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AGREEMENT
CITY OF FRESNO, CALIFORNIA
CONSULTANT SERVICES
THIS AGREEMENT (Agreement) is made and entered into, effective on ______________________, by and between the CITY OF FRESNO, a California municipal corporation (City), and Ricondo and Associates, Inc., an Illinois corporation (Consultant).
RECITALS
WHEREAS, City desires to obtain professional rental car concession consulting services for the development and execution of a Request for Proposals (RFP) for non-exclusive on-airport rental car concessions and agreement (Project); and WHEREAS, Consultant is engaged in the bus iness of furnishing services as a aviation consulting firm and hereby represents that it desires to and is professionally and legally capable of performing the services called for by this Agreement; and WHEREAS, Consultant acknowledges that this Agreement is subject to the requirements of Fresno Municipal Code Section 4-107 and Administrative Order No. 6-19; and WHEREAS, this Agreement will be administere d for City by its Director of Aviation (Administrator) or designee.
AGREEMENT
NOW, THEREFORE, in consideration of the foregoing and of the covenants, conditions, and premises hereinafter contained to be kept and performed by the respective parties, it is mutually agreed as follows:
1. Scope of Services. Consultant shall perform to the satisfaction of City the services described in Exhibit A, including all work incidental to, or necessary to perform, such services even though not specifically described in Exhibit A.
2. Term of Agreement and Time for Performance. This Agreement shall be effective from the date first set forth above (Effective Date) and shall continue in full force and effect through June 13, 2026, subject to any earlier termination in accordance with this Agreement. The services of Consultant as described in Exhibit A are to commence upon the Effective Date and shall be completed in a sequence assuring expeditious completion, but in any event, all such services shall be completed prior to expiration of this Agreement and in accordance with any performance schedule set forth in Exhibit A.
3. Compensation.
(a) Consultant ’s sole compensation for satisfactory performance of all services required or rendered pursuant to this Agreement shall be a total fee of $67,620. Such fee includes all expenses incurred by Consultant in performance of the services.
(b) Detailed statements shall be rendered monthly for services performed in the preceding month and will be payable in the normal course of City business.
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(c) The parties may modify this Agreement to increase or decrease the scope of services or provide for the renditi on of services not required by this Agreement, which modification shall include an adjustment to Consultant’s compensation. Any change in the scope of services must be made by written amendment to the Agreement signed by an authorized representative for each party. Consu ltant shall not be entitled to any additional compensation if services are performed prior to a signed written amendment.
4. Termination, Remedies, and Force Majeure.
(a) This Agreement shall terminate without any liability of City to Consultant upon the earlier of: (i) Consultant’s filing for protection under the federal bankruptcy laws, or any bankruptcy petition or petition for receiver commenced by a third party against Consultant; (ii) seven calendar days prior written notice with or without cause by City to Consultant; (iii) City’s non-appropriation of funds sufficient to meet its obligations hereunder during any City fiscal year of this Agreement, or insufficient funding for the Project; or (iv) expiration of this Agreement.
(b) Immediately upon any termination or expiration of this Agreement, Consultant shall (i) immediately stop all work hereunder; (ii) immediately cause any and all of its subcontractors to cease work; and (iii) return to City any and all unearned payments and all properties and materials in the possession of Consultant that are owned by City. Subject to the terms of this Agreement, Consultant shall be paid compensation for services satisfactorily performed prior to the effective date of termination. Consultant shall not be paid for any work or services performed or costs incurred which reasonably could have been avoided.
(c) In the event of termination due to failure of Consultant to satisfactorily perform in accordance with the terms of this Agreement, City may withhold an amount that would otherwise be payable as an offset to, but not in excess of, City’s damages caused by such failure. In no event shall any payment by City pursuant to this Agreement constitute a waiver by City of any breach of this Agreement which may then exist on the part of Consultant, nor shall such payment impair or prejudice any remedy available to City with respect to the breach.
(d) Upon any breach of this Agreement by Consultant, City may (i) exercise any right, remedy (in contract, law or equity), or privilege which may be available to it under applicable laws of the State of California or any other applicable law; (ii) proceed by appropriate court action to enforce the terms of the Agreement; and/or (iii) recover all direct, indirect, consequential, economic and incidental damages for the breach of the Agreement. If it is determined that City improperly terminated this Agreement for default, such termination shall be deemed a termination for convenience.
(e) Consultant shall provide City with adequate written assurances of future performance, upon Administrator’s request, in the event Consultant fails to
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comply with any terms or conditions of this Agreement.
(f) Consultant shall be liable for default unless nonperformance is caused by an occurrence beyond the reasonable control of Consultant and without its fault or negligence such as, acts of God or the public enemy, acts of City in its contractual capacity, fires, floo ds, epidemics, quarantine restrictions, strikes, unusually severe weather, and delays of common carriers.
Consultant shall notify Administrator in writing as soon as it is reasonably possible after the commencement of any excusable delay, setting forth the full particulars in connection therewit h, and shall remedy such occurrence with all reasonable dispatch, and shall promptly give written notice to Administrator of the cessation of such occurrence.
5. Confidential Information and Ownership of Documents. (a) Any reports, information, or ot her data prepared or assembled by Consultant pursuant to this Agreement shall not be made available to any individual or organization by Consultant without the prior written approval of the Administrator. During the term of this Agreement, and thereafter, Consultant shall not, without the prior written consent of City, disclose to anyone any Confidential Information. The term Confidential Information for the purposes of this Agreement shall include all proprietary and confidential information of City, including but not limited to business plans, marketing plans, financial information, materials, compilations, documents, instruments, models, source or obj ect codes and other information disclosed or submitted, orally, in writing, or by any other medium or media.
All Confidential Information shall be and remain confidential and proprietary in City.
(b) Any and all writings and documents prepared or provided by Consultant pursuant to this Agreement are the property of City at the time of preparation and shall be turned over to City upon expiration or termination of the Agreement. Consultant shall not permit the reproduction or use thereof by any other person except as otherwise expressly provided herein. (c) If Consultant should subcontract all or any portion of the services to be performed under this Agreement, Consultant shall cause each subcontractor to also comply with the requirements of this Section 5. (d) This Section 5 shall survive expirati on or termination of this Agreement.
