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Home My WebLink AboutContract 28410� � �C�Ni�AGT �� _ _ �� CITY OF FORT WORTH PL�UI�][BT1�IG IIi�SFECT�ON AGREEIVIEI�T This Agreeinent made this � day of �.�`i'�,.., , 200�, b tween the City ja£ Fort Wort reinafter referred to as the "Cit}�'), az�.d `l �(`� IfY1� � �t, �� , (hereinafter referred to as the "Plumbing I�ispector"). - In consideration of the mutual gromises contained in this Agreement, the parties agree as follows: 'I_��_xi��1=1�� The City of Fort Worth is a home rule municipai corporatian vf t�.e State of Texas, located wrthin Tarrant and Denton Counties, Texas. � The City desires to retain a Plumbing Inspector to provide the Services as �et out in Exhibit, "A" whieh is attached hereto and made a part �iereof for alI purposes, heing her�inafter referred to as �Iie "Setvices", The Plusnbing Inspector agrees ta perforrn the services as set out in Exhibit "A". AGREEMENT The City and Plumbing Inspector, fQr and in consideration of the muitzal co�enants herEin, set forth agre� as follaws: . _ It is agreed fhafi the City retains the Plumbing Inspeetor to pzovide the Seryices as set out in Exhibit "A", subjcct ta the terms, conditions, and stipulations under this Agreernent. COMPENSATION For and in consideratian of the Services rendered �y the Plumbing Inspectar, the Ciiy shall pay'and the Plumbing Inspector shall receive the fees set forth in Exhibit "A" attached hereto and incorpora�ed herein by refErence, Plumhing Inspector shall not accept any compensation or anything of value fram any contractor or owner whose work is being inspected by #he Plumbing Inspector. � PROFESSIONAL RESPONSIBILITIES Plumbing Inspector ag�rees to perfonn said Services expEditious�y, on request of tl�e City, in accordance wiih sound and ,generally accepted in.spection principals and siandards, to check for compliance with �he applicable City of Fort �Vorth Code or Codes. Whexx requested by the City, the Plumbir�g Inspector shall (1) conduct an-si�e inspections for Code compliance, and {2) pravide review of plans, plats, documents, designs, developmenfs, repoxts, stud:�es, surveys, data, etc. prepared b��;�� or ent�� - 7 , ;� other than the Flu�nbing 3nspectar and submittec� to the Plumbing Inspector by the City, and (3} provide input, comrnents, andlor recommendations and such response deemed appropriate by the Plumbing Tnspectar to assist the City in Code complianc�, A1I documents which come into the passession of Plunr�bing Tnspectar are and shall remain the property af the City, shall be niaintained at the Ciiy Hall, 1040 Tl�rockmorton Street, and az�e public records, suhject io determinaiion by the City otherwise. • CITY REViEW Plumbing Inspec�or agrees and understands that City a£fi'icials may, at their discretion, make periodic site visits to revie�v, inspect and duplica�e any inspections performed by the Plumbing Inspector in order to insure a quality control of performance. The city official shall maintain full intezpretation authazity o� all a�'fected codes as �nre11 as the'authority to require corrections, including, but not Iimited to, notices andJor stop work orders. Pluznbing Tnspector understands that, upon eompletion of all building projects, ihe City aff cial will �erform a final inspectzon prior ta tk�e issuance of a certi.ficate a£ accupancy. TERNIINATI�N This Ag�reement may be •terminated by either party for any reason by giving twn (2} days written notice. The City reserves the right to suspend ar s�op services irnmediately.' AMENDMENTS TO AGREEMENT Any am�ndment to this Agreement rnust be in writing and signed by the Plurnbing Inspector and tiie City Manager af the City. NON-EXCLUSIVE AGREEMENT It is undeXstood and agreed that retention of the Plumbing Inspector by the City to psrform the Services, and far the puzposes stated in th:�s Agreemez�t, is noi exclusive. ASSISTANTS � The Plumbing Inspector does . nat havu the right to employ assistants