Request for Proposal (RFP) was sent to four (4) pre-qualified consultants for Engineering Design Services for Water Capital Improvement Program Projects.
On August 22, 2023, staff received and distributed three (3) proposals to a selection committee consisting of Utilities Engineering staff. The selection committee evaluated the proposals and determined West Yost Associates to be the most qualified and responsive. West Yost’s sealed cost proposal was opened, reviewed, and negotiated after the selection ranking had been finalized.
The scope of services to be provided under this Agreement include:
Construction Documents
Project Management
Public Outreach
Permitting
Bid Period Services
Engineering Services During Construction
In accordance with Modesto Municipal Code 8-3.204(a), “Exceptions to Formal Bidding Requirements,” Agreements for Professional Services are exempt from the bidding requirements of Modesto Municipal Code 8-3.203 if competitive quotations or proposals have been sought informally from at least three (3) qualified entities. The approval of an Engineering Services Agreement with West Yost Associates for the Chicago-Paradise Area S&R Water Mains Project conforms to Modesto Municipal Code 8-3.204, subsection (a) as they are providing professional services and at least three informal proposals were obtained.
FISCAL IMPACT:
Expenses associated with this effort will be housed in the following Capital Improvement Project:
101285 Chicago-Paradise S&R
ANTICIPATED PROJECT EXPENDITURES:
Construction $10,000,000
Construction Contingency (10%) $1,000,000
Construction Administration – City Staff (10%) $1,000,000 Final Design Services Agreement – West Yost $1,031,757
Additional Services, if Needed (10%) $103,176
City Construction Forces $100,000
Engineering/Design/Administration Support – City Staff $150,000 TOTAL: $13,384,933
COMMITTEE RECOMMENDATION
This item was considered by the Finance Committee at the October 23, 2023 meeting, where it was recommended that it be forwarded to Council.
CEQA/NEPA REQUIREMENTS:
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City Council, December 5, 2023
Engineering Services Agreement with West Yost Associates Chicago-Paradise Area Strengthen and Replace Water Mains Project
CEQA requirements and compliance will be completed by City staff prior to going to construction and is not part of the West Yost Scope of Services.
RECOMMENDED COUNCIL ACTION:
Staff Recommendations:
Resolution approving an Engineering Services Agreement with West Yost Associates, of Davis, CA, for the Chicago-Paradise Area Strengthen and Replace Water Mains Project in the amount of $1,031,757, plus $103,176 in additional services, if needed, for a total amount not to exceed $1,134,933 and authorizing the City Manager, or his designee, to execute the Agreement.
Resolution amending the Fiscal Year 2023-24 Capital Improvement Program Budget in the amount of $12,815,417 to be transferred into the project from Water Fund Reserves to fund the Chicago-Paradise Area Strengthen and Replace Water Mains Project and authorizing the City Manager, or his designee, to implement the provisions of this Resolution.
Approved by:
William Wong, Director of Utilities
Joseph P. Lopez, City Manager
Attachments:
1. Resolutions (2)
2. West Yost Associates – Agreement
3. West Yost Associates – Exhibits to Agreement
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12/05/2023/Utilities/EVargas/Item X 1 2023-XX
MODESTO CITY COUNCIL
RESOLUTION NO. 2023-
RESOLUTION APPROVING AN ENGINEERING SERVICES AGREEMENT
WITH WEST YOST ASSOCIATES, OF DAVIS, CA, FOR THE CHICAGOPARADISE AREA STRENGTHEN AND REPLACE WATER MAINS PROJECT IN THE AMOUNT OF $1,031,757, PLUS $103,176 IN ADDITIONAL SERVICES, IF NEEDED, FOR A TOTAL AMOUNT NOT TO EXCEED $1,134,933 AND
AUTHORIZING THE CITY MANAGER, OR HIS DESIGNEE, TO EXECUTE
THE AGREEMENT
WHEREAS, the Chicago-Paradise Area has deficient water mains that are undersized, lack pressure, and are prone to leaks, and
WHEREAS, the Chicago-Paradise Area Strengthen and Replace Water Mains Project will replace and upgrade water mains, associated water valves, services, and fire hydrants to increase service reliability, flows, and pressures, and WHEREAS, a Request for Proposal (RFP) was sent to four pre-qualified consultants for Engineering Design Services for Water Capital Improvement Program Projects, and
WHEREAS, the selection committee evaluated the proposals and determined West Yost Associates, of Davis, CA to be the most qualified and responsive, and WHEREAS, in accordance with Modesto Municipal Code 8-3.204(a), “Exceptions to Formal Bidding Requirements,” Agreements for Professional Services are exempt from the bidding requirements of Modesto Municipal Code 8-3.203 if competitive quotations or proposals have been sought informally from at least three (3) qualified entities, and
WHEREAS, the approval of an Engineering Services Agreement with West Yost Associates for the Chicago-Paradise Area S&R Water Mains Project conforms to #16..
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12/05/2023/Utilities/EVargas/Item X 2 2023-XX
Modesto Municipal Code 8-3.204, subsection (a) as they are providing professional services and at least three informal proposals were obtained.
NOW, THEREFORE BE IT RESOLVED, by the Council of the City of Modesto that it hereby approves an Agreement with West Yost Associates, in the amount of $1,031,757, plus $103,176 in additional services (if needed), for a total amount not to exceed $1,134,933 for the Chicago-Paradise Area Strengthen and Replace Water Mains Project.
BE IT FURTHER RESOLVED, that the City Manager, or his designee, is hereby authorized to execute the agreement in a form approved by the City Attorney.
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 5th day of December 2023, by Councilmember ?, who moved its adoption, which motion being duly seconded by Councilmember ?, was upon roll call carried and the resolution adopted by the following vote:
AYES: Councilmembers:
NOES: Councilmembers:
ABSENT: Councilmembers:
ATTEST: ____________________________________
DIANE NAYARES-PEREZ, City Clerk
(SEAL)
APPROVED AS TO FORM:
BY: ____________________________________
JOSE M. SANCHEZ, City Attorney
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12/05/2023/Utilities/EVargas/Item X 1 2023-XX
MODESTO CITY COUNCIL
RESOLUTION NO. 2023-
RESOLUTION AMENDING THE FISCAL YEAR 2023-24 CAPITAL
IMPROVEMENT PROGRAM BUDGET IN THE AMOUNT OF $12,815,417 TO
BE TRANSFERRED INTO THE PROJECT FROM WATER FUND RESERVES
TO FUND THE CHICAGO-PARADISE AREA STRENGTHEN AND REPLACE
WATER MAINS PROJECT AND AUTHORIZING THE CITY MANAGER, OR
HIS DESIGNEE, TO IMPLEMENT THE PROVISIONS OF THIS RESOLUTION WHEREAS, certain budgetary transactions are necessary in the amount of $12,815,417, in order to fund the Chicago-Paradise Area Strengthen and Replace Water Mains Project, and
WHEREAS, the Fiscal Year 2023-24 Capital Improvement Program Budget must be amended.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves the amendment of the Fiscal Year 2023-24 Capital Improvement Program Budget in the amount of $12,815,417.
BE IT FURTHER RESOLVED that the City Manager, or his designee, is hereby authorized to implement the provisions of this resolution. #16..
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12/05/2023/Utilities/EVargas/Item X 2 2023-XX
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 5th day of December 2023, by Councilmember ?, who moved its adoption, which motion being duly seconded by Councilmember ?, was upon roll call carried and the resolution adopted by the following vote:
AYES: Councilmembers:
NOES: Councilmembers:
ABSENT: Councilmembers:
ATTEST:
DIANA NAYARES-PEREZ, City Clerk
(SEAL)
APPROVED AS TO FORM:
BY: ____________________________________
JOSE M. SANCHEZ, City Attorney
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ENGINEERING SERVICES AGREEMENT
CHICAGO-PARADISE AREA
STRENGTHEN & REPLACE WATER MAINS PROJECT
THIS AGREEMENT, made and entered into in the City of Modesto, State of California, this ______ day of____________, 2023, (“Effective Date”) by and between the CITY OF MODESTO, a municipal corporation of the State of California, hereinafter referred to as "City", and WEST YOST ASSOCIATES, a California corporation, hereinafter referred to as "Consultant".
This Agreement is made with regard to the following recitals:
A. The City has determined that Engineering Services are necessary for the Chicago-Paradise Area Strengthen & Replace Water Mains Project.
B. Consultant represents that it is qualified, willing and able to provide the aforementioned services.
NOW, THEREFORE, in consideration of this agreement, and the mutual promises, covenants, and stipulations hereinafter contained, the parties agree as follows:
1. SCOPE OF SERVICES.
Consultant shall undertake and complete the preparation of the scope of work as set forth and described in the documents attached hereto and referred to as Exhibit "A" or "project". The Consultant shall perform the services as described in Exhibit "A" in a manner compatible with the standards of its profession, and shall produce a fully complete project that is acceptable to City.
2. TERM OF AGREEMENT.
This Agreement is effective as of the date first written above and will continue in effect until City's acceptance of and payment for all services authorized by City and #16..
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performed by Consultant, unless terminated earlier in accordance with the provisions of the termination clause in this Agreement.
Consultant shall undertake and complete the preparation of the scope of work as set forth and described in the documents commonly referred to as “project” attached hereto as Exhibit "A" and made a part hereof. City hereby gives Consultant notice to proceed with the preparation of the project in the manner described in Exhibit "A", as of the Effective Date of this agreement. Consultant shall diligently proceed with the preparation of the project and agrees to complete said preparation within the time period set forth in Exhibit "A".
3. COMPENSATION.
Consultant agrees to accept a sum not to exceed ONE MILLION THIRTY-ONE THOUSAND SEVEN HUNDRED FIFTY-SEVEN AND 00/100 DOLLARS ($1,031,757) (maximum compensation) as full remuneration for performing all services and furnishing all staffing and materials for Modesto in accordance with Exhibit "A" attached hereto and for performance by Consultant of all of its duties and obligations under this Agreement, except that additional services may be compensated as described below.
The Compensation shall be paid pursuant in the manner and at the times set forth below:
City shall pay Consultant on a time and materials basis for Consultant’s actual costs for all work called for in Exhibit “A” to this Agreement. All work to be performed under this Agreement shall be billed at the hourly rates set forth in Exhibit “B” attached hereto, Consultant shall submit monthly invoices to City which include detailed tasks, hours worked, and billable rates for all work completed, and detailed receipts for any out-of-pocket costs paid by Consultant in connection with work performed on this project. #16..
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Additional services may be authorized by the City Manager in an amount up to, but not to exceed ten percent (10%) of the agreed maximum compensation, or ONE HUNDRED THREE THOUSAND ONE HUNDRED SEVENTY-SIX AND 00/100 DOLLARS ($103,176). In the event that additional services are deemed necessary, the Consultant shall provide a written request to the City Manager indicating the reason for additional work, scope and cost of such work. The City Manager shall provide a written response to the request, either approving or denying the additional expenditure. If additional services are requested and approved, they will be billed at the hourly rates set forth in Exhibit “B” and may not exceed the amount requested and approved in writing by the City Manager. In that event, the new total compensation shall not exceed ONE MILLION ONE HUNDRED THIRTY-FOUR THOUSAND NINE HUNDRED THIRTY-THREE AND 00/100 DOLLARS ($1,134,933). If additional services in excess of this amount are deemed necessary by City Staff, an amendment to this Agreement will be required and must be approved by the City Council prior to commencing the work, as provided in Paragraph 9 of this agreement.
4. OBLIGATIONS OF CONSULTANT.
Throughout the term of this Agreement, Consultant shall possess, or secure all licenses, permits, qualifications and approvals legally required to conduct business.
Consultant represents that it has all of the necessary professional capabilities and experience, as well as all tools, instrumentalities, facilities and other resources necessary to provide the City with the services contemplated by this Agreement. Consultant further represents that it will follow the best current, generally accepted and professional practices to make findings, render opinions, prepare factual presentations, and provide professional advice and recommendations regarding this project. In providing services under this Agreement, Consultant shall perform in a manner consistent with that degree of care and skill ordinarily exercised by members of the same profession currently practicing under similar circumstances at the same time and in the #16..
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same or similar locality ("Standard of Care").”
5. PERFORMANCE BY KEY EMPLOYEE.
Consultant has represented to City that Christina Ramirez, will be the person primarily responsible for the performance of the services referred to in this Agreement.
City has entered into this Agreement in reliance on that representation by Consultant.
Consultant therefore agrees that ten percent (10%) or more of the time to be devoted to the project that is the subject of this Agreement will be that of the above-named person.
6. OWNERSHIP OF DOCUMENTS/TITLE TO DATA.
Ownership of Documents
All reports, drawings, designs, graphics, working papers and other incidental work or materials furnished hereunder shall become and remain the property of the City, upon payment of all invoices due and owing to Consultant, and may be used by City as it may require without any additional cost to City. No reports shall be used by the Consultant for purposes other than this contract without the express prior written consent of City. City shall, to the fullest extent permitted by law, defend, indemnify, and hold harmless Consultant from and against any and all costs, expenses, fees, losses, claims, demands, liabilities, suits, actions, and damages whatsoever arising out of or resulting from such unauthorized reuse or distribution.
Title to Data
If, as a part of the agreement, Consultant is required to produce data such as, but not limited to, drawings, plans, specifications, calculations, models, flow diagrams, visual aids and other related materials, the originals of all such data generated under this agreement will be delivered to City upon the completion or termination of services under the contract.
All materials, documents, data or information obtained from the City data files or any City medium furnished to Consultant in the performance of this Agreement will at all #16..
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times remain the property of the City. Such data or information may not be used or copied for direct or indirect use by Consultant after termination of this Agreement without written consent of the City.
7. NEWS AND INFORMATION RELEASE.
Consultant agrees that it will not issue any news releases in connection with either the award of this Agreement, or any subsequent amendment of or efforts under this Agreement, without first obtaining review and approval of said news releases from City through the City Manager.
8. INTEREST OF CONTRACTOR.
Consultant warrants that it presently has no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner or degree with the performance of services required to be performed under this Agreement. Consultant warrants that, in performance of this Agreement, Consultant shall not employ any person having any such interest. Consultant agrees to file a Statement of Economic Interests with the City Clerk at the start and end of this contract if so required at the option of City.
9. AMENDMENTS.
Both parties to this Agreement understand that it may become desirable or necessary during the execution of this Agreement, for City or Consultant to modify the scope of services provided for under this Agreement. Any material extension or change in the scope of work shall be discussed with City and the change and cost shall be memorialized in a written amendment to the original contract prior to the performance of the additional work.
Until a change order is so executed, City will not be responsible to pay any charges Consultant may incur in performing such additional services, and Consultant shall not be required to perform any such additional services. #16..
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10. INDEPENDENT CONTRACTOR.
All acts of Consultant, its agents, officers, and employees and all others acting on behalf of Consultant relating to the performance of this Agreement, shall be performed as independent contractors and not as agents, officers, or employees of City. Consultant, by virtue of this Agreement, has no authority to bind or incur any obligation on behalf of City.
Consultant has no authority or responsibility to exercise any rights or power vested in the City.
No agent, officer, or employee of the City is to be considered an employee of Consultant. It is understood by both Consultant and City that this Agreement shall not under any circumstances be construed or considered to create an employer-employee relationship or a joint venture.
Consultant, its agents, officers and employees are and, at all times during the terms of this Agreement, shall represent and conduct themselves as independent contractors and not as employees of City.
Consultant shall determine the method, details and means of performing the work and services to be provided by Consultant under this Agreement in a manner consistent with the Standard of Care. Consultant shall be responsible to City only for the requirements and results specified in this Agreement, and, except as expressly provided in this Agreement, shall not be subjected to City's control with respect to the physical action or activities of the Consultant in fulfillment of this Agreement. Consultant has control over the manner and means of performing the services under this Agreement.
Consultant is permitted to provide services to others during the same period service is provided to City under this Agreement. If necessary, Consultant has the responsibility for employing other persons or firms to assist Consultant in fulfilling the terms and obligations under this Agreement.
If in the performance of this Agreement any third persons are employed by Consultant, such persons shall be entirely and exclusively under the direction, supervision, and #16..
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control of Consultant. All terms of employment including hours, wages, working conditions, discipline, hiring, and discharging or any other term of employment or requirement of law shall be determined by the Consultant.
It is understood and agreed that as an independent contractor and not an employee of City neither the Consultant or Consultant's assigned personnel shall have any entitlement as a City employee, right to act on behalf of the City in any capacity whatsoever as an agent, or to bind the City to any obligation whatsoever.
It is further understood and agreed that Consultant must issue W-2 forms or other forms as required by law for income and employment tax purposes for all of Consultant's personnel.
As an independent contractor, Consultant hereby indemnifies and holds City harmless from any and all claims that may be made against City based upon any contention by any third party that an employer-employee relationship exists by reason of this Agreement.
11. ASSIGNMENT.
Neither this Agreement nor any portion thereof shall be subcontracted or assigned without the express prior written consent of the City in each and every instance.
12. PATENT/COPYRIGHT MATERIALS.
Unless otherwise expressly provided in the contract, Consultant shall be solely responsible for obtaining the right to use any patented or copyrighted materials in the performance of this Agreement. Consultant shall furnish a warranty of such right to use to City at the request of City.
13. NOTICES.
Notice required by this Agreement shall be given in writing and shall be deemed given and effective upon receipt provided that such are delivered in accordance with the #16..
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provisions of this Section. Notices shall be delivered either by: (a) personal delivery (including delivery by an overnight courier service which obtains confirmation of receipt); or (b) by facsimile, provided that such transmission is followed by delivery by an overnight courier service which obtains confirmation of receipt; or (c) postage prepaid, return receipt requested, certified mail; or (d) by electronic transmission subject to reasonable proof that the notice was both transmitted and received. Each such notice shall be sent to the parties at the address respectively set forth below or to such other address as a party may designate by written notice given in accordance with the provisions of this Section:
FOR CONSULTANT: Name: West Yost Associates
Address: 8950 Cal Center Drive
Bldg 1, Suite 363
Sacramento, CA 95826
Attention: Christina Ramirez
Phone: (916) 306-2250
Email: [email protected]
FOR CITY: Name:
Address:
City of Modesto
1010 10th Street
Suite 4600
Modesto, CA 95354
Attention: Edgar Vargas
Phone (209) 577-5424
Email: [email protected]
14. INSURANCE REQUIREMENTS.
The Consultant shall provide at its own expense and maintain at all times the following insurance with insurance companies licensed in the State of California and shall provide evidence of such insurance to the City as may be required by the Risk Manager of the City. The policies or certificates thereof shall provide that, thirty (30) days prior to cancellation or material change in the policy, notices of same shall be given to the Risk Manager of the City by certified mail, return receipt requested, for all of the following stated insurance policies. #16..
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In the event the certificates of insurance required hereunder do not provide for notice of cancellation to the certificate holder and/or additional insureds, the Consultant shall provide, and shall require its subcontractors to provide, as an express condition precedent to payment hereunder, an endorsement from their insurers providing that the additional insureds identified herein shall be provided 30 days notice of the cancellation on the policies of insurance required hereunder (10 days notice if the policies are cancelled for non-payment of premium). In addition, the named insured on all such policies shall provide to the additional insureds identified herein any notices of cancellation of said insurance policies within 5 business days of receipt of such notice. The Consultant shall, as a further express condition precedent to payment for work performed, affirm under penalty of perjury that the required insurance on the project remains in place and said insurance has not been cancelled.
(a) Worker's Compensation - in compliance with the statutes of the State of California, plus employer's liability with a minimum limit of liability of $1,000,000. (b) General Liability insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. This insurance shall indicate on the certificate of insurance the following coverages and indicate the policy aggregate limit applying to: premises and operations; broad form contractual; independent consultants and subcontractors; products and completed operations as applicable.
(c) Automobile Liability insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and property damage. This insurance shall cover any automobile for bodily injury and property damage.
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(d) Professional Liability insurance with a minimum limit of $1,000,000 per claim and policy aggregate. If coverage is on a claims made basis it shall be maintained for at least three (3) years following completion of the work.
If at any time any of said policies shall be unsatisfactory to the City, as to form or substance, or if a company issuing such policy shall be unsatisfactory to the City, the Consultant shall promptly obtain a new policy, submit the same to the Risk Manager for approval and submit a certificate thereof as hereinabove provided. Upon failure of the Consultant to furnish, deliver or maintain such insurance and certificates as above provided, this Agreement, at the election of the City, may be forthwith declared suspended or terminated.
Failure of the Consultant to obtain and/or maintain any required insurance shall not relieve the Consultant from any liability under this Agreement, nor shall the insurance requirements be construed to conflict with or otherwise limit the obligations of the Consultant concerning indemnification. The City, its agents, officers, employees, and volunteers shall be named as an additional insured on all insurance policies required herein, except Workers' Compensation and Professional Liability. The Workers' Compensation insurer shall agree to waive all rights of subrogation against the City, its agents, officers, employees, and volunteers for losses arising from work performed by Consultant for the City. The Consultant's insurance policy(ies) shall include a provision that the coverage is primary as respects the City; shall include no special limitations to coverage provided to additional insured; and, shall be placed with insurer(s) with acceptable Best's rating of A:VII or with approval of the Risk Manager. The Consultant must deliver certificates evidencing existence of the insurance listed above to the City prior to the time the contract is signed.
CONSULTANT shall provide CITY with separate endorsements evidencing proof of the CITY’s additional insured status as to both the general liability and #16..
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automobile liability insurance policies. In addition, CONSULTANT shall provide CITY with a Workers Compensation subrogation waiver by way of a separate endorsement. All endorsements referenced above must include the applicable policy number.
For any claims related to this project, the CONSULTANT’S insurance coverage shall be primary insurance as respects the Entity, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the Entity, its officers, officials, employees, or volunteers shall be excess of the CONSULTANT’S insurance and shall not contribute with it.
15. TERMINATION OF AGREEMENT.
Termination by City for Default of Consultant
Should Consultant default in the performance of this Agreement or materially breach any of its provisions, at its option, City may terminate this Agreement by giving written notification to Consultant. The termination date shall be the effective date of the notice. For the purposes of this section, material breach of this Agreement shall include, but not be limited to, any of the following: failure to perform required services or duties, willful destruction of City's property by Consultant, dishonesty or theft. #16..
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Termination byCity for Convenience
The City may also terminate the Consultant's performance under the Agreement, either in whole or in part, at its own discretion, or when conditions encountered during the Work make it impossible or impracticable to proceed, or when the Cityis prevented from proceeding with the Agreement by act of God, by law, or by official action of a public authority, or upon a determination by the City that such termination is in the best interest and convenience of the City, or whenever the City is prohibited from completing the Work for any reason. The Cityshall provide no less than ten (10) calendar days written notice of its intent to terminate the Agreement for convenience, and shall endeavor to provide the Consultant with consultation with the City prior to termination.
Post-Termination Procedure
Upon receipt of a written notice of termination pursuant to either of the foregoing paragraphs, the Consultant shall:
a. Cease its work as directed in the notice of termination as of the termination date and see to it that its employees, subconsultants and agents are notified of such termination and act as specified in the notice of termination;
b. Terminate all orders and Subcontractors except as necessary to complete any portion of the Work that is not terminated; c. If directed in writing by the City to do so, assign all right, title and interest in subcontracts and materials in progress to City, in which case the City will have the right at its discretion to settle, or pay any or all claims arising out of the termination of such subconsultants, but in no event shall recovery by any Consultant or #16..
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subconsultant include lost profits for portions of the Work not completed or undertaken, including materials not delivered; d. Deliver or otherwise make available to the City all data, drawings, specifications, reports, estimates, summaries and such other information and material as mayhave been accumulated by the Consultant in performing the Work whether completed or in process; e. Settle outstanding liabilities and claims, subject to the approval of City;
f. Complete performance of such part of the Work as has not been terminated;
g. Take such other actions as may be necessary, or as may be directed by the City for the protection and preservation of the Work and/or property related to the Work;
h. If City so requests, and at City's cost, Consultant shall provide sufficient oral or written status reports to make City reasonably aware of the status of Consultant's work on the project. i. The Consultant understands and agrees that City may, in City's sole discretion, refuse to pay Consultant for that portion of Consultant's services which were performed by Consultant on the project prior to the termination date and which remain
unacceptable and/or not useful to City as of the termination date.
City will pay Consultant an amount based on the percentage of satisfactory work completed in accordance with the notice of termination. The final payment to #16..
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the Consultant after termination for convenience shall be limited to amounts due and owing under the Agreement at time of termination, including the following:
a. The cost of settling and paying valid claims arising out of the termination of the Work such as subconsultant agreements or contracts for materials;
b. The Agreement price allocable to the portion of the Work properly performed or goods supplied to the work site by the Consultant as of the date of termination, as determined in accordance with the notice of termination, reduced by any sums previously paid to the Consultant.
Authorization to Terminate Agreement
Termination of the Agreement may be invoked by the City Manager, or his/her designee, subject to the right of the Consultant to appeal the City Manager, or his/her designee’s, decision to the City Council. The Consultant shall appeal by notifying the City Clerk in writing within ten (10) calendar days of receipt of written notification from City of termination of the Agreement. In the event that termination of this Agreement is upheld by the City Council, any cessation of payment of delay claims, extended claims, Eichleay claims, or any other claims for delay shall be retroactive to the date of termination selected by the City Manager, or his/her designee.
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16. CERTIFIED PAYROLL REQUIREMENT.
For consultants performing field work on public works contracts on which prevailing wages are required: The Consultant shall comply with the provisions of Section 1776 of the California Labor Code, regarding payroll records, and shall require its subconsultants and subcontractors to comply with that section as may be required by law.
17. INDEMNITY.
The Consultant shall hold the City, its agents, officers, employees, and volunteers, harmless from and save, defend and indemnify them against any and all claims, losses, liabilities, judgments or damages from every cause, including but not limited to injury to person or property or wrongful death, including reasonable costs and expenses of defense of any judicial or administrative action, to the extent they are arising directly or indirectly out of any negligent, reckless, or willful misconduct of Consultant, or its agents, officers, employees, or volunteers relating to or during the performance of its obligations under this Agreement. The Parties also acknowledge that this Agreement is subject to California Civil Code 2782.8 as amended and effective January 1, 2018.
Consultant's obligation to defend, indemnify, and hold the City, its agents, officers, and employees harmless under the provisions of this paragraph is not limited to or restricted by any requirement in this Agreement for Consultant to procure and maintain a policy of insurance.
18. DISPUTE RESOLUTION.
All claims, controversies, or disputes arising out of, or relating to the formation of this Agreement, or the breach, termination execution, enforcement, interpretation, or validity of this Agreement, including the determination of the scope or applicability of this contract provision shall be determined by binding arbitration in Modesto, California by one arbitrator, except as otherwise specified in this Agreement. The American Arbitration #16..
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Association shall administer the arbitration under its Arbitration Rules then in effect, subject to the modifications of those rules contained in this paragraph. This agreement to arbitrate shall be specifically enforceable under the prevailing law of any court having jurisdiction, and the award rendered by the arbitrator may be entered in any court having jurisdiction. The appropriate venue for any arbitration or court proceeding relating to or arising out of this provision shall be in Stanislaus County, California.
This paragraph is not intended to and does not waive the claim filing requirements found in California Government Code section 900 et seq. In the event that a timely and legally sufficient, arbitrable claim is filed by Consultant with City, and the claim is rejected in whole or in part by City, this paragraph shall result in the conclusive, final, and binding resolution of all the issues presented in the claim by Consultant so long as any issues presented by the claim are arbitrable. Claims rejected by City or by operation of law, shall be submitted by Consultant to arbitration pursuant to the Arbitration Rules of the American Arbitration Association within ninety (90) days after mailing of the written rejection by City to Consultant.
Otherwise, the claim or claims shall be deemed waived in their entirety.
The “fast track’ rules of the American Arbitration Association shall apply to any claim or counterclaim less than ONE HUNDRED FIFTY THOUSAND AND 00/100 ($150,000.00) DOLLARS. In arbitration not proceeding under the “fast track” rules, the arbitrator shall have the power to order that depositions be taken and other discovery be made.
Both City and Consultant shall have the right, upon written notice, to take no more than three (3) depositions of the other as a matter of right in an arbitration proceeding under the “fast track” rules.
Whether or not City and Consultant may be engaged in interstate commerce, any controversy or dispute mentioned above shall be determined by, and the parties #16..
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shall be bound by, the substantive law of the State of California, and not the Federal Arbitration Act at 9 USC Section 1 et seq.
The arbitrator may grant any remedy or relief deemed by the arbitrator just and equitable under the circumstances, whether or not such relief could be awarded in a court of law. The arbitrator shall be empowered to award monetary sanctions against a party for failure of cooperation in the arbitration. The arbitrator shall, in written award, allocate all the costs of the arbitration, including the fees of the arbitrator and the reasonable attorney fees of the prevailing party, against the party who did not prevail. The prevailing party shall be the party in whose favor the majority of the central issues in the case are resolved.
Notwithstanding anything in this provision to the contrary, the arbitrator shall have no power to award punitive damages or other damages not measured by the party’s actual damages (excluding litigation costs and fees) against any party. This limitation of the arbitrator’s powers under this Agreement shall not operate as an exclusion of the issue of punitive damages from this Agreement to Arbitrate sufficient to vest jurisdiction in a court with respect to that issue.
Consultant shall include in all subcontracts a specification whereby the subcontractor consents to being joined in an arbitration between City and Consultant involving the work of the subcontractor to be joined. Consultant’s failure to do so shall be a breach of this Agreement.
The parties hereby waive any rights provided by Title 9.2 of the California Code of Civil Procedure, Section 1296. The arbitrator’s award shall be deemed final, conclusive and binding to the fullest extent allowed by California law.
19. ENTIRE AGREEMENT.
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This Agreement and its exhibits contain the entire understanding between Consultant and City. Additional or new terms contained in this Agreement which vary from Consultant's proposal are controlling and are deemed accepted by Consultant by shipment of any article or other commencement of performance hereunder. All previous proposals, offers and communications relative to this Agreement, whether oral or written, are hereby superseded except to the extent that they have been incorporated into this Agreement. No future waiver of or exception to any of the terms, conditions, and provisions of this Agreement shall be considered valid unless specifically agreed to in writing by all the parties.
20. PARTIAL INVALIDITY.
If any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions shall nevertheless continue in full force without being impaired or invalidated in any way.
21. WAIVER.
The waiver by any party to this Agreement of a breach of any provision hereof shall be in writing and shall not operate or be construed as a waiver of any other or subsequent breach hereof unless specifically stated in writing. #16..
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22. AUDIT.
The City's duly authorized representative shall have access at all reasonable times to all reports, contract records, contract documents, contract files, and personnel necessary to audit and verify Consultant's charges to City under this Agreement.
Consultant agrees to retain reports, records, documents, and files related to charges under this Agreement for a period of four (4) years following the date of final payment for Consultant services. City's representative shall have the right to reproduce any of the aforesaid documents.
23. GOVERNING LAW.
This Agreement shall be governed according to the laws of the State of California.
24. HEADINGS NOT CONTROLLING.
Headings used in the Agreement are for reference purposes only and shall not be considered in construing this Agreement.
25. COMPLIANCE WITH LAWS.
Consultant shall comply with all safety and hourly requirements for employees, in accordance with federal, state, and county safety and health regulations and laws.
Consultant shall comply with all applicable federal, state, and local laws, ordinances, regulations and permits.
26. CITY BUSINESS LICENSE.
Consultant will have a City of Modesto business license. #16..
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IN WITNESS WHEREOF, the City of Modesto, a municipal corporation, has authorized the execution of this Agreement by its City Manager and attestation by its City Clerk under authority of Resolution No. 2023- _______, adopted by the Council of the City of Modesto on the _______ day of ____________, 2023, and WEST YOST ASSOCIATES has caused this agreement to be duly executed as of the Effective Date. #16..
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City of Modesto
Final Design of the Chicago-Paradise Area Strengthen and Replace Water Mains
1 N-M-C-MODESTO-WD-2023_Modesto Final Design for Chicago Paradise-Drafts-Scope-LP
SCOPE OF SERVICES
Task 1. Construction Documents
Task 1.01 Topographic Survey
West Yost will subcontract with O’Dell Engineering to prepare a topographic survey that will serve as a clean, accurate base for developing a detailed design, construction sequencing, and shutdown plan to minimize service interruptions. It is understood that the City will be providing the latest city aerial imagery within the proposed project area for use in design and for final plans. The City will provide existing utility information and the acquisition of construction easements as deemed necessary. Preparation of lot line adjustments, legal descriptions, parcel maps or other similar mapping documents are not within the scope.
West Yost understands that the City will not require on-lot survey. New services shall be shown as approximate and noted as such on the plans. With lessons learned from past similar projects which required on-lot survey of private parcels, taking the approach of a photogrammetric survey would make survey efforts more efficient while providing the level of detail required for this project.
O’Dell will perform ground-based field survey to locate surface-visible utility features such as: lights, poles, USA markings, vaults, valves, meters, boxes, pedestals, cleanouts, manholes, and other utility structures.
At manholes and accessible structures, dip information for all gravity storm drains and sewer pipes within the project area shall be acquired.
Survey deliverable will be based on the NAD83 horizontal datum and the NAVD88 vertical datum using City of Modesto benchmarks. A survey control statement will be provided, including: the location, elevation, and description of the benchmark utilized, as well as a horizontal survey coordinate table with the point number, northing, easting, and description for at least three points.
O’Dell will prepare conceptual property boundary/road right-of-way linework base map drawing covering the subject mapping limits. Linework will be based solely on record information from field survey maps, record documents, and any other information provided by the City. No boundary analysis or adjustment will be performed.
Task 1.02 Geotechnical Investigation
It is anticipated that the water mains will be mostly installed by open-cut construction with one potential trenchless crossing. The water services will be installed by a combination of trenchless and open-cut construction. The geotechnical investigation will include research of geological mapping, USA coordination, encroachment permits, geotechnical borings, traffic control during drilling, laboratory testing and a geotechnical investigation report. The investigation will include groundwater level evaluation, materials, and other geotechnical risks or concerns.
West Yost will subcontract with Crawford and Associates, Inc., (Crawford) whom have a large presence in the Central Valley. Crawford is involved in the West Modesto Infrastructure Project: Area 21 which includes upgrading the sewer within the project area east of S. Carpenter Road.
We understand those projects are not connected; however, as part of the sewer project, Crawford completed 15 borings to a maximum depth of 21.5 feet below ground surface in 2019. In general, the
EXHIBIT A
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City of Modesto
Final Design of the Chicago-Paradise Area Strengthen and Replace Water Mains
2 N-M-C-MODESTO-WD-2023_Modesto Final Design for Chicago Paradise-Drafts-Scope-LP borings show that the project site is underlain by 3 to 5 feet of interbedded layers of loose coarse-grained soils consisting of poorly graded sands, silty sands, silt, and sandy silts. Below the surficial soils, medium dense coarse-grained soils were encountered. Approximately 10 feet below ground surface, medium dense to dense coarse-grained soils were encountered.
Crawford will utilize the previous explorations and perform some limited additional fieldwork (mainly borings confined to the area west of S. Carpenter Road and to the north and south of Area 21) and provide Geotechnical Engineering services for the water main replacement project. Crawford will mark the exploration locations for Underground Service Alert (USA) and obtain the required environmental health and encroachment permits.
To assess the subsurface soil and ground water conditions along the proposed pipeline alignment and in the structure locations, Crawford will drill, log, and sample 7 to 9 test borings generally to depths ranging from 10 to 15 ft below existing grade. Two of the borings will be deepened (likely to 35 ft or so) and completed on either side of the MID irrigation canal for the trenchless crossing. This is conjunction with Crawford’s previous 15 borings, will likely provide adequate coverage for the waterline project.
Crawford’s Engineer/Geologist will direct the sampling and log the borings. At a minimum, samples at 5-foot intervals will be taken. Crawford will deliver the samples to an independent laboratory for testing.
