Agenda packet — Palm Springs City Council, September 14, 2023 (part 3 of 7)

“5.26.020 Definitions.

For the provisions of this Chapter, the following definitions shall apply:
“Adjusted tax rate” means the hotel operations incentive program tax rates which shall be exclusively utilized for the calculation of the operating assistance to be paid by the City to qualified operators of hotels participating in the hotel performance incentive program. For hotels of one hundred twenty-four rooms or less, the adjusted tax rate shall be ten and nine-tenths percent of the rent charged by the operator of the hotel for transient occupancies. For hotels of one hundred twenty -five rooms or more, the adjusted tax rate shall be twelve and one-tenths percent of the rent charged by the operator of the hotel for transient occupancies. The adjusted tax rate set forth in this Section shall exclusively apply for the calculation of any and all operating assistance for the term of the hotel performance incentive program without regard to any increases at any time in the City of Palm Springs’ transient occupancy tax rates.
“Certified Renovation Investment” means the amount of money that the operator of a Renovation Hotel plans to invest in the course of a Phase II Renovation Project, and (i) documents to the City’s satisfaction, in its Hotel Operations Incentive Program application, all improvements proposed, and subsequently (ii) certifies in writing, to the City Manager or their designee, upon completion of the project, the actual costs and expenses incurred. If a Phase II Renovation Project includes hotel rooms, the amount of the investment shall not be less than five thousand dollars ($5,000.00) per room subject to the project. If the project includes any common area or amenity, or any other area for guest use at the hotel, the amount of the investment shall not be less than the amount, if any, invested in rooms, added to the total number of rooms at the hotel that will exist at the end of the project multiplied by five thousand dollars ($5,000.00). “Committable rooms program” means the Palm Springs conventio n center’s committable rooms program which provides the convention center with a list of hotel properties and a count of hotel rooms available, one year in advance or more, for potential reservation by meeting groups and/or conventions in the City.
“Comfort hotel” means a hotel which provides appropriate standards of physical features and operational services established for hotels by the American Automobile Association, J.D. Power & Associates, Forbes, or Smith’s Travel Research Service.

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“Construction” means the process of making, building, fabricating, installing, and setting up tangible physical enhancements to a hotel that include without limitation, one or more of the following: (i) modification of an existing structure or amenity, (ii) new or upgraded furniture, fixtures or equipment, (iii) new or upgraded landscaping. Construction may address hotel rooms, common areas, and/or other areas for guest use. “Existing hotel” means a property that was constructed, occupied, and used as a hotel on or before January 1, 2006.
“First class hotel” means a hotel which provides standards of physical features and operational services which meet or exceed the higher rating criteria established for hotels by the American Autom obile Association, J.D. Power & Associates, Forbes, or Smith’s Travel Research Service.
“First class hotel standard” means standards of physical features and operation which qualify a hotel as a first class hotel and which include operation of t he hotel on a twenty -four hours per day/seven day a week basis with housekeeping services, food and beverage services, room services, banquet and meeting services, concierge and bellman services, and parking services.
“Fully entitled” means a ho tel that has received and/or been issued all discretionary permits and entitlements from the City required for the construction of a new hotel.
“Hotel” means any property containing four (4) or more guest rooms used by four (4) or more guests fo r compensation and where the guest rooms are designed and intended as transient occupancy accommodations. “New hotel,” “first class new hotel,” and “comfort new hotel” means a hotel or first class hotel or comfort hotel that is or was fully entitled as a hotel after January 1, 2008, but before December 31, 2014 and which is under construction prior to December 31, 2017. The term “new hotel” does not include all, or any portion of, or addition to, an existing hotel. “Operating covenants ” means the covenants described in Section 5.26.050 of this Code.
“Operator” means the person who is proprietor of a hotel, whether in the capacity of owner, lessee, sub -lessee, mortgagee in possession, licensee, franchisee, or any other capacity, or the assignee or designee of such proprietor.

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“Phase II Renovation Project” means a hotel improvement project constructed by a Renovation Hotel commencing no more than twelve (12) months after the City’s execution of the operating covenant for that hotel, and completed no later than December 31, 2028 . The hotel may suspend all or some of its operations during cons truction of the project. Collection and payment to the City of transient occupancy tax under Chapter 3.24 of this Code for any portion of the hotel that remains open during construction of the project shall continue until the project’s completion, without any consideration to the operator pursuant to this Chapter. Whether th e hotel suspends operations or not, collection and payment to the City of transient occupancy tax under Chapter 3.24 of this Code b y a Phase II Renovation Project hotel pursuant to this Chapter shall commence immediately on the Renovation Approval Date.
“Phase II Renovation Project Transient Occupancy Tax Base” means the annual average, during the thirty -six (36) month peri od prior to the date when the City deems the Hotel Operations Incentive Program application of a potential Renovation Hotel to be complete, of transient occupancy tax owed to the City.
“Phase II Renovation Project Transient Occupancy Tax Base Adjustment” means the the one-time increase to the Phase II Renovation Project Transient Occupancy Tax Base after the fifth anniversary date of the Renovation Approval Date of the hotel . This increase shall be in an amount equal to three percent (3%), or the annual percentage change in the most recent month’s data in the Consumer Price Index, whichever is higher. The Consumer Price Index used in calculating this adjustment shall be the “Consumer Price Index, Los Angeles -Long Beach -Anaheim, All Items, 1982-84=100 base, All Urban Consumers (CPI-U).”
“Phase II Renovation Project Transient Occupancy Tax Increment” means the amount of transient occupancy tax that a Renovation Hotel owes to the City annually, pursuant to Chapter 3.42 of this Code, after the Renovation Approval Date, minus the Phase II Renovation Project Transient Occupancy Tax Base as adjusted by the Transient Occu pancy Tax Base Adjustment.
“Qualified renovation program” means a property improvement program undertaken by an existing hotel which invests no less than fifteen thousand dollars per room, or invests no less than one million dollars in ancillary non-hotel room facilities and/or space. The property improvement program shall be comprehensively executed in a single renovation project on the property and be under construction no later than December 31, 2014 and completed no later than December 31, 2015.

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“Renovation Approval Date” is the date of the City’s final inspection and approval of improvements constructed pursuant to a Phase II Renovation Project.
“Renovation Hotel” means a “hotel” as defined in Palm Springs Zoning Code Se ction 91.00.00, as the City may amend that section from time to time, which hotel participates in the Hotel Operations Incentiv e Program as a Phase II Renovation Project hotel. Upon the adoption of this ordinance, “hotel” is defined “ any building or portion thereof containing six (6) or more guest rooms used by six (6) or more guests, for compensation (excepting jails and hospitals), where provision for cooking may be made in a limited number of individual suites, and which rooms are designed and intended as temporary or overnight accommodations. ” In order to qualify and apply for participation in the Hotel Operations Incentive Program under this Chapter, a Renovation Hotel must be in operation for a period of five (5) years prior to the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete. This five (5) year period may include changes in the ownership and/or name of the hotel in question and may include lapses in operation. Additionally, the five (5) year period is not required to be the five (5) years immediately preceding the date when the City acce pts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete. However, a Renovation Hotel shall only be eligible to receive an incentive pursuant to Section 5.26.040(d)(2), if the Renovation Hotel has been in operation for a total of at least five (5) years within the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete. A Renovation Hotel that has not been in operation for a total of at least five (5) years in the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operato r of a proposed Renovation Hotel as complete shall only be eligible to receive an incentive pursuant to Section 5.26.040(d)(3). No property that operates as a Homeshare or Vacation Rental pursuant to Chapter 5.25 of this Code may also operate as a Renovation Hotel or receive any payment under this Chapter.
“Transient occupancy” means an uninterrupted stay of no more than twenty-eight consecutive calendar days.
“Transient occupancy tax base” means the average of the last thirty- six months of annualized transient occupancy tax owed to the City by an existing hotel prior to the commencement of a qualified renovation program. “Transient occupancy tax increment” means the difference between the transient occupancy tax base and the amount of transient occupancy Item 1S - Page 9
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tax owed to the City by an existing hotel after the recordation of the operating covenants by the City.
“Under construction” means that all necessary discretionary entitlements have been approved by the City of Palm Springs, grading and building permits have been issued, and that inspection approvals by the City of Palm Springs of grading and foundations to grade level have been obtained, vertical construction of hotel rooms has begun, and the operating covenants have been recorded.”
SECTION 2. Amendment of Palm Springs Municipal Code
Section 5.26.040. Section 5.26.040 of the Palm Springs Municipal Code shall be amended in its entirety, to read as follows:

“Section 5.26.040 Incentive Program.

(a) First Class New Hotels. The City shall pay to an operator of a first class new hotel an amount equal to seventy -five percent (75%) of the adjusted tax rate. Such payments shall be made for thirty years or until the operator has been paid fifty million dollars, whichever event occurs first.

The City and a qualified participant under this Section may enter into an agreement, at the sole discretion of the City, to receive an increase in the percent of the adjusted tax rate, for no longer than the first two years of the qualified participant’s Incentive program.

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(c) Existing Hotels. The City shall pay to an operator of an existing hotel an amount equal to fifty percent of the transient occupancy tax increment collected and remitted to the City pursuant to Chapter 3.24 of this Code and such payments shall be made for ten years, or until the operator has received twenty-five million dollars, whichever event occurs first. (d) Phase II Renovation Project Hotels. Opera tors shall only receive an incentive pursuant to this Chapter in accordance with this Section 5.26.040(d).
(1) On a hotel’s Renovation Approval Date, the City shall inspect that hotel, and verify that the operator has implemented all Phase II Renovation Project improvements, and that the improvements remain on-site. Further, on or before a hotel’s Renovation Approval Date, th e operator of that hotel shall submit to the City such documentation as the City may require, and thereby certify and demonstrate the expenditure of that operator’s Certified Renovation Investment. Any unexpended portion of the Certified Renovation Investment shall be subtracted from the Certified Renovation Investment as that sum pertains to an operator’s recoupment of same in accordance with Section 5.26.040(d)(2).
(2) For a Phase II Renovation Project hotel with thirty-six ( 36) complete months of transient occupancy tax payments in the past three (3) years prior to the date when the City deems the Hotel Operations Incentive Program application of a potential Renovation Hotel to be complete and that has been in operation for at least a total of five (5) years within the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Pro gram application of an operator of a proposed Renovation Hotel as complete , the City shall on an annual basis, return, reimburse and pay to the operator of a Phase II Renovation Project hotel an amount equal to fifty percent (50%) of the Phase II Renovation Project Transient Occupancy Tax Increment collected and remitted to the City. Renovation Hotels that are Class 1 Historic Sites as defined in Palm Springs Municipal Code Chapter 8.05, shall receive an amount equal to seventy-five percent (75%) of the Phase II Renovation Project Transient Occupancy Tax Increment. The City shall continue making such payments until the ten (10) year anniversary of the first payment hereunder, or until an operator has recouped their Certified Renovation Investment, whichever occurs first. Notwithstanding any other provision in this Chapter, City payments to an operator, or the successor of an operator of a Phase II Renovation Project hotel under this Section 5.26.040(d) shall terminate immediately and permanently at the end of any period of thirty (30) days during which the hotel in question is not operated as Item 1S - Page 11
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a hotel, unless the City has consented to a suspension of operations pursuant to an operating covenant.
(3) For a Phase II Renovation Project hotel with less than thirty six (36) complete months of transient occupancy tax payments in the past three (3) years prior to the date when the City deems the Hotel Operations Incentive Program application of a potential Renovation Hotel to be complete or that has not been in operation for a total of at least five (5) years in the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete, the City shall on an annual basis, return, reimburse and pay to the operator of a Phase II Renovation Project hotel an amount equal to fifty percent (5 0%) of the Phase II Renovation Pro ject Transient Occupancy Tax Increment collected and remitted to the City. Renovation Hotels that are Class 1 Historic Sites as defined in Palm Springs Municipal Code Chapter 8.05, shall receive an amount equal to seventy -five percent (75%) of the Phase II Renovation Project Transient Occupancy Tax Increment. The City shall continue making such payments until the ten (10) year anniversary of the first payment hereunder, or until an operator has recouped their Certified Renovation Investment, whichever occurs first. Notwithstanding any other provision in this Chapter, City payments to an operator, or the successor of an operator of a Phase II Renovation Project hotel under this Section 5.26.040(d) shall terminate immediately and permanently at the end of any period of thirty (30) days during which the hotel in question is not operated as a hotel, unless the City has consented to a suspension of operations pursuant to an operating covenant.
(e) No Renovation Hotel receiving any amount of Phase II Renovation Project Transient Occupancy Tax Increment or any other consideration pursuant to an operating covenant entered pursuant to this Chapter may apply for any additional benefit pursuant to this Chapter, based upon a second Phase II Renovation Project or otherwise, until the termination of that Renovation Hotel’s receipt of such considerat ion or benefit in accordance with Section 5.26.040(d)(2).”

SECTION 4. Severability. If any section or provision of this Ordinance is for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, or contravened by reason of any preemptive legislation, the remaining sections and/or provisions of this Ordinanc e shall remain valid. The City Council hereby declares that it would have adopted this Ordinance, and each section or provision thereof, regardless of the fact that any one or more section(s) or provision(s) may be declared invalid or unconstitutional or contravened via Item 1S - Page 12
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legislation.

SECTION 5. CEQA. The City Council determines that the adoption of this Urgency Ordinance is exempt from environmental review under the California Environmental Quality Act (“CEQA”) pursuant to the following provisions of the CEQA Guidelines, 14 California C ode of Regulations, Chapter 3: this Ordinance is exempt under CEQA Guidelines Section 15378(b)(5) in that it is not a “project” under CEQA, and will not result in direct or indirect physical changes in the environment.

SECTION 6. Adoption, Certification, and Publication. The Mayor shall sign and the City Clerk shall certify to the passage and adoption of this Ordinance and shall cause the same, or the summary thereof, to be published and posted pursuant to the provisions of law and this Ordinance shall take effect thirty (30) days after passage.

PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL this _____ day of ______________, 2023.

GRACE ELENA GARNER
MAYOR
ATTEST:

BRENDA PREE, MMC

CITY CLERK

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.

CITY OF PALM SPRINGS )

I, BRENDA PREE, City Clerk of the City of Palm Springs, California, do hereby certify that Ordinance No. ____ is a full, true, and correct copy, and was adopted without introduction at a regular meeting of the City Council held on _________________, 2023 by the following vote:

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AYES:

NOES:

ABSENT:

ABSTAIN:

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this ______ day of _________, 2023.

BRENDA PREE, MMC

CITY CLERK

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ATTACHMENT B

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CITY COUNCIL STAFF REPORT
DATE: JU
LY 24, 2023 BUSINESS & LEGISLATIVE
SUBJECT: INTRODUCTION AND FIRST READING OF A PROPOSED ORDINANCE

OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING CHAPTER

5.26 OF THE PALM SPRING MUNICIPAL CODE REGARDING THE

HOTEL OPERATIONS INCENTIVE PROGRAM
FROM: Scott C. Stiles, City Manager
BY: C
ommuni
ty & Economic Development Department
SUMMARY:

The Hotel
Operations Incentive Program (Program) is scheduled to expire on December 31, 2023. It is being recommended that the Program be extended until December 31, 2028, and modified to change the calculation of the Transient Occupancy Tax (TOT) Increment that is shared between the City and hotel s. TOT Increment is the difference between the TOT Base and the amount of transient occupancy tax owed to the City. The TOT Base is calculated using the average of the past thirty -six months of TOT paid by the hotel. Some hotels do not have thirty -six month s of TOT payments and are thus unable to participate in the Program. The proposed Ordinance clarifies that, in certain instances, such hotels may still be eligible to participate in the Program and sets forth the reduced incentive that such hotels are eligible to receive under the Program. The draft ordinance making these changes is provided as Attachment A.

RECOMMENDATION:

Waive r
eading of the text and introduce for first reading proposed Ordinance No. _____, “AN ORDINANCE OF THE CITY OF PALM SPRINGS, CA LIFORNIA, AMENDING CHAPTER 5.26 OF THE PALM SPRING MUNICIPAL CODE, REGARDING THE HOTEL OPERATIONS INCENTIVE PROGRAM.”
BACKGROUND:

The Cit
y of Palm Springs adopted Chapter 5.26 of its Municipal Code in December, 2007 (Ordinance 1730, effective January 2008) to provide an incentive program for the operation and maintenance of quality and first class hotel facilities which enhance the tourist and travel experience for visitors to the City of Palm Springs, maximize the use of Item 3E - Page 1
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the City’s Convention Center, provide attractive and desirable visitor-serving facilities and experiences, and assist the City in achieving its tourism goals.

The Program could be used for several types of hotels (comfort hotels, first class hotels, and renovation of hotels). Each of these hotels were classified as N ew ( hotels to be constructed), or Existing (hotels, constructed, occupied, and used as a hotel on or before January 1, 2006).

New hotels qualified for the Program if they were fully entitled as a hotel after January 1, 2008, but before December 31, 2014, and were under construction prior to December 31, 2017. After December 31, 2017, no additional N ew Hotels were accepted into the Program. It should be noted that City Council approved Program extensions for the Dream Hotel and Orchid Tree Hotel.

Existing hotels were those that were constructed, occupied, and used as a hotel on or before January 1, 2006. Renovations to E xisting Hotels were required to be under construction no later than December 31, 2014 and completed no later than December 31, 2015. After December 31, 2015, no additional E xisting Hotels were accepted into the Program.

In early 2019, the Program was revived for Existing H otels as the Phase II Renovation Project Hotels Program and included the following terms:
• R enovations made by the hotel shall not be less than $5,000 per room.

• The City reimburses the hotel with 50% of the annual TOT Increment . TOT Increment is the difference between the TOT Base and the amount of transient occupancy tax owed to the City. The TOT Base is calculated using the average of the past thirty-six months of TOT paid by the hotel.

• Share period will be limited to 10 years.

• The Program would not be available for construction of new hotels.

• Amounts of TOT reimbursed to hotels under the Program will not exceed the amount of the hotel renovation investment.

• The Tax Base formula requires the hotel have a thirty-six (36) month period to establish the annual Tax Base.

• The base TOT level will be adjusted on an annual basis at a rate of 3% or increase in the Consumer Price Index (“(All items in Riverside-San Bernardino-Ontario, CA, all urban consumers, not seasonally adjusted”; Area “Riverside- San Bernardino- Ontario, CA) from the prior year for the most recent month available.

• The hotel must be in operation for a period of five (5) years prior to the date when the City accepts the Program application.

• Renovations must be completed no later than December 31, 2023.

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STAFF ANALYSIS:

The proposed Ordinance would make the following changes:

• Extend the Program until December 31, 2028.

• Clarify that the five (5) year required operating period need not be continuous or immediately preceding the date the Program application is deemed complete.

• Allow for hotels that do not have thirty-six (36) months of TOT payment history, or hotels that have not been in operation for a total of at least five (5) years in the fifteen (15) years immediately preceding the date the Program application is deemed complete, to receive an incentive of up to fifty percent (50%) of the TOT increment [or seventy-five percent (75%) for hotels in Class I Historic buildings] in for a reduced period of only five (5) years.

• Eliminate annual CPI adjustment and replace with a one-time CPI adjustment after the fifth year of operation (for hotels eligible to receive the 10-year incentive) or the second year of operation (for hotels eligible to receive the 5- year incentive payment).

Maintaining an attractive City is an important part of a tourism economy. Palm Springs already has several architectural resources and natural beauty which contributes to the City’s success as a desirable location. There remain, however, several hotel properties in need of renovation; the proposed program amendments will assist in providing desirable incentives to reinvigorate the city’s hotel stock.

ENVIRONMENTAL ASSESSMENT
:

The recommended action is not a “project” for purposes of the California Environ mental Quality Act (CEQA), as that term is defined by CEQA guidelines (Guidelines) section 15378.

ALIGNMENT WITH STRATEGIC PLANNING:

Quality of Life (1D), Advance Economic Development – Stimulate investment in activities that create living wage employment opportunities and increase livability of the community.

FISCAL IMPACT:

Funds used to reimburse the hotel s are from net-new TOT revenues – that is revenue above the TOT revenues previously received from each participating hotel (TOT Increment). That amount is divided between the hotel and City with each receiving 50% of the annual TOT Increment. Under the proposed amendment, it is likely more hotels will qualify for the program creating more new TOT revenues and higher room rates based on the improved quality of the hotel facility.

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While the new TOT revenue cannot be known before participating hotels are identified, recent Program participants in just their first year of operations after renovations have generated TOT revenues that are 200% higher than their TOT base. Of that amount, 50% is allocated to the hotel and 50% is allocated to the City. This represents approximately $56,000 of new revenue for each participating hotel for reimbursement of their improvements, and approximately $56,000 from each participating hotel to the City for a ten-year period. For hotels that do not have thirty-six (36) months of TOT payment history the payment period will be limited to five (5) years.

REVIEWED BY:

Department Director: Jay Virata
Deputy City Manager: Flinn Fagg
City Manager: Scott Stiles

ATTACHMENTS:

A. Draft Ordinance

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ATTACHMENT A

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ORDINANCE NO. ____

AN ORDINANCE OF THE CITY OF PALM SPRINGS,
CALIFORNIA, AMENDING CHAPTER 5.26 OF THE PALM

SPRING MUNICIPAL CODE, REGARDING THE HOTEL

OPERATIONS INCENTIVE PROGRAM

City Attorney Summary
This Ordinance extends the City’s Hotel Operations Incentive Program, with certain modifications, for existing hotels that undertake specified renovation projects involving significant investment, subject to certain limitations.

WHEREAS, t he City of Palm Springs (“City”) is a charter city organized pursuant to Article XI, Section 5 of the California Constitution and pursuant to the authority so granted, the City has the power to make and enforce within its limits all ordinances and regulations with respect to municipal affairs not in conflict with its own charter.