6. Professional Skill. It is further mu tually understood and agreed by and between the parties hereto that inasmuch as Consultant represents to City that Consultant and its subcontractors, if any, are skilled in the profession and shall perform in accordance with the standards of said profession necessary to perform the services agreed to be done by it under this Agreement, City relies upon the skill of Consultant and any subcontractors to do and perform such services in a skillful manner and Consultant agrees to thus perform the services and require the same of any subcontractors. Therefore, any acc eptance of such services by City shall not operate as a release of Consultant or any subcontractors from said
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professional standards.
7. Indemnification. To the furthest extent allowed by law, including California Civil Code section 2782, Consultant shall indemnify, hold harmless and defend City and each of its officers, officials, employees, agents, and volunteers from any and all loss, liability, fines, penalties, forfeitures, costs and damages (whether in contract, tort or strict liability, incl uding but not limited to personal injury, death at any time and property damage), and from any and all claims, demands and actions in law or equity (including reasonable attorney's fees, litigation expenses and cost to enforce this Agreement) that arise out of , pertain to, or relate to the negligence, recklessness or willful misconduct of Consultant, its principals, officers, employees, agents, or volunteers in the performance of this Agreement.
If Consultant should subcontract all or any portion of the services to be performed under this Agreement, Consultant shall re quire each subcontractor to indemnify, hold harmless and defend City and each of its officers, officials, employees, agents, and volunteers in accordance with the terms of the preceding paragraph.
This section shall survive termination or expiration of this Agreement.
8. Insurance.
(a.) Throughout the life of this Agreement, the Consultant shall pay for and maintain in full force and effect all insurance as required in Exhibit B, which is incorporated into and part of this Agreement, with an insurance company(ies) either (i) admitted by the California Insurance Commissioner to do business in the State of California and rated no less than “A-VII” in the Best’s Insurance Rating Guide, or (ii) as may be authorized in writing by the City’s Risk Manager or designee at any time and in its sole discretion. The required policies of insurance as stated in Exhibit B shall maintain limits of liability of not less than those amounts stated therein. However, the insurance limits availab le to the City, its officers, officials, employees, agents, and volunteers as additional ins ureds, shall be the greater of the minimum limits specified therein or the full limit of any insurance proceeds to the named insured.
(b) If at any time during the life of the Agreement or any extension, the Consultant or any of its subcontractors/sub-consultants fail to maintain any required insurance, all services and work under this Agreement shall be discontinued immediately, and all payments due, or that become due, to the Consultant shall be withheld until insur ance is in compliance with the requirements. Any failure to maintain the required insurance shall be sufficient cause for the City to terminate this Agreement. No action taken by the City pursuant to this section shall in any way relieve the Consultant of its responsibilities under this Agreem ent. The phrase “fail to maintain any required insurance” shall include, without limitation, notification received by the City that an insurer has commenced proceedings, or has had proceedings commenced against it, indicating that the insurer is insolvent.
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(c) The fact that insurance is obtained by the Consultant shall not be deemed to release or diminish the liability of the Consultant, including, without limitation, liability under the indemnity provisions of this Agreement. The duty to indemnify the City shall apply to all claims and liability regardless of whether any insurance policies are applic able. The policy limits do not act as a limitation upon the amount of indemnification to be provided by the Consultant. Approval or purchase of any insurance contracts or policies shall in no way relieve from liability nor limit the liability of the Consultant, its principals, officers, agents, employees, persons under the supervision of the Consultant, vendors, suppliers, invitees, consultants, sub-consultants, subcontractors, or anyone employed directly or indirectly by any of them.
9. Conflict of Interest and Non-Solicitation.
(a) Prior to City’s execution of this Agreement, Consultant shall complete a City of Fresno conflict of interest disclosure statement in the form as set forth in Exhibit C. During the term of this Agreement, Consultant shall have the obligation and duty to immediately notify City in writing of any change to the information provided by Consultant in such statement.
(b) Consultant shall comply, and require its subcontractors to comply, with all applicable (i) professional canons and requirements governing avoidance of impermissible client conflicts; and (i i) federal, state and local conflict of interest laws and regulations including, without limitation, California Government Code Section 1090 et seq., the California Political Reform Act (California Government Code Section 87100 et. seq.) and the regulations of the Fair Political Practices Commission concerning disclosure and disqualification (2 California Code of Regulations Section 18700 et. seq.).
At any time, upon written request of City, Consultant shall provide a written opinion of its legal counsel and that of any subcontractor that, after a due diligent inquiry, Consultant and the respective subcontractor(s) are in full compliance with all laws and regulations. Consultant shall take, and require its subcontractors to take, reasonable steps to avoid any appearance of a conflict of interest. Upon discovery of any facts giving rise to the appearance of a conflict of interest, Consultant shall immediately notify City of these facts in writing.
(c) In performing the work or services to be provided hereunder, Consultant shall not employ or retain the services of any person while such person either is employed by City or is a member of any City council, commission, board, committee, or similar City body. This requirement may be waived in writing by the City Manager, if no actual or potential conflict is involved. (d) Consultant represents and warrants that it has not paid or agreed to pay any compensation, contingent or otherwis e, direct or indirect, to solicit or procure this Agreement or any rights/benefits hereunder. (e) Neither Consultant, nor any of Consultant ’s subcontractors performing any services on this Project, shall bid for, assist anyone in the preparation of a bid for, or perform any services pursuant to, any other contract in connection
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with this Project unless fully disclosed to and approved by the City Manager, in advance and in writing. Consultant and any of its subcontractors shall have no interest, direct or indirect, in any other contract with a third party in connection with this Project unless such interest is in accordance with all applicable law and fully disclosed to and approved by the City Manager, in advance and in writing. Notwithstanding any approval given by the City Manager under this provision, Consu ltant shall remain responsible for complying with Section 9(b), above.
(f) If Consultant should subcontract all or any portion of the work to be performed or services to be provided under this Agreement, Consultant shall include the provisions of this Section 9 in each subcontract and require its subcontractors to comply therewith.
(g) This Section 9 shall survive expirati on or termination of this Agreement.
10. Recycling Program. In the event Consultant maintains an office or operates a facility(ies), or is required herein to maintain or operate same, within the incorporated limits of the City of Fresno, Consultant at its sole cost and expense shall:
(a) Immediately establish and maintain a viable and ongoing recycling program, approved by City’s Solid Waste Management Division, for each office and facility. Literature describing City recycling programs is available from City’s Solid Waste Management Division and by calling City of Fresno Recycling Hotline at (559) 621-1111.
