETHER REAL OR ASSERTED, TO THE EXTENT CAUSED BY THE NEGLIGENT ACT(S) OR OMISSION(S), MALFEASANCE OR INTENTIONAL MISCONDUCT OF CONSULTANT, ITS OFFICERS, AGENTS, SERVANTS OR EMPLOYEES. 9.2 GENERAL INDEMNIFICATION - CONSULTANT HEREBY COVENANTS AND AGREES TO INDEMNIFY, HOLD HARMLESS AND DEFEND THE CITY, ITS OFFICERS, AGENTS, SERVANTSAND EMPLOYEES, FROMAND AGAINST ANYAND Vendor Services Agreement with MuniCap, Inc. 3 of 10 ALL CLAIMS OR LAWSUITS OF ANY KIND OR CHARACTER, WHETHER REAL OR ASSERTED, FOR EITHER PROPERTY DAMAGE OR LOSS (INCLUDING ALLEGED DAMAGE OR LOSS TO CONSULTANT'S BUSINESS AND ANY RESULTING LOST PROFITS) AND/OR PERSONAL INJURY, INCLUDING DEATH, TO ANY AND ALL PERSONS, ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT, TO THE EXTENT CA USED BY THE NEGLIGENT ACTS OR OMISSIONS OR MALFEASANCE OF CONSULTANT, ITS OFFICERS, AGENTS, SERVANTS OR EMPLOYEES. 9.3 INTELLECTUAL PROPERTY INDEMNIFICATION— Consultant agrees to defend, settle, or pay, at its own cost and expense, any claim or action against the City for infringement of any patent, copyright, trade mark, trade secret, or similar property right arising from City's use of the software and/or documentation in accordance with this Agreement, it being understood that this agreement to defend, settle or pay will not apply if the City modifies or misuses the software and/or documentation. So long as Consultant bears the cost and expense of payment for claims or actions against the City pursuant to this section, Consultant will have the right to conduct the defense of any such claim or action and all negotiations for its settlement or compromise and to settle or compromise any such claim; however, City will have the right to fully participate in any and all such settlement, negotiations, or lawsuit as necessary to protect the City's interest, and City agrees to cooperate with Consultant in doing so. In the event City, for whatever reason, assumes the responsibility for payment of costs and expenses for any claim or action brought against the City for infringement arising under this Agreement, the City will have the sole right to conduct the defense of any such claim or action and all negotiations for its settlement or compromise and to settle or compromise any such claim; however, Consultant will fully participate and cooperate with the City in defense of such claim or action. City agrees to give Consultant timely written notice of any such claim or action, with copies of all papers City may receive relating thereto. Notwithstanding the foregoing, the City's assumption of payment of costs or expenses will not eliminate Contractor's duty to indemnify the City under this Agreement. If the software and/or documentation or any part thereof is held to infringe and the use thereof is enjoined or restrained or, if as a result of a settlement or compromise, such use is materially adversely restricted, Consultant will, at its own expense and as City's sole remedy, either: (a) procure for City the right to continue to use the software and/or documentation; or (b) modify the software and/or documentation to make it non -infringing, provided that such modification does not materially adversely affect City's authorized use of the software and/or documentation; or (c) replace the software and/or documentation with equally suitable, compatible, and functionally equivalent non -infringing software and/or documentation at no additional charge to City; or (d) if none of the foregoing alternatives is reasonably available to Consultant, terminate this agreement, and refund all amounts paid to Consultant by the City, subsequent to which termination City may seek any and all remedies available to City under law. 10. ASSIGNMENT AND SUBCONTRACTING. 10.1 Assignment. Consultant will not assign or subcontract any of its duties, obligations or rights under this Agreement without the prior written consent of the City. If the City grants consent to an assignment, the assignee will execute a written agreement with the City and the Consultant under which the assignee agrees to be bound by the duties and obligations of Consultant under this Agreement. The Consultant and assignee will be jointly liable for all obligations of the Consultant under this Agreement prior to the effective date of the assignment. Vendor Services Agreement with MuniCap, Inc. 4 of 10 10.2 Subcontract. If the City grants consent to a subcontract, the subConsultant will execute a written agreement with the Consultant referencing this Agreement under which the subConsultant will agree to be bound by the duties and obligations of the Consultant under this Agreement as such duties and obligations may apply. The Consultant will provide the City with a fully executed copy of any such subcontract. i f � MIN Do Consultant will provide the City with certificate(s) of insurance documenting policies of the following minimum coverage limits that are to be in effect prior to commencement of any work pursuant to this Agreement: 11.1 Coverage and Limits (a) Commercial General Liability $1,000,000 Each Occurrence $2,000,000 Aggregate (b) Automobile Liability $1,000,000 Each occurrence on a combined single limit basis Coverage will be on any vehicle used by the Consultant, its employees, agents, representatives in the course of the providing services under this Agreement. "Any vehicle" will be any vehicle owned, hired and non -owned. (c) Worker's Compensation Statutory limits Employer's liability $100,000 Each accident/occurrence $100,000 Disease - per each employee $500,000 Disease - policy limit This coverage may be written as follows: Workers' Compensation and Employers' Liability coverage with limits consistent with statutory benefits outlined in the Texas workers' Compensation Act (Art. 8308 — 1.0 et seq. Tex. Rev. Civ. Stat.) and minimum policy limits for Employers' Liability of $100,000 each accident/occurrence, $500,000 bodily injury disease policy limit and $100,000 per disease per employee (d) Professional Liability (Errors & Omissions) $1,000,000 Each Claim Limit $1,000,000 Aggregate Limit Professional Liability coverage may be provided through an endorsement to the Commercial General Liability (CGL) policy, or a separate policy specific to Professional E&O. Either is acceptable if coverage meets all other requirements. Coverage will be claims -made, and maintained for the duration of the contractual agreement and for two (2) years following completion of services provided. An annual Vendor Services Agreement with MuniCap, Inc. 5 of 10 certificate of insurance will be submitted to the City to evidence coverage. 11.2 General Requirements (a) The commercial general liability and automobile liability policies will name the City as an additional insured thereon, as its interests may appear. The term City will include its employees, officers, officials, agents, and volunteers in respect to the contracted services. (b) The workers' compensation policy will include a Waiver of Subrogation (Right of Recovery) in favor of the City of Fort Worth. (c) A minimum of Thirty (30) days' notice of cancellation or reduction in limits of coverage will be provided to the City. Ten (10) days' notice will be acceptable in the event of non-payment of premium. Notice will be sent to the Risk Manager, City of Fort Worth, 1000 Throckmorton, Fort Worth, Texas 76102, with copies to the City Attorney at the same address. (d) The insurers for all policies must be licensed and/or approved to do business in the State of Texas. All insurers must have a minimum rating of A- VII in the current A.M. Best Key Rating Guide, or have reasonably equivalent financial strength and solvency to the satisfaction of Risk Management. If the rating is below that required, written approval of Risk Management is required. (e) Any failure on the part of the City to request required insurance documentation will not constitute a waiver of the insurance requirement. (f) Certificates of Insurance evidencing that the Consultant has obtained all required insurance will be delivered to the City prior to Consultant proceeding with any work pursuant to this Agreement. 