HMIS. Records of the participation in HMIS or a comparable database by all projects. Matching. The recipient must keep records of the source and use of contributions made to satisfy the matching requirement in § 576.201. The records must indicate the particular fiscal year grant for which each matching contribution is counted. The records must show how the value placed on third party, noncash contributions was derived. To the extent feasible, volunteer services must be supported by the same methods that the organization uses to support the allocation of regular personnel costs. Conflicts of interest. Records to show compliance with the organizational conflicts -of-interest requirements in § 576.404(a), a copy of the personal conflicts of interest policy or codes of conduct developed and implemented to comply with the requirements in § 576.404(b), and records supporting exceptions to the personal conflicts of interest prohibitions. Homeless participation. Document compliance with the homeless participation requirements under § 576.405. Faith-based activities. Document compliance with the faith-based activities requirements under § 576.406. Other Federal requirements. Document compliance with the Federal requirements in § 576.407, as applicable, including:
Records demonstrating compliance with the nondiscrimination and equal opportunity requirements under § 576.407(a), including data concerning race, ethnicity, disability status, sex, and family characteristics of persons and households who are applicants f or, or program participants in, any program or activity funded in whole or in part with ESG funds and the affirmative outreach requirements in § 576.407(b). Records demonstrating compliance with the uniform administrative requi rements in 24 CFR part 85(for governments) and 24 CFR part 84 (for nonprofit organizations).
Records demonstrating compliance with the environmental review requirements, including flood insurance requirements. Certifications and disclosure forms required under the lobbying and disclosure requirements in 24 CFR part 87. Relocation. Document compliance with the displacement, relocation, and acquisition requirements in § 576.408. Financial records.
Supportive documentation for all costs charged to the ESG grant. Documentation showing that ESG grant funds were spent on allowable costs in accordance with the requirements for eligible act ivities under § 576.101-§576.109 and the cost principles in OMB Circulars A-87 (2 CFR part 225) and A-122 (2 CFR part 230). Records of the receipt and use of program income.
Documentation of compliance with the expenditure limits in § 576.100 and the expenditure deadline in § 576.203. Subrecipients and contractors.
The recipient must retain copies of all solicitations of and agreements with subrecipients, records of all payment reques ts by and dates of payments made to subrecipients, and documentation of all monitoring and sanctions of subrecipients, as applicable. If the rec ipient is a State, the recipient must keep records of each recapture and distribution of recaptured funds under § 576.501. 540
The recipient and its subrecipients must retain copies of all procurement contracts and documentation of compliance with the procurement requirements in 24 CFR 85.36 and 24 CFR 84.40-84.48.
The recipient must ensure that its subrecipients comply with the recordkeeping requirements specified by the r ecipient and HUD notice or regulations.
Confidentiality.
Written procedures to ensure:
□ All records containing personally identifying information of any individual or family who applies for and/or receives ESG as sistance will be kept secure and confidential;
□ The address or location of any domestic violence, dating violence, sexual assault, or stalking shelter project assisted under the ESG will not be made public, except with written authorization of the person responsible for the operation of the shelter; and □ The address or location of any housing of a program participant will not be made public, except as provided under a preexisti ng privacy policy of the recipient or subrecipient and consistent with state and local laws regarding privacy and obligations of confidentiality. □ Written confidentiality procedures.
Period of record retention. All records pertaining to each fiscal year of ESG funds must be retained for the greater of 5 years or the period specified below.
□ Documentation of each program participant 's qualification as a family or individual at risk of homelessness or as a homeless family or individual and other program participant records must be retained for 5 years after the expenditure of all funds from the gra nt under which the program participant was served;
□ Where ESG funds are used for the renovation of an emergency shelter involves costs charged to the ESG grant that exceed 75 pe rcent of the value of the building before renovation, records must be retained until 10 years after the date that ESG funds are first obligated for the renovation; and
□ Where ESG funds are used to convert a building into an emergency shelter and the costs charged to the ESG grant for the conve rsion exceed 75 percent of the value of the building after conversion, records m ust be retained until 10 years after the date that ESG funds are first obligated for the conversion.
Access to records.