WHEREAS, Chapter 5.26 of the Palm Springs Municipal Code establishes the Hotel Operations Incentive Program (“Program”), whereby existing hotels in the City are eligible to receive certain incentives when they undertake specified renovation projects involving significant investment.

WHEREAS, Ordinance No. 1972, adopted by the City Council on February 6, 2019, re- instated the Program and included a sunset date of December 31, 2023.

WHEREAS, currently, hotels that have not been in operation for the previous 36 months are not eligible to participate in the Program because Chapter

5.26 does not specify how to calculate the Phase II Renovation Project Transient Occupancy Tax Base for such hotels.

WHEREAS, the City Council desires to extend the sunset date of the Program, to establish parameters under which hotels without 36 months of transient occupancy tax may participate in the Program, and to make certain other adjustments to the Program.

THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES ORDAIN AS FOLLOWS:

SECTION 1
. Incorporation of Recitals. That the findings and
determinations reflected above are true and correct, and are incorporated by this reference herein as the cause and foundation for the action taken by and through this Ordinance.

SECTION 2. Amendment of Palm Springs Municipal Code Section

5.26.020. Section 5.26.020 of the Palm Springs Municipal Code shall be amended in its entirety, to read as follows:

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“5.26.020 Definitions.

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“Construction” means the process of making, building, fabricating, installing, and setting up tangible physical enhancements to a hotel that include without limitation, one or more of the following: (i) modification of an existing structure or amenity, (ii) new or upgraded furniture, fixtures or equipment, (iii) new or upgraded landscaping. Construction may address hotel rooms, common areas, and/or other areas for guest use. “Existing hotel” means a property that was constructed, occupied, and used as a hotel on or before January 1, 2006.
“First class hotel” means a hotel which provides standards of physical features and operational services which meet or exceed the higher rating criteria established for hotels by the American Autom obile Association, J.D. Power & Associates, Forbes, or Smith’s Travel Research Service.
“First class hotel standard” means standards of physical features and operation which qualify a hotel as a first class hotel and which include operation of t he hotel on a twenty -four hours per day/seven day a week basis with housekeeping services, food and beverage services, room services, banquet and meeting services, concierge and bellman services, and parking services.
“Fully entitled” means a hotel that has received and/or been issued all discretionary permits and entitlements from the City required for the construction of a new hotel.
“Hotel” means any property containing four (4) or more guest rooms used by four (4) or more guests for compensation and where the guest rooms are designed and intended as transient occupancy accommodations. “New hotel,” “first class new hotel,” and “comfort new hotel” means a hotel or first class hotel or comfort hotel that is or was fully entitled as a hotel after January 1, 2008, but before December 31, 2014 and which is under construction prior to December 31, 2017. The term “new hotel” does not include all, or any portion of, or addition to, an existing hotel. “Operating covenants” means the covenants described in
Section 5.26.050
of this Code.
“Operator” means the person who is proprietor of a hotel, whether in the capacity of owner, lessee, sub- lessee, mortgagee in possession, licensee, franchisee, or any other capacity, or the assignee or designee of such proprietor.

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“Phase II Renovation Project” means a hotel improvement project constructed by a Renovation Hotel commencing no more than twelve (12) months after the City’s execution of the operating covenant for that hotel, and completed no later than December 31, 2028. The hotel may suspend all or some of its operations during construction of the project. Collection and payment to the City of transient occupancy tax under Chapter 3.24 of
this Code for any portion of the hotel that remains open during construction of the project shall continue until the project’s completion, without any consideration to the operator pursuant to this Chapter. Whether the hotel suspends operations or not, collection and payment to the City of transient occupancy tax under Chapter

3.24 of this Code by a Phase II Renovation
Project hotel pursuant to this Chapter shall commence immediately on the Renovation Approval Date.
“Phase II Renovation Project Transient Occupancy Tax Base” means the annual average, during the thirty -six (36) month period prior to the date when the City deems the Hotel Operations Incentive Program application of a potential Renovation Hotel to be complete, of transient occupancy tax owed to the City.
“Phase II Renovation Project Transient Occupancy Tax Base Adjustment” means the following: (a) for Phase II Renovation Project hotels eligible to receive an incentive pursuant to Section 5.26.040(d)(2), the one- time increase to the Phase II Renovation Project Transient Occupancy Tax Base after the fifth anniversary date of the Renovation Approval Date of the hotel, or ( b) for Phase II Renovation Project hotels eligible to receive an incentive pursuant to Section 5.25.040(d)(3), the one- time increase to the Phase II Renovation Project Transient Occupancy Tax Base after the second anniversary date of the Renovation Approval Date of the hotel. This increase shall be in an amount equal to three percent (3%), or the annual percentage change in the most recent month’s data in the Consumer Price Index, whichever is higher. The Consumer Price Index used in calculating this adjustment shall be the “Consumer Price Index, Los Angeles -Long Beach-Anaheim, All Items, 1982-84=100 base, All Urban Consumers (CPI- U).”
“Phase II Renovation Project Transient Occupancy Tax Increment” means the amount of transient occupancy tax that a Renovation Hotel owes to the City annually, pursuant to Chapter 3.42
of this Code, after the
Renovation Approval Date, minus the Phase II Renovation Project Transient Occupancy Tax Base as adjusted by the Transient Occupancy Tax Base Adjustment.
“Qualified renovation program” means a property improvement program undertaken by an existing hotel which invests no less than fifteen thousand dollars per room, or invests no less than one million dollars in Item 3E - Page 9
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ancillary non-hotel room facilities and/or space. The property improvement program shall be comprehensively executed in a single renovation project on the property and be under construction no later than December 31, 2014 and completed no later than December 31, 2015.
“Renovation Approval Date” is the date of the City’s final inspection and approval of improvements constructed pursuant to a Phase II Renovation Project.
“Renovation Hotel” means a “hotel” as defined in Palm Springs Zoning Code Section 91.00.00
, as the City may amend that section from
time to time, which hotel participates in the Hotel Operations Incentive Program as a Phase II Renovation Project hotel. Upon the adoption of this ordinance, “hotel” is defined “ any building or portion thereof containing six (6) or more guest rooms used by six (6) or more guests, for compensation (excepting jails and hospitals), where provision for cooking may be made in a limited number of individual suites, and which rooms are designed and intended as temporary or overnight accommodat ions.” In order to qualify and apply for participation in the Hotel Operations Incentive Program under this Chapter, a Renovation Hotel must be in operation for a period of five (5) years prior to the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete. This five (5) year period may include changes in the ownership and/or name of the hotel in question and may include lapses in operation. Additionally, the five (5) year period is not required to be the five (5) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete. However, a Renovation Hotel shall only be eligible to receive an incentive pursuant to Section 5.26.040(d)(2), if the Renovation Hotel has been in operation for a total of at least five (5) years within the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete. A Renovation Hotel that has not been in operation for a total of at least five (5) years in the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete shall only be eligible to receive an incentive pursuant to Section 5.26.040(d)(3). No property that operates as a Homeshare or Vacation Rental pursuant to Chapter

5.25 of this Code may
also operate as a Renovation Hotel or receive any payment under this Chapter.
“Transient occupancy” means an uninterrupted stay of no more than twenty-eight consecutive calendar days.

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“Transient occupancy tax base” means the average of the last thirty- six months of annualized transient occupancy tax owed to the City by an existing hotel prior to the commencement of a qualified renovation program. “Transient occupancy tax increment” means the difference between the transient occupancy tax base and the amount of transient occupancy tax owed to the City by an existing hotel after the recordation of the operating covenants by the City.
“Under construction” means that all necessary discretionary entitlements have been approved by the City of Palm Springs, grading and building permits have been issued, and that inspection approvals by the City of Palm Springs of grading and foundations to grade level have been obtained, vertical construction of hotel rooms has begun, and the operating covenants have been recorded.”
SECTION 2. Amendment of Palm Springs Municipal Code
Section 5.26.040. Section 5.26.040 of the Palm Springs Municipal Code shall be amended in its entirety, to read as follows:

“Section 5.26.040 Incentive Program.

Without regard to any preceding conditions of this Section, the program shall terminate at any point the first class new hotel is not operated as a first class hotel.
(b) Comfort New Hotels. The City shall pay to an operator of a comfort hotel with 125 or more rooms an amount equal to fifty percent of the adjusted tax rate and such payments shall be made for twenty years or until the operator has received twenty -five million dollars, whichever event occurs first. The City shall pay to an operator of a comfort hotel with 51 to 124 rooms an amount equal to fifty percent of the adjusted tax rate and such payments shall be made for ten years or until the Operator has received twenty million dollars, whichever event occurs first. The City shall pay to an operator of a comfort hotel with 49 or fewer rooms an amount equal to fifty Item 3E - Page 11
Item 1S - Page 26
percent of the adjusted tax rate and such payments shall be made for ten years or until the Operator has received fifteen million dollars, whichever event occurs first. Without regard to any preceding conditions of this Section, the program shall terminate at any point the deluxe hotel is not operated as a comfort hotel.
(c) Existing Hotels. The City shall pay to an operator of an existing hotel an amount equal to fifty percent of the transient occupancy tax increment collected and remitted to the City pursuant to Chapter 3.24 of this Code and
such payments shall be made for ten years, or until the operator has received twenty-five million dollars, whichever event occurs first. (d) Phase II Renovation Project Hotels. Operators shall only receive an incentive pursuant to this Chapter in accordance with this Section 5.26.040
(d).
(1) On a hotel’s Renovation Approval Date, the City shall inspect that hotel, and verify that the operator has implemented all Phase II Renovation Project improvements, and that the improvements remain on-site. Further, on or before a hotel’s Renovation Approval Date, th e operator of that hotel shall submit to the City such documentation as the City may require, and thereby certify and demonstrate the expenditure of that operator’s Certified Renovation Investment. Any unexpended portion of the Certified Renovation Investment shall be subtracted from the Certified Renovation Investment as that sum pertains to an operator’s recoupment of same in accordance with Section 5.26.040
(d)(2).
(2) For a Phase II Renovation Project hotel with thirty -six ( 36) complete months of transient occupancy tax payments in the past three (3) years prior to the date when the City deems the Hotel Operations Incentive Program application of a potential Renovation Hotel to be complete and that has been in operation for at least a total of five (5) years within the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Pro gram application of an operator of a proposed Renovation Hotel as complete, the City shall on an annual basis, return, reimburse and pay to the operator of a Phase II Renovation Project hotel an amount equal to fifty percent (50%) of the Phase II Renovation Project Transient Occupancy Tax Increment collected and remitted to the City. Renovation Hotels that are Class 1 Historic Sites as defined in Palm Springs Municipal Code Chapter 8.05 , shall
receive an amount equal to seventy-five percent (75%) of the Phase II Renovation Project Transient Occupancy Tax Increment. The City shall continue making such payments until the ten (10) year anniversary of the first payment hereunder, or until an operator has Item 3E - Page 12
Item 1S - Page 27
recouped their Certified Renovation Investment, whichever occurs first. Notwithstanding any other provision in this Chapter, City payments to an operator, or the successor of an operator of a Phase II Renovation Project hotel under this Section 5.26.040 (d) shall
terminate immediately and permanently at the end of any period of thirty (30) days during which the hotel in question is not operated as a hotel, unless the City has consented to a suspension of operations pursuant to an operating covenant.
(3) For a Phase II Renovation Project hotel with less than thirty six (36) complete months of transient occupancy tax payments in the past three (3) years prior to the date when the City deems the Hotel Operations Incentive Program application of a potential Renovation Hotel to be complete or that has not been in operation for a total of at least five (5) years in the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete, the City shall on an annual basis, return, reimburse and pay to the operator of a Phase II Renovation Project hotel an amount equal to fifty percent (5 0%) of the Phase II Renovation Project Transient Occupancy Tax Increment collected and remitted to the City. Renovation Hotels that are Class 1 Historic Sites as defined in Palm Springs Municipal Code Chapter 8.05
, shall receive an amount
equal to seventy -five percent (75%) of the Phase II Renovation Project Transient Occupancy Tax Increment. The City shall continue making such payments until the five (5) year anniversary of the first payment hereunder, or until an operator has recouped their Certified Renovation Investment, whichever occurs first. Notwithstanding any other provision in this Chapter, City payments to an operator, or the successor of an operator of a Phase II Renovation Project hotel under this Section 5.26.040(d) shall terminate immediately and permanently at the end of any period of thirty (30) days during which the hotel in question is not operated as a hotel, unless the City has consented to a suspension of operations pursuant to an operating covenant.
(e) No Renovation Hotel receiving any amount of Phase II Renovation Project Transient Occupancy Tax Increment or any other consideration pursuant to an operating covenant entered pursuant to this Chapter may apply for any additional benefit pursuant to this Chapter, based upon a second Phase II Renovation Project or otherwise, until the termination of that Renovation Hotel’s receipt of such consideration or benefit in accordance with Section 5.26.040
(d)(2).”

SECTION 4. Severability. If any section or provision of this Ordinance is Item 3E - Page 13
Item 1S - Page 28
for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, or contravened by reason of any preemptive legislation, the remaining sections and/or provisions of this Ordinance shall remain valid. The City Council hereby declares that it would have adopted this Ordinance, and each section or provision thereof, regardless of the fact that any one or more section(s) or provision(s) may be declared invalid or unconstitutional or contravened via legislation.

SECTION 5. CEQA. The City Council determines that the adoption of this Urgency Ordinance is exempt from environmental review under the California Environmental Quality Act (“CEQA”) pursuant to the following provisions of the CEQA Guidelines, 14 California C ode of Regulations, Chapter 3: th is Ordinance is exempt under CEQA Guidelines Section 15378(b)(5) in that it is not a “project” under CEQA, and will not result in direct or indirect physical changes in the environment.

PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL this _____ day of ______________, 2023.

GRACE ELENA GARNER
MAYOR
ATTEST:

BRENDA PREE, MMC

CITY CLERK

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.

CITY OF PALM SPRINGS )
Item 3E - Page 14
Item 1S - Page 29

I, BRENDA PREE, City Clerk of the City of Palm Springs, California, do hereby certify that Ordinance No. ____ is a full, true, and correct copy, and was adopted without introduction at a regul ar meeting of the City Council held on _________________, 2023 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this ______ day of _________, 2023.

BRENDA PREE, MMC

CITY CLERK

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Item 1S - Page 30

ATTACHMENT C

Item 1S - Page 31
55575.18175\41469825.1

ORDINANCE NO. ____

AN ORDINANCE OF THE CITY OF PALM SPRINGS,
CALIFORNIA, AMENDING CHAPTER 5.26 OF THE PALM

SPRING MUNICIPAL CODE, REGARDING THE HOTEL

OPERATIONS INCENTIVE PROGRAM

WHEREAS, Chapter 5.26 of the Palm Springs Municipal Code establishes the Hotel Operations Incentive Program (“Program”), whereby existing hotels in the City are eligible to receive certain incentives when they u ndertake specified renovation projects involving significant investment.

WHEREAS, Ordinance No. 1972, adopted by the City Council on February 6, 2019, re -instated the Program and included a sunset date of December 31, 2023.

WHEREAS, currently, hotels th at have not been in operation for the previous 36 months are not eligible to participate in the Program because Chapter

5.26 does not specify how to calculate the Phase II Renovation Project Transient Occupancy Tax Base for such hotels.

THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES ORDAIN AS FOLLOWS:

SECTION 1. Incorporation of Recitals. That the findings and determinations reflected above are true and correct and are incorporated by this reference herein as the cause and foundation for the action taken by and through this Ordinance.

SECTION 2. Amendment of Palm Springs Municipal Code Section

5.26.020. Section 5.26.020 of the Palm Springs Municipal Code shall be amended in its entirety, to read as follows:

Item 1S - Page 32
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Ordinance No. _____

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“5.26.020 Definitions.

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Ordinance No. _____

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Ordinance No. _____

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“Phase II Renovation Project” means a hotel improvement project constructed by a Renovation Hotel commencing no more than twelve (12) months after the City’s execution of the operating covenant for that hotel, and completed no later than December 31, 2028 . The hotel may suspend all or some of its operations during cons truction of the project. Collection and payment to the City of transient occupancy tax under Chapter 3.24 of this Code for any portion of the hotel that remains open during construction of the project shall continue until the project’s completion, without any consideration to the operator pursuant to this Chapter. Whether th e hotel suspends operations or not, collection and payment to the City of transient occupancy tax under Chapter 3.24 of this Code b y a Phase II Renovation Project hotel pursuant to this Chapter shall commence immediately on the Renovation Approval Date.
“Phase II Renovation Project Transient Occupancy Tax Base” means the annual average, during the thirty -six (36) month peri od prior to the date when the City deems the Hotel Operations Incentive Program application of a potential Renovation Hotel to be complete, of transient occupancy tax owed to the City.
“Phase II Renovation Project Transient Occupancy Tax Base Adjustment” means the following: (a) for Phase II Renovation Project hotels eligible to receive an incentive pursuant to Section 5.26.040(d)(2), the one- time increase to the Phase II Renovation Project Transient Occupancy Tax Base after the fifth anniversary date of the Renovation Approval Date of the hotel, or (b) for Phase II Renovation Project hotels eligible to receive an incentive pursuant to Section 5.25.040(d)(3), the one -time increase to the Phase II Renovation Project Transient Occupancy Tax Base aft er the second anniversary date of the Renovation Approval Date of the hotel. This increase shall be in an amount equal to three percent (3%), or the annual percentage change in the most recent month’s data in the Consumer Price Index, whichever is higher. The Consumer Price Index used in calculating this adjustment shall be the “Consumer Price Index, Los Angeles -Long Beach-Anaheim, All Items, 1982-84=100 base, All Urban Consumers (CPI- U).”
“Phase II Renovation Project Transient Occupancy Tax Inc rement” means the amount of transient occupancy tax that a Renovation Hotel owes to the City annually, pursuant to Chapter 3.42 of this Code, after the Renovation Approval Date, minus the Phase II Renovation Project Transient Occupancy Tax Base as adjusted by the Transient Occupancy Tax Base Adjustment.
“Qualified renovation program” means a property improvement program undertaken by an existing hotel which invests no less than fifteen thousand dollars per room, or invests no less than one millio n dollars in Item 1S - Page 35
55575.18175\41469825.1

Ordinance No. _____

Page 5 ends

ancillary non-hotel room facilities and/or space. The property improvement program shall be comprehensively executed in a single renovation project on the property and be under construction no later than December 31, 2014 and completed no later than December 31, 2015.
“Renovation Approval Date” is the date of the City’s final inspection and approval of improvements constructed pursuant to a Phase II Renovation Project.
“Renovation Hotel” means a “hotel” as defined in Palm Springs Zoning Code Section 91.00.00, as the City may amend that section from time to time, which hotel participates in the Hot el Operations Incentive Program as a Phase II Renovation Project hotel. Upon the adoption of this ordinance, “hotel” is defined “ any building or portion thereof containing six (6) or more guest rooms used by six (6) or more guests, for compensation (excepting jails and hospitals), where provision for cooking may be made in a limited number of individual suites, and which rooms are designed and intended as temporary or overnight accommodations. ” In order to qualify and apply for participation in the Hotel Operations Incentive Program under this Chapter, a Renovation Hotel must be in operation for a period of five (5) years prior to the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel a s complete. This five (5) year period may include changes in the ownership and/or name of the hotel in question and may include lapses in operation. Additionally, the five (5) year period is not required to be the five (5) years immediately preceding the d ate when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete. However, a Renovation Hotel shall only be eligible to receive an incentive pursuant to Section 5.26.040(d)(2), if the Renovation Hotel has been in operation for a total of at least five (5) years within the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete. A Renovation Hotel that has not been in operation for a total of at least five (5) years in the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operator of a pr oposed Renovation Hotel as complete shall only be eligible to receive an incentive pursuant to Section 5.26.040(d)(3). No property that operates as a Homeshare or Vacation Rental pursuant to Chapter 5.25 of this Code may also operate as a Renovation Hotel or receive any payment under this Chapter.
“Transient occupancy” means an uninterrupted stay of no more than twenty-eight consecutive calendar days.

Item 1S - Page 36
55575.18175\41469825.1

Ordinance No. _____

Page 6 ends

“Transient occupancy tax base” means the average of the last thirty- six months of annualized transient occupancy tax owed to the City by an existing hotel prior to the commencement of a qualified renovation program. “Transient occupancy tax increment” means the difference between the transient occupancy tax base and the amount of transient occupancy tax owed to the City by an existing hotel after the recordation of the operating covenants by the City.
“Under construction” means that all necessary discretionary entitlements have been approved by the City of Palm Springs, grading and building permits have been issued, and that inspection approvals by the City of Palm Springs of grading an d foundations to grade level have been obtained, vertical construction of hotel rooms has begun, and the operating covenants have been recorded.”
SECTION 2. Amendment of Palm Springs Municipal Code
Section 5.26.040. Section 5.26.040 of the Palm Springs Municipal Code shall be amended in its entirety, to read as follows:

“Section 5.26.040 Incentive Program.

(a) First Class New Hotels. The City shall pa y to an operator of a first class new hotel an amount equal to seventy -five percent (75%) of the adjusted tax rate. Such payments shall be made for thirty years or until the operator has been paid fifty million dollars, whichever event occurs first.