Standard Penetration Testing (SPT) and California Modified sampling will be performed within the borings to obtain samples and blow count information. The majority of the borings will be completed in the unpaved shoulders and backfilled according to the boring permit and capped with concrete. Traffic control will consist of a lane closure with flaggers and/or without flaggers.
Task 1.03 Utility Coordination and Field Investigation
At the beginning of the preliminary design, utility coordination letters will be mailed to all known dry utility companies within the project area to request facility maps and receive utility comments. Drawings will also be mailed to the utility companies following the 90% design submittal. Facility maps received from the utility companies will be plotted on drawings and verified in the field investigation.
West Yost will conduct one field investigation early in design to photo document and identify meter locations and connection points without the need for on-lot survey. West Yost will use Geographic Information System (GIS) technology and tools (including Survey 123 and GIS mapbooks) to collect data for each parcel using iPads. This will efficiently and effectively track field investigation notes in real time. West Yost has approximated the number of parcels to be 770. West Yost will create parcel figures (Draft and Final) using a mapbook in GIS to be provided as an appendix to the project specifications. A water services installation summary table will also be completed and included as an appendix to the project specifications.
A second field investigation is planned to be completed further in design (around the 30% design stage) to photo document and walk the pipeline alignments and assess site conditions.
Task 1.04 Utility Locating
West Yost will subcontract with D&M Utility Services of California to use electromagnetic locating, ground penetrating radar (GPR), and other non-invasive methods to map out existing utilities within the path of the proposed alignment. Locating will be used to confirm as much existing utility information as possible prior to potholing. Then the remaining critical crossings and parallel utilities in close proximity to the proposed alignment will be potholed as part of Task 1.05. All data acquired during locating will be
EXHIBIT A
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City of Modesto
Final Design of the Chicago-Paradise Area Strengthen and Replace Water Mains
3 N-M-C-MODESTO-WD-2023_Modesto Final Design for Chicago Paradise-Drafts-Scope-LP surveyed and provided to West Yost as a CAD file that can be used to adjust the existing utility base map as necessary.
Task 1.05 Utility Potholing
West Yost will subcontract with D&M Utility Services of California to perform potholing at critical utility locations to gain confirmation of vertical and horizontal utility locations where construction changes or delays could occur if locations are not confirmed. West Yost will use the mapping and locating information to identify and prioritize pothole locations. A pothole plan will be prepared and provided to the City for approval prior to obtaining an encroachment permit. This task has been budgeted to perform up to 150 potholes. With the dipping of sewer manholes, storm drain junction structures, water valve operating nuts, and GPR, the required number may be much fewer than 150 potholes. West Yost has budgeted 20 days for D&M for potholing.
This assumes up to two potholing visits for a West Yost staff member.
O’Dell will provide survey for potholes including up to three days of field surveying and associated office support to locate potholes (performed by D&M) using GPS or similar method, according to a West Yost-provided pothole plan.
Task 1.06 Design Drawings
West Yost will prepare detailed design drawings in the 2018 AutoCAD Civil 3D format (or newer) on 24x36 plan sheet size using the City’s provided title block. The design drawings will be based on the NAVD 88 datum and California State Plane Coordinates based on NAD 83. Files will be exported in one zip file to include all fonts, textures, references, and pen settings. The design plans will include the following:
• Title Sheet
• General Sheets (legend, abbreviations, general notes, sheet index, location map) • Plans (no Profiles)
• Construction Details
For each submittal, we will incorporate the City’s review comments from the previous submittal.
West Yost will also meet with City staff to discuss comments to the design documents before embarking on the next design interval (see Project Meetings subtask).
Task 1.07 Specifications
West Yost will prepare project specifications that define materials, quality, and workmanship. It is understood that the City will provide Division 00 and 01 specifications.
Task 1.08 Construction Cost Estimate
West Yost will prepare an accurate and detailed construction cost estimate based on the designs at 35%, 70%, 90% and Final submittals.
Task 1 Assumptions
• Progress submittals will be provided at the 35%, 70%, 90% and Final submittals. • 35% submittal will include drawings and engineer’s opinion of construction costs.
EXHIBIT A
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City of Modesto
Final Design of the Chicago-Paradise Area Strengthen and Replace Water Mains
4 N-M-C-MODESTO-WD-2023_Modesto Final Design for Chicago Paradise-Drafts-Scope-LP • 70% submittal will include updated drawings, specifications, itemized responses to the City’s comments on the 35% submittal, and updated engineer’s opinion of construction cost. • 90% submittal will include updated drawings, updated specifications, itemized responses to the City’s comments on the 70% submittal, and updated engineer’s opinion of construction cost. • Final submittal will include Final stamped and signed drawings, specifications, engineer’s opinion of constructed cost, and AutoCAD files.
• Technical Specifications will be prepared in the format requested by the City. • The City will provide the aerial imagery for reference. • The City will provide all existing reports, facility drawings, utility information, maps, as-built records, and design standards and background information at the kickoff meeting. • Two field investigations are included for separate data gathering. • Cathodic protection is not required.
• Design profiles will not be required in the civil plan set. • West Yost will not be responsible for a Storm Water Pollution Prevention Plan or Erosion Control Plan.
• Pothole results will be added to plan sheets.
• Potholes will be 8-inch core drilled and filled with pea gravel and the core to be replaced with Sackrete or cold patch materials. Permanent restoration not included in scope. • West Yost will attend up to two days of potholing activities. • This scope excludes setting of monuments or filing maps/corner records. • This scope excludes review of adjoining property deeds or resolution of conflicting title evidence. • This scope excludes obtaining title reports. However, if any are provided, they will be reviewed and any applicable exceptions will be plotted from records where possible. • Plotting of easements or other encumbrances is limited to readily available information obtained by or discovered throughout the process of researching relevant maps, documents, and title reports. • It is assumed that no property corner monuments of record have been destroyed, do not fit, or were never set.
• Preparation of lot line adjustments and legal descriptions are not within West Yost’s scope.
Task 1 Deliverables
• West Yost will deliver three hard copies and a PDF copy of each submittal (including plans, estimate, and specifications).
• West Yost will deliver Word documents for final specifications or at individual submittals, as requested for City review.
• West Yost will deliver a Draft and Final Pothole Plan. • West Yost will deliver a Draft and Final Utility Location map. • West Yost will deliver a Draft and Final Geotechnical Report. • West Yost will deliver a digital copy of the survey base map drawing in AutoCAD Civil 3D 2018 format or newer.
• West Yost will deliver CAD files for the final construction drawings.
Task 2. Project Management
West Yost will complete project management activities, day to day administration, progress meetings, and technical reviews as described below.
EXHIBIT A
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City of Modesto
Final Design of the Chicago-Paradise Area Strengthen and Replace Water Mains
5 N-M-C-MODESTO-WD-2023_Modesto Final Design for Chicago Paradise-Drafts-Scope-LP Task 2.01 Project Administration
West Yost will monitor progress of individual tasks and coordinate completion of work products. This task includes monitoring task budgets and project schedule. Schedule changes, if required, will be provided.
Monthly progress payment invoices will be submitted and include a detailed description or itemization of work completed for the period and meeting minutes for all formal project meetings.
Task 2.02 Project Meetings
West Yost will attend one Project kickoff meeting with City engineering staff to confirm scope, identify objectives, and finalize schedule. West Yost will attend up to 26 meetings held on a biweekly basis (virtually) with City staff to discuss and review progress and significant action items. West Yost will attend one preliminary design meeting and design review workshops for the 35%, 70% and 90% submittals. West Yost will prepare and submit meeting agendas and minutes for formal meetings.
Task 2.03 Quality Control and Technical Review
In accordance with West Yost’s QA/QC policy, all deliverables will be reviewed by a senior staff member not directly involved in the project. A quality control plan will be completed.
Task 2 Assumptions
• Biweekly meetings exceeding those included in this scope (26) can be attended as an additional service.
• Preliminary design meeting assumed to be held in person at City offices, if preferred. • Project biweekly meetings assumed to be held via MS Teams or similar virtual/teleconferencing platform.
• Design review workshops will be held in person at City offices, if preferred. • West Yost will attend one virtual project kickoff meeting.
Task 2 Deliverables
• West Yost will provide monthly invoices and description of services performed. • West Yost will provide project schedule and schedule updates. • West Yost will provide the kickoff meeting agenda and minutes via email. • West Yost will provide biweekly progress meeting agendas and minutes via email. • West Yost will provide workshop meeting agendas and minutes via email.
Task 3. Public Outreach
Task 3.01 West Yost Public Outreach
An active public outreach program will be critical for implementing a project with support from the community that maximizes participation. West Yost will coordinate with and provide community-related support to the City’s Engineering, Planning and Communications departments.
West Yost is aware that this community is largely Spanish speaking. To facilitate with community engagement, West Yost has several technical staff fluent in Spanish who are available to communicate directly with the community, as needed. West Yost will attend up to one public outreach meeting and support with any necessary exhibits or notifications within the proposed level of effort.
EXHIBIT A
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City of Modesto
Final Design of the Chicago-Paradise Area Strengthen and Replace Water Mains
6 N-M-C-MODESTO-WD-2023_Modesto Final Design for Chicago Paradise-Drafts-Scope-LP Task 3 Assumptions
• West Yost will attend one public outreach meeting, assumed to be two hours long.
Task 3 Deliverables
• West Yost will prepare notifications and material to assist the City with outreach, as needed and within the proposed level of effort.
Task 4. Permitting
West Yost and its subconsultants will coordinate and submit applications and plans for review for the permitting necessary for design of the project. Permitting will include but not be limited to obtaining and coordinating permitting with Stanislaus County, City of Modesto, State Water Resources Control Board and Modesto Irrigation District.
Task 4 Assumptions
• The Contractor shall be responsible to obtain and pay all fees necessary for permits related to construction.
• A West Yost Engineer will attend up to three total in-person or virtual meetings, as necessary, with permitting authorities.
Task 4 Deliverables
• West Yost will furnish all information necessary to obtain permits. • West Yost will provide a list of necessary permits with their due dates.
Task 5. Bid Period Services
Task 5.01 Bid Period Addenda and Inquiries
West Yost will respond to questions during the bidding period and prepare up to two addenda, if necessary, for distribution by the City.
Task 5.02 Pre-bid Conference and Evaluation of Bids
West Yost will attend one pre-bid meeting as requested by the City. If requested by the City, West Yost will assist city staff in making a recommendation for contract award.
Task 5 Assumptions
• West Yost will prepare up to two addenda, if necessary. • West Yost will attend the pre-bid conference in person, if requested by the City.
Task 5 Deliverables
• West Yost will formalize response to contractor questions. • West Yost will provide an electronic copy of up to two addenda.
EXHIBIT A
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City of Modesto
Final Design of the Chicago-Paradise Area Strengthen and Replace Water Mains
7 N-M-C-MODESTO-WD-2023_Modesto Final Design for Chicago Paradise-Drafts-Scope-LP Task 6. Engineering Services During Construction
Task 6.01 Prepare Conformed Set
West Yost will incorporate any changes made during the bid phase into the plans and specifications to prepare a conformed set of plans and specifications.
Task 6.02. Responses to Contractor Requests for Information West Yost will prepare written interpretation and clarifications of the Contract Documents in responses to written requests for information (RFI’s) from the Contractor. West Yost will review up to 60 RFI’s during construction.
Task 6.03. Review Submittals
West Yost will review submittals for compliance with the design concepts and specifications, certificates, samples, tests, methods, schedules, and manufacturers’ installation and other instructions required to be submitted by the Contract Documents. West Yost will review up to 90 product submittals and resubmittals.
Task 6.04. Change Order Support
As requested by the City’s Construction Manager, West Yost will issue design engineer-initiated clarifications, prepare new or amended contract documents, and provide change order cost estimate input.
Task 6.05. Progress and Related Meetings
West Yost will attend biweekly construction meetings and periodic site visits with City staff, the Construction Manager, and Contractor’s representatives. West Yost will attend one pre-construction meeting.
Task 6.06. Record Drawings
Upon Project completion, West Yost will provide input on final acceptance, review as-builts, and prepare formal Project record drawings using information provided from the Construction Manager and Contractor’s working as-built drawings.
Task 6 Assumptions
• It is assumed the City will provide construction management and inspection services. • The number of RFIs and submittals, and other reviews and meetings, are as noted in the task description above.
Task 6 Deliverables
• West Yost will provide conformed plans, three hard copies and one PDF copy. • West Yost will provide conformed specifications, one hard copy, PDF file, and Word files. • West Yost will provide responses to RFIs and submittal reviews, and filed instructions, PDF files. • West Yost will provide final Record Drawings in both PDF and AutoCAD formats.
EXHIBIT A
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Costs
West Yost Associates VP SE/SS/SG II SE/SS/SG I AE/AS/AG I PE/PS/PG I ESG II PE/PS/PG II PE/PS/PG II TS I CAD II TS II PE/PS/PG II Hours Fee Technology CRFD D&M ODEL Sub. Other Total $355 $286 $272 $226 $302 $211 $322 $322 $187 $185 $213 $322 & Admin w/ markup Direct Costs PROJECT: Final Design for Chicago-Paradise Water Mains Drayer Ramirez Greenwood Cabrera Vera Short/Oerding Hollinger Mulligan GIS CAD Colorado Reid 6% 10% Task 1 Construction Documents
1.01 Topographic Survey 4 8 12 $ 2,384 $ 143 $ 105,500 $ 116,050 $ 118,577
1.02 Geotechnical Investigation 2 4 8 4 18 $ 4,756 $ 285 $ 58,381 $ 64,219 $ 69,260
1.03 Utility Coordination/Field Investigation 2 4 30 200 60 296 $ 61,860 $ 3,712 $ 1,000 $ 66,572
1.04 Utility Locating 2 4 4 8 18 $ 4,044 $ 243 $ 84,000 $ 92,400 $ 96,687
1.05 Utility Potholing 2 4 4 24 34 $ 7,628 $ 458 $ 144,000 $ 16,500 $ 176,550 $ 184,936 300 $
1.06 Design Drawings 40 100 140 180 40 100 600 139,640 $ $ 8,378 $ 148,268 250 $
1.07 Specifications 10 20 36 16 18 100 $ 23,646 $ 1,419 $ 25,315 250 $
1.08 Construction Cost Estimate 8 12 30 6 56 $ 13,262 $ 796 $ 14,058 Subtotal, Task 1 (hours) 0 66 136 238 0 450 50 0 60 116 18 0 1134 Subtotal, Task 1 ($) $ 18,876 $ 36,992 $ 53,788 $ 94,950 $ 16,100 $ 11,220 $ 21,460 $ 3,834 $ 257,220 $ 15,433 $ 58,381 $ 228,000 $ 122,000 $ 449,219 $ 1,800 $ 723,672 Task 2 Project Management
2.01 Project Administration 16 60 76 $ 22,840 $ 1,370 $ 24,210
2.02 Project Meetings 10 120 30 30 12 16 218 $ 61,586 $ 3,695 $ 1,500 $ 66,781
2.03 Quality Control/Technical Review 2 60 62 $ 19,892 $ 1,194 $ 21,086 Subtotal, Task 2 (hours) 26 182 30 30 12 0 0 0 0 0 0 76 356 Subtotal, Task 2 ($) $ 9,230 $ 52,052 $ 8,160 $ 6,780 $ 3,624 $ 24,472 $ 104,318 $ 6,259 $ 1,500 $ 112,077 Task 3 Public Outreach
3.01 West Yost Public Outreach 16 30 24 16 86 $ 21,572 $ 1,294 $ 23,366 500 $ Subtotal, Task 3 (hours) 0 16 0 30 0 24 0 16 0 0 0 0 86 Subtotal, Task 3 ($) $ 4,576 $ 6,780 $ 5,064 $ 5,152 $ 21,572 $ 1,294 $ 23,366 500 $ Task 4 Permitting
4.01 Permitting Tasks 8 24 12 12 4 60 $ 15,348 $ 921 $ 16,769 500 $ Subtotal, Task 4 (hours) 0 8 24 12 0 12 4 0 0 0 0 0 60
Subtotal, Task 4 ($) $ 2,288 $ 6,528 $ 2,712 $ 2,532 $ 1,288 $ 15,348 $ 921 $ 16,769 500 $ Task 5 Bid Period Services
5.01 Bid Period Addenda and Inquiries 8 8 20 12 16 64 $ 14,476 $ 869 $ 15,345
5.02 Pre-bid Conference and Evaluation of Bids 8 8 $ 2,288 $ 137 $ 300 $ 2,725 Subtotal, Task 5 (hours) 0 16 8 20 0 12 0 0 0 16 0 0 72 Subtotal, Task 5 ($) $ 4,576 $ 2,176 $ 4,520 $ 2,532 $ 2,960 $ 16,764 $ 1,006 $ 18,070 300 $ Task 6 Engineering Services During Construction
6.01 Prepare Conformed Set 2 4 12 16 4 38 $ 8,004 $ 480 $ 8,484
6.02 Responses to Contractor RFIs 8 32 32 152 16 240 $ 53,256 $ 3,195 $ 56,451
6.03 Review Submittals 8 16 30 80 134 $ 30,300 $ 1,818 $ 32,118
6.04 Change Order Support 4 16 8 8 12 48 $ 11,212 $ 673 $ 11,885
6.05 Progress and Related Meetings 4 30 30 64 $ 16,084 $ 965 $ 1,000 $ 18,049
6.06 Record Drawings 2 6 10 30 48 $ 10,014 $ 601 $ 10,815 200 $ Subtotal, Task 6 (hours) 0 28 104 110 0 252 0 0 0 74 4 0 572 Subtotal, Task 6 ($) $ 8,008 $ 28,288 $ 24,860 $ 53,172 $ 13,690 $ 852 $ 128,870 $ 7,732 $ 1,200 $ 137,802 TOTAL (hours) 26 316 302 440 12 750 54 16 60 206 22 76 2,280 TOTAL ($) $ 9,230 $ 90,376 $ 82,144 $ 99,440 $ 3,624 $ 158,250 $ 17,388 $ 5,152 $ 11,220 $ 38,110 $ 4,686 $ 24,472 $ 544,092 $ 32,646 $ 58,381 $ 228,000 $ 122,000 $ 449,219 $ 1,031,757 5,800 $ Labor
EXHIBIT B
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POSITIONS
ENGINEERING
Principal/Vice President $355
Engineer/Scientist/Geologist Manager I / II $335 / $351 Principal Engineer/Scientist/Geologist I / II $302 / $322 Senior Engineer/Scientist/Geologist I / II $272 / $286
Associate Engineer/Scientist/Geologist I / II $226 / $243 Engineer/Scientist/Geologist I / II $182 / $211
Engineering Aide $106
Field Monitoring Services $131
Administrative I / II / III / IV $97 / $121 / $145 / $160
ENGINEERING TECHNOLOGY
Engineering Tech Manager I / II $349 / $351
Principal Tech Specialist I / II $320 / $331
Senior Tech Specialist I / II $293 / $306
Senior GIS Analyst $265
GIS Analyst $251
Technical Specialist I / II / III / IV $187 / $213 / $239 / $267 Technical Analyst I / II $134 / $160
Technical Analyst Intern $108
Cross-Connection Control Specialist I / II / III / IV $140 / $151 / $170 / $189 CAD Manager $211
CAD Designer I / II $164 / $185
CONSTRUCTION MANAGEMENT
Senior Construction Manager $338
Construction Manager I / II / III / IV $207 / $222 / $235 / $297 Resident Inspector (Prevailing Wage Groups 4 / 3 / 2 / 1) $181 / $201 / $224 / $232 Apprentice Inspector $164
CM Administrative I / II $87 / $118
Field Services $232
LABOR CHARGES
(DOLLARS PER HOUR)
■ Hourly rates include Technology and Communication charges such as general and CAD computer, software, telephone, routine in-house copies/prints, postage, miscellaneous supplies, and other incidental project expenses. ■ Outside Services such as vendor reproductions, prints, shipping, and major West Yost reproduction efforts, as well as Engineering Supplies, etc. will be billed at actual cost plus 15%. ■ The Federal Mileage Rate will be used for mileage charges and will be based on the Federal Mileage Rate applicable to when the mileage costs were incurred. Travel other than mileage will be billed at cost. ■ Subconsultants will be billed at actual cost plus 10%. ■ Expert witness, research, technical review, analysis, preparation and meetings billed at 150% of standard hourly rates. Expert witness testimony and depositions billed at 200% of standard hourly rates. ■ A Finance Charge of 1.5% per month (an Annual Rate of 18%) on the unpaid balance will be added to invoice amounts if not paid within 45 days from the date of the invoice.
Modesto Final Design of Chicago-Paradise
EXHIBIT B
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Equipment Charges
EQUIPMENT
2" Purge Pump & Control Box $300 / day
Aquacalc / Pygmy or AA Flow Meter $28 / day
Emergency SCADA System $35 / day
Field Vehicles (Groundwater) $1 / mile
Gas Detector $80 / day
Generator $60 / day
Hydrant Pressure Gauge $10 / day
Hydrant Pressure Recorder, Impulse (Transient) $55 / day Hydrant Pressure Recorder, Standard $40 / day
Low Flow Pump Back Pack $135 / day
Low Flow Pump Controller $200 / day
Powers Water Level Meter $32 / day
Precision Water Level Meter 300ft $30 / day
Precision Water Level Meter 500ft $40 / day
Precision Water Level Meter 700ft $45 / day
QED Sample Pro Bladder Pump $65 / day
Stainless Steel Wire per foot 0.03 / day
Storage Tank $20 / day
Sump Pump $24 / day
Transducer Components (per installation) $23 / day
Trimble GPS – Geo 7x $220 / day
Tube Length Counter $22 / day
Turbidity Meter $30 / day
Vehicle (Construction Management) $10 / hour
Water Flow Probe Meter $20 / day
Water Quality Meter $50 / day
Water Quality Multimeter $185 / day
Well Sounder $30 / day
BILLING RATES
Modesto Final Design of Chicago-Paradise
EXHIBIT B
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PROPOSAL OF SERVICES
p: 209.571.1765 | f: 209.571.2466 PROPOSAL
1165 Scenic Drive, Suite A, Modesto, CA 95350 | www.odellengineering.com 5O’Dell Engineering Schedule of Fees
Effective August 1, 2023 and subject to period revision at the discretion of O’Dell Engineering.
Classification: Regular Hourly Rate:
Principal $295
Senior Civil Engineer $230
Senior Engineer 2 $210
Senior Engineer 1 $194
Engineer 2 $190
Engineer 1 $180
Assistant Engineer 2 $155
Assistant Engineer 1 $140
Senior Landscape Architect 2 $210
Senior Landscape Architect 1 $190
Landscape Architect 2 $180
Landscape Architect 1 $170
Landscape Designer 3 $165
Landscape Designer 2 $155
Landscape Designer 1 $145
Planner $185
Assistant Planner $150
Dry Utility Project Manager 2 $180
Dry Utility Project Manager 1 $160
Utility Engineer $145
CADD Operator 2 $125
CADD Operator 1 $100
Surveyor Manager $215
Senior Land Surveyor $205
Senior Surveyor 2 $200
Senior Surveyor 1 $180
Surveyor 2 $160
Surveyor 1 $150
Assistant Surveyor 2 $140
Assistant Surveyor 1 $125
Survey Crew 2-man/1-man $330/$190
Survey Crew 2-man/1-man (Prevailing Wage) $416/$240
Administrative 3 $150
Administrative 2 $130
Administrative 1 $110
Outside Services & Reproduction: Actual cost plus 10%
Cost of services and expenses charged to O’Dell Engineering by outside consultants, commercial printers, and professional or technical firms engaged in connection with the project.
Travel: Actual cost plus 10%
Mileage, per diem, and subsistence are not normally charged to the client unless specific prior authorization is negotiated between client and consultant.
EXHIBIT B
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PROFESSIONAL TITLE RATE CONSTRUCTION/EQUIPMENT RATE DETAIL Principal $ 250.00 Traffic Control (Major) $ 2,500.00 DAY Senior Project Manager $ 210.00 Traffic Control (Minor) $ 700.00 DAY Project Manager $ 190.00 Seismic Refraction (12 Channel) $ 1,300.00 DAY Senior Geologist / Environmental $ 170.00 Core Machine with Generator $ 2,600.00 DAY Senior Engineer $ 170.00 Core Machine Bit $ 3.00 INCH
Project Engineer II $ 150.00 Core Box $ 17.25 EACH
Project Engineer I $ 140.00 Hot Mix Asphalt Patching (1st Core) $ 1,000.00 FIRST Staff Engineer $ 135.00 Hot Mix Asphalt Patching (2 or More) $ 500.00 EACH AFTER Administrative Assistant $ 110.00 Wildcat DCP Equipment $ 750.00 DAY PREVAILING WAGE CLASSIFICATIONS ** RATE Wildcat DCP Tip $ 20.00 EACH Field Technician ** $ 147.00 Survey Equipment (Tripod, Level, Rod) $ 150.00 DAY Concrete Technician ** $ 140.00 Survey Equipment (Liquid Level) $ 150.00 DAY Laborer Technician ** $ 120.00 Percolation Equipment $ 200.00 DAY WORKING HOURS AND PREMIUM TIME RATE Hand Auger $ 200.00 DAY Backfill $ 8.00 BAG
Steel Liners (MCAL) $ 10.00 EACH
Overtime: Weekdays & Saturdays (first 8 hours) 1.5 x Hourly Rate Nuclear Density Test $ 10.00 EACH 2 x Hourly Rate Concrete Equipment $ 65.00 PER POUR
CLASSIFICATION TESTING
Overtime: Sundays (over 8 hours) and Holidays 3 x Hourly Rate #200 Wash $ 120.00 ASTM D1140 15% / Hour Grain Size Analysis to #200 (Sieve Analysis) $ 160.00 ASTM D6913 Addt'l to Hourly Rate Mass Grain Size (Scour) $ 2,200.00 ASTM D6913 REIMBURSABLES RATE Grain Size with Hydrometer $ 245.00 ASTM D6913, D7928 Mileage $ 0.70 / Mile Grain Size Analysis $ 210.00 CTM 202 Outside Costs 15% Markup Hydrometer Analysis $ 210.00 ASTM D7928 Permit Fees (City/County) 15% Markup Moisture & Density $ 80.00 ASTM D2216, D7263 Per Diem (Lodging & Meals) County Rate Moisture Content $ 55.00 ASTM D2216, CTM 226 Rush Testing 50% Markup Non-Plastic Index Result $ 125.00 ASTM D4318 Plasticity Index $ 260.00 ASTM D4318
Landscape Suitibility $ 125.00
STRENGTH TESTING
California Impact $ 350.00 CTM 216
Compaction Curve (4" Mold) $ 455.00 ASTM D698/D1557
Compaction Curve (6" Mold) $ 510.00 ASTM D698/D1557
Compaction Curve Checkpoint (4" Mold) $ 125.00 ASTM D698/D1557 Compaction Curve Checkpoint (6" Mold) $ 125.00 ASTM D698/D1557 Compression (Rock) $ 275.00 ASTM 7012
Compressive Strength of Cylinders (6x12) $ 40.00 ASTM C39 Compressive Strength of Cylinders (4x8) $ 37.00 ASTM C39 Direct Shear (CD 3pt) Peak Only $ 500.00 ASTM D3080
Point Load (Rock) $ 65.00 ASTM D5731
R-Value $ 450.00 ASTM D2844, CAL 301
Triaxial Shear-UU $ 175.00 ASTM D2850
Triaxial Staged-UU $ 290.00 ASTM D2850
Unconfined Compression (Rock) $ 230.00 ASTM D7012
Unconfined Compression (Soil) $ 180.00 ASTM D2166
CONSOLIDATION & EXPANSION
1-D Consolidation $ 400.00 ASTM D2435
1-D Consolidation (Time Rate) / Per Point $ 100.00 ASTM D2435 Expansion Index $ 275.00 ASTM D4829
CORROSIVITY TESTING
pH, Resistivity, Sulfate, and Chloride Content $ 240.00 CTM 417,422,643 pH, Resistivity, Sulfate, Chloride, and Redox Potential $ 350.00 CTM 417,422,643 and ASTM G200M
PAVEMENT TESTING
Asphalt Ignition Calibration $ 460.00 CTM 382
Percent Asphalt Ignition Oven $ 150.00 CTM 382
Sand Equivalent $ 135.00 CTM 217
Stabilometer Value $ 225.00 CTM 366
Theoretical Max Specific Gravity/Density $ 225.00 CTM 309 Mix Design $ 2,000.00 ASTM 1557 and ASTM D1633
SEISMIC ANALYSIS
EZ Frisk Software Use $ 1,500.00 PER PROJECT
Rates are subject to a five percent (5%) annual escalation effective December 31, 2023. 2023 STANDARD FEE SCHEDULE
A Regular Workday is the first 8 hours between 6:00am to 6:00pm, Monday through Friday.
Overtime: Saturdays (over 8 hours) and Sundays
(first 8 hours)
Night Shift: Work performed between 2:00 am and
4:00 am
Corporate Office: 4701 Freeport Blvd., Sacramento, CA 95822 - (916) 455-4225 Modesto: 1405 8th Street, Modesto, CA 95354 - (209) 312-7668 Pleasanton: 6200 Stoneridge Mall Road, Suite 330, Pleasanton, CA 94588 - (925) 401-3515 Rocklin: 4220 Rocklin Road, Suite 1, Rocklin, CA 95677 - (916) 455-4225 Seattle: 1448 NW Market Street, Suite 500, Seattle, WA 95677 Ukiah: 100 North Pine Street, Ukiah, CA 95482 - (707) 240-4400
EXHIBIT B
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Project Type Engineering Locates / 150 Potholes Date 8/5/2023 Project Location Chicago Avenue- Paradise Road
Contact Name Bobby Vera Cell 209.996.0756
West Yost Office 916.306.22508950 Cal Center Drive, Suite 363Sacramento, CA 95826 CompanyContact Name Mike McIntosh Cell 970.412.0069
28247ft Hours By Task
Units Cost
UNCC notifications 28 2660 Cost BasedMOB Fee 1 10000 42Pot Hole Daily Rate 150 Pot Holes 15 75000 120Daily Disposal Fee 15 7500 Cost BasedOnsite Review 3 450 24Engineering Locate ( Aprox 5.3 miles ) 1 84000 400Plan page & data disk QLA (700' per page) 60 15000 Cost BasedPermit Processing 1 450 2Traffic Control 15 30000 250Traffic Plan 10 2500 Cost Based Total $227,560
Job DescriptionD&M Utility Services of Ca will provide all material, equipment, labor, and technical supervision to locate and map the existence and location of all subsurface water, sewer, electrical, CATV, communication in proposed scope of work area.(28,247 LF)Pothole approx. 150 potholes location determined by West Yost and provide all backfill material and cold patch for temporary pothole repair. Permanent restoration not included.Provide proper traffic control to keep the company and public safe during potholing and clean-up.Schedule of ServicesLocate and Mapping 5 weeks from Start Date.CAD Design 1 week from completed of mappingPotholing 18-20 days from Start Date once locations have been determined.Additional Pot Hole over 150 1 $500Pot Hole PermitExclusions: Permanent restoration of hard surface potholes.Pot Holes will be 8"core drilled and *FILLED WITH PEA GRAVEL AND THE CORE TO BE REPACED WITH SACKRETE OR COLD PATCH MATERIALS.Flow-fill, hot patching,& concrete and asphalt R&R are not included in this pricing.The above pricing is for work between the hours of 7:00am and 3:30pm Mon-Fri. Nights and Weekends will be charged accordingly.Billing to be invoiced upon completion.Net: 30days 12% thereafter Bobby Vera Date ____________ D&M Utility Service of Ca Date 8/5/2023 This Proposal is good for 90 days from the date unless otherwise extended by D&M Utility Servicesby signing you agree to the above terms. All payments must be received within 30 days of invoicing.
Indemnity Disclaimer
D&M Utility Services will locate the private facilities to the best of our ability using electronic equipment by connecting to a conductor that surfaces. D & M Utility Services will attempt to locate those facilities as directed bythe contractor and/or property owner. Due to the limited information and absence of as built maps, D & M Utility Services will not be responsible for the accuracy of said information. Client shall save and hold harmless D & MUtility Services, its officers, agents, and employees against all liability including damages, fines, penalies, damage to property or injury or death of any person or persons arising out of or in any way connected with,or resulting from the work to be performed hereunder, including but not limited to such liability arising out of, or in any way connected with, or resulting from the acts, non-acts, negligence or alleged negligence of D & M Utility Services, its officers, agents, and employees shall be the responsibility of D & M Utility Services, said indemnification shall be inclusive of all costs and attorneys fees and/or any judgment or settlement, resulting from either claim or litigation pursed against D & M Utility Services arising out of this agreement.
Mike McIntosh
Signature Agreement:
Ca State Lic # 1019099
D&M Utility Services of Ca
www.dmutilityservicesofca.com
D&M Utility Services of Ca
707-483-5951
Estimate __________________________ Pass through actual cost + 10% EXHIBIT B #16..
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CITY OF MODESTO
COUNCIL AGENDA REPORT
DATE OF MEETING:
December 05, 2023
Date: November 07, 2023
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: William Wong, Director of Utilities
SUBJECT: Purchase Agreement for Property Located at 5132 South Avenue in Empire, CA CONTACT: Edgar Vargas, Senior Civil Engineer, [email protected], 209-577-5424 DESCRIPTION:
Consider approving the purchase of 4,320 square feet of real property at 5132 South Avenue, Empire, CA owned by Stanislaus Regional Housing Authority for $26,073, plus $10,000 in closing costs to be used for the Well 312 Treatment System and Flushline Project. (Funding Source: Water Fund)
STRATEGIC PLAN ELEMENT:
The recommended action supports the 2020-2025 City’s Strategic Plan Initiatives, Goal D:
Provide safe, efficient, and reliable infrastructure through proactive community investment, maintenance, and sustainability efforts.
BACKGROUND:
The Empire Service Area is located in the far southeastern corner of the City of Modesto’s contiguous water service area and was originally part of the Del Este Water Company. The existing water service area is largely provided by five groundwater wells and is supplemented by treated surface water purchased from the Modesto Irrigation District.
In the Fall of 2016, one of the five wells in the Empire Service Area, Well 312, was turned off due to exceeding the maximum contaminant levels (MCL) for 1,2,3-Trichlorpropane (TCP). In order to decrease the MCL levels of TCP and meet State regulations, granular activated carbon (GAC) treatment is required.
In the Summer of 2017, the City conducted a hydraulic evaluation of the Empire Service Area to determine if peak hour demand conditions could be met with or without supply from the five existing local wells. The analysis confirmed that the existing wells are required to maintain operation and also recommended system improvements including upsizing water mains to support the overall Empire Service Area.
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City Council, December 5, 2023
Purchase Agreement for Property Located at 5132 South Avenue in Empire, CA
As a result, the City began seeking funding to help install a new GAC treatment system and flushline at Well 312 to bring the well back into operation.
The Budget Act of 2021 allocated $300 million to the State of California Department of Water Resources (DWR) to deliver grants for interim and immediate drought relief to urban communities and for multibenefit projects. The grants are intended to provide water to communities that face the loss or contamination of their water supplies, to address immediate impacts on human health, safety, and to protect fish and wildlife resources.
Per DWR, the Well 312 Treatment System and Flushline Project is located in a Severely Disadvantged Community (SDAC) where the annual household income is less than $42,737.
Projects eligible for the Urban and Multi-benefit Drought Relief Grant Program are favored if the project can benefit a community that is within a SDAC or an Economically Distressed Area.
On April 5, 2022, by Resolution No. 2022-172, Council authorized the submittal of a grant application to the California Department of Water Resources Urban and Multibenefit Drought Relief Grant Program for the Well 312 Treatment System and Flushline Project.
Shortly after Council authorization, Staff was notified that it had been awarded $1,000,000 from the DWR Urban Drought Relief Program, which will be utilized to fund the construction of the Well 312 Treatment System and Flushline Project.
On September 13, 2022, by Resolution No. 2022-387, Council approved an Agreement with Provost & Pritchard Consulting Group for Engineering Services for the Empire Well 312 Treatment System and Flushline Project in the amount of $147,000 for the identified scope of services, plus $14,700 in additional services, if needed, for a total amount not to exceed $161,700.