(b) Immediately contact City’s Solid Waste Management Division at (559) 621-1452 and schedule a free waste audit, and cooperate with such Division in their conduct of the audit for each office and facility. (c) Cooperate with and demonstrate to the satisfaction of City’s Solid Waste Management Division the establishment of the recycling program in paragraph (i) above and the ongoing maintenance thereof.
11. General Terms.
(a) Except as otherwise provided by law, all notices expressly required of City within the body of this Agreement, a nd not otherwise specifically provided for, shall be effective only if signed by the Administrator or designee. (b) Records of Consultant ’s expenses pertaining to the Project shall be kept on a generally recognized accounting basis and shall be available to City or its authorized representatives upon request during regular business hours throughout the life of this Agreemen t and for a period of three years after final payment or, if longer, for any period required by law. In addition, all books, documents, papers, and records of Consultant pertaining to the Project shall be available for the purp ose of making audits, examinations, excerpts, and transcriptions for the same period of time. If any litigation, claim, negotiations, audit or other action is commenced before the expiration of said time period, all records shall be retained and made available to City until such action is resolved, or until the end of said time
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period whichever shall later occur. If Consultant should subcontract all or any portion of the services to be performed under this Agreement, Consultant shall cause each subcontractor to also comply with the requirements of this paragraph. This Section 11(b) shall survive expiration or termination of this Agreement.
(c) Prior to execution of this Agreement by City, Consultant shall have provided evidence to City that Consu ltant is licensed to perfo rm the services called for by this Agreement (or that no license is required). If Consultant should subcontract all or any portion of the work or services to be performed under this Agreement, Consultant shall require each subcontractor to provide evidence to City that subcontractor is licensed to perform the services called for by this Agreement (or that no license is required) before beginning work.
12. Nondiscrimination. To the extent required by controlling federal, state and local law, Consultant shall not employ discrimina tory practices in the provision of services, employment of personnel, or in any other respect on the basis of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, marital status, sex, age, sexual orientation, ethnicity, status as a disabled veteran or veteran of the Viet nam era. Subject to the foregoing and during the performance of this Agreement, Consultant agrees as follows:
(a) Consultant will comply with all appl icable laws and regulations providing that no person shall, on the grounds of race, religious creed, color, national origin, ancestry, physical disability, m ental disability, medical condition, marital status, sex, age, sexual orientat ion, ethnicity, status as a disabled veteran or veteran of the Vietnam era be excluded from participation in, be denied the benefits of, or be subject to discrimination under any program or activity made possible by or resulting from this Agreement. (b) Consultant will not discriminate against any employee or applicant for employment because of race, relig ious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, marital status, sex, age, sexual orientation, et hnicity, status as a disabled veteran or veteran of the Vietnam era. Consultant shall ensure that applicants are employed, and the employees are treated during employment, without regard to their race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, marital status, sex, age, sexual orientation, ethnicity, status as a disabled veteran or veteran of the Vietnam era. Such requirement shall apply to Consultant ’s employment practices including, but not be limit ed to, the following: employment, upgrading, demotion or transfer; recr uitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenti ceship. Consultant agrees to post in conspicuous places, available to employees and applicants for employment, notices setting forth the provision of this nondiscrimination clause.
(c) Consultant will, in all solicitations or advertisements for employees placed
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by or on behalf of Consultant in pursuit hereof, state that all qualified applicants will receive consideration for employment without regard to race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, marital st atus, sex, age, sexual orientation, ethnicity, status as a disabled veteran or veteran of the Vietnam era. (d) Consultant will send to each labor un ion or representative of workers with which it has a collective bargaining agreement or other contract or understanding, a notice advising such labor union or workers' representatives of Consultant ’s commitment under this section and shall post copies of the notice in conspicuous places available to employees and applicants for employment.
(e) If Consultant should subcontract all or any portion of the services to be performed under this Agreement, Consultant shall cause each subcontractor to also comply with the requirements of this Section 12.
13. Independent Contractor.
(a) In the furnishing of the services provided for herein, Consultant is acting solely as an independent contractor. Neither Consultant, nor any of its officers, agents or employees shall be deemed an officer, agent, employee, joint venturer, partner or associate of City for any purpose. City shall have no right to control or supervise or direct the manner or method by which Consultant shall perform its work and functions. However, City shall retain the right to administer this Agreement so as to verify that Consultant is performing its obligations in accordance with the terms and conditions thereof.
(b) This Agreement does not evidence a partnership or joint venture between Consultant and City. Consultant shall have no authority to bind City absent City’s express written consent. Except to the extent otherwise provided in this Agreement, Consultant shall bear its own costs and expenses in pursuit thereof.
(c) Because of its status as an independent contractor, Consultant and its officers, agents and employees shall have absolutely no right to employment rights and benefits available to City employees. Consultant shall be solely liable and responsible for all payroll and tax withholding and for providing to, or on behalf of, its employees all employee benefits including, without limitation, health, welfare and retirement benefits. In addition, together with its other obl igations under this Agreement, Consultant shall be solely responsible, indemnify, defend and save City harmless from all matters relating to employment and tax withholding for and payment of Consultant's employees, including, without limitation, (i) compliance with Social Security and unemployment insurance withholding, payment of workers ’ compensation benefits, and all other laws and regulations governing matters of employee withholding, taxes and payment; and (ii) any claim of right or interest in City employment benefits, entitlements, programs and/or funds offered employees of City whether
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arising by reason of any common law, de facto, leased, or co-employee rights or other theory. It is acknowledged that during the term of this Agreement, Consultant may be providin g services to others unrelated to City or to this Agreement.
14. Notices. Any notice required or intended to be given to either party under the terms of this Agreement shall be in writing and shall be deemed to be duly given if delivered personally, transmitted by facsimile followed by telephone confirmation of receipt, or sent by United States regi stered or certified mail, with postage prepaid, return receipt requested, addresse d to the party to which notice is to be given at the party's address set forth on the signature page of this Agreement or at such other address as the parties may from time to time designate by written notice. Notices served by United States mail in the manner above described shall be deemed sufficiently served or given at the time of the mailing thereof.