Ordinance No. _____

Page 7 ends

percent of the adjusted tax rate and such payments shall be made for ten years or until the Operator has received fifteen million dollars, whichever event occurs first. Without regard to any preceding conditions of this Section, the program shall terminate at any point the deluxe hotel is not operated as a comfort hotel.
(c) Existing Hotels. The City shall pay to an operator of an existing hotel an amount equal to fifty percent of the transient occupancy tax increment collected and remitted to the City pursuant to Chapter 3.24 of this Code and such payments shall be made for ten years, or until the operator has received twenty-five million dollars, whichever event occurs first. (d) Phase II Renovation Project Hotels. Operators shall only receive an incentive pursuant to t his Chapter in accordance with this Section 5.26.040(d).
(1) On a hotel’s Renovation Approval Date, the City shall inspect that hotel, and verify that the operator has implemented all Phase II Renovation Project improvements, and that the improvements remain on-site. Further, on or before a hotel’s Renovation Approval Date, the operator of that hotel shall submit to the City such documentation as the City may require, and thereby certify and demonstrate the expenditure of that operator’s Certified Renovation Investment. Any unexpended portion of the Certified Renovation Investment shall be subtracted from the Certified Renovat ion Investment as that sum pertains to an operator’s recoupment of same in accordance with Section 5.26.040(d)(2).
(2) For a Phase II Renovation Project hotel with thirty-six ( 36) complete months of transient occupancy tax payments in the past three (3) years prior to the date when the City deems the Hotel Operations Incentive Program application of a potential Renovation Hotel to be complete and that has been in operation for at least a total of five (5) years within the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete , the City shall on an annual basis, return, reimburse and pay to the operator of a Phase II Renovation Project hotel an amount equal to fifty percent (50%) of the Phase II Renovation Project Transient Occupancy Tax Increment coll ected and remitted to the City. Renovation Hotels that are Class 1 Historic Sites as defined in Palm Springs Municipal Code Chapter 8.05, shall receive an amount equal to seventy-five percent (75%) of the Phase II Renovation Project Transient Occupancy Tax Increment. The City shall continue making such payments until the ten (10) year anniversary of the first payment hereunder, or unt il an operator has Item 1S - Page 38
55575.18175\41469825.1

Ordinance No. _____

Page 8 ends

recouped their Certified Renovation Investment, whichever occurs first. Notwithstanding any other provision in this Chapter, City payments to an operator, or the successor of an operator of a Phase II Renovation Project hotel under this Section 5.26.040(d) shall terminate immediately and permanently at the end of any period of thirty (30) days during which the hotel in question is not operated as a hotel, unless the City has consented to a suspension of operations pursuant to an operating covenant.
(3) For a Phase II Renovation Project hotel with less than thirty six (36) complete months of transient occupancy tax payments in the past three (3) years prior to the date when the City deems the Hotel Operations Incentive Program application of a potential Renovation Hotel to be complete or that has not been in operation for a total of at least five (5) years in the fifteen (15) years immediately preceding the date when the City accepts the Hotel Operations Incentive Program application of an operator of a proposed Renovation Hotel as complete, the City shall on an annual basis, return, reimburse and pay to the operator of a Phase II Renovation Project hotel an amount equal to fifty percent (5 0%) of the Phase II Renovation Project Transient Occupancy Tax Increment collected and remitted to the City. Renovation Hotels that are Class 1 Historic Sites as defined in Palm Springs Municipal Code Chapter 8.05, shall receive an amount equal to seventy -five percent (75%) of the Phase II Renovation Project Transient Occupancy Tax Increment. The City shall continue making such payments until the five ten (510) year anniversary of the first payment hereunder, or until an operator has recouped their Certified Renovation Investment, whichever occurs first.

Notwithstanding any other provision in this Chapter, City payments to an operator, or the successor of an operator of a Phase II Renovation Project hotel under this Section 5.26.040(d) shall terminate immediately and permanently at the end of any period of thirty (30) days during which the hotel in question is not operated as a hotel, unless the City has consented to a suspension of operations pursuant to an operating covenant.
(e) No Renovation Hotel receiving any amount of Phase II Renovation Project Transi ent Occupancy Tax Increment or any other consideration pursuant to an operating covenant entered pursuant to this Chapter may apply for any additional benefit pursuant to this Chapter, based upon a second Phase II Renovation Project or otherwise, until the termination of that Renovation Hotel’s receipt of such consideration or benefit in accordance with Section 5.26.040(d)(2).”

SECTION 4. Severability. If any section or provision of this Ordinance is Item 1S - Page 39
---
55575.18175\41469825.1

Ordinance No. _____

Page 9 ends

for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, or contravened by reason of any preemptive legislation, the remaining sections and/or provisions of this Ordinance shall remain valid. The City Council hereby declares that it would have adopted this Ordinance, and each section or provision thereof, regardless of the fact that any one or more section(s) or provision(s) may be dec lared invalid or unconstitutional or contravened via legislation.

PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL this _____ day of ______________, 2023.

GRACE ELENA GARNER
MAYOR
ATTEST:

BRENDA PREE, MMC

CITY CLERK

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.

CITY OF PALM SPRINGS )
Item 1S - Page 40
55575.18175\41469825.1

Ordinance No. _____

Page 10 ends

AYES:

NOES:

ABSENT:

ABSTAIN:

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this ______ day of _________, 2023.

BRENDA PREE, MMC

CITY CLERK

Item 1S - Page 41

CITY COUNCIL STAFF REPORT
09/14/2023
SUBJECT:

APPROVAL OF AMENDMENT NO. 3 TO THE PROFESSIONAL SERVICES AGREEMENT WITH CNS ENGINEERS, INC. (A6191B), A CALIFORNIA CORPORATION, IN THE AMOUNT OF $831,067.22, FOR THE VISTA CHINO

LOW-WATER CROSSING BRIDGE AT THE WHITEWATER RIVER, CITY PROJECT NO 10-10, FEDERAL AID PROJECT NO. BR-NBIL (513)
RECOMMENDATION:

Approve Amendment No. 3 in the amount of $831,067.22 to Professional Services Agreement No. 6191B, for a new not-to-exceed amount of $6,479,452.92 with CNS Engineers for the Vista Chino Low-Water Crossing Bridge at the Whitewater River, City Project No. 10-10, Federal Aid Project No BR-NBIL513.

1. Authorize the City Manager to execute all necessary documents.2.

Attachments
Item 1T

CITY COUNCIL STAFF REPORT

DATE: SEPTEMBER 14, 2023 CONSENT CALENDAR

SUBJECT: APPROVAL OF AMENDMENT NO. 3 TO THE PROFESSIONAL SERVICES AGREEMENT WITH CNS ENGINEERS, INC. (A6191B), A CALIFORNIA CORPORATION, IN THE AMOUNT OF $ 831,067.22, FOR

THE VISTA CHINO LOW -WATER CROSSING BRIDGE AT THE
WHITEWATER RIVER, CITY PROJECT NO 10 -10, FEDERAL AID
PROJECT NO. BR-NBIL (513)

FROM: Scott C. Stiles, City Manager

BY: Engineering Services Department

SUMMARY:

The requested action will approve Amendment No. 3 to Professional Services Agreement (PSA) with CNS Engineers, Inc. (Agreement No. 6191B) in the amount of $ 831,067.22.

The increased cost is a result of price escalation due to 3 years added to the design phase of the project and the redesign of the bridge plans as a result of Caltrans required Value Analysis (VA) study to ensure that a cost-effective engineering alternative is used for the design of the Vista Chino Low -Water Crossing Bridge at the Whitewater River, City Project No. 10- 10, Federal Aid Project No BR -NBIL513 (the “Project”). The project redesign as identified in the VA study will result in an estimated project cost reduction of approximately $34 million.

RECOMMENDATION:

1. Approve Amendment No. 3 in the amount of $831,067.22 to Professional Services Agreement No. 6191B, for a new not -to-exceed amount of $6, 479,452.92 with CNS Engineers for the Vista Chino Low-Water Crossing Bridge at the Whitewater River, City Project No. 10-10, Federal Aid Project No BR-NBIL513; and

2. Authorize the City Manager to execute all necessary documents.

BUSINESS PRINCIPAL DISCLOSURE:

CNS Engineers is a California corporation. A copy of their Public Integrity Disclosure Form is included as Attachment A.

Item 1T - Page 1
City Council Staff Report
September 14, 2023
CP 10-10 Amendment 3 to CNS Vista Chino Bridge

BACKGROUND:

The Engineering Services Department secured federal funding administered by the State of California Department of Transportation (Caltrans) through its federal Highway Bridge Program (HBP) to design and construct a new all -weather bridge on Vista Chino across the Whitewater River. The location of the project is shown in Figure 1 below.

Figure 1

The Engineering Services Department worked with Caltrans to program and authorize $1,000,000 in the HBP to begin the Project Approval and Environmental Document (“PA/ED”) Phase of the Project on May 20, 2011. An additional $690,000 in HBP funds was further authorized by Caltrans on April 17, 2012. The federal HBP funds cover

88.53% of eligible project costs, requiring 11.47% local match. The original estimated project costs and funding sources for all project phases are identified in Table 1 below.

The VA study redesign is expected to lower the cost by $34 million:

Table 1

Phase Federal HBP
Funds
CVAG Regional
Measure A
Palm Springs
Local Measure A
Cathedral City
Fair Share Totals
Preliminary
Engineering $8,578,557 $833,582 $256,656 $21,211 $9,690,000 Right-of-Way $7,861,464 $763,902 $227,066 $27,572 $8,880,000 Construction $67,663,479 $6,574,891 $2,024,375 $167,310 $76,430,000 Totals $84,103,500 $8,172,375 $2,508,097 $216,093 $95,000,000

The local funding match requirements were funded by CVAG with 75% Regional Measure A funds and the remaining 25% appropriately split between Palm Springs and Cathedral City.

On January 18, 2012, the City Council awarded a new PSA to CNS (Agreement No. 6191) in the amount of $1,438,483.95 for the PA/ED Phase of the Project.

Item 1T - Page 2
~
- ll II -
City Council Staff Report
September 14, 2023
CP 10-10 Amendment 3 to CNS Vista Chino Bridge

On July 11, 2018, the City Council awarded the design phase of the project to CNS (Agreement No. 6191B) in the amount of $4,462,085.33.

On September 29, 2022, the City Council approved Amendment No. 1 in the amount of $252,412.72 to perf orm the VA study. Amendment No. 2 was an administrative amendment to extend the length of the contract for 3 years.

STAFF ANALYSIS:

The proposed amendment will allow CNS Engineers to redesign the bridge to incorporate the results of the VA study and lower the cost of construction by an estimated $34 million.

CNS Engineers has prepared a proposal for the additional work and their proposal is included in, and will be made part of, the amended agreement.

Staff supports and has prepared Amendment No. 3 in the amount of $831,067.22 to Agreement No. 6191B with CNS Engineers, included as Attachment B.

ENVIRONMENTAL ASSESSMENT
:

Section 21084 of the California Public Resources Code requires Guidelines for Implementation of the California Environmental Quality Act (“CEQA”). In accordance with the CEQA Guidelines, the City acting as “Lead Agency” pursuant to CEQA, previously completed an environmental analysis of the potential impacts resulting from construction of the Project. On January 13, 2016, the City Council adopted and ordered the filing of a Mitigated Negative Declaration for the Project. Subsequently, on January 14, 2016, Staff filed a Notice of Determination with the Riverside County Clerk and State Clearinghouse.

The Project is funded, in part, by federal funds, requiring local oversight by Caltrans. As a federally funded project, the Project is subject to environmental review pursuant to the National Environmental Policy Ac t (“NEPA”). On January 26, 2016, Caltrans, acting as the lead agency pursuant to NEPA, made an environmental determination that the Project does not individually or cumulatively have a significant impact on the environment as defined by NEPA and is excluded from the requirements to prepare an Environmental Assessment (“EA”) or Environmental Impact Statement (“EIS”), and that it qualifies for a Categorical Exclusion in accordance with 23 USC 327.

ALIGNMENT WITH STRATEGIC PLANNING:

This item aligns with City Council Priority “Community Infrastructure”, specifically Priority 2B, 5-Year Capital Improvement Plan, which identifies high priority facilities.

FISCAL IMPACT:

Pursuant to funding agreements with CVAG and Cathedral City, the local funding match requirements were funded by C VAG with 75% Regional Measure A funds and the Item 1T - Page 3
City Council Staff Report
September 14, 2023
CP 10-10 Amendment 3 to CNS Vista Chino Bridge

remaining 25% appropriately split between Palm Springs and Cathedral City. This reduces the City’s responsibility of the original estimate of $95 million total project cost to approximately $2.5 million, which is funded with the City’s Local Measure A funds. The VA redesign anticipates lowering the cost by $34 million, however, with escalation of construction cost the bridge may ultimately cost the $95 million when it is constructed.

Expenditures to encumber the contract amendment will be made as follows:

- Capital Project Fund (261): $735,743.81 (88.53% State and Federal share) - Measure A (134) – Regional (134): $71,492.56 (75% of 11.47% CVAG share) - Measure A (134) – Local: $23,830.85 (25% of 11.47% Cities Share)

REVIEWED BY:

City Engineer: Joel Montalvo
Deputy City Manager: Flinn Fagg
City Manager: Scott Stiles

ATTACHMENTS:

A. Public Integrity Disclosure Form
B. Amendment No. 3

Item 1T - Page 4

Attachment A
Item 1T - Page 5
CITYOFPALMSPRINGS–PUBLICINTEGRITYDISCLOSURE
APPLICANTDISCLOSUREFORM
Page1of2
(Revised0ϵϭϯ18)

PUBLIC INTEGRITY DISCLOSURE

APPLICANT DISCLOSURE FORM

1. Name of Entit y

2. Address of Entit y (Principle Place of Business)

3. Local or California Address (if different than #2)

4. State where Entit y is Registered with Secretary of State If other than California, is the Entity also registered in California? F Yes F No

5. T ype of Entity
F Corporation F Limited Liability Company F Partnership F Trust F Other (please specify)

6. Officers, Directors, Members, Mana gers, Trustees, Other Fiduciaries (please s pecify) Note: If any response is not a natural person, please identify all officers, directors, members, managers and other fiduciaries for the member, manager, trust or other entity _________________________________________________ F Officer F Director F Member F Manager [name]
F General Partner F Limited Partner
F Other ____________________________________
_________________________________________________ F Officer F Director F Member F Manager [name]
F General Partner F Limited Partner
F Other ____________________________________
_________________________________________________ F Officer F Director F Member F Manager [name]
F General Partner F Limited Partner
F Other ____________________________________
CNS Engineers, Inc.
11870 Pierce Street, Suite 265, Riverside, CA 92505
California
X
Jong-Jiann (James) Lu XX
Hui-Min (Lily) Huang XX
Item 1T - Page 6
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Jong-Jiann (James) Lu 100%, CNS Engineers, Inc.

Jong-Jiann (James) Lu, President
1-9-2019
Item 1T - Page 7

Attachment B
Item 1T - Page 8

AMENDMENT NO. 3 TO CONTRACT SERVICES AGREEMENT NO. 6191B

FOR THE VISTA CHINO LOW-WATER CROSSING BRIDGE AT THE WHITEWATER RIVER, CITY PROJECT NO 10-10, FEDERAL-AID PROJECT NO. BR-NBIL (513)

This Amendment No. 3 to the Contract Services Agreement (A6191B), (“Amendment No. 3”) is made and entered into on the ____ day of __________, 2023, by and between the CITY OF PALM SPRINGS, a California charter City and municipal corporation, (herein “City”) and CNS Engineers , a California Corporation, (herein “Consultant”). City and Contractor are individually referred to as “Party” and are collectively referred to as the “Parties”.

RECITALS

WHEREAS, on July 11, 2018, the City Council approved that certain Contract Services Agreement with CNS Engineers for professional engineering and consulting services related to the Vista Chino Low -Water Crossing Bridge at the Whitewater River, City Project No. 10-10, Federal-Aid Project No BR-NBIL513, (the “Project”); and

WHEREAS, the City has determined that there is a need for additional professional services related to the Project; and

WHEREAS, the Parties wish to enter into this Amendment No. 3 to provide the City with the requested additional professional services.

NOW, THEREFORE, in consideration of these promises and mutual obligations, covenants, and conditions, the Parties agree to as follows:

AGREEMENT

SECTION 1. The true and correct recitals above are incorporated by this reference herein as the basis for this Amendment No. 3.

SECTION 2. Section 1.1, Scope of Services of the Agreement is hereby amended as follows:

The additional services identified in the Consultant’s letter dated August 16, 2023, included herewith as Attachment 1, are hereby incorporated into Exhibit “A” of the Agreement.

SECTION 3. Section 3.1 Compensation of Consultant of the Agreement is hereby amended as follows:

The total amount of compensation is increased by $831,067.22 for a new total not to exceed amount of $6,479,452.92, included herewith as Attachment 2, and incorporated into Exhibit “D-1” and “D-2” of the Agreement.

Item 1T - Page 9

SECTION 4. Full Force and Effect. All terms, conditions, and provisions of the Contract Services Agreement (A 6191B), unle ss specifically modified herein, shall continue in full force and effect. In the event of any conflict or inconsistency between the provisions of this Amendment No. 3 and any provision of the Contract Services Agreement (A6191B), the provisions of this Amendment No. 3 shall in all respects govern and control.

SECTION 5. The persons executing this Amendment No. 3 on behalf of the Parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 3 on behalf of said Party, (iii) by so executing this Amendment No. 3, such Party is formally bound to the provisions of this Amendment No. 3, (iv) the entering into this Amendment No. 3 does not violate any provision of any other agreement to which said Party is bound.

[SIGNATURES ON NEXT PAGE]

Item 1T - Page 10

IN WITNESS WHEREOF, the P arties have executed and entered into this Amendment No. 3 as of the dates stated below.

“CITY”
City of Palm Springs

Date: _______________________ By: ________________________ Scott C. Stiles
City Manager

APPROVED AS TO FORM: ATTEST:

By: _______________________ By: _______________________ Jeffrey S. Ballinger Brenda Pree
City Attorney City Clerk

“CONSULTANT”

By: CNS Engineers

Date: _______________________ By: ________________________ Signature

________________________
Printed Name/Title

Date: _______________________ By: ________________________ Signature

________________________
Printed Name/Title

Check one: Individual Partnership _ Corporation

Corporations require two notarized signatures: One signature must be from the Chairman of Board, President, or any Vice President. The second signature must be from the Secretary, Assistant Secretary, Treasurer, Assistant Treasurer, or Chief Financial Officer.

Item 1T - Page 11

Civil and Structural Engineers

CNS Engineers, Inc. 11870 Pierce Street, Suite 265, Riverside, CA 92505 Phone: (951) 687-1005 / Fax: (951) 667-3387 / Web: www.cnseng.com 1 | P a g e

August 16, 2023

Mr. Joel Montalvo, MPA, PE
City Engineer, Development Services Department
City of Palm Springs
3200 E. Tahquitz Canyon Way
Palm Springs, CA 92262

Subject: Request for Contract Amendment No. 3
Vista Chino Low-Water Crossing Bridge at Whitewater River, City Project No. 10-10
Federal Aid Project No. BR-NBIL(513)

Dear Mr. Montalvo:

CNS Team requests additional budget to reflect extra work as follows:

Design Modifications Reflecting the Recommendations of the Value Analysis (VA) Study

Background
A Caltrans-mandated Value Analysis (VA) Study was performed in November 2022 and a Final VA Study Report was issued in February 2023. The VA Study Report must be approved by Caltrans.

VA is a systematic process of review and analysis of a project during the design phases, by an independent multi-disciplined team of professional persons not involved in the project. The intent of the VA Study is to ensure that the most cost-effective alternative is implemented by the project. Based on the latest Caltrans Local Assistance procedures for the federal Highway Bridge Program (HBP)-funded projects, a VA Study must be done when the cost of either the Right of Way (R/W) or the Construction Phase exceeds federal funds of $40 million. The estimated construction cost of the Vista Chino Bridge is $65 million; therefore, a VA Study is required.

The VA Study for the Vista Chino Bridge Project has been concluded with the following recommendations to reduce the project costs and shorten the construction schedule:

 VA-Recommendation 1 - Construct the Bridge in One Stage The proposed Vista Chino Bridge conflicts with Southern California Edison (SCE)’s electrical facilities across the Whitewater River Channel. The impacted SCE facilities include Distribution Overhead Wires and Power Poles along the north side of Vista Chino, High-Voltage Transmission Overhead Wires and Power Poles along the south side of Vista Chino, and Underground Distribution Conduits on the south side in the eastbound lanes of Vista Chino. In the project coordination with SCE to accommodate their utility relocation strategy and restrictions in maintaining the services of the electrical facilities during construction, it was previously determined that the bridge Item 1T - Page 12
Mr. Joel Montalvo, MPA, PE
Request for AMD No. 3
August 16, 2023
2 | P a g e

must be designed to be built in two stages (i.e., separate northerly and southerly halves of the bridge) while allowing the impacted SCE facilities to be relocated in phases. The design of the bridge stage construction was carried from the environmental documentation phase and was consistent with SCE’s policies that do not allow sharing the Distribution and Transmission facilities on the same poles permanently.

SCE eventually decided to accept an exception of relocating both Distribution and Transmission concurrently prior to the bridge construction and both facilities will be shared on the same large steel poles in proper separation levels. The large steel power poles will be placed along the south side of the bypass road across the channel.

Since the impacted SCE Distribution and Transmission facilities will be relocated prior to the bridge construction, the cause of the bridge stage construction no longer exists.

Therefore, the VA Team suggested constructing the bridge in one single stage.

Cost Saving and Benefit: The VA Team estimated that the initial cost saving is approximately $29.7 million while the construction duration will be shortened by 16 months. The design change will reduce construction time, save money, and lessen impacts on the community during construction. Due to the skyrocketing construction cost, measures must be taken to reduce the construction cost and make the project fundable.

 VA-Recommendation 2 - Reduce the Bridge Width and Add a Raised Median The proposed Vista Chino Bridge is 94’-6” wide that consists of two 4’ shoulders, four 12’ travel lanes, and a 10’ painted median between roadway curb to curb. There is an 11’-wide multipurpose trail for pedestrians and bicyclists protected by a traffic barrier on both sides of the bridge. The bridge design considered future cantilever widening without constructing additional columns (i.e., pier extension) on the channel bed.