Federal government rights. Notwithstanding the confidentiality procedures established under paragraph (w) of this section, HUD, the HUD Office of the Inspector General, and the Comptroller General of the United States, or any of their authorized representatives, must have the right of access to all books, documents, papers, or other records pertinent to the ESG grant, in order to make audits, examinations, excerpts, and transcripts. These rights of access are not limited to the required retention period but last as long as the records are retained. 541
Public rights. Provide citizens, public agencies, and other interested parties with reasonab le access (consistent with state and local laws regarding privacy and obligations of confidentiality and the confidentiality requirements in this part) to records regarding any uses of ESG funds the recipient received during the preceding 5 years. Reports. The recipient must collect and report data on its use of ESG funds in the Integrated Disbursement and Information System (IDI S) and other reporting systems, as specified by HUD. The recipient must also comply with the reporting requirements in 24 CFR parts 85 and 91 and the reporting requirements under the Federal Funding Accountability and Transparency Act of 2006, ( 31 U.S.C. 6101 note), which are set forth in appendix A to 2 CFR part 170.
542
Annual Action Plan
2024
51 OMB Control No: 2506-0117 (exp. 09/30/2021)
APPENDIX D
BUDGET BREAKDOWN
543
Description Total
Available
Proposed
Funding
Balance
Available
Allocation 1,850,690.00$ 1,832,741.00$ 17,949.00$ Admin Cap (20%) 370,138.00$ 370,138.00$ -$ Pub Serv Cap (15%) 277,603.50$ 277,603.00$ 0.50$ Anticipated Carry Over and
Prior Year Funds* -$
Project/
Organization Recommended Funding % of Funding
Source
Prior Years
Carryover
Total
Budget
CDBG Salary 316,322.00$ 17% -$ 316,322.00$ Fair Housing 30,000.00$ 2% -$ 30,000.00$ Municipal Support 23,816.00$ 1% -$ 23,816.00$ Subtotals 370,138.00$ 20% -$ 370,138.00$ Special Resource Team
(SRT)/GGPD 110,000.00$ 6% -$ 110,000.00$ Senior Center/Community
Services Dept 147,603.00$ 8% -$ 147,603.00$ Meals on Wheels 20,000.00$ 1% -$ 20,000.00$ Subtotals 277,603.00$ 15% -$ 277,603.00$ Marchand Ave. -$ 0% -$ Monroe Street Rehab. 800,000.00$ 43%
Subtotals 800,000.00$ 43% -$ 800,000.00$ Home Repair Program
(Habitat for Humanity) 135,000.00$ 7% 135,000.00$
PENDING BUSINESS
ASSISTANCE PROGRAM 150,000.00$ 8% 150,000.00$ Garden Grove Boost
Program (Upwards) 100,000.00$ 5% 100,000.00$ Subtotals 385,000.00$ 21% -$ 385,000.00$ CDBG Totals 1,832,741.00$ 99% -$ 1,832,741.00$ PY 2024 CDBG Funding
CDBG Administration
CDBG Public Services
CDBG Public Improvements
CDBG Other Funding
544
Description Total
Available
Proposed
Funding
Balance
Available
Allocation 737,254.00$ 737,254.00$ -$ Admin Cap (10%) 73,725.40$ 73,725.00$ 0.40$ Carry Over* -$ -$
Project/
Organization
Recommended
Funding
% of Funding
Source
Prior Years
Carryover
Total
Budget
FY 24-25 HOME Admin 73,725.00$ 10% -$ 73,725.00$ Subtotals 73,725.00$ 10% -$ 73,725.00$ New Construction of
Affordable Housing 206,765.00$ 28% -$ 206,765.00$ Acquisition/
Rehabilitation of
Affordable Housing
206,764.00$ 28% -$ 206,764.00$ Interval House HEART 250,000.00$ 34% 250,000.00$ Subtotals 663,529.00$ 90% -$ 663,529.00$ Subtotals - HOME 737,254.00$ 100% -$ -$ PY 2024 HOME Funding
HOME Administration
HOME Program Funding
545
Description Total
Available
Proposed
Funding
Balance
Available
Allocation 169,786.00$ 169,786.00$ -$ Admin Cap (7.5%) 12,733.95$ 12,733.00$ 0.95$ SO/Shelter Cap (60%) 101,871.60$ 101,000.00$ 871.60$ Carry Over* 15,526.00$ 15,526.00$ -$ Project/
Organization
Recommended
Funding
% of
Funding
Source
Prior Years
Carryover
24/25
Total
Budget
ESG Admin 12,733.00$ 7.5% -$ 12,733.00$ Subtotals 12,733.00$ 7.5% -$ 12,733.00$ 211 Orange County 5,094.00$ 3% -$ 5,094.00$ Subtotals 5,094.00$ 3% -$ 5,094.00$ VOALA 50,000.00$ 29% -$ 50,000.00$ Subtotals 50,000.00$ 29% -$ 50,000.00$ Illumination Foundation 30,000.00$ 18% -$ 30,000.00$ Interval House 21,000.00$ 12% 21,000.00$ Subtotals 51,000.00$ 30% -$ 51,000.00$ VOALA 15,959.00$ 9% 15,526.00$ 31,485.00$ Subtotals 15,959.00$ 9% 15,526.00$ 31,485.00$ Mercy House 35,000.00$ 21% 35,000.00$