On April 11, 2023, by Resolution No. 2023-181, Council accepted the Department of Water Resources 2021 Urban and Multibenefit Drought Relief Grant Program Award of $1,000,000 for the Well 312 Treatment System and Flushline Project; authorized the City Manager, or his designee, to enter into a Local Project Sponsor Agreement with Contra Costa Water District and to execute all grant-related documents and authorized the Director of Finance to be the signatory of grant invoice forms during requests for reimbursements.
On May 6, 2023, the Local Project Sponsor Agreement with Contra Costa Water District for the $1,000,000 DWR 2021 Urban and Multibenefit Drought Relief Grant Program Award was fully executed.
DISCUSSION:
In the Spring of 2023, it was discovered that the Well 312 site was not owned by the City of Modesto. Upon further research, title reports showed the Well 312 site existing within a 50’x50’ easement, on real property, owned by the Stanislaus Regional Housing Authority, a California public agency.
City staff immediately reached out to the Stanislaus Regional Housing Authority and began discussions for the Purchase and Sale of the property where Well 312 is located. The Well 312 Treatment System and Flushline Project required a site expansion to account for the required GAC treatment vessels. The Stanislaus Regional Housing Authority agreed to sell a total of #17..
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City Council, December 5, 2023
Purchase Agreement for Property Located at 5132 South Avenue in Empire, CA
4,320 square feet to the City for the Well 312 Treatment System and Flushline Project, including the area needed for site expansion.
On May 22, 2023, Associated Right of Way Services, Inc. (ARWS), the City’s real property oncall consultant, was hired to appraise the property and provide a report intended to assist the City in acquiring the property located at 5132 South Avenue in Empire, CA for the Well 312 Treatment System and Flushline Project.
On July 20, 2023, ARWS provided the appraisal report, completed by Colliers International Valuation & Advisory Services (CIVAS). Based on the appraisal report, the real property (4,320 square feet) was appraised at a fair market value of $26,073.
On August 3, 2023, City staff presented the completed appraisal report to the Stanislaus Regional Housing Authority for review.
On August 25, 2023, City staff presented the Purchase and Sale Agreement to the Stanislaus Regional Housing Authority for the purchase of 4,320 square feet of real property for the purchase price of $26,073.
On October 12, 2023, the Stanislaus Regional Housing Authority Executive Director, Jim Kruse, agreed to sell 4,320 square feet of real property for the total price of $26,073 to the City of Modesto.
FISCAL IMPACT:
Expenses associated with the purchase of this real property will be housed in the following Capital Improvement Program Project:
101403 – Well 312 Treatment & Flushline
Anticipated Land Acquisition Expenditures
Purchase Price of Land $ 26,073
Estimated Closing Costs $ 10,000
TOTAL $ 36,073
Based on the appraised value, Staff has determined that $26,073 is a fair price for the purchase of the property to proceed with completion of the Well 312 Treatment and Flushline Project as soon as possible, at the cheapest overall cost. Delaying the purchase of the Well 312 property poses a risk to forfeit the $1,000,000 grant received to complete the Well 312 Treatment System and Flushline Project, and related delays will increase project costs.
COMMITTEE RECOMMENDATION:
There has been no Committee action taken on this item.
CEQA/NEPA REQUIREMENTS:
Environmental review will be provided through a Categorical Exemption under CEQA Section 15301 Class 1(b).
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City Council, December 5, 2023
Purchase Agreement for Property Located at 5132 South Avenue in Empire, CA
RECOMMENDED COUNCIL ACTION:
Staff Recommendations:
Resolution approving the purchase of 4,320 square feet of real property located at 5132 South Avenue, Empire, CA 95319 owned by Stanislaus Regional Housing Authority for $26,073, plus $10,000 in closing costs, to be used for the Well 312 Treatment & Flushline Project, and authorizing the City Manager, or his designee, to execute the Purchase and Sale Agreement and all related documents required to complete the transaction.
Approved by:
William Wong, Director of Utilities
Joseph P. Lopez, City Manager
Attachments:
1. Resolution
2. Purchase and Sale Agreement
3. Appraisal from Colliers International Valuation & Advisory Services, July 20, 2023
4. Layout Exhibit of the Well 312 Treatment & Flushline Project #17..
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1 2023-
MODESTO CITY COUNCIL
RESOLUTION NO. 2023-
RESOLUTION APPROVING THE PURCHASE OF 4,320 SQUARE FEET OF REAL PROPERTY LOCATED AT 5132 SOUTH AVENUE, EMPIRE, CA 95319 OWNED BY STANISLAUS REGIONAL HOUSING AUTHORITY FOR $26,073, PLUS $10,000 IN CLOSING COSTS, TO BE USED FOR THE WELL 312
TREATMENT & FLUSHLINE PROJECT, AND AUTHORIZING THE CITY
MANAGER, OR HIS DESIGNEE, TO EXECUTE THE PURCHASE AND SALE
AGREEMENT AND ALL RELATED DOCUMENTS REQUIRED TO
COMPLETE THE TRANSACTION
WHEREAS, the Empire Service Area is located in the far southeastern corner of the City of Modesto’s contiguous water service area and was originally part of the Del Este Water Company, and
WHEREAS, the existing water service area is largely provided by five groundwater wells and is supplemented by treated surface water purchased from the Modesto Irrigation District, and
WHEREAS, in the Fall of 2016, one of the five wells in the Empire Service Area, Well 312, was turned off due to exceeding the maximum contaminant levels (MCL) for 1,2,3-Trichlorpropane (TCP), and
WHEREAS, in order to decrease the MCL levels of TCP and meet State regulations, granular activated carbon (GAC) treatment is required, and WHEREAS, upon further research, title reports showed the Well 312 site existing within a 50’x50’ easement, on real property, owned by the Stanislaus Regional Housing Authority, a California public agency, and
WHEREAS, the Well 312 Treatment System and Flushline Project requires a site expansion to account for the required GAC treatment vessels, and #17..
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2 2023-
WHEREAS, an appraisal prepared by Colliers International Valuation & Advisory Services, on May 22, 2023, appraised the value of the property at $26,073, and WHEREAS, the City Council has determined that $26,073 is a fair and reasonable price for the property.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby authorizes the purchase of 4,320 square feet of real property located at 5132 South Avenue, Empire, CA owned by the Stanislaus Regional Housing Authority for $26,073, plus $10,000 in closing costs, to be used by the Utilities Department for the Well 312 Treatment System and Flushline Project.
BE IT FURTHER RESOLVED that the City Manager, or his designee, is authorized to execute the Purchase Agreement, in a form approved by the City Attorney, and negotiate minor changes that the City Manager deems appropriate.
BE IT FURTHER RESOLVED that the City Manager, or his designee, is authorized to negotiate and execute all related documents required to complete the transaction and take all other actions necessary to carry out the purpose and intent of this resolution.
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 5th day of December, 2023, by Councilmember ?, who moved its adoption, which motion being duly seconded by Councilmember ?, was upon roll call carried and the resolution adopted by the following vote:
AYES: Councilmembers:
NOES: Councilmembers:
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3 2023-
ABSENT: Councilmembers:
ATTEST:____________________________________
DIANE NAYARES-PEREZ, CMC, City Clerk
(SEAL)
APPROVED AS TO FORM:
BY: ____________________________________
JOSE M. SANCHEZ, City Attorney
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HOUSING AUTHORITY OF STANISLAUS
COUNTY-EMPIRE, CA - 8.75 ACRES
Stanislaus County, California
APPRAISAL REPORT
Date of Report: July 20, 2023
Colliers File #: FCH230228
PREPARED FOR
Larry Castellanos
Associated Right of Way Services, Inc
1255 Treat Boulevard
Walnut Creek, CA 94597
PREPARED BY
COLLIERS INTERNATIONAL
VALUATION & ADVISORY SERVICES
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LETTER OF TRANSMITTAL
COLLIERS INTERNATIONAL
VALUATION & ADVISORY SERVICES
7485 N. Palm Avenue, Suite 110
Fresno, CA 93711 USA
MAIN 559 221 1271
FAX 559 222 8744
WEB www.colliers.com
Colliers International Valuation & Advisory Services, and certain of its subsidiaries, is an independently owned and operated business and a member firm of Colliers International Property Consultants, an affiliation of independent companies with over 500+ offices throughout more than 63 countries worldwide.
Letter of Transmittal
July 20, 2023
Larry Castellanos
Associated Right of Way Services, Inc
1255 Treat Boulevard
Walnut Creek, CA 94597
Re: Housing Authority of Stanislaus County-Empire, CA - 8.75 Acres Stanislaus County, California
Colliers File #: FCH230228
Dear Mr. Castellanos:
Pursuant with our engagement, the above captioned property was appraised utilizing best practice appraisal principles for this property type. This appraisal report is intended to satisfy the scope of work and requirements agreed upon by Associated Right of Way Services, Inc and Colliers International Valuation & Advisory Services (CIVAS).
At the request of the client, this appraisal is presented in an appraisal format as defined by USPAP Standards Rule 2-2(a). The city of Modesto is acquiring an exclusive easement for the expansion of a water well and water treatment facility. The real property and property rights to be acquired for the Project will be appraised based on the market value of the real property and rights acquired by the City. The appraisal methodology will be like that of any partial acquisition where the appraisal considers the market value of the real property improvements, easement area and property rights acquired as they contribute value to the subject larger parcel. The appraisal analysis will not include any diminution in market value to the remainder property resulting from the Project Acquisition(s).
As you requested, presented are the findings in the matter of the proposed project on the “Housing Authority of Stanislaus County-Empire, CA - 8.75 Acres” property, formally identified as Stanislaus County Assessor’s Parcels 009-020-028 and 009-020-022. In terms of identifying the “larger parcel,” contiguous parcels surrounding the effected parcel have been considered. The 8.75-acre site is improved with a medium-density housing facility.
The purpose of the project is the expansion of an existing domestic water treatment facility that serves the Modesto-Empire Area. The Project requires the acquisition of the remaining fee interest burdened by the existing 2,500 square foot permanent easement for the well site. The City acquired this property right on July 13,2001 by easement deed, Document 2001-0078949. The Project will also acquire an additional 1,820 square feet, in Fee, that abuts the existing well site on the north and west sides. In addition to the loss in market value of underlying vacant land there are improvements within the part acquired by the city of Modesto, there are site improvements within the acquisition area that include asphalt parking lot improvements with parking striping, chain link fencing, 1-parking lot electrolier, fence mounted signs and a landscaped area. There is also a concrete driveway pad in the new acquisition area that serves the existing well site. Legally, this pad is on the owner’s property, but it has no contributory market value to the larger parcel, thus it has no value to the acquisition. The appraisal will not #17..
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LETTER OF TRANSMITTAL
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES consider any loss in value to the remainder property resulting from the project acquisition as this is not an acquisition subject to eminent domain. Below is a summary of the appraisal results.
The opinion of value expressed in this report addresses the real property, consisting of land (including any permits that run with the land), building improvements, and permanent fixtures. This appraisal does not, nor does it intend to, include any component of going concern, business enterprise value, or intangible assets.
The analyses, opinions and conclusions communicated within this appraisal report were developed based upon interpretation of the requirements and guidelines of the current Uniform Standards of Professional Appraisal Practice (USPAP), the requirements of the Code of Professional Ethics and the Standards of Professional Appraisal Practice of the American Society of Farm Managers and Rural Appraisers (ASFMRA).
This appraisal has been prepared in compliance with the Uniform Standards of Professional Appraisal Practice (USPAP). The real property and property rights being acquired for the Project are analyzed and valued under the “states rules” methodology. The report, in its entirety, including all assumptions and limiting conditions, is an integral part of, and inseparable from, this letter. USPAP defines an Extraordinary Assumption as, “an assumption, directly related to a specific assignment, as of the effective date of the assignment results, which, if found to be false, could alter the appraiser’s opinions or conclusions. USPAP defines a Hypothetical Condition as, “that which is contrary to what is known by the appraiser to exist on the effective date of the assignment results but is used for the purpose of analysis.”
The Extraordinary Assumptions and/or Hypothetical Conditions that were made during the appraisal process to arrive at the opinion of value are fully discussed below. The client is advised to consider these issues carefully given the intended use of this appraisal, as this use might have affected the assignment results.
Extraordinary Assumptions
• None
SUMMARY OF PROPERTY & ACQUISITION % OF
Housing Authority of Stanislaus County-Empire, CA - SQ. FT. ACRES PROPERTY Total Property Size- Before -Burdened & Unburdened 381,150.00 8.75 Rights being acquired:
Fee simple 1,820.00 0.0418 0.478%
Fee simple 2,500.00 0.0574 0.656%
TOTAL AREA PERMANENTLY IMPACTED 4,320.00 0.0992 1.133%
Rights to be acquired by: City of Modesto
Purpose of project: Domestic Water Project
Duration of temporary easement (months): N/A
Existing use of area impacted: Multi Family Land
Effective date of appraisal:
Fair Market Value of Entire Property-Before: $3,040,713 Fair Market Value of Entire Property-After: $3,014,640
Recommended Just Compensation: $26,073
June 28, 2023
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LETTER OF TRANSMITTAL
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES Hypothetical Conditions
• The opinion of fair market value of the property in the before condition is based on the hypothetical condition that the project does not exist. This condition is used to eliminate the consideration of project influence in the before condition, as required by state and federal law. • The opinion of fair market value of the property in the after condition is based on the hypothetical condition that the easements are acquired as of the effective date of value. This is a hypothetical value and is intended to capture the value of the property as if the proposed easements were acquired as of the current date of value. The easements are not acquired as of the date of this report, and they should not be construed as such. The value is contingent on the assumption that the rights acquired, and areas encumbered are in conformity with the documents included in the addendum of this report.
The opinion of value reflects conditions and the actions of market participants as of the date of value. It is based on the available information gathered and provided, as presented in this report, and does not predict future performance. Changing market or property conditions can and will have an effect on value.
The signature below indicates assurance to the client that the development process and extent of analysis for this assignment adhere to the scope requirements and intended use of the appraisal. If you have any specific questions or concerns regarding the attached appraisal report, please contact the individuals listed below.
Sincerely,
COLLIERS INTERNATIONAL
VALUATION & ADVISORY SERVICES
_______________________________
Doug Chapman
Valuation Services Director | Agriculture Specialty Practice California Certified General Appraiser: AG3005429
Oregon Certified General Appraiser: C001475
Washington Certified General Appraiser: 21018193
(740) 590-2726
[email protected]
_______________________________
Charles P. "Chuck" Wells, MAI
Senior Valuation Specialist | Agriculture Specialty Practice Tennessee Certified General Appraiser:6113
Oregon Certified General Appraiser: C001184
Washington Certified General Appraiser: 1102502
(503) 580 3005
[email protected]
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TABLE OF CONTENTS
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES FCH230228
Table of Contents
Executive Summary................................................................................................................................................ 1 Authorization....................................................................................................................................................... 1 Purpose............................................................................................................................................................... 1 Client Identification ............................................................................................................................................. 1 Intended Use....................................................................................................................................................... 1 Intended Users.................................................................................................................................................... 1 Previous Appraisal.............................................................................................................................................. 1 Assignment Dates............................................................................................................................................... 1 Scope of Work .................................................................................................................................................... 1 Definition of Value............................................................................................................................................... 3 General Area Description, Limiting Conditions .................................................................................................. 3 Market Area Summary........................................................................................................................................ 3 Site & Improvement Description............................................................................................................................. 6 Identification........................................................................................................................................................ 6 Location & Access .............................................................................................................................................. 6 Title History ......................................................................................................................................................... 7 Occupancy .......................................................................................................................................................... 7 Easements and encumbrances.......................................................................................................................... 7 Zoning and Trends.............................................................................................................................................. 8 Utilities................................................................................................................................................................. 9 Soils..................................................................................................................................................................... 9 flood zone.......................................................................................................................................................... 11 Property Description and Land Use ................................................................................................................. 12 Building Improvements ..................................................................................................................................... 12 Project Description and Impacts....................................................................................................................... 12 Subject photographs..................................................................................................................................... 17 Highest & Best Use........................................................................................................................................... 19 As Vacant...................................................................................................................................................... 19 As Improved.................................................................................................................................................. 19 Front end conclusion ............................................................................................................................................ 19 Sales Comparison Approach................................................................................................................................ 20 Sale Allocations............................................................................................................................................. 20 Land Component Valuation .......................................................................................................................... 20 Sales Comparison Approach Conclusion..................................................................................................... 23 Cost Approach ...................................................................................................................................................... 24 Just Compensation Calculations .......................................................................................................................... 25 Appraiser’s Certification........................................................................................................................................ 26 Assumptions & Limiting Conditions ...................................................................................................................... 27 Addenda................................................................................................................................................................ 29 Qualifications .................................................................................................................................................... 29 Scope of Work-ARWS .................................................................................................................................. 32 Glossary ................................................................................................................................................................ 42 CIVAS Overview 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IDENTIFICATION OF APPRAISAL ASSIGNMENT
FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 1 Executive Summary
AUTHORIZATION
Colliers International Valuation & Advisory Services was authorized by Mr. Larry Castellanos of Associated Right of Way Services, Inc to perform this assignment.
PURPOSE
The purpose of this appraisal is to formulate and present an opinion of the current market value As-Is of the fee simple interest in the real property known as the Housing Authority of Stanislaus County-Empire, CA - 8.75 Acres. Per instructions from the Client, this appraisal is not prepared for eminent domain and will not consider any impact to the remainder.
CLIENT IDENTIFICATION
This appraisal report is completed for the sole use and benefit of the client and intended user, Associated Right of Way Services, Inc.
INTENDED USE
The intended use of this appraisal is the basis of the offer of Just Compensation for the acquisition of the real property and property right necessary for the Project. This report is not intended for any other use.
INTENDED USERS
In addition to ARWS, the city of Modesto and their assignees are intended to users of this report.
PREVIOUS APPRAISAL
The appraisers have not performed services on the property as an appraiser(s) within three years. No services have been performed in any other capacity.
ASSIGNMENT DATES
Date of Report: July 20, 2023
Date of Observation: June 28, 2023
Valuation Date “As Is”: June 28, 2023, a current date
SCOPE OF WORK
The scope of the appraisal required collecting primary and secondary data relative to the subject property.
Physical information was collected and obtained from appropriate governmental agencies/ sources and a physical site observation. The physical observation included the specific gathering of any items which may impact value, either positively or negatively. Observation of the property is limited to those things readily observable without the use of special testing or equipment.
Physical observation of property:
• The property was visited by Douglas Chapman.
Identification of property:
• County assessor records and maps
• Legal description
• Aerial photography
• Physical observation
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IDENTIFICATION OF APPRAISAL ASSIGNMENT
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 2 Land use and physical data:
• Zoning, general plan, and land use maps and documents • County assessor and tax collector records
• FEMA flood maps
• Fault hazard maps
• Topographic maps
• Road and area maps
• Soil survey maps
• Population demographics
• Physical observation
Data specific to use of property:
• Water district maps, descriptions, and cost structures • Project Maps
Types of comparable sales discovered, considered, and analyzed:
• Vacant Land Suitable for residential use.
Locations of comparable sales considered:
• Central San Joaquin Valley
• Stanislaus, San Joaquin, and Merced Counties
Valuation approaches utilized:
• Sales Comparison (Land Valuation)
• Cost Approach (Improvement Value)
Valuation approaches deemed not relevant or necessary:
• Income
• The Income Approach was not considered relevant to the valuation of the property, as the project impacted only the land and improvements contained within the easement area.
This data has been analyzed and confirmed whenever possible, leading to the value conclusion set forth in this appraisal. All data considered material to the appraisal was reported. The valuation process involved utilizing all techniques and procedures considered appropriate to the assignment. The approaches utilized were considered to yield a credible opinion of value of the specific use of the intended user of this report. #17..
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IDENTIFICATION OF APPRAISAL ASSIGNMENT
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 3
DEFINITION OF VALUE
GENERAL AREA DESCRIPTION, LIMITING CONDITIONS
An integral part of this appraisal report is the Limiting Conditions, which are in the addendum. The reader must review these items before proceeding to understand the process and limitations of this appraisal report. The client is advised that these contingent and limiting conditions may materially affect the value opinion, other conclusions, and analyses set forth in the appraisal report.
The reader is also urged to visit the section in the addendum outlining the basic general area data for the subject property, which touches on the general physical and geographical characteristics, as well as the social, economic, and governmental considerations impacting the subject market.
Unless otherwise explained or defined in this report, all terms and concepts are to be taken at their common meaning or as defined in accepted appraisal textbooks.
Before continuing with the discussion of the physical characteristics of the subject property, a brief neighborhood analysis of the subject market is warranted.
MARKET AREA SUMMARY
The property is in the unincorporated community of Empire, California in Stanislaus County.
Adjoining Property Use
North Detached Residential
East Residential, Agriculture
South Mobile Home Community
West Detached Residential, Industrial
(Intermodal Facility)
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IDENTIFICATION OF APPRAISAL ASSIGNMENT
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 4 Stanislaus County is located in Central California and in the middle of the San Joaquin Valley. Neighboring counties include Merced, Santa Clara, San Benito, Fresno, Madera, and Mariposa. Freeways 5 and 99 traverse the county from northwest to southeast, connecting the county to urban Sacramento, San Francisco Bay Area, and Southern California. Secondary Highway 33 travels north and south and Highway 132 travels east to west. According to the US Census, the estimated population of Stanislaus County as of July 1, 2018 was 550,000 with its largest town being Modesto, its county seat.
Nearly every developed agricultural parcel in the area is used as a nut orchard, fruit orchard, or vineyard. Few other agricultural uses are feasible in the area. Many parcels are used as rural homes with size and quality ranging from mid-century ranch homes to modern, high-quality custom-built residences.
Water supplies are one of the most attractive features of the north San Joaquin Valley. Several water districts provide surface water at generally very affordable or even “cheap” prices. Districts like Merced, Modesto, Turlock, and Oakdale have a history of reliable surface water deliveries and affordable prices.
Soils on the valley floor are generally alluvial and can be heavy in the river bottoms. The upland properties often benefit from higher gravel content in the soil proving desirable drainage. Mountainous properties have a myriad of different soil conditions.
The following map shows the relative regional location of the property. #17..
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IDENTIFICATION OF APPRAISAL ASSIGNMENT
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 5 #17..
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SITE & IMPROVEMENT DESCRIPTION
FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 6 Site & Improvement Description
IDENTIFICATION
When valuing real property and property rights for a partial acquisition, the concept of the larger parcel must be considered. The larger parcel is the entirety of property under the same ownership or control that exhibits continuity of use, legal ownership, and physical contiguity. The larger parcel, AKA subject property, is commonly identified as follows:
Assessor's Assessed Census
Parcel Number Acreage Tract
009-020-028 7.77 32002
009-020-022 .98 32002
Total: 8.75
In this report the term larger parcel and subject property refer to the same property.
LOCATION & ACCESS
The property has a physical site address of 5132 South Ave, Empire, California 95319. South side of South Avenue, 250' East of Santa Fe Avenue, Empire, CA, in Stanislaus County.
The approximate center of the property can be found at Latitude: 37.630326°; Longitude: -120.898852º.°. #17..
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 7 Immediate fee simple access to the property is provided by South Avenue, a paved county road which connects to Sante Fe Avenue. Access quality to the property is adequate for the existing multi-unit residential housing.
The shaded area on the aerial map below depicts the larger parcel. The approximate location of the easement that is to be acquired is the darker shaded area located near the northwest corner of the larger parcel.
TITLE HISTORY
The title to the property is vested in “Stanislaus County Housing Authority.” The ownership obtained title on June 6, 1990, via document number 49791.
No other sales or marketing attempts were discovered within a three-year period.
OCCUPANCY
The property is used as a seasonal labor housing facility. It is assumed to be occupied and operated under the control of the owner, and not known to be leased.
EASEMENTS AND ENCUMBRANCES
Typical easements for the area are for utility power lines which are overhead structures. Telephone line easements are overhead or underground. Irrigation districts often have easements for canals or underground pipelines. In some areas the county maintains easements for roads while other roadways are owned in fee by the county. These types of easements are typical in rural areas. #17..
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 8 A title report was provided, and a partial copy is found in the Addenda of this report. Other than the easements discussed in the appraisal report, the impacts (if any) on use or value of any easements or encumbrances are thought to have no measurable impact on the “before” market value of the larger parcel.
ZONING AND TRENDS
The zoning ordinances governing the property is P-D 340. The purpose of the zoning as described in the ordinance is:
An application for P-D zoning shall be made to the planning commission and shall include and be accompanied by a development plan. The purpose of such plan is to indicate within stated limits, as proposed by the applicant, the height of proposed buildings and the general appearance of proposed structures to the end that the entire development will have architectural unity and be in harmony with surrounding developments. The development plan shall be adopted by resolution and the P-D district, when established, shall become part of the zoning map of the county as provided for in this title.
The Stanislaus County General Plan designates the land use underlying the P-D (340) approval as Low-Density Residential. The P-D designation specifically allows the site use, as it is improved..urban zoning Urban influences on the property are . The property appears to be in compliance with the zoning ordinance. #17..
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 9
UTILITIES
Typical urban utilities, including electrical and telephone services, are available throughout the immediate area.
Electricity and telephone services are provided by MID and AT&T, respectively. Utilities improved on the property include Electricity; Municipal Water; Municipal Sewer; Natural Gas Electrical Propane Natural Gas Domestic WellMunicipal WaterSeptic SystemMunicipal Sewer Service at building site ☒ ☒ ☐ ☒ ☐ ☒ ☐
SOILS
The soil information included in this report is based on the Web Soil Survey1, maintained by the United States Department of Agriculture’s (USDA) Natural Resources Conservation Service (NRCS). Specific soil types found on the property are shown on the following soil map and description:
Map Capability Storie Percent
Symbol Description Unit Index of Property
HbpA Hanford fine sandy loam, moderately deep over silt, 0 tp 1% slopes
4.0s 81.0 96.9%
HdA Hanford sandy loam, 0 to 3 percent slopes 1.0 93.0 3.1% The subject soils are typical of the surrounding area. By mere existence of the structural improvements and those on nearby parcels, development on these soils is possible for most uses considered under the legal, permissible, and productive uses of the subject property. 1 https://websoilsurvey.sc.egov.usda.gov/App/HomePage.htm #17..
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 10 #17..
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 11
FLOOD ZONE
The property is in “Zone X (no hazard)” flood zones according to panel 060384 - 06099C0345F of the FEMA Flood Insurance Map with an effective date of October 8, 2021.
The entire site and proposed easement area does not appear to be located within a Special Flood Hazard zone.
Further, the easement areas that are proposed to be acquired are also not located within a Special Flood Hazard zone.
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 12
PROPERTY DESCRIPTION AND LAND USE
Gross Acres: 8.75
Shape: Rectangular
Topography: Level
Aspect: North;East;South;West
Slope (min – avg – max): 0 – 0 – 3
Elevation (low – high): 110 to 150 feet above sea level View: Typical level site
Viewshed: City
Native Land Cover: Desert
BUILDING IMPROVEMENTS
The subject property (AKA Larger Parcel) is improved with multiple structures used for seasonal worker housing.
Structures on the site include about 41 duplex and triplex residences as wells as offices and classrooms that house support services. Because the Project is acquiring a small permanent easement from the larger parcel, the appraiser opines that the acquired property has no impact on the remainder parcel and the building and site improvements thereon. The methodology of this appraisal will be like that of a taking and damages analysis that will consider the market value contribution of the real property area and property rights being acquired, but will not consider any diminution in market value to the remainder property resulting from the Project Acquisition(s).
The appraisers have not viewed the interior of any of the structures.
PROJECT DESCRIPTION AND IMPACTS
The City of Modesto’s 2017 Water Master Plan describes the (City) water system as “currently serves a population of approximately 260,000 people in California’s Central Valley. The city of Modesto is currently the largest retail water supplier in Stanislaus County and has been providing potable water service to its urban area since 1895. The City’s existing water service area consists of one large contiguous service area (defined by the City’s current Sphere of Influence (SOI), which also includes Salida, portions of North Ceres, and several unincorporated Stanislaus County “islands” located within the City’s SOI), and several smaller outlying service areas (including Grayson, Del Rio, Ceres (Walnut Manor), and portions of Turlock).” The map below shows the existing well, #312, on subject property that is located adjacent to the proposed easement on an existing 50’ X 50’ easement.
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 13 Currently, the city of Modesto has an existing 50’ X 50’ easement over the subject property for the operation and maintenance of well site #312. The existing easement is surrounded by a chain-link privacy fence and fully developed with water facilities.
The proposed Project Acquisition includes the following real property acquisitions. The Project map identifies the total acquisition area of 4,320 square feet, in fee. The total area includes the 2,500 square feet burdened by the existing easement plus an additional 1,820 square feet to the north and west of the current well site. The acquisitions are not separate parcels; however, the appraisal identified the acquisition areas a Parcels 1 and 2 for discussion and clarity.
1) Parcel 1-The City will acquire the remaining property rights underlying the existing 50’ X 50” well site.
The City acquired this easement through an Easement Deed dated July 13, 2001, document number 2001-0078949-00. The area was fenced, and the well facility developed on the site. The July 2001 easement creates a significant burden as the only remaining value to the underlying fee leaves 1 percent of the fee value to the owner of the burdened site.
2) Parcel 2- The is the proposed acquisition of addition well facility are, in fee. The “new” site area to be acquired is located just north and west of the existing well easement. The improvement in this acquisition area are listed below. Parcel 2 contains 1,820 square feet that will be acquired in fee. The site expansion will be used to install additional water facility equipment.
The following exhibit highlights shows the current water facility easement and expansion area. #17..
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 14 #17..
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 15 #17..
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 16 #17..
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 17 In addition, there are improvements within the proposed easement area that have contributory market value above the market value of the underlying vacant land. They are shown in the table below.
Item Size Unit
Asphalt Paving - Incl. Base 474 Sq. Ft.
Concrete Curbing 72 Lin Ft.
Landscaping-Minimal 554 Sq. Ft.
Paint-Striping Parking Spaces 5 Spaces
Concrete Driveway 336 Spaces
Chain Link Fence w/ Privacy Slats 31 Lin Ft.
2 Metal Sign-3' X 3' 2 Each
Pole Light-Electrolier 1 Each
These items will be considered in the analysis of the real property being acquired to the extent that they contribute market value to the site. Except for the concrete driveway, the improvements within the acquisition area are consistent with the highest and best use of the property, as improved, and contribute full value to the site. The concrete driveway serves the well site and is of no use to the housing facility located on the remainder. Therefore, the concrete driveway entrance that serves the well site has no contributory value to the larger parcel.
In the “after” Project condition, the site will contain 376,830 square feet, or 8.65 acres.
This appraisal is not completed under the rules of eminent domain, therefore, any impact on the remainder value is not considered in the analysis
SUBJECT PHOTOGRAPHS
SUBJECT PHOTOGRAPHS
Well Site Expansion Easement Area Curb Cut-Existing Well Site-South Ave Looking West
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 18 Existing Well Site Interior-Fence Abuts
Expansion Easement
Curb Cut-Existing Well Site-South Ave Frontage
Existing Well Site on Left; Proposed easement on
Right Easement
Curb Cut-South Ave Frontage; Proposed
Permanent Easement Over Parking Area
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SITE & IMPROVEMENT DESCRIPTION
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 19
HIGHEST & BEST USE
AS VACANT
Legally Permissible:
The larger parcel is zoned P-D (340) that allows for the present use as a multi-family housing development. Two legal parcels comprise the larger parcel and total 8.75-acres. Stanislaus County General Plan designates the site underlying the P-D (340) approval as Low-Density Residential. Residential use of low to high density is allowable as the State is encouraging higher density uses to preserve farmland.
Physically Possible:
There are few similarly sized tracts of vacant residential zoned land in the market area, which makes the subject suitable for development of a higher density development. The physical conditions of the property, including size, shape, access, frontage, and utilities are conducive to residential development.
Financially Feasible:
With low residential vacancy and limited inventory in the pipeline, the conditions for supporting lower vacancy and rents are likely to continue. This suggests that development of the site to multi-family use is financially feasible. In this market, there is a low inventory of vacant land suitable for most types of residential development.
Rents have been increasing. Recent increases in interest rates over the past 12 months have slowed the investment market to a “more normalized” level of demand. But there is still housing demand and moderate investor interest.
Maximally Productive:
Based on the preceding analysis, the highest and best use of the subject property, as if vacant, is for medium to high density residential development.
AS IMPROVED
The current building and site improvements on the property are considerable, although they primarily consist of semi-detached housing, utility buildings, classrooms, and offices. These improvements are the probable highest and best use, as improved. Because Project Acquisition of the easement has no impact on these improvements a full analysis of the improvements has not been completed.
Front end conclusion
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JUST COMPENSATION CALCULATIONS
FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 20 Sales Comparison Approach
The Sales Comparison Approach was deemed to be a reliable indicator to support the market value of the subject property (Larger Parcel). Other than the site improvements that are in the area being acquired for the project, the residential housing and supporting structural and site improvements to the larger parcel are not being valued.
The real property and property rights being acquired has no impact on the value of those improvements. A Cost Approach will be utilized to support the contributory market value of the site improvements that are located within the proposed easement.
• The most likely buyer for the Larger Parcel would be a residential developer to construct housing. • The property of a size and location that would have average demand for the area. • The property is well located in the greater Modesto area. • The location adjacent to Modesto’s larger industrial area would support residential use, but at a lower rental or sale price point.
Several purchases of similar vacant properties have been observed. Development density does not appear to be a significant factor in the prices paid for development land. In other words, the differential between single family land values, on a per square foot basis, and higher density development, such as apartments and townhomes, is not significant. Location is the major difference. Thus, we turn to a unit analysis which measures value based on price per unit. In this case, price per square foot is considered to be the most reliable indicator.
SALE ALLOCATIONS
Thus, attempting to reflect the views of the market, sales were selected that contain assets most similar to the subject. Attempts were made to identify transactions that contain a similar mix of assets to the subject property.
The sales prices of each comparable transaction are carefully allocated using puritan sales and matched pairs whenever possible, with strong consideration given to the contribution of each asset to the whole. The sale allocation process generally follows the procedure below. • Identify the most “pure” transactions in the market, i.e., those that have only one use • Apply the “puritan” indicators to sales with only one improvement type or second use • Apply derived indicators to sales with third (etc.) improvement or use type • Test resulting allocations against other known data when available • Test results against allocations made by buyers and sellers • Consider the contribution of each asset to the whole
LAND COMPONENT VALUATION
Within the market described above, an attempt has been made to determine the market value of the open land component of the subject property. The following sales were discovered and analyzed and were considered to best demonstrate the market value of the subject’s open land. These sales represent similar physical characteristics as the subject property, such as size, topography, infrastructure development density and location.
In the following analysis, the price attributed to the vacant land has been isolated and measured on a price per square foot basis.
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JUST COMPENSATION CALCULATIONS
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 21 Vacant land parcels available for sale in the subject’s market area are scarce. Credit tightening in the past year has reduced demand. It appears that the market is close to being balanced, but there is still some uncertainty as to the near-term demand as credit markets continue to tighten.
Comparable L2 sold 16 months ago for $1.3 million. At the end of June, it was listed for sale for $2.4 million, a whopping 84.6% increase in 16 months. Nothing characteristically changed about the parcel. However, it has not sold at the new listing price, so it is not necessarily a market indication. The appraisal analysis treats the listing of Comparable Sale L2 this as an interesting fact, but not something that can be relied upon to support market changes. Other than Comp L2, there is little evidence to support any market condition adjustments.
Location is the critical factor supporting the prices paid for a specific parcel. Generally, the closer a parcel is to the Bay Area employment centers, the higher the price. In this case, the Manteca location is superior to the Modesto-Ceres-Turlock locations. Although we cannot quantify adjustments with specific paired sales, we can make qualified adjustments for this factor.
The secondary location factor is within the community that considers surrounding uses, availability of services, transportation routes, etc. The subject is in an older neighborhood that is adjacent to a large industrial park.