15. Binding. Subject to Section 16, below, on ce this Agreement is signed by all parties, it shall be binding upon, and shall inure to the benefit of, all parties, and each parties' respective heirs, successors, a ssigns, transferees, agents, servants, employees and representatives.
16. Assignment.
(a) This Agreement is personal to Consul tant and there shall be no assignment by Consultant of its rights or obligat ions under this Agreement without the prior written approval of the City Manager or designee. Any attempted assignment by Consultant, its successors or assigns, shall be null and void unless approved in writing by the City Manager or designee. (b) Consultant hereby agrees not to assign the payment of any monies due Consultant from City under the term s of this Agreement to any other individual(s), corporation(s) or entity(ies). City retains the right to pay any and all monies due Consultant directly to Consultant.
17. Compliance With Law. In providing the services required under this Agreement, Consultant shall at all times comply with all applicable laws of the United States, the State of California and City, and with all applicable regulations promulgated by federal, state, regional, or local adminis trative and regulatory agencies, now in force and as they may be enacted, issued, or amended during the term of this Agreement.
18. Waiver. The waiver by either party of a breach by the other of any provision of this Agreement shall not constitute a continuing waiver or a waiver of any subsequent breach of either the same or a different provision of this Agreement. No provisions of this Agreement may be waived unless in writing and signed by all parties to this Agreement. Waiver of any one provision herein shall not be deemed to be a waiver of any other provision herein.
19. Governing Law and Venue. This Agreement shall be governed by, and construed and enforced in accordance with, the laws of the State of California, excluding, however, any conflict of laws rule which would apply the law of another jurisdiction.
Venue for purposes of the filing of any action regarding the enforcement or
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interpretation of this Agreement and any rights and duties hereunder shall be Fresno County, California.
20. Headings. The section headings in this Agreement are for convenience and reference only and shall not be construed or held in any way to explain, modify or add to the interpretation or meaning of the provisions of this Agreement.
21. Severability. The provisions of this Agreement are severable. The invalidity, or unenforceability of any one provision in this Agreement shall not affect the other provisions.
22. Interpretation. The parties acknowledge that this Agreement in its final form is the result of the combined efforts of the parties and that, should any provision of this Agreement be found to be ambiguous in any way, such ambiguity shall not be resolved by construing this Agreement in favor of or against either party, but rather by construing the terms in accordance with their generally accepted meaning.
23. Attorney's Fees. If either party is re quired to commence any proceeding or legal action to enforce or interpret any term, co venant or condition of this Agreement, the prevailing party in such proceeding or action shall be entitled to recover from the other party its reasonable attorney's fees and legal expenses.
24. Exhibits. Each exhibit and attachment referenced in this Agreement is, by the reference, incorporated into and made a part of this Agreement.
25. Precedence of Documents. In the event of any conflict between the body of this Agreement and any Exhibit or Attachment hereto, the terms and conditions of the body of this Agreement shall control and take precedence over the terms and conditions expressed within the Exhibit or Attachment. Furthermore, any terms or conditions contained within any Exhibit or Attachment hereto which purport to modify the allocation of risk between the parties, provided for within the body of this Agreement, shall be null and void.
26. Cumulative Remedies. No remedy or election hereunder shall be deemed exclusive but shall, wherever possible, be cu mulative with all other remedies at law or in equity.
27. No Third Party Beneficiaries. The rights , interests, duties and obligations defined within this Agreement are intended for the specific parties hereto as identified in the preamble of this Agreement. Notwith standing anything stated to the contrary in this Agreement, it is not intended that any rights or interests in this Agreement benefit or flow to the interest of any third parties.
28. Extent of Agreement. Each party acknowledges that they have read and fully understand the contents of this Agreement. This Agreement represents the entire and integrated agreement between the parties with respect to the subject matter hereof and supersedes all prior negotiati ons, representations or agreements, either written or oral. This Agreement may be modified only by written instrument duly authorized and executed by both City and Consultant.
29. The City Manager, or designee, is here by authorized and directed to execute and implement this Agreement. The previous sentence is not intended to delegate any
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authority to the City Manager to adm inister the Agreement, any delegation of authority must be expressly included in the Agreement.
[SIGNATURES FOLLOW ON THE NEXT PAGE.]
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IN WITNESS WHEREOF, the parties have executed this Agreement at Fresno, California, the day and year first above written.
CITY OF FRESNO,
a California municipal corporation
B y :
Henry Thompson, A.A.E., C.A.E.,
IAP,
Director of Aviation
Airports Department
ATTEST:
TODD STERMER, CMC
City Clerk
B y :
Deputy
No signature of City Attorney required.
Standard Document #ALL-S Generic
CSA Total Fee (08-2023) has been used
without modification, as certified by the
undersigned.
B y :
Marcos Ayala
Airports Property Specialist II
Addresses:
City:
City of Fresno
Attention: Marcos Ayala,
Airports Property Specialist II
4995 E. Clinton Way
Fresno, CA 93727
Phone: (559) 621-4549
E-mail: [email protected]
Ricondo & Associates, Inc.,
An Illinois Corporation
B y :
Name:
Title:
(If corporation or LLC., Board Chair,
Pres. or Vice Pres.)
B y :
Name:
Title:
(If corporation or LLC., CFO, Treasurer,
Secretary or Assistant Secretary)
Any Applicable Professional License:
Number:
Name:
Date of Issuance:
Consultant:
Ricondo & Associates Inc.
Attention: James E. Branda,
Vice President
20 N. Clark St., Suite 1500
Chicago, IL 60602
Phone: 312-606-0611 x145
E-mail: [email protected]
Attachments:
1. Exhibit A - Scope of Services
2. Exhibit B - Insurance Requirements
3. Exhibit C - Conflict of Interest Disclosure Form
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ALL-S GCS Agt Total Fee (03-2022)
EXHIBIT A
SCOPE OF SERVICES
Consultant Service Agreement between City of Fresno (City) and Ricondo & Associates, Inc. (Consultant)
RAC RFP and Agreement Development and Execution
20 NORTH CLARK STREET | SUITE 1500 | CHICAGO, IL 60602 | TEL +1 312-606-0611 | WWW.RICONDO.COM
DRAFT FOR CLIENT DISCUSSION PURPOSES ONLY
March 27, 2024
Ms. Melissa Garza-Perry via electronic mail
Airports Properties Manager [email protected] City of Fresno
Airports Department
4995 E. Clinton Way
Fresno, California 93727
RE: Rental Car Concession Program Support Consulting Services Dear Melissa:
Sorry to have missed you when I stopped by the Airport the other day, but Marcos and Michael represented you and the Airport very nicely. I appreciate their time and courtesy and the opportunity to provide you with Ricondo’s proposal to provide rental car concession consulting services to Fresno Yosemite International Airport.