Subtotals 35,000.00$ 21% -$ 35,000.00$ ESG Totals 169,786.00$ 100.00% 15,526.00$ 185,312.00$ PY 2024 ESG Funding
ESG Administration
HMIS - Data Collection
Street Outreach
Emergency Shelter
Rapid Rehousing
Homeless Prevention
546
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To:
Lisa L. Kim From: Ursula Luna-Reynosa
Dept:
City Manager Dept: Economic Development and
Housing
Date: 4/9/2024
Subject: Award a contract to CBRE, Inc. to provide commercial broker, property management and leasing services for the property located at 12966 Euclid Street, RFP GPM-No. 2401. (Cost: $86,400) (Action Item)
OBJECTIVE
For the City Council to award a contract to CBRE, Inc. (“CBRE)” to provide comprehensive real estate services, including but not limited to, professional third party commercial broker, property management, and leasing operation of the newly acquired City property located at 12966 Euclid Street (“Property”).
BACKGROUND
On August 8, 2023, the City Council approved the acquisition of the Property—a
2.1 acre parcel with a five (5) story office building with 64,400 rentable SF and the transaction closed on November 30, 2023. The Property necessitates the real estate management expertise of a firm offering comprehensive services tailored to the City’s specific criteria and development of a unique service model to achieve the City’s property ownership requirements. The Economic Development and Housing Department, Real Property division, prepared a Request for Proposals (RFP GPM-NO.2401) with priorities including: advertising and marketing management, lease administration, financial and operational reporting, procurement and project management of capital improvements, maintenance and operating expense controls, property tax services, and site security.
DISCUSSION
On January 17, 2024, the City released on PlanetBids a formal request for proposals (RFP) to solicit interest from experienced firms interested in providing comprehensive real estate services requested by the City. On January 23, staff hosted a mandatory site walk, with four (4) prospective firms in attendance 547
On February 16, 2024, three (3) proposers submitted formal responses. A selection panel consisting of three (3) key members from the Economic Development and Finance Departments rated the proposals based on the following criteria:
experience and qualifications, ability to perform scope of services, leasing strategies, financial reporting, repair and maintenance operations, references, and oral interviews.
Following the evaluation, Newmark Knight Frank, who was ranked with the highest score, withdrew their proposal due to staffing issues. Consequently, the City negotiated with CBRE, the next highest-ranked proposer to provide the City with the needed services.
SUMMARY TABLE
Raters Silverstone Newmark CBRE
A 2.9 4.9 4.5
B 3.1 5.0 4.3
C 4.9 5.0 4.6
Total
Score
10.9 14.9 13.4
CBRE stands as a commercial real estate industry leader, boasting a team of seasoned professionals proficient in leasing, property management, capital markets, investment management, and valuations. Since its establishment in 1906, CBRE has been at the forefront of innovation, consistently adapting to meet the evolving needs of its clients. With a rich history of managing real estate across both public and private sectors, CBRE is ideally positioned to undertake the management of the Property. Notably, CBRE has been leasing this building since 2008, further solidifying their familiarity and expertise in its operations.
It is proposed to enter into an agreement with a one-year term with the option to extend for four additional terms for a total of five years.
FINANCIAL IMPACT
Under the proposed agreement, CBRE, Inc. has provided fees to be charged for performing all services in the following categories:
Property Management Fee - The proposed property management fee is four percent (4%) of gross rents or a minimum of $4,000 per month, whichever is greater, and a flat salary reimbursement fee of $3,200 per month. The minimum property management fee and management salary reimbursement will be adjusted by the CPI (consumer price index) annually , not to exceed five percent (5%) per year.