There is a large intermodal facility near the subject that offloads rail containers around the clock. On a positive note, those working in the Beard Industrial Tract may view the subject’s location as an advantage. Also, the subject’s location is not near freeway access reducing the “commuter” desirability for any development on the Larger Parcel. The other comparable sales are all newer suburban locations. L5 has reasonably close access to Highway 99 for any commuter needs. Overall, the 5 comparable sales are all considered superior to the subject in terms of location, but to varying degrees.
The locations of the comparable sales and subject property are summarized on the following map.
Land Sales Summation
Table
Sale Number L1 L2 L3 L4 L5
Property Name 3900 Colorado Ave
Turlock 3.42 Acres
339 Pestana Ave
Manteca - 3.14
Acres
4201 Geer Road
Turlock 3.2 Acres
SWC Coffee Road
and Montana
Avenue 3.8 Acres
Stella Avenue
(5500 Block) 12.93
Acres
Grantor McCoon 2004 Rev
Trus
REBER FRED H &
MILDR
David Bertha 2012
Tr
Renata Enterprises
I
Gold Star
Investment
Grantee NRB Investments
LLC
PARADISE INV
PROPS GRP LLC Harish Mahindrakar MCAP LLC Bright Development State California California California California California County Stanislaus San Joaquin Stanislaus Stanislaus Stanislaus Recorded Date 7/29/2021 2/24/2022 3/3/2022 3/7/2022 3/18/2022 Doc Number 71699 25029 15579 16392 2022R0020199
Parcel Number 072-075-051 208-210-18 071-068-044 082-008-032-000 045-021-003 Total Sales Price $1,350,000 $1,300,000 $1,420,000 $1,981,500 $6,710,000 Adjustments $0 $0 $0 $0 $0
Adjusted Sales Price $1,350,000 $1,300,000 $1,420,000 $1,981,500 $6,710,000 Total Acres 3.42 3.14 3.20 3.80 12.93
Price per Acre $394,737 $414,013 $443,750 $521,447 $518,948
ALLOCATION OF PURCHASE PRICE
Non Real Property
Residential, Single-Family
Other Open Land
Total Other Assets $0 $0 $0 $0 $0
Net to Open Land $1,350,000 $1,300,000 $1,420,000 $1,981,500 $6,710,000 Net Acres 3.42 3.14 3.20 3.80 12.93
Land Price per Sq. Ft. $9.06 $9.50 $10.19 $11.97 $11.91 Land Price per Acre $394,737 $414,013 $443,750 $521,447 $518,948 #17..
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JUST COMPENSATION CALCULATIONS
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 22 The relevant elements of comparison of the properties are summarized here.
Land Elements of
Comparison:
Sale Number Housing Authority of Stanislaus CountyEmpire, CA - 8.75 Acres L1 L2 L3 L4 L5
1. Real Property Rights Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple
2. Financing Cash Cash 0 Cash Cash Cash
3. Sale Conditions Arm's-Length Arm's-Length Arm's-Length Arm's-Length Arm's-Length Arm's-Length
4. Immediate Expenses none none none none none none
5. Mkt Conditions (time) Jun-23 Jul-21 Feb-22 Mar-22 Mar-22 Mar-22
6. Location Average Average+ Average++ Average+ Average++ Average distance from subject 7.9 miles SE 19.7 miles NW 7.3 miles S 6.3 miles NW 6.7 Mile S.
7. Physical Characteristics
Access Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple Fee Simple Size 8.75 3.42 3.14 3.20 3.80 12.93
Topography: Level Level Level Level Level Level
Land Price per Sq. Ft. $9.06 $9.50 $10.19 $11.97 $11.91 Price per Acre $394,737 $414,013 $443,750 $521,447 $518,948 #17..
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JUST COMPENSATION CALCULATIONS
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 23 Given the evidence of the adjusted body of data, a unit value of $8.00 per square foot is applied to the unburdened subject larger parcel as vacant land. The easement burdening the existing 2,500 square foot well site causes a 99% diminution in value to that area leaving a value, “before”, of the burdened area of $0.08 per square foot for the burdened portion of the larger parcel. This leaves the unit value of the site, overall, in the “before” condition of $7.95 per square foot.
SALES COMPARISON APPROACH CONCLUSION
With the above information in hand, the estimate of market value by the Sales Comparison Approach is summarized here.
Note: Totals may not be exact due to rounding.
Land Sales
Adjustment Table
Sale Number Housing Authority of Stanislaus CountyEmpire, CA - 8.75 Acres L1 L2 L3 L4 L5
1. Real Property Rights Fee Simple Similar Similar Similar Similar Similar
2. Financing Cash Similar Similar Similar Similar Similar
3. Sale Conditions Arm's-Length Similar Similar Similar Similar Similar
4. Immediate Expenses none Similar Similar Similar Similar Similar
5. Mkt Conditions (time) 6/28/2023 Adjust: 10% Adjust: 7% Adjust: 7% Adjust: 7% Adjust: 6%
6. Location Average Sl. Superior Superior Sl. Superior Sl. Superior Similar
7. Physical Characteristics
Access Fee Simple Similar Similar Similar Similar Similar Size 8.75 Sl. Superior Sl. Superior Sl. Superior Sl. Superior Similar Zoning/Dev. Density Med. Density Residential Similar Similar Similar Similar Superior
9. Use (Zoning) P-D 340 Similar Similar Similar Similar Similar Overall Comparison Superior Superior Superior Superior Superior Indicator for Subject Less than Less than Less than Less than Less than Land Price per Sq. Ft. $9.95 $10.15 $10.87 $12.76 $12.68 Price per Acre $433,398 $441,979 $473,282 $555,853 $552,376 Sales Comparison Approach
Vacant Land Unit $ / Unit Value
Vacant Land-Burdened & Unburdened 381,150.00 sq. ft. $7.95 $3,029,400 SubTotal Vacant Land 381,150.00 sq. ft. $7.95 $3,029,400 Total Indicated Value 381,150.00 sq. ft. $7.95 $3,029,400 #17..
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JUST COMPENSATION CALCULATIONS
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 24 Cost Approach
The Cost Approach is a meaningful approach to the value the improvements to the subject property that are located inside of the permanent easement.
• The improvements are in relatively good condition and are appropriate to the highest and best use, as improved.
• The replacement cost of the improvements is readily available from Marshall Valuation sources. • There are no functional or economic obsolescence impacts on the improvements. • The improvements will be removed from the land to build the project; thus, they will have no value contribution in the “after” condition.
A Cost Approach was also completed to support the contributor market value of the improvement that are located within the easement area. Because there was no impact on any improvements located on the remainder property outside of the easement, those improvements were not valued.
Replacement Costs New (RCN) for the subject improvements were obtained from the traditional methods, such as the Marshall & Swift Cost Handbook (M&S), as well as from other actual construction projects in the area.
Replacement costs vary greatly and depend on many factors, such as building size, quality, utility, aesthetics, time of construction, soil and site conditions, location, design, materials, and a host of other factors. Construction costs have escalated in recent years as requirements for wastewater management and seismic standards have increased, as well as the demand for new construction.
Depreciation is derived from the market, when possible. Given the scope of this assignment and the fact that only site improvement was valued, the Marshall Age-Life method was used for physical depreciation. The concrete driveway serves only the well site and not the improvement on the remainder site. Therefore, it is the appraiser’s opinion that the concrete driveway has no contributory market value to the overall site. The contributory value of the driveway was zeroed out by applying 100% in obsolescence to the driveway value in place.
The analysis of the market value of the improvements in the easement are is developed as follows. #17..
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CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 25 Just Compensation Calculations
The final calculations for just compensation are summarized here. First, the market value of the whole property before any consideration of the project. In this case, only the contributory market value of the improvement that are located in the acquisition area will be considered.
The permanent easement does not allow any use of the area in the “after” condition. The area will be fenced and improved with the water treatment facility. The loss in value is considered to equal 99% of the fee value of the underlying vacant land, plus 100% of the contributory value of the improvements.
The project causes no issues with the property that create severance or need a cure. The appraisal is not considering any impact to the remainder as the scope of the appraisal assignment was to not consider any impact to the remainder site.
After the project impacts the property is valued as follows.
There is no impact of the project acquisition on the remainder value of the land and improvement because the appraisal assignment excluded any consideration of impacts to the remainder.. Thus, there is no severance nor costs to cure issues estimated here.
1. Value of the Whole Before Acquisition
Larger Parcel Market Value-Unburdened Fee $8.00 per Square Foot × 378,650.00 Square Feet = $3,029,200.00 Larger Parcel Market Value-Burdened Fee $0.08 per Square Foot × 2,500.00 Square Feet = $200.00 Improvements In the Take Area $11,313.00
Value of the Whole Before Acquisition $7.98 per Sq. Ft. × 381,150.00 Square Feet = $3,040,713.00
2. Value of the Portion Acquired (Take)
Proposed Fee Acquisition Acquired ($8 x 99%) = $8.00 per Square Foot × 1,820.00 Square Feet = $14,560.00 Fee Acquisition - Burdened Site-Existing 50' X 50' Well Easement $0.08 per Square Foot × 2,500.00 Square Feet = $200.00 Loss of Improvement Value in Take Area $11,313.00
Value of the Part Acquired as Part of the Whole $26,073.00
3. Value of the Remainder After Acquisition (no damages or costs to cure) Remainder Value - Unburdened Land $8.00 per Square Foot × 376,830.00 Square Feet = $3,014,640.00 Improvements In the Take Area $0.00
Value of the Remainder as Part of the Whole: $8.00 per Sq. Ft. × 376,830.00 Square Feet = $3,014,640.00 Total Diminution in Market Value $26,073.00
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CERTIFICATION OF APPRAISAL
FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 26 Appraiser’s Certification
The signor(s) certifies that, to the best of their knowledge and belief:
-The statements of fact contained in this report are true and correct. -The reported analyses, opinions and conclusions are limited only by the reported assumptions and limiting conditions, and are our personal, impartial and unbiased professional analyses, opinions and conclusions. -The signors have no present or prospective interest in the property that is the subject of this report, and no personal interest with respect to the parties involved.
-The signors have no bias with respect to the property that is the subject of this report, or to the parties involved with this assignment.
-Engagement in this assignment was not contingent upon developing or reporting predetermined results. -Compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal. -The analyses, opinions and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice (USPAP) and the code of ethics of the American Society of Farm Managers and Rural Appraisers (ASFMRA) or the Appraisal Institute (AI). This report is subject to confidential peer review for standards and ethics compliance.
-The ASFMRA and AI maintain continuing education programs requirement for designated appraisers. Designated signors are currently certified under this program.
-This appraisal assignment was not based on a requested minimum valuation, a specific valuation, or any approval of a loan.
-Doug Chapman has made a personal observation of the property that is the subject of this report -The appraiser(s) have not performed services on the property as an appraiser(s) within three years. No services have been performed in any other capacity.
-this appraiser(s) is/are certified by the state as Certified General Real Estate Appraiser(s) with certificates and expiration dates seen below.
- No other person provided significant real property appraisal assistance to the signatories of this certification. _______________________________
Doug Chapman
Valuation Services Director | Agriculture Specialty Practice California Certified General Appraiser: AG3005429
Oregon Certified General Appraiser: C001475
Washington Certified General Appraiser: 21018193
(740) 590-2726
[email protected]
_______________________________
Charles P. "Chuck" Wells, MAI
Senior Valuation Specialist | Agriculture Specialty Practice Tennessee Certified General Appraiser:6113
Oregon Certified General Appraiser: C001184
Washington Certified General Appraiser: 1102502 (503) 580 3005
[email protected]
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ASSUMPTIONS & LIMITING CONDITIONS
FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 27 Assumptions & Limiting Conditions
This appraisal is subject to the following assumptions and limiting conditions:
• A survey of the subject property may or may not have been provided. County parcel maps and legal descriptions in the public record are assumed to accurately reflect the boundaries of the property. If further verification is required, a survey by a registered surveyor is advised. • No responsibility for matters legal in character have been assumed. No opinion has been rendered as to title, which is assumed to be marketable. All existing liens, encumbrances, and assessments have been disregarded, unless otherwise noted, and the property is appraised as though free and clear, under responsible ownership, and competent management.
• The exhibits in this report are included to assist the reader in visualizing the property. No survey of the property has been made and no responsibility is assumed in connection with such matters. • Unless otherwise noted herein, it is assumed that there are no encroachments, zoning, or restrictive violations existing in the subject property.
• No responsibility has been assumed for determining if the property requires environmental approval by the appropriate governing agencies, nor if it is in violation thereof, unless otherwise noted herein. • Information presented in this report has been obtained from reliable sources, and it is assumed that the information is accurate.
• This report shall be used for its intended purpose only, and by the party to whom it is addressed. Possession of this report does not include the right of publication. • The appraiser may not be required to give testimony or to appear in court by reason of this appraisal, with reference to the property in question, unless prior arrangements have been made therefore. • The statements of value and all conclusions shall apply as of the dates shown herein. • There is no present or contemplated future interest in the property by the appraiser which is not specifically disclosed in this report.
• Without the written consent or approval of the author neither all, nor any part of the contents of this report shall be conveyed to the public through advertising, public relations, news, sales, or other media. This applies particularly to value conclusions and to the identity of the appraiser and the firm with which the appraiser is connected.
• This report must be used in its entirety. Reliance on any portion of the report independent of others, may lead the reader to erroneous conclusions regarding the opinions expressed herein. Unless approval is provided by the author, no portion of the report stands alone. • The valuation stated herein assumes professional and competent management and operation of the property throughout the lifetime of the improvements, with an adequate maintenance and repair program in conformance with typical industry standards for the use of the property. • The liability of the appraiser, its principals, agents, and employees is limited to the client. Further, there is no accountability, obligation, or liability to any third party. If this report is placed into possession of anyone other than the client, the client shall make such party aware of all limiting conditions and assumptions of the assignment and related discussions. The appraiser is in no way responsible for any costs incurred to discover or correct any deficiency in the property.
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ASSUMPTIONS & LIMITING CONDITIONS
CONTINUED FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 28 • The appraiser is not qualified to detect the presence of toxic or hazardous substances or materials which may influence or be associated with the property or any adjacent properties, has made no investigation or analysis as to the presence of such materials, and expressly disclaims any duty to note the degree of fault.
The appraiser, shall not be liable for any costs, expenses, assessments, or penalties, or diminution in value, property damage, or personal injury (including death) resulting from or otherwise attributable to toxic or hazardous substances or materials, including without limitation hazardous waste, asbestos material, formaldehyde, or any smoke, vapors, soot, fumes, acids, alkalis, toxic chemicals, liquids, solids or gasses, waste materials or other irritants, contaminants or pollutants. • The appraiser assumes no responsibility for determining if the subject property complies with the Americans with Disabilities Act (ADA). The appraiser, shall not be liable for any costs, expenses, assessments, penalties or diminution in value resulting from non-compliance. This appraisal assumes that the subject meets an acceptable level of compliance with ADA standards; if the subject is not in compliance, the eventual renovation costs and/or penalties would negatively impact the present value of the subject. If the magnitude and time of the cost were known today, they would be reduced from the reported value conclusion. • An on-site observation of the subject property was conducted. No evidence of asbestos materials on-site was noted. A Phase 1 Environmental Assessment was not provided for this analysis. This analysis assumes that no asbestos or other hazardous materials are stored or found in or on the subject property. If evidence of hazardous materials of any kind occurs, the reader should seek qualified professional assistance. If hazardous materials are discovered and if future market conditions indicate an impact on value and increased perceived risk, a revision of the concluded values may be necessary. • A detailed soils study was not provided for this analysis unless noted in the main body of the report. The subject's soils and sub-soil conditions are assumed to be suitable for structures based upon a visual observation, which did not indicate evidence of excessive settling or unstable soils. No certification is made regarding the stability or suitability of the soil or sub-soil conditions. • This analysis assumes that the financial information provided for this appraisal, including historical income and expense statements; accurately reflect the current and historical operations of the subject property. • This analysis assumes that the physical information provided for this appraisal accurately reflects the improvements on the property. These items may include, but are not limited to, varieties, rootstocks, and age of permanent crops, yields of crops grown, depth and productivity of wells, water quality and capacities of reservoirs, size and age of structures. Only a visual surface observation has been performed. While attempts are made to identify and verify such improvements, many true verifications can only be done by third-party experts or laboratory testing. Such testing is beyond the scope of this assignment. • Unless otherwise noted in the report, crops grown on the property are assumed to be free of maladies that could impact productivity, economic life, and value. While the appraiser(s) are trained to observe obvious and apparent defects, many maladies, such as virus or root diseases are difficult to detect from a surface observation. Some maladies can only be observed at certain periods of the growing season. Third-party experts in plant health should be consulted if further investigation is needed. #17..
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ADDENDA
FCH230228
© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 29 Addenda
QUALIFICATIONS
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SCOPE OF WORK
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© 2023 COLLIERS INTERNATIONAL VALUATION & ADVISORY SERVICES 36
PRELIMINARY TITLE REPORT
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Valuation Glossary
Valuation & Advisory Services
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Glossary
Unless specified otherwise, these definitions
were extracted from the following sources or
publications:
The Dictionary of Real Estate Appraisal,
Sixth Edition, Appraisal Institute, Chicago,
Illinois, 2015 (Dictionary).
Uniform Standards of Professional Appraisal
Practice, 2020-2021 Edition (USPAP).
The Appraisal of Real Estate, Fourteenth
Edition, Appraisal Institute, Chicago, Illinois,
2013 (14th Edition).
Absolute Net Lease
A lease in which the tenant pays all
expenses including structural maintenance,
building reserves, and management; often a
long-term lease to a credit tenant.
(Dictionary)
Ad Valorem Tax
A real estate tax based on the assessed
value of the property, which is not
necessarily equivalent to its market value.
(14th Edition)
Aggregate of Retail Values (ARV)
The sum of the separate and distinct market
value opinions for each of the units in a
condominium; subdivision development, or
portfolio of properties, as of the date of
valuation. The aggregate of retail values
does not represent the value of all the units
as sold together in a single transaction; it is
simply the total of the individual market value
conclusions. Also called sum of the retail
values. (Dictionary)
Arm’s-length Transaction
A transaction between unrelated parties who
are each acting in his or her own best
interest. (Dictionary)
As-Is Market Value
The estimate of the market value of real
property in its current physical condition,
use, and zoning as of the appraisal date.
(Dictionary)
Assessed Value
The value of a property according to the tax
rolls in ad valorem taxation; may be higher or
lower than market value, or based on an
assessment ratio that is a percentage of
market value. (14th Edition)
Average Daily Room Rate (ADR)
In the lodging industry, the net rooms
revenue derived from the sale of guest
rooms divided by the number of paid
occupied rooms. (Dictionary)
Band of Investment
A technique in which the capitalization rates
attributable to components of an investment
are weighted and combined to derive a
weighted-average rate attributable to the
total investment. (Dictionary)
Cash-Equivalent Price
The price of a property with nonmarket
financing expressed as the price that would
have been paid in an all-cash sale.
(Dictionary)
Common Area
The total area within a property that is not
designed for sale or rental but is available for
common use by all owners, tenants, or their
invitees, e.g., parking and its appurtenances,
malls, sidewalks, landscaped areas,
recreation areas, public toilets, truck and
service facilities. (Dictionary)
Contract Rent
The actual rental income specified in a lease.
(14th Edition)
Cost Approach
A set of procedures through which a value
indication is derived for the fee simple
interest in a property by estimating the
current cost to construct a reproduction of (or
replacement for) the existing structure,
including an entrepreneurial incentive;
deducting depreciation from the total cost;
and adding the estimated land value.
Adjustments may then be made to the
indicated fee simple value of the subject
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Valuation Glossary
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property to reflect the value of the property
interest being appraised. (14th Edition)
Curable Functional Obsolescence
An element of depreciation; a curable defect
caused by a flaw in the structure, materials,
or design, which can be practically and
economically corrected. (Dictionary)
Debt Coverage Ratio (DCR)
The ratio of net operating income to annual
debt service, which measures the relative
ability of a property to meet its debt service
out of net operating income; also called debt
service coverage ratio (DSCR). (Dictionary)
Deferred Maintenance
Items of wear and tear on a property that
should be fixed now to protect the value or
income-producing ability of a property.
(Dictionary)
Depreciation
In appraisal, a loss in property value from
any cause; the difference between the cost
of an improvement on the effective date of
the appraisal and the market value of the
improvement on the same date. (Dictionary)
Direct Costs
Expenditures for the labor and materials
used in the construction of improvements;
also called hard costs. (Dictionary)
Discounted Cash Flow (DCF) Analysis
The procedure in which a discount rate is
applied to a set of projected income streams
and a reversion. The analyst specifies the
quantity, variability, timing, and duration of
the income streams and the quantity and
timing of the reversion, and discounts each
to its present value at a specified yield rate.
(Dictionary)
Discount Rate
A rate of return on capital used to convert
future payments or receipts into present
value; usually considered to be a synonym
for yield rate. (Dictionary)
Disposition Value
The most probable price that a specified
interest in property should bring under the
following conditions:
1. Consummation of a sale within a
specified time, which is shorter than the
typical exposure time for such a property
in that market.
2. The property is subjected to market
conditions prevailing as of the date of
valuation.
3. Both the buyer and seller are acting
prudently and knowledgeably.
4. The seller is under compulsion to sell.
5. The buyer is typically motivated.
6. Both parties are acting in what they
consider their best interests.
7. An adequate marketing effort will be
made during the exposure time.
8. Payment will be made in cash in U.S.
dollars (or the local currency) or in terms
of financial arrangements comparable
thereto.
9. The price represents the normal
consideration for the property sold,
unaffected by special or creative
financing or sales concessions granted
by anyone associated with the sale.
This definition can also be modified to
provide for valuation with specified financing
terms. (Dictionary)
Easement
The right to use another’s land for a stated
purpose. Access or right-of-way easements
may be acquired by private parties or public
utilities. Governments may be the
beneficiaries of easements placed on
privately owned land that is dedicated to
conservation, open space, or preservation.
(14th Edition)
Economic Life
The period over which improvements to real
property contribute to property value.
(Dictionary)
Effective Age
The age of property that is based on the
amount of observed deterioration and
obsolescence it has sustained, which may
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be different from its chronological age.
(Dictionary)
Effective Date
The date on which the appraisal or review
opinion applies (SVP) (Dictionary)
Effective Gross Income (EGI)
The anticipated income from all operations of
the real estate after an allowance is made for
vacancy and collection losses and an
addition is made for any other income.
(Dictionary)
Effective Gross Income Multiplier (EGIM)
The ratio between the sale price (or value) of
a property and its effective gross income.
(Dictionary)
Effective Rent
The rental rate net of financial concessions
such as periods of free rent during the lease
term and above or below-market tenant
improvements (TIs). (14th Edition)
Eminent Domain
The right of government to take private
property for public use upon the payment of
just compensation. The Fifth Amendment of
the U.S. Constitution, also known as the
takings clause, guarantees payment of just
compensation upon appropriation of private
property. (Dictionary)
Entrepreneurial Incentive
The amount an entrepreneur expects to
receive for his or her contribution to a project.
Entrepreneurial incentive may be
distinguished from entrepreneurial profit
(often called developer’s profit) in that it is the
expectation of future profit as opposed to the
profit actually earned on a development or
improvement. (Dictionary)
Entrepreneurial Profit
A market-derived figure that represents the
amount an entrepreneur receives for his or
her contribution to a project and risk; the
difference between the total cost of a
property (cost of development) and its
market value (property value after
completion), which represents the
entrepreneur's compensation for the risk and
expertise associated with development. An
entrepreneur is motivated by the prospect of
future value enhancement (i.e., the
entrepreneurial incentive). An entrepreneur
who successfully creates value through new
development, expansion, renovation, or an
innovative change of use is rewarded by
entrepreneurial profit. Entrepreneurs may
also fail and suffer losses. (Dictionary)
Excess Land
Land that is not needed to serve or support
the existing improvement. The highest and
best use of the excess land may or may not
be the same as the highest and best use of
the improved parcel. Excess land has the
potential to be sold separately and is valued
separately. (Dictionary)
Excess Rent
The amount by which contract rent exceeds
market rent at the time of the appraisal;
created by a lease favorable to the landlord
(lessor) and may reflect unusual
management, unknowledgeable or
unusually motivated parties, a lease
execution in an earlier, stronger rental
market, or an agreement of the parties. Due
to the higher risk inherent in the receipt of
excess rent, it may be calculated separately
and capitalized or discounted at a higher rate
in the income capitalization approach. (14th
Edition)
Expense Stop
A clause in a lease that limits the landlord's
expense obligation, which results in the
lessee paying any operating expenses
above a stated level or amount. (Dictionary)
Exposure Time
An opinion, based on supporting market
data, of the length of time that the property
interest being appraised would have been
offered on the market prior to the
hypothetical consummation of a sale at
market value on the effective date of the
appraisal. (USPAP)
External Obsolescence
A type of depreciation; a diminution in value
caused by negative external influences and
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Valuation Glossary
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generally incurable on the part of the owner,
landlord, or tenant. The external influence
may be temporary or permanent.
(Dictionary)
Extraordinary Assumption
An assignment-specific assumption as of the
effective date regarding uncertain
information used in an analysis which, if
found to be false, could alter the appraiser's
opinions or conclusions. Uncertain
information might include physical, legal, or
economic characteristics of the subject
property; or conditions external to the
property, such as market conditions or
trends; or the integrity of data used in an
analysis. An extraordinary assumption may
be used in an assignment only if:
• It is required to properly develop credible
opinions and conclusions;
• The appraiser has a reasonable basis for
the extraordinary assumption;
• Use of the extraordinary assumption results
in a credible analysis; and
• The appraiser complies with the disclosure
requirements set forth in USPAP for
extraordinary assumptions. (USPAP)
Fair Market Value
In nontechnical usage, a term that is
equivalent to the contemporary usage of
market value.
As used in condemnation, litigation, income
tax, and property tax situations, a term that
is similar in concept to market value but may
be defined explicitly by the relevant agency.
(Dictionary)
Feasibility Analysis
A study of the cost-benefit relationship of an
economic endeavor. (USPAP)
Fee Simple Estate
Absolute ownership unencumbered by any
other interest or estate, subject only to the
limitations imposed by the governmental
powers of taxation, eminent domain, police
power and escheat. (Dictionary)
Floor Area Ratio (FAR)
The relationship between the above-ground
floor area of a building, as described by the
zoning or building code, and the area of the
plot on which it stands; in planning and
zoning, often expressed as a decimal, e.g., a
ratio of 2.0 indicates that the permissible
floor area of a building is twice the total land
area. (Dictionary)
Functional Obsolescence
The impairment of functional capacity of
improvements according to market tastes
and standards. (Dictionary)
Functional Utility
The ability of a property or building to be
useful and to perform the function for which
it is intended according to current market
tastes and standards; the efficiency of a
building’s use in terms of architectural style,
design and layout, traffic patterns, and the
size and type of rooms. (Dictionary)
Furniture, Fixtures, and Equipment
(FF&E)
Business trade fixtures and personal
property, exclusive of inventory. (Dictionary)
Going-concern
An established and operating business
having an indefinite future life. (Dictionary)
Going-concern Value
An outdated label for the market value of all
the tangible and intangible assets of an
established and operating business with an
indefinite life, as if sold in aggregate; more
accurately termed the market value of the
going concern or market value of the total
assets of the business. (Dictionary)
Gross Building Area (GBA)
Total floor area of a building, excluding
unenclosed areas, measured from the
exterior of the walls of the above-grade area.
This includes mezzanines and basements if
and when typically included in the market
area of the type of property involved.
(Dictionary)
Gross Leasable Area (GLA) - Commercial
Total floor area designed for the occupancy
and exclusive use of tenants, including
basements and mezzanines; measured from
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the center of joint partitioning to the outside
wall surfaces. (Dictionary)
Gross Living Area (GLA) - Residential
Total area of finished, above-grade
residential area; calculated by measuring the
outside perimeter of the structure and
includes only finished, habitable, abovegrade living space. (Finished basements and attic areas are not generally included in total
gross living area. Local practices, however,
may differ.) (Dictionary)
Highest & Best Use
The reasonably probable use of property that
results in the highest value. The four criteria
that the highest and best use must meet are
legal permissibility, physical possibility,
financial feasibility, and maximum
productivity. The use of an asset that
maximizes its potential and that is possible,
legally permissible, and financially feasible.
The highest and best use may be for
continuation of an asset’s existing use or for
some alternative use. This is determined by
the use that a market participant would have
in mind for that asset when formulating the
price that it would be willing to bid (IVS).
(Dictionary)
Hypothetical Condition
A condition, directly related to a specific
assignment, which is contrary to what is
known by the appraiser to exist on the
effective date of the assignment results, but
is used for the purpose of analysis.
Hypothetical conditions are contrary to
known facts about physical, legal, or
economic characteristics of the subject
property; or about conditions external to the
property, such as market conditions or
trends; or about the integrity of data used in
an analysis. (USPAP)
Income Capitalization Approach
In the income capitalization approach, an
appraiser analyzes a property’s capacity to
generate future benefits and capitalizes the
income into an indication of present value.
The principle of anticipation is fundamental
to this approach. Techniques and
procedures from this approach are used to
analyze comparable sales data and to
measure obsolescence in the cost
approach. (14th Edition)
Incurable Functional Obsolescence
An element of depreciation; a defect caused
by a deficiency or superadequacy in the
structure, materials, or design that cannot be
practically or economically corrected as of
the effective date of the appraisal.
(Dictionary)
Indirect Costs
Expenditures or allowances for items other
than labor and materials that are necessary
for construction, but are not typically part of
the construction contract. Indirect costs may
include administrative costs, professional
fees, financing costs and the interest paid on
construction loans, taxes and the builder's or
developer's all-risk insurance during
construction, and marketing, sales, and
lease-up costs incurred to achieve
occupancy or sale. Also called soft costs.
(Dictionary)
Insurable Replacement Cost
The cost estimate, at current prices as of the
effective date of valuation, of a substitute for
the building being valued, using modern
materials and current standards, design and
layout for insurance coverage purposes
guaranteeing that damaged property is
replaced with a new property (i.e.,
depreciation is not deducted). (Dictionary)
Interim Use
The temporary use to which a site or
improved property is put until a different use
becomes maximally productive. (Dictionary)
Investment Value
The value of a property to a particular
investor or class of investors based on the
investor’s specific requirements. Investment
value may be different from market value
because it depends on a set of investment
criteria that are not necessarily typical of the
market. (Dictionary)
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Liquidation Value
The most probable price that a specified
interest in real property should bring under
the following conditions:
1. Consummation of a sale within a short
time period.
2. The property is subjected to market
conditions prevailing as of the date of
valuation.
3. Both the buyer and seller are acting
prudently and knowledgeably.
4. The seller is under extreme compulsion
to sell.
5. The buyer is typically motivated.
6. Both parties are acting in what they
consider to be their best interests.
7. A normal marketing effort is not possible
due to the brief exposure time.
8. Payment will be made in cash in U.S.
dollars (or the local currency) or in terms
of financial arrangements comparable
thereto.
9. The price represents the normal
consideration for the property sold,
unaffected by special or creative
financing or sales concessions granted
by anyone associated with the sale.
This definition can also be modified to
provide for valuation with specified financing
terms. (Dictionary)
Leased Fee Interest
The ownership interest held by the lessor,
which includes the right to receive the
contract rent specified in the lease plus the
reversion right when the lease expires.
(Dictionary)
Leasehold Interest
The right held by the lessee to use and
occupy real estate for a stated term and
under the conditions specified in the lease.
(Dictionary)
Legally Nonconforming Use
A use that was lawfully established and
maintained, but no longer conforms to the
use regulations of its current zoning; also
known as a grandfathered use. (Dictionary)
Market Area
The geographic region from which a majority
of demand comes and in which the majority
of competition is located. Depending on the
market, a market area may be further
subdivided into components such as
primary, secondary, and tertiary market
areas. (Dictionary)
Market Rent
The most probable rent that a property
should bring in a competitive and open
market reflecting the conditions and
restrictions of a specific lease agreement,
including the rental adjustment and
revaluation, permitted uses, use restrictions,
expense obligations, term, concessions,
renewal and purchase options, and tenant
improvements (TIs). (Dictionary)
Market Study
An analysis of the market conditions of
supply, demand, and pricing for a specific
property type in a specific area. (Dictionary)
Market Value (Most Common Non-FRT)
The most probable price, as of a specific
date, in cash, or in terms equivalent to cash,
or in other precisely revealed terms, for
which the specified property rights should
sell after reasonable exposure in a
competitive market under all conditions
requisite to a fair sale, with the buyer and
seller each acting prudently, knowledgeably,
and for self-interest, and assuming that
neither is under undue distress. (Dictionary)
Market Value (Interagency Guidelines)
The most probable price which a property
should bring in a competitive and open
market under all conditions requisite to a fair
sale, the buyer and seller each acting
prudently and knowledgeably, and assuming
the price is not affected by undue stimulus.
Implicit in this definition is the consummation
of a sale as of a specified date and the
passing of title from seller to buyer under
conditions whereby:
1. buyer and seller are typically motivated;
2. both parties are well informed or well
advised, and acting in what they
consider their own best interests;
#17..
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3. a reasonable time is allowed for
exposure in the open market;
4. payment is made in terms of cash in U.S.
dollars or in terms of financial
arrangements comparable thereto;
andthe price represents the normal
consideration for the property sold
unaffected by special or creative
financing or sales concessions granted
by anyone associated with the sale.
(Interagency Appraisal and Evaluation
Guidelines, December 10, 2010, Federal
Register, Volume 75 Number 237, Page
77472)
Marketability Analysis
The study of how a specific property is
expected to perform in a specific market. A
marketability analysis expands on a market
analysis by addressing a specific
property.(Dictionary)
Neighborhood Analysis
The objective analysis of observable or
quantifiable data indicating discernible
patterns of urban growth, structure, and
change that may detract from or enhance
property values; focuses on four sets of
considerations that influence value: social,
economic, governmental, and environmental
factors. (Dictionary)
Net Operating Income (NOI)
The actual or anticipated net income that
remains after all operating expenses are
deducted from effective gross income but
before mortgage debt service and book
depreciation are deducted. Note: This
definition mirrors the convention used in
corporate finance and business valuation for
EBITDA (earnings before interest, taxes,
depreciation, and amortization). (14th
Edition)
Obsolescence
One cause of depreciation; an impairment of
desirability and usefulness caused by new
inventions, changes in design, improved
processes for production, or external factors
that make a property less desirable and
valuable for a continued use; may be either
functional or external. (Dictionary)
Off-site Costs
Costs incurred in the development of a
project, excluding on-site costs such as
grading and construction of the building and
other improvements; also called common
costs or off-site improvement costs.
(Dictionary)
On-site Costs
Costs incurred for the actual construction of
buildings and improvements on a particular
site. (Dictionary)
Overage Rent
The percentage rent paid over and above the
guaranteed minimum rent or base rent;
calculated as a percentage of sales in
excess of a specified breakeven sales
volume. (14th Edition)
Overall Capitalization Rate (OAR)
The relationship between a single year’s net
operating income expectancy and the total
property price or value. (Dictionary)
Parking Ratio
The ratio of parking area or parking spaces
to an economic or physical unit of
comparison. Minimum required parking
ratios for various land uses are often stated
in zoning ordinances.(Dictionary)
Potential Gross Income (PGI)
The total income attributable to property at
full occupancy before vacancy and operating
expenses are deducted. (Dictionary)
Potential Gross Income Multiplier (PGIM)
The ratio between the sale price (or value) of
a property and its annual potential gross
income. (Dictionary)
Present Value (PV)
The value of a future payment or series of
future payments discounted to the current
date or to time period zero. (Dictionary)
Prospective Opinion of Value
A value opinion effective as of a specified
future date. The term does not define a type
of value. Instead, it identifies a value opinion
as effective at some specific future date. An
#17..