12. COMPLIANCE WITH LAWS. ORDINANCES. RULES AND REGULATIONS. Consultant agrees that in the performance of its obligations hereunder, it will comply with all applicable federal, state and local laws, ordinances, rules and regulations and that any work it produces in connection with this agreement will also comply with all applicable federal, state and local laws, ordinances, rules and regulations. If the City notifies Consultant of any violation of such laws, ordinances, rules or regulations, Consultant will immediately desist from and correct the violation. 13. NON-DISCRIMINATION COVENANT. Consultant, for itself, its personal representatives, assigns, subConsultants and successors in interest, as part of the consideration herein, agrees that in the performance of Consultant's duties and obligations hereunder, it will not discriminate in the treatment or employment of any individual or group of individuals on any basis prohibited by law. IF ANY CLAIM ARISES FROM AN ALLEGED VIOLATION OF THIS NON-DISCRIMINATION COVENANT BY CONSULTANT, ITS PERSONAL REPRESENTATIVES, ASSIGNS, SUBCONSULTANTS OR SUCCESSORS IN INTEREST, CONSULTANT AGREES TO ASSUME SUCH LIABILITY AND TO INDEMNIFY AND DEFEND THE CITY AND HOLD THE CITY HARMLESS FROM SUCH CLAIM. 14. NOTICES. Vendor Services Agreement with MuniCap, Inc. 6 of 10 Notices required pursuant to the provisions of this Agreement will be conclusively determined to have been delivered when (1) hand -delivered to the other party, its agents, employees, servants or representatives, (2) delivered by facsimile with electronic confirmation of the transmission, or (3) received by the other party by United States Mail, registered, return receipt requested, addressed as follows: To the CITY: City of Fort Worth Attn: Assistant City Manager 200 Texas Street Fort Worth, TX 76102-6311 With Copy to: City Attorney Same Address 15. SOLICITATION OF EMPLOYEES. 1I�K�)►f.Y11NII:�►11� MuniCap, Inc. Abdi Yassin, Executive Vice President 600 East John Carpenter Freeway, Ste. 150 Irving, TX 75062 Facsimile: (469) 490-2800 Neither the City nor Consultant will, during the term of this agreement and additionally for a period of one year after its termination, solicit for employment or employ, whether as employee or independent contractor, any person who is or has been employed by the other during the term of this Agreement, without the prior written consent of the person's employer. Notwithstanding the foregoing, this provision will not apply to an employee of either parry who responds to a general solicitation of advertisement of employment by either party. 16. GOVERNMENTAL POWERS. It is understood and agreed that by execution of this Agreement, the City does not waive or surrender any of its governmental powers or immunities. 17. NO WAIVER. The failure of the City or Consultant to insist upon the performance of any term or provision of this Agreement or to exercise any right granted herein will not constitute a waiver of the City's or Consultant's respective right to insist upon appropriate performance or to assert any such right on any future occasion. 18. GOVERNING LAW / VENUE. This Agreement will be construed in accordance with the laws of the State of Texas. If any action, whether real or asserted, at law or in equity, is brought pursuant to this Agreement, venue for such action will lie in state courts located in Tarrant County, Texas or the United States District Court for the Northern District of Texas, Fort Worth Division. 19. SEVERABILITY. If any provision of this Agreement is held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions will not in any way be affected or impaired. 20. FORCE MAJEURE. Vendor Services Agreement with MuniCap, Inc. 7 of 10 City and Consultant will exercise their best efforts to meet their respective duties and obligations as set forth in this Agreement, but will not be held liable for any delay or omission in performance due to force majeure or other causes beyond their reasonable control, 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; epidemics or pandemics; government action or inaction; orders of government; material or labor restrictions by any governmental authority; transportation problems; restraints or prohibitions by any court, board, department, commission, or agency of the United States or of any States; civil disturbances; other national or regional emergencies; or any other similar cause not enumerated herein but which is beyond the reasonable control of the Party whose performance is affected (collectively, "Force Majeure Event"). The performance of any such obligation is suspended during the period of, and only to the extent of, such prevention or hindrance, provided the affected Party provides notice of the Force Majeure Event, and an explanation as to how it prevents or hinders the Party's performance, as soon as reasonably possible after the occurrence of the Force Majeure Event, with the reasonableness of such notice to be determined by the City in its sole discretion. The notice required by this section must be addressed and delivered in accordance with Section 13 of this Agreement. 21. HEADINGS NOT CONTROLLING. Headings and titles used in this Agreement are for reference purposes only, will not be deemed a part of this Agreement, and are not intended to define or limit the scope of any provision of this Agreement. 22. REVIEW OF COUNSEL. The parties acknowledge that each party and its counsel have reviewed and revised this Agreement and that the normal rules of construction to the effect that any ambiguities are to be resolved against the drafting party will not be employed in the interpretation of this Agreement or Exhibits A, B, and C. 23. AMENDMENTS/ MODIFICATIONS/ EXTENSIONS. No amendment, modification, or extension of this Agreement will be binding upon a party hereto unless set forth in a written instrument, which is executed by an authorized representative of each party. 24. COUNTERPARTS. This Agreement may be executed in one or more counterparts and each counterpart will, for all purposes, be deemed an original, but all such counterparts will together constitute one and the same instrument. 25. WARRANTY OF SERVICES. Consultant warrants that its services will be of a professional quality and conform to generally prevailing industry standards. City must give written notice of any breach of this warranty within thirty (30) days from the date that the services are completed. In such event, at Consultant's option, Consultant will either (a) use commercially reasonable efforts to re -perform the services in a manner that conforms with the warranty, or (b) refund the fees paid by the City to Consultant for the nonconforming services. 26. IMMIGRATION NATIONALITY ACT. Consultant must verify the identity and employment eligibility of its employees who perform work under this Agreement, including completing the Employment Eligibility Verification Form (I-9). Upon request by City, Consultant will provide City with copies of all I-9 forms and supporting eligibility Vendor Services Agreement with MuniCap, Inc. 8 of 10 documentation for each employee who performs work under this Agreement. Consultant must adhere to all Federal and State laws as well as establish appropriate procedures and controls so that no services will be performed by any Consultant employee who is not legally eligible to perform such services. CONSULTANT WILL INDEMNIFY CITY AND HOLD CITY HARMLESS FROM ANY PENALTIES, LIABILITIES, OR LOSSES DUE TO VIOLATIONS OF THIS PARAGRAPH BY CONSULTANT, CONSULTANT'S EMPLOYEES, CONTRACTORS, SUBCONTRACTORS, OR AGENTS. City, upon written notice to Consultant, will have the right to immediately terminate this Agreement for violations of this provision by Consultant 27. OWNERSHIP OF WORK PRODUCT. City will be the sole and exclusive owner of all reports, work papers, procedures, guides, and documentation, created, published, displayed, and/or produced in conjunction with the services provided under this Agreement, collectively, "Work Product". Further, City will be the sole and exclusive owner of all copyright, patent, trademark, trade secret and other proprietary rights in and to the Work Product. Ownership of the Work Product will inure to the benefit of the City from the date of conception, creation or fixation of the Work Product in a tangible medium of expression (whichever occurs first). Each copyrightable aspect of the Work Product will be considered a "work -made -for -hire" within the meaning of the Copyright Act of 1976, as amended. If and to the extent such Work Product, or any part thereof, is not considered a "work -made -for -hire" within the meaning of the Copyright Act of 1976, as amended, Consultant hereby expressly assigns to City all exclusive right, title and interest in and to the Work Product, and all copies thereof, and in and to the copyright, patent, trademark, trade secret, and all other proprietary rights therein, that the City may have or obtain, without further consideration, free from any claim, lien for balance due, or rights of retention thereto on the part of the City. 28. SIGNATURE AUTHORITY. The person signing this Agreement hereby warrants that they have 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. This Agreement and any amendment hereto, may be executed by any authorized representative of Consultant. Each party is fully entitled to rely on these warranties and representations in entering into this Agreement or any amendment hereto. 