548
Leasing Commission Fee – For new tenants, the proposed commission is six percent (6%) of the total rental consideration paid by the tenants for the first five years of a new lease term, three percent (3%) for years six through ten, and one and a half percent (1.5%) after year ten. The tenant’s broker and CBRE will split the commission as negotiated. In cases where no outside brokerage representatives are involved, the proposed commission is four percent (4%) of the total rental consideration paid by the tenants for the first five years of a new lease term, two percent (2%) for years six through ten, and one percent (1.5%) after year ten.
NEW TENANT COMMISSIONS
Months With Tenant
Broker
Without Tenant
Broker
0-60 6% of Lease 4% of Lease
61-120 3% of Lease 2% of Lease
120 + 1.5% of Lease 1% of Lease
For existing tenant renewals and/or expansions, the proposed commission is six percent (6%) of the total rental consideration paid by the tenants for the first five years of a new lease term, three percent (3%) for years six through ten, and one and a half percent (1.5%) after year ten. The tenant’s broker and CBRE will split the commission as negotiated. In cases where no outside brokerage representatives are involved, the proposed commission is three percent (3%) of the total rental consideration paid by the tenants for the first five years of a new lease term, one and a half percent (1.5%) for years six through ten, and a half percent (0.5%) after year ten.
EXISTING TENANT RENEWAL/EXPANSION
COMMISSIONS
Months With Tenant
Broker
Without Tenant
Broker
0-60 6% of Lease 3% of Lease
61-120 3% of Lease 1.5% of Lease
120 + 1.5% of Lease 0.5% of Lease
As an example, Suite 500 of the Property is 3,337 SF. If CBRE were to lease this space for 10 years at a rate of $2.00 per square foot with a 2% rent escalation the below table shows the amount of commission owed:
549
Year
Annual
Lease
Payments
Commission
with Tenant
Broker
Commission
w/o Tenant
Broker
1 $80,088.00
$25,006.87 $16,671.25
2 $81,689.76
3 $83,323.56
4 $84,990.03
5 $86,689.83
6 $88,423.62
$13,804.80 $9,203.20
7 $90,192.10
8 $91,995.94
9 $93,835.86
10 $95,712.57
TOTAL $876,941.27 $38,811.67 $25,874.45
Fifty percent (50%) of the gross fee is due within thirty (30) days of full lease execution and the remaining amount is due within thirty (30) days of commencement of lease.
The annual leasing commission will be dependent upon the amount of space leased, term, and rent and will therefore fluctuate. The annual cost of property management and related fees is $86,400 for the base year which will adjust annually based on CPI with a maximum increase of five percent (5%). Also, it is conceivable that the City will utilize project management and engineering services which will be billed per the rates listed below and provided in the proposal.
PROJECT MANAGEMENT FEE
Managed Project Cost Percentage Fee
$0 - $100,000 6%
Next $100,00 - $250,000 5%
Next $250,000 - $500,00 4%
$500,000 + 3%
Notwithstanding the foregoing, to the extent that the project is a tenant improvement project in excess of $100,000 where the tenant is given an allowance and will perform the work, the percentage fee to Project Management will be 3% of managed project cost.
Funds will be expended from lease revenues collected. The financial activities associated with the 12966 Euclid Street building will be tracked in a separate Enterprise fund.
RECOMMENDATION
550
It is recommended that the City Council:
Award a contract to CBRE, Inc., to provide commercial broker, property management and leasing services for the property located at 12966 Euclid Street; and
Authorize the City Manager, or designee(s), to execute the agreement and additional option years, sign amendments, and make minor modifications as appropriate thereto, on behalf of the City; and
Approve additional appropriations in the amount of $86,400.
By: Paul Guerrero, Real Property Agent
ATTACHMENT(S):
1. Agreement
551
1 PROFESSIONAL SERVICES AGREEMENT
THIS “PROFESSIONAL SERVICES AGREEMENT” (this “Agreement”) is made this 9th day of April, 2024 by the CITY OF GARDEN GROVE , a municipal corporation, (“CITY”), and CBRE, Inc., a Delaware Corporation (‘‘CONSULTANT”).