or sub plumbing Tnspectors to perforrn the 5ervices without fhe advanced written consent af the City Develapment Director. All assistants ar sub plumbing inspeetars shall be currently licensed plumbang inspectors. TNDEMNTFICATION PLUMBIn'G Il�I5PECTOR ABSUMES THE ENT� RESPONSIBILITY AND LIABILI'1'Y FOR ANY CLAIM OR ACTION BASED ON OR ARISING OUT OF INJURIES� INCLUDING DEATHi TO P�RSONS OA DAMA,GES TO OR D�STRUCTION OF �ROPERTl', SUSTAIIVED OR ALL�G�A � TO HAVE B��N SUSTAINED 1N COIVNECTION WITH OR TO I-IAVE ARISEN OUT �F OR INCIDENTAL TO THE PEARORMANCE O�' THIS CONTRACT BY PLUMBING INSPECTOR� REGARDLESS �� WHETHER SUCH CLA�MS OR ACTIONS ARE �OUNDED �N WHOLE OR �IV PART UPON ALLEGED NEGLIGENCE OF TI3� CITY OF FORT WORTH, ITS O�F�CE735� AG�NTS OR EIVIPLOYE�S� OR xHE EMPLOYEES� AGENTS, �NVIT�ES, O� LIC�I�SEES THEREOF. PLUMBi1�G TNSPECTOR �'URTHER AGR�ES TO IND�Mn'IFY AND HOI1D HARMLESS THE CITY OF FORT WORTH, ITS O�'F`s�CERS, AGENTS AND EMi'LOY��S �N R�SPECT x'O ANY S[ICH MATTERS A5 SET OUT ABOVE AND AGR��S TO DEFEND ANY CLA1M OR SUIT OR ACT�ON AT PLUM�ING INSPECTOR'S OWN EXYENSE WAEN SUTT I5 BROUGHT AGAINST THE CITY OF FORT WORTH� IT,S O�'�ICE'RS� AGENTS OR �MPLOY��S, .ANll EMI'LOYEE5� AGENTS� INVITEES� AND LICENS�ES �'HEREO�. M�i:�Yi�7�� It is agreed 6etween Plurr�bing Inspector and City of Fort �V'orth that Plumbing Inspector will secure and furnish City with a certificate of ge�eral liability and autamobile znsurance ' caverage in an ainaunt speci�ed by standard policies and proced�res of �he Risk Mar�agement Departinent of the City during tha term of this contract. Said policy is to include coverage far negligent acts, errors, aud omissians and bE rnaintained in %rce For five yeaxs from date pf certifica�ion or certificatian renev,+al. The City of Fort Worth shall be shown as aai additional insured on said �olicies af insuranc�. ' � F4RCE MA.JEURE The Plumbing Inspectar shall not be responsible oz' liable fox any lass, damage, or delay caused by force majeure which is beyond the control of the parties, which shall include rivt, insurrection., embargo, fire or explosion, the elements, act of Gad, egidemic, war, earfhqual�e, flaad, or the a�'ficial act of any got�ernment. LEGAL CONSTRUCTION In case of any one or more of the pro�isions contained in this Agreement shall �ox any reason be held to be invalid, illegal, or unen.f�rceable in any respec�, such invalidity, illegality, ar unenforceability shall not , affect any other provision and this Agreemen# shall he construed as if such invalid, illegai, or unenforceable provision had never been cantained in it. � WARRANTIE� Plumbing Inspeciar iiereby warrants that: Plumbing Inspecior bas, currently in effect, all necessary licenses fio pezfo�nrn the work, and Plumbin.g Inspecfior is qualified to perform the work as required by the City's Codes anc� the State of Texas; � a. All assistants or sub-plumbing inspectars employed by Plumbing Tnspector shall be currently licensed �lutnbing inspectors. c. All wark is to be per�`ozmed in a professional and workn�anlike ma�ner; 3 � d. The Plumbing Inspector agrees to and represents thai it will noi in any fashion discxirninate in the provision of Services agai�st any person because of race, color, religion, national arigin, sex, age, disability, political belief, sexual arientation or affiliation. INDEPENDENT CONTRACTOR If is the express agreexnen# and understanding of the parties tllat Plumbirig Inspectaz is in all respects an independent contractar of the City. T�e zelationship betwean the Plumbing I�ispector and �e City is #hat of an independent contractor. Neither party is an employee, -servanf, or partner of the other, and neither has thc right, authorxty, or power to direct, hind, or obligate the other in any way, except within the cantext of tl�is Agreement. . The Cif:y is in�exested only iun the results to be achieved, and the control of the work �vill lie solely with Plumbing Inspecior. Plumbing Inspector shall