29. CHANGE IN COMPANY NAME OR OWNERSHIP. Consultant must notify City's Purchasing Manager, in writing, of a company name, ownership, or address change for the purpose of maintaining updated City records. The president of Consultant or authorized official must sign the letter. A letter indicating changes in a company name or ownership must be accompanied with supporting legal documentation such as an updated W-9, documents filed with the state indicating such change, copy of the board of director's resolution approving the action, or an executed merger or acquisition agreement. Failure to provide the specified documentation so may adversely impact future invoice payments. 30. NO BOYCOTT OF ISRAEL. If Consultant has fewer than 10 employees or this Agreement is for less than $100,000, this section does not apply. Consultant acknowledges that in accordance with Chapter 2271 of the Texas Government Code, the City is prohibited from entering into a contract with a company for goods or services unless the contract contains a written verification from the company that it: (1) does not boycott Israel; and (2) will not boycott Israel during the term of the contract. The terms "boycott Israel" and "company" has the Vendor Services Agreement with MuniCap, Inc. 9 of 10 meanings ascribed to those terms in Section 2271 of the Texas Government Code. By signing this Agreement, Consultant certifies that Consultant's signature provides written verification to the City that Consultant: (1) does not boycott Israel; and (2) will not boycott Israel during the term of the Agreement. 31. PROHIBITION ON BOYCOTTING ENERGY COMPANIES. Consultant acknowledges that, in accordance with Chapter 2274 of the Texas Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 13, § 2, the City is prohibited from entering into a contract for goods or services that has a value of $100,000 or more that is to be paid wholly or partly from public funds of the City with a company with 10 or more full-time employees unless the contract contains a written verification from the company that it: (1) does not boycott energy companies; and (2) will not boycott energy companies during the term of the contract. The terms "boycott energy company" and "company" have the meaning ascribed to those terms by Chapter 2274 of the Texas Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 13, § 2. To the extent that Chapter 2274 of the Government Code is applicable to this Agreement, by signing this Agreement, Consultant certifies that Consultant's signature provides written verification to the City that Consultant: (1) does not boycott energy companies; and (2) will not boycott energy companies during the term of this Agreement. 32. PROHIBITION ON DISCRIMINATION AGAINST FIREARM AND AMMUNITION INDUSTRIES. Consultant acknowledges that except as otherwise provided by Chapter 2274 of the Texas Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 19, § 1, the City is prohibited from entering into a contract for goods or services that has a value of $100,000 or more that is to be paid wholly or partly from public funds of the City with a company with 10 or more full-time employees unless the contract contains a written verification from the company that it: (1) does not have a practice, policy, guidance, or directive that discriminates against a firearm entity or firearm trade association; and (2) will not discriminate during the term of the contract against a firearm entity or firearm trade association. The terms "discriminate," "firearm entity" and "firearm trade association" have the meaning ascribed to those terms by Chapter 2274 of the Texas Government Code, as added by Acts 2021, 87th Leg., R.S., S.B. 19, § 1. To the extent that Chapter 2274 of the Government Code is applicable to this Agreement, by signing this Agreement, Consultant certifies that Consultant's signature provides written verification to the City that Consultant: (1) does not have a practice, policy, guidance, or directive that discriminates against a firearm entity or firearm trade association; and (2) will not discriminate against a firearm entity or firearm trade association during the term of this Agreement. 33. ELECTRONIC SIGNATURES. This Agreement may be executed by electronic signature, which will be considered as an original signature for all purposes and have the same force and effect as an original signature. For these purposes, "electronic signature" means electronically scanned and transmitted versions (e.g. via pdf file or facsimile transmission) of an original signature, or signatures electronically inserted via software such as Adobe Sign. 34. ENTIRETY OF AGREEMENT. This Agreement contains the entire understanding and agreement between City and Consultant, their assigns and successors in interest, as to the matters contained herein. Any prior or contemporaneous oral or written agreement is hereby declared null and void to the extent in conflict with any provision of this Agreement. Vendor Services Agreement with MuniCap, Inc. 10 of 10 IN WITNESS W City of Fort Worth, Texas: By: William Johnson (A 24, 202315:13 EDT) REOF, the parties hereto have executed this Agreement in multiples. Name: William Johnson Title: Assistant City Manager Date: Aug 24, 2023 MuniCap, Inc. A Maryland corporation: .A6c%' G�aaa�ii By: Name: Abdi Yassin Title: Executive Vice President Date: Aug 23, 2023 FOR CITY OF FORT WORTH INTERNAL PROCESSES: Approval Recommended: .Po6a�tst�� By: Name: Robert Sturns Title: Director Approved as to Form and Legality By: Name: Tyler F. Wallach Title: Assistant City Attorney Contract Authorization: M&C: 23-0629 (August 8, 2023) Form 1295:2023-1043398 Vendor Services Agreement with MuniCap, Inc. 11 of 10 Contract Compliance Manager: By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. By: �� Name: Crystal Hinojosa Title: Economic Development Manager City Secretary V � s By: Name: Jannette Goodall Title: City Secretary oouopp o0 R 0t fTo�9dd �o Pvo o=d PdQ*°Q, o°*� aQ a a� n�a5aa OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX EXIHIBIT A-1 STATEMENT OF WORK — PIDs 1.0 SCOPE OF SERVICES Consultant will provide services to the City for the PIDs set forth in Exhibit C-3 in accordance with this scope of services. There are fifteen (15) sections to the scope of services relating to eight (8) general types of consulting and administrative services provided. The eight (8) general types are consulting services related to service and assessment plan and bond issuance, administrative support services related to the special assessments, delinquency management, prepayment of special assessments, arbitrage rebate, continuing disclosure, IRS compliance monitoring, and accounting services. 2.0 CONSULTING SERVICES RELATED TO SERVICE AND ASSESSMENT PLAN AND BOND ISSUANCE Consulting services are services associated with the preparation of service and assessment plan with related assessment roll(s) for financing the public improvement of the development with the issuance of public improvement district bonds. The following services are typically provided by the Consultant on similar financings, but all services are provided on an as requested basis. • Consultant will prepare the service plan for the PIDs. The service plan will include the assessment methodology and the assessment roll for the PIDs. In conjunction with the preparation of the service plan, Consultant will help estimate the assessments on various types of properties and revenues available to apply to the assessments and prepare projections for the issuance of bonds secured by the assessments; • Consultant will also review descriptions of the service plan and assessment methodology included in bond documents, including the offering statement, to help confirm these documents and the service plan are consistent; • Consultant will provide the certification required for the issuance of the bonds as reasonably approved by Consultant; and • Consultant will provide services to assist with the issuance of bonds on an as requested basis, including attending meetings, participating in conference calls, reviewing documents, providing advice and preparing projections of revenues to repay the bonds. 