RECITALS
The following recitals are a substantive part of this Agreement:
1. This Agreement is entered into pursuant to CITY OF GARDEN GROVE City Council approval on April 9, 2024.
2. CITY desires to utilize the services of CONSULTANT to provide real estate property management services for a five -story commercial building located at 12966 Euclid Street, Garden Grove, California.
3. CITY does not have the personnel to accomplish said services.
4. CONSULTANT is qualified by virtue of experience, training, education and expertise to accomplish the required services.
AGREEMENT
THE PARTIES MUTUALLY AGREE AS FOLLOWS:
1. Term of Agreement. The term of the agreement shall be for a period of one (1) year from the date of full execution of the Agreement, with an option to extend said Agreement additional four (4) years, for a total performance period of five (5) years. Option years shall be exercised one (1) year at a time, at the sole option of the CITY. This agreement may be terminated by the City without cause. In such event, the CITY will compensate CONSULTANT for work performed to date in accordance with the proposal which is attached as Attachment “A” as is hereby incorporated by reference. CONSULTANT is required to present evidence to support work performed.
2. Services to be Provided. The services to be performed by CONSULTANT shall consist of tasks, including but not limited to the Scope of Services listed in Exhibit “A”, and is incorporated herein by reference. The Exhibit and this Agreement do not guarantee any specific amount of work. CONSULTANT warrants that all services will be performed in a competent, professional and satisfactory manner in accordance with customary and usual practices in CONSULTANT’S profession and the standards prevalent in the industry for such services. By executing this Agreement, CONSULTANT warrants that it has carefully considered how the work should be performed and fully understands the facilities, difficulties, and restrictions attending performance of the work under this Agreement. 552
2 3. Compensation. CONSULTANT shall be compensated as follows:
3.1 Amount. CONSULTANT shall be compensated for the services provided under this Agreement pursuant to the fee structure described in CONSULTANT's Proposal (see attached “Attachment A” letter); provided, however, that except for leasing commissions, compensation payable by CITY to CONSULTANT under this Agreement shall not exceed the total amount of Eighty Six Thousand Four Hundred Dollars and 00/100 cents ($86,400.00) annually. Unless otherwise mutually agreed by the parties in writing, CONSULTANT shall not be compensated for any services rendered in connection with its performance of this Agreement, which are in addition to those set forth herein. The CITY shall compensate CBRE at the gross lease of two percent (2%) gross rental value for the F & M Bank lease transaction.
3.2 Payment. For work under this Agreement, payment shall be made per invoice submitted by CONSULTANT due and payable in accordance with the Lease Commission Schedule and Rate/Fee in the Pricing Structure attached in Exhibit “A”.
3.3 Records of Expenses . CONSULT ANT shall keep complete and accurate records of costs and incidental expenses subject to the fees or reimbursement payable hereunder. These records will be made available at reasonable times to CITY.
3.4 Termination. CITY and CONSULTANT shall each have the right to terminate this Agreement, without cause, by giving thirty (30) days written notice of termination to the other party. If the Agreement is terminated by CITY, then the provisions of this Section 3 shall apply to that portion of the work completed. In such event, CITY will compensate CONSULTANT for work performed to date in accordance with the Proposal.
CONSULTANT is required to present evidence to support performed work.
4. Insurance Requirements
4.1 Commencement of Work. CONSULTANT shall not commence work under this Agreement until all certificates and required endorsements have been received and approved by the CITY. CONSULTANT shall notify the CITY of any material change, cancellation, or termination at least thirty (30 ) days in advance.
4.2 Workers Compensation Insurance . For the duration of this Agreement, CONSULTANT shall maintain Workers Compensation Insurance in the amount and type required by law, if applicable. The insurer shall waive its rights of subrogation against the CITY, its officers, officials, agents, employees, and volunteers.