Since four travel lanes on Vista Chino can still meet the traffic forecast demand in the horizon year, the VA Team suggested eliminating future cantilever bridge widening concept and reducing the median width by introducing a raised median. The raised median serving as a traffic divider will enhance traffic safety and prevent vehicles from making illegal U-turns in the middle of the long bridge. The bridge can be widened by adding additional width and columns in the future when the traffic demand warrants in the ultimate buildout condition. The 10’ median and the bridge width will be reduced by 4 feet.

Cost Saving and Benefit: The VA Team estimated that the initial cost saving is approximately $4.4 million while the construction duration will not be changed.

 Proposed Engineering Design Modifications
The adopted VA-recommendations require modification of the current 65% design per Caltrans 2023 Standards as follows:

Item 1T - Page 13
Mr. Joel Montalvo, MPA, PE
Request for AMD No. 3
August 16, 2023
3 | P a g e

(Bridge Plans and Structural and Geotechnical Design)
Modification to the bridge plans is inevitable but will be kept to the minimum extent possible. All existing plan details, structural analysis, and computer modeling will be utilized with minimum changes. The bridge length and the amount of the piers will remain the same as the original design.

The current structural design includes four 7-foot diameter columns per pier with two columns in each northerly and southerly half of the staged bridge. Each column is supported by a large 8-foot diameter Cast-In-Drilled-Hole (CIDH) concrete pile shaft. It is necessary to have four columns per pier to maintain structural stability for the staged bridge construction in the original design. By reducing the bridge width along with constructing the bridge in one stage, a cost-saving opportunity arises. Effort will be made to eliminate one pile column out of the four columns per pier if the structural analysis warrants. The bridge engineer will coordinate with the geotechnical engineer to adjust the pile length based on the revised structural loads in the foundations and update the geotechnical design report.

The top surface of the raised median on the bridge may receive uniform single-color pavers without attracting the view of drivers from the architectural railings as intended by the bridge artist; however, an optional aesthetic pattern of the pavers will be proposed for city’s decision to implement.

(Street Improvements and Drainage Plans)
Roadway and drainage design modifications to accommodate a narrower bridge and approach transition will be made. There will be nominal changes to approach roadway improvement plans involving plan, profile, and cross sections, and the storm drain improvements plans and hydrology study. The following assumptions are made:
o The street centerline and profile will remain the same; however, a study will be made to document whether the project shall hold the north curb, the street centerline, or the south curb.
o The grading of the embankment slopes and the layout of the retaining walls at the approaches will remain the same.

(Retaining Wall Plans)
No design changes will be made to the three retaining walls at the approaches.

(Channel Improvements Plans)
The channel improvements plans will be modified for a narrower bridge. The current bridge hydraulics and floodplain/scour report will be revised based on one less pier column. An effort will be made to keep the majority portion of the channel access ramps with minimum change. The revised plans and study will be processed for approval by RCFC&WCD and CVWD.

(Temporary By-Pass Road and Stage Construction Plans)
There will be no changes to the alignment of the current eastbound two-lane bypass road. However, effort will be made to shift and fit the third temporary westbound lane Item 1T - Page 14
Mr. Joel Montalvo, MPA, PE
Request for AMD No. 3
August 16, 2023
4 | P a g e

parallel to the north side of the bypass road. Special provisions will be made to allow the contractor to shut down the westbound lane and convert the bypass road for a two-way traffic if the contractor needs more workspace to maneuver heavy equipment in short term. The contractor will prepare his own short-term traffic control plans.

A study will be conducted to investigate the shoring along the approach embankment and the stopping sight distance beside the abutments for the temporary third westbound lane. If the third westbound lane does not fit in constrained space, the original two-lane by-pass road will be converted to a two-way road with one lane in each direction in the current alignment.

The modified stage construction is listed below:
o Stage Zero: SCE, Sprint, Frontier, and Spectrum utilities will be relocated prior to the bridge construction.
o Stage One: Construct the bypass road, build the entire bridge and portion of the approach embankment that is wide enough to fit two lanes (one lane in each direction) for Stage Two traffic. Effort will be made to fit three lanes at approaches, if possible.
o Stage Two: Shift traffic onto the new bridge, remove the by-pass road, complete the approaches, and restore the CV Link Trailhead.

(Traffic Control Plans)
The traffic control plans will be modified based on the revised stage construction plans.

(Sign and Striping Plans)
Sign and striping plans will be modified based on the revised street improvements plans.

(Bridge Lighting Plans)
Bridge lighting plans will be modified based on the revised bridge plans.

(Traffic Signal Modification Plans)
The traffic signal plans will be modified based on the revised street improvement plans, stage construction plans, and traffic control plans.

(Landscape Irrigation and Planting Plans)
There will be no major changes on the landscape irrigation and planting plans.

 Utility Coordination
The proposed VA-recommendation of constructing the bridge in one stage will require relocating the SCE’s underground Distribution and Sprint’s underground Fiber Optics facilities on the south side of Vista Chino prior to the bridge construction. Additional coordination with the utility companies will be necessary to streamline the utility relocation strategy.

Item 1T - Page 15
Mr. Joel Montalvo, MPA, PE
Request for AMD No. 3
August 16, 2023
5 | P a g e

 Escalation
The design phase of the project started in 2018 and the original contract cost was planned for five years. The project has been delayed due to the lengthy utility coordination with SCE and the need for the VA-related redesign for approximately three years. Since the project is expected to last for an additional three years, the Design Team requests a 6.5% escalation of the remaining contract amount of approximately $3,200,000 to reflect the current high annual inflation in the engineering industry. The escalation cost of the remaining original contract amount based on the standard Caltrans 10-H1 work sheets yields $447,695.17; however, using the simple method of

6.5% of the remaining original contract amount yields a lower cost $206,987.97.

We request budget adjustment as follows:

(Original Contract Amount)
Plans, Specifications, and Estimate (PS&E): $4,462,085.33 Right of Way and Construction Supports: $933,887.66
Total Contract Amount: $5,395,972.99

(Previous Approved Amendment No.1)
Plans, Specifications, and Estimate (PS&E): $252,412.71 Right of Way and Construction Supports: $0.00 Total Amendment Amount: $252,412.71

(Proposed Amendment No. 3)
Plans, Specifications, and Estimate (PS&E): $770,823.69 Right of Way and Construction Supports: $60,243.53 Total Amendment Amount: $831,067.22

(Amended Contract Amount)
Plans, Specifications, and Estimate (PS&E): $5,485,321.72 Right of Way and Construction Supports: $994,131.19
Total Amended Contract Amount: $6,479,452.91

Item 1T - Page 16
Mr. Joel Montalvo, MPA, PE
Request for AMD No. 3
August 16, 2023
6 | P a g e

We look forward to approval of this contract amendment request and continue to deliver the final design and right of way phases of the project. Should you have any questions about this proposal, please feel free to contact me at (951) 687-1005 ext.104 or by e- mail at [email protected].

Sincerely,

James Lu, P.E., S.E.

Project Manager / Principal
CNS Engineers, Inc.

Attachments:

1. Cost Proposal Work Sheets

2. Scope of Work with extra work shown in blue

Item 1T - Page 17
Task No. Task Description VA-Related Task
Labor Cost
Remaining Contract
Amount
(as of 6/30//2023)
Proposed Escalation
of Remaining Contract
Cost (6.5%)
Proposed
Amendment
Current Contract
Amount
Amended Contract
Amount
Task 1 Project Management (A) (B) (A) + (B) (C) (A) + (B) + (C)

1.1 Project Administration and Project Controls 9,215.90$ 91,494.68$ 5,947.15$ 15,163.05$ 233,396.57$ 248,559.62$

1.2 Meetings and Coordination 11,972.29$ 141,131.90$ 9,173.57$ 21,145.86$ 274,259.69$ 295,405.55$

1.3 Quality Assurance and Quality Control 11,972.29$ 100,026.97$ 6,501.75$ 18,474.04$ 133,257.26$ 151,731.30$

1.4 Local Assistance Supports -$ 47,865.61$ 3,111.26$ 3,111.26$ 68,854.15$ 71,965.41$ Task 2

2.1 Obtain Survey and Potholing Rights of Entry -$ 6,761.73$ 439.51$ 439.51$ 15,670.81$ 16,110.32$

2.2 Update Topographic Field Survey -$ 7,360.68$ 478.44$ 478.44$ 71,716.12$ 72,194.56$

2.3 Geotechnical Investigations and Design Reports 15,853.77$ 18,924.52$ 1,230.09$ 17,083.86$ 170,884.42$ 187,968.28$

2.4 Pavement Rehabilitation Investigations and
Recommendation -$ -$ -$ -$ 7,381.39$ 7,381.39$

2.5 Utility Potholing -$ 12,717.84$ 826.66$ 826.66$ 48,926.95$ 49,753.61$

2.6 Traffic Management Plan and Traffic Index
Calculation -$ 5,024.15$ 326.57 $ 326.57$ 17,959.38$ 18,285.95$

2.7 Prepare Storm Water Pollution Prevention Plan
(SWPPP) -$ 14,213.46$ 923.87 $ 923.87$ 15,037.85$ 15,961.72$

2.8 Utility Relocation Coordination 15,550.88$ 37,906.40 $ 2,463.92 $ 18,014.80$ 107,144.81$ 125,159.61$

2.9 Caltrans Encroachment Permit (Highway 111) -$ 4,589.76$ 298.33 $ 298.33$ 4,589.76$ 4,888.09$

2.10 Value Analysis Study -$ 9,551.82$ - $ -$ 106,689.31$ 106,689.31$ Task 3

3.1 65% Roadway Plans 51,864.44$ 41,223.54 $ 2,679.53 $ 54,543.97$ 301,817.43$ 356,361.40$

3.2 65% Retaining Wall Plans -$ 18,062.70$ 1,174.08 $ 1,174.08$ 103,941.63$ 105,115.71$

3.3 65% Storm Drain Plans and Final Drainage Report 3,835.37$ - $ - $ 3,835.37$ 41,632.53$ 45,467.90$

3.4 65% Channel Improvement Plans and Final Hydraulics
Report 7,826.13$ 4,981.25 $ 323.78 $ 8,149.91$ 54,821.78$ 62,971.69$

3.5 65% Landscaping Consultation/Planting Details Plan 5,763.01$ 4,274.47$ 277.84$ 6,040.85$ 25,573.38$ 31,614.23$

3.6 65% Stage Construction Plans 33,374.13$ 2,081.94$ 135.33$ 33,509.46$ 97,581.94$ 131,091.40$

3.7 65% Traffic Control Plans 20,862.09$ 3,974.46$ 258.34$ 21,120.43$ 14,449.82$ 35,570.25$

3.8 65% Sign and Striping Plans 13,011.87$ 2,849.64$ 185.23$ 13,197.10$ 13,656.94$ 26,854.04$

3.9 65% Traffic Signal Modification Plans 13,827.67$ 1,424.82$ 92.61$ 13,920.28$ 16,473.64$ 30,393.92$

3.10 65% Street/Bridge Lighting Plans 5,683.77$ 2,874.00$ 186.81$ 5,870.58$ 12,824.43$ 18,695.01$

3.11 100% Civil Roadway PS&E -$ 174,474.69$ 11,340.85$ 11,340.85$ 206,143.55$ 217,484.40$

3.12 65% Unchecked Structure Plans 410,566.11$ 129,447.94$ 8,414.12$ 418,980.23$ 942,847.61$ 1,361,827.84$

3.13 Bridge Design Independent Check -$ 132,828.58$ 8,633.86$ 8,633.86$ 132,828.58$ 141,462.44$

3.14 100% Structure PS&E -$ 371,092.69$ 24,121.02$ 24,121.02$ 371,092.69$ 395,213.71$

3.15 Final Design PS&E -$ 377,961.35$ 24,567.49$ 24,567.49$ 390,558.27$ 415,125.76$

3.16 Final Contract Bid Documents -$ 159,170.42$ 10,346.08$ 10,346.08$ 159,170.42$ 169,516.50$ Task 4

4.1 Environmental Revalidations -$ 72,870.55$ 4,736.59$ 4,736.59$ 83,843.40$ 88,579.99$

4.2 Permitting Updates [1602, 404, 401] -$ 151,162.04$ 9,825.53$ 9,825.53$ 151,223.63$ 161,049.16$

4.3 Habitat Mitigation and Monitoring Plan (HMMP) -$ 0.00$ -$ -$ -$ -$

4.4 Planting Plans -$ 9,596.29$ 623.76$ 623.76$ 9,596.29$ 10,220.05$ Task 5

5.1 Legal Descriptions and Plats -$ 112,378.64$ 7,304.61$ 7,304.61$ 112,378.64$ 119,683.25$

5.2 Right-of-Way Appraisal, Negotiation, Acquisition and Caltrans Certification -$ 338,964.41$ 22,032.69$ 22,032.69$ 346,028.60$ 368,061.29$ Tas
k 6

6.1 Attend a Pre-Bid Meeting -$ 10,580.73$ 687.75$ 687.75$ 10,580.72$ 11,268.47$

6.2 Bidding Interpretations -$ 29,782.11$ 1,935.84$ 1,935.84$ 29,782.11$ 31,717.95$

6.3 Bid Review and Analysis -$ 16,094.00$ 1,046.11$ 1,046.11$ 16,094.00$ 17,140.11$

6.4 Attend a Pre-Construction Meeting and Site Meetings -$ 83,720.35$ 5,441.82$ 5,441.82$ 83,720.36$ 89,162.18$

6.5 Respond Contractor's RFIs and Review Shop
Drawings/Submittals -$ 215,047.18$ 13,978.07$ 13,978.07$ 215,047.18$ 229,025.25$

6.6 Prepare Construction Change Orders -$ 48,698.93$ 3,165.43$ 3,165.43$ 48,698.93$ 51,864.36$

6.7 Prepare As-Built Plans -$ 63,333.55$ 4,116.68$ 4,116.68$ 63,333.56$ 67,450.24$

6.8 Letter of Map Revision (LOMR) -$ 8,223.56$ 534.53$ 534.53$ 8,223.56$ 8,758.09$ 631,179.72$ 3,084,744.35$ 199,887.50$ 831,067.22$ 5,339,734.09$ 6,170,801.31$ -$
101,435.22$ -$ -$ 308,651.60$ 308,651.60$ 631,179.72$ 3,186,179.57$ 199,887.50$ 831,067.22$ 5,648,385.69$ 6,479,452.91$ Plans, Specifications and Estimates (PS&E)
Civil Roadway PS&E
Total Other Direct Cost (ODC)
Total Cost
Total Labor Cost

CITY OF PALM SPRINGS

COST PROPOSAL
Federal Project No. BR-NBIL (513), City Project No. 10-10 Final Design Reports and Studies
Structure PS&E
Project PS&E
Environmental Permitting
Right-of-Way Services
Bidding and Construction Phase Supports
Design Construction Supports
Vista Chino Low-Water Crossing Bridge at the Whitewater River Summary of Task Costs
8/14/2023
Plans, Specifications and Estimate (PS&E)
1 Item 1T - Page 18

CITY COUNCIL STAFF REPORT
09/14/2023
SUBJECT:

APPROVE PROFESSIONAL SERVICE AGREEMENT NO. 23Q183 WITH GROUP 4 ARCHITECTURE, RESEARCH + PLANNING, INC. FOR PALM SPRINGS PUBLIC LIBRARY RENOVATION PROJECTS 16-08, MAIN LIBRARY RENOVATIONS, AND 19-18, JC FREY BUILDING REHABILITATION PHASE 1
RECOMMENDATION:

Approve Professional Services Agreement No. 23Q183 with Group 4 Architecture, Research + Planning, Inc. to provide architectural design services for an amount not to exceed $1,838,898 for Phase 1 of the project.

1. Authorize the City Manager or designee to execute all necessary documents.2.

Attachments
Item 1U

CITY COUNCIL STAFF REPORT

DATE: SEPTEMBER 14, 2023 CONSENT CALENDAR

SUBJECT: APPROVE PROFESSIONAL SERVICE AGREEMENT NO. 23Q183 WITH GROUP 4 ARCHITECTURE, RESEARCH + PLANNING, INC. FOR PALM SPRINGS PUBLIC LIBRARY RENOVATION PROJECTS 16 -08, MAIN LIBRARY RENOVATIONS, AND 19 -18, JC FREY BUILDING
REHABILITATION PHASE 1

FROM: Scott C. Stiles, City Manager

BY: Department of Library Services
Engineering Services Department

SUMMARY:

This action requests City Council approval of a three- year agreement with Group 4 Architecture, Research + Planning, Inc. for Palm Springs Public Library renovation projects 16- 08, Main Library Renovations, and 19- 18, JC Frey Building Rehabilitation Phase 1, in an amount not to exceed $1,838,898.

RECOMMENDATION:

1. Approve Professional Services Agreement No. 23Q183 (Attachment A) with Group 4 Architecture, Research + Planning, Inc. to provide architectural design services for an amount not to exceed $1,838,898 for Phase 1 of the project.

2. Authorize the City Manager or designee to execute all necessary documents.

BUSINESS PRINCIPAL DISCLOSURE:

According to the Conflict of Interest and Non- Discrimination Certification and Public Integrity Disclosure form s (Attachment B) submitted on May 3, 2023, Group 4 Architecture, Research + Planning, Inc. , is a corporation registered in the State of California.

BACKGROUND:

On March 10, 2022, City Council approved the application submission of “Building Forward: Library Infrastructure” grant for the Palm Springs Public Library, located at 300 Item 1U - Page 1
S. Sunrise Way (Main Library). The grant covers costs associated with critical maintenance and critical infrastructure projects, defined as those needed to keep existing facilities, building-related structural components, and related building systems suitable for public use and compliant with all prevailing codes, rules, regulations, and standards governing their usage, such as the Americans with Disabilities Act.

On September 12, 2022, the City learned that they were awarded $6,569,942 in matching funds for the Palm Springs Public Library Renovation project. City Council adopted Resolution 25056 on September 29, 2022, agreeing to the grant, which required 100% matching funds for the project. Per the grant guidelines, all grant -funded work must be completed by March 31, 2026. Grant funds and City matching funds total $13,136,884.

Matching funds are held in Fund 260, Measure J. Grant funds will be disbursed from the California State Library as the project progresses.

The California State Library Grant Program has a list of unallowable costs; however, the Library Board of Trustees feels that there are many renovation elements that are important to include, despite grant funding available to cover the costs. At their December 7, 2022 meeting, the Library Board of Trustees asked that the City include in the scope of work all non-grant funded recommendations approved by the Trustees.

Additionally, the Trustees recommended that the City move forward with the plan to renovate the JC Frey building according to the approved Measure J budget and present back to the Library Board a plan and a confirmed budget. The Trustees asked, however, that the JC Frey Building renovation not impede on the Main Library renovation.

At the February 21, 2023 Council Meeting, City Council approved staff to move forward with the design services for the desired scope of work and to bring back cost estimates for the scope of work and recommendations on items to move forward with based on funding availability.

STAFF ANALYSIS:

On April 3, 2023, the Procurement and Contracting Department issued Request for Qualifications 28-23 for Palm Springs Public Library renovation design services. Fourteen qualified architecture firms submitted statements of qualifications by the May 3, 2023, deadline. Firms submitting statements of qualifications were as follows:
• Cannon/Parkin, Inc. dba CannonDesign; Irvine, CA
• o 2 Architecture + Frederick Fisher and Partners Architects; Palm Springs, CA and Los Angeles, CA
• Gonzalez Goodale Architects dba GGA; Pasadena, CA
• Group 4 Architecture, Research + Planning, Inc.; South San Francisco, CA • Hammel, Green and Abrahamson, Inc.; Santa Monica, CA
• Hartmanaire (non-responsive); Lake Forest, CA
Item 1U - Page 2
• IDS Group, Inc.; Irvine, CA
• Little Diversified Architectural Consulting; Newport Beach, CA • Loescher Meachem Architects; Los Angeles, CA
• M. Arthur Gensler Jr. & Associates, Inc.; Los Angeles, CA • ONYX Architects, Inc.; Pasadena, CA
• RADAR Inc.; Los Angeles, CA
• Richärd & Kennedy Architects, LLC; Phoenix, AZ
• Steinberg Hart; Los Angeles, CA
• SVA Architects, Inc.; Santa Ana, CA
A five-person evaluation committee consisting of City of Palm Springs employees from Library, Engineering, and Planning, and one community member from the Library Foundation, reviewed and scored the statements of qualifications against the criteria published in the Request for Qualifications. The committee then interviewed the top five firms at the end of May 2023 and scored the interviewed applicants. The firms interviewed were as follows:
• Cannon/Parkin, Inc dba CannonDesign
• o 2 + Frederick Fisher and Partners
• Group 4 Architecture, Research + Planning, Inc.
• M. Arthur Gensler Jr. & Associates, Inc.
• Richärd & Kennedy Architects, LLC
Scores from the statement of qualifications and interviews were combined, the firms were ranked, and negotiations began with Group 4 Architecture, Research + Planning, Inc. as the highest scoring firm. After reaching a fair and reasonable price for the wor k, staff recommends award of a contract to Group 4 Architecture, Research + Planning, Inc.

The scope of this library renovation project will happen in two phases. The first phase will cover all the grant work on the main library, the work on the Frey Building and programming and estimating for all the non- grant funded work under this Professional Service Agreement No. 23Q183. Upon completion of the programming for all the non- grant funded work, staff will return to Council with a recommended menu of scope i tems and cost estimates, and priority renovation and expansion details under Phase 2 of the project for the Council to approve. Once approved, staff will negotiate the fees with the Architect and return to Council with a contract amendment to complete the work for the Phase 2 scope of the library renovation project.