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opinion of value as of a prospective date is
frequently sought in connection with projects
that are proposed, under construction, or
under conversion to a new use, or those that
have not achieved sellout or a stabilized
level of long-term occupancy. (Dictionary)
Qualitative Adjustment
An indication that one property is superior,
inferior, or the same as another property.
Note that the common usage of the term is a
misnomer in that an adjustment to the sale
price of a comparable property is not made.
Rather, the indication of a property’s
superiority or inferiority to another is used in
relative comparison analysis, bracketing,
and other forms of qualitative analysis.
(Dictionary)
Quantitative Adjustment
A numerical (dollar or percentage)
adjustment to the indicated value of the
comparable property to account for the effect
of a difference between two properties on
value. (Dictionary)
Rentable Area
The amount of space on which the rent is
based; calculated according to local practice.
(Dictionary)
Replacement Cost
The estimated cost to construct, at current
prices as of a specific date, a substitute for a
building or other improvements, using
modern materials and current standards,
design, and layout. (Dictionary)
Reproduction Cost
The estimated cost to construct, at current
prices as of the effective date of the
appraisal, an exact duplicate or replica of the
building being appraised, using the same
materials, construction standards, design,
layout, and quality of workmanship and
embodying all the deficiencies,
superadequacies, and obsolescence of the
subject building. (Dictionary)
Retrospective Value Opinion
A value opinion effective as of a specified
historical date. The term retrospective does
not define a type of value. Instead, it
identifies a value opinion as being effective
at some specific prior date. Value as of a
historical date is frequently sought in
connection with property tax appeals,
damage models, lease renegotiation,
deficiency judgments, estate tax, and
condemnation. Inclusion of the type of value
with this term is appropriate, e.g.,
“retrospective market value opinion.”
(Dictionary)
Sales Comparison Approach
The process of deriving a value indication for
the subject property by comparing sales of
similar properties to the property being
appraised, identifying appropriate units of
comparison, and making adjustments to the
sale prices (or unit prices, as appropriate) of
the comparable properties based on
relevant, market-derived elements of
comparison. The sales comparison
approach may be used to value improved
properties, vacant land, or land being
considered vacant when an adequate supply
of comparable sales is available. (Dictionary)
Scope of Work
The type and extent of research and analysis
in an appraisal or appraisal review
assignment. Scope of work includes, but is
not limited to:
• The extent to which the property is
identified;
• The extent to which tangible property is
inspected;
• The type and extent of data researched;
and
• The type and extent of analysis applied
to arrive at opinions or conclusions.
(USPAP)
Superadequacy
An excess in the capacity or quality of a
structure or structural component;
determined by market standards.
(Dictionary)
Surplus Land
Land that is not currently needed to support
the existing use but cannot be separated
from the property and sold off for another
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Valuation Glossary
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use. Surplus land does not have an
independent highest and best use and may
or may not contribute value to the improved
parcel. (Dictionary)
Tenant Improvements (TIs)
1. Fixed improvements to the land or
structures installed for use by a lessee.
2. The original installation of finished tenant
space in a construction project; subject to
periodic change for succeeding tenants.
(Dictionary)
Triple Net Lease
An alternative term for a type of net lease. In
some markets, a net net net lease is defined
as a lease in which the tenant assumes all
expenses (fixed and variable) of operating a
property except that the landlord is
responsible for structural maintenance,
building reserves, and management. Also
called NNN, triple net lease, or fully net
lease. (Dictionary)
Usable Area
The area that is actually used by the tenants
measured from the inside of the exterior
walls to the inside of walls separating the
space from hallways and common areas.
(Dictionary)
Useful Life
The period of time over which a structure or
a component of a property may reasonably
be expected to perform the function for which
it was designed. (Dictionary)
Vacancy and Collection Loss
A deduction from potential gross income
(PGI) made to reflect income deductions due
to vacancies, tenant turnover, and nonpayment of rent; also called vacancy and credit loss or vacancy and contingency loss.
(Dictionary)
Yield Capitalization
A method used to convert future benefits into
present value by 1) discounting each future
benefit at an appropriate yield rate, or 2)
developing an overall rate that explicitly
reflects the investment's income pattern,
holding period, value change, and yield rate.
(Dictionary)
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VALUATION & ADVISORY SERVICES Colliers International
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Real estate valuations play a pivotal role
in today’s business climate. An accurate
and well supported opinion of property
value can mean the difference between
reaching a critical goal—securing a loan,
closing a sale, reporting to investors,
choosing the best asset—or failing to
achieve it altogether.
Colliers Valuation & Advisory Services’
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valuation report can be a strategic
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property’s unique characteristics and the
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Commitment to high-end client service,
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We go the extra mile for our clients,
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INFORMATION
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business decisions.
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FM SD SD
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D SD SD SCO
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OE OE OE OE OE OE OE OE OE OE OE OE OE OE OE OE OE
□ SOUTH AVENUE OE
OE LICENSE NO: DESIGN ENGINEER: SHEETDATE: JOB NO: DRAFTED BY: CHECKED BY: OF ORIGINAL SCALE SHOWN IS ONE INCH. ADJUST SCALE FOR REDUCED OR ENLARGED PLANS. 0 1" PHASE: PROJECT NO:
WELL 312 GAC TREATMENT SYSTEM
PROJECT
CITY OF MODESTO
MODESTO, CA
EXHIBIT
SITE LAYOUT ALTERNATIVE 1 RKB C70415 MAD 08/18/2023 246022001 246022001 ---- 11 1
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PRELIMINARY
NOT FOR CONSTRUCTION
8/21/2023
DATE No. REVISION BY
COPYRIGHT 2022 by PROVOST & PRITCHARD ENGINEERING
GROUP, INC. ALL RIGHTS RESERVED
The firm of Provost & Pritchard Engineering Group, Inc. expressly reserves its common law copyright and other applicable property rights in these plans. These plans are not to be reproduced, changed, or copied in any form or manner whatsoever, nor are they to be assigned to a third party without first obtaining the written permission and consent of Provost & Pritchard Engineering Group, Inc. In the event of unauthorized reuse of these plans by a third party, the third party shall hold the firm of Provost & Pritchard Engineering Group, Inc. harmless, and shall bear the cost of Provost & Pritchard Engineering Group, Inc.'s legal fees associated with defending and enforcing these rights.
FOR
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ONLY
455 W FIR AVENUE
CLOVIS, CALIFORNIA 93611-9166
559/449-2700 FAX 559/449-2715
https://provostandpritchard.com/ Know what's below. Call before you dig. WARNING POWER LINES OVERHEAD ANALYZER WASTE LINE SODIUM HYPOCHLORITE INJECTION POINT POST-TREATMENT SAMPLE PORT TO CHLORINE AND NITRATE ANALYZERS 4' 4.6' RELOCATED FUTURE IRRIGATION BOX RELOCATED PRESSURE SENSING BOX RELOCATED PUMP PRELUBE BOX 16' WIDE DOUBLE-LEAF ROLLING GATE 8' TALL CMU WALL NaOCl FEED GENERATOR M.C.C. CHLORINATION BUILDING BOUNDARY OF EASEMENT #17.. - 718 -
CITY OF MODESTO
COUNCIL AGENDA REPORT
DATE OF MEETING:
December 5, 2023
Date: November 2, 2023
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: William Wong, Director of Utilities
SUBJECT: Material Hauling Services
CONTACT: Manuel Martinez, Acting Water Division Manager, [email protected], 209-342-4592
DESCRIPTION:
Consider approving an Agreement for Material Hauling Services with Sekhon and Son Trucking, Inc. of Modesto, CA and California Materials of Stockton, CA for a total amount not to exceed $2,375,000 over five years. (Funding Source: Green Waste, Storm Drain, Surface Transportation, Wastewater and Water Fund)
STRATEGIC PLAN ELEMENT:
The recommended action supports the 2020-2025 City of Modesto Strategic Plan Initiatives, Goal D: Provide safe efficient, and reliable infrastructure through proactive community investment, maintenance, and sustainability efforts.
BACKGROUND:
The Public Works and Utilities Departments require material hauling services for asphalt, dirt, asphalt grindings, rock, road base material, and concrete. Compost, sewer, storm drain, water, and street construction operations generate large amounts of materials that must be transported to and from the jobsite. This usually requires multiple large tractor-trailer end dumps to haul the material away where it is stockpiled for recycling or reallocation. These services are also needed for the delivery of new materials to the jobsite. City departments do not have the trucks or the staffing to haul large amounts of materials when needed.
Due to the unpredictable nature of the work, it is not always possible for the divisions to know what their immediate need is. Departments assume the highest-need scenarios when estimating annual amounts needed for hauling. The current agreement includes Water, Wastewater, and Storm Drain Divisions from the Utilities Departments, along with Compost, Solid Waste, and Streets Divisions from the Public Works Department.
On July 10, 2018, by Resolution 2018-295, Council approved a two-year agreement with three one-year extension options with Destination Anywhere of Tracy, CA and California Materials #18..
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City Council, December 5, 2023
Material Hauling Services
Inc. of Stockton, CA for an annual cost of $364,500 and a total combined cost not to exceed $1,900,846 over five years. Resolution 2018-295 further authorized the Director of Finance to adjust agreement totals between vendors based on contractor’s availability and departmental needs, ensuring that the total overall cost did not change.
On May 9, 2023, the Director of Finance approved a First Amendment to the Agreement with Destination Anywhere and California Materials extending the previously approved end date by six months to a new end date of January 31, 2024. There was no increase in spending authority, therefore the combined cost through January 31, 2024, remained at a cost not to exceed $1,900,846.
DISCUSSION:
On May 19, 2023, the Purchasing Division issued Invitation for Bids (IFB) No. 2223-24, Material Hauling Services, on the City’s website. Prospective bidders were notified online and via email of the bid opportunity. Fourteen (14) companies chose to download the IFB document.
On June 20, 2023, bids were formally opened by the City Clerk and broadcast via Microsoft Teams Livestream. Three (3) companies chose to respond, one of which was local, and one being non-responsive.
To ensure continued services to the City, contracts may be awarded to more than one contractor to provide backup if the primary contractor is unable to meet the City’s needs. A secondary contractor may be awarded a specific job if the primary contractor is unable to perform the service, unable to complete the specific job within the time frame required by the City, or unable to maintain acceptable quality standards required by the City.
Based on providing responsive and responsible bids, staff recommends the award of bids for the furnishing of material hauling services for the Utilities and Public Works Departments, to the lowest bidder, Sekhon and Son Trucking, Inc. of Modesto, CA, as primary contractor, and the second lowest bidder, California Materials, Inc. of Stockton, CA, as secondary contractor for a two-year agreement with three one-year extension options at the sole discretion of the City.
Staff is requesting to give the Director of Finance the approval to adjust agreement totals between vendors based on availability and department needs, ensuring the overall combined totals between vendors does not exceed $475,000 annually or $2,375,000 over five years.
Modesto Municipal Code Section 8-3.203 generally requires all purchases which meet or exceed $100,000 for material, equipment, or contractual services to follow formal bid procedures. An award of bid and agreement for material hauling services for the Public Works and Utilities Departments with Sekhon and Son Trucking, Inc. of Modesto, CA and California Materials, Inc. of Stockton, CA conforms to the Modesto Municipal Code because the City complied with the formal bid procedures, and both vendors were the lowest responsive and responsible bidders.
FISCAL IMPACT:
Actual expenditures for the current material hauling services agreements are listed below:
#18..
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City Council, December 5, 2023
Material Hauling Services
Division CY1 CY2 CY3 CY4 CY5 CY5 Ext Total
Compost $14,356 $20,966 $44,071 $96,657 $64,528 $240,578 Solid Waste $29,126 $3,124 $32,250
Streets $36,412 $49,286 $ 14,880 $100,578
Storm Drains $1,226 $57,954 $31,798 $90,978
Wastewater $22,398 $22,398
Water $3,391 $21,605 $107,730 $209,892 $63,129 $91,286 $497,033 Total $41,029 $35,961 $238,173 $303,249 $194,708 $170,694 $983,814 With current pricing per IFB No. 2223-24 and accounting for potential Consumer Price Index (CPI) increases over the next five years, staff estimates an annual cost of $475,000 between both vendors, and a cost not to exceed $2,375,000 over five years. Funds are allocated across the following accounts:
Division Annual Expense Accounting String
PW Compost $ 75,000 4890-56030-53300
PW Streets $ 75,000 1700-53130-53110
UTL Water Maintenance $ 10,000 4100-45020-53300
UTL Water Construction $ 60,000 4100-45040-53300
UTL Water CIP $ 150,000 4180-49998/59999
UTL Sewer Collections $ 15,000 4210-44211-53100
UTL Storm Drain $ 60,000 4480-44222-53100
UTL Wastewater Plant
Operations $ 30,000 4210-44312-53100
Total $ 475,000
COMMITTEE RECOMMENDATION:
This item was presented to the Economic Development Committee on November 1, 2023, and was recommended to forward to Council for approval.
RECOMMENDED COUNCIL ACTION:
Staff Recommendations:
Resolution approving the Award of Bid and Agreements for Material Hauling Services to Sekhon and Son Trucking, Inc. of Modesto, CA and California Materials, Inc. of Stockton, CA for a two (2) year Agreement with three (3) one-year extension options, for an annual estimated amount of $475,000 and a total amount not to exceed $2,375,000 over five years, and authorizing the City Manager or his designee, to execute the Amendment.
Approved by:
William Wong, Director of Utilities
Joseph P. Lopez, City Manager
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City Council, December 5, 2023
Material Hauling Services
Attachments:
1. Resolution – Material Hauling Services
2. Agreement #255467 – Sekhon & Son Trucking
3. Agreement #255479 – California Materials
4. Exhibit B, Bid Submittal – California Materials
5. Exhibit B, Bid Submittal – Sekhon & Son
6. Exhibit C – IFB 2223-24, Material Hauling Services
7. Financial Interest Disclosure – California Materials
8. Financial Interest Disclosure – Sekhon & Son
9. Cost Abstract IFB 2223-24
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1 2023-12-05
MODESTO CITY COUNCIL
RESOLUTION NO. 2023-
RESOLUTION APPROVING THE AWARD OF BID AND AGREEMENTS FOR MATERIAL HAULING SERVICES TO SEKHON AND SON TRUCKING, INC.
OF MODESTO, CA AND CALIFORNIA MATERIALS INC. OF STOCKTON, CA FOR A TWO (2) YEAR AGREEMENT WITH THREE (3) ONE-YEAR
EXTENSION OPTIONS, FOR AN ANNUAL ESTIMATED AMOUNT OF $475,000 AND A TOTAL AMOUNT NOT TO EXCEED $2,375,000 OVER FIVE YEARS,
AND AUTHORIZING THE CITY MANAGER, OR HIS DESIGNEE, TO
EXECUTE THE AMENDMENT
WHEREAS, the Public Works and Utilities Departments require material hauling services for asphalt, dirt, asphalt grindings, rock, road base material and concrete, and WHEREAS, compost, sewer, storm drain, water and street construction operations generate large amounts of materials that must be transported to and from the jobsite, and WHEREAS, this usually requires multiple large tractor-trailer end dumps to haul the material away where it is stockpiled for recycling or reallocation, and WHEREAS, these services are also needed for the delivery of new materials to the jobsite, and
WHEREAS, City departments do not have the trucks or the staffing to haul large amounts of materials when needed, and
WHEREAS, on July 10, 2018, by Resolution 2018-295, Council approved a twoyear agreement with three one-year extension options with Destination Anywhere of Tracy, CA and California Materials, Inc. of Stockton, CA for an annual cost of $364,500 and a total combined cost not to exceed $1,900,846 over five years, and WHEREAS, on May 9, 2023, the Director of Finance approved a first amendment to the agreement with Destination Anywhere, and California Materials extending the approved end date by six months to a new end date of January 21, 2024. There was no #18..
- 723 -
2 2023-12-05
increase in spending authority, therefore the combined cost through January 31, 2024, remained at a cost not to exceed $1,900,846, and
WHEREAS, on May 19, 2023, the Purchasing Division issued Invitation for Bids (IFB) No.2223-24, Material Hauling Services on the City’s website, and WHEREAS, on June 20, 2023, bids were formally opened by the City Clerk and broadcast via Microsoft Teams Livestream, and
WHEREAS, Modesto Municipal Code Section 8-3.203 generally requires all purchases which meet or exceed $100,000 for material, equipment, or contractual services to be formally bid. An award of bid and agreement for material hauling services to Sekhon and Son Trucking, Inc. and California Materials, Stockton, CA conforms to the Modesto Municipal Code, because the City complied with the formal bid procedures and both vendors were the lowest responsive and responsible bidders, and WHEREAS, City staff recommends an award of bid and agreement for material hauling services to Sekhon and Son Trucking, Inc. of Modesto, CA and California Materials, Inc. of Stockton, CA for a two (2) year agreement with three (3) one-year extension options.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves the award of bid and Agreement for Material Hauling Services to Sekhon and Son Trucking, Inc. of Modesto, CA and California Materials, Inc., Stockton, CA for an estimated annual amount of $475,000 and a total not to exceed $2,375,000 over five years.
BE IT FURTHER RESOLVED that the City Manager, or his designee, is hereby authorized to execute the Agreement in a form approved by the City Attorney. #18..
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3 2023-12-05
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 5th day of December, 2023, by Councilmember ?, who moved its adoption, which motion being duly seconded by Councilmember ?, was upon roll call carried and the resolution adopted by the following vote:
AYES: Councilmembers:
NOES: Councilmembers:
ABSENT: Councilmembers:
ATTEST: _____________________________________
DIANE NAYARES-PEREZ, CMC, City Clerk
(SEAL)
APPROVED AS TO FORM:
BY: ____________________________________
JOSE M. SANCHEZ, City Attorney
#18..
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1 ANNUAL AGREEMENT - MATERIAL HAULING SERVICES
255467
This agreement, hereinafter called AGREEMENT, made and entered into in the City of Modesto, State of California, this ____ day of ____________________ , 2023, by and between the City of Modesto, a municipal corporation of the State of California, hereinafter called CITY, and SEKHON & SON TRUCKING, INC. of Stockton, CA, a corporation, hereinafter called CONTRACTOR.
W I T N E S S E T H:
WHEREAS, the Modesto City Council adopted Resolution No. 2023-_____ authorizing the Award of Bid and agreement for the MATERIAL HAULING SERVICES to CONTRACTOR, attached hereto as Exhibit “A” and made a part hereof, and
WHEREAS, the CONTRACTOR provided a responsive and responsible submittal that best meets the CITY needs, attached hereto as Exhibit “B”, and made a part hereof, and WHEREAS, the CITY and CONTRACTOR shall enter into an agreement for the MATERIAL HAULING SERVICES as described in IFB 2223-34 attached hereto as Exhibit “C” and made a part hereof (hereinafter called IFB).
NOW, THEREFORE, the parties hereto mutually agree as follows:
#18..
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2 1. THE WORK:
a. CONTRACTOR shall furnish all labor, materials, equipment, fuel, tools, licenses, and insurance necessary to perform and complete the required work as specified in Exhibit “C”, and in strict accordance with the conditions of the complete AGREEMENT. b. CONTRACTOR shall do and perform the work contemplated hereby in a good workmanlike manner under the direction of and to the satisfaction of the CITY Representative. c. CONTRACTOR shall maintain proper insurance with the CITY for the duration of the AGREEMENT.
d. CONTRACTOR shall maintain a CITY business license for the duration of the AGREEMENT.
e. CONTRACTOR shall furnish said services at the following AGREEMENT rates for an estimated annual amount of $350,000. The total amount paid by CITY to CONTRACTOR over the full term of the AGREEMENT shall not exceed $1,750,000. Unless the services provided are for a lump sum or flat fee, fees for work performed by CONTRACTOR on an hourly basis shall not exceed the amounts shown on Bid attached hereto as Exhibit B.
AGREEMENT PRICING
PAYMENT OF PREVAILING WAGES REQUIRED
Description Billable Hourly Rate
Material Hauling Services $116/HR
List diesel price at time of bid submittal $4.75/GALLON List percent of hourly unit rate associated with fuel cost 25% OF FUEL COST Labor Craft Direct Labor Rate Fringe Benefit Rate Labor Markup Price Per Service Driver – Dump Truck $19.00/HOUR $4.37/HOUR 0% $23.37/HOUR
2. PREVAILING WAGES:
In accordance with California Labor Code Section 1771, CONTRACTOR shall pay all workers, and shall ensure its subcontractors pay all of their workers, engaged in performing the services described in #18..
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3 Exhibit “C” not less than the general prevailing rate of per diem wages for work of a similar character in the locality in which the services described in Exhibit “C” are to be performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work as provided in the California Labor Code. In accordance with California Labor Code Section 1773.2, the City has obtained the general prevailing wages in the locality in which the services described in Exhibit “C” are to be performed for each craft or type of work needed to be as published by the State of California Department of Industrial Relations, Division of Labor Statistics and Research, a copy of which is on file in the CITY’s Purchasing Department and shall be made available on request. Contractor must comply with all applicable laws and regulations that apply to wages earned in performance of the services described in Exhibit “C”, including those set forth in Labor Code section 1770 et. seq. and in the IFB.
DIR Project ID#: 488102
3. CITY REPRESENTATIVE:
Jeremy Parnell, Water Division Superintendent, (209) 342-4599, [email protected] Purchasing Contact: Melvin Rosal, (209) 577-5420, [email protected] The CITY Representative is not authorized to commit the CITY to changes in specifications, requirements, or scope of work, changes in price(s), period of performance or delivery date(s) or method of shipment. Changes of a contractual or business nature shall be effective only by written change to the AGREEMENT, issued by the City of Modesto, Purchasing Division.
4. TERM OF AGREEMENT:
The term of the AGREEMENT shall be for a period of two years, with three one-year extension options at the sole discretion of CITY, for a total of up to five years.
Year 1: February 1, 2024 through January 31, 2025
Year 2: February 1, 2025 through January 31, 2026
Year 3: February 1, 2026 through January 31, 2027
Year 4: February 1, 2027 through January 31, 2028
Year 5: February 1, 2028 through January 31, 2029
#18..
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4 Pricing as set forth in Section 1.e. above shall remain firm for the first two years of the AGREEMENT.
Price increases for any subsequent AGREEMENT years following the second year, shall not exceed the percentage change in the Consumer Price Index (CPI) for West Urban Area in any one AGREEMENT year, and shall be negotiated through the Purchasing Division. Requests for price increases shall be submitted by CONTRACTOR in writing, 90 days prior to the annual anniversary date of the AGREEMENT to be effective for the subsequent year.
5. LIABILITY INSURANCE:
The CONTRACTOR shall provide, at its own expense, and maintain at all times the following insurance with insurance companies licensed in the State of California and shall provide evidence of such insurance to the CITY as may be required by the City Clerk of the CITY. The policies or certificates thereof shall provide that, at least 30 days prior to cancellation or material change in the policy, notices of same shall be given to the Risk Manager of the CITY by registered mail, return receipt requested, for all of the following stated insurance policies.
a. General Liability - insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and property damage. The insurance shall indicate on the certificate of insurance the following coverage and indicate the policy aggregate limit applying to: premises and operations; broad form contractual; independent contractors and subcontractors; products and completed operations; and/or professional liability.
b. Automobile Liability – insurance with a minimum limit of liability per occurrence of $2,000,000 for bodily injury and property damage and transportation related pollution liability. This insurance shall cover any automobile for bodily injury and property damage. c. Workers' Compensation - in compliance with the statutes of the State of California, plus employer's liability with a minimum limit of liability of $1,000,000 per accident for bodily injury or disease.
If at any time any of said policies shall be unsatisfactory to the CITY, as to form or substance or if a company issuing such policy shall be unsatisfactory to the CITY, the CONTRACTOR shall promptly obtain a #18..
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5 new policy, submit the same to the CITY’s Risk Manager for approval and submit a certificate thereof as hereinabove provided. Upon failure of the CONTRACTOR to furnish, deliver or maintain such insurance and certificates as above provided, this AGREEMENT, at the election of the CITY, may be forthwith declared suspended, or terminated. Failure of the CONTRACTOR to obtain and/or maintain any required insurance shall not relieve the CONTRACTOR from any liability under this Agreement, nor shall the insurance requirements be construed to conflict with or otherwise limit the obligations of the CONTRACTOR concerning indemnification.
The CITY, its agents, officers, officials, employees, and volunteers shall be named as an additional insured on all insurance policies required herein, except Workers' Compensation.
The Workers' Compensation insurer shall agree to waive all rights of subrogation against the CITY, its agents, officers, officials, employees, and volunteers for losses arising from work performed by CONTRACTOR for the CITY.
The CONTRACTOR’s insurance policy(ices) shall include a provision that the coverage is primary as respects the CITY; shall include no special limitations to coverage provided to additional insured; and, shall be placed with insurer(s) with acceptable Best's rating of A:VII or with approval of the CITY’s Risk Manager.
For any claims related to this AGREEMENT, the CONTRACTOR’s insurance coverage shall be primary insurance as respects CITY, its agents, officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by CITY, its agents, officers, officials, employees, and volunteers shall be excess of the CONTRACTOR’s insurance and shall not contribute with it.
6. PAYMENT:
CONTRACTOR shall invoice CITY not less than once per month based on the cost for services performed and reimbursable costs incurred prior to the invoice date. All invoices shall be paid in full the following payment terms within thirty days after completion and acceptance of the Services by the CITY, and receipt of a properly prepared invoice, CITY will pay CONTRACTOR Net 30 terms via CITY’s ePay Program. The CITY is exempt from payment of Federal Excise Tax, and all invoices shall be exclusive of such excise tax. #18..
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6 Invoice to: City of Modesto
Attn: Accounts Payable
P.O. Box 642
Modesto, CA 95353
Email to: [email protected]
At a minimum, invoices shall state the following:
• This AGREEMENT number: 255467
• CITY department/division name and address
• Billing period
• Service hours worked day and week
• Unit price, extended price, sales tax, and total
7. INDEMNITY:
The CONTRACTOR shall hold the CITY, its agents, officials, officers, employees, and volunteers, harmless from and save, defend and indemnify them against any and all claims, losses, liabilities, judgments or damages from every cause, including but not limited to injury to person or property or wrongful death, including reasonable costs and expenses of defense of any judicial or administrative action, arising directly or indirectly out of any negligent or intentional act or omission of CONTRACTOR, or its agents, officials, officers, employees, or volunteers relating to or during the performance of its obligations under this AGREEMENT. CONTRACTOR’s obligation to defend, indemnify, and hold the CITY, its agents, officials, officers, employees, or volunteers harmless under the provisions of this paragraph is not limited to or restricted by any requirement in this AGREEMENT for CONTRACTOR to procure and maintain a policy of insurance.
8. VENUE & GOVERNING LAW:
Venue for any dispute or claim arising or related to this AGREEMENT its performance, breach, or interpretation (including issues about its validity or enforceability), shall be exclusively in the Superior Court of Stanislaus County or the United States District Court for the Eastern District of California #18..
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7 This AGREEMENT shall be deemed made in, governed by, performed in, and construed and enforced in accordance with the laws of the State of California, without giving effect to its conflicts of laws provisions or principles.
9. ATTORNEYS’ FEES:
If a party to this AGREEMENT brings any action, including an action for declaratory relief, to enforce or interpret the provision of this AGREEMENT, the prevailing party shall be entitled to reasonable attorneys’ fees in addition to any other relief to which that party may be entitled. The court may set such fees in the same action or in a separate action brought for that purpose.
10. COMMENCEMENT AND COMPLETION OF THE WORK:
The work contemplated herein shall be commenced after the agreement administrator receives and has on file:
Proofs of insurance (approved by CITY Risk Manager); and Executed Agreement;
a. Resolution No.2023-_______;
b. CONTRACTOR Bid submittal;
c. IFB No. 2223-34
d. Contractor’s City of Modesto business license
11. TERMINATION OF SERVICES:
Termination for Default: In the event either party fails to perform under this AGREEMENT or breaches any condition contained herein, the other party shall notify in writing the breaching party of the nonperformance. Within 10 days after receipt of notification, the breaching party shall correct any non-performance to the reasonable satisfaction of the non-breaching party, or such other time as may be identified in the notice.
Failure to correct any non-performance shall allow the non-breaching party to terminate this AGREEMENT for cause.
#18..
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8 Termination by City for Convenience: The City may also terminate this AGREEMENT the Contractor's performance underthe Agreement, eitherin whole orin part, at its own discretion and without cause.
Post-Termination Procedure: Upon receipt of a written notice of termination pursuant to either of the foregoing paragraphs, the CONTRACTOR shall:
a. Cease its work as directed in the notice of termination as of the termination date and see to it that its employees, subcontractors, and agents are notified of such termination and act as specified in the notice of termination;
b. Terminate all orders and subcontracts except as necessary to complete any portion of the SERVICES that are not terminated;
c. If directed in writing by the CITY to do so, assign all right, title and interest in subcontracts and materials in progress to CITY, in which case the CITY will have the right at its discretion to settle, or pay any or all claims arising out of the termination of such, but in no event shall recovery by any CONTRACTOR or subcontractor include lost profits for portions of the SERVICES not completed or undertaken, including materials not delivered;
d. Deliver or otherwise make available to the CITY all data, drawings, specifications, reports, estimates,summaries and such otherinformation andmaterial asmayhave been accumulated by the CONTRACTOR in performing the SERVICES whether completed or in process; e. Settle outstanding liabilities and claims, subject to the approval of CITY; f. Complete performance of such part of the SERVICES as has not been terminated; g. Take such other actions as may be necessary, or as may be directed by the CITY for the protection and preservation of the SERVICES and/or property related to the SERVICES; h. If CITY so requests, and at CITY's cost, CONTRACTOR shall provide sufficient oral or written status reports to make CITY reasonably aware of the status of CONTRACTOR’s work on the SERVICES.
i. CONTRACTOR understands and agrees that CITY may, in CITY’s sole #18..
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9 discretion, refuse to pay CONTRACTOR for that portion of CONTRACTOR's SERVICES which were performed by CONTRACTOR on the project prior to the termination date and which remain unacceptable and/or not useful to CONTRACTOR as of the termination date.
CITY will pay CONTRACTOR for SERVICES actually completed prior to the receipt of the termination notice or otherwise completed in accordance with the notice of termination. The final payment to the CONTRACTOR after termination for convenience shall be limited to amounts due and owing under the AGREEMENT at time of termination, including the following:
a. The cost of settling and paying valid claims arising out of the termination of the SERVICES such as subcontractor agreements or contracts for materials; b. The AGREEMENT price allocable to the portion of the SERVICES properly performed or goods supplied to the work site by the CONTRACTOR as of the date of termination, as determined in accordance with the notice of termination, reduced by any sums previously paid to the CONTRACTOR for such SERVICES.
12. COMPLIANCE WITH ALL LAWS:
CONTRACTOR hereby agrees that CONTRACTOR and its subcontractors, if any, in the performance of the SERVICES described herein, will comply with all federal, state, county and municipal laws, rules and regulations which may be applicable to the work herein contracted for, whether now in existence or hereafter adopted.
13. FAILURE TO PERFORM SATISFACTORY WORK:
It is agreed and understood that if the CONTRACTOR fails to perform the SERVICES as specified herein, CITY's representative may:
a. Consent to accept such unsatisfactory service with an appropriate adjustment in contract price, based on established cost factors,
b. Have such required work done by CITY forces or otherwise, and charge the cost thereof to the CONTRACTOR, or
#18..
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10 c. Recommend termination of AGREEMENT between said the CONTRACTOR and the City of Modesto.
Those discrepancies and deficiencies in the SERVICES that remains uncorrected after the date set for correction may be the necessary justification for a billing adjustment in the month following the occurrence.
Unless otherwise negotiated, billing adjustments for this incomplete or uncorrected work shall be permanent retention of 100% of the estimated monthly cost for the SERVICES not corrected or completed.
14. ASSIGNMENT OF RIGHTS:
The CONTRACTOR offers and agrees, and will require all subcontractors and suppliers to agree, to assign to the CITY all rights, title, and interest in and to all causes of action it and they may have under Section 4 of the Clayton Act (15 United States code, Section 15) or under the Cartwright Act (Business and Professions Code, Section 16700 et seq.), arising from the acquisition of goods, services, or materials pursuant to this AGREEMENT or any allowed subcontract. The assignment made by CONTRACTOR and all assignments made by subcontractors and suppliers shall be made and become effective at the time the CITY makes final payment to the CONTRACTOR, without further acknowledgment by the parties (Government Code, Sections 4550-4554).
15. CITY PROCESS/PROCEDURE APPROVALS:
CITY approval of any process or procedure shall not relieve CONTRACTOR of its responsibility to furnish the required SERVICES meeting all specifications contained herein.
16. DIR REGISTRATION:
Pursuant to Labor Code section 1771.1, CONTRACTOR may not engage in the performance of the Services set forth in Exhibit “C”, unless currently registered and qualified to perform public work pursuant to Section 1725.5 thereof. As required in Section 7029.1 of the Business and Professions Code or by Section 10164 or 20103.5 of the Public Contract Code, that during term of this AGREEMENT, CONTRACTOR shall be registered to perform public work pursuant to Section 1725.5 thereof.
17. CONTRACTOR'S RESPONSIBILITY FOR DAMAGES:
#18..
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11 If CONTRACTOR damages any property belonging to the CITY or a third party, the CONTRACTOR will be required to make repairs immediately, at CONTRACTOR’s sole cost and expense, to the satisfaction of the CITY. In the event that CONTRACTOR fails to perform the necessary repairs, the CITY may either retain from the money due to CONTRACTOR an amount sufficient to repair the damage or perform the repairs and send an invoice to the CONTRACTOR for such costs, which shall be paid within thirty (30) days.
18. NOTICES:
Any notice, payment or instrument required or permitted by this AGREEMENT to be given or delivered to either party shall be deemed to have been received when personally delivered, or one calendar week following deposit of the same in any United States Post Office, registered or certified mail, postage prepaid, addressed as follows:
CONTRACTOR: California Materials Inc
3736 S. HWY 99
Stockton, CA 95215
CITY: City of Modesto
Purchasing Division
P.O. Box 642
Modesto, CA 95353
Each party may change its address for delivery of notice by delivering written notice of such change of address to the other party.
19. SIGNATORY(IES) FOR CONTRACTOR:
Each signatory for CONTRACTOR below warrants and represents that it is legally competent to, and have full authority to, execute the AGREEMENT.
20. QUANTITIES:
No minimum or maximum is guaranteed or implied.
#18..
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12 21. FUNDING:
All annual extensions are based upon continuous funding for that purpose by the City Council.
Failure to fund any annual extension shall result in an immediate termination of the AGREEMENT without redress.
22. OTHER GOVERNMENT/PUBLICLY FUNDED AGENCIES:
If mutually agreeable to all parties, the issuance of any resultant contract/purchase order referencing these specifications and modified by mutual agreement between all parties may be extended to other government or publicly funded agencies. It shall be understood that all terms and conditions as specified herein shall apply.
23. NON-DISCRIMINATION:
a. During the performance of this AGREEMENT, CONTRACTOR and any allowed subcontractors shall not unlawfully discriminate against any employee or applicant for employment because of race, color, ancestry, religion, sex, national origin, marital status, age, medical condition (cancer related), physical handicap (including AIDS), sexual orientation, or any other basis prohibited by Federal or California law. Equal employment opportunity extends, but is not limited to recruitment, compensation, benefits, layoff, termination, and all other conditions of employment. The CONTRACTOR and any allowed subcontractors shall ensure that the evaluation and treatment of their employees and applicants for employment are free of such discrimination.
The CONTRACTOR and any allowed subcontractors shall comply with the provisions of the Fair Employment and Housing Act (Government Code, Section 12900 et seq.) and the applicable regulations promulgated thereunder (California Administrative Code, Title 2, and Section 7285.0 et seq.). The applicable regulations of the Fair Employment and Housing Commission implementing Government Code, Section 12900, set forth in Chapter 5 of Division 4 of Title 2 of the California Administrative Code are incorporated into this contract by reference and made a part hereof as if set forth in full. #18..