3.0 ADMMISTRATIVE SUPPORT SERVICES RELATED TO THE SPECIAL ASSESSMENTS Administrative and management support services are those services associated with the annual determination of the special assessments to be collected from the property subject thereto, updating the service and assessment plan and the special assessment roll, management of bond funds and accounts, and providing public information. 4.0 CALCULATE AND ALLOCATE THE ANNUAL INSTALLMENT Task will entail determining the Annual Installment to be collected from each parcel and includes the following sub -tasks: Background Research Task will involve gathering and organizing the information required to form a database necessary to calculate and to allocate the Annual Installment and includes the following: 1. Subdivision Research: Identify parcel subdivisions and any other information relevant to collection of the Annual Installments; 2. Assessor's Parcel Research: Upon publication of property tax roll, review assessor parcel maps to compile a list of the assessor's parcels that will be valid for the collection of the Annual Installments and determine the assessed value of each parcel; 3. Ownership/Exempt Property Research: Research changes in ownership, dedication and offers of dedication of property to public agencies and other exempt uses. Identify date property conveyed or offered to exempt entities; and 4. Database Management: Prepare database to include all relevant property characteristics for the parcels in the PIDs. Calculate the Annual Installment to be collected Task will involve calculating the Annual Installment to be collected and includes the following sub -tasks: 1. Preparation of Budget: Prepare a budget for the PIDs for the subsequent fiscal year on the basis of the Service and Assessment Plan (SAP), as updated each year; 2. Calculate Other Funds Available: Calculate other funds available, such as TIRZ credits, capitalized interest and reserve fund income to be applied to the budget, as applicable; and Allocate Annual Assessment to the Assessed Lots: Allocate the Annual Installment to be collected to the Assessed Lots in the PID on the basis of the Systems, Applications and Products (SAP's) as updated each year. Determine Amendments to the Annual Assessment Roll Task will involve determining the amendments to the Annual Assessment Roll and making those amendments pursuant to the SAP's of Special Assessments. Revise Assessment Plan Task will involve updating the assessment plan to explain the research, methodology and assumptions utilized in the preparation of the budget, the Annual Installments to be collected, the allocation of the Annual Installment to be collected from the Assessed Lots, and the amendments to the Annual Assessment Roll. In conjunction with the preparation of the revised assessment plan, Consultant will monitor and report on opportunities to refund the bonds to reduce the costs of debt service. Support Services Related to Billing of Annual Installments 1. Present Findings to the City: The updated assessment plan prepared by the Consultant will be provided to the City for its approval; 2. Provide Assessment Roll to County: The Consultant will assist the City with its required notification to the County of the amount of the Annual Installments to be collected each year; and 3. Supplemental Billing: The Consultant will assist the County or City with any supplemental billing that will be necessary. Administration of Bond Funds Task will involve the review and reconciliation of the account statements for funds and accounts maintained by the Trustee. The accounts and transactions are checked for accuracy and consistency with the Indenture. The task will also include evaluation and coordination of investment of funds, including a review of qualified investment options pursuant to the trust indenture. 5.0 PUBLIC INFORMATION Task will involve responding to telephone calls from property owners and other interested parties who have questions regarding the special assessments. The calls will be related to a tax bill or an inquiry related to the purchase or sale of property subject to the special assessments. The Consultant will provide a toll -free phone number for property owners to call with questions. Additionally, the number will be given to people who call the City or County to obtain information about the special assessments. 6.0 ADMINISTRATIVE REVIEW At the request of the City, the Consultant will review any notice from a property owner alleging an error in the calculation of any matters related to the Annual Assessment Roll, and if necessary, meet with the property owner, consider oral and written evidence regarding the alleged error and decide whether, in fact, such a calculation error occurred, and take other corrective action as required to correct the error. 7.0 DELIOUENCY MANAGEMENT Services will be provided only if special assessments are levied and there are delinquencies in the payment of special assessments. 8.0 DELINOUENT SPECIAL ASSESSMENT REPORT After the end of the collection period, the Consultant will prepare a report which lists each parcel delinquent in the payment of the Annual Installment, and the corresponding amount of delinquency plus penalties. 9.0 DELIOUENCY FOLLOW-UP The Consultant will keep the Trustee and City informed of special circumstances that come to the attention of the Consultant, such as bankruptcies and foreclosures. 10.0 PREPAYMENT OF SPECIAL ASSESSMENTS Consultant will coordinate the prepayment of special assessments with the City, Trustee, property owners and title companies. This coordination will include calculation of the amount due to prepay the special assessment and transmittal of a letter with the prepayment amount, prepayment instructions, and the recordable form of the special assessment lien release to the title company or other such steps as required by the Indenture and related documents. 11.0 ARBRITAGE REBATE SERVICES Arbitrage rebate services encompass activities associated with computing the rebate liability (if any) related to any PID or TIRZ bonds. The computations will be prepared as described in Section 148(f)(2) of the Internal Revenue Code of 1986, as amended, Consultant will coordinate the arbitrage rebate requirements of the bonds, including the following: Background Research Task will involve the review of documents, including the Indenture, non -arbitrage certificate, IRS form 8038-G trustee fund/account statements, prior rebate reports and consultations with bond counsel or special counsel, as needed. The funds subject to arbitrage rebate and any available exceptions will be identified. The flow of funds in the accounts with the Trustee will be identified as necessary to perform the arbitrage rebate calculations. Calculation of Bond Yield Task will involve preparation of a debt service table and an independent calculation of the yield on each issue. The resulting yields will be verified with those stated on the non -arbitrage certificates. Calculation of Rebate Liability Task will involve computation of the allowable arbitrage earnings and comparison of the results to the actual investment earnings for each issue. Preparation of Rebate Report Task will involve the preparation of a written report containing the findings of the financial analysis and an explanation of the underlying methodology followed to compute the rebate liability for each issue. In addition to identifying any arbitrage liability, each report contains a separate investment yield comparison and analysis for each fund. Standard features also include the following items as defined by U.S. Treasury Regulations: 1. Explanation of calculation methodology; 2. Overview of applicable rebate requirements and treasury regulations; 3. Summary of all pertinent dates; 4. Identification of major assumptions; 5. Review of sources and uses of funds; 6. Bond yield calculation; 7. Investment yield by fund with comparison to bond yield; 8. Rebate liability by fund; 9. Aggregate liability for the issue. 