ENVIRONMENTAL ASSESSMENT
:

In accordance with the California Environmental Quality Act (“CEQA”) Guidelines the requested City Council action is not a “Project” pursuant to Section 15378(b)(5).

Organizational or administrative activities of governments that will not result in direct or Item 1U - Page 3
indirect physical changes in the environment are not considered a “Project”. However, future phases of this project may require CEQA actions.

ALIGNMENT WITH STRATEGIC PLANNING
:

This item aligns with City Council Priority 2A, Improve City Facilities.

FISCAL IMPACT
:

$1,789,259 in grant funds and $1,789,259 in matching funds are set aside for Consultant and Contractor Fees for grant -related work. Grant funds and m atching funds were authorized and included in the 5- year Capital Improvement Project budget in Fund 260, Measure J for the Main Library Renovation-Infrastructure Grant.

$1,131,000 in Measure J f unds were authorized for general use for the JC Frey Rehabilitation Project and included in the 5- year Capital Improvement Project budget in Fund 260, Measure J.

$1,000,000 was authorized and included in the 5- year Capital Improvement Project budget in Fund 260, Measure J for additional non-grant funded costs.

REVIEWED BY:

Department Director: Jeannie Kays
Engineering Department Director: Joel Montalvo
Procurement and Contracting Director: Kim Baker
City Manager: Scott Stiles

ATTACHMENTS:

A. Professional Services Agreement 23Q183
B. Public Integrity Disclosure Form

Item 1U - Page 4

ATTACHMENT A

Item 1U - Page 5
PROFESSIONAL SERVICES AGREEMENT 23Q183

PALM SPRINGS PUBLIC LIBRARY RENOVATION DESIGN SERVICES

THIS PROFESSIONAL SERVICES AGREEMENT (“ Agreement”) is entered into, and effective on September 18, 2023, between the CIT Y OF PALM SPRINGS, a Califo rnia charter city and municipal c orporation, (“City”) and Group 4 Architecture, Research + Planning, Inc., a California Corporation, (“Consultant”). C ity and Consultant are individually referred to as “Party” and are collectively referred to as the “Parties”.

RECITALS

A. City requires the service s of a li censed architect, for the Palm Springs Public Library Renovation Design Services (“Project”).

B. Consultant has submitted to City a statement of qualifications to provide professional design services, to City under the terms of this Agreement.

C. Consultant is qualified by virtue of its experience, training, education, reputation, and expertise to provide t hese services and has agreed to provide such services as provided in this Agreement.

D. City desires to retain Consultant to provide such professional services.

NOW, THE REFORE, in consideration of the promises and mutual obligations, covenants, and condi tions c ontained herein, and other valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

AGREEMENT

1. SERVICES OF CONSULTANT

1.1 Scope of Services. In compliance with a ll terms and condi tions of thi s Agreement, Consultant agrees to perform the professional services set forth in the Scope of Services described in Exhibit “A” (the “Services” or “Work”) , which is attached and incorporated herein by this reference. As a m aterial inducement t o the City entering into this Agreement, Consultant represents that Consultant is a provider of professional s ervices and professional services and that Consultant is experienced in performing the Work contemplated and, in light of such status and exper ience, Consultant shall perform the Work in a competent, professional, and satisfactory manner consistent with but limi ted to t he level of care and skill ordinarily exercised by other experienced and well qualified members of the profession currently practicing in the same or similar locality and under similar conditions.

1.2 Contract Documents . The Agreement between th e Parties shall consist of the following: (1) this Agreement; (2) the Scop e o f Services; (3) the City’s Request for Qualifications; and, (4) the Consultant’s signed, original statement of qualifications submitted to the City (“Consultant’s Qualifications”), (collectively referred to as the “Contract Documents”).

Item 1U - Page 6
The City’s Request for Qualifications and the Consultant’s statement of qualifications, which are both a ttached as Exhibit “C”, respectively, are incorporated he rein by this reference and are made a part of this Agreement. The Scope of Services shall include the Consultant’s Statement of Qualifications. All provisions of the Scope of Services, the City’s Request for Qualifications and the Consultant ’s statement of qualifications shall be binding on the Parties. Should any conflict or inconsistency exist in the C ontract Documents, the conflict or i nconsistency shall be resolved by applying the provisions in the highest priority document, which shall be determined in the following order of priori ty: (1st) the provisions of the Scope of Services (Exhibit “A” ); (2nd) the provisions of the City’s Reques t for Qualifications; (3rd) the terms of this Agreement; and, (4th) the provisions of the Consultant’s statement of qualifications.

1.3 Compliance with Law. Consultant represents that all Services rendered shall be performed in a ccordance with all applicab le federal, state, and local laws , statutes, ordinances lawful orders, rules, and regulations. Consultant shall be liable for all viola tions of such l aws and regulations in connection with the Services and this Agreement.

1.4 Licenses, Permits, Fees, an d Assessments. Consultant represents to City that it has obtained all licenses, permits, qualifications, and approvals of whatever nature that are legally required to practice its profession and perform the Work required by this Agreement.

Consultant represents to City that Consultant shall, at its sole cost and expense, keep in effect at all times during the term of this Agreement, any license, permit, qualification, or approval that is legally required for Consultant to perform the Work and under this Agreement. Consultant shall have the sole obligation to pay for any fees, assessments, and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are neces sary fo r t he Consultant's performance of the Work required by this Agreement. Consultant shall indemnify, defend, and hold harmless City against any such fees, assessments, taxes penalti es, or interest levied, assessed, or imposed against City to the fullest extent permitted by law.

1.5 Familiarity with Work. By executing this Agreement, Consul tant represents that Consultant (a) has thoroughly investigated and considered the Scope of Ser vices to be performed, ( b) has carefully considered how the S ervices should be performed, and (c) fully understands the facilities , difficu lties, and restrictions attending performance of the Services under this Agreement. If the Services in volve work upon any site, Consultant re presents that Consultant has or will investiga te the sit e and is or will be fully a cquainted with the condi tions there existing, prior to com mencement of any Services. Should the Consultant discover any latent or unknown conditions that will materially a ffect the performance of the Services, Consultant shal l immediately inform the City of such fact and shall n ot procee d except at Consultant's risk until written instructions are received from the City.

1.6 Care of Work. Consultant shall adopt reasonable methods during the term of the Agreement to fu rnish continuous protection to the Work and the equipment, ma terials, papers, documents, plans , studies, and/or other components to prevent losses or damages. Consultant shall be responsible for all such damages, to persons or property, until acceptance of the Work by the City, except such losses or damages as may be caused by City's own negligence.

Item 1U - Page 7

1.7 Further Responsibilities of Parties . P arties agree to use reasonable care and diligence to perform their re spective obligations under this Agreement. P arties agree to act in good faith to ex ecute all instruments, prepare all documents , and take a ll actions as may be reasonably necessary to carry out the purposes of this Agreement.

1.8 Additional Services. City shall have the right at any time during the performance of the Services, without invalidating this Agreement, to order extra work beyond that specified in the Scope of Services or make changes by altering, adding t o, or deducting from such Work. No such extra work may be undertaken unless a writ ten order is first given by the City to the Consultant, incor porating a ny adjustment in (i) th e Maximum Contract Amount, as defined below, and/or (ii) the time to perform th is Agreement. Any adjustments must al so be approved in writing by the Consultant . Any increase in compensation of up t o twenty-five percent (25%) of the Maximum Contract Amount or $25,000, whichever is less, or in the time to perform of up to thirty (30) days, may be approved by the City M anager, or his designee, as may be needed to perform a ny extra work. Any greater incr eases, occurring eithe r separat ely or cumulatively, must be approved by the Palm Springs City Council. It is expressly understood by Consultant that the provisions of this s ection shall not apply to the services specifically s et forth or reasonably contemplated within the Scope of Services.

2. COMPENSATION

2.1 Maximum Contract Amount. For the S ervices rendered under this Agreement, Consultant sha ll be compensated by C ity in accordance with the Schedule of Compensa tion, which is attached as Exhibit “B” and incorporated herein by this reference. Compensation shall not exceed the maximum contract amount of $1,838,898 for Phase I of the pr oject ("Maximum Contract Amount"), except as may be provided under Section 1.8. Phase II will be negotiated at a later date and added to the contract via amendment. The method of c ompensation shall be as set forth in Exhibit “B. ” C ompensation for necessary expenditures for reproduction c osts, telephone expenses, and transportat ion expenses must be ap proved in advance by the Contract Officer designated und er Section 4.2 and will only be approved if such ex penses ar e also specified in the Schedule of Compensation. The Maximum Contract Amount shall include the attendance of Consul tant at all project meetings reasonably deemed necessary by the City.

Consultant shall not be entitled to an y increase in the Maxi mum Contract Amount for attending these meetings. Consultant accepts the risk that t he services identified in the Scope of Ser vices may be more costly and/or time-consuming than Consultant anticipates, that Consultant shall not be ent itled to additional compensatio n, and that the provisions of Se ction 1.8 shall not be applicable to the services identified in the Sco pe of Services . If the C ity’s Maximum Contract Amount is reached before the Consul tant’s Services under this A greement ar e completed, Consultant shall complete the Work and C ity shall not be liable for payment beyond the Maximum Contract Amount.

2.2. Method of Paymen t. Unless another meth od of payment is specified in the Schedule of Compens ation (Exhibit “B”), in any mont h in which Consultant wishes to receive payment, Consultant shall submit to the City an invoice for Services rendered prior to the date of the invoice. The invoice shall be in a form approved by the City’s Finance Director and must be submitted no later than the tenth (10) working day of such month. Such req uests shall be based Item 1U - Page 8
upon the amount and value of t he Services performed by Consultant and accompanied by such reporting data including an itemized breakdown of a ll costs incurred and tasks performed during the period covered by the invoice, as may be requi red by t he City. City shall use reasonable efforts to make payments to Consul tant within forty-five (45) days after receipt of the invoice or as soon as is reasonably practical. There shall be a maximum of one payment per month.

2.3 Changes in Scope. In the event any change or changes in the Scope of S ervices is requested by City, Parties shall execute a written amendment to this Agreement, specifying all proposed amendments, including, but not limited to, any additional fees. An amendment may be entered into:

A. To provide for revisions or modificati ons to documents , work product, or work, when required by the enactment or revision of any subsequent law; or B. To provide for additional services not included in this Agr eement or not customarily furnished in accordance with generally accepted practice in Consultant’s profession.

2.4 Appropriations. This Agreement i s subject to and contingent upon funds being appropriated by the City Council for e ach fiscal year covered by the Agr eement. If such appropriations are not made, this Agreement shall automat ically terminate without penalty to the City.

3. SCHEDULE OF PERFORMANCE

3.1 Time of Essence. Time is of th e essence in the performance of this Ag reement.

The time for completion of the services to be performed by Consultant is an essential condition of this Agreement. Consultant shall prose cute regularly and dili gently the Work of this Agreement according to the ag reed upon attached Schedule of P erformance ( Exhibit “ B”), incorporated herein by this re ference. Neither Party shall be accountable for d elays in performance caused by any condition beyond the reasonabl e control and without the fault or negligence of the non- performing Party. Delays sh all not entitle Consul tant to a ny additional compensation regardless of the Party responsible for the delay.

3.2 Schedule of Perform ance. Consultant shall commence the S ervices under this Agreement upon receipt of a written notice to proceed and shall perform all Services wi thin the time period(s) establish ed in the Schedule of Performance. When requested by Consultant, extensions to the time period(s) specified in the S chedule of Performance may be approved in writing by the Contract Officer, but such extensions shall not e xceed one hundred eighty (180) days cumulatively; however, the City shall not be obligated to grant such an extension.

3.3 F orce Majeure. The time for performance of Services to be rendered un der this Agreement may be extended because of any delays due to a Forc e Majeure Event, if Consultant notifies the Contract Officer within ten (10 ) days of the commencement of the Force Majeure Event. A Force M ajeure Event shall mean an event that materially affects the Consultant’s performance and is one or more of the foll owing: (1) Acts of God o r other natural disasters occurring at the project s ite; (2) terrorism or other acts of a pub lic enemy; (3) orders of governmental authorities (including, without limitation, unreasonable and unforeseeable delay in Item 1U - Page 9
the issuance of permits or approvals by governmental authorities that are required for the Wo rk); and (4) pandemics, epidemics or quarantine restrictions. For purposes of this section, “orders of governmental authorities,” includes ordinanc es, emergency proclamati ons and or ders, rules to protect the public health, welfare and safety, and other act ions of the City in its cap acity as a municipal authority. Afte r Consultant notification, the Contract Office r shall investigate the facts and the extent of any necessary delay, and extend the time for p erforming the Services for the period of the enforc ed delay when and if, in the Contract Officer’s judgment, such de lay is justified. The Contract Officer’s dete rmination shall be final and conclusi ve upon the Parties to this Agreement. The Consultant will not receive an adjustment to the contract price o r any other compensation. Notwithstandin g the foregoing, the Ci ty may still terminate this Agreement in accordance with the termination provisions of this Agreement.

3.4 Term. Unless earlier terminated in acco rdance with Section 4.5 of this Agreement, this Agreement shall continue in full forc e and effect for a peri od of three years , commencing on September 18, 2023, and ending on September 17, 2026, unless ext ended by mutual written agreement of the Parties. However, the term shall not exceed three years from the commencement date, except as o therwise provided in t he Schedule of Performance described in Section 3.2 above.

3.5 Termination Prior to Expiration of Term. City may termin ate this Agreement at any time, with or without cause, upon thirty ( 30) days written notice to Consultant . Whe re termination is due to the fault of Consult ant and constitutes an immediate danger to he alth, safety, and general welfare, the period of notice shall be such shorter time as may be determined by the City. Upon r eceipt of the notice of termination, Consultant shall immediately cease all Services except such as may be specifically approved by the Contract Officer. Consultant shall be entitled to compensation for all Services rendered prior to receipt of the notic e of termination and for any Services authorized by the Contract Officer after such notice. City shall not be liable for any costs other than the ch arges or portions thereof which are spe cified herein. Consultant shall not be entitled to payment for unperformed Services, and shall not be entitled to damages or compensation for termination of Work. Consultant may not terminate this Agreement except for cause, upon thirty (30) days written notice to City.

4. COORDINATION OF WORK

4.1 Representative of Co nsultant. The following principal of Consultant is designated as being the principal an d representative of Consultant authorized to act in its behalf and make all decisions with respect to the Services to be performed under this Agreement: David Schnee, Princip al. It is expressly understood that the expe rience, knowledge, education, capability, exp ertise, and repu tation of the f oregoing principal is a substanti al inducement for City to enter into this Agreement. Therefore, the foregoing principal shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the S ervices performed hereunder. The foregoing principal may not be changed by Consultant without prior written approval of the Contract Officer.

4.2 Contract O fficer. The C ontract Officer shall be the City Manager or hi s/her designee ("Contract Officer"). Consultant shall be responsible for keeping the Contract Officer Item 1U - Page 10
fully informed of the progress of the per formance of the S ervices. Consultant shall refer an y decisions th at must be made by City to the Contract Officer. Unless other wise specified, any approval of City shall mean the approval of the Contract Officer.

4.3 Prohibition Against Subcontracting or Assignments. The experience, knowledge, education, capability, a nd reputation of Consultant , its principals and employees, were a substantial induceme nt for C ity to enter into this Agreement. Consultant shall not contract with any other individual or ent ity to perform any Services required under this Agreement without the City's express written a pproval. In addit ion, neither this Agreement nor any interest may be assigned or transferred, voluntarily or by operation of law, without the prior written approval of City. Subcontracts, if any, shall contain a provisions making them subject to all provi sions stipulated i n this Agreemen t including without limi tation the insurance and indemnification requirements. If Consultant is permitted to subcontract any pa rt of this Agreement by City, Consultant shall be r esponsible to City for the acts and omissions of its subConsultant(s) in the same manner as it is fo r persons directly employed. Nothing contained in this Agreement shall create any contractual relationships between any subConsultant and City.

All persons engag ed in t he Work will be considered em ployees of Consult ant. City will deal directly with and w ill make all payments to Consultant. In addition, neither this Agreement nor any inte rest in this Agree ment m ay be transferred, assigned, conveyed, hypothecated , or encumbered voluntarily or by operation of law, whether for the benefit of creditors or otherwise, without the prior written consent of City. Transfers restricted in this Agreement shall include the transfer to any person or group of persons acting in concert of more than twenty five per cent (25%) of the present ownershi p and/or control of Cons ultant, taking all transfers into account on a cumulative basis. In the event of any such unapproved tr ansfer, including any bankruptcy proceeding, this Agreement shall be void. No approved transfer shall release Consultant or any surety of Consultant from any liability under this Agreement without the express written consent of City.

4.4 Independent Consultant. The legal relationship between the Parties is th at of an independent Consultant, and nothing shall be deemed to make Consultant a City employee.

A. During the performance of this Agreement, Consultant and its of ficers, employees, and agents sh all ac t in an independent capacity and shall not ac t or re present themselves as City officers or employees. The personnel perf orming the Services unde r this Agreement on behalf of Consultant shall at all times be under Cons ultant’s exclusive direction and control. Neither City nor any of its officers, employees, or agents shall have control over the conduct of Consultant or any of its officers, employe es, or a gents, except as set forth in this Agreement. Consultant, its of ficers, employ ees, or agents shal l not maintain an office or any other type of fixed busin ess location at City’s offices. City shall have no voice in the sele ction, discharge, supervision, or control of Consultant’s employees, servants, representatives, or agents, or i n fixing their num ber, compensation, or hours of service. Consultant shall pay all w ages, salaries, and other a mounts due its emp loyees in conne ction with this Agreemen t and shall be responsible for all reports and obligations respecting them, including but not limited to s ocial security income tax withholding, unemployment compe nsation, workers’ compensation, and other similar matters. City shal l not in any way or for a ny purpose be deemed to be a partner of Consultant in its business or ot herwise a joint venturer or a me mber of any joint enterprise with Consultant.

Item 1U - Page 11

B. Consul tant shall not have any authority to bind City in any manner. This includes the power to incur any debt, obligation, or liability against City.

C. No City benefit s shall be available to Consulta nt, its officers, employees, or agents in connection with any performance under this Agreement . Except for professional fees paid to Consultant as provided for in this Agreement, City shall not pay salaries, wages, or other compensation to Consultant for t he performance of Services under this Agreement. City shall not be liable for compensation or indemnification to Consultant, its officers, employees, or agents, for injury or sickness arising out of performing Services. I f for any reas on any court or governmental agency determines that the City has financial obligations, other than under Section 2 and Subsection 1.8 in this Agr eement, of any nature re lating t o salary, taxes, or benefits of Consultant’s officers, employees, servants, representatives, subConsultants, or agents, Consultant shall indemnify City for all such financial obligations.

4.5 California Labor Code Requiremen ts.

A. Consultant is aware of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq., which require t he pa yment of prevailing wage rates and the performance o f o ther r equirements on certain “pub lic works” and “maintenance” proj ects (“Prevailing Wage Laws”). If the Services are being performed as part of an applicable “pub lic works” or “maintenance” proj ect, as defined by the Prevailing Wage Laws, and if the to tal compensation is $15,000 or more fo r maintenance or $25,000 or mor e for construction, alteration, demolition, installation, or repair, Consultant agrees to fully comply with suc h Prevailing Wage L aws. Consultant shall defend, indemnify and hold the Cit y, its officials, officers, employees and agents free and harmless fr om any claims, liabilitie s, costs, penalties or interest arising out of any failure or alleged failure to comply with the Prevail ing Wage Laws. It shall be mandatory upon the Consultant and all subcontractors to comply with all California Labor Code provi sions, which include but are not limited to prevailing wages (Labor Code Sections 1771, 1774 and 1775), employm ent of apprentices (Labor Code Section 1777.5), certified payroll rec ords (L abor Co de Sections 1771.4 and 1776), hours of labor (Labor Code Sections 1813 and 1815) and de barment of contractors and subcontractors (Labor Code Section 1777.1).

B. If the Services are being performed as part of an applicable “public works” or “maintenance” project and if the total compe nsation is $15,000 or more for ma intenance or $25,000 or m ore for construction, alteration, demolition, installation, or repair, then pursuant t o Labor Code Sections 1725.5 and 1771.1, the Consultant and all subcontractors performing such Services must be registered with th e Department of Industrial Relations. Consultant shall maintain registration for the duration of the Project and require the same of any subcont ractors, as applicable. This Agreement may also b e subject to compliance monitoring and enforc ement by the Department of Indus trial Relations. It sh all be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements.

5. INSURANCE

5.1 Types of Insurance . Consult ant shall procure and maintain, a t its sole cost an d Item 1U - Page 12
expense, the insurance described herein. The insurance shall be for the duration of this Agreement and includes any extensi ons, unless otherwi se sp ecified in this Agreement. The insurance shall be procured in a form and content satisfactory to City. The insurance shall apply against claims which m ay arise from the Consultant's performance of Work under this Agreement, including Consultant's agents, representatives, or employees. In the event the City Manager determines that the Work or S ervices to be performed under this Agreement creates an increased or decreased risk of loss to the City, the Consultant agrees that the minimum limits of the insurance policies may be changed accordingly upon receipt of written notice from the City Manager or his designee. Consultant shall immediately substitute any insurer whose A.M. Best rating drops below the levels specified in this Agreement. Except as otherwise authorized below for professional liability (erro rs and om issions) insurance, all ins urance provided under this Agreement shall be on an occurrence basis. The minimum amount of insurance required shall be as follows:

A. Errors and Omissions Ins urance. Consultant shall obtain and maintain in full force and effect throughout the term of th is Agreement, standard industry form professional liability (er rors and omissions) insurance coverage in an amount of not less t han one millio n dollars ($1,000,000.00) per occurrence and two -million dollars ($2, 000,000.00) an nual aggregate, in accordance with the provisions of this section.