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13 b. The CONTRACTOR and any allowed subcontractors shall give written notice of their obligations under this clause to labor organizations with which they have a collective bargaining or other agreement.
c. The CONTRACTOR shall include the nondiscrimination and compliance provisions of this clause in any allowed subcontracts to perform SERVICES. d. The Contractor shall permit access by representatives of the Department of Fair Employment and Housing and the CITY upon reasonable notice at any time during the normal business hours, but in no case less than 24 hours’ notice, to such of its books, records, accounts, other sources of information and its facilities as said Department or CITY shall require to ascertain compliance with this AGREEMENT. e. By executing this AGREEMENT, CONTRACTOR certifies that it shall follow and be in compliance with the Americans with Disabilities Act of 1990, the applicable administrative requirements promulgated in response thereto, and any other applicable Federal laws and regulations relating to handicap discrimination and participation and will continue to do so for at least the duration of the AGREEMENT and any extensions thereof.
24. CONTRACTOR LICENSES & PERMITS:
CONTRACTOR warrants and represents that it possesses and shall maintain all licenses, and shall secure and maintain all necessary permits, necessary to perform the SERVICES.
25. RECORDS:
All final versions of reports, data, maps, models, charts, studies, surveys, photographs, memoranda, plans, studies, specifications, records, files, or any other documents or materials, in electronic or any other form, that CONTRACTOR prepares or obtains pursuant to this Agreement and that relate to the matters covered hereunder shall be the property of the CITY. CONTRACTOR hereby agrees to deliver those documents to the CITY upon termination of the AGREEMENT, and the CITY may use, reuse, or otherwise dispose of the documents without CONTRACTOR’s permission. It is understood and agreed that the documents and other #18..
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14 materials, including but not limited to those described above, prepared pursuant to this AGREEMENT are prepared specifically for the City and are not necessarily suitable for any future or other use.
26. FACILITIES AND EQUIPMENT:
Except as set forth herein, CONTRACTOR shall, at its sole cost and expense, provide all facilities and equipment that may be necessary to perform the services required by this AGREEMENT. CITY shall make available to CONTRACTOR only the facilities and equipment listed in EXHIBIT “B” and “C”, and only under the terms and conditions set forth herein.
27. INDEPENDENT CONTRACTOR; NOT AGENT:
At all times during the term of this AGREEMENT, CONTRACTOR shall be an independent contractor and shall not be an employee of CITY. CITY shall have the right to control CONTRACTOR only insofar as the results of CONTRACTOR’s services rendered pursuant to this AGREEMENT. Except as City may specify in writing, CONTRACTOR shall have no authority, express or implied, to act on behalf of CITY in any capacity whatsoever as an agent. CONTRACTOR shall have no authority, express or implied, pursuant to this AGREEMENT to bind City to any obligation whatsoever.
28. DRUG FREE WORKPLACE:
CONTRACTOR certifies that it is following and in compliance with Sections 8350 - 8355 of Chapter 5.5 of the Government Code, Drug Free Workplace Act whereby each person or organization awarded a contract/purchase order or grant for the procurement of any property or service from any state agency (city) shall certify to the contracting or granting agency that it will provide a drug free workplace.
29. ASSIGNMENT:
Neither this AGREEMENT nor any SERVICES hereunder shall be subcontracted or assigned by CONTRACTOR without the prior written consent of the CITY in each and every instance. #18..
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15 30. WAIVER:
The waiver by any party to this AGREEMENT of a breach of any provision hereof shall be in writing and shall not operate or be construed as a waiver of any other or subsequent breach hereof unless specifically stated in writing.
31. HEADINGS NOT CONTROLLING:
Headings used in the Agreement are for reference purposes only and shall not be considered in construing this AGREEMENT.
32. MISCELLANEOUS:
Time is of the essence in CONTRACTOR’s performance under each provision of this AGREEMENT.
33. ENTIRE AGREEMENT:
This Agreement and its exhibits contain the entire understanding between CONTRACTOR and CITY. Additional or new terms contained in this AGREEMENT which vary from CONTRACTOR’S bid are controlling and are deemed accepted by CONTRACTOR by performance of any SERVICES or other commencement of performance hereunder. The terms and conditions of the IFB, attached hereto as Exhibit C, are incorporated herein. In the event of a conflict between the IFB and this AGREEMENT, this AGREEMENT shall control. All previous bids, offers and communications relative to this Agreement, whether oral or written, are hereby superseded except to the extent that they have been incorporated into this Agreement. No future waiver or exception to any of the terms, conditions, and provisions of this AGREEMENT shall be considered valid unless specifically agreed to in writing by the parties.
34. PARTIAL INVALIDITY:
If any provision in this AGREEMENT is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions shall nevertheless continue in full force without being impaired or invalidated in any way.
#18..
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16 IN WITNESS WHEREOF, the CITY OF MODESTO, a municipal corporation, has authorized the execution of this Agreement by its City Manager and attested by its City Clerk under authority of Resolution No. 2023-_______, adopted by the Council of the City of Modesto on the _____________ day of _____________________, 2023 and Sekhon and Son Trucking, Inc. has caused this Agreement to be duly executed.
#18..
- 741 -
1 ANNUAL AGREEMENT - MATERIAL HAULING SERVICES
255479
This agreement, hereinafter called AGREEMENT, made and entered into in the City of Modesto, State of California, this ____ day of ____________________ , 2023, by and between the City of Modesto, a municipal corporation of the State of California, hereinafter called CITY, and CALIFORNIA MATERIALS, INC. of Stockton, CA, a corporation, hereinafter called CONTRACTOR.
W I T N E S S E T H:
WHEREAS, the Modesto City Council adopted Resolution No. 2023-_____ authorizing the Award of Bid and agreement for the MATERIAL HAULING SERVICES to CONTRACTOR, attached hereto as Exhibit “A” and made a part hereof, and
WHEREAS, the CONTRACTOR provided a responsive and responsible submittal that best meets the CITY needs, attached hereto as Exhibit “B”, and made a part hereof, and WHEREAS, the CITY and CONTRACTOR shall enter into an agreement for the MATERIAL HAULING SERVICES as described in IFB 2223-34 attached hereto as Exhibit “C” and made a part hereof (hereinafter called IFB).
NOW, THEREFORE, the parties hereto mutually agree as follows:
#18..
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2 1. THE WORK:
a. CONTRACTOR shall furnish all labor, materials, equipment, fuel, tools, licenses, and insurance necessary to perform and complete the required work as specified in Exhibit “C”, and in strict accordance with the conditions of the complete AGREEMENT. b. CONTRACTOR shall do and perform the work contemplated hereby in a good workmanlike manner under the direction of and to the satisfaction of the CITY Representative. c. CONTRACTOR shall maintain proper insurance with the CITY for the duration of the AGREEMENT.
d. CONTRACTOR shall maintain a CITY business license for the duration of the AGREEMENT.
e. CONTRACTOR shall furnish said services at the following AGREEMENT rates for an estimated annual amount of $125,000. The total amount paid by CITY to CONTRACTOR over the full term of the AGREEMENT shall not exceed $625,000. Unless the services provided are for a lump sum or flat fee, fees for work performed by CONTRACTOR on an hourly basis shall not exceed the amounts shown on Bid attached hereto as Exhibit B.
AGREEMENT PRICING
PAYMENT OF PREVAILING WAGES REQUIRED
Description Billable Hourly Rate
Material Hauling Services $160/HR
List diesel price at time of bid submittal $4.75/GALLON List percent of hourly unit rate associated with fuel cost 27% OF FUEL COST Labor Craft Direct Labor Rate Fringe Benefit Rate Labor Markup Price Per Service Driver – Dump Truck $37.90/HOUR $31.87/HOUR 18% $82.33/HOUR
2. PREVAILING WAGES:
In accordance with California Labor Code Section 1771, CONTRACTOR shall pay all workers, and shall ensure its subcontractors pay all of their workers, engaged in performing the services described in #18..
- 743 -
3 Exhibit “C” not less than the general prevailing rate of per diem wages for work of a similar character in the locality in which the services described in Exhibit “C” are to be performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work as provided in the California Labor Code. In accordance with California Labor Code Section 1773.2, the City has obtained the general prevailing wages in the locality in which the services described in Exhibit “C” are to be performed for each craft or type of work needed to be as published by the State of California Department of Industrial Relations, Division of Labor Statistics and Research, a copy of which is on file in the CITY’s Purchasing Department and shall be made available on request. Contractor must comply with all applicable laws and regulations that apply to wages earned in performance of the services described in Exhibit “C”, including those set forth in Labor Code section 1770 et. seq. and in the IFB.
DIR Project ID#: 488102
3. CITY REPRESENTATIVE:
Jeremy Parnell, Water Division Superintendent, (209) 342-4599, [email protected] Purchasing Contact: Melvin Rosal, (209) 577-5420, [email protected] The CITY Representative is not authorized to commit the CITY to changes in specifications, requirements, or scope of work, changes in price(s), period of performance or delivery date(s) or method of shipment. Changes of a contractual or business nature shall be effective only by written change to the AGREEMENT, issued by the City of Modesto, Purchasing Division.
4. TERM OF AGREEMENT:
The term of the AGREEMENT shall be for a period of two years, with three one-year extension options at the sole discretion of CITY, for a total of up to five years.
Year 1: February 1, 2024 through January 31, 2025
Year 2: February 1, 2025 through January 31, 2026
Year 3: February 1, 2026 through January 31, 2027
Year 4: February 1, 2027 through January 31, 2028
Year 5: February 1, 2028 through January 31, 2029
#18..
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4 Pricing as set forth in Section 1.e. above shall remain firm for the first two years of the AGREEMENT.
Price increases for any subsequent AGREEMENT years following the second year, shall not exceed the percentage change in the Consumer Price Index (CPI) for West Urban Area in any one AGREEMENT year, and shall be negotiated through the Purchasing Division. Requests for price increases shall be submitted by CONTRACTOR in writing, 90 days prior to the annual anniversary date of the AGREEMENT to be effective for the subsequent year.
5. LIABILITY INSURANCE:
The CONTRACTOR shall provide, at its own expense, and maintain at all times the following insurance with insurance companies licensed in the State of California and shall provide evidence of such insurance to the CITY as may be required by the City Clerk of the CITY. The policies or certificates thereof shall provide that, at least 30 days prior to cancellation or material change in the policy, notices of same shall be given to the Risk Manager of the CITY by registered mail, return receipt requested, for all of the following stated insurance policies.
a. General Liability - insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and property damage. The insurance shall indicate on the certificate of insurance the following coverage and indicate the policy aggregate limit applying to: premises and operations; broad form contractual; independent contractors and subcontractors; products and completed operations; and/or professional liability.
b. Automobile Liability – insurance with a minimum limit of liability per occurrence of $2,000,000 for bodily injury and property damage and transportation related pollution liability. This insurance shall cover any automobile for bodily injury and property damage. c. Workers' Compensation - in compliance with the statutes of the State of California, plus employer's liability with a minimum limit of liability of $1,000,000 per accident for bodily injury or disease.
If at any time any of said policies shall be unsatisfactory to the CITY, as to form or substance or if a company issuing such policy shall be unsatisfactory to the CITY, the CONTRACTOR shall promptly obtain a #18..
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5 new policy, submit the same to the CITY’s Risk Manager for approval and submit a certificate thereof as hereinabove provided. Upon failure of the CONTRACTOR to furnish, deliver or maintain such insurance and certificates as above provided, this AGREEMENT, at the election of the CITY, may be forthwith declared suspended, or terminated. Failure of the CONTRACTOR to obtain and/or maintain any required insurance shall not relieve the CONTRACTOR from any liability under this Agreement, nor shall the insurance requirements be construed to conflict with or otherwise limit the obligations of the CONTRACTOR concerning indemnification.
The CITY, its agents, officers, officials, employees, and volunteers shall be named as an additional insured on all insurance policies required herein, except Workers' Compensation.
The Workers' Compensation insurer shall agree to waive all rights of subrogation against the CITY, its agents, officers, officials, employees, and volunteers for losses arising from work performed by CONTRACTOR for the CITY.
The CONTRACTOR’s insurance policy(ices) shall include a provision that the coverage is primary as respects the CITY; shall include no special limitations to coverage provided to additional insured; and, shall be placed with insurer(s) with acceptable Best's rating of A:VII or with approval of the CITY’s Risk Manager.
For any claims related to this AGREEMENT, the CONTRACTOR’s insurance coverage shall be primary insurance as respects CITY, its agents, officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by CITY, its agents, officers, officials, employees, and volunteers shall be excess of the CONTRACTOR’s insurance and shall not contribute with it.
6. PAYMENT:
CONTRACTOR shall invoice CITY not less than once per month based on the cost for services performed and reimbursable costs incurred prior to the invoice date. All invoices shall be paid in full the following payment terms within thirty days after completion and acceptance of the Services by the CITY, and receipt of a properly prepared invoice, CITY will pay CONTRACTOR Net 30 terms via CITY’s ePay Program. The CITY is exempt from payment of Federal Excise Tax, and all invoices shall be exclusive of such excise tax. #18..
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6 Invoice to: City of Modesto
Attn: Accounts Payable
P.O. Box 642
Modesto, CA 95353
Email to: [email protected]
At a minimum, invoices shall state the following:
• This AGREEMENT number: 255479
• CITY department/division name and address
• Billing period
• Service hours worked day and week
• Unit price, extended price, sales tax, and total
7. INDEMNITY:
The CONTRACTOR shall hold the CITY, its agents, officials, officers, employees, and volunteers, harmless from and save, defend and indemnify them against any and all claims, losses, liabilities, judgments or damages from every cause, including but not limited to injury to person or property or wrongful death, including reasonable costs and expenses of defense of any judicial or administrative action, arising directly or indirectly out of any negligent or intentional act or omission of CONTRACTOR, or its agents, officials, officers, employees, or volunteers relating to or during the performance of its obligations under this AGREEMENT. CONTRACTOR’s obligation to defend, indemnify, and hold the CITY, its agents, officials, officers, employees, or volunteers harmless under the provisions of this paragraph is not limited to or restricted by any requirement in this AGREEMENT for CONTRACTOR to procure and maintain a policy of insurance.
8. VENUE & GOVERNING LAW:
Venue for any dispute or claim arising or related to this AGREEMENT its performance, breach, or interpretation (including issues about its validity or enforceability), shall be exclusively in the Superior Court of Stanislaus County or the United States District Court for the Eastern District of California #18..
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7 This AGREEMENT shall be deemed made in, governed by, performed in, and construed and enforced in accordance with the laws of the State of California, without giving effect to its conflicts of laws provisions or principles.
9. ATTORNEYS’ FEES:
If a party to this AGREEMENT brings any action, including an action for declaratory relief, to enforce or interpret the provision of this AGREEMENT, the prevailing party shall be entitled to reasonable attorneys’ fees in addition to any other relief to which that party may be entitled. The court may set such fees in the same action or in a separate action brought for that purpose.
10. COMMENCEMENT AND COMPLETION OF THE WORK:
The work contemplated herein shall be commenced after the agreement administrator receives and has on file:
Proofs of insurance (approved by CITY Risk Manager); and Executed Agreement;
a. Resolution No.2023-_______;
b. CONTRACTOR Bid submittal;
c. IFB No. 2223-34
d. Contractor’s City of Modesto business license
11. TERMINATION OF SERVICES:
Termination for Default: In the event either party fails to perform under this AGREEMENT or breaches any condition contained herein, the other party shall notify in writing the breaching party of the nonperformance. Within 10 days after receipt of notification, the breaching party shall correct any non-performance to the reasonable satisfaction of the non-breaching party, or such other time as may be identified in the notice.
Failure to correct any non-performance shall allow the non-breaching party to terminate this AGREEMENT for cause.
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8 Termination by City for Convenience: The City may also terminate this AGREEMENT the Contractor's performance underthe Agreement, eitherin whole orin part, at its own discretion and without cause.
Post-Termination Procedure: Upon receipt of a written notice of termination pursuant to either of the foregoing paragraphs, the CONTRACTOR shall:
a. Cease its work as directed in the notice of termination as of the termination date and see to it that its employees, subcontractors, and agents are notified of such termination and act as specified in the notice of termination;
b. Terminate all orders and subcontracts except as necessary to complete any portion of the SERVICES that are not terminated;
c. If directed in writing by the CITY to do so, assign all right, title and interest in subcontracts and materials in progress to CITY, in which case the CITY will have the right at its discretion to settle, or pay any or all claims arising out of the termination of such, but in no event shall recovery by any CONTRACTOR or subcontractor include lost profits for portions of the SERVICES not completed or undertaken, including materials not delivered;
d. Deliver or otherwise make available to the CITY all data, drawings, specifications, reports, estimates,summaries and such otherinformation andmaterial asmayhave been accumulated by the CONTRACTOR in performing the SERVICES whether completed or in process; e. Settle outstanding liabilities and claims, subject to the approval of CITY; f. Complete performance of such part of the SERVICES as has not been terminated; g. Take such other actions as may be necessary, or as may be directed by the CITY for the protection and preservation of the SERVICES and/or property related to the SERVICES; h. If CITY so requests, and at CITY's cost, CONTRACTOR shall provide sufficient oral or written status reports to make CITY reasonably aware of the status of CONTRACTOR’s work on the SERVICES.
i. CONTRACTOR understands and agrees that CITY may, in CITY’s sole #18..
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9 discretion, refuse to pay CONTRACTOR for that portion of CONTRACTOR's SERVICES which were performed by CONTRACTOR on the project prior to the termination date and which remain unacceptable and/or not useful to CONTRACTOR as of the termination date.
CITY will pay CONTRACTOR for SERVICES actually completed prior to the receipt of the termination notice or otherwise completed in accordance with the notice of termination. The final payment to the CONTRACTOR after termination for convenience shall be limited to amounts due and owing under the AGREEMENT at time of termination, including the following:
a. The cost of settling and paying valid claims arising out of the termination of the SERVICES such as subcontractor agreements or contracts for materials; b. The AGREEMENT price allocable to the portion of the SERVICES properly performed or goods supplied to the work site by the CONTRACTOR as of the date of termination, as determined in accordance with the notice of termination, reduced by any sums previously paid to the CONTRACTOR for such SERVICES.
12. COMPLIANCE WITH ALL LAWS:
CONTRACTOR hereby agrees that CONTRACTOR and its subcontractors, if any, in the performance of the SERVICES described herein, will comply with all federal, state, county and municipal laws, rules and regulations which may be applicable to the work herein contracted for, whether now in existence or hereafter adopted.
13. FAILURE TO PERFORM SATISFACTORY WORK:
It is agreed and understood that if the CONTRACTOR fails to perform the SERVICES as specified herein, CITY's representative may:
a. Consent to accept such unsatisfactory service with an appropriate adjustment in contract price, based on established cost factors,
b. Have such required work done by CITY forces or otherwise, and charge the cost thereof to the CONTRACTOR, or
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10 c. Recommend termination of AGREEMENT between said the CONTRACTOR and the City of Modesto.
Those discrepancies and deficiencies in the SERVICES that remains uncorrected after the date set for correction may be the necessary justification for a billing adjustment in the month following the occurrence.
Unless otherwise negotiated, billing adjustments for this incomplete or uncorrected work shall be permanent retention of 100% of the estimated monthly cost for the SERVICES not corrected or completed.
14. ASSIGNMENT OF RIGHTS:
The CONTRACTOR offers and agrees, and will require all subcontractors and suppliers to agree, to assign to the CITY all rights, title, and interest in and to all causes of action it and they may have under Section 4 of the Clayton Act (15 United States code, Section 15) or under the Cartwright Act (Business and Professions Code, Section 16700 et seq.), arising from the acquisition of goods, services, or materials pursuant to this AGREEMENT or any allowed subcontract. The assignment made by CONTRACTOR and all assignments made by subcontractors and suppliers shall be made and become effective at the time the CITY makes final payment to the CONTRACTOR, without further acknowledgment by the parties (Government Code, Sections 4550-4554).
15. CITY PROCESS/PROCEDURE APPROVALS:
CITY approval of any process or procedure shall not relieve CONTRACTOR of its responsibility to furnish the required SERVICES meeting all specifications contained herein.
16. DIR REGISTRATION:
Pursuant to Labor Code section 1771.1, CONTRACTOR may not engage in the performance of the Services set forth in Exhibit “C”, unless currently registered and qualified to perform public work pursuant to Section 1725.5 thereof. As required in Section 7029.1 of the Business and Professions Code or by Section 10164 or 20103.5 of the Public Contract Code, that during term of this AGREEMENT, CONTRACTOR shall be registered to perform public work pursuant to Section 1725.5 thereof.
17. CONTRACTOR'S RESPONSIBILITY FOR DAMAGES:
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11 If CONTRACTOR damages any property belonging to the CITY or a third party, the CONTRACTOR will be required to make repairs immediately, at CONTRACTOR’s sole cost and expense, to the satisfaction of the CITY. In the event that CONTRACTOR fails to perform the necessary repairs, the CITY may either retain from the money due to CONTRACTOR an amount sufficient to repair the damage or perform the repairs and send an invoice to the CONTRACTOR for such costs, which shall be paid within thirty (30) days.
18. NOTICES:
Any notice, payment or instrument required or permitted by this AGREEMENT to be given or delivered to either party shall be deemed to have been received when personally delivered, or one calendar week following deposit of the same in any United States Post Office, registered or certified mail, postage prepaid, addressed as follows:
CONTRACTOR: California Materials Inc
3736 S. HWY 99
Stockton, CA 95215
CITY: City of Modesto
Purchasing Division
P.O. Box 642
Modesto, CA 95353
Each party may change its address for delivery of notice by delivering written notice of such change of address to the other party.
19. SIGNATORY(IES) FOR CONTRACTOR:
Each signatory for CONTRACTOR below warrants and represents that it is legally competent to, and have full authority to, execute the AGREEMENT.
20. QUANTITIES:
No minimum or maximum is guaranteed or implied.
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12 21. FUNDING:
All annual extensions are based upon continuous funding for that purpose by the City Council.
Failure to fund any annual extension shall result in an immediate termination of the AGREEMENT without redress.
22. OTHER GOVERNMENT/PUBLICLY FUNDED AGENCIES:
If mutually agreeable to all parties, the issuance of any resultant contract/purchase order referencing these specifications and modified by mutual agreement between all parties may be extended to other government or publicly funded agencies. It shall be understood that all terms and conditions as specified herein shall apply.
23. NON-DISCRIMINATION:
a. During the performance of this AGREEMENT, CONTRACTOR and any allowed subcontractors shall not unlawfully discriminate against any employee or applicant for employment because of race, color, ancestry, religion, sex, national origin, marital status, age, medical condition (cancer related), physical handicap (including AIDS), sexual orientation, or any other basis prohibited by Federal or California law. Equal employment opportunity extends, but is not limited to recruitment, compensation, benefits, layoff, termination, and all other conditions of employment. The CONTRACTOR and any allowed subcontractors shall ensure that the evaluation and treatment of their employees and applicants for employment are free of such discrimination.
The CONTRACTOR and any allowed subcontractors shall comply with the provisions of the Fair Employment and Housing Act (Government Code, Section 12900 et seq.) and the applicable regulations promulgated thereunder (California Administrative Code, Title 2, and Section 7285.0 et seq.). The applicable regulations of the Fair Employment and Housing Commission implementing Government Code, Section 12900, set forth in Chapter 5 of Division 4 of Title 2 of the California Administrative Code are incorporated into this contract by reference and made a part hereof as if set forth in full. #18..
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13 b. The CONTRACTOR and any allowed subcontractors shall give written notice of their obligations under this clause to labor organizations with which they have a collective bargaining or other agreement.
c. The CONTRACTOR shall include the nondiscrimination and compliance provisions of this clause in any allowed subcontracts to perform SERVICES. d. The Contractor shall permit access by representatives of the Department of Fair Employment and Housing and the CITY upon reasonable notice at any time during the normal business hours, but in no case less than 24 hours’ notice, to such of its books, records, accounts, other sources of information and its facilities as said Department or CITY shall require to ascertain compliance with this AGREEMENT. e. By executing this AGREEMENT, CONTRACTOR certifies that it shall follow and be in compliance with the Americans with Disabilities Act of 1990, the applicable administrative requirements promulgated in response thereto, and any other applicable Federal laws and regulations relating to handicap discrimination and participation and will continue to do so for at least the duration of the AGREEMENT and any extensions thereof.
24. CONTRACTOR LICENSES & PERMITS:
CONTRACTOR warrants and represents that it possesses and shall maintain all licenses, and shall secure and maintain all necessary permits, necessary to perform the SERVICES.
25. RECORDS:
All final versions of reports, data, maps, models, charts, studies, surveys, photographs, memoranda, plans, studies, specifications, records, files, or any other documents or materials, in electronic or any other form, that CONTRACTOR prepares or obtains pursuant to this Agreement and that relate to the matters covered hereunder shall be the property of the CITY. CONTRACTOR hereby agrees to deliver those documents to the CITY upon termination of the AGREEMENT, and the CITY may use, reuse, or otherwise dispose of the documents without CONTRACTOR’s permission. It is understood and agreed that the documents and other #18..
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14 materials, including but not limited to those described above, prepared pursuant to this AGREEMENT are prepared specifically for the City and are not necessarily suitable for any future or other use.
26. FACILITIES AND EQUIPMENT:
Except as set forth herein, CONTRACTOR shall, at its sole cost and expense, provide all facilities and equipment that may be necessary to perform the services required by this AGREEMENT. CITY shall make available to CONTRACTOR only the facilities and equipment listed in EXHIBIT “B” and “C”, and only under the terms and conditions set forth herein.
27. INDEPENDENT CONTRACTOR; NOT AGENT:
At all times during the term of this AGREEMENT, CONTRACTOR shall be an independent contractor and shall not be an employee of CITY. CITY shall have the right to control CONTRACTOR only insofar as the results of CONTRACTOR’s services rendered pursuant to this AGREEMENT. Except as City may specify in writing, CONTRACTOR shall have no authority, express or implied, to act on behalf of CITY in any capacity whatsoever as an agent. CONTRACTOR shall have no authority, express or implied, pursuant to this AGREEMENT to bind City to any obligation whatsoever.
28. DRUG FREE WORKPLACE:
CONTRACTOR certifies that it is following and in compliance with Sections 8350 - 8355 of Chapter 5.5 of the Government Code, Drug Free Workplace Act whereby each person or organization awarded a contract/purchase order or grant for the procurement of any property or service from any state agency (city) shall certify to the contracting or granting agency that it will provide a drug free workplace.
29. ASSIGNMENT:
Neither this AGREEMENT nor any SERVICES hereunder shall be subcontracted or assigned by CONTRACTOR without the prior written consent of the CITY in each and every instance. #18..
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15 30. WAIVER:
The waiver by any party to this AGREEMENT of a breach of any provision hereof shall be in writing and shall not operate or be construed as a waiver of any other or subsequent breach hereof unless specifically stated in writing.
31. HEADINGS NOT CONTROLLING:
Headings used in the Agreement are for reference purposes only and shall not be considered in construing this AGREEMENT.
32. MISCELLANEOUS:
Time is of the essence in CONTRACTOR’s performance under each provision of this AGREEMENT.
33. ENTIRE AGREEMENT:
This Agreement and its exhibits contain the entire understanding between CONTRACTOR and CITY. Additional or new terms contained in this AGREEMENT which vary from CONTRACTOR’S bid are controlling and are deemed accepted by CONTRACTOR by performance of any SERVICES or other commencement of performance hereunder. The terms and conditions of the IFB, attached hereto as Exhibit C, are incorporated herein. In the event of a conflict between the IFB and this AGREEMENT, this AGREEMENT shall control. All previous bids, offers and communications relative to this Agreement, whether oral or written, are hereby superseded except to the extent that they have been incorporated into this Agreement. No future waiver or exception to any of the terms, conditions, and provisions of this AGREEMENT shall be considered valid unless specifically agreed to in writing by the parties.
34. PARTIAL INVALIDITY:
If any provision in this AGREEMENT is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions shall nevertheless continue in full force without being impaired or invalidated in any way.
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16 IN WITNESS WHEREOF, the CITY OF MODESTO, a municipal corporation, has authorized the execution of this Agreement by its City Manager and attested by its City Clerk under authority of Resolution No. 2023-_______, adopted by the Council of the City of Modesto on the _____________ day of _____________________, 2023 and California Materials, Inc. has caused this Agreement to be duly executed. #18..
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1 INVITATION FOR BIDS (“IFB”) NO. 2223-34
FOR
MATERIAL HAULING SERVICES
THE PAYMENT OF PREVAILING WAGES IS REQUIRED
BID OPENING: June 20, 2023 at 11:00 A.M.
CITY OF MODESTO CONTACT: MICHELLE TAPEY, SENIOR BUYER
E-MAIL ADDRESS: [email protected]
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
2 Table of Contents PAGE
NOTICE TO BIDDERS ............................................................................................................................. 3 CALENDAR OF EVENTS ........................................................................................................................ 5 CONTACT.................................................................................................................................................. 5 PRECEDENCE........................................................................................................................................... 5 VIRTUAL BID OPENING......................................................................................................................... 6 GENERAL BID REQUIREMENTS .......................................................................................................... 7 A. BID SUBMITTAL ....................................................................................................................... 7 E. CITY ACCEPTANCE/REJECTION OF IRREGULAR BIDS:.................................................. 7 F. COMPLETE BID DOCUMENT:.................................................................................................... 7 G. COMPLIANCE/NON-COMPLIANCE:...................................................................................... 8 K. PREVAILING WAGE:................................................................................................................ 9 M. BID PROTEST AND APPEAL PROCEDURES:..................................................................... 10 BID SUBMITTAL CHECKLIST......................................................................................................... 15 BID FORM A - IFB ACKNOWLEDGEMENT .................................................................................. 16 BID FORM B – BIDDER COMPANY INFORMATION................................................................... 19 BID FORM C - PRICING SCHEDULE .............................................................................................. 21 BID FORM D – BIDDER EXCEPTIONS, CLARIFICATIONS, AMENDMENTS.......................... 23 BID FORM E – BIDDER CUSTOMER REFERENCES.................................................................... 24 BID FORM F - FINANCIAL INTEREST DISCLOSURE.................................................................. 26 BID FORM G – SUPPORT OF LOCAL VENDORS.......................................................................... 28 BID FORM H - BIDDER COMPANY HISTORY STATEMENT..................................................... 29 BID FORM I - ADDENDA ACKNOWLEDGEMENT ...................................................................... 30 BID FORM J – BIDDER WARRANTY STATEMENTS................................................................... 31 BID FORM K – BIDDER EXPERIENCE AND CERTIFICATIONS................................................ 32 BID FORM L - SUBCONTRACTOR LIST........................................................................................ 33 TECHNICAL SPECIFICATIONS AND REQUIREMENTS.............................................................. 34 SAMPLE ANNUAL AGREEMENT - SERVICES............................................................................. 39 #18..
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
3 NOTICE TO BIDDERS
NOTICE IS HEREBY GIVEN that the City of Modesto, County of Stanislaus, State of California (“City”), will receive at the City Clerk’s office, 1010 Tenth Street, Suite 6600, Modesto, CA 95354 sealed Bids (each, a “Bid”) from qualified Bidders (each, a “Bidder”) for the furnishing of MATERIAL HAULING SERVICES equipment, materials, supplies and/or related services (the “Services”) for the City of Modesto, Utilities Department, Water and Wastewater Divisions, Public Works Department, Compost and Streets Divisions.
All equipment, materials, and supplies shall be furnished F.O.B. City of Modesto (delivery charges borne by Bidder, included in the Services pricing herein, and not separately charged to the City).
Bidders are highly recommended to download all IFB documents from the City’s Purchasing Division website at http://www.modestogov.com/257/Contracting-Bid-Opportunities; such IFB documents shall include all specifications necessary for Bidders to submit a responsive Bid..
Each Bid shall be sealed and filed with the City Clerk’s office, 1010 Tenth Street, Suite 6600, Modesto, CA 95354 prior to Tuesday, June 20, 2023 at 11:00 A.M., at which time Bids will be opened, read, and recorded. The opening of bids will not be physically open to the public but may be viewed simultaneously via video conferencing in the manner provided for herein. All Bids shall be available for review following City Council award approval at the Purchasing Division, 1010 Tenth Street, 5th Floor, Suite 5300, Modesto, CA 95354.
Bids will be received only at the address shown above, and prior to the time indicated. Any Bid received at or after said time and/or date, or at a place other than the stated address cannot be considered and will be returned to the Bidder unopened.
All Bids, whether delivered by an employee of the Bidder, U.S. Postal Service, courier, or package delivery service must be received and time stamped at the stated address prior to the time designated.
The City Clerk’s time stamp shall be considered the official timepiece for the purpose of establishing the actual receipt of Bids. Bids will not be accepted by email or facsimile. The City of Modesto assumes no responsibility for delay in the delivery of the Bid. #18..
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
4 On the outside of the Bid envelope and courier envelope, if any, the Bidder shall indicate the following:
“NAME AND ADDRESS OF BIDDER
BID IN RESPONSE TO INVITATION FOR BIDS # 2223-34
BID OPENING DATE: JUNE 20, 2023 AT 11:00 A.M.”
Bidder must deliver your Bid by a preferred method to the appropriate location below:
MAIL TO: CITY CLERK DELIVER/ COURIER TO: CITY CLERK
CITY OF MODESTO CITY OF MODESTO
P.O. BOX 642 1010 10TH STREET,
SUITE 6600, MODESTO, CA 95353 MODESTO, CA 95354
The City reserves the right to reject any or all Bids or to waive any informalities or minor irregularities in a Bid.
No Bidder may withdraw its Bid for a period of 90 days after the date set for the opening thereof. #18..
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
5 CALENDAR OF EVENTS
Event Date
IFB Issued May 19, 2023
Written Questions Due via Email May 26, 2023
Addendum Issued (if required) June 02, 2023 (approximate date) Bid Due Date & Time PRIOR 11:00 A.M. on Tuesday, June 20, 2023 Agreement Award Approximately July, 2023
CONTACT
All questions regarding these specifications, terms, and conditions shall be submitted in writing via email to the City’s Purchasing Division contact named on the cover page of this IFB (“City Contact”) by the date listed in the CALENDAR OF EVENTS above. The City will respond to pertinent questions through issuance of an Addendum to be available to all Bidders. All contact between Bidder and the City regarding the Bid process shall be through the City Contact. Attempts by the Bidder to contact other City personnel regarding this IFB and associated process may result in disqualification of the Bidder. Notwithstanding the foregoing, information intentionally or un-intentionally provided by any person other than the City Contact may not be correct and will not be binding upon the City.
BIDDER FAMILIARITY WITH SERVICE CONDITIONS
It is the responsibility of each Bidder to become familiar with all of the specifications, terms and conditions and the site condition (if applicable). The Bidder agrees to and acknowledges all IFB specifications, terms, and conditions and indicates the ability to perform by submission of a Bid. By the submission of a Bid, the Bidder certifies that if awarded a contract it will make no claim against the City based upon ignorance of conditions or misunderstanding of the specifications.
CALIFORNIA LABOR CODE SECTION 1771.1 (a)
The California Labor Code states that, “A contractor or subcontractor shall not be qualified to Bid on, be listed in a Bid proposal, subject to the requirements of Section 4104 of the Public Contract Code or engage in the performance of any contract for public work, as defined in this chapter, unless currently registered and qualified to perform public work pursuant to Section 1725.5. It is not a violation of this section for an unregistered contractor to submit a Bid that is authorized by Section 7029.1 of the Business and Professions Code or by Section 10164 or 20103.5 of the Public Contract Code, provided the contractor is registered to perform public work pursuant to Section 1725.5 at the time the contract is awarded.” This IFB is subject to the registration requirement set forth above.
PRECEDENCE
Bidder agrees that any agreement resulting from City’s acceptance of its Bid, together with the terms in any City purchase order and associated specifications provided by the City to Bidder therewith, shall comprise the entire agreement between City and Bidder. Moreover, Bidder agrees that any additional or contrary terms contained in Bidder’s acknowledgement of, shall be null and void. #18..