BACKGROUND
The current Concession and Lease agreements among the on-airport rental car companies and the City of Fresno (the City) for the right to operate at the Rental Car Center (the RCC) at Fresno Yosemite International Airport (the Airport or FAT) are scheduled to expire August 31, 2024. The Airport has determined that it is in its best interest to issue a Request for Proposals (RFP ) for new rental car concessions, especially in light of interest expressed from rental car companies no t currently operating at FAT, to become on-airport concessionaires.
The Airport has invited Ricondo & Associates, Inc. (R icondo) to submit a proposal to provide rental car consulting services relating to the scope items listed in your email invitation:
1. Assist airport staff with the development, drafti ng, and execution of an RFP for On-Airport Non- Exclusive Rental Car Concessions at FAT. This is specifically for the development of the Rental Car Concession opportunity and determination of Quick Turn Around (QTA) service facilities.
2. Develop and draft detailed operating lease language specifically for new entrants, space, future construction, and customer facility charge (CFC) usage.
3. Ability to assist in bringing new entrants not cu rrently operating in the Fresno market into the current facility.
4. Provide guidance and assistance in revising the CFC under Sections 50474.21 and 50474.3 of the California Government Code, for the building of a new Consolidated Rental Car Facility (CRCF).
EXHIBIT A
Ms. Melissa Garza-Perry
City of Fresno
March 27, 2024
SCOPE OF WORK
Ricondo proposes the following scope of work and budget to provide the Airport’s requested services.
TASK 1: STRATEGIC PLANNING
Review existing rental car concession and lease agreements and other relevant client-provided materials.
Kick-off Meeting (virtual or in-person)
— Determination of Airport’s policy objectives and priorities for its rental car concession program, for the existing RCC facilities, and a potential futur e consolidated rental car facility (CONRAC) development.
Deliverables:
PowerPoint presentation to Airport management and staff. Preparation of a detailed Project Schedule to incl ude key task milestones and deliverables that meets the Airport’s project timeline and tracks ongoing activities.
TASK 2: RENTAL CAR CONCESSION PROGRAM BUSINESS PLANNING Benchmarking of peer airports and best practices.
Advise Airport staff on current best practices, revenue enhancement opportunities at other airports. Develop and achieve Airport consensus on rental car concession business plan consistent with the Airport’s objectives, including the feasibility of addi ng a new entrant rental car concessionaire to the existing RCC facilities.
Advise the Airport on rental car industry electric vehicle charging issues at other airports. Develop concession and lease agreement terms consistent with the Airport’s business plan and industry best practices; develop RFP solicitation documents and the concession and lease agreement in coordination with the Airport’s legal counsel.
Develop space allocation/re-allocation scenarios fo r all rental car facilities (terminal counters, ready/return area; QTA and maintenance areas), including for a potential new entrant; provide recommendations to the Airport regarding possible feedback from the rental car companies based on current industry conditions and Ricondo’s on-going experience at other airports. Support the Airport throughout the rental car concession RFP process. Prepare with Airport management and staff for pre-pr oposal meeting(s) and other rental car industry meetings. Attend meetings as requested (virtual or in-person). Provide support to the Airport with the presentation and discussion of rental car concession business terms with the rental car industry as required.
EXHIBIT A
Ms. Melissa Garza-Perry
City of Fresno
March 27, 2024
Deliverables
Business terms matrix containing key business and fi nancial terms and for ongoing use by the Airport to obtain internal consensus on the business plan.
Prepare and present space re-allocation alternative( s) to the Airport and subsequently, the rental car companies.
PowerPoint presentation materials for rental car company meetings.
TASK 3: PROVIDE GUIDANCE AN D ASSISTANCE IN REVISING THE CUSTOMER FACILITY CHARGE (CFC) UNDER SECTIONS 50474.21 AND 50474.3 OF THE CALIFORNIA GOVERNMENT CODE, FOR THE BUILDING OF A NEW CONSOLIDATED RENTAL CAR FACILITY (CRCF).
Ricondo has supported a number of California airports (including SAN, SJC, PSP, SMF) with the initial implementation, the transition to a per-transaction-day rate, or subsequent rate adjustments of the Customer Facility Charge in accordance with 50474.21 and 50474.3 of the California Government Code. We are currently engaged at three (3) other California airports to support the process of transitioning to the per-transaction- day CFC.
FAT has already implemented a per-transaction-day CFC however, the current rate will likely not generate sufficient revenue to support the development of a new CRCF.
Ricondo would prepare a financial pl an including a CFC rate-sizing and debt capacity analysis to support Airport decision-making for future CFC rate adjustments to meet future rental car related capital projects.
If the City decides to adjust the CFC rate, Ricondo would provide support to the City as needed in accordance with the process required by the CFC statute.
Deliverables:
Benchmark of CFC rates at other California Airports
CFC rate sizing and debt capacity financial model
SCHEDULE
The tasks identified in this scope of work are anticipated to be completed over a duration of approximately four (4) to six (6) months from the date of the Airport’s Notice to Proceed.
RICONDO STAFFING
Jim Branda would lead this project for Ricondo. He wo uld be assisted by other Ricondo rental car practice experts as needed.
EXHIBIT A
Ms. Melissa Garza-Perry
City of Fresno
March 27, 2024
BUDGET
These consulting services would be provided on a time and materials basis for a not-to-exceed amount of $67,620. A detailed break-down of assumed staff hours and anticipated expenses is attached.
If you have any questions concerning our proposal or n eed additional information, please contact me at 312-606-0611, extension 145, or via email at [email protected] Sincerely,
RICONDO & ASSOCIATES, INC.