(1) Consultant shall e ither: (a ) certify in writing to the City that Consultant is unaw are of any pro fessional liability claims made against Consultant and is unaware of any facts which may lead to such a claim ag ainst Consultant ; or (b) if Consu ltant does not provide t he certi fication under (a ), Consultant shall procure from the professiona l liability in surer an endorseme nt pro viding that the required limits of the policy shall apply separately to claims arising f rom errors and omissions in the r endition of services under this Agreement.

(2) If the policy of insurance is written on a “cl aims made” bas is, the policy shall be continued in full force and effect at all tim es during the term of this Agreement, and f or a period of thr ee (3) years from the date of the compl etion of the Services provided hereunder. In the event of termination of the policy during this period, Consul tant shall obtain continuing insurance coverage for the prior acts or omissions of Consultant during the course of performing Services under the t erms of this Agreement. The coverage shall be evidenced by either a new policy evidencing no gap in cove rage, or by obtaining separate extended “tail” coverage with the present or new carrier or other insurance arrangements providing for complete coverage, either of which shall be subject to the written approval by the City Manager.

(3) In the event the policy of insurance is written on an “occurrence” basis, the policy shall be continued in ful l force and effect during the term of this Agreement, or until completion of the Services provided for in this Agreement, whicheve r is later. In the event of termination of the policy during this period, new cover age shall imme diately be obtained to ensure c overage during t he entire cours e of performing the Servi ces und er the terms of this Agreement.

B. Workers’ Compensation Insurance. Consultant shall obtain a nd maintain, Item 1U - Page 13
in full force and effect throughout the term of this Agreement, workers’ compensation insurance in at least the minimum statutory amounts, and in c ompliance with all other statutory requirements, as required by the State of C alifornia. Consult ant agrees to waive and obtain endorsements from i ts workers’ compensation insurer waiving subrogation rights under its workers’ compensation insuranc e policy against the City and to require each of its subConsultants, if a ny, to do like wise under their w orkers’ compensation insurance policies. If Consultant ha s n o em ployees, Consultant shall com plete the City’s R equest for Waiv er of Workers’ Compensation Insurance Requirement form.

C. Commercial General Liability Insuran ce. Consultant shall obtain and maintain, in full force and effect throughout the term of this Agreement, a policy of commerc ial general liability insurance w ritten on a per occurren ce basis with a combined single limit of a t least one million dollars ($1,000,000.00) and two million dol lars ( $2,000,000.00) general aggregate for bodily injury a nd property damage including coverag es for contractual liability, personal injury, independent Consult ants, broad form property damage, products and completed operations.

D. Bus iness Automobile Insurance. Consultant shall obtain and maintain, in full f orce an d effect throughout the term of this Agreement, a policy of bus iness automobile liability insurance written on a per occurrence basis with a single limit liability in the amount of one million dollars ($1,000,000.00) bodily injury and property damage. The policy shall include coverage for owned, non-owned, leased, and hired cars.

E. Employer Liability Insurance . Consultant shall obtain and maintain, in full force and effect throughout the t erm o f this Agreement, a policy of employer liabil ity insurance written on a per occurrence b asis with a policy limit of at le ast one million dollars ($1,000,000.00) for bodily injury or disease.

5.2 Deductibles and Self -Insured Retent ions. Any deductibl es or self-insured retentions must be declared to and approv ed by the City Manager or his/her designee prior to commencing any work or services under t his Agreement. Consultant guarantee s payment of all deductibles and sel f-insured rete ntions. City rese rves t he right to reject deductibles or self - insured retentions in excess of $10,000, and the City Manager or his/her designee m ay require evidence of pending claims and claims history as well as evidence of Consultant’s abi lity to pay claims for all deductible amounts and self-insured retentions proposed in excess of $10,000.

5.3 Other Insurance R equirements. The following provi sions shall apply to the insurance policies required of Consultant under this Agreement:

A. For any claims related to this A greement, Consultant’s coverage shall be primary in surance with r espect to the City and its of ficers, council members, official s, employees, agents, and volunteers. Any insurance or self -insurance maintained by the City and its officers, council members, offici als, employees, agents , and volunteers shall be in e xcess of Consultant’s insurance and shall not contribute with it.

B. Any failure to comply with reporting or other provisions of the policies, Item 1U - Page 14
including breaches of warranties, s hall not affect co verage provided to City and its officers, council members, officials, employees, agents, and volunteers.

C. All insurance coverage and limits provided by Consultant and available or applicable to this Agreement are intended to apply to each insured, including additional insureds, against whom a claim is made or suit is brought to the full extent of the policies. Nothing contained in this Agreement or a ny other agreement relating to the City or its operations shall limit the application of such insurance coverage.

D. No required insurance coverages may include any li miting endorsement which subs tantially impairs the coverages s et forth in this Agreeme nt (e.g., elimination of contractual liability or reduction of discovery period) , unles s the endorsement has fi rst been submitted to the City Manager and approved in writing.

E. Consultant agrees to require its in surer to modify insurance endorsements to delet e any exculpatory wording stating that failure of the insurer to mail written n otice of cancellation imposes no obligation, or that any party will " endeavor" (as opposed to being required) to c omply with the requirements of t he endorsements. Certi ficates of insurance will not be accepted in lieu o f required endorsements, and submitt al of certificates without required endorsements may delay commencement of t he Project. It is Consultant’s obli gation to ensure timely compliance with all insurance submittal requirements as provided in this Agreement.

F. Consultant agrees to ensure that subConsultants, a nd any other parties involved with the Project who are brought onto or involved in the Project by Consultant, provide the same minimum insurance coverage required of Consultant. Consultant agrees to monitor and review all such coverage and assumes all responsi bility for ensuring that such coverage is provided in c onformity with the requirements of this section. C onsultant agree s that upon request, all agreements with subConsultants and others engaged in the P roject will be submitted to the City for review.

G. Consultant acknowledges and agrees that any actual or alleged failure on the part of the City to inform Consultant of non- compliance with any i nsurance requirement in no way imposes any additional obligations on the City nor does it waive any right s in this or any other regard.

H. Consultant shall provi de proof that policies of insurance re quired in this Agreement, expiri ng during the term of t his Agre ement, have been renewed or replaced with other policies providing at least the same coverage. P roof that such coverage has been ordered shall be submitted prior to expiration. Endorsements as required in this Agreement applicable to the renewing or new c overage shall be provided to City no later than ten (10) days pr ior to expiration of the lapsing coverage.

I. Requirements of specific insurance coverag e features or limits contained in this section are not intended as li mitations on coverage, l imits, or other requirements, or as a waiver of any coverage normally provided by any given policy. Speci fic reference to a given coverage feature is for p urposes of clarification only as it pertain s to a given issue, and is not Item 1U - Page 15
intended by any party or insured to be limiting or all-inclusive.

J. The requirements in this section supersede all other section s and provisions of this Agreement to the extent that any other s ection or provision conflicts with or impair the provisions of this section.

K. Consultant a grees to provide immediate notice to City of any claim or loss against Consultant arising out of t he Work performed under this Agreement and for any other claim o r loss which may reduce the i nsurance available to pay claims a rising out of this Agreement. City assumes no obligation or liability by such notice, but has the right (but not the duty) to monitor the handling of any such claim or claims if they are l ikely to involve City, or to reduce or dilute insurance available for payment of potential claims.

L. Consultant agrees that the provisions of this s ection shall not be construed as limiting in any way the extent to which the Consultant may be held re sponsible for the payment of damages resulting from th e Consultant’s a ctivities or the activit ies of a ny person or person for which the Consultant is otherwise responsible.

5.4 Sufficiency of Insurers. Insurance required in this Agreement shall be provided by authorized insurers in good standing with the State of California. Coverage shall be provided by insurers admitted in the State of California with an A.M. Be st’s Key Ratin g of B++, Class VII, or better, unless such requirements are waived i n writing by t he City Manager or his designee due to unique circumstances.

5.5 Verification of Coverage. Consultant shall furnish City with both certificates of insurance and endorsements, including additiona l insured endorsements, affecting all of the coverages required by this Agreement. The ce rtificates and endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All proof of insurance is to be received and approved by the City before work commences. City reserves the right to require Consultant’s insurers to provi de complete, cer tified copies of all re quired insurance policies at any time. Additional insured endorsements are not require d for Errors and O missions and Workers’ Compensation policies.

Verification of Insurance coverage may be provid ed by: (1) an appr oved General an d/or Auto Liability Endorsement Form for the City of Palm Springs or (2) an acceptable Certificate of Liability Insurance Coverag e with an approved Additional Insured Endorsement w ith the following endorsements stated on the certificate:

A. "The City of P alm Springs, its offici als, employees, and agents are named as an additional insured…” ("as respects City of P alm Springs Contrac t No.___" or "for any and all work performed with the City" may be included in this statement).

B. " This insurance is primary and non- contributory ov er any i nsurance or self - insurance the City may have..." ("as respects City of Palm Springs Contract No.___" or "for any and all work performed with the City" may be included in this statement).

Item 1U - Page 16
C. " Should any of the above described policies be canceled b efore th e expiration date thereof, the issuing company will mail 30 days written notice to the Certificate Holder named." Language such as, “endeavor to” mail and "but fa ilure to mail such notice sha ll impose no obligation or liabili ty of any kind upon the company, its agents or representative" is not acceptable and must be crossed out.

D. Both the Workers’ Compensation and Employers' Liability policies shall conta in the insurer's waiver of subrogati on in favor of Cit y, its elected officials, officers, emp loyees, agents, and volunteers.

In addition to the endorsements listed above, the City of Palm Springs s hall b e named the certificate holder on the policie s. All certificates of insurance and endor sements are to be received and ap proved by the City befor e work commences. All certificates of insurance must be authorized by a person with authority to bind coverage, whether that is the authorized agent/broker or ins urance underwriter. Failure to obta in the required documents prior t o the commencement of work shall not waive the Consultant’s obligation to provide them.

6. INDEMNIFICATION

6.1 Indemnification and Reimbursement. To the fullest extent permitted by law, Consultant shall defend (at Consult ant’s sole cost an d expense), inde mnify, protect, and hold harmless City, its elected officials, officers, employees, agents, and volunteers (co llectively the “In demnified Parties”), from and against any and all l iabilities, actions, suits, claims, demands, losses, costs, j udgments, arbit ration awards, settlemen ts, dama ges, demands, orders, penalties, and expenses including legal costs and attorne y fees (collectively “Claims”), including but not limited to Claims a rising from injuries to or death of persons (Consultant’s employees included), for damage to propert y, including property owned by City, for any violation of any federal, state, or local law or ordinance o r in any manner arising out of, pertaining to, or i ncident to any a cts, errors or omissions, or willful misconduct committed by Consultant , its officer s, employees, representatives, and agents, that arise out of or relate to Consultant’s performance of Services or this Agreement. This indemnification clause excl udes Claims arising from the sole negligence or willfu l misconduct of the Indemnified Parties . Under no circumstances shall the insurance requirements and limits set forth in this Agreement be construed to limit Consultant’s indemnification obligation or other liability under this Agreement. Consultant’s indemnification obligation shall survive t he expiration or earlier termination of this Agreement until all actions against the I ndemnified Parties for such matters indemnified are fully and finally barred by the applicable statute of limitations or, if an action is timely filed, until such action is final.

6.2 Design Professional Services Indemnification and Reimbursement. If Consultant’s obligati on to defend, indemnify, and/or hold harmless arises out of Consultant’s performance as a “design professional” (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully in corporated herein, Consultant’s indemnification obl igation shall be limited to the extent whic h the Claims arise out of, pertai n to, or relate to the negligence , recklessness, or willful misconduct of the Consultant in the performance of the Services or this Agreement, and, upon Consultant obtaining Item 1U - Page 17
a final adjudication by a court of competent juri sdiction, Consultant ’s liability f or such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault.

7. REPORTS AND RECORDS

7.1 Accounting Records . Consultant shall k eep compl ete, accurate, and detailed accounts of all time, costs, exp enses, and expenditures pertaining in any way to this Agreement.

Consultant shall keep such books and records as shall be necess ary to properly perform the Services required by this Agre ement a nd to enable the Contract Off icer to evaluate t he performance of such Services. The Contract Officer shall have full and free access to such books and records at all reasonable times, including the right to inspect, copy, audit , and make records and transcripts from such records.

7.2 Reports. Consultant shall periodically prepare and submit to the Contract Officer such reports concerning the performance of the Services required by this Agre ement, or as the Contract Officer shall require. Consultant acknowledges that the City is greatly concerned about the cost of t he Work to be performed under this Agreement. For t his reason, Consultant agrees that Consultant shall promptly notify the Cont ract Officer the estimated increased or decreased cost if Consultant becomes aware of any fact s, circumstances, techniques, or events that may or will materially increase or decrease the cost of the S ervices. I f Consultant is providing design services, Consultant shall promptly notify the Contract Officer the es timated i ncreased or decreased cost fo r the project being designed if Consultant becomes awar e of any facts, circumstances, techniques, or events that may or will mat erially increase or decrease the cost of the design services.

7.3 Ownership of Do cuments. All drawings, specifications, repor ts, records, documents, memorand a, correspondence, computations , and other materials prepared by Consultant, its employees, subConsultants, and agents in the pe rformance of this Agreement shall be the property of City and shall be promptly delivered to City upon request of the Contract Officer or upon the term ination of this Agreement . Consultant shall have no claim for further employment or additional compensa tion as a result of the exercise by City of its full right s of ownership of the documents and ma terials. Any use of such compl eted documents for other projects and/or use of incomplete documents without specific written authorization by the Consultant will be at the City's sole risk and without liability to Consultant, and the City shall indemnify t he Consultant for all resulting damages. Consultant ma y retain copies of such documents for their own use. Consultant shall ha ve an unrestri cted right to use t he co ncepts embodied tin this Agreement. Consultant shal l ensure that all its sub Consultants shall provide for assignment to City of any documents or materials prepared by them. In the event Consultant fails to secure such assignment, Consultant shall indemnify City for all resulting damages.

7.4 Release of D ocuments. All drawings, specifications, reports, reco rds, documents, and other materials prepared by Consultant in the performance of Services under this Agreement s hall not be released publicly wi thout the prior written approval of the Contract Officer. All in formation gained by Consultant in the performance of this Agree ment shall be considered confide ntial and shall not be released by Consultant without City’ s pri or written authorization.

Item 1U - Page 18

7.5 Au dit and Inspection of Records. After receipt of r easonable notice and during the regular bus iness hours of City, Consultant s hall provide City, or ot her agents of City, such access to Consultant’s books, records, payroll documents , and facilities as City deems necessary to examine, copy, audit , and inspect all account ing books, records, work data , documents, and activities directly related to Consultant ’s performance under this Agreement . Consultant shall maintain such books, records, d ata, and documents in accordance with generally accepted accounting principles and shall clearly identify and ma ke such items read ily accessible t o such parties during the term of this Agreement and for a period of three (3) years from the da te of final payment by City hereunder.

8. ENFORCEMENT OF AGREEMENT

8.1 California Law and Venue. This Agreement shall be construed and inter preted both as to validity and as to performance of the Parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim, or matter arising out of or i n relation to this Agreement shall be institu ted in the Superior Court of the County of Riverside , State of California, or any other appropriate court in such C ounty, and Co nsultant covenants and agrees to submit to the personal jurisdiction of such court in the event of such action.

8.2 Interpretation. This Agree ment shall be c onstrued as a whole acco rding to its fair language and common meaning to achieve the objectives and purposes of the Parties. The terms of this Agreement are contractual and the result of negotiation between the Parties .

Accordingly, any rule of construction of contracts (including, without limitation, California Civil Code Section 1654) that ambiguit ies are to be construed against t he drafting party, shall not be employed in the interpretati on of this Agreement. The captio n headings of the various sections and paragraphs of this Agreement are for convenience and identification purposes only and shall not be deemed to limit, expand, or define the contents of the respective sections or paragraphs.

8.3 Default of Consultant. Consultant’s failure to comply w ith any provision of this Agreement shall constitute a default.

A. If the City Manager, or his designee, determines that Consul tant i s in default in the performance of any of the terms or conditions of this Agreement, he/ she shall notify Consultant in writing of such default. Consultant shall have ten (10) days, or such longer period as City may designate, to cure the default by r endering satisfactory performance. In the event Consultant fails to cure its default within su ch period of tim e, City shall h ave the right, notwithstanding a ny other provision of this Agreement, to terminate this Agreement without further notice and with out prejudice of any remedy to which City may be entitled at law, in equity, or under this Agr eement. Consultant shall be liab le for all reasonable co sts incurred by City as a result of such default. Compliance with the provisions of this section shall n ot constitute a waiver of any City right to take le gal action in the event that the dispute is not cured, provided that nothing shall limit City’s righ t to terminate this Agreement without cause under Section 3.5.

B. If termination is due to the failure o f the Consultant to fulfill its obligations under this Agr eement, C ity may, after compliance w ith the provisions of Section Item 1U - Page 19

8.3A, take over the work an d prosecute the same to completion by contract or otherwise . T he Consultant shall be liable to the exten t that the total cost for completion of the Services requi red hereunder exceeds the Maximum Cont ract Amount (provided that the City shall use reasonabl e efforts to mitigate such damages) . The City may withhold any payments to the Consultant for the purpose of set-off or partial payment of the amounts owed the City as previously stated. The withholding or failure to withhold paym ents to Consultant shall not limit Consultant’s liability for completion of the Services as provided in this Agreement.

8.4 Waiver. N o waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the Party against whom enforcement of a waiver is sought. Any waiver by the Parties of any default or breach of any cov enant, condition, or term contained in this Agreement, shall not be construed to be a waiver of any subsequent or other defaul t or breach, nor shall f ailure by the Parties to require exact, full, and complete compliance wit h any of the covenants, conditions, or terms contained in this Agreement be construed as chan ging the terms of this Agreement in any manner or preventing the Parties from enforcing the full provisions.

8.5 Rights and Remedies Cumulative. Except with res pect to rights and remedies expressly declared to be exclusive in this Agreement, t he rights and remedies of the Parties are cumulative and the exercise by eit her Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other Party.

8.6 L egal Action. In addition to any other rights or remedies , either Party may take legal action, in law or in equity, to cure, corre ct, remedy or recover damages for any default, to compel specific performance of th is Agreement, to obtain declaratory or injunc tive relief, or to obtain any other remedy consistent with the purposes of this Agreement.

8.7 Attorney Fees. In the event any dispute between the Parties with respect to this Agreement results in litigation o r any non-judi cial proceeding, the prevaili ng Party shall be entitled, in ad dition to such other rel ief as m ay be granted, to recover from the non-prevailing Party all reasonable costs and expenses. These include but are not limited to reasonable attorney fees, expert consultant fees, court costs and all fees, costs, and expenses incurred in any appeal or in collection of any judgment entered in such proceeding. To the extent authorized by law, in the event of a dismissal by the plaintiff or petitioner of the litigatio n or non- judicial proceeding within thirty (30) days of the da te set for trial or hear ing, the other Party shall be deemed to be the prevailing Party in such litigation or proceeding.

9. CI TY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION

9.1 Non-liability of City Officers and Employ ees. No officer o r employee of the City shall be personally liable to the Consultant, or any successor-in-interest, in the event of any default or breach by the City or for any amount which may become due to the Consult ant or to its successor, or for breach of any obligation of the terms of this Agreement.

9.2 Conflict of Interest. Consultant acknowledges that no officer or employee of the Item 1U - Page 20
City has or shall have any direct or indirect financial interest in this Agreement, nor shall Consultant enter into an y agreement of any kind with any such officer or employe e during the term of this Agreement and for one (1) year thereafter. Consultant represents that Consultant has not paid or given, and will not pay or give, any third party any money or other conside ration in exchange for obtaining this Agreement.

9.3 Covenant Ag ainst Discrimination . In connection with its performance under this Agreement, Consultant shal l not discriminate against any employee or applicant for employment because of actual or perceiv ed race, religion, color, sex, age , marital status, ancestry, nat ional origin ( i.e ., place of origin, immigration status, cultura l or linguistic characteristics, or et hnicity), sexual orientation, gender identity, gende r expression, physical or mental disability, or medica l condition (ea ch a “prohibited basis”) . Consultant shall ensure that applicants are employed, and that employees are treated during their employment, without regard to any prohibited basis. As a condition pr ecedent to City’s lawful capac ity to enter this Agreement, and i n executing this Agreem ent, Consultant certifies that its actions and omissions hereunder shall not incorporate any discrimination arising from or related to any prohibited basis in any Consul tant activity, including but not limited to the following: empl oyment, upgrading, demotion or t ransfer; recruitment or recruitment advertising; layoff or termination; rates o f pay or other forms of compensation; and selection for training, inc luding apprenticeship; and further, that Consultant is in ful l compliance wi th the provisions of Pal m Springs Municipal Code Section 7.09.040, including without limitation the provision of benefits, rel ating to non- discrimination in city contracting.

10. MISCELLANEOUS PROVISIONS

10.1 Patent and C opyright Infringem ent. To the ful lest extent permissible under law, and in lieu of any other warranty by City or Consultant against patent or c opyright infringement, statutory or otherwise:

A. I t is agreed that Consul tant shall defend at its expense any claim or suit against City on ac count of any allegation that any item furnished under this Agreement, or the normal use or sale a rising out of the performance of this Agreement, infringes upon any presently existing U.S. letters patent or copyright and Consultant shall pay all costs and damages finally awarded i n any s uch suit or claim, provided that Consultant is promptly notified in writing of the suit or cla im and given authority, information and assistance at Consult ant’s expense for the defense of sam e, and provided such suit or clai m arises out of, pertains to, or is related to the negligence, recklessness or willful misconduct of Consultant . However, Consultant will not indemnify City if the suit or claim r esults from: (1) City's alteration of a deliverable, such that City’s altera tion of such deliverable created the infringement upon any presently existing U.S. letters patent or copyright; or (2) the use of a deliverable in combination with other material n ot provided by Consultant when it is such use in combination which infringes upon an existing U.S. letters patent or copyright.