12.0 REBATE LIABILITY DISCHARGE Task will involve coordination of the filing of IRS Form 8038-T, and providing instructions for installment payments as necessary. 13.0 ASSISTANCE WITH IRS INOUIRES Task will involve providing assistance in the event of an IRS inquiry related to any PID bond issue and includes providing supporting documentation used to prepare the calculations and explanation of the calculations in a meeting with the IRS, if necessary. Services are provided on a time and material basis and are not included in the base fee. 14.0 CONTINUING DISCLOSURE SERVICES • Continuing Disclosure/Annual Report Preparation 1. Annual Report Preparation The Consultant will prepare an annual report as required by the continuing disclosure agreements; • Developer Quarterly Reports The Consultant will request from the Developer the reports pursuant to the continuing disclosure agreement; • Significant Event Notices Upon notification by any responsible party or if Consultant independently becomes aware of such knowledge, Consultant will prepare notices of material events covering the events enumerated in the disclosure agreements; • Dissemination The Consultant will disseminate the annual reports, quarterly reports from the Developer, and notices of significant events to the designated dissemination agent or Municipal Securities Rulemaking Board (MSRB) and the appropriate state information repository (SID), as applicable, in a timely manner as set forth in the continuing disclosure agreement. The Consultant will also provide information to bond holders requesting information as provided for in the continuing disclosure agreements; • Homebuyer Disclosure The Consultant will monitor notice provided to prospective homebuyers by the developer and builders in accordance with the home buyer disclosure program, including without limitation, the following notices: 1. Notice of the special taxing district recorded in the appropriate land records for the property; 2. Notice of the special taxing district provided by builders in addendum to contracts on brightly colored paper; 3. Collection of a copy of the addendum signed by each buyer from builders with such copy being provided to the City; 4. Signage indicating that the property for sale is located in a PID located in conspicuous places in all model homes; 5. An overview of the PIDs provided to builders to be included in sales packets; 6. Estimates of monthly ownership costs including special assessments; 7. Notification to settlement companies through the builders to include special assessments on HUD 1 forms and inclusion in total estimated assessments for the purpose of setting up tax escrows; 8. Notice of the PID in the homeowner association documents; and 9. Announcements of the PIDs on the City's web site and community channel. 15.0 IRS COMPLIANCE MONITORING • Compliance Monitoring Task will involve maintenance of an audit file and preparation of a report confirming compliance with applicable requirements of the tax certificate for the bonds. The task will include the following subtasks: 1. Ownership and Transfer of Public Improvements Confirm that all public improvements have been transferred to a public entity, once appropriate, as required by the applicable agreement with the developer; 2. No Post -Closing Agreements Confirm with any relevant parties to confirm that there are no post -closing agreements that give any private business user a special legal entitlement to any public improvement, except for those agreements reviewed by bond counsel; 3. No Disposition of the Public Improvements Confirm that there have been no sales, leases, or other dispositions of any public improvement, except for dispositions reviewed by bond counsel; 4. No Modifications Confirm that there have been no modifications to any public improvement, except for those which are in compliance with agreement with the developer providing for the construction of the public improvements or as otherwise approved by bond counsel; 5. Maintenance of Audit File Maintain an audit file with documentation to verify information related to compliance with the tax certificate; 6. Preparation of Report Prepare a report to the City each year explaining the efforts of Consultant to verify confirmation of compliance with the tax certificate, documentation in the audit file, and identifying any missing information or requirements of the tax certificate not confirmed. • Tax Reporting Consultant will request and compile all information related to IRS -required tax reporting (i.e.— W9's) from all vendors and report this information annually to all vendors and the IRS in accordance with IRS regulations. 16.0 ACCOUNTING SERVICES This task includes the following subtasks: Review and Track Invoices Consultant will enter any invoices received by the PID into the accounts receivable journal, check the invoice against approved contracts or purchase orders, prepare a certificate for the payment of the invoice by the Trustee, and forward the invoice with the Consultant's and Trustee's certificate to an officer of the PID authorized to approve the disbursement of funds by the PID. Maintain General Ledger Consultant will enter transactions in a general ledger for the PID to maintain accounting records to be used for the preparation of financial statements, as needed. Financial Statement Preparation Consultant will record financial transactions of the PID in the appropriate ledgers of the PID and prepare annual financial statements for the PID, as needed. Annual Audit Coordination The Consultant will coordinate with the auditor the preparation of an audit of the financial records of the PID. Consultant will incorporate internal controls as recommended by the auditor. Requisition Review 1. The Consultant will assist the City with review of all requisition documentation and verify confirmation of compliance with the Development, Acquisition and Financing Agreement, confirm proper documentation in the audit file, and identify any missing information or requirements not confirmed, as needed; and 2. The Consultant will provide other services requested by the City for which the Consultant has expertise, such as evaluating options to refund the bonds at a lower interest rate. Such services will be provided only if confirmed in writing (including by email) and will be billed on a time and material basis as provided for in Exhibit `B", "Verification of Authority". 17.0 OTHER AUTHORIZED WORK Perform any other PID related work requested by the City. The Consultant may provide other services requested by the City for which the Consultant has expertise, such as evaluating options to refund the bonds at a lower interest rate. Such services will be provided only if confirmed in writing (including by email) and will be billed on a time and material basis as provided for in Exhibit B. Upon request, and as additional services billed on an hourly basis, Consultant will provide additional services to assist with matters related to any PID. The services provided herein do not include conducting due diligence on information provided to or used by Consultant. Consultant will not rely on information it does not believe to be reasonable and valid, but it will not investigate the validity of information unless requested to so as additional work. Consultant's services do not include any services not specified herein or specified at the time additional services are requested, including review of legal, engineering, and land use issues. 18.0 MSRB NOTICE Consultant is registered as a "municipal advisor" under Section 15B of the Securities Exchange Act of 1934 and rules and regulations adopted by the Securities Exchange Commission (the "SEC") and the Municipal Securities Rulemaking Board (the "MSRB"). Pursuant to MSRB Rule G-10, Consultant (MuniCap, Inc.) is required to provide City with the following information: 1. Consultant has determined, after exercising reasonable diligence, that it has no known material conflicts of interest that would impair its ability to provide advice to City in accordance with its fiduciary duty to municipal -entity clients and the standard of care required by MSRB Rule G-42(a)(i) concerning obligated person clients. To the extent any material conflicts of interest arise after the date of this Agreement, Consultant will provide information concerning any material conflicts of interest in the form of a written supplement to this Agreement. 