set its own hours af wazk and the nurnber flf hours that it shall work to aecoxnplish the purposes of this Agreement. � PRTOR AGREEMENTS SUPERSEDED This Agreement constiYutes the sole and only agreement of the parties to it, and supersedes any prior understandings or written or oral agreements between ihe parties respecting this subj �ct matt�r. TEXA� LAW TO APPLY This Agreement sha11 be construed under and in �ecordance with the laws o£ the . State of T�xas, and all� obIigations of ihe parties created under this Agreemeni are performable in Tarrartt County, Texas. Venue sha13 be in the state courts located in Tarrant County, Texas or the UnitEd States Disfirict Caurt for the Northern District of Texas, Fort Worth Division. PARTIES BOUND This Agree�nent shall be binding on aa�d inure to the benefit of the parties to ifi and th�ir respective heirs, ex�cutors, admitz�istrators, legal representatives, successors, and assigns. MAILING ADDRES�ES AlI notices and communications under this Agr�emeut to be mailed or�delivered to the City shall be sent as �allows: � City of Fort Wort�. 1000 Thrackmorton Street Fort Worth, Texas 76102 4 A#teniion: Developmetlt Director Telephone (817) 871-8941 All n.ot�ces and communications under this Agreement io b� mazled or delivered ta the Plum�ing In.specto�r and if applicable, the corporation, assaciation, partnership ar any other non-governmental entity ihat empXoys said Plumbing Tnspectar shall be sent as £allows, unless and until the City is otherwise notified: Pl�lmbing Inspector� .� � � 6✓�i� �(% �-��1�! � �� .S�s �r�►,d� 1�' ��t (d�� ,��Q�,r� �!�•2"�-�-r�l�� 1 ' -7C/3� . C� C.7�rdi �� 'l�`-�'�/[-� �j`Yl� �f41`� ��`�h�� , �� .�, f�� —��- �, � c 3 7 �'r 7- �� .. ��-r� Any notices and communicaiions required to be given in writing by one party to th� other shall be considered as having been gi.ven to the addressee on th� date the natice or cammunicatzon is placed in the United States Mail. Executed, in multiple coun.terparts, at Fort Worth., Texas, an the day and year firsi above written, and each signed counteipart shall be �reatad as an.original for all purposes. AT�ST: - - ' �� -� ---- -- - Gloria Pear�fin, Gity S�cretary �� Appraved as to £orm and legality: David Yett, City Attorney $� r��- � �� Sarah F 11 wider A5515t3T1L ity Aitorney CITY OF FORT WORTH _fj � _� � ,, Assistant Cxty Manager �=t�r�..� c:c��I��'�� u�horiz��ora �� b ��:.:�„_;�� _�..�.� ..:�, �� PLUMBING INSPECTOR . / . / Name: �+�c�iyt L �rQ �y� YY Title:��-1�5� � � ati/ 5 EXHXBIT "A" ATTACHED TO AND MADE A PART OF AN INSPECTION AND CODE COMPLIANCE SER"V7CES AGREEMENT A.1. Plwrxabing Inspector: J � +�� CJA �-Yo�/ Name � '7 ! �6 �c��rs � �L � � 6�„ �, Address _ � ��' (�uv�.Tb4 , ��'�r� s �� ► �'l'7_ `z2� . o, � r Phane A.2 Scope of Services: PIumbing Inspection A.3 Frequency: As Called/On Request A.4 Compensation: Ten percent (10%) o� the City Caunci� established buiiding permit fee. Payment is based on the completion of the structure and monthly invoices su�mitted to the City £or� �ach individual builcling perrriit. 0 RISK MANAGEMENT RECOMMENDATIONS F�R INSiTRANCE REQLTIREMENTS Basic requiremeats ar limits of insurance coverage are listed below. Limi#s of coverage depend on several factors includin,g but noi limited to zisk exposure in regar�s to respective services, pzaducts procured, or contractual terms, to name a few. Sfiafutory Limits of Warkers' Compensation is applicable for ali public projects. Coverage limits are the xecoz�xnendatinn of Risk Management. There are exceptions and departments are ultimately responsible far setting contract limits. 