James E. Branda
Vice President
Attachment (1) Proposed Fee
cc: 24-98-1660-01-1110
cc: [email protected]
[email protected]
Jim Jarvis, Ricondo
Jake Strawn, Ricondo
O:\Bidding\FAT\02 - Rental Car Concession Program - March 24\FAT Rental Car Consulting Services_FINAL.docx
EXHIBIT A
Labor Rates $419.00 $352.00 $298.00 $257.00 $205.00 $162.00
MANAGING SENIOR TECH/ TOTAL TRAVEL TOTAL
OFFICER DIRECTOR CONSULTANT CONSULTANT CONSULTANT ADMIN HOURS LABOR EXPENSES COST
1. Strategy Development
Kickoff meeting preparation including development of PPT presentation; Benchmarking and best practices; Existing concession and lease agreement and other documents 12 0 4 0 0 8 24 7,516.00 7,516.00 Kickoff Meeting to determine rental car program strategic business, financial and policy objectives (in person or virtual). 10 0 4 0 0 0 14 5,382.00 1,200.00 6,582.00 Subtotal Task 1 22 0 8 0 0 8 38 12,898.00 $ 1,200.00 $ 14,098.00 $
2. Rental Car Concession Program Business Planning
Advise on current best practices; revenue enhancement opportunities; 4 0 0 0 0 0 4 1,676.00 $ 1,676.00 $ Develop rental car concession program business plan; benchmarking of peer airports 16 0 0 0 4 20 7,352.00 $ 7,352.00 $ Develop RFP and concession agreement documents; coordinate with City's legal counsel 10 0 0 0 0 2 12 4,514.00 $ 4,514.00 $ Develop facility space allocation/re-allocation scenarios including for possible new entran 6 0 16 16 0 0 38 11,394.00 $ $11,394.00 Support Airport and prepare with staff with presentations and discussions of business plans to RAC industry during the RFP process 24 0 0 0 0 6 30 11,028.00 $ $11,028.00 Attend rental car industry meetings, including pre-proposal meeting as requested (assumed 1 in person, the rest virtually) 20 0 0 0 20 8,380.00 $ 1200.00 9,580.00$ Subtotal Task 2 80 0 16 16 0 12 124 $44,344.00 1,200.00 $ $45,544.00
3. CFC Rate Change Analysis
Prepare CFC debt capacity and rate sizing model 2 0 0 8 0 0 10 2,894.00 $ 2,894.00 $ Support Airport thoughout CFC rate change process in accordance with CFC Statute 6 0 0 10 0 0 16 5,084.00 $ 5,084.00 $ Subtotal Task 3 8001 80 0 2 6 7,978.00$ $7,978.00
Total Proposal Hours 110 0 24 34 0 20 188
Total Labor Costs & Expenses 46,090.00$ - $ 7,152.00 $ 8,738.00 $ - $ 3,240.00 $ 65,220.00$ 2,400.00 $ 67,620.00 $ Prepared by: Ricondo & Associates, Inc. March 26, 2024.
HOURS FEE
FRESNO YOSEMITE INTERNATIONAL AIRPORT
RENTAL CAR CONCESSION PROGRAM SUPPORT SERVICES
PROPOSED BUDGET
EXHIBIT A
Education
Bachelor of Arts – Political
Science, Monmouth College
Juris Doctorate – Washburn
University
Professional Affiliations
Airports Council International-
North America – Member
American Association of Airport
Executives – Corporate Member
Chicago Bar Association
Years of Experience
Ricondo: 17
Other Firms: 22
Office Location
Chicago, Illinois
James E. Branda
Vice President
Mr. Branda has nearly 40 years of airport rental car concession and facility development experience. He is an industry leader in developing and implementing re ntal car concession programs, as well as in business and financial planning for consolidated rental car facilities, having assisted with more than half of the consolidated rental car facilities currently in development or operation in the United States. Mr. Branda led Budget Rent A Car’s worldwide properties and facilities division for 14 years.
Since 1998, he has provided rental car consulting services exclusively at airports, including those serving Boise, Chicago, Cincinnati, Columbus, Detroit, El Paso, Fort Lauderdale, the State of Hawaii, Los Angeles, Nashville, Northwest Arkansas, Oakland, Or lando, Philadelphia, Portland (Oregon), Raleigh-Durham, Sacramento, San Antonio, San Diego, San Jose, Seattle-Tacoma, Tampa and Washington, DC. Mr. Branda is also a licensed attorney.
He represents airport sponsors in various rental car concession matters, including strategic planning, the development and negotiation of rental car concession agreements and concession bi d specifications, the development of facility leases, and consolidated rental car facility business, financial, and operations (such as common use transportation system) planning.
For the State of Hawaii Department of Transportation, Airports Division, Mr. Branda leads the Statewide Car Rental Facility Development Program Management Support Services effort to develop rental car facilities at all of the major airports in the State. The initial phase of this project included developing a Statewide rental car facilities plan, a preliminary plan of finance and Customer Facility Charge (CFC) sizing analysis, and supporting the Airports Division in implementing a CFC consistent with the State’s CFC statute. The State successfully opened th e $340 million Kahului (Maui) Airport Consolidated Rental Car facility in 2019. Currently, Mr. Branda also led the coordination of facility planning design efforts with the business and financial planning tasks for the team that developed the $390 million consolidated rental car facility at Daniel K. Inouye Honolulu International Airport which opened in December 2021.
EXHIBIT A
RICONDO RENTAL CAR CONSULTING PRACTICE
Ricondo stands apart from its peers in this field because of our combination of experi ence in airport rental car business and financial planning; rental car operat ions planning; and CONRAC planning, development, implementation, and commissioning.
The experience of our rental car practice team allows us to provide high-level expertise for every aspect of rental car concession program strategic planning, development and implementation, regardless of its scope and complexity. Ricondo has been involved in numerous CONRAC planning projects, concession and lease negotiations, and facility financings, including for airports serving the State of Hawaii, as well as Chicago, Cincinnati, Columbus, Dallas, Detroit, Fort Lauderdale, Los Angeles, Nashville, Oakland, Orlando, Pittsburgh, San Antonio, San Diego, San Jose, Seattle-Tacoma, Tampa, and Washington, DC.
This experience has also provided Ricondo with an in-d epth understanding of how to manage all components of the project to balance the goals of al l stakeholders. While each rental ca r concession program and facility development project is unique, there are certain components that usually share a critical path. With our expertise in this area, we can assist our clients to develop integrated so lutions and anticipate any challenges or issues, both in the near and long term. Our Rental Car Practice team members have developed a level of credibility with the rental car industry which gives Ricondo the ability to anticipate and identify the inevitable impediments that could delay the schedule, drive up project costs, and frustrate a successful outcome.