553
3 4.3 Insurance Amounts. CONSULTANT shall maintain the following insurance for the duration of this Agreement:
a) Commercial general liability in an amount of $1,000,000 per occurrence; (claims made and modified occurrence policies are not acceptable); Insurance companies must be reasonably acceptable to CITY, admitted and licensed in California , and have a Best’s Guide Rating of A-, Class VIII or better;
b) Automobile liability in an amount of $1,000,000 per occurrence; (claims made and modified occurrence policies are not acceptable) Insurance companies must be reasonably acceptable to CITY, admitted and licensed in California, and have a Best’s Guide Rating of A-, Class VIII or better.
c) Professional liability in an amount of $1,000,000 per occurrence; Insurance companies must be reasonably acceptable to CITY and have an AM Best’s Guide Rating of A-, Class VIII or better. If the policy is written on a “claims made” basis, the poli cy shall be continued in full force and effect at all times during the term of the Agreement, and for a period of three (3) years from the date of the completion of services provided. In the event of termination, cancellation, or material change in the policy, CONSULTANT shall obtain continuing insurance coverage for the prior acts or omissions of CONSULTANT during the course of performing services under the term of the agreement. The coverage shall be evidenced by either a new policy evidencing no gap in coverage, or by obtaining separate extended “tail” coverage with the present or new carrier.
The policy under section 4.3 (a) shall include CITY, its officers, officials, employees, agents, and volunteers as additional insureds for liability arising out of work or operations performed by the CONSULTANT to the extent of losses attributable to CONSULTANT’S negligence. CONSULTANT shall provide to CITY proof of insurance and relevant endorsement forms that conform to CITY’s requirements, as approved by the CITY.
The policy under section 4.3 (b) shall include CITY, its officers, officials, employees, agents, and volunteers as additional insureds to the extent of losses attributable to CONSULTANT’S negligence for automobiles owned, lease, hired, or borrowed by CONSULTANT. CONSULTANT shall provide to CITY proof of insurance and relevant endorsement forms that conform to CITY’s requirements, as approved by the CITY.
CONSULTANT’s insurance coverage shall be primary insurance as respects to CITY, its offic ers, officials, employees, agents, and volunteers to the extent of losses attributable to CONSULTANT’S negligence. Any insurance or self-insurance maintained by the CITY, its officers, officials, employees, 554
4 agents, or volunteers shall be excess of the CONSULTANT’s insurance and shall not contribute with it.
5. Non-Liability of Officials and Employees of the CITY . No official or employee of CITY shall be personally liable to CONSULTANT in the event of any default or breach by CITY, or for any amount, whic h may become due to CONSULTANT.
6. Non-Discrimination. CONSULTANT covenants there shall be no discrimination against any person or group due to race, color, creed, religion, sex, marital status, age, handicap, national origin or ancestry, in any activity pursuant to this Agreement.
7. Independent Contractor. It is agreed to that CONSULTANT shall act and be an independent contractor and not an agent or employee of CITY, and shall obtain no rights to any benefits which accrue to CITY’s employees.
8. Compliance With Law . CONSULTANT shall comply with all applicable laws, ordinances, codes and regulations of the federal, state and local government.
CONSULTANT shall comply with, and shall be responsible for causing all contractors and subcontractors performing any of the work pursuant to this Agreement to comply with, all applicable federal and state labor standards, including, to the extent applicable, the prevailing wage requirements promulgated by the Director of Industrial Relations of the State of Californ ia Department of Labor. The CITY makes no warranty or representation concerning whether any of the work performed pursuant to this Agreement constitutes public works subject to the prevailing wage requirements.
9. Disclosure of Documents. All documents o r other information developed or received by CONSULTANT are confidential and shall not be disclosed without authorization by CITY, unless disclosure is required by law.
10. Ownership of Work Product . All documents or other information developed or received by CONSULTANT shall be the property of CITY. CONSULTANT shall provide CITY with copies of these items upon demand or upon termination of this Agreement.
11. Conflict of Interest and Reporting . CONSULTANT shall at all times avoid conflict of inte rest or appearance of conflict of interest in performance of this Agreement.
12. Notices. All notices shall be personally delivered or mailed to the below listed addresses, or to such other addresses as may be designated by written notice.
These addresses shall be used for delivery of service of process.
555
5 (a) Address of CONSULTANT is as follows:
CBRE, Inc.
3501 Jamboree Road, Suite 100
Newport Beach, CA 92660
Attn: Peter Wells, First Vice President
(714) 371-9220 [email protected]
(b) Address of CITY is as follows (with a copy to):
Paul Guerrero City Attorney
Economic Development & Housing Dept. City of Garden Grove City of Garden Grove P.O. Box 3070
P.O. Box 3070 Garden Grove, CA 92840
Garden Grove, CA 92840
[email protected]
(714) 741-5181
13. CONSULTANT’S Proposal . This Agreement shall include CONSULTANT’ s proposal, Exhibit “A” hereto, which shall be incorporated herein. In the event of any inconsistency between the terms of the proposal and this Agreement, this Agreement shall govern.
