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HomeMy WebLinkAboutContract 59968-A1First Amendment to Fort Worth City Secretary Contract No. 59968 Page 1 of 2 Trailhead Real Estate LLC d/b/a Archer Appraisal Co. FIRST AMENDMENT TO NON-EXCLUSIVE REAL PROPERTY APPRAISAL SERVICES AGREEMENT FORT WORTH CITY SECRETARY CONTRACT NO. 59968 This First Amendment to the NON-EXCLUSIVE REAL PROPERTY APPRAISAL SERVICES AGREEMENT (“Amendment”), Fort Worth City Secretary Contract No. 59968, between the CITY OF FORT WORTH (“City”), a Texas home rule municipal corporation and TRAILHEAD REAL ESTATE LLC DBA ARCHER APPRAISAL CO. (“Vendor”), a Texas Limited Liability Company, each individually referred to as a “party” and collectively referred to as the “parties.” WHEREAS City, through its Property Management Department, and Vendor entered into an agreement for appraisal services (the “Services”), said agreement being identified as Fort Worth City Secretary Contract No. 59968 and having an effective date of August 23, 2023 (the “Agreement”); and WHEREAS City and Vendor desire to amend the Agreement to increase the aggregate amount of all contracts awarded to multiple vendors for the Services to Five Million and 00/100 Dollars ($5,000,000.00) NOW THEREFORE, City and Vendor, acting herein by and through their duly authorized representatives, agree to the following terms: 1.Amendment of Not-to-Exceed Compensation. Section 3.1 of the Agreement is amended to be and read as follows: 3.1 City will pay Vendor in accordance with the provisions of this Agreement, including Exhibit “B,” which is attached hereto and incorporated herein for all purposes. The aggregate amount of all contracts awarded to multiple vendors for the Services will not exceed Five Million and 00/100 Dollars ($5,000,000.00). The City makes no promise or guarantee of the total amount of work that will be assigned to Vendor under this Agreement. Vendor 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 Vendor not specified by this Agreement unless City first approves such expenses in writing. 2.All other terms, provisions, conditions, covenants and recitals of the Agreement not expressly amended herein shall remain in full force and effect. The aggregate amount of all contracts awarded to multiple vendors for the appraisal services will not exceed Five Million and 00/100 Dollars ($5,000,000.00). The City makes no promise or guarantee of the total amount of work that will be assigned to Vendor under this Agreement. [signature page follows] First Amendment to Fort Worth City Secretary Contract No. 59968 Page 2 of 2 Trailhead Real Estate LLC d/b/a Archer Appraisal Co. ACCEPTED AND AGREED: CITY OF FORT WORTH: By: ___________________________ Name: Dana Burghdoff Title: Assistant City Manager Date: _____________ APPROVAL RECOMMENDED: By: ______________________________ Name: Marilyn Marvin Title: Interim Property Management Director ATTEST: By: ______________________________ Name: Jannette S. Goodall Title: City Secretary 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: Ricardo Salazar Title: Asst Property Management Director APPROVED AS TO FORM AND LEGALITY : By: ______________________________ Name: Matthew A. Murray Title: Assistant City Attorney CONTRACT AUTHORIZATION: M&C: 23-0480 / 24-0397 M&C Approved:June 13, 2023 / May 14, 2024 Form 1295: VENDOR: Trailhead Real Estate LLC d/b/a Archer Appraisal Co. By: Name: Jonathan Archer Title: Owner Date: _________________________________ CERTIFICATE OF INTERESTED PARTIES FORnn 1295 1 of 1 Complete Nos. 1- 4 and 6 �t there are interested parUes. OFFICE USE ONLY Complete Nos. 1. 2, 3. 5, and 6 rf there are no mterested parnes. CERl1FICATION OF FIUNG 1 Name of business entity filing form, and the eiry, state and country of the business entity's place Certificate Number: o} business. 2024-1179101 Trailhead Real Esta[e dba Archer Aooraisal Co_ City of Fort Worth, Mayor and Texas Council Communication DATE: 05/14/24 M&C FILE NUMBER: M&C 24-0397 LOG NAME: 21AMEND PMD APPRAISAL SERVICES SUBJECT (ALL) Authorize Execution of Amendments to the Non-Exclusive Agreements with Certain Identified Appraisers to Increase the Combined Annual Amount by $4,000,000.00 for a New Combined Annual Amount of $5,000,000.00 for the Property Management Department RECOMMENDATION: It is recommended that the City Council authorize execution of amendments to the non-exclusive agreements with certain identified appraisers to increase the combined annual amount by $4,000,000.00 for a new combined annual amount of $5,000,000.00 for the Property Management Department. DISCUSSION: On June 13, 2023, City Council approved Mayor and Council Communication (M&C) 23-0480), authorizing agreements with certain indentified appraisers in a combined annaul amount of $1,000,000.00 for the Property Management Department. Under the agreements, the appraisers provide appraisal services for the Real Estate Division of the Property Management Department. Under federal, state, and local laws, the City of Fort Worth must provide a bona fide offer based on an independent