1. Commercial General Liabi.Xity (CGL} Insurance Policy $1,�00,000 each occurrence . $2,OOQ,4fl0 aggregate limit Coverage shal� include hut not be limited to the following: premises operations, independent contractors, products/completed operatians, (include explosion/colfapse/undergrotuzd property if applicable), persanal injury, aad contractual liability. Insurance sk�all be provided on an occurrence basis, be as comprehensi�e as the cuirent Insurance Servicas Of�ice (ISO) policy. {Suddea� polluiion coverage may not be.exe1uded by eudorsemer�t. I.ncl�ide as a requirement of the line dr endoisement fhat y�u da nat wan.t excJ.uded. D�tern�ined by a review oi the risk exposures) All endorsed exclusions are subject-to review of the City in ordax to detez�n,e if the exclusians are acceptable. In the event t�e exclusions are unaccep#able and tlie City desrres the contractor/engineer {fil1 in witln agpropriate titl�) io obkain such covezage, the contract price shall be adjusted hy the nost of the pr�mium for such additional coverage plus 10%. 2. Automobile Liability Iz�surance Z'olicy $1,000,000 each accident on a combined single limit basis or $250,000 Property Daznage $500,000 Bodiiy Injury per persan per occunrence A co�ercial business policy s}aall provide coverage on "Any Auto", deimed as autos owned, Ivred and non- owned. 3. Workers' Compensation Insuranca Policy Statutory limits Employer's liability - � $100,000 Each accidentJoccurrence $10Q,000 Disease - psr each employee $S�O,�OQ Disease - policy limit �This coverage may be written as follows: Workers' Coznpensation and Employers' Liability coverage with limits consistent with statutory benefits outlined in the Texas workers' Compensation Act (Ar#. 83Q8 — 1.D1 et seq. Tex. Rev. Civ. Stat.) and mini.mum palicy lixnits for Employexs' Liability of $100,D00 eacb. accidendaccurrence, $500,000 bodily injury disease palicy Iimit and $100,000 pez disease per employee Other Lines of Insurance Other lines of insurance caverage, which may be applicable ta a contract, cauld include ona or more of the insurance, types listed below. The insurance type is nnt an all-inclusi�e 1'isi. EIL and Professional Liability limits are mentioned because they are frequently required. � 1. Environmental Impaument Liability (EIL) &/ar Pollution Liabi�ity $2,000,000 ta $S,OOO,OOQ per occuzzence $S,aao,400 to $IQ,OOO,QODaggregate Ins. Requirements Revised August 2002 2, Professional Liability The miniz�num insuzance requirement far this line of coverage should be sufficient enough to co�erage the completed aparations o� the construction prqject. The Texas Statute of Repose, §§ 1605-9, of tlae Texas Civit I'ractice and Remedies Code, zequires a claimant to bring suit for a defecti�+e or unsafe condition of an improvement #o real property or eyuipment altached to real progerty, az de�ciency 'vn the canstruction or repair of an iznprovement to the property within 10 years of substantial completion. The statute applies ta progerty damage, bodrly injury, wrongful death, contributian, or indemnity. Enrors & Omissions coverage is an integral gart of the Professional Liability policy. The coverage pratects the insured against liability {financial loss) should an erzor or an omisSion occur in the parformance of lus professional duties Frofessional Liability limits should be consistent with oth�r zequirexnants. The zecommended m?nimum should be no less than: � $1,000,000 per occurrence $2,040,Q00 aggregate Policies, are to be written on aia accurrence �asis or ��ill �rovide a mu�u�awa� of a�ive (5) yeaz tail cove�:age for palicies �vritten 'on a clnims made basis. Subcontractoxs policies shauld fo.Llow the same minimuzn requzi-enients as described abpve. 3. Excess Liability 4. Liquar Liability � 5. Garage Liahility 5. Gar�ge-keepers Liabiiity 7. Builders' Risk . 