14. Licenses, Permits and Fees. At its sole expense, CONSULTANT shall obtain a Garden Grove Business License, all permits and licenses as may be required by this Agreement.
15. Familiarity With Work. By executing this Agreement, CONSULTANT warrants that: (1) it has investigated the work to be performed; (2) it has investigated the site of the work and is aware of all conditions there; and (3) it understands the facilities, difficulties and restrictions of the work under this Agreement.
Should CONSULTANT discover any latent or unknown conditions materially differing from those inherent in the work or as represented by CITY, it shall immediately inform CITY of this and shall not proceed, except at CONSULTANT’S risk, until written instructions are received from CITY.
16. Time of Essence. Time is of the essence in the performance of this Agreement.
17. Limitations Upon Subcontracting and Assignment . The experience, knowledge, capability and reputation of CONSULTANT, its principals and employees were a substantial inducement for CITY to enter into this Agreement.
CONSULTANT shall not contract with any other entity to perform the services required without written approval of th e CITY. This Agreement may not be assigned voluntarily or by operation of law, without the prior written approval of CITY. If CONSULTANT is permitted to subcontract any part of this Agreement, CONSULTANT shall be responsible to CITY for the acts and omiss ions of its subcontractor as it is for persons directly employed. Nothing contained in this Agreement shall create any contractual relationship between any subcontractor 556
6 and CITY. All persons engaged in the work will be considered employees of CONSULTANT. CITY will deal directly with and will make all payments to CONSULTANT.
18. Authority to Execute. The persons executing this Agreement on behalf of the parties warrant that they are duly authorized to execute this Agreement and that by executing this Agreement, the parties are formally bound.
19. Indemnification. To the fullest extent permitted by law, CONSULTANT agrees to protect, defend, and hold harmless CITY and its elective or appointive boards, officers, agents, and employees from any and all claims, liabilities, expenses, or damages of any nature, including attorneys' fees, for injury or death of a ny person, or damages of any nature, including interference with use of property, arising out of, or in any way connected with the negligence, recklessness and/or intentional wrongful conduct of CONSULTANT, CONSULTANT'S agents, officers, employees, subcontractors, or independent contractors hired by CONSULTANT in the performance of the Agreement. The only exception to CONSULTANT'S responsibility to protect, defend, and hold harmless CITY, is due to the negligence, recklessness and/or wrongful conduct of CITY, or any of its elective or appointive boards, officers, agents, or employees.
This hold harmless agreement shall apply to all liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by CONSULTANT.
20. Modification. This Agreement constitutes the entire agreement between the parties and supersedes any previous agreements, oral or written. This Agreement may be modified only by subsequent mutua l written agreement executed by CITY and CONSULTANT.
21. Waiver. All waivers of the provisions of this Agreement must be in writing by the appropriate authorities of the CITY and CONSULTANT.
22. California Law. This Agreement shall be construed in accordance with the laws of the State of California. Any action commenced about this Agreement shall be filed in the central branch of the Orange County Superior Court.
23. Interpretation. This Agreement shall be interpreted as though prepared by both parties
24. Preservation of Agreement. Should any provision of this Agreement be found invalid or unenforceable, the decision shall affect only the provision interpreted, and all remaining provisions shall remain enforceable.
\ \ \ \
(Agreement Signature Block on Next Page)
557
7 IN WITNESS THEREOF, these parties hereto have caused this Agreement to be executed as of the date set forth opposite the respective signatures.
Date:
ATTESTED:
City Clerk Date
APPROVED AS TO FORM:
City Attorney Date
“CITY”
CITY OF GARDEN GROVE
By:
City Manager Date
“CONSULTANT”
CBRE, INC.
By:
Peter Wells
Title: First Vice President
Date:
Tax I.D.:
Broker License:
Expiration Date:
If CONSULTANT/CONTRACTOR is a
corporation, a Corporate Resolution
and/or Corporate Seal is required. If a
partnership, Statement of Partnership
must be submitted to CITY
558
8 EXHIBIT “A”
559
9 560
10 561
11 562
12 563
13 564
14 565
15 566
16 567
17 568
18 569
19 570
20 571
21 572
22 573
23 574
24 575