B. Consultant shall have sole control of the defense of any such claim or suit and all negotiations for settlement in the event City fails to cooperate in the defense of any suit or claim, provided, how ever, that such defense s hall be at Consultant’s expense. Consultant shall Item 1U - Page 21
not be obligated to indemnify City under any settl ement that is made without Consultant’s consent, which shall not be unreasonably withheld. If the use or sale of s uch item is enjoined as a result of the suit or claim, Consultant, at no expense to City, shall obtain for City the right to use and sell the item, or shall substitute an equivalent item acceptable to C ity and extend this patent and copyright indemnity thereto.

10.2 Notice. Any notice, demand, request, consent, approval, or communication that either party desires , or is required to give to the other party or any other person shall be in writing. All no tices shall be personally delivered, s ent by pre- paid First Class U.S . Mail, registered or cer tified mail, postage prepaid, return receipt requested, or delivered or sent by facsimile with attach ed eviden ce of completed transmission . All notices shall be deem ed received upon the earlier of (i) the date of delivery to the a ddress of the person to receive such notice if delivered personally or by messenger or overnight courier; (ii) five (5) busine ss days after the date of posting by the United States Post Office if by mail; or (iii) when sent if given by facsimile. Any noti ce, request, demand, dir ection, or other communication sent by facsimile must be confirmed within forty-eight (48) hours by le tter mailed or delivered. Other forms of electronic transmission such as e- mails, text messages, and instant messages are not acceptable manners of notic e required hereunder. Notices or other communications shall be addressed as follows:

To City: City of Palm Springs
Attention: City Manager & City Clerk
3200 E. Tahquitz Canyon Way
Palm springs, California 92262
Telephone: (760) 323-8204
Facsimile: (760) 323-8332

To Consultant: Group 4 Architecture Re search + Planning, Inc. 211 Linden Avenue
South San Francisco , CA 94080
A ttention: David Schnee, Principal
Telephone: (650) 871-0709
Facsimile: (650) 871-7911

10.3 In tegrated Agreement. This Agreement constitutes the entire understanding between the Parties and supersedes and cancels all prior negotiations, arr angements, agreements, representations, and understandings, if any, made by or among the Parties wit h respect to the subject matter in this Agreement.

10.4 Amendment. No amendments or other m odifications of this Agreement shall be binding unless through written agreement signed by all Parties.

10.5 Severability. Whenever pos sible, each provision of this Ag reement shall be interpreted in such a manner as to be effective and valid under appl icable law. If any provision of this Agreement shall be determ ined to be invalid by a final judgment or dec ree of a court o f competent jurisdiction, such provision shall be ineffective only to the extent of such prohibition or invalidity, without invalidat ing the reminder of that provision, or the remaining provisions of Item 1U - Page 22
this Agreement unless the invalid provision is so material that its inv alidity deprives either Party of the basic benefit of their bargain or renders this Agreement meaningless.

10.5 Successors in Interest . This Agreement shall be binding upon and inur e to the benefit of the Parties’ successors and assignees.

10.6 Third P arty Beneficiary . Excep t as may be expressly provided for in this Agreement, nothing contained in this Agreeme nt is intended to confer, nor shall this Agreement be construed as co nferring, any rights, including, without li mitation, any rights as a third -party beneficiary or otherwise, upon any entity or person not a party to this Agreement.

10.7 Recitals. The ab ove-referenced Recitals are hereby incorporated into the Agreement as though fully set forth in this Agreement and each Party acknowledges and agrees that such Party is bound, for purposes of this Agreement, by the same.

10.8. Corporate Authority. Each of the undersigned represents and represents that (i) the Party for which he or she is executing this Agreement is duly authorized and existing, (i i) he or she is duly aut horized to execute and deliver this Agreement on behalf of the P arty for which he or she is signing, (iii) by so executing this Agreement, the Party for which he or she is signing is formally bound t o the provisions of this Agreemen t, and (iv) the entering into this Agreement does not violate any provision of any other Agreement to which the Party for which he or s he is signing is bound.

10.9 Counterparts. Th is Ag reement may be signed in counterpart s, each of which shall constitute an original.

10.10 Compliance with Economic Sanctions in Response to Russia ’s Actions in Ukraine. When funding f or the services i s provided, in whole or in part, by an agency controlled of the State of California, Consultant shall fully and adequately comply with California Executive Order N -6-22 (“Russian Sanctions Program”). As part of this compliance process, Consultant shall also certify compliance with th e Russian Sanctions P rogram by completing the form located in Exhibit “ C” (Russian Sanctions Certification), attached hereto and incorporated herein by reference. Consultant shall also require any subconsultants to comply with the Russian Sanctions Program and certify compliance pursuant to this Section.

[SIGNATURES ON NEXT PAGE]
Item 1U - Page 23

SIGNATURE PAGE TO AGREEMENT BY AND BETWEEN THE CITY OF PALM SPRINGS AND GROUP 4 ARCHITECTURE RESEARCH + PLANNING, INC.

IN WITNESS WHEREOF, the P arties have executed this Agr eement as of the date s stated below.

CONSULTANT:

By: _______________________________________ By: _________________________________________ Signature Signature
David Schnee, Principal Jonathan Hartman, Principal
(2nd signature required for Corporations)

Date: Date:

CITY OF PALM SPRINGS:

APPROVED BY CITY COUNCIL:

Date: _______ Item No.

APPROVED AS TO FORM: ATTEST:

By: ___________________________ By: _______________________________ City Attorney City Clerk

APPROVED:

By: _______________________________ Date:

City Manager – over $50,000
Deputy/Assistant City Manager – up to $50,000
Director – up to $25,000
Manager – up to $5,000

Item 1U - Page 24
EXHIBIT “A”

SCOPE OF SERVICES

1.1 Background:

A. On March 10, 2022, City Council approved the appli cation submission of “Building Forward: Library Infrastructure” grant for the Palm Springs Public Library, located at 300 S. Sunrise Way (Main Library). The grant cove rs costs associated with critical maintenance and critical infrastructure projec ts, defin ed as those ne eded to keep existing facilities, building -related structural components, and related building systems suitable for public use and compliant with all pre vailing codes, rules, regulations, and standards governi ng their usage, such as the Americ ans with Disabilities Act.

B. On Sep tember 12, 2022, the City learned that they were awarded $6,569,942 in matching funds for the Palm Springs Public Library Renovation project. City Council adopted Resolution 25056 on Septe mber 29, 20 22, agreeing to the gr ant, which required 100% matching funds for the project. Per the grant guidelines, all grant - funded work must be completed by March 31, 2026. Grant funds and City matc hing funds total $13,136,884. Matching funds are held in F und 260, Measure J. Gr ant funds will be disbursed from the California State Library as the project progresses.

C. The California State Library Grant Program has a list of unallowable costs; however, the Library Board of Trustees feels that there are many r enovation elements that are important to inclu de, despite grant funding available to cover the costs. At their December 7, 2022, meeting, the Library Board of Trustees asked that the City include in t he scope of work all non- grant funded recommendations appr oved by the Trustees.

D. Additionally, the Trustees recommended that the City move forward with the plan to renovate the JC Frey building according to the approved Measure J budget and present back to the Library Board with a plan and a confirmed budget. T he Trustees asked, however, that the JC Frey Building renovation not impede on the Main Library renovation.

E. At the February 21, 2023, Council Meeting, City Council approved staff to move forward with the design services for the desired scope of work and to bring back cost estimates for the scope of work and recommendations on items to move forward with based on funding availability.

1.2 Scope: The general scope of work for the design services is as follows:

A. JC Frey Building rehabilitation and renovation (Phase I work)

1. Correct any building deficiencies

2. Create single-use gender neutral restroom(s)

3. Move equipment closet inside front door to improve access to main room

4. Restore full -length window designs and install glass doors to make building inviting
Item 1U - Page 25

5. Subdivide meeting room in NE section of building

6. Upgrade all mechanical, electrical, plumbing, HVAC, and technology B. Main Library (Phase 1 work)

1. All Grant -Funded Infrastructure Items per grant application a nd approval from California State Library to include the following:
a. Fire Sprinkler System
b. Fire Alarm System Control Panel
c. Emergency Egress Hardware
d. Emergency Egress Light, Power Systems
e. Ceiling Finishes (for new sprinkler system)
f. Air Filtration System
g. Security System - CCTV and Alarm System
h. Emergency Backup Generator
i. Skylights - Railings & Fall Protection Anchor Points j. HVAC Replacement
k. HVAC Terminal and Package Units
l. Electrical Service
m. Seismic Retrofit
n. Roof Replacement
o. Replace Carpet and/or Floors
p. Window replacements
q. Replace water lines - includes plumbing
r. Painting (preventative maintenance)
s. Replace Signage, ADA tactile, larger fonts for visually impaired t. Replace non-emergency lighting
u. Replace interior doors and locks
v. Inclusive Access

2. Non-Grant-Funded Items (note only programming s coping design and cost estimating will be done as part of the Phase 1 work for these scope items. After approval of these additional scope items, a separate negotiation will take place to determine the design fees for Phase II of this work to complete design and construction administration services):
a. Additional security gates for additional entrances
b. Archival storage space
Item 1U - Page 26
c. Art space-gallery space with lighting
d. Art wall in exterior public patio space
e. Café
f. Carpet
g. Children’s patio
h. Exterior Paint
i. Fixtures (Service desks, counters, cabinetry, kiosks, display furniture, mobile shelving)
j. Flexible Office space-community organization outreach or services, no nprofit support offices
k. Friends of the Library Book Sale space
l. Infrastructure upgrades required for project but not allowed/included in grant m. Interior Paint
n. Koi Pond replacement
o. Landscaping
p. LED Sign upgrade
q. Library Furniture
r. More storage
s. New 350-seat event center- which would be an addition or annex adjacent to the existing building
t. Outdoor lighting on building
u. Outdoor use spaces-public patios with seating
v. Parking Lot Expansion
w. Perimeter sidewalk lighting upgrades
x. Private meeting/study rooms
y. Scalable Classroom/maker space/meeting rooms
z. Steel book shelving and end panels
aa. Technology-cabling upgrades, computers, AV, PA system, screens, sound bb. Window coverings for climate and light control
C. The Consultant will provide all labor, su pplies, and materials necessary to produce and de liver documents , plans, spe cifications, cost estimates, schedules and construction administration services throughout the construction and close out phase of this project.

D. Schematic/Conceptual Design Phase Services t asks will inclu de but are not limited to the following:

Item 1U - Page 27

1. Lead on-site kick-off meeting with subconsultant team and City

2. Manage project and coordinate with City and subconsul tant team

3. Project programming and visioning

4. Existing conditions surveying (see Exhibit A-1 for Limit of Survey).

5. Prepare schematic/conceptual de sign package (30%) for review and comment including:
a. Civil plans including demolition, grading, drainage, paving and utilities b. Architectural plans inclu ding reflected ceiling, building elevations , building and wall sections, landscaping plans and interior elevations c. Structural plans
d. Mechanical plans
e. Plumbing and Fire Protection plans
f. Electrical plans
g. Specialty plans including energy

6. Provide schedule

7. Provide Preliminary Cost Estimate

8. Provide utility research
E. Design Phase Services include but are not limited to the following tasks:

1. Upon approval of the schematic design package (50%) and cost estimate, prepare design development package including:
a. Civil plans including demolition, grading, drainage, paving and utilities b. Architectural plans including reflected ceiling, building elevations, building and wall sections, landscaping plans and interior elevations c. Structural plans
d. Mechanical plans
e. Plumbing and Fire Protection plans
f. Electrical plans
g. Specialty plans including energy
h. draft (50%) technical specifications
i. preliminary cost estimate

2. Detailed cost estimating and marketplace conditions

3. Provide for construction phasing and scheduling that will minimize interruption to operations

4. Provide alternate systems evaluation and constructability studies where applicable Item 1U - Page 28

5. Geotechnical engineering and testing

6. Provide an environmental hazardous materials assessment

7. Provide long-lead procurement studies

8. Assist in the permitting processes

9. Coordinate with various City of Palm Springs departments, other agencies, util ity companies, etc.

10. Participate in value engineering options and discussions

11. Protect the owner’s sensitivity to quality, safety, and environmental factors

12. Advise City on choosing green building materials

13. Submit 50% package for initial building permit intake

14. Make corrections and revisions based on permit comments F. Construction Documents Phase

1. Upon approval of the design development package and cost estimate, prepare the construction documents and permit submittal. Tasks will include:
a. Civil plans including demolition, grading, drainage, paving and utilities b. Architectural plans including reflected ceiling, building elevations, building and wall sections, landscaping plans and interior elevations c. Structural plans
d. Mechanical plans
e. Plumbing and Fire Protection plans
f. Electrical plans
g. Specialty plans inc luding energy

2. Submit 100% CD package for final permit approval

3. Prepare final technical specifications at 100%

4. Review construction document package and cost estimate with the City.

G. Bidding Phase

1. Upon approval of the construct ion documents and receipt of building permit, t he Consultant will support the City’s bidding process. Tasks will include:
a. Attend pre-bid conference
b. Assist with bid addenda and clarifications in response to bidder questions c. Support City with bid evaluations as necessary
d. Make design modifications to reduce construction cost as needed Item 1U - Page 29

H. Construction Administration/Observation Phase

1. Upon selection of c ontractor, Consultant will participate in construction administration/observation. Tasks will include:
a. Attend pre-construction conference
b. Attend construction meetings
c. Oversee project and coordinate with City and subconsultant team d. Review submittals and mock-ups
e. Respond to requests for information (RFIs)
f. Review proposed substitutions, alternates and change orders g. Observe construction during bi- weekly visits for co nsistency with design intent as conveyed in the construction documents
h. Attend substantial completion walk through
i. Review contractor punch list
j. Attend final completion walk through
k. Review contractor’s as built drawings
I. Close Out Phase

1. Coordinate and verify training and commissioning efforts

2. Contract close out and post occupancy evaluation

3. Provide as built drawings in CAD and PDF format

4. Coordinate and conduct an eleven-month warranty walk through

1.3 Deliverables:

Consultant shall provide design submittals, cost estimates, schedules, as built documents and reports as outlined in the scope of work for the various phases of design.

Consultant shall provide construction observation reports, responses to request for informa
tion and review comments on submittals during the construction phase.

1.4 Schedule:

Design work will commence upon execution of contract and shall be completed within 12 months. It is anticipated that the bidding and construction phase will continue for a period of 24 additional months.

1.5 Compensation:

Work will be compensated as out lined on the pricing sheet in the contract. Contract pricing includes all labor, expenses, and incidentals to complete the work outlined in the contract scope. The Contractor may request monthly payments based on the percentage of work completed for the previous month as long as a detailed progress report is Item 1U - Page 30
provided to support the amount requested. No additional compensation will be due by the City unless the contract is modified for additional work requested by the City.

Item 1U - Page 31

E. BARISTO ROAD
Pnlm Sprinor. Stndi11m
L
Po
Item 1U - Page 32
EXHIBIT “B”

SCHEDULE OF COST

1. COMPENSATION FOR PHASE I BASIC SERVICES
Compensation to the Consultant for Basic Services described in Exhibit A, shall be a stipulated sum of One Million , Seven Hundred Eighty- Eight Thousand, Eight Hundred Ninety-Eight Dollars ($ 1,788,898.00) This will be done as a single project, but invoiced according to the following breakdown:

A. JC Frey Building: Two Hundred Seventy Thousand, Nine Hundred Nineteen Dollars ($270,919.00)

Consultant shall invoice the City monthly on a percent complete basis for wor k completed to date. Basic Compensati on per project phase shall not exceed the following portions of the Basic Services compensation by Phase unless approved by the City.

Phase 1: SD $ 66,898.00
Phase 2: DD (proceeds after Phase 0) $ 70,138.00
Phase 3: CD + Permit $ 64,581.00
Phase 4: Bidding $ 4,124.00
Phase 5: Construction Support $ 60,740.00
Phase 6: Closeout $ 4,438.00
Total $ 270,919.00

B.1. Main Library Grant Funded Scope: One Million, Two Hundred Nineteen Thousand, Nine Hundred Ninety-Three Dollars ($1,219,993.00)

Consultant shall invoice the City monthly on a percent complete basis for work completed to date. Basic Compensation per project phase shall not exceed the following portions of the Basic Services compensation by Phase unless approved by the City.

Phase 1: SD $ 217,882.00
Phase 2: DD $ 315,841.00
Phase 3: CD + Permit $ 314,638.00
Phase 4: Bidding $ 18,573.00
Item 1U - Page 33
Phase 5: Construction Support $ 333,071.00
Phase 6: Closeout $ 19,988.00
Total $ 1,219,993.00

B.2. Main Library Non –Grant Funded Scope: Two Hundred and Ninety-Seven Thousand Nine Hundred and Eighty-Six Dollars ($297,986.00) Consultant shall invoice t he City monthly on a percent complete basis for work completed to date. Basic Compensation per project phase shall not exceed the following portions of the Basic Services compensation by Phase unless approved by the City.

Programming, Scoping, Cost $ 297,986.00
Phase 1: SD Phase II Scope
Phase 2: DD Phase II Scope
Phase 3: CD + Permit Phase II Scope
Phase 4: Bidding Phase II Scope
Phase 5: Construction Support Phase II Scope
Phase 6: Closeout Phase II Scope
Total $ 297,986.00

2. COMPENSATION FOR MEETINGS, ENGAGEMENT AND TRIPS:

The above Schedules of Cos t for Basic Services for PHASE I includes t he following Meeting and Engagement Services for all the project meetings that were reasonably deemed necessary by the City at the time of Agreement execution. This includes the travel expenses and ordinary facilitation materials for the specified meetings. If during the progress of the work, additional meetings or trips are requested by the City, these will be compensated for as Additional Services.
a. Phase 1 Schematic Design both Buildings and Main Library Non-Grant Programming, Scoping, and Cost; Concurrent meetings:
• Conduct up to six (6) Project Management Team (PMT) meetings. • Conduct three (3) technical meetings with Library staff. • Conduct one (1) technical meeting with the Planning Department • Conduct two (2) design/scope review meetings with a Project Steering Committee consisting of representatives from Library Board of Trustees, Library Foundation, and Friends of the Library.

Item 1U - Page 34
• Conduct one (1) technical meeting each with the Building, Fire, and Police Departments to review the updated schematic code analysis, this may be a joint meeting.
• Present once (1) to City Council.
• The above meetings will be scheduled collaboratively with the City and will include in-person trips to observe the buildings and site and facilitate in-person meetings. Trips: The engagement activities of this Phase include a total of up to
• Six (6) Person trips of the architect
• One (1) person trip of the structural engineer
• One (1) person trip of the MEP engineers
• One (1) person trip of the historic resource architect • One (1) person trip of the hazardous material consultant b. Phase 2 Design Development Concurrent meetings
• PMT: Up to six (6)
• Integrated Design Workshop (IDW): One (1)
• Technical meetings: Up to five (5) with Library Staff, Building and Planning, Fire, Police and Public Works department staff • Project Steering Committee Meetings: One (1)
• The City shall provide coordinated written comments on the Consultant’s deliverables that will establish and confirm design direction for Phase 3. • Trips: The engagement activities of this Phase include a total of up to • 5 Person trips of the architect
c. Phase 3 Construction Documents Concurrent meetings
• PMT: Up to Six (6)
• Technical meetings: Up to Six (4)
• Integrated Design Workshop: One (1)
• Steering Committee Meeting: One (1),
• City Council Meeting: One (1),
• Trips: The engagement activities of this Phase include a total of up to • 5 Person trips of the architect
d. Phase 4 Bidding Concurrent meetings
• The Consultant shall attend a pre-bid conference
• Trips: The engagement activities of this Phase include a total of up to • 1 Person trips of the architect
Item 1U - Page 35
e. Phase 5 Construction Administration, Concurrent meetings • Attend pre-construction conference
• Attend construction meetings: Participate in regular weekly Owner- Architect-Contractor (OAC) meetings via web conference or held on-site in conjunction with Architect site visits. .
• Trips: The activities of this Phase include a total of up to • Twenty (20) Person trips of the architect
• Six (6) person trips of the structural engineer
• Two (2) person trips of the MEP engineers
• One (1) person trip of the low voltage/av designer
f. Phase 6 Closeout Concurrent meetings
• Provide one (1) site visit for Punchlist review
• Provide up to two (2) site visits for back check to review for general conformance with the design intent of the Contract Documents • Trips: Trips: The activities of this Phase include a total of up to • Three (3) Person trips of the architect
• One (1) person trip of the structural engineer
• One (1) person trip of the MEP engineers

2. CONCURRENT DESIGN
The above S chedules of C ost for Basic Services reflect economies of scale that result from the work of each phase for both buildings bei ng done concurrently in a single coordinated effort. If, the City elects to proceed with project scopes non-concurrently, the Consultant shall be permitted to negotiate Additional services for the added effort.

3. COMPENSATION FOR ADDITIONAL SERVICES

1. Compensation to the Consultant for Additional Services not described in Exhibit A is in addition to compensation for Basic Services and shall be either at the hourly rates in section 3.3 below or made as a negotiated stipulated sum. The rates in 3.3 below will be in effect through December 31st, 2024 and are subje ct to annual revisions at the start of each calendar year.

2. Additional Services Contingency. This Agreement includes an allowance for other City authorized Additional Services:
a. Meetings beyond those described in the Exhibit B, Section 2 b. Trips to the site beyond those described in the Exhibit B Section 2 c. Other related services as determined by City to be necessary to complete the project design and construction administration process.