EXHIBIT A
The services provided by Ricondo’s Rental Car Consulting practice include the following:
General
CONRAC feasibility studies (physical, business,
operational)
current market and industry conditions
assessments
demand forecasts
public policy, regulatory advocacy, and
legislative support
CONRAC development
multi-use facility development (public
parking/rental car/ground transportation)
legal/litigation support
project management, including airport and
industry liaison services
coordination of facility and common
transportation systems commissioning and
start-up
Business Planning
concessions program development
concessions policy and objectives formulation
request for proposals/request for
qualifications/request for bids, concession
agreements, and lease agreement development
contract negotiation and implementation
Financial Planning and Financing
special facility bond feasibility studies
CFCs (alternative uses, authority to impose, and
implementation)
financial analyses to support CFC rates and
revenues, as well as other potential revenue
sources
Facility Planning
facility concept development and program
definition
ground transportation and curbfront planning
and management
advisory services for design and engineering
consultants
Operational Planning
advisory services for airport rental car industry
best practices
fuel and common busing consortia development
and implementation
common busing capacity and route studies
Ricondo has provided rental car concession, facility planning, and financial and business advisory services at a broad spectrum of airports, as shown in the following Table.
EXHIBIT A
TABLE 1: RENTAL CAR BUSINESS AND FINANCIAL PLANNING EXPERIENCE
PROJECT
DURATION AIRPORT
CFC SIZING/
IMPLEMEN-
TATION
BUSINESS
PLANNING
FINANCIAL
PLANNING
FACILITY
PROGRAMMING
PLANNING
2018–Present Aspen-Pitkin County Airport
2019–Present Charlotte Douglas International Airport
2013–2018 Cincinnati/Northern Kentucky International Airport 2017–2021 Dallas Love Field
2008–Present Daniel K. Inouye International Airport 2017–2023 Detroit Metropolitan Wayne County Airport 2017–2018 Dublin Airport
2017–Present Dulles International Airport
2008–Present Ellison Onizuka Kona International Airport 2017–2018 Fort Lauderdale–Hollywood International Airport 2017–2018 Greenville-Spartanburg International Airport 2008–Present Hilo International Airport
2017–2023 Indianapolis International Airport
2018 Jacksonville International Airport
2017–2018 John Glenn Columbus International Airport 2008–Present Kahului Airport
2018–Present Key West International Airport
2008–Present Lihue Airport
2018–Present Long Beach Airport
2015–2018 Lubbock Preston Smith International Airport 2016–2017 Meadows Field Airport (Bakersfield California) 2015–2018 Midway International Airport
2023-Present Nashville International Airport
2017–Present Northwest Arkansas Regional Airport
2016–Present Oakland International Airport
2016–2020 Palm Springs International Airport
2014–2018 Philadelphia International Airport
2018–Present Pittsburgh International Airport
2018 Portland International Airport
2017–Present Reagan Washington National Airport
2016–2018 Roberts Field Airport (Redmond Oregon)
2018 Sacramento International Airport
2018–2019 Southwest Florida International Airport
2013–Present Tampa International Airport
2018–2019 Tri-Cities Airport (Tennessee)
EXHIBIT A
ALL-S Generic CSA Total Fee (08-2023) Page 1 of 4
EXHIBIT B
INSURANCE REQUIREMENTS
Consultant Service Agreement between City of Fresno (City) and Ricondo & Associates, Inc. (Consultant)
RAC RFP and Agreement Development and Execution
MINIMUM SCOPE OF INSURANCE
Coverage shall be at least as broad as:
1. The most current version of Insurance Services Office (ISO) Commercial General Liability Coverage Form CG 00 01, providing liability coverage arising out of your business operations. The Commercial General Liability policy shall be written on an occurrence form and shall provide coverage for “bodily injury,” “property damage” and “personal and advertising injury” with coverage for premises and operations (including the use of owned and non-owned equipment), products and completed operations, and contractual liability (including, without li mitation, indemnity obligations under the Agreement) with limits of liability not less than those set forth under “Minimum Limits of Insurance.”
2. The most current version of Commercial Auto Coverage Form CA 00 01, providing liability coverage arising out of the ownership, maintenance or use of automobiles in the course of your business operations. The Automobile Policy shall be written on an occurrence form and shall provide coverage for all owned, hired, and non- owned automobiles or other licensed vehicles (Code 1- Any Auto).
3. Workers’ Compensation insurance as required by the State of California and Employer’s Liability Insurance.
4. Professional Liability (Errors and Omi ssions) insurance appropriate to the Consultant’s profession.
MINIMUM LIMITS OF INSURANCE
The Consultant, or any party the Consultant s ubcontracts with, shall maintain limits of liability of not less than those set forth below. However, insurance limits available to the City, its officers, officials, employees, agents, and volunteers as additional insureds, shall be the greater of the minimum limits specifi ed herein or the full limit of any insurance proceeds available to the named insured:
1. COMMERCIAL GENERAL LIABILITY:
(i) $1,000,000 per occurrence for bodily injury and property damage; (ii) $1,000,000 per occurrence for personal and advertising injury; (iii) $2,000,000 aggregate for products and completed operations; and, (iv) $2,000,000 general aggregate applying separately to the work performed under the Agreement.
2. COMMERCIAL AUTOMOBILE LIABILITY:
ALL-S Generic CSA Total Fee (08-2023) Page 2 of 4
$1,000,000 per accident for bodily injury and property damage.
3. WORKERS’ COMPENSATION INSURANCE as required by the State of California with statutory limits.
4. EMPLOYER’S LIABILITY:
(i) $1,000,000 each accident for bodily injury;
(ii) $1,000,000 disease each employee; and,
(iii) $1,000,000 disease policy limit.
5. PROFESSIONAL LIABILITY (Errors and Omissions):
(i) $1,000,000 per claim/occurrence; and,
(ii) $2,000,000 policy aggregate.
UMBRELLA OR EXCESS INSURANCE
In the event the Consultant purchases an Umbrella or Excess insurance policy(ies) to meet the “Minimum Limits of Insurance,” this insurance policy(ies) shall “follow form” and afford no less coverage than the primary insurance policy(ies). In addition, such Umbrella or Excess insurance policy(ies) shall also apply on a primary and non-contributory basis for the benefit of the City, its officers, officials, employees, agents and volunteers.