8. LesseelTeztant User of City Owned Facilities 9. Miscellaneous Coverage and PloaterslRiders Borrns FideIity Bond -%r honesty and faiihful performance of duties and foz acts of dishonesty Surely Sond — Guarantees the performance of another Perfornlan�e Bond -- Guarantees the work to cornpletion GENERAL REQi]ZREM�TNS &/or POLICY R�+ QUIRENIENTS a The City of Fort Worth, zts 4fficers, Employees and VoIunteers shall be nanied as an Additional Insured. Exception... the additional insured status daes not apgly to Wazkers' Compensation policies � Forty-five (45) days notice of cancellation or non-renewal. It would be adWantages to the City to require the foliowing clause: ; "This insurance shall not be canceled, limited in scope or covarage, cancelled or non-renewed, until after forty-five (4S) days pzior written notice has been given to the City vf Fart Worth. � @ Wavier of righfis of reco�ery (sul��ogation) in favor of the City of Fort W orth. Z Ins. Requiraments Revised August 2002 � The insurers for all policies m�st be Iicen$ed/agpzoved to do business in the Skate af Texas, �xcept for workers' compensatinn, all insuxexs must have a minimum raiing of A: VII in the current A. M. Best Key Rating Guide or have reasanably equi�alent Financial stren.gth and sol�ency to the satisfaction of Risk Management. � If insurance policies are not written foz specified co�erage limits, an UrnbreIla vr Excess Liability insurance for any differenc�s is required. Excess LiabiTity shall �ollow form of the prirriary coverage. If coverage is underwxitten on a claims-made basis, the retroactive date shall be coincident with ar prior to the date of the contzaetual agreement and the certificate of in.suzance shall state #hat the coverage is ciaims-made and tlxe retroactive date. The insurance coverage shall be maiutained for tha duration of the contractual agreement and for five (5) years foIlowing completion of the service pro�ided under the contractual agreement or for the wanranty period, whichever is longer. An annual cert�cate a#`insuramce submifted to the City shall evidence such iQsuzance coverage. ' � The deductible ar salf-insured retention (SIR) affecting requized insurance covezage shall he acceptable to the Risk Manager of the City of Fort Worth in regards to asset value and stockhoiders' equity. In lieu of tradirional insuranee, alternative co�erage maintained thraugh insurance pools or risk retention groups must also be appzoved. o The City, at its sole discretion, reserves the righk to re�ievw #i�e insurance requirements ax►d to mak� reasonable adjustments to insurance coverages and t�eir lir�its when deemed necessary and prudent by the City based upon changes in statuiory law, court decisivn or the claims history of the industry as wel] as of the contracking party to the City ofFort'Worth. The City shall be required to provide prior natice of ninety (days). � The City shall be entitled, upon request and without e�cpense, to recei�e capies of policies and endorsements tk�ereta and may maka any reasonabla requests for deletion ar revisian or modifications of particular policy tenms, conditions, limitations, or exclusions except where policy pzavzsions are established by law or regulations binding upon either of party or th� underwriter on any such policies. Ins, Requuements Revised August 2402 ., . , . . • --- � - �- - .. - �- ---......__ ... _ .. . __ ....._..._!.._ .---... ._...- • - -� - - --._. _.. __,..._.:-- -.._......._...__.....-�---.....___..._....---� �---� ----- ---�-�----..__..._ .. . .. _.. ..,,. _.....__.._ '-- � � . �'ity o�'1�'0� l�o�th, �"exas � � . . , .. � . . .: ... _ -� -� � . . . : : � �� a�d . . � . ��! �� -� � ��-��t�c�� . � �i _.. . . �. . ._� .� _ . . DATE R�FER�NCE NUMBEI� � l.OG MA�� I'AV�, • � � . 11'i 610'f ; '�*�n� �� 06PROGRAM � ' . � 'I of $ sue�Ecr, � AGREEMENTS AND ORDINANCES,. ESTABLISHING THiRD .PARTY p�UMBING . � � � : . � � INSPECTlO�I PROGRAM , ` � � � � � � . � RECOMMENDATION: ' . It is recommetided that the City Gouncil:� 'I . Authorize the City Manager to e�ter into agreements wi#h indeper�dent cor�trac#ors for #hird party , �- plumbing ins�ectors�to p�rform plumbing inspectians within the-City of Fori Warth; and . �� 2. Adapt°th� attached ofdinances wn9ch establisi� '�0% as the amount re�ained for r�ew constructiot�� b�ailding permits to cover the maximum amount payable foT third party plum�bing inspectior� se�-vic�s; and � � 3. _ Adop# the attached ordinances wnich estabiish 90% as �he amount retain�d for all plumbing work permits, other than new construction, to cover the maximum amo�snt: p�yable far third party plumbing �nspection services; ar�d , . � 4. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the . Genera� Fund by $915,0�.0.� � . . � � �� . - � � � . � � DISCUSSI�N: � � � On Marc� 2, 'f 999 (M&C G-.12492j, the City Couric�l .adop�ed ordinance .amendments and.d�rected staff._. to implemen# a. program allowing third. par#y glan �'e�iew .and inspection services for tF�e Building, _ . . . . . . . . El�ctrical,, Plumbin.g _and Mechartical Cvdes, This program_ was necessary to address heavy demands in building construction inspeciions; problems with rec�uiting .and retaining qualified City staff, ar�d ta better meet t�e specia� expertise or exPedited schedules for va��ous projects. At #he #ime � of implementation� the C9ty was exQeriencing 30°!a o� a11 inspection requests not �eing performed witi�in �24 i�ours of the request, resulfing in�a dec�ease of productivity,.cat�struction delays and increased costs:= .==: The third `party program afiowed coniractors �andlar awners of projects to contrac� directly with plari review or inspectjan firms to provide services Rormaliy delive�-ed by t�e De�elopment Depariment.- �n �� May 25, '1999 (M&C.G-�2568}, the City Counci! authorized a wai�er of 9D°/a of�the calculated buil�9ng, electrical, plumbing or mechanical fees for projects managed by a third party firm. The collection of.. 'f0%_by ihe City_was.d�t�rmined as the amo��tt_necessary to �ove� staff costs in_quality contral _and_ record generati4n or management. ' � � , � ..� �n August '1 B, 2040,'the Tex�s State Board of Plumbing Examiners (Board) inquired into Fo�t Wort�'s ._� fhird_ party program .to determine if :the �rogram was upholdir�g the State� Plumbing Licer�se Law a�d � Board's rules. In parti�ufar, the Board had qi�estion� .regarding fhe empioyment re{ationshi� �bef�nreen the � City a�d the third party plumbirig �inspector and the � method � af payment far ttiose SeNiCeS. �� Subsequent replies-and communications with the Board resulted in tl�e Boar� Administrator rufing that th� For� Wor�� third par�y plumbing inspection process was riot meeting the requiremen#s of ��ihe Plumbing License �.aw or� the Boarc�'s rules, TY�e matter was forward�d to the Board's E�fotcement . Cammittee #ar consideration on S�ptem�er 28, 200D. �-- . .. .. .. � � . .. . ... . ..... . _ . . -- -�----- . . .. ---- _..�.. _...._._..--�--...___ _�.._..._----� - -'.--�----- ---�---�- � .... . City of .�'art . b�'o�th, Texas - . . � � � � � � �� . a��i�� u��e��t°�� - . � � � . . . _ ._. � . . . �. . . . . . _. ... .. _ .. . . . . _.. . DATE . REF'L�RENI:� E�fUMBER LOG NAM� PAGE 'il'ifi101 - '�*Cn'��7 ' 06PROGRAM . ' 3 af 3 s�B��cT . AGREEMENTS AND ORDINAI�GES ES1AB�ISHING THiRD PARN P�LJi�BING � INSPECTION PR�GRAM � � ' � . � . �- � Fa�arabl� consiaeration by the City Counci[ for the tt�ird party plumbing ir�spect'io� program. and structure will autharize staff to implement the pragram on February v, 20D1, It sfi�auld be noted that stafF has b�:en working with th� Safety and Cammunity De�elopme�# Cammittee fo change the str�cture and amaunts of-bui�di�g permits._ .C�anges ot fees and the pe�cent waiver far third party i�spection services wiEl be recommended in the near futu�e. Ai t1�at tim�, t�e attached o�dirta�ces wiil need to be amended appropriately. FISCAL INFORMATIONICEIjT�FICATI�N: The Finance � Director certi�€ies ti�at upon approval of t�e abotre recammendations, funds will be � a�ai[able, as appro�riate�, in the General F�n�: , � . MG:k � --- -- . __ . . : . . . . .. ----- - -- .. . . . ... . . . ..- -- . .. ._ . _. �. . -�-----.....- -��----.._- - ---- . . .. . . .. - .._ _. � _ .. .. � Submitted far Ci#y Manager's Fi1ND � ACCOT?NT I CEi�TER � AMOTJPIT CITY SECRETARY Office by: (to} • � . -. � � Mike Graorr�er . _ - . 