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
6 VIRTUAL BID OPENING
The City of Modesto will be broadcasting Bid openings live electronically via Microsoft Teams at 11:00 a.m. (Pacific Time) on Tuesday, June 20, 2023 the City Clerk Record of Bid document should be available on Planet Bids by the end of the same day.
The public Bid opening for this Invitation for Bids may be observed live by using URL link containing the Number and Title of the Bid on the cover page, provided below. By submitting your Bid for the above-stated IFB you acknowledge, understand, and agree to this modified Bid opening procedure.
URL: https://teams.microsoft.com/l/meetupjoin/19%3ameeting_NTI0YzBiMDMtNDQ0Yi00YjNlLWIwZjYtYzg4ZDVjMDdkM2Mz%40thread.v2 /0?context=%7b%22Tid%22%3a%22125ccacf-fc61-463c-9976-
189f876ff90b%22%2c%22Oid%22%3a%229715c333-c997-4dd7-8984-12cd4deaa705%22%7d Join Microsoft Teams Meeting (Click here to join the meeting) • +1 (469)-998-7409
• Conference ID: 961 656 049#
Should you have any questions regarding this, please do not hesitate to contact the Purchasing Department Contact listed on the Cover Page.
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7 GENERAL BID REQUIREMENTS
A. BID SUBMITTAL: Bidders should submit two “inked” (preferably blue ink) signed original Bid document, plus one copy of the signed original Bid document, and one electronic copy submitted via USB. The original Bid document shall be clearly marked. Photocopies do not constitute an original Bid. FAILURE TO FURNISH AT LEAST TWO “INKED” SIGNED ORIGINAL BID DOCUMENT MAY RESULT IN DISQUALIFICATION.
B. CONFIDENTIAL BIDDER INFORMATION: It is the responsibility of the Bidders to identify information in their Bid submission that they may consider to be confidential under the California Public Records Act. To the extent that the City agrees with that designation, such information will be held in confidence whenever possible. All other information will be considered public.
C. BIDDER COSTS INCURRED IN RESPONDING TO IFB: All costs associated with the preparation and submission of a Bid shall be borne by the Bidder.
D. BIDDER EXCEPTIONS: All exceptions taken to this IFB, and associated specifications shall be specifically and clearly identified on Exceptions, Clarifications and Amendments form.
Failure to comply with this provision may deem the Bid as non-responsive. Please review the Sample Agreement and make note on the Exceptions, Clarifications, and Amendments form for any changes. Exceptions taken shall not affect the overall performance and quality of equipment, materials and/or provision of Services required by the City. The Purchasing Manager or designated agent shall make the final decision regarding the acceptability of equipment, materials and/or provision of Services with exceptions.
E. CITY ACCEPTANCE/REJECTION OF IRREGULAR BIDS: An agreement shall be awarded to the Bidder whose Bid most closely satisfies the needs of the City and is deemed the most advantageous to the City. The City reserves the right to reject any or all Bids or to waive any informalities or minor irregularities in a Bid.
F. COMPLETE BID DOCUMENT: The following forms constitute the makeup of a complete Bid document and shall be signed wherever indicated and submitted to the City in the order listed ):
• Bid Form A - IFB Acknowledgement
• Bid Form B – Bidder Company Information
• Bid Form C - Pricing Schedule
• Bid Form D – Bidder Exceptions, Clarifications, Amendments • Bid Form E – Bidder Customer References
• Bid Form F - Financial Interest Disclosure
• Bid Form G – Support of Local Vendors
• Bid Form H – Bidder Company History Statement
• Bid Form I - Addenda Acknowledgement Page (if applicable) #18..
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8 • Bid Form J – Bidder Warranty Statements
• Bid Form K– Bidder Experience and Certifications
• Bid Form L - Subcontractor List
Failure to furnish any of these documents may result in disqualification.
G. COMPLIANCE/NON-COMPLIANCE: If Bidder cannot comply with a specification requirement in this IFB, note on the Exception, Clarifications, Amendments form of the specification paragraph, your exception, and your recommendation. The Purchasing Manager will evaluate your recommendation. If after evaluation it is determined that the Bidder is not in compliance with the specification, the Bid may be rejected.
H. PROPOSED PRICING FORMAT:
• The cost of labor, equipment, fuel, licenses, bonds, permits, and insurance necessary to perform the required provision of Services shall be included in Bid pricing, along with Bidder’s profit margin and any other cost factors.
• Unless otherwise stated, the Bidder agrees that, in the event of a price decline, the benefit of such lower pricing shall be extended to the City.
• The City of Modesto shall not pay mileage charges or travel time from the Contractor’s place of business to the job site, or from site to site, or for the Contractor’s travel time to pick up materials.
• Bidder shall use the pricing schedule provided in this IFB to present Bid pricing. No other form or format shall be accepted. Bid must be submitted on the Pricing Schedule provided. No alterations may be made to the pricing schedule. Any exceptions, amendments or adjustments should be noted on the Exception, Clarification, Amendments Form.
I. AWARD OF BID:
• The City may award one or more agreements to one or more Bidder in order to provide for backup, or in case the “primary” contractor is unable to meet the City’s needs. • The City reserves the right to decline to award any agreement if it is determined that the proposed pricing is not competitively priced based on similar agreements with public agencies within the State of California or if the bids received fail to meet the City’s requirements.
• The City reserves the right to select that Bid, which best suits the City’s needs. In addition to price, consideration will be given to the quality and performance of the #18..
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9 service to be purchased, and the criteria listed in Modesto Municipal Code Section 8-
3.203(f). Regardless of City staff’s recommendation, the City Council reserves the right to award an agreement to the Bidder that best suits the City’s needs as determined by the City Council whether or not said award is consistent with City staff’s recommendation for award.
I. SUPPORT OF LOCAL VENDORS: Should the Bidder that submits the lowest responsive Bid or and would otherwise normally qualify to receive the Bid pursuant to Sections 8-3.203 and 8-
3.204 of the Modesto Municipal Code (MMC) not be a local business as defined herein, the lowest Bid or quote submitted by a local business that is within 5%of the lowest Bid, whether or not that Bidder is the second lowest Bidder, may be deemed to be the lowest Bidder if the local Bidder agrees to reduce its Bid to match the Bid or quote of the lowest Bidder in writing within five business days after notification by City Purchasing staff, provided that said local Bidder is deemed to be a responsible Bidder as determined by the Purchasing Manager. To qualify as a local Bidder, the Bidder must have a physical business location within the City of Modesto and a current City of Modesto business license.
J. INDEMNITY: The successful Bidder (the “Contractor”) will be required to hold the City, its agents, officers, employees, and volunteers, harmless from and save, defend and indemnify them against any and all claims, losses, liabilities, judgements or damages from every cause, including but not limited to injury to person or property or wrongful death, including reasonable costs and expenses of defense of any judicial or administrative action, arising directly or indirectly out of any negligent or intentional act or omission of the Contractor, its agents, officers, employees, and volunteers relating to or during the performance of its obligations under this Bid. Contractor’s obligation to defend, indemnify, and hold the city, its agents, officers, and employees harmless under the provisions of this paragraph is not limited to or restricted by any requirement for Contractor to procure and maintain a policy of insurance. With reference to the foregoing, the parties agree that all risk of loss, including but not limited to damages, property losses and defense of third-party suits, arising out of or relation to the operation of City-owned vehicles by Contractor’s employees will be apportioned to Contractor in accordance with the provisions contained in indemnity.
K. PREVAILING WAGE: Bidder’s workers must be paid no less than the prevailing wage rate as published by the State of California Department of Industrial Relations (DIR), and the successful Bidder shall maintain certified payroll. For additional information regarding Prevailing Wages, please contact the DIR at www.DIR.CA.gov or call its Labor Research and Statistics Unit, Prevailing Wage Unit at 415/703-4774. The City standards available at the following web address shall also apply to the performance of the Bid: City Standards Website:
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10 L. BIDDER REPRESENTATION: Bidder represents that:
• Bidder has had an opportunity to examine and has examined any and all of the documents, including specifications, any resultant contract and supporting data, and that it has, from the information contained in such documents, specifications, and data, fully acquainted itself with all conditions relevant to the work. • Bidder has made all reasonable investigations essential to a full understanding of the difficulties, which may be encountered in performing the work. • Bidder will complete the proposed provision of Services for the compensation stated in any resultant agreement.
• Bidder assumes full and complete responsibility for all conditions relevant to the proposed provision of Services and all risks in connection therewith. • Bidder represents that it is fully qualified to perform the proposed provision of Services in accordance with the terms of any resultant agreement within the time specified therein.
M. BID PROTEST AND APPEAL PROCEDURES: Bidders wishing to protest or appeal a contract award decision by the City of Modesto must follow the procedures provided in this section. Protests or appeals which are not submitted in accordance with these procedures will not be reviewed.
Definitions
For the purposes of these procedures: "Days" means working days in which City Hall is open for business, excluding holidays and weekends.
"Bid" includes the term "offer" or "proposal" as used in the context of formal, informal, or negotiated procurements.
"Announced Decision" includes the term “Notice of Intent to Award Letter”. Once the City has issued an Announced Decision, the date noted will begin the time that a Bidder may lodge a protest.
Protest Procedures
• Only a Bidder who has actually submitted a Bid is eligible to submit a protest against the City’s Announced Decision.
• Subcontractors are not eligible to submit bid protests. #18..
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11 • A Bidder may not rely on the bid protest submitted by another bidder but must timely pursue its own protest.
• A written protest to an Announced Decision must be made to the City of Modesto's Director of Finance no later than ten days after the date of the Announced Decision. • The protest shall be delivered or sent by registered mail and received by the City by the deadline, or protest will be automatically rejected. Protestors who choose to be represented by legal counsel are responsible for the associated expenses. • The protest shall be accompanied by a certified or cashier's check in the amount of $300.00, (except for protests of Federally Funded agreements), made payable to the Clerk of the City of Modesto. Protests filed without the requisite fee will be rejected without any additional review.
• The protest filed with the Director of Finance shall:
a. Include the name, address, email address and business telephone number of the protestor;
b. Identify the protest by name, Invitation for Bid (IFB) or Request for Proposal (RFP) number, and IFB/RFP date;
c. The bid protest must contain a complete statement of the basis for the protest and all supporting documentation. The protest must refer to the specific portion or portions of the Contract Documents upon which the protest is based; d. Include all supporting documentation, if any. Documentation submitted after filing deadline will not be reviewed.
• Bid Protests: A Bidder shall follow, in order, the following steps:
a. Protest to Director of Finance: Upon receipt of a complete and timely protest, the Director of Finance shall review all the submitted materials and shall create and retain a written record of the review. The Director of Finance shall respond at least generally to each material issue raised in the protest not later than ten days after receipt of the protest. Notice of the Director of Finance's decision may be given by letter mailed through U.S. Postal Service.
All protests to the Director of Finance shall either be delivered to:
City Clerk’s Office
Attn: Director of Finance
1010 Tenth St. Suite 6600
Modesto CA 95354
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12 Or mailed to:
City Clerk’s Office
Attn: Director of Finance
PO Box 642
Modesto CA 95353
b. Appeal to Deputy City Manager: At the protestor’s discretion, the decision of the Director of Finance may be appealed in writing to the City of Modesto's Deputy City Manager(s) no later than ten days after the date of the Director of Finance’s Decision. The scope of the appeal shall be limited by the issues raised in the initial protest to the Director of Finance. The Deputy City Manager shall not be permitted to review any newly raised issues. The Deputy City Manager shall review the appeal, accompanying supporting documents, if any and the written records of the protest review by the Director of Finance. A written record of the Deputy City Manager's review shall be created and maintained. The Deputy City Manager shall give notice of their decision to the protestor within ten days after receipt of appeal.
Further protest appeals shall either be delivered to:
City Clerk’s Office
Attn: Deputy City Manager
1010 Tenth St. Suite 6600
Modesto CA 95354
Or mailed to:
City Clerk’s Office
Attn: Deputy City Manager
PO Box 642
Modesto CA 95353
d. Appeal to City Council: Any protestor seeking to appeal to the decision of the Deputy City Manager may appeal in writing to the City Council by filing with the City Clerk a written notice of such appeal not later than ten days after the date of the Deputy City Manager's decision. The City Clerk will calendar the protest for Council hearing and give notice of the time and place of the hearing as provided in Modesto Municipal Code Sections 1-4.01 through 1-4.05. The City Council’s decision on the appeal shall be final.
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13 All protest appeals to the City Council shall either be delivered to:
City Clerk’s Office
Attn: City Council
1010 Tenth St. Suite 6600
Modesto CA 95354
Or mailed to:
City Clerk’s Office
Attn: City Council
PO Box 642
Modesto CA 95353
e. Optional Alternative Process for Protests of Procurement Actions Exceeding $250,000: A Bidder protesting procurements exceeding $250,000 shall comply with the procedures contained herein, except that in lieu of appeal to the Deputy City Manager a protestor may request that the protest be heard and decided at an administrative hearing.
A written request for administrative hearing shall be accompanied by a certified or cashier's check in the amount of $1,500, (except for protests of Federally Funded projects); The request for hearing shall include the specific grounds of the appeal.
The City of Modesto shall select and engage an impartial and qualified person to act as hearing officer in the pending protest. The protestor shall have the right to twice reject the selected hearing officer, provided that the City is notified of such rejection within three days of notice to protestor of the name of the hearing officer.
The protest shall be heard not later than twenty days after receipt of protestor's request for hearing and the selection of a hearing officer. Protests not made in a timely manner shall be deemed withdrawn unless the City and the protestor mutually agree otherwise in writing. The protestor’s failure to accept a hearing officer after the third attempt by City staff to identify an impartial hearing officer shall be deemed a withdrawal of the protest.
The costs of the hearing officer and expenses of the protest shall be borne by the protestor. The sums deposited with the request for hearing shall be credited to the costs of the hearing officer and other hearing expenses. #18..
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14 f. Mandatory Alternative Process for Protests of Procurements Obtained with Federal Funds: If the protested procurement involves federal funds, the Deputy City Manager, City Council, or hearing officer shall give notice, accompanying their respective decisions, to the protestor that he or she has the right to appeal to the appropriate federal agency, for which an agency name, contact (where available) and address shall be provided by City staff. Such an appeal shall be filed with the appropriate agency within seven business days of the dispatch or rejection notices to the protestor. Federal agencies may entertain protests alleging that the City has failed to adopt written protest procedures or has failed to follow such procedures. The City Council is the highest authority of the City of Modesto, and its decisions are final. A disappointed Bidder for a contract involving expenditures of Federal funds shall have the right to appeal the City Council decision directly to the federal agency as described herein. #18..
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15 BID SUBMITTAL CHECKLIST
BID SUBMITTAL CHECKLIST
The Bidder shall provide a complete Bid in a sealed envelope by the required deadline on the Bid Opening Date. Failure to provide all the required documents may cause the Bid to be considered nonresponsive.
Bidder’s Bid must contain the following applicable elements completed and signed as described morefully herein. The following checklist is provided solely for Bidder’s use in reviewing the completeness of your submission:
COMPLETE BID ELEMENTS
Bid Form A – IFB Acknowledgement
Bid Form B – Bidder Company Information
Bid Form C - Pricing Schedule
Bid Form D – Bidder Exceptions, Clarifications, Amendments Bid Form E – Bidder Customer References
Bid Form F - Financial Interest Disclosure
Bid Form G – Support of Local Vendors
Bid Form H – Bidder Company History Statement
Bid Form I - Addenda Acknowledgement
Bid Form J – Bidder Warranty Statements
Bid Form K – Bidder Experience and Certifications
Bid Form L - Subcontractor List
Bidder’s submission should include all City of Modesto forms. If any form is not applicable, Bidder should write or type “Not Applicable” on it but still include the form in your submission (preferred). #18..
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16 BID FORM A - IFB ACKNOWLEDGEMENT
The City is soliciting Bids from qualified firms (each a “Bidder”) to fulfill the City’s requirements per the specifications, terms and conditions contained in this Invitation for Bids (“Invitation for Bids” or “IFB”).
This Bid Acknowledgement must be completed, signed by an authorized responsible officer or employee, dated, and submitted with the Bid response. Obligations assumed by such signature will include the following:
1. Preparation of Bids: (a) All prices and notations must be printed in ink or typewritten. No erasures permitted. Errors may be crossed out and corrections printed in ink or typewritten adjacent and must be initialed in ink by person signing the Bid. (b) Quote price as specified in Bid. No alterations or changes of any kind shall be permitted to the Bid Form. Responses that do not comply shall be subject to rejection in total.
2. Failure to Submit Bid: If you are not submitting a Bid but want to remain on the mailing list and receive future Bids, complete, sign and return this Bid Acknowledgement and state the reason you are not pricing.
3. Taxes and Freight Charges: (a) Unless otherwise required and specified in the IFB, the prices quoted herein do not include Sales, Use or other taxes. (b) No charge for delivery, drayage, express, parcel post packing, cartage, insurance, license fees, permits, costs of bonds, or for any other purpose, except taxes legally payable by City, will be paid by the City unless expressly included and itemized in the Bid. (c) Amount paid for transportation of property to the City is exempt from Federal Transportation Tax. An exemption certificate is not required where the shipping paper shows the consignee as one (1) of the City; as such papers may be accepted by the carrier as proof of the exempt character of the shipment. (d) Articles sold to the City are exempt from certain Federal excise taxes. The City will furnish an exemption certificate.
4. Award: (a) Unless otherwise specified by the Bidder or the IFB gives notice of an all-or-none award, the City may accept any item or group of items of any Bid. Due to the nature of the work, the bid may be awarded to a Primary and Secondary bidder (b) Bids are subject to acceptance by the City at any time within 45 days of opening, unless otherwise specified in the IFB. A Bidder shall not change its bid if accepted within such time. (c) A valid, contract based on the sample agreement attached to the IFB and the submitted bid shall be mailed, or otherwise furnished, to the successful Bidder within the time for acceptance specified, and such contract shall be a binding agreement without further action by either party. The contract shall be interpreted, construed, and given effect in all respects according to the laws of the State of California.
5. Patent Indemnity: Bidders who do business with the City shall hold the City, its officers, agents, and employees, harmless from liability of any nature or kind, including cost and expenses, for infringement or use of any patent, copyright or other proprietary right, secret process, patented or un- #18..
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17 patented invention, article or appliance furnished or used in connection with the contract or purchase order.
6. Samples: Samples of items, when required, shall be furnished free of expense to the City and if not destroyed by test may upon request (made when the sample is furnished), be returned at the Bidder’s expense.
7. Rights and Remedies of City for Default: (a) In the event any item furnished by the Bidder in the performance of the contract or purchase order should fail to conform to the specifications therefore or to the sample submitted by the Bidder with its Bid, the City may reject the same, and it shall thereupon become the duty of the Bidder to reclaim and remove the same forthwith, without expense to the City, and immediately to replace all such rejected items with others conforming to such specifications or samples; provided that should the Bidder fail, neglect or refuse to do so, the City shall thereupon have the right to purchase in the open market, in lieu thereof, a corresponding quantity of any such items. City may deduct from any moneys due or that may there after come due to Bidder or send an invoice to the Bidder which shall be paid within thirty (30) days, the difference between the prices named in the contract or purchase order and the actual cost thereof to the City. In the event that the Bidder fails to make prompt delivery as specified for any item, the same conditions as to the rights of the City to purchase in the open market and to reimbursement set forth above shall apply, except when delivery is delayed by fire, strike, freight embargo, or Act of God or the government. (b) Cost of inspection or deliveries or offers for delivery, which do not meet specifications, will be borne by the Bidder. (c) The rights and remedies of the City provided above shall not be exclusive and are in addition to any other rights and remedies provided by law or under the contract.
8. Payment Terms and Methods: Bidder will be able to choose from either of the following payment methods and associated timings:
(a) Option A (Preferred): City of Modesto ePay Payment: This secure payment methodology is preferred by an increasing number of the City’s suppliers. On Net 30-day timing, you will receive a single-use Master Card number with a detailed remittance for each payment. You will process the payment though your POS/Card terminal. The payment remittance will be sent from [email protected] via email and will contain the following information:
• 16-digit credit card number
• Expiration date
• Security code
• Total dollar amount of invoices to be paid
• Invoices reference numbers and corresponding amounts
ePay results in small percentage rebate of 1.0% to the City through the card issuer. That rebate amount will be considered by the City in its evaluation of Bidder’s pricing proposal hereunder. #18..
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18 Information about enrolling in MasterCard ePay program can be obtained from the City’s contact listed on the Cover Page of this IFB.
(b) Option B – Manual Check: On Net 45 Day timing, the City will mail a hardcopy check to Bidder. The payment will be deemed to have been made when the check envelope is mailed via US Postal Service First Class Mail. The timing of the mailing will be at the end of the Net 45 Day period. Additional time should be estimated by the Bidder for the check to be in transit, and to await deposit and clearance by Bidder staff.
9. California Government Code Section 4552: In submitting a Bid to the City, the Bidder offers and agrees that if the Bid is accepted, it will assign to the City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Sec. 15) or under the Cartwright Act (Chapter 2, commencing with Section 16700, of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of Services, materials, or services by the Bidder for sale to the purchasing body pursuant to the Bid. Such assignment shall be made and become effective at the time the purchasing body tender’s final payment to the Bidder.
10. No Guarantee or Warranty: The City makes no guarantee or warranty as to the condition, completeness or safety of any material or equipment that may be traded under a contract or purchase order resulting from this Bid.
11. Two “Inked” Signed Original Bids Document Requested: Failure to furnish two “inked” signed original Bid document may result in disqualification. These must be accompanied by one copy and one electronic document recorded onto a USB storage device.
12. Minor Irregularities. The City reserves the right, in its sole discretion, to waive any informalities or minor irregularities in a Bid.
The undersigned acknowledges receipt of the referenced IFB and/or Addenda and offers and agrees to furnish the articles and/or services specified on behalf of the Bidder indicated in Bidder’s Bid Forms A through L, attached hereto, and made a part hereof, for the pricing proposed on the Pricing Schedule.
Bidder Company Name:
Bidder Headquarters Address:
City/State/Zip:
Signature/Title/Date:
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19 BID FORM B – BIDDER COMPANY INFORMATION
A. Bidder Company Full
Legal Name
B. Bidder Company
Marketplace (or DBA)
Name
C. Type of Legal Entity: ___ Corporation, registered in ____________________ (State) ___ Limited Liability Company, registered in _________________(State) ___ Partnership, registered in ________________(State)
___ Sole Proprietorship, registered in ____________(State) ___ Other ___________________________________________(Describe) D. Headquarters Address
(Street Address, City,
State, Country, Postal
Code):
E. Website Address: www.___________
F. Contact Person Details: Name:
Title:
Phone (Office):
Phone (Mobile):
Mailing Address (Street Address, City, State, Postal Code):
Fax Number:
Email:
G. Federal Taxpayer
Identification Number
(TIN):
H. Dun & Bradstreet
(DUNS) Number:
I. Names and Titles of
Top Three Bidder
Officers:
J. Years in Business:
K. Bidder Office Address
Closest to City of
Modesto (Street
Address, City, State,
Country, Postal Code):
L. City of Modesto
Business License
Number (note –
provide only if
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20 available now - - but
not required until any
contract begins):
M. State of California
Contractor License
Number and Expiration
Date (if available):
N. State of California
Department of
Industrial Relations
(DIR) Registration
Number and Expiration
Date (if available):
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21 BID FORM C - PRICING SCHEDULE
All labor, materials, equipment, tools, fuel, licenses, bonds, insurance, and other expenses necessary for Bidder to perform the required services shall be included in Bid pricing. Bid must be submitted on the below Pricing Schedule provided. No alterations should be made to the pricing schedule. Any exceptions, amendments or adjustments should be noted on Bid Form D – Bidder Exceptions, Clarifications, Amendments.
The payment of Prevailing Wages is required for this project.
PAYMENT OF PREVAILING WAGES REQUIRED
Description Billable Hourly Rate
Material Hauling Services $_______________________________________/Hr FOR INFORMATIONAL/COSTING PURPOSES:
List diesel price at time of bid submittal $___________________________________/Gallon List percent of hourly unit rate associated with fuel cost ______________________________/% of fuel cost Labor Craft Direct Labor Rate*
Fringe Benefit
Rate**
Labor
Markup
(percent) Price Per Service
Driver – Dump Truck $ /HR $ /HR % $ /HR
*Direct Labor Rate cannot be less than the minimum state prevailing wage. **Provide a copy of the current Fringe Benefit Statement. During the term of the agreement, ensure the City has a copy of the current, applicable statement on file.
Provide a labor markup percent (%) to be applied to all labor in executing work authorized by this agreement. #18..
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22 Payment Terms:
Check which of the following payment terms/methodology Bidder accepts (a description of each can be found in Bid Form A – IFB Acknowledgement):
Choose One:
• Option A (Preferred): City of Modesto ePay Payment on Net 30 Day Timing: ___ Choose by checking () here. If selected, for bid comparison purposes, Bidder’s pricing will be reduced by the City of Modesto’s average ePay card program rebate percentage; or ePay Email Address: _____________________________
• Manual Check Payment Mailed by US Postal Service First Class Mail Only on Net 45 Day Timing:
___ Choose by checking () here.
THE undersigned acknowledges receipt of the referenced IFB and any associated Addenda and offersto furnish the articles and/or services specified, in accordance with the specifications, terms and conditions of this IFB and these Bid documents, for the pricing indicated on the Pricing Schedule.
Bidder Company Name:
Name of Bidder Signatory:
Signature of Bidder Representative:
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23 BID FORM D – BIDDER EXCEPTIONS, CLARIFICATIONS, AMENDMENTS Exceptions to the City of Modesto’s IFB package, sample agreement, and associate specifications are not encouraged and may cause Bidder to be considered not responsible and/or its Bid to be considered not responsive. Therefore, if no exceptions, clarifications, or amendments are proposed by Bidder, it is preferred that Bidder so indicate by typing or writing “Not Applicable” in the Description field in the first item row below. Less preferred, Bidder may indicate no exceptions, clarifications or amendments are proposed by leaving this form out of its’ Bid submission.
Nonetheless, Bidder may request Bid clarifications and exceptions below, if any, sign and submit with your Bid response. Any requested exception, clarification or amendment may not be accepted and may deem the Bidder as non-responsive.
Item # Reference To: Description
Page # Section or
Paragraph #
Bidder Company Name:
Name of Bidder Signatory:
Signature of Bidder Representative:
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24 BID FORM E – BIDDER CUSTOMER REFERENCES
Bidder must provide a list of five current or former customers able to discuss prior experience with similar type of services requested by the City in the above-referenced IFB. Bidder’s references shall have similar volume and requirements to the City of Modesto’s as described in the above-referenced IFB. Bidders failing to provide references may be deemed as non-responsive.
The City may contact some or all of the references provided in order to determine the Bidder’s performance record on services similar to that described in the above-referenced IFB. The City reserves the right to contact references other than those provided in Bidder’s submission and to use the information gained from them in the award process.
Company Name:
Address:
City, State, Zip Code:
Contact Person:
Email Address:
Telephone Number:
Type of Business or
Governmental
Agency:
Date Range of
Service:
Annual Contract Value $
Company Name:
Address:
City, State, Zip Code:
Contact Person:
Email Address:
Telephone Number:
Type of Business or
Governmental
Agency:
Date Range of
Services:
Annual Contract Value $
Company Name:
Address:
City, State, Zip Code
Contact Person:
Email Address:
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
25 Telephone Number:
Type of Business or
Governmental
Agency:
Date Range of
Services:
Annual Contract Value $
Company Name:
Address:
City, State, Zip Code
Contact Person:
Email Address:
Telephone Number:
Type of Business or
Governmental
Agency:
Date Range of
Services:
Annual Contract Value $
Company Name:
Address:
City, State, Zip Code
Contact Person:
Email Address:
Telephone Number:
Type of Business or
Governmental
Agency:
Date Range of
Services:
Annual Contract Value $
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
26 BID FORM F - FINANCIAL INTEREST DISCLOSURE
Any contract award to result from this IFB process and Bidder’s submission of a Bid therewith will require approval by a majority vote of the City of Modesto’s City Council. In order to have full transparency in any City of Modesto commercial actions, the City Council may not approve an agreement between the City and the Bidder until all person with a direct or indirect financial interest of greater than $2,000 in the Bidder are identified by name.
Bidder must therefore complete this Bid Form F – Financial Interest Disclosure, listing by name all parties that have a material financial interest in the agreement, contract, or development right.
PLEASE NOTE, any Council action that requires a Financial Interest Disclosure cannot be considered by the City Council until the required reporting is made. That means that City Council agenda items without the disclosure will be removed from the Council agenda.
Financial Interest Disclosure to City of Modesto
The Bidder shall identify any person with a financial interest in the Bidder by name, below.
For the purposes of this disclosure, a “Financial Interest” shall have the meaning contained in Modesto Municipal Code section 2-10.02.
Persons having an aggregate economic interest in the Bidder less than two thousand dollars ($2,000.00) at all times prior to final Council action of the proposed contract are not required to be listed on the Financial Interest Disclosure.
Notwithstanding the foregoing, a Financial Interest Disclosure is not required for a Bidder meeting the financial criteria for listing on the New York or the Pacific Stock exchanges unless it is reasonably foreseeable that a City Council decision will increase or decrease that entity's gross revenues or expenses by one million dollars ($1,000,000) or more and the requirements of Modesto Municipal Code Section 2-
10.03(h) are satisfied.
It is the legal obligation of all applicants for approval of an agreement or of an application for development rights to verify in writing, under penalty of perjury, that the identity of each person having a material financial interest in the Bidder is true, correct, and complete. By signing below, the applicant understands that this information is provided under penalty of perjury, and that intentionally supplying misinformation or deception may result in either invalidation of the agreement or application, or criminal prosecution for misdemeanor violation of the Modesto Municipal Code, or both. Negligent provision of misinformation shall be grounds for invalidation. In accordance with the Modesto Municipal Code, each applicant has a continuing obligation to maintain the truth, accuracy and completeness of the financial interest disclosure information provided below until after final consideration by the City Council of any matter arising out of or relating to the agreement or application.
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
27 Print Names of Persons Having a Financial Interest in Bidder Receiving this Agreement:
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
First Name, Last Name
By signing this document, I agree to the information contained within.
Bidder Company Name:
Name of Bidder Signatory:
Signature of Bidder Representative:
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
28 BID FORM G – SUPPORT OF LOCAL VENDORS
Notice Pursuant to Modesto Municipal Code section 8.3-206 - Should the Bidder which submits the lowest responsive Bid (and would otherwise normally qualify to receive the Bid pursuant to Sections 8-3.203 and 8-
3.204 of the Modesto Municipal Code) not be a local business as defined herein, the lowest Bid or quote submitted by a local business that is within five percent (5%) of the lowest Bid or quote, whether or not that Bidder is the second lowest Bidder, may be deemed to be the lowest Bidder if the local Bidder agrees to reduce its Bid to match the Bid of the lowest Bidder in writing within five business days after notification by City Purchasing staff, provided that said local Bidder is deemed to be a responsible Bidder as determined by the Purchasing Manager.
Notwithstanding the foregoing, award to the local Bidder must still be approved by the City Council as would have the typical award.
To qualify as a local Bidder, the Bidder must have a physical business location within the City of Modesto and a current City of Modesto business license.
This document is only required should the Bidder request to be considered for the Support of Local Vendor preference, and meets the criteria noted above.
Check here:
I declare I am a local business per the above criteria
Bidder Company Name:
City of Modesto Address(Street,
City, State, Postal Code:
City of Modesto Business License
Number:
Under penalty of perjury, the undersigned declares that the foregoing information is true and correct:
Print/Type Name:
Title:
Signature:
Date:
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
29 BID FORM H - BIDDER COMPANY HISTORY STATEMENT
Bidder shall have been in business for a minimum of three continuous years (immediately prior to the time of the City’s solicitation) providing the services described in this Invitation for Bids (IFB).
The Bidder’s company history overview statement shall be approximately one to three pages in length and inserted below:
Bidder Company Legal Name: Insert Bidder Logo Here (if existent):
Insert Bidder Company History Overview Statement Beginning Here:
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
30 BID FORM I - ADDENDA ACKNOWLEDGEMENT
In order to obtain any addenda information, throughout the IFB period, Bidder is responsible for regularly checking the City of Modesto’s Planet Bid website at https://pbsystem.planetbids.com/portal/14999/bo/bosearch for the IFB number listed on the Cover Page and in the header of each subsequent page of this IFB, and in any event, no later than the day prior to Bid opening.. The changes identified in any addenda issued will modify this IFB and specifications. The addenda now become a part of this IFB and Bidder’s resultant Bid.
Signing the Bid on the signature portion thereof, the Bidder is acknowledging that the Bidder has confirmed that it has received all addenda issued for IFB and has included costs for such in the Bid submitted. Failure to list and acknowledge all addenda numbers may cause Bidder’s Bid to be considered nonresponsive.
Do not attach any of the addenda to this sheet nor include them with the Bid.
If no addenda have been issued against this IFB solicitation, Bidder may write “Not Applicable” and return this Bid Form as part of its submission. Alternatively, Bidder may leave this Bid Form out of its submission.
But if any addenda have been issued by the City of Modesto this document is required to be completed and returned.
The Bid is submitted with respect to the changes to the IFB included in addenda numbers:
List All Addenda Numbers, Separated by Commas
(“,”):
Bidder Company Name:
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
31 BID FORM J – BIDDER WARRANTY STATEMENTS
As a material part of its Bid, Bidder shall insert below a written statement detailing any materials and workmanship warranties, term, and conditions in conformance with the specifications and requirements set forth in this IFB.
Notwithstanding any other provisions of this IFB, Bidder warrants that the materials, supplies, or other services furnished under any contract or purchase order resulting from its Bid shall be on the most suitable grade and meet or exceed the standards set forth in this IFB. Such warranty shall include the following; performance, workmanship, labor, materials, and Bidder design or engineering contributions. If a defect is discovered in any item of the materials, assemblies, components, supplies, or services covered in this Bid, Bidder shall correct at its sole expense, all such defects as are reported within 30 days of City’s final acceptance. Upon expiration of the applicable warranty period, all such liability shall terminate except for fraud or such gross mistakes as amount to fraud, latent defects, or specific failure to comply with the terms or any resultant purchase order.
All materials, parts, labor, assemblies, and components shall by subject to the warranty conditions and terms unless specifically exempted in writing by the City of Modesto.
Bidder Company Legal Name: Insert Bidder Logo Here (if existent):
Insert Bidder Warranty Statement Beginning Here:
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
32 BID FORM K – BIDDER EXPERIENCE AND CERTIFICATIONS
Bidder shall provide below a summary covering the following:
A. Experience: The Contractor and its employees directly involved in providing inspections, services and repairs shall have a minimum of three years’ experience providing the types of services requested in this IFB:
i. Identify key personnel and their position within your organization. ii. Provide a biographical summary or resume detailing the experience, level of expertise and qualifications of the key individuals providing the types of services requested herein. iii. If you plan to subcontract work, you must also indicate in Bid Form L – Subcontractor List the name and address of each firm and the type of work or tasks the subcontractor will perform. Identify key personnel assigned to the project, their position, qualifications, and representative experience.
B. Certifications: Bidder shall provide copies of all relevant certifications held for both company and any individuals required to perform the services requested herein. #18..
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
33 BID FORM L - SUBCONTRACTOR LIST
Bidder shall list the name and the address of the place of business for each subcontractor who will perform work or labor or render services to the Bidder. In addition, list the type of work the subcontractor will perform, and; (if applicable) its Department of Industrial Relations (DIR) registration number and its California Contractor’s license number:
Name of
Subcontractor
Address Type of Work Contractor
License # (if any)
DIR
Registration #
(if any)
Bidder Company Name:
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
34 TECHNICAL SPECIFICATIONS AND REQUIREMENTS
SCOPE OF WORK:
The City of Modesto, Utilities Department, Water and Wastewater Divisions, Public Works Department, Compost and Streets Divisions, seek a qualified contractor(s) to provide material hauling services. The successful bidder shall furnish all labor, equipment, fuel, licenses, permits and insurance necessary to perform the work covered by these specifications on an as needed basis.