2. As part of this registration, Consultant is required to disclose any legal or disciplinary event that is material to the City's evaluation of the Consultant or the integrity of its management or advisory personnel. The Consultant has determined that no such event exists. Copies of Consultant filings with the SEC are available via the SEC's EDGAR system by searching "Company Filings," which is available via the Internet at: https://www.sec.gov/edgar/searchedgar/companysearch.html. Search for "MuniCap" or for Consultant's CIK number, which is 0001614774. 4. The MSRB has made available on its website (www.msrb.org) a municipal advisory client brochure that describes the protections that may be provided by MSRB rules and how to file a complaint with the appropriate regulatory authority. 1*141111:31Il15a STATEMENT OF WORK — TIRZ 1.0 SCOPE OF SERVICES Consultant will provide services to the City for the TIRZs in accordance with this scope of services. There are two sections to this scope of services relating to four general types of administrative services provided. These five sections are as follows: (i) consulting services related to TIRZ creation (ii) administrative support services related to the TIRZ revenues (iii) delinquency management (iv) disclosure services, and (v) compliance monitoring. The specific services to be provided by Consultant are as follows: 2.0 CONSULTING SERVICES RELATED TO TIRZ CREATION Consulting services are those services associated with a) the creation of TIRZs, b) preparation of the TIRZ Project Plan and Finance Plans ("TIRZ Plans"), and c) amendment of TIRZ Plans. 3.0 ADMINISTRATIVE SUPPORT SERVICES RELATED TO THE TIRZ REVENUES Administrative and management support services are those services associated with the annual determination of the applicable tax increment amounts pursuant to the TIRZ Plans collected from the properties subject thereto (the "TIRZ Revenues"), updating the TIRZ Plans, allocation of TIRZ Revenues, and providing public information. A. Calculate and Allocate the TIRZ Revenues This task entails determining the annual TIRZ Revenues collected from each parcel and includes the following sub -tasks: 1. Background Research This task involves gathering and organizing the information required to form a database necessary to calculate and to allocate the TIRZ Revenues and includes the following: a. Subdivision Research: Identify parcel subdivisions and any other information relevant to collection of the TIRZ Revenues. b. Assessor's Parcel Research: Upon publication of property tax roll, review assessor parcel maps to compile a list of the assessor's parcels that will be valid for the collection of the TIRZ Revenues and verify the assessed value of each parcel. Database Management: Prepare database to include all relevant property characteristics for the parcels in the TIRZ. 2. Calculate and/or Verify the TIRZ Revenues Collected This task involves calculating and/or verifying the TIRZ Revenues collected and includes the following sub -tasks: a. Preparation of Budget: Prepare a budget for the TIRZs based on TIRZ Revenues collected in the preceding fiscal year on the basis of the TIRZ Plans, as updated from time to time. b. Allocate TIRZ Revenues for authorized uses: Allocate the TIRZ Revenues collected for authorized uses on the basis of the TIRZ Plans, as updated from time to time. 3. Determine Updates to the Annual Assessment Roll This task involves determining the updates to the Annual Assessment Roll, if applicable, and making those amendments pursuant to the TIRZ Plans. 4. Update TIRZ Plans This task involves updating the TIRZ Plans to incorporate changes, if any, to the research, methodology, and assumptions utilized in the preparation of the TIRZ Plans, the TIRZ Revenues collected, and the allocation of the TIRZ Revenues collected from the parcels in the TIRZs. B. Administration of Bond Funds This task involves the review and reconciliation of the account statements for funds and accounts maintained for the TIRZ Revenues, if applicable. The accounts and transactions are checked for accuracy and consistency with the applicable documents. C. Public Information This task involves responding to telephone calls from property owners and other interested parties who have questions regarding the TIRZs. These calls may be related to a tax bill or an inquiry related to the purchase or sale of property. The Consultant will provide a toll -free phone number for property owners to call with questions. Additionally, this number may be given to people who call the City or County to obtain information about the TIRZs. D. Administrative Review At the request of the City, the Consultant will review any notice from a property owner alleging an error in the calculation of any matters related to the TIRZs, and if necessary, meet with the property owner, consider oral and written evidence regarding the alleged error and decide whether, in fact, such a calculation error occurred, and take other corrective action as required to correct the error. D. TIRZ Board Management This task involves providing best practices for TIRZ Board management, and includes the following sub -tasks: a. Review all relevant TIRZ related documents and prepare an outline of TIRZ participants, projects, obligations, performance timelines, milestones etc. b. Work with TIRZ Board to determine reasonable and predictable schedule of meetings. c. Prepare a detailed annual TIRZ task timeline for TIRZ Board consideration and approval. d. Coordinate Board meetings including required statutory notices and publications. Solicit agenda items, prepare and circulate draft agendas for feedback and post final agendas as required. e. Prepare necessary meeting packets including draft minutes of prior meetings and presentation materials as needed. f. Assist TIRZ Board and/ or City staff in preparation for meetings, as needed. g. Prepare TIRZ Board meeting minutes. h. Prepare and send meeting follow-ups for action items considered in TIRZ Board meetings. i. Conduct regular workshops for new and existing TIRZ Board members as needed. Most workshops will be structured to coincide with TIRZ Board meeting dates for efficiency. j. Work with City secretary and City and/or TIRZ counsel to ensure proper recording of relevant TIRZ related documents. 4.0 DELINOUENCY MANAGEMENT These services are provided only if there are delinquencies in the payment of TIRZ Revenues. A. Delinquent TIRZ Revenues Report After the end of the collection period, the Consultant will prepare a report which lists each parcel delinquent in the payment of the TIRZ Revenues and the corresponding amount of delinquency, plus penalties. B. Delinquency Follow -Up The Consultant will keep the City informed of special circumstances that come to the attention of the Consultant, such as bankruptcies and foreclosures. The Consultant will also work with the City, the delinquent tax attorneys and the tax collector to initiate and pursue delinquency enforcement procedures. 5.0 CONTINUING DISCLOSURE SERVICES A. Continuing Disclosure/Annual Report Preparation 1. Annual Report Preparation The Consultant will prepare or assist the City to prepare an annual report for the TIRZs as may be required. 2. Interim Reports The Consultant will prepare or assist the City to prepare an interim report for the TIRZs, if requested, or any other work request by the City. 6.0 COMPLIANCE MONITORING A. Compliance Monitoring This task involves maintenance of an audit file and preparation of a report confirming compliance with the provisions of the TIRZ Plans. This task includes the following subtasks: 1. Ownership and Transfer of Public Improvements Confirm that all public improvements have been transferred to a public entity, once appropriate, as required by the applicable agreement with the developer. 2. No Post -Closing Agreements Confirm with any relevant parties to confirm that there are no post -closing agreements that give any private business user a special legal entitlement to any public improvement, except for those agreements reviewed by bond counsel. 