6l40 � . - �--�-{-`�-�-�- °��RPA�v�d � � "— O�iginatingDeparttneatHead: 1 ' _ �J�1 �.�j�Ut��j�._. Bab Riley Additional Iaformailon Contact: 8401 � (fram) r Bob Riley 8901 Adopted �rtl��tance No, �`��/8'S ��pted Ord��anc� I�oq /��/ � �.. ,..,.�... . ..._ � . j ... JAN � I6. 2oD1 � �� C[ty vf For�t�yVorth,1� �era.9 � _ Ciiy of �o�� o��h, Texas �i � �� i_ �1 � '� 1 bATE 11'i 6101 SUBJECT � 0�4A� 5L �� 1 REFEl�ENCE NUMBER L�G NAME PAGE **�o� �127 � 06PROGRAM � 1 of 3 AGREEMENTS AND ORDINANCES ESTABL[SHING THIRD PARTY PLl7MBING INSPECTI4N PROGRAM REC�MMENDATION: It is recommended that tf�e City Cauncil: 1. Authorize the City Manager to enter into agreements with in�ependent contractors for third party plumbing inspectors to perform plumbing inspections within the City flf Fort Worth; and �. Adapt th� aitached ordinances which establish 1 D% as the amount retained fnr n�w cans#ructian huilding permits to cover the maximum amount payable for third party pfumbing inspection serv�ces; and � 3. Adap# the attached ordinances which establish 90% as the amaunt r�tained fiar all p{umbing work permits, other than new construction, to caver the maximum amount payable for third party plumbing inspection s�rvices; and 4. Adopt the attached apprapriation ordinance increasing es�imated receipts and appropriations in the General Fund by $115,000. DISCUSS[ON: On March 2, 1999 (M&C G-12492}, the City Cauncil adapied ordinance amendments and directed staffi fo ymplement a pragram allowing third pa�ty plan re�isw and inspection services for the Building, El�ctricaf, Plumbing and Mechanical Codes. This program was necessary to address heauy demands in bcailding construction inspections, problems with recruiting and re#aining qualifi�� Cify staff, and to better meet the special expertise ar expedited schedules for �arious projects. At the time of imp[emen�ation, the City was experiencing 3�% ai all inspectian requests r�ot being perform�d within 24 hours of the request, resulting in a decr�ase of praducti�ity, canstruction delays and increased costs. The third party program allowed contractors ar�dlor awners of projects to contract directiy with plan review or inspection firms to pravide services normally delivered �y the Development Depar�ment. �n May 25, �999 (M&C G-12568), the City Council authorized a waiver of 90% of the calculaied building, electrical, plumbing or mechanical fees for proj�cts managed by a third party firm. The collectiaR of � 0% by the City was de#ermined as fhe amount necessary to caver staff costs in quality control and record ger�eration or manageme�t. On A�gust 16, 2a0Q, the Texas State Board of Plumbing Examiners {Baard} inquired inio Fort Worth's �hird party program ta determine ifi the �rogram was upholding the State Plumbing License Law and Baard's rules. In partic�lar, the Board had questions regarding the empfaymen# relationship between the City and the third party plumbing inspector and ti�e method of payment for those servic�s. 5ubsequent repEies and communications wit� the Board resuited in the Board Administrator ruling ti�at the Fort Worth third party plumbing inspection process was r�ot meeting the requirements of the Plum6ing License Law or the Board's ruEes. The matter was fiorward�d ta the Board's Enfarcement Ci�y of'�'ort Worth9 T'ex�xs - - , � I� � �i? -�' �� ! _ i. !' I � � � _� DATE 11161Q 1 su��c� �o��ori REFEREiVCE NUMB�R LOG NAME PAGE **�e� 3� �� 06PROGRAM 2 �f 3 AGREEMENTS AND ORDINANCES ESTABLISHING TH{RD PARTY PLUMBING INSPECTION PROGRAM Cornmittee for consideration on September 28, 2Q04. City staff attended fhe En#prcement Cammittee meeting in 5eptember 2000, and it was determ�ned that a contractual agreement similar to fhose with other jurisdic#ions might address the Board's concerns of �mployment and campensation. A draft agreement between the City and individual plumbing inspectors was submitt�d to the Board on Navember 8, 2Q00, and discussed at their November 13, 2000 meeting. Following the hearing, the Board's attorney