appraisal report when purchasing real property. The Property Management Department regularly engages certified appraisers to provide professional appraisal services for land acquisitions for Capital Improvement Projects and City-wide initiatives. In order to be compliant with Chapter 2254 of the Texas Government Code, the Real Estate Division of the Property Management Department initiated the Request for Qualification process for procurement of real estate appraisal services per section IX.D.a. of the Purchasing Administrative Regulation (AR). In order to follow the process, the Property Management Department contacted over finrenty different firms who provide appraisal services and requested contact references, reviewed examples of past work product, and conducted similar reviews to determine the appraiser's level of qualification. Federal and state law require that qualified appraisers perform appraisal functions. Anyone performing an appraisal, or appraisal related service in determining an opinion of value, or the act or process of developing an opinion of value, shall be competent and qualified to perform these functions per Title 49 of the Code of Federal Regulations (CFR), Part 24.103(d) and per the Texas Administrative Code Title 43, Chapter 9, Subchapter F. All real estate appraisers performing appraisals for the City of Fort Worth must be licensed by the Texas Appraiser Licensing and Certification Board, as provided in the Texas Appraiser Licensing and Certification Act (Chapter 1103 of the Texas Occupations Code). Additionally, the City of Fort Worth requires appraisers to be Texas Department of Transportation (TxDOT) certified before they can perform any appraisal or appraisal- related services on behalf of the City of Fort Worth. In selecting appraisers, Property Management used the following evaluation criteria: • Licensed by the Texas Appraiser Licensing and Certification Board; • Certification by TxDOT; • Experience of the individual real estate appraiser and demonstrated understanding of the scope of services to be provided; and • Ability to meet deadlines over the past three years and the ability to meet City of Fort Worth scheduling requirements. The Real Estate Division has requested and reviewed qualifications for the following: • AdVal Analytics LLC, • Angel Valuation Services LP, • Trailhead Real Estate LLC d/b/a Archer Appraisal Co., • Ben Dyess & Associates, • CBRE, Inc., • Commercial Appraisal Associates, LLC, • Cushman & Wakefield of Texas, Inc., • Matthews Real Estate Consulting, Inc. d/b/a Edgestone Realty Valuation, • Integra Realty Resources - Fort Worth, LLC, • Jeffrey Monroe Tillman d/b/a Jeff Tillman & Associates, • JLL Valuation & Advisory Services, LLC, • Duff & Phelps Holdings Corporation d/b/a Kroll LLC, • Lowery Property Advisors, LLC, • ML&M Realty Advisors LLC, • Molas Schechter & Associates LLC, • O'Brien Realty Advisors LLC, • Paramount Valuation Services Inc. • Texas Appraisal Team LLC, • Thomas Kyser, • Totten & Company, and • Colliers International Valuation & Advisory Services, LLC. It was confirmed that these firms meet the evaluation criteria listed above. The Real Estate Division of the Property Management Department has utilized these appraisal firms to obtain appraisal services in the past and can certify that all the proposed firms can satisfactorily pertorm the professional services required. Additional Services - Due to the increased use of eminent domain in acquiring property interests needed for City capital improvement projects, it is imperative to utilize expert testimony from certified appraisers in support of our condemnation action. To address this need, the Property Management Department and the City Attorney's office request an increase from a combined total of $1,000,000.00 annually to a combined total of $5,000,000.00 annually. Funding - Funding for appraisal services will be provided through various capital project funding sources. These contracts will serve current and future capital projects as-needed, and a funds availability verification will be performed by staff and personnel of the Property Management Department prior to each assignment. Administrative Change Order - An administrative change order or increase may be made by the City Manager in the amount up to $50,000.00 without specific City Council approval as long as sufficient funds have been appropriated. Renewals - These agreements include four additional one-year renewal terms. This is for ALL COUNCIL DISTRICTS. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that funds are available in the current capital budgets, as previously appropriated, in the various capital improvement program funds to support the approval of the recommendation and execution of the agreements. Prior to an expenditure being incurred, the Property Management Department has the responsibility to validate the availability of funds. Submitted for City Manager's Office b� Dana Burghdoff 8018 Originating Business Unit Head: Marilyn Marvin 7708 Additional Information Contact: Ricardo Salazar 8379