3. No Disposition of the Public Improvements Confirm that there have been no sales, leases, or other dispositions of any public improvement, except for dispositions reviewed by bond counsel). 4. No Modifications Confirm that there have been no modifications to any public improvement, except for those which are in compliance with agreement with the developer providing for the construction of the public improvements or as otherwise approved by bond counsel. 5. Maintenance of Audit File Maintain an audit file with documentation to verify information related to compliance with the tax certificate. 6. Preparation of Report Prepare a report to the City each year explaining the efforts of Consultant to verify confirmation of compliance with the TIRZ Plans, documentation in the audit file, and identifying any missing information or requirements of the TIRZ Plans not confirmed. 7. Other Authorized work Perform any other TIRZ related work requested by the City. The Consultant may provide other services requested by the City for which the Consultant has expertise, such as preparing the TIRZ project plan and finance plan or evaluating options to refund the bonds at a lower interest rate. Such services will be provided only if confirmed in writing (including by email) and will be billed on a time and material basis as provided for in Exhibit B. Upon request, and as additional services billed on an hourly basis, Consultant will provide additional services to assist with matters related to any TIRZ. The services provided herein do not include conducting due diligence on information provided to or used by Consultant. Consultant will not rely on information it does not believe to be reasonable and valid, but it will not investigate the validity of information unless requested to so as additional work. Consultant's services do not include any services not specified herein or specified at the time additional services are requested, including review of legal, engineering, and land use issues. Exhibit C-1 CONSULTING AND ADMINISTRATION SERVICES FEE SCHEDULE — PID I. CONSULTING SERVICES RELATED TO THE SERVICE AND ASSESSMENT PLAN AND PID BOND ISSUANCE Consultant will provide services as described in Section 2.0 of Exhibit A-1 for a fee not to exceed $45,000 for each separate PID assessment levy and/or bond issuance related to PIDs plus out of pocket expenses as described below. To the extent allowed by law, such amount will be paid to the Consultant from Bond proceeds and/or Developer funds. The Consultant will also provide services as described in Section I of Exhibit A for a fee not to exceed $25,000 for any and all services related to refunding bonds. Consultant's invoices will be paid solely from available funds of the applicable PID or from Developer funds. II. ADMINISTRATIVE SERVICES RELATED TO THE SPECIAL ASSESSMENTS Administrative services, as set forth in Sections 3.0, 4.0, 5.0, 6.0, 7.0, 8.0, 9.0, 13.0, and 14.0 of Exhibit A-1, will be provided on a time and material basis with total annual not to exceed amount of $35,000, per PID assessment levy, plus an amount not to exceed $7,000 for one-time initial set up costs per PID assessment levy. Administrative services, as set forth in Sections 15.0 and 16.0 of Exhibit A-1, will be provided on a time and material basis with total annual not to exceed amount of $13,000, per PID assessment levy, plus an estimate of $5,000 to $7,000 for one-time initial set up costs per PID assessment levy. These costs should decrease once the development associated with each PID is complete. This estimate includes preparation for and attendance at an annual meeting of the City to review the update of the annual assessment plan. Fees will be billed based on the number of hours worked at Consultant's prevailing hourly rates, which are currently shown in the fee schedule below for "Additional Work", as agreed by City and Consultant. Consultant's invoices will be paid solely from available funds of the applicable PID or from Developer funds. III. PREPAYMENTS OF SPECIAL ASSESSMENTS Services related to prepayment of special assessments, as set forth in Section 10.0 of Exhibit A-1, are billed directly to the party requesting the prepayment and paid from prepayment proceeds. IV. ARBITRAGE REBATE SERVICES Services related to annual arbitrage rebate, as set forth in Sections 11.0 and 12.0 of Exhibit A-1 will be provided for a cost of $1,250 per year plus an initial setup fee of $500 for each phase bond series. Calculations provided each five years in -lieu of annual calculations will be provided for a cost of $4,000 plus an initial setup fee of $500 for each phase bond series. REIMBURSABLE EXPENSES Out of pocket expenses are billed at actual costs without any mark up. Consultant will receive written approval from the City before incurring any expenses in excess of one -hundred dollars ($100). The fees provided for herein may be increased from time to time to reflect increased costs of labor and services; provided however, that in no event will such increase be made more than one time per year, such increase will not exceed 10% of the fee charged immediately prior to the increase, and such increase must be approved by the City. Consultant will provide the City with one hundred and twenty (120) days advance written notice of its intent to increase. ADDITIONAL WORK Services or meetings not included in the scope of work set forth in Exhibit "A-1" to this Agreement are identified as additional work and will be billed at Consultant's prevailing hourly rates, which currently are as follows: Title Hourly Rate President $350 Executive Vice President 325 Senior Vice President 300 Vice President 275 Director 250 Manager 225 Project Manager 215 Senior Associate 200 Associate 175 Consultant's hourly rates may be adjusted from time to time to reflect increased costs of labor and services upon prior written approval from the City, which may be approved administratively. Consultant will not provide additional work without the City's prior written authorization. Consultant will send an invoice to the City each quarter showing the work performed, the person performing the work, the date the work was performed, the amount of the time worked, and the hourly rates for the work. The invoice will be accompanied by a certificate to the trustee to be signed by the City instructing the trustee to pay the invoice. Within thirty (30) days of receiving the invoice, the City will forward each correctly billed invoice to the trustee with a signed certificate instructing the trustee to pay the invoice. Consultant's invoices will be Daid solelv from available funds of the aDDlicable PID or developer funds. In the event that the Trustee fails or refuses to Dav Consultant, then the Citv and Consultant will work together in good faith with the Trustee to resolve anv Davment issues. However, Citv will not be liable for anv funds that the Trustee fails or refuses to Dav to Consultant. Exhibit C-2 CONSULTING AND ADMINISTRATION SERVICES FEE SCHEDULE — TIRZ I. CONSULTING SERVICES RELATED TO TIRZ CREATION Consultant will provide services as described in Section I of Exhibit A-2 for a fee not to exceed $35,000 for each new TIRZ plus out of pocket expenses as described below, dependent upon the size and scope of each TIRZ. Such amount will be billed by and paid to the Consultant from developer funds each month or TIRZ increments or from bond proceeds. The Consultant will also provide services as described in Section I of Exhibit A-2 for a fee not to exceed $20,000 for each subsequent amendment of the TIRZ Plan and fee not to exceed $25,000 for services related to issuance of TIRZ related bonds or refunding bonds. Such estimated amount for each subsequent tasks will be evaluated upon receipt of additional information related to the TIRZ. Consultant's invoices will be Paid solelv from developer funds or other available funds of the applicable TIRZs. II. ADMINISTRATIVE SERVICES RELATED TO THE TIRZ REVENUES Administrative services, as set forth in Section 3.0, 4.0, 5.0, and 6.0 of Exhibit A-2, will be provided on a time and material basis with total annual not to exceed amount of $24,000 per TIRZ or sub area of TIRZ requiring separate revenue tracking, plus an