relayed to fihe City that minor changes ta the agreement would make the con#ract acceptable to the Board. A revised agreement was submitted to ihe Baard on Deeember S, 2000. The proposed agreement makes each third party plumb�ng inspector an independent contractor of the City and restructures the method of payment for those inspection services. Th� City will collect, at the time of perm9tting issuar�ce, a percentage of the total building permit for the plumbing portion of a project. Upan completion of pl�mbing inspections by the third party inspector and invoicing af thos� services, the City will issue payment fiar the services rendered. On December 22, 2000, the Board Administrator communicated that the Board's Enfarcement Committee, Board staff and th� Board's attarney �ad reviewed th� Plum�ing ]nspection Agreement submitted an December 8, 2000. The Board's attorney advise� the Board that und�r �he re�ised agreement, the relationshi� befw��n th� Lic�nsed Plumbing Inspectors and the City ofi Fort Worth, alang with the method for compensating the Licensed Piumbing Inspectars, does not violate the Plumbing Licer�se Law o�- Board rules. In order to begin implementation of the restructured third party plumbing inspection program, it is necessary to authorize the City Manager to �nt�r inta agreem�nts with �ach third party plumbing inspector as indeper�dent contractors. A capy of the proposed Plumbing �nspection Agreement is attached. Additionally, it is proposed to withhold 10°>0 of all building permit fees for related plumbing inspecfion services for each n�w constructian project. In the case of remadeling projects �r jobs witE� only piumbing work, the City will collect the entire plumbing permit fee of which 90% will be returned as paymenf for inspection services. These collections will equal the maximum amaunt paya�le ta the third party plumbing inspector for services rendered. 1t is estimated that for the remainder of the fiscal year, collection for the new construction projecfs wvuld be $1 a5,0a0, and callections for the plumbing permit anly prajects would be $10,aao. Attached are the necessary ordinance amendments to facilitate this coflectian. In order to manage the callections, invoicing and issuance of payments for the third party plumbing inspection program, it is esiimated that one additional autl�orized position and associated offce supplies and equipmen# will be needed. Th� annual impaci on t�e General Fund budget is estimated to be $43,aao. The present implementation of this program will be hand[ed as an overage and more �'ity of `�'ort Worih, T'exas I � �� :� � ,� - - - � �, � O�iL�1�i Y15� � � � 5L O � bATE REFERENCE NUMB�R LOG NAME PRGE 1116101 **��3�� 06PROGRAM 3 of 3 SUBJECT AGREEMENTS AND ORDINANCES ESTAB�ISHiNG THIRD PARTY PL,UMBING INSPECTION PROGRAM clearly ider�tified in #he proposed FY2009-2002 General Fund budget once actual impact can be determined. Favvrable consideration �y the City Council for the third party plumbing inspection program and sfruc#ure wil[ authorize s#aff to impl�ment #he program on Fe�ruary 5, 2001, It should be noted that staff has been working with the Safety and Community Development Cammittee to change the structure and amounts of buiiding permits. Changes of fees an� the percent waiver for third party inspection services wiil be recommended in the near future. At that time, the attached ard`[nances will need �o b� amended appropriately. FISCAL INFORMATIOI�ICERTIF[CATION: The Finance Directvr ceriifies tha# upon approval of the above recommendations, funds will be available, as approp�iated, in the General Fund. MG:k Suu►nitted %r City Manager's Office by: Mike Groomer OriginaNn� Department Head: Bob Riley Additfanal Information Contact: BoU Ri3ey I FUND I ACCOUI�T I C�IYT�R I AMOiINT � (to) � 6140 � 8901 (from) 8901 CITY SECRETARY 4 APPROV�D 1-16-01 f ORDINANCE NO. 14485 ` ORDINANCE NO. 144$6 I ORDINAiVCE N0.14487 �ORDINANCE NO. 14488 ORDINANCE NO. 14489