Materials hauled consist of asphalt, dirt, asphalt grindings, rock, road base material and concrete. Materials shall be picked up and/or hauled to various locations in and around the City of Modesto and Stanislaus County. All drivers and equipment must be trained and equipped on hauling asphalt paving. The City crew leader will determine if the driver and transfer trucks are compatible with the City’s paving machine.
All material haulers shall be responsible for turning in material tags and a daily trip sheet, to City Staff showing starting time, time and location of each load or unload, stop time and total hours charged to City. Tags shall be signed for by a City liaison immediately after the successful drop off of materials.
1.1 TECHNICAL SPECIFICATIONS:
A. Estimated amount of materials hauled is approximately 60,000 tons per year.
B. Contractor shall respond to all calls for material hauling service as requested by City staff. Contractor shall respond with four (4) to twenty (20) transfer trucks, end dump truck material haulers, bottom dump trucks and/or superdump trucks within fourteen (14) hours of receipt of call, load at various job sites and hauled to designated site. City crews will assist in loading and unloading materials. Typical hours of operation are Monday – Friday 6 AM – 4:30 PM.
C. It shall be the responsibility of the material hauler to safely load and unload materials at designated pickup and dumpsites.
D. The City reserves the right to designate locations to dump materials.
E. City staff reserves the right to inspect spoils once loaded onto the truck.
F. Contractor shall be responsible for providing the appropriate equipment and human resources needed to haul materials in accordance with all City, County, State of California, and Federal Government regulations.
G. Contractor shall be responsible for training drivers and ensuring drivers possess a valid California commercial driver’s license. All drivers’ actions shall comply with rules of the road for City, County and State of California.
H. Contractor shall be responsible for hauling materials in accordance with established City, County, State and Federal Regulations.
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
35 I. Contractor shall provide daily truck logs, showing the starting time, location and time of each load and unload. Any deduction for lunch break shall be included on the truck log. The log shall show actual hourly time charged to the City.
J. Contractor shall be responsible for all traffic control outside the controlled work zone per City, County, State, and Federal guidelines.
K. Contractor shall be responsible for any cleanup caused by trucks or drivers.
L. When grinding, Contractor shall not start charging for truck time until the truck is on the job site.
Trucks will be allowed thirty (30) minutes to return to their office.
M. When paving, Contractor shall start charging for truck time from the asphalt plant. At the end of the day, truck shall be allowed time to return to the plant.
N. Drivers shall maintain a Driver Mileage Trip Sheet (DMTS), which include the starting and ending (per trip or daily) mileage. The City reserves the right to verify mileage to confirm mileage accuracy as shown on the DMTS. Driver shall take the most direct, or time and fuel efficient route possible, abiding in compliance with City, County, State of California, and Federal Government regulations.
1.2 PREVAILING WAGES:
The payment of prevailing wages is required under this contract and all provisions of Section 7.04 of the General Provisions contained within the City standards shall apply.
1.3 CITY REPRESENTATIVE:
Work under any resulting contract shall be performed under the general technical guidance and direction of the City "City Representative". The City Representative is not authorized to commit the City to changes in specifications, requirements, or scope of work, changes in price(s), period of performance or delivery date(s) or method of shipment. Changes of a contractual or business nature shall be effected only by written change to the contract, issued by the City of Modesto, Purchasing Division.
1.4 CALIFORNIA LABOR CODE SECTION 1771.1 (a)
1771.1. (a) A contractor or subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or engage in the performance of any contract for public work, as defined in this chapter, unless currently registered and qualified to perform public work pursuant to Section 1725.5. It is not a violation of this section for an unregistered contractor to submit a bid that is authorized by Section 7029.1 of the Business and Professions Code or by Section 10164 or 20103.5 of the Public Contract Code, provided the contractor is registered to perform public work pursuant to Section 1725.5 at the time the contract is awarded.
Workers must be paid no less than the prevailing wage rate as published by the DIR, and Contractor shall maintain certified payroll. For additional information regarding Prevailing Wages, please contact the DIR at www.dir.ca.gov, or call the DIR, Labor Research and Statistics Unit, Prevailing Wage Unit at (415)-703-4774. #18..
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
36 1.5 REQUIRED LICENSES:
Prior to beginning any service that shall be furnished under this specification, the bidder shall secure the appropriate Business/Delivery license from the City of Modesto. Business/Delivery license information may be obtained by calling (209) 577-5389.
The successful bidder shall maintain a City of Modesto business license for the duration of the contract.
1.6 INSURANCE:
The CONTRACTOR shall provide, at its own expense, and maintain at all times the following insurance with insurance companies licensed in the State of California and shall provide evidence of such insurance to the CITY as may be required by the City Clerk of the CITY. The policies or certificates thereof shall provide that, thirty (30) days prior to cancellation or material change in the policy, notices of same shall be given to the Risk Manager of the CITY by registered mail, return receipt requested, for all of the following stated insurance policies.
A. Workers' Compensation - in compliance with the statutes of the State of California, plus employer's liability with a minimum limit of liability of $1,000,000.
B. General Liability - insurance with a minimum limit of liability per occurrence of $2,000,000 for bodily injury and property damage. The insurance shall indicate on the certificate of insurance the following coverage and indicate the policy aggregate limit applying to: premises and operations; broad form contractual; independent contractors and subcontractors; products and completed operations.
C. Automobile Liability – insurance with a minimum limit of liability per occurrence of $2,000,000 for bodily injury and property damage. This insurance shall cover any automobile for bodily injury and property damage.
If at any time any of said policies shall be unsatisfactory to the CITY, as to form or substance or if a company issuing such policy shall be unsatisfactory to the CITY, the CONTRACTOR shall promptly obtain a new policy, submit the same to Risk Manager for approval and submit a certificate thereof as hereinabove provided.
Upon failure of the CONTRACTOR to furnish, deliver or maintain such insurance and certificates as above provided, this Agreement, at the election of the CITY, may be forthwith declared suspended, or terminated.
Failure of the CONTRACTOR to obtain and/or maintain any required insurance shall not relieve the CONTRACTOR from any liability under this Agreement, nor shall the insurance requirements be construed to conflict with or otherwise limit the obligations of the CONTRACTOR concerning indemnification. The CITY, it agents, officers, employees, and volunteers shall be named as an additional insured on all insurance policies required herein, except Workers' Compensation.
The Workers' Compensation insurer shall agree to waive all rights of subrogation against the CITY, its agents, officers, employees, and volunteers for losses arising from work performed by CONTRACTOR for the CITY.
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
37 The CONTRACTOR's insurance policy(ies) shall include a provision that the coverage is primary as respects the CITY; shall include no special limitations to coverage provided to additional insured; and, shall be placed with insurer(s) with acceptable Best's rating of A:VII or with approval of the Risk Manager.
For any claims related to this project, the CONTRACTOR’s insurance coverage shall be primary insurance as respects the Entity, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the Entity, its officers, officials, employees, or volunteers shall be excess of the Contractor’s insurance and shall not contribute with it.
CONTRACTOR shall either require any subcontractor to procure and to maintain during the term of the subcontract all insurance in the amounts specified above, or shall insure the activities of subcontractors in the policy specified above. The limits of liability required may vary, depending on the type of permit or contract.
The successful bidder shall maintain proper insurance with the City for the duration of the contract.
1.7 CONTRACTOR’S RESPONSIBILITY FOR WORK:
Until the formal acceptance of the work by the City Representative, the Contractor shall be responsible for and have care, custody, and control of the work and of the parts, materials and equipment to be used therein, including parts, materials and equipment delivered to the work site. The Contractor shall bear full risk of loss, injury or damage to any part of the work and parts, material or equipment by action of the elements, or from any other cause, whether arising from the execution or non-execution of the work. The Contractor shall rebuild, repair, restore and make whole, all loss or damage to any portion of the work, parts or materials, before final acceptance, and shall bear the expense thereof, except for such loss or damage caused by the acts of the City, State, or Federal Government, or by an act of God as defined in Section 4150 of the California Government Code.
Suspension of work for any cause whatsoever shall not relieve the Contractor of his/her responsibility for the work or parts and materials as specified on the work request.
The Contractor shall be responsible for and remedy all defects arising from faulty, improper or inferior workmanship, or parts and materials discovered in any part of the work, during one year after the completion and acceptance of the work.
The Contractor shall be responsible for any damage his/her activities cause to adjacent public or private property. The Contractor shall take all measures necessary to protect the surrounding area from debris or other damage resultant from the project activities.
1.8 CHARACTER OF WORKERS:
If any person employed by the Contractor fails or refuses to carry out the direction of the City Representative or appears to be incompetent or acts in a disorderly or improper manner, that person shall be discharged immediately from the job on the request of the City Representative or Purchasing Manager, and such person shall not again work on any City job.
1.9 LABOR FORCE AND SUPERVISION:
The Contractor shall provide sufficient labor at all times to carry out the work properly and shall ensure that competent workers who are skilled in the type of work required are employed. The Contractor shall ensure that #18..
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INVITATION FOR BIDS # 2223-34
MATERIAL HAULING SERVICES
38 supervision is provided at all times while any work under this contract is being performed. If, in the judgment of the City, any person is incompetent or disorderly, Contractor shall promptly remove such person from the work for the duration of the contract.
1.10 DELAY BY THE CITY:
Any act or omission of any kind by the City of Modesto, its officers, agents or employees, which causes the Contractor delay in the completion of the work shall be grounds for extension of time on the part of the Contractor to complete the work, but shall give the Contractor no damages for such delay.
1.11 ADDITIONAL AND EMERGENCY PROTECTION:
Whenever, in the opinion of the City Representative, the Contractor has not taken sufficient precautions for the safety of the public, or property and structures adjacent to the work site, the City Representative may provide suitable protection with or without first notifying the Contractor. The cost and expense of such protection provided by the City shall be borne by the Contractor. The City shall deduct the cost of such protection from any monies due or to become due to the Contractor.
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39 SAMPLE AGREEMENT
SAMPLE ANNUAL AGREEMENT - SERVICES
This agreement, hereinafter called AGREEMENT, made and entered into in the City of Modesto, State of California, this ____ day of ____________________ , 2023, by and between the City of Modesto, a municipal corporation of the State of California, hereinafter called CITY, and _________________, a ______ _______, hereinafter called CONTRACTOR.
W I T N E S E T H:
WHEREAS, the Modesto City Council adopted Resolution No. 2023-xx authorizing the Award of Bid and agreement for the MATERIAL HAULING SERVICES to CONTRACTOR, attached hereto as Exhibit “A” and made a part hereof, and
WHEREAS, the CONTRACTOR provided a responsive and responsible submittal that best meets the CITY needs, attached hereto as Exhibit “B”, and made a part hereof, and WHEREAS, the CITY and CONTRACTOR shall enter into an agreement for the MATERIAL HAULING SERVICES as described in IFB 2223-34 attached hereto as Exhibit “C” and made a part hereof (hereinafter called IFB).
NOW, THEREFORE, the parties hereto mutually agree as follows:
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40 1. THE WORK:
a) CONTRACTOR shall furnish all labor, materials, equipment, fuel, tools, licenses, and insurance necessary to perform and complete the required work as specified in Exhibit “C”, and in strict accordance with the conditions of the complete AGREEMENT. b) CONTRACTOR shall do and perform the work contemplated hereby in a good workmanlike manner under the direction of and to the satisfaction of the CITY Representative. c) CONTRACTOR shall maintain proper insurance with the CITY for the duration of the AGREEMENT.
d) CONTRACTOR shall maintain a CITY business license for the duration of the AGREEMENT.
e) CONTRACTOR shall furnish said services at the following AGREEMENT rates for an estimated annual amount $_________________. The total amount paid by CITY to CONTRACTOR over the full term of the AGREEMENT shall not exceed $____________. Unless the services provided are for a lump sum or flat fee, fees for work performed by CONTRACTOR on an hourly basis shall not exceed the amounts shown on Bid attached hereto as Exhibit B.
AGREEMENT PRICING
PAYMENT OF PREVAILING WAGES REQUIRED
Description Billable Hourly Rate
Material Hauling Services $_______________________________________/Hr List diesel price at time of bid submittal $___________________________________/Gallon List percent of hourly unit rate associated with fuel cost ______________________________/% of fuel cost #18..
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41 2. PREVAILING WAGES:
In accordance with California Labor Code Section 1771, CONTRACTOR shall pay all workers, and shall ensure its subcontractors pay all of their workers, engaged in performing the services described in Exhibit “C” not less than the general prevailing rate of per diem wages for work of a similar character in the locality in which the services described in Exhibit “C” are to be performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work as provided in the California Labor Code. In accordance with California Labor Code Section 1773.2, the City has obtained the general prevailing wages in the locality in which the services described in Exhibit A are to be performed for each craft or type of work needed to be as published by the State of California Department of Industrial Relations, Division of Labor Statistics and Research, a copy of which is on file in the CITY’s Purchasing Department and shall be made available on request. Contractor must comply with all applicable laws and regulations that apply to wages earned in performance of the services described in Exhibit “C”, including those set forth in Labor Code section 1770 et. seq. and in the IFB.
DIR Project ID#: _________________
3. CITY REPRESENTATIVE:
CITY Representative is:
NAME, TITLE, (209) XXX-XXXX , EMAIL
Purchasing Contact:
NAME, TITLE, (209) XXX-XXXX , EMAIL
The CITY Representative is not authorized to commit the CITY to changes in specifications, requirements, or scope of work, changes in price(s), period of performance or delivery date(s) or method of shipment. Changes of a contractual or business nature shall be effective only by written change to the AGREEMENT, issued by the City of Modesto, Purchasing Division.
4. TERM OF AGREEMENT:
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42 The term of the AGREEMENT shall be for a period of two years, with three one-year extension options at the sole discretion of CITY, for a total of up to five years.
Year 1: 2023 through 2024
Year 2: 2024 through 2025
Year 3: 2025 through 2026
Year 4: 2026 through 2027
Year 5: 2027 through 2028
Pricing as set forth in Section 1.e. above shall remain firm for the first two years of the AGREEMENT.
Price increases for any subsequent AGREEMENT years following the second year, shall not exceed the percentage change in the Consumer Price Index (CPI) for West Urban Area in any one AGREEMENT year, and shall be negotiated through the Purchasing Division. Requests for price increases shall be submitted by CONTRACTOR in writing, 90 days prior to the annual anniversary date of the AGREEMENTto be effective for the subsequent year.
5. LIABILITY INSURANCE:
The CONTRACTOR shall provide, at its own expense, and maintain at all times the following insurance with insurance companies licensed in the State of California and shall provide evidence of such insurance to the CITY as may be required by the City Clerk of the CITY. The policies or certificates thereof shall provide that, at least 30 days prior to cancellation or material change in the policy, notices of same shall be given to the Risk Manager of the CITY by registered mail, return receipt requested, for all of the following stated insurance policies.
a. General Liability - insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and property damage. The insurance shall indicate on the certificate of insurance the following coverage and indicate the policy aggregate limit applying to: premises and operations; broad form contractual; independent contractors and subcontractors; products and completed operations; and/or professional liability. b. Automobile Liability – insurance with a minimum limit of liability per occurrence of $2,000,000 #18..
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43 for bodily injury and property damage and transportation related pollution liability. This insurance shall cover any automobile for bodily injury and property damage.
c. Workers' Compensation - in compliance with the statutes of the State of California, plus employer's liability with a minimum limit of liability of $1,000,000 per accident for bodily injury or disease.
If at any time any of said policies shall be unsatisfactory to the CITY, as to form or substance or if a company issuing such policy shall be unsatisfactory to the CITY, the CONTRACTOR shall promptly obtain a new policy, submit the same to the CITY’s Risk Manager for approval and submit a certificate thereof as hereinabove provided. Upon failure of the CONTRACTOR to furnish, deliver or maintain such insurance and certificates as above provided, this AGREEMENT, at the election of the CITY, may be forthwith declared suspended, or terminated. Failure of the CONTRACTOR to obtain and/or maintain any required insurance shall not relieve the CONTRACTOR from any liability under this Agreement, nor shall the insurance requirements be construed to conflict with or otherwise limit the obligations of the CONTRACTOR concerning indemnification.
The CITY, its agents, officers, employees, and volunteers shall be named as an additional insured on all insurance policies required herein, except Workers' Compensation.
The Workers' Compensation insurer shall agree to waive all rights of subrogation against the CITY, its agents, officers, employees, and volunteers for losses arising from work performed by CONTRACTOR for the CITY.
The CONTRACTOR’s insurance policy(ices) shall include a provision that the coverage is primary as respects the CITY; shall include no special limitations to coverage provided to additional insured; and, shall be placed with insurer(s) with acceptable Best's rating of A:VII or with approval of the CITY’s Risk Manager.
For any claims related to this AGREEMENT, the CONTRACTOR’s insurance coverage shall be primary insurance as respects CITY, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by CITY, its officers, officials, employees, or volunteers shall be excess of the CONTRACTOR’s insurance and shall not contribute with it.
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44 6. PAYMENT:
CONTRACTOR shall invoice CITY not less than once per month based on the cost for services performed and reimbursable costs incurred prior to the invoice date. All invoices shall be paid in full the following payment terms within thirty days after completion and acceptance of the Services by the CITY, and receipt of a properly prepared invoice, CITY will pay CONTRACTOR [TO BE DETERMINED BY IFB RESPONSE IN FINAL AGREEMENT, EITHER “Net 30 terms via CITY’s ePay Program” or “Net 45 Days via manual check”.]. The CITY is exempt from payment of Federal Excise Tax, and all invoices shall be exclusive of such excise tax.
Invoice to: City of Modesto
Attn: Accounts Payable
P.O. Box 642
Modesto, CA 95353
Email to: [email protected]
At a minimum, invoices shall state the following:
• This AGREEMENT number
• CITY department/division name and address
• Billing period
• Service hours worked day and week
• Unit price, extended price, sales tax, and total
7. INDEMNITY: The CONTRACTOR shall hold the CITY, its agents, officials, officers, employees, and volunteers, harmless from and save, defend and indemnify them against any and all claims, losses, liabilities, judgments or damages from every cause, including but not limited to injury to person or property or wrongful death, including reasonable costs and expenses of defense of any judicial or administrative action, arising directly or indirectly out of any negligent or intentional act or omission of CONTRACTOR, or its agents, officials, officers, employees, or volunteers relating to or during the #18..
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45 performance of its obligations under this AGREEMENT. CONTRACTOR’s obligation to defend, indemnify, and hold the CITY, its agents, officials, officers, and employees harmless under the provisions of this paragraph is not limited to or restricted by any requirement in this AGREEMENT for CONTRACTOR to procure and maintain a policy of insurance.
8. VENUE & GOVERNING LAW:
Venue for any dispute or claim arising or related to this AGREEMENT its performance, breach, or interpretation (including issues about its validity or enforceability), shall be exclusively in the Superior Court of Stanislaus County or the United States District Court for the Eastern District of California This AGREEMENT shall be deemed made in, governed by, performed in, and construed and enforced in accordance with the laws of the State of California, without giving effect to its conflicts of laws provisions or principles.
9. ATTORNEYS’ FEES: If a party to this AGREEMENT brings any action, including an action for declaratory relief, to enforce or interpret the provision of this AGREEMENT, the prevailing party shall be entitled to reasonable attorneys’ fees in addition to any other relief to which that party may be entitled. The court may set such fees in the same action or in a separate action brought for that purpose.
10. COMMENCEMENT AND COMPLETION OF THE WORK:
The work contemplated herein shall be commenced after the agreement administrator receives and has on file:
Proofs of insurance (approved by CITY Risk Manager); and Executed Agreement;
a. Resolution No.2023-_______;
b. CONTRACTOR Bid submittal;
c. IFB No. 2223-34
d. Contractor’s City of Modesto business license
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46 11. TERMINATION OF SERVICES:
Termination for Default: In the event either party fails to perform under this AGREEMENT or breaches any condition contained herein, the other party shall notify in writing the breaching party of the nonperformance. Within 10 days after receipt of notification, the breaching party shall correct any nonperformance to the reasonable satisfaction of the non-breaching party, or such other time as may be identified in the notice. Failure to correct any non-performance shall allow the non-breaching party to terminate this AGREEMENT for cause.
Termination by City for Convenience: The City may also terminate this AGREEMENT the Contractor'sperformance underthe Agreement, eitherinwholeorinpart, at itsown discretion and without cause.
Post-Termination Procedure
Upon receipt of a written notice of termination pursuant to either of the foregoing paragraphs, the CONTRACTOR shall:
a. Cease its work as directed in the notice of termination as of the termination date and see to it that its employees, subcontractors, and agents are notified of such termination and act as specified in the notice of termination; b. Terminate all orders and subcontracts except as necessary to complete any portion of the SERVICES that are not terminated;
c. If directed in writing by the CITY to do so, assign all right, title and interest in subcontracts and materialsin progress to CITY, in which case the CITY will have the right at its discretion to settle, or pay any or all claims arising out of the termination of such, but in no event shall recovery by any CONTRACTOR or subcontractor include lost profits for portions of the SERVICES not completed or undertaken, including materials not delivered; #18..
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47 d. Deliver or otherwise make available to the CITY all data, drawings, specifications, reports, estimates, summaries and such other information and material as may have been accumulated by the CONTRACTOR in performing the SERVICESwhethercompleted orin process;
e. Settle outstanding liabilities and claims, subject to the approval of CITY; f. Complete performance of such part of the SERVICES as has not been terminated; g. Take such other actions as may be necessary, or as may be directed by the CITY for the protection and preservation of the SERVICES and/or property related to the SERVICES;
h. If CITY so requests, and at CITY's cost, CONTRACTOR shall provide sufficient oral or written status reports to make CITY reasonably aware of the status of CONTRACTOR’s work on the SERVICES.
i. CONTRACTOR understands and agrees that CITY may, in CITY’s sole discretion, refuse to pay CONTRACTOR for that portion of CONTRACTOR's SERVICES which were performed by CONTRACTOR on the project prior to the termination date and which remain unacceptable and/or not useful to CONTRACTOR as of the termination date.
CITY will pay CONTRACTOR for SERVICES actually completed prior to the receipt of the termination notice or otherwise completed in accordance with the notice of termination. The final payment to the CONTRACTOR after termination for convenience shall be limited to amounts due and owing under the AGREEMENTat time of termination, including the following:
a. The cost of settling and paying valid claims arising out of the termination of the SERVICES such as subcontractor agreements or contracts for materials; b. The AGREEMENT price allocable to the portion of the SERVICES properly performed or goods supplied to the work site by the CONTRACTOR as of the #18..
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48 date of termination, as determined in accordance with the notice of termination, reduced by any sums previously paid to the CONTRACTOR for such SERVICES.
12. COMPLIANCE WITH ALL LAWS:
CONTRACTOR hereby agrees that CONTRACTOR and its subcontractors, if any, in the performance of the SERVICES described herein, will comply with all federal, state, county and municipal laws, rules and regulations which may be applicable to the work herein contracted for, whether now in existence or hereafter adopted.
13. FAILURE TO PERFORM SATISFACTORY WORK: It is agreed and understood that if the CONTRACTOR fails to perform the SERVICES as specified herein, CITY's representative may:
a. Consent to accept such unsatisfactory service with an appropriate adjustment in contract price, based on established cost factors,
b. Have such required work done by CITY forces or otherwise, and charge the cost thereof to the CONTRACTOR, or
c. Recommend termination of AGREEMENT between said the CONTRACTOR and the City of Modesto.
Those discrepancies and deficiencies in the SERVICES that remains uncorrected after the date set for correction may be the necessary justification for a billing adjustment in the month following the occurrence.
Unless otherwise negotiated, billing adjustments for this incomplete or uncorrected work shall be permanent retention of 100% of the estimated monthly cost for the SERVICES not corrected or completed.
14. ASSIGNMENT OF RIGHTS: The CONTRACTOR offers and agrees, and will require all subcontractors and suppliers to agree, to assign to the CITY all rights, title, and interest in and to all causes of action it and they may have under Section 4 of the Clayton Act (15 United States code, Section 15) or under the Cartwright Act (Business and Professions Code, Section 16700 et seq.), arising from the acquisition of goods, services, or materials pursuant to this AGREEMENT or any allowed #18..
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49 subcontract. The assignment made by CONTRACTOR and all assignments made by subcontractors and suppliers shall be made and become effective at the time the CITY makes final payment to the CONTRACTOR, without further acknowledgment by the parties (Government Code, Sections 4550- 4554).
15. CITY PROCESS/PROCEDURE APPROVALS: CITY approval of any process or procedure shall not relieve CONTRACTOR of its responsibility to furnish the required SERVICES meeting all specifications contained herein.
16. DIR REGISTRATION: Pursuant to Labor Code section 1771.1, CONTRACTOR may not engage in the performance of the Services set forth in Exhibit “C”, unless currently registered and qualified to perform public work pursuant to Section 1725.5 thereof. As required in Section 7029.1 of the Business and Professions Code or by Section 10164 or 20103.5 of the Public Contract Code, that during term of this AGREEMENT, CONTRACTOR shall be registered to perform public work pursuant to Section 1725.5 thereof.
17. CONTRACTOR'S RESPONSIBILITY FOR DAMAGES: If CONTRACTOR damages any property belonging to the CITY or a third party, the CONTRACTOR will be required to make repairs immediately, at CONTRACTOR’s sole cost and expense, to the satisfaction of the CITY. In the event that CONTRACTOR fails to perform the necessary repairs, the CITY may either retain from the money due to CONTRACTOR an amount sufficient to repair the damage or perform the repairs and send an invoice to the CONTRACTOR for such costs, which shall be paid within thirty (30) days.
18. NOTICES:
Any notice, payment or instrument required or permitted by this AGREEMENT to be given or delivered to either party shall be deemed to have been received when personally delivered, or one calendar week following deposit of the same in any United States Post Office, registered or certified mail, postage prepaid, addressed as follows:
CONTRACTOR: __________________
__________________
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50 __________________
__________________
CITY: City of Modesto
Purchasing Division
P.O. Box 642
Modesto, CA 95353
Each party may change its address for delivery of notice by delivering written notice of such change of address to the other party.
19. SIGNATORY(IES) FOR CONTRACTOR:
Each signatory for CONTRACTOR below warrants and represents that it is legally competent to, and have full authority to, execute the AGREEMENT.
20. QUANTITIES: No minimum or maximum is guaranteed
or implied.
21. FUNDING: All annual extensions are based upon continuous funding for that purpose by the City Council. Failure to fund any annual extension shall result in an immediate termination of the AGREEMENT without redress.
22. OTHER GOVERNMENT/PUBLICLY FUNDED AGENCIES: If mutually agreeable to all parties, the issuance of any resultant contract/purchase order referencing these specifications and modified by mutual agreement between all parties may be extended to other government or publicly funded agencies. It shall be understood that all terms and conditions as specified herein shall apply.
23. NON-DISCRIMINATION:
a. During the performance of this AGREEMENT, CONTRACTOR and any allowed subcontractors shall not unlawfully discriminate against any employee or applicant for employment because of race, color, ancestry, religion, sex, national origin, marital status, age, medical condition (cancer related), physical handicap (including AIDS), sexual orientation, or any other basis prohibited by Federal or California law. Equal employment opportunity extends, but is not limited to recruitment, compensation, benefits, layoff, termination, and all other conditions of employment. The CONTRACTOR and any allowed subcontractors shall ensure that #18..
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51 the evaluation and treatment of their employees and applicants for employment are free of such discrimination.
The CONTRACTOR and any allowed subcontractors shall comply with the provisions of the Fair Employment and Housing Act (Government Code, Section 12900 et seq.) and the applicable regulations promulgated thereunder (California Administrative Code, Title 2, and Section 7285.0 et seq.). The applicable regulations of the Fair Employment and Housing Commission implementing Government Code, Section 12900, set forth in Chapter 5 of Division 4 of Title 2 of the California Administrative Code are incorporated into this contract by reference and made a part hereof as if set forth in full. b. The CONTRACTOR and any allowed subcontractors shall give written notice of their obligations under this clause to labor organizations with which they have a collective bargaining or other agreement.
c. The CONTRACTOR shall include the nondiscrimination and compliance provisions of this clause in any allowed subcontracts to perform SERVICES. d. The Contractor shall permit access by representatives of the Department of Fair Employment and Housing and the CITY upon reasonable notice at any time during the normal business hours, but in no case less than 24 hours’ notice, to such of its books, records, accounts, other sources of information and its facilities as said Department or CITY shall require to ascertain compliance with this AGREEMENT. e. By executing this AGREEMENT, CONTRACTOR certifies that it shall follow and be in compliance with the Americans with Disabilities Act of 1990, the applicable administrative requirements promulgated in response thereto, and any other applicable Federal laws and regulations relating to handicap discrimination and participation and will continue to do so for at least the duration of the AGREEMENT and any extensions thereof.
24. CONTRACTOR LICENSES & PERMITS: CONTRACTOR warrants and represents that it possesses and shall maintain all licenses, and shall secure and maintain all necessary permits, necessary to perform the SERVICES.
25. RECORDS: All final versions of reports, data, maps, models, charts, studies, surveys, #18..
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52 photographs, memoranda, plans, studies, specifications, records, files, or any other documents or materials, in electronic or any other form, that CONTRACTOR prepares or obtains pursuant to this Agreement and that relate to the matters covered hereunder shall be the property of the CITY.
CONTRACTOR hereby agrees to deliver those documents to the CITY upon termination of the AGREEMENT, and the CITY may use, reuse, or otherwise dispose of the documents without CONTRACTOR’s permission. It is understood and agreed that the documents and other materials, including but not limited to those described above, prepared pursuant to this AGREEMENT are prepared specifically for the City and are not necessarily suitable for any future or other use.
26. FACILITIES AND EQUIPMENT: Except as set forth herein, CONTRACTOR shall, at its sole cost and expense, provide all facilities and equipment that may be necessary to perform the services required by this AGREEMENT. CITY shall make available to CONTRACTOR only the facilities and equipment listed in EXHIBIT “B” and “C”, and only under the terms and conditions set forth herein.
27. INDEPENDENT CONTRACTOR; NOT AGENT: At all times during the term of this AGREEMENT, CONTRACTOR shall be an independent contractor and shall not be an employee of CITY. CITY shall have the right to control CONTRACTOR only insofar as the results of CONTRACTOR’s services rendered pursuant to this AGREEMENT. Except as City may specify in writing, CONTRACTOR shall have no authority, express or implied, to act on behalf of CITY in any capacity whatsoever as an agent. CONTRACTOR shall have no authority, express or implied, pursuant to this AGREEMENT to bind City to any obligation whatsoever. #18..
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53 28. DRUG FREE WORKPLACE: CONTRACTOR certifies that it is following and in compliance with Sections 8350 - 8355 of Chapter 5.5 of the Government Code, Drug Free Workplace Act whereby each person or organization awarded a contract/purchase order or grant for the procurement of any property or service from any state agency (city) shall certify to the contracting or granting agency that it will provide a drug free workplace.
29. ASSIGNMENT:
Neither this AGREEMENT nor any SERVICES hereunder shall be subcontracted or assigned by CONTRACTOR without the prior written consent of the CITY in each and every instance.
30. WAIVER:
The waiver by any party to this AGREEMENT of a breach of any provision hereof shall be in writing and shall not operate or be construed as a waiver of any other or subsequent breach hereof unless specifically stated in writing.
31. HEADINGS NOT CONTROLLING:
Headings used in the Agreement are for reference purposes only and shall not be considered in construing this AGREEMENT.
32. MISCELLANEOUS:
Time is of the essence in CONTRACTOR’s performance under each provision of this AGREEMENT.
33. ENTIRE AGREEMENT:
This Agreement and its exhibits contain the entire understanding between CONTRACTOR and CITY. Additional or new terms contained in this AGREEMENT which vary from CONTRACTOR’S bid are controlling and are deemed accepted by CONTRACTOR by performance of any SERVICES or other commencement of performance hereunder. The terms and conditions of the IFB, attached hereto as Exhibit C, are incorporated herein. In the event of a conflict between the IFB and this AGREEMENT, this AGREEMENT shall control. All previous bids, offers and communications relative to this Agreement, whether oral or written, are hereby superseded except to the extent that they have been incorporated into this #18..
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54 Agreement. No future waiver or exception to any of the terms, conditions, and provisions of this AGREEMENT shall be considered valid unless specifically agreed to in writing by the parties.
34. PARTIAL INVALIDITY:
If any provision in this AGREEMENT is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions shall nevertheless continue in full force without being impaired or invalidated in any way.
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55 IN WITNESS WHEREOF, the CITY OF MODESTO, a municipal corporation, has authorized the execution of this Agreement in duplicate by its City Manager and attested by its City Clerk under authority of Resolution No. 2023- _________ adopted by the Council of the City of Modesto on the _____________ day of _____________________, 2023 and _____________________has caused this Agreement to be duly executed.
CITY OF MODESTO, CONTRACTOR
A municipal corporation
By: __________________________ By: _________________________________ JOSEPH P. LOPEZ, (Signature)
City Manager
By: _________________________________
(Name & Title)
ATTEST: Date: _______________________________
By: __________________________
DIANE NAYARES-PEREZ, CMC,
City Clerk
(SEAL)
APPROVED AS TO FORM:
By: ____________________________
JOSE M. SANCHEZ,
City Attorney
By: ____________________________
JOE F. RODRIQUEZ,
Risk Manager
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ITEM # ITEM/DESCRIPTION QTY UNIT OF
ISSUE UN PRC EXTENSION UN PRC EXTENSION UN PRC EXTENSION 1 MATERIAL HAULING SERVICES 1 HOUR $116.00 $116.00 $154.94 $154.94 $160.00 $160.00 2 DRIVER - DUMP 1 HOUR $23.37 $23.37 $75.00 $75.00 $82.33 $82.33
PITTSBURG, CA
GOLDEN TRUCKING***
STOCKTON, CA
CITY OF MODESTO
PO BOX 642 MODESTO CA 95353
IFB NO. 2223-34 MATERIAL HAULING SERVICES
MODESTO, CA
SEKHON & SON TRUCKING CALIFORNIA MATERIALS
***Golden Trucking was deemed non-responsive, as they did not respond to multiple requests for information. #18..
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CITY OF MODESTO
COUNCIL AGENDA REPORT
DATE OF MEETING:
December 5, 2023
Date: November 2, 2023
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: William Wong, Director of Utilities
SUBJECT: Olea Edge Large Water Meter Health Analytics
CONTACT: Manuel Martinez, Acting Water Division Manager, [email protected], 209-342-4592
DESCRIPTION:
Consider approving an Agreement with Olea Networks, Inc., Bee Cave, TX for Large Commercial Water Meter Health Analytic Software and Technology for a total cost not to exceed $1,500,000 over five years. (Funding Source: Water Fund) STRATEGIC PLAN ELEMENT:
The recommended action supports the 2020-2025 City of Modesto Strategic Plan Initiatives, Goal D: Provide safe efficient, and reliable infrastructure through proactive community investment, maintenance, and sustainability efforts.
BACKGROUND:
The City must comply with the State Water Resources Control Board Water Code, Section 10608.34, which requires the State Water Board to develop water loss performance standards for urban retail water suppliers. Executive Order B-37-16, making water conservation a way of life, directs the State Water Board and Department of Water Resources to minimize water waste through system leaks.
Beginning in 2017, SB 555 requires the City of Modesto to submit a validated water loss report for the previous year. These audits estimate distribution system losses due to leaks, bursts, billing or meter inaccuracies and theft using the system’s total water supply and actual consumption volumes.
In 2022, the Water Division engaged Olea Networks, Inc. (“Olea”) to conduct a pilot deployment of Meter Health Analytics (MHA) on twenty-five (25) large meters throughout the City. Olea’s Smart Water Revenue System is a patented, proprietary equipment and software system available only from Olea. Patents include a retrofit device and method for retrofitting flow meters, analysis of pipe systems with sensor devices, and portable wireless mesh devices with #19..
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City Council, December 5, 2023
Olea Edge Large Water Meter Health Analytics