amount not to exceed $5,000 for one-time initial set up costs. These costs should decrease once the development is complete. Fees will be billed based on the number of hours worked at Consultant's prevailing hourly rates, which are currently shown in the fee schedule below for "Additional Work", as agreed by City and Consultant. Consultant's invoices will be paid solelv from developer funds or other available funds of the TIRZs. III. DELINQUENCY MANAGEMENT Services related to delinquency management are provided on a time and material basis and are included in the total annual estimates described above in Section I of this Exhibit "C-2." IV. CONTINUING DISCLOSURE SERVICES The costs related to the continuing disclosure services are provided on a time and material basis and are included in the total annual estimates described above in Section I of this Exhibit 11C-2." V. COMPLIANCE MONITORING The costs related to the accounting services are provided on a time and material basis and are included in the total annual estimates described above in Section I of this Exhibit "C-2." REIMBURSABLE EXPENSES Out of pocket expenses are billed at actual costs without any mark up. Consultant will receive written approval from the City before incurring any expenses in excess of one -hundred dollars ($100). The fees provided for herein may be increased from time to time to reflect increased costs of labor and services; provided however, that in no event will such increase be made more than one time per year and such increase will not exceed 10% of the fee charged immediately prior to the increase, and such increase must be approved, in writing, by the City. Consultant will provide City with one hundred and twenty (120) days advance written notice of its intent to increase. ADDITIONAL WORK Services or meetings not specified in the scope of work set forth in Exhibit "A-2" to this Agreement are identified as additional work and will be billed at Consultant's prevailing hourly rates, which currently are as follows: Title Hourly Rate President $350 Executive Vice President 325 Senior Vice President 300 Vice President 275 Director 250 Manager 225 Project Manager 215 Senior Associate 200 Associate 175 Consultant's hourly rates may be adjusted from time to time to reflect increased costs of labor and services upon prior written approval from the City, which may be approved administratively. Consultant will not provide additional work without City's prior written (including email) authorization. Consultant will send an invoice to City each month showing the work performed, the person performing the work, the date the work was performed, the amount of the time worked, and the hourly rates for the work. The invoice will be accompanied by a certificate to the trustee to be signed by the City instructing the trustee to pay the invoice. Within thirty days of receiving the invoice, the City will forward each correctly billed invoice to the trustee with a signed certificate instructing the trustee to pay the invoice. Consultant's invoices will be paid solely from developer funds or other available funds of the applicable TIRZs. In the event that the Trustee fails or refuses to pay Consultant, then the City and Consultant will work together in good faith with the Trustee to resolve any payment issues. However, City will not be liable for any funds that the Trustee fails or refuses to pay to Consultant. Consultant specifically acknowledges that it will have no recourse against the City for payment of any fees associated with this agreement except exclusively from TIRZ funds as noted in this Agreement. Exhibit C-3 LIST OF PIDS — TO BE UPDATED WITH EACH NEW PID 1— Public Improvement District No. 16 (Walsh Ranch/Quail Valley) 2 — Public Improvement District No. 17 (Rock Creek Ranch) 3 — Public Improvement District No. 22 (Veale Ranch) Exhibit C-4 LIST OF TIRZS — TO BE UPDATED WITH EACH NEW TIRZ 1— Tax Increment Reinvestment Zone No. 16 (Veale Ranch) City of Fort Worth, Texas Mayor and Council Communication DATE: 08/08/23 M&C FILE NUMBER: M&C 23-0629 LOG NAME: 17PID ADMINISTRATION SUBJECT (CD 3) Authorize the Execution of Contract with MuniCap, Inc., to Provide Consulting, Financial and Operational Administrative Services Related to Quail Valley, Rock Creek Ranch, and Veale Ranch Capital Public Improvement Districts, as Well as the Future Veale Ranch Tax Increment Reinvestment Zone in an Amount Not to Exceed $405,000.00 Annually for an Initial Term of Four Years with Four Renewal Options of One Year Each RECOMMENDATION: It is recommended that the City Council authorize the execution of a contract with MuniCap, Inc., for financial and operational administrative services related to Quail Valley, Rock Creek Ranch, and Veale Ranch Capital Public Improvement Districts, as welll as the future Veale Ranch Tax Increment Reinvestment Zone in an amount not to exceed $405,000.00 annually for an initial term of four years with four renewal options of one year each. DISCUSSION: The purpose of this Mayor and Council Communication is to authorize a new agreement with Municap, Inc, (MuniCap) for consulting, financial, and administrative services related to Quail Valley, Rock Creek Ranch, and Veale Ranch Capital Public Improvement Districts (PIDs). Municap currently provides consulting, financial, and administrative services for the Quail Valley and Rock Creek Ranch PIDs through an agreement with the City (City Secretary Contract No. 49927). City staff anticipates the creation of a new capital PID and Tax Increment Reinvestment Zone (TIRZ) to support the development of 5,200 acres consisting of parcels known as Veale Ranch/Team Ranch, Rolling V South, and Ventana South (Veale Ranch), which are located primarily within Fort Worth's extraterritorial jurisdiction in Parker County and Tarrant County. MuniCap has agreed to expand its services to include the new Veale Ranch PID and Veale Ranch TIRZ. The proposed agreement will supersede the current agreement with MuniCap (CSC No. 49927), with the current agreement terminating on the effective date of this new agreement for the purpose of including all services within one consolidated agreement. The services MuniCap will provide to the City in relation to the PID include input and analysis of the initial and annual service and assessment plan, as appropriate, analysis of the bond issues, administrative and managerial support services for the day-to-day operation of the PIDs, including communication with property owners, calculation and allocation of the annual installment of the assessments, and collection oversight for assessment payments. MuniCap will also assist the City in performing disbursement requests, trust account monitoring, arbitrage rebate calculations and assist in preparing continuing disclosure documents, and Internal Revenue Service (IRS) post issuance compliance verifications as may be required as part of the debt issuance. The services MuniCap will provide to the City in relation to the Veale Ranch TIRZ includes input and analysis of the initial Project Plan and Financing Plan and any subsequent amendments, as needed, analysis of the Veale Ranch TIRZ bond issues, if any, and administrative and managerial support services for the day-to-day operation of the Veale Ranch TIRZ, including tracking collection of the Veale TIRZ increment and calculation of its obligations. MuniCap will also assist the City in performing disbursement requests, trust account monitoring, and assist in preparing and filing required annual reports as well as IRS post issuance compliance verifications as may be required by any related debt issuance. Services performed under the Agreement will be paid from the proceeds of the PIDs and TIRZ Assessment Revenues, as appropriate, and will not exceed $405,000.00 per year. Term: The initial term of the agreement is four years and includes four renewal terms of one year each. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that funds to pay for these services will be collected through the levy of an assessment from the PIDs. Appropriations will be presented for Mayor and Council consideration when the assessments are finalized and the levy is presented. Submitted for Citv Manaaer's Office bv: William Johnson 5806 Oriainatina Business Unit Head: Robert Sturns 2663 Additional Information Contact: Crystal Hinojosa 7808 Expedited