DEDUCTIBLES AND SELF-INSURED RETENTIONS
The Consultant shall be responsible for paym ent of any deductibles contained in any insurance policy(ies) required herein and the Consultant shall also be responsible for payment of any self-insured retentions.
OTHER INSURANCE PROVISIONS/ENDORSEMENTS
The General Liability and Automobile Liability insurance policies are to contain, or be endorsed to contain, the following provisions:
1. The City, its officers, officials, employees, agents, and volunteers are to be covered as additional insureds. The Consult ant shall establish additional insured status for the City and for all ongoing and comple ted operations by use of endorsements providing additional insured status as broad as that contained in ISO Form CG 20 10 11 85 or CG 20 10 04 13.
2. The coverage shall contain no special limitations on the scope of protection afforded to the City, its officers, officials, employees, agents, and volunteers. Any available insurance proceeds in excess of the specified minimum limits and coverage shall be available to the Additional Insured.
3. The Consultant’s insurance coverage shall be primary insurance with respect to the City, its officers, officials, employees, agents, and volunteers. Any insurance or self-insurance maintained by th e City, its officers, officials, employees, agents, and volunteers shall be excess of the Consultant’s insurance and shall not contribute with it. The Consultant shall establish primary and non-contributory status on the General Liability policy by use of ISO Form CG 20 01 04 13, or by an executed
ALL-S Generic CSA Total Fee (08-2023) Page 3 of 4
endorsement that provides primary and non-c ontributory status as broad as that contained in ISO Form CG 20 01 04 13.
4. The Workers’ Compensation insurance policy is to contain, or be endorsed to contain, the following provision: the Consultant and its insurer shall waive any right of subrogation against the City, its officers, officials, employees, agents, and volunteers.
5. All policies of insurance required herein shall be endorsed to provide that the coverage shall not be cancelled, non-renewed, reduced in coverage or in limits except after thirty (30) calendar days written notice by certified mail, return receipt requested, has been given to the City. The Consultant is also responsible for providing written notice to the City under the same terms and conditions. Upon issuance by the insurer, broker, or agent of a notice of cancellation, non-renewal, or reduction in coverage or in limits, the Consultant shall furnish the City with a new certificate and applicable endorsements for such policy(ies). In the event any policy is due to expire during the work to be performed for the City, the Consultant shall provide a new certificate, and applicable endorsements, evidencing renewal of such policy not less t han fifteen (15) calendar days prior to the expiration date of the expiring policy.
6. Should any of the required policies provide that the defense costs are paid within the Limits of Liability, thereby reducing the available limits by any defense costs, then the requirement for the Limits of Liabil ity of these polices will be twice the above stated limits.
7. The fact that insurance is obtained by the Consultant shall not be deemed to release or diminish the liability of the Con sultant, including, without limitation, liability under the indemnity provisions of this Ag reement. The policy limits do not act as a limitation upon the amount of indemnification to be provided by the Consultant. Approval or purchase of any insurance contracts or policies shall in no way relieve from liability nor limit the liability of the Consultant, its pr incipals, officers, agents, employees, persons under the supervision of the Consultant, vendors, suppliers, invitees, consultants, sub- consultants, subcontractors, or anyone employed directly or indirectly by any of them.
CLAIMS-MADE POLICIES
If the Professional Liability (Errors and Omissions) insurance policy is written on a claims- made form:
1. The retroactive date must be shown, and must be before the effective date of the Agreement or the commencement of work by the Consultant.
2. Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the Agreement work or termination of the Agreement, whichever occurs first, or, in the alternative, the policy shall be endorsed to provide not less than a 5-year discovery period.
3. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a retroactive date prior to the effective date of the Agreement or the commencement of work by the Consultant, the Consultant must
ALL-S Generic CSA Total Fee (08-2023) Page 4 of 4
purchase “extended reporting” coverage for a minimum of five (5) years completion of the Agreement work or termination of the Agreement, whichever occurs first.
4. A copy of the claims reporting requirements must be submitted to the City for review.
5. These requirements shall survive expiration or termination of the Agreement.
VERIFICATION OF COVERAGE
The Consultant shall furnish the City with all certificate(s) and applicable endorsements effecting coverage required hereunder. All certificates and applicable endorsements are to be received and approved by the City’s Risk Manager or designee prior to the City’s execution of the Agreement and before work commences. All non-ISO endorsements amending policy coverage shall be executed by a licensed and authorized agent or broker. Upon request of the City, the Consultant shall immediately furnish with a complete copy of any insurance policy required under this Agreement, including all endorsements, with said copy certified by the underwriter to be a true and correct copy of the original policy. This requirement shall survive expiration or termination of this Agreement.
SUBCONTRACTORS
If the Consultant subcontracts any or all of the services to be performed under this Agreement, the Consultant shall require, at the discretion of the City Risk Manager or designee, subcontractor(s) to enter into a separate side agreement with the City to provide required indemnification and insurance protection. Any required side agreement(s) and associated insurance documents for the subcontractor must be reviewed and preapproved by the City’s Risk Manager or designee. If no side agreement is required, the Consultant shall require and verify that subcontractors maintain insurance meeting all the requirements stated herein and the Consultant shall ensure that the City, its officers, officials, employees, agents, and volunteers are additional insureds. The subcontractors' certificates and endorsements shall be on file with the Consultant, and the City, prior to commencement of any work by the subcontractor.
EXHIBIT C
DISCLOSURE OF CONFLICT OF INTEREST
RAC RFP and Agreement Development and Execution
YES* NO
1 Are you currently in litigation with the City of Fresno or any of its agents?
2 Do you represent any firm, organization , or person who is in litigation with the City of Fresno?
3 Do you currently represent or perform work for any clients who do business with the City of Fresno?
4 Are you or any of your principals, managers, or professionals, owners or investors in a business which does business with the City of Fresno, or in a business which is in litigation with the City of Fresno?
5 Are you or any of your principals, managers, or professionals, related by blood or marriage to any City of Fresno employee who has any significant role in the subject matter of this service?
6 Do you or any of your subcontractors have, or expect to have, any interest, direct or indirect, in any other contract in connection with this Project?
* If the answer to any question is yes, please explain in full below.
Explanation:
Signature
Date
(Name)
(Company)
(Address)
Additional page(s) attached.
(City, State Zip)
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