Item 1U - Page 36

Additional Services Allowance $50,000

3. Schedule of Professional Services

Effective 1 January 2023

Group 4 Hourly Rate
Principal in Charge $260.00
Principal $250.00
Associate $230.00
Project Manager $195.00
Architect III $190.00
Architect II $180.00
Architect I $175.00
Architectural Staff III $165.00
Architectural Staff II $155.00
Architectural Staff I $145.00
Interior Designer II / Planner II $155.00
Interior Designer I / Planner I $145.00
Project Support $120.00 -$240.00
Consulting Principal $320.00

Consultants to the Architect will be billed at 1.15 times direct cost.

4. PHASE II SERVICES THAT MAY BE ADDED BY CONTRACT AMENDMENT:

The following Phase II Consulting services may be added by the City under separate written proposal with additional fees as approved by the City. Examples of these include:

1. SD-Closeout Services for Main Library Non-Grant Scope.

2. Non-concurrent design of any of the scopes of work.

3. Multiple bid-packages or construction phases

4. Agency/Impact Fees
Item 1U - Page 37

5. ALTA/NSPS Survey

6. Entitlement Documents (applications, preliminary plans, etc.)

7. CEQA Initial Study (IS) / Negative Declaration (ND) / Mitigated Negative Declaration (MND) / Environmental Impact Report (EIR)

8. Environmental Technical Reports (e.g. Biology, Cultural, Geology, Traffic, etc.)

9. Phase 1 and/or Phase 2 Environmental Site Assessment

10. Private Utility Locating

11. Construction Staking

12. Potholing

13. Construction Staking

14. Off-Site improvements

15. Off-Site Hydrology

16. On-Site Hydrology Plan and Hydraulics Report

17. Environmental Monitoring Services

18. Construction Phase Hazardous Material Abatement Air Monitoring and Project Oversight

19. Construction Phase Hazardous Material Abatement Report preparation

20. Documenting existing MEP systems beyond major components that are readily visible. Major components consist of HVAC and Electrical equipment and plumbing fixtures and equipment. If accurate As-Built or record drawings are not provided, and additional time is required to verify size and location of ductwork, plumbing piping, electrical wiring, additional fees will be required.

21. Removal of electrical panel covers, disassembly of equipment or removal of building materials required to document existing conditions.

22. Preparation of multiple drawings or drawing set for separate construction phasing

23. Verifying locations of existing underground utilities which transit the site

24. Design of solar photovoltaic systems and energy storage systems and calculations

25. Special effect lighting systems such as Theatrical lighting

26. Temporary power design

27. Load monitoring of existing electrical systems or circuit tracing of existing circuits and feeders

28. Emergency engine generator fuel supply systems remote from the generator; engine exhaust air pollution control/abatement systems and permits (AQMD); engine generator cooling/combustion air supply/return systems Item 1U - Page 38

29. Public street lighting, traffic control, street improvements and offsite utilities

30. Arc flash hazard analysis and protective device coordination study

31. Application or documentation for rebate program(s) other than listed in scope

32. Any coordination or permit application/acquisition for local department of transportation and/or any other agency not shown in the “inclusions” portion of the Scope of Work

33. Detailed or final hydraulic calculations and nodes. Preliminary rough order magnitude calculations to verify if a fire pump is required only.

34. Sizing or design of fire pump system, or alternative water supply (assumed existing system capable of meeting the demand of the new areas)

35. Site drainage and Storm Water Design

36. Preliminary Water Quality Management Plan

37. Hydrology and Hydraulics Report

38. Street Improvement Plan

39. Sewer Improvement Plan

40. Water Improvement Plan

41. Fugitive Dust Control Plan

42. Storm Water Pollution Prevention Plan

Item 1U - Page 39

ATTACHMENT B

Item 1U - Page 40
53 GROUP 4 ARCHITECTURE E . FORMS

1. 2.

3. 4.

5. Name of Entity

PUBLIC INTEGRITY DISCLOSURE

APPLICANT DISCLOSURE FORM
Group 4 Architecture, Research + Planning, Inc
Address of Entity (Principal Place of Business)
211 Linden Ave South San Francisco, CA 94080
Local or California Address (if different than #2)
State where Entity is Registered with Secretary of State California
If other than California, is the Entity also registered in California? D Yes D No Type of Entity
12\j Corporation D Limited Liability Company D Partnership D Trust D Other (please specify)

7. Owners/Investors with a 5% beneficial interest in the Applicant Entity or a related entity

EXAMPLE
JANE DOE 50%, ABC COMPANY, Inc.
[name of owner/investor] [percentage of beneficial interest in entity and name of entity)
A. 25.91% Dawn Merkes Group 4 Architecture, Research + Planning, Inc [name of owner/investor] [percentage of beneficial interest in entity and name of entity]
B. 25.00%
David Schnee Group 4 Architecture, Research + Planning, Inc [name of owner/investor] [percentage of beneficial interest in entity and name of entity]
C. 21.36%
Jonathan Hartman Group 4 Architecture , Research + Planning, Inc [name of owner/investor] [percentage of beneficial interest in entity and name of entity]
D. 15.46%
Andrea Gifford Group 4 Architecture, Research + Planning, Inc - [name of owner/investor] [percentage of beneficial interest in entity and name of entity]
E. 5.46%
Jill Eyres Group 4 Architecture, Research + Planning, Inc [name of owner/investor) [percentage of beneficial interest in entity and name of entity]

I DECLARE UNDER PENALTY OF PERJURY UNDER THE LAWS OF THE STATE OF CALIFORNIA THAT THE FOREGOING IS TRUE AND CORRECT.
-
~ D:;}? ~;,r;_ ame, Title
Date
s-j~:2,£
Rosan?J;£n, Controller
_ :::,.

Item 1U - Page 42

CITY COUNCIL STAFF REPORT
09/14/2023
SUBJECT:

AUTHORIZE ISSUANCE OF A LETTER IN SUPPORT OF SENATE BILL 244 – THE

RIGHT TO REPAIR ACT
RECOMMENDATION:

Authorize issuance of a letter in support of Senate Bill 244, supporting the Right to Repair Act.

Attachments
Item 1V

CITY COUNCIL STAFF REPORT

DATE: SEPTEMBER 14, 2023 CONSENT CALENDAR

SUBJECT: AUTHORIZE ISSUANCE OF A LETTER IN SUPPORT OF SENATE BILL 244 – THE RIGHT TO REPAIR ACT

FROM: Scott C. Stiles, City Manager

BY: Brenda Pree, City Clerk

RECOMMENDATION:

Authorize issuance of a letter in support of Senate Bill 244, supporting the Right to Repair Act.

BACKGROUND:

At the request of Mayor Garner and Councilmember Holstege, the City Council is requested to consider whether to issue a letter of support for Senate Bill 244, supporting the Right to Repair Act, introduced, introduced by Senator Susan Talamantes Eggman.

This bill creates a right to repair for specified consumer electronics and appliances. Under the bill, the manufacturer of a qualifying product must provide, on “fair and reasonable terms,” the product’s owner or an independent repair shop with sufficient documentation, tools, and parts needed to repair the product. Repair restrictions significantly impact consumers when they have to pay exorbitant prices to have devices repaired through manufacturer-authorized networks or when replacing the product entirely seems to be the only alternative. These restrictions ripple out into the economy, hurting local regulated repair shops, which contributes to our growing e-waste crisis.

The Right to Repair Act reduces toxic electronic waste entering our landfills; and supports independent repair businesses by giving them the materials necessary to compete in the repair marketplace. It saves consumers money, by reducing the need to replace products that would require simple repairs. Senate Bill 244 provides more opportunities for small businesses, stimulate s jobs within the community , and reduces the need to replace products.

FISCAL IMPACT
:

There is no fiscal impact as the result of issuing this letter.

Item 1V - Page 1
City Council Staff Report
September 14, 2023 – Page 2
Authorize Issuance of a Letter in Support of Senate Bill 244 – The Right to Repair Act

REVIEWED BY:

Department Director: Brenda Pree
City Manager: Scott Stiles

ATTACHMENTS:

A. Senate Bill 244 Text
B. Letter of Support

Item 1V - Page 2

ATTACHMENT A
Senate Bill 244 Text

Item 1V - Page 3
Post Office Box 27 43 • Palm Springs, California 9 2263-2743

City of Palm Spring s
Office of the City Clerk
3200 E. Tahquitz Canyon Way • Palm Springs, California 92262 Tel: 760.323.8204 • Fax: 760.322.8332 • TDD 760.864.9527 • www.palmspringsca.gov

September 14, 2023

The Honorable Susan Talamantes Eggman
California State Senate
1021 O Street, Room 8530
Sacramento, CA 95814

Re: Assembly Bill 244 Support of the Right to Repair Act

Dear Senator Eggman:

On behalf of the City of Palm Springs, we are writing to inform you of our support for Senate Bill 244 – The Right to Repair Act, as amended. This bill creates a right to repair for certain consumer appliances and electronic products, allowing owners and independent repair providers to obtain from qualifying product manufacturers, on fair and reasonable terms, the documentation, parts, software, and tools needed to repair products. This aids in providing more options for our community members t o repair, rather than replace, their products. The Right to Repair Act does the following:
• Reduces toxic electronic waste entering our landfills. • Supports independent repair businesses by giving them the materials necessary to compete in the repair marketplace and serve the community.
• Saves consumers money, by reducing the need to replace products that would require simple repairs.

Many products are difficult for consumers to repair, particularly products that require special tools, scarce parts, or proprietary diagnostic software or instructional information to repair. When products break, consumers have limited options for obtaining repairs and must often turn to manufacturers or a limited number of certified repair providers who are authorized by the manufacturer, thus resulting in lengthy wait periods and expensive repairs. Providing independent repair shops and product owners with the correct information and parts to make repairs efficiently will stimulate jobs within the community and reduce the need to replace products. The Right to Repair Act provides more opportunities for small local businesses, stimulates jobs within the community, and reduces the need to replace products.

In the spirit of making our communities more sustainable, we enthusiastically support Senate Bill 244.

Sincerely,

Grace Garner
Mayor

Item 1V - Page 5

ATTACHMENT B
Letter of Support
Item 1V - Page 4
AMENDED IN ASSEMBLY JUNE 29, 2023
AMENDED IN ASSEMBLY JUNE 21, 2023
AMENDED IN ASSEMBLY JUNE 15, 2023
AMENDED IN SENATE MAY 18, 2023
AMENDED IN SENATE APRIL 13, 2023
AMENDED IN SENATE MARCH 27, 2023
SENATE BILL No. 244
Introduced by Senator Eggman
(Coauthors: Senators Dodd and Skinner)
(Coauthors: Assembly Members Haney, Bennett, and Wicks Wicks, Kalra, and Lowenthal)
January 25, 2023
An act to amend and renumber the heading of Chapter 8.6 (commencing with Section 42490) of, and to add Chapter 8.6 (commencing with Section 42488) to, Part 3 of Division 30 of, the Public Resources Code, relating to solid waste management. legislative counsel’s digest
SB 244, as amended,
Eggman. Right to Repair Act.

Existing law, the Song-Beverly Consumer Warranty Act, provides a comprehensive set of procedures for the enforcement of express and implied warranties on consumer goods, as defined. Under existing law, every manufacturer making an express warranty with respect to an electronic or appliance product, including televisions, radios, audio or video recording equipment, major home appliances, antennas, and rotators, with a wholesale price to the retailer of not less than $50 nor

Revised 7-6-23—See last page. 93

Item 1V - Page 6
more than $99.99 is required to make available to service and repair facilities sufficient service literature and functional parts to effect the repair of the product for at least 3 years after the date a product model or type was manufactured, regardless of whether the 3-year period exceeds the warranty period for the product. Existing law also requires every manufacturer making an express warranty with respect to an electronic or appliance product, as described above, with a wholesale price to the retailer of $100 or more, to make available to service and repair facilities sufficient service literature and functional parts to effect the repair of the product for at least 7 years after the date a product model or type was manufactured, regardless of whether the 7-year period exceeds the warranty period for the product.

This bill would enact the Right to Repair Act. The bill would require, except as specified and regardless of whether any express warranty is made, the manufacturer of an above-described electronic or appliance product, in the above-described circumstances, and in those same circumstances but sold to others outside of direct retail sales, to make available, on fair and reasonable terms, to product owners, service and repair facilities, and service dealers, the means, as described, to effect the diagnosis, maintenance, or repair of the product, as provided. The bill would also require a service and repair facility or service dealer that is not an authorized repair provider, as defined, of a manufacturer to provide a written notice of that fact to any customer seeking repair of an electronic or appliance product before the repair facility or service dealer repairs the product, and to disclose if it uses replacement parts that are used or from a supplier that is not the manufacturer. The bill would also authorize a city, a county, a city and county, or the state to bring an action in superior court to impose civil penalties on a person or entity for violating the Right to Repair Act, as provided.

V ote: majority.

Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
The people of the State of California do enact as follows:
line 1 SECTION 1. Chapter 8.6 (commencing with Section 42488) line 2 is added to Part 3 of Division 30 of the Public Resources Code, to line 3 read:
93 — 2 — SB 244

Item 1V - Page 7
line 1 Chapter 8.6. Right to Repair Act
line 2
line 3 42488. This chapter shall be known, and may be cited, as the line 4 Right to Repair Act.
line 5 42488.1. It is the intent of the Legislature to provide a fair line 6 marketplace for the repair of electronic and appliance products line 7 and to prohibit intentional barriers and limitations to third-party line 8 repair.
line 9 42488.2. (a)  Notwithstanding any other law, every line 10 manufacturer of an electronic or appliance product with a wholesale line 11 price to the retailer, or to others outside of direct retail sale, of not line 12 less than fifty dollars ($50) and not more than ninety-nine dollars line 13 and ninety-nine cents ($99.99), shall make available to owners of line 14 the product, service and repair facilities, and service dealers, line 15 sufficient documentation and functional parts and tools, inclusive line 16 of any updates, on fair and reasonable terms, to effect the diagnosis, line 17 maintenance, or repair of a product for at least three years after line 18 the last date a product model or type was manufactured, regardless line 19 of whether the three-year period exceeds the warranty period for line 20 the product.
line 21 (b)   Notwithstanding any other law, every manufacturer of an line 22 electronic or appliance product with a wholesale price to the line 23 retailer, or to others outside of direct retail sale, of one hundred line 24 dollars ($100) or more, shall make available to owners of the line 25 product, service and repair facilities, and service dealers sufficient line 26 documentation and functional parts and tools, inclusive of any line 27 updates, on fair and reasonable terms, to effect the diagnosis, line 28 maintenance, or repair of a product for at least seven years after line 29 the last date a product model or type was manufactured, regardless line 30 of whether the seven-year period exceeds the warranty period for line 31 the product.
line 32 (c)  Except as necessary to comply with this section, this section line 33 does not require a manufacturer to divulge a trade secret or license line 34 any intellectual property, including copyrights or patents. line 35 (d)   This section does not require the distribution of a product’s line 36 source code.
line 37 (e)   A service and repair facility or service dealer that is not an line 38 authorized repair provider of a manufacturer shall provide a written line 39 notice to any customer seeking repair of an electronic or appliance line 40 product before the repair facility or service dealer repairs the 93 SB 244 — 3 —

Item 1V - Page 8
line 1 product that informs the customer that it is not an authorized repair line 2 provider for the product, and shall disclose if it uses any used line 3 replacement parts or replacement parts provided by a supplier other line 4 than the manufacturer of the product.
line 5 (f)   Nothing in this section shall be construed to require a line 6 manufacturer to make available special documentation, tools, and line 7 parts that would disable or override antitheft security measures set line 8 by the owner of the product without the owner’s authorization. line 9 (g)   Nothing in this section shall be construed to require a line 10 manufacturer to sell service parts if the service parts are no longer line 11 provided by the manufacturer or made available to an authorized line 12 repair provider.
line 13 (h)  (1)  No manufacturer or authorized repair provider shall line 14 be liable for any damage or injury caused to any electronic or line 15 appliance product, person, or property that occurs as a result of line 16 repair, diagnosis, maintenance, or modification performed by a line 17 service dealer or owner, including, but not limited to, any of the line 18 following:
line 19 (A)   Any indirect, incidental, special, or consequential damages. line 20 (B)  Any loss of data, privacy, or profits.
line 21 (C)  Any inability to use, or reduced functionality of, the line 22 electronic product or appliance.
line 23 (2)  Paragraph (1) does not apply to a design defect or line 24 manufacturing flaw that existed prior to, or independent of, the line 25 repair, diagnosis, maintenance, or modification performed line 26 pursuant to this section.
line 27 (h)
line 28 (i)  For purposes of this section, the following definitions apply:
line 29 (1)  “Authorized repair provider” means an individual or business line 30 that is unaffiliated with a manufacturer and that has an arrangement line 31 with the manufacturer, for a definite or indefinite period, under line 32 which the manufacturer grants to the individual or business a line 33 license to use a trade name, service mark, or other proprietary line 34 identifier to offer diagnostic, maintenance, or repair services for line 35 electronic or appliance products under the name of the line 36 manufacturer or an arrangement with the manufacturer to offer line 37 diagnostic, maintenance, or repair services for electronic or line 38 appliance products on behalf of the manufacturer. A manufacturer line 39 that offers diagnostic, maintenance, or repair services for the line 40 manufacturer’s electronic or appliance products is considered an 93 — 4 — SB 244

Item 1V - Page 9
--
line 1 authorized repair provider with respect to the electronic or line 2 appliance products if the manufacturer does not have an line 3 arrangement described in this paragraph with an unaffiliated line 4 individual or business.
line 5 (2)  “Documentation” means any electronic or appliance product line 6 manual, diagram, reporting output, service code description, line 7 schematic, or similar information that is provided by a line 8 manufacturer to an authorized repair provider, or that is for use by line 9 the manufacturer if the manufacturer does not have any authorized line 10 repair providers, for purposes of effecting the services of diagnosis, line 11 maintenance, or repair of the electronic or appliance product. line 12 (3)   (A)  “Electronic or appliance product” or “product” means line 13 a product, manufactured for the first time time, and first sold or line 14 used in California California, on or after July 1, 2021, described line 15 in subdivision (h), (i), (j), or (k) of Section 9801 of the Business line 16 and Professions Code for which the manufacturer makes available line 17 tools, parts, and documentation to authorized repair providers, and line 18 includes products described in those subdivisions that are sold to line 19 schools, businesses, local governments, or in other methods outside line 20 of direct retail sale.
line 21 (B)   “Electronic or appliance product” or “product” does not line 22 include any of the following:
line 23 (i)   Equipment or repair parts as defined in Chapter 28 line 24 (commencing with Section 22900) of Division 8 of the Business line 25 and Professions Code.
line 26 (ii)   A product or component of an “alarm system” as defined line 27 in subdivision (c) of Section 7590.1 of the Business and Professions line 28
Code. Code, including a fire protection system, as defined in the line 29 California Fire Code.
line 30 (iii)   A video game console.
line 31 (4)  (A)  “Fair and reasonable terms” means at costs and terms line 32 that are equivalent to the most favorable costs and terms under line 33 which the manufacturer offers the part, tool, or documentation to line 34 an authorized repair provider, accounting for any discount, rebate, line 35 convenient and timely means of delivery, means of enabling fully line 36 restored and updated functionality, rights of use, or other incentive line 37 or preference the manufacturer offers to an authorized repair line 38 provider.
line 39 (B)   For documentation, including any relevant updates, “fair line 40 and reasonable terms” also means at no charge, except that, when 93 SB 244 — 5 —

Item 1V - Page 10
line 1 the documentation is requested in physical printed form, a charge line 2 may be included for the reasonable actual costs of preparing and line 3 sending the copy.
line 4 (C)  “Fair and reasonable” also means tools shall be made line 5 available by the manufacturer at no charge and without imposing line 6 impediments to access or use of the tools to diagnose, maintain, line 7 or repair and enable full functionality of the product, or in a manner line 8 that impairs the efficient and cost-effective performance of any line 9 such diagnosis, maintenance, or repair, except that, when a tool is line 10 requested in physical form, a charge may be included for the line 11 reasonable, actual costs of preparing and sending the tool. line 12 (D)  If a manufacturer does not use an authorized repair provider, line 13 “fair and reasonable terms” means at a price that reflects the actual line 14 cost to the manufacturer to prepare and deliver the part, tool, or line 15 documentation, exclusive of any research and development costs line 16 incurred.
line 17 (5)   “Part” means any replacement part or assembly of parts, line 18 either new or used, made available by a manufacturer of an line 19 electronic or appliance product to an authorized repair provider to line 20 facilitate the maintenance or repair of a product sold by the line 21 manufacturer.
line 22 (6)  “Service dealer” has the same meaning as defined in Section line 23 9801 of the Business and Professions Code.
line 24 (7)   “Tool” means any software program, hardware implement, line 25 or other apparatus made available by a manufacturer of an line 26 electronic or appliance product to an authorized repair provider line 27 for the diagnosis, maintenance, or repair of the product, including line 28 software or other mechanisms that provision, program, pair a part, line 29 provide or calibrate functionality, or perform any other function line 30 required to repair the product or part back to fully functional line 31 condition, including any updates.
line 32 (8)  “Trade secret” has the same meaning as set forth in line 33 subdivision (d) of Section 3426.1 of the Civil Code, or paragraph line 34 (9) of subdivision (a) of Section 499c of the Penal Code. line 35 (9)  “Video game console” means a computing device, including line 36 its components and peripherals, that is primarily used by consumers line 37 for playing video games, such as a console machine, a handheld line 38 console device, or another device or system. “Video game console” line 39 does not include a general or an all-purpose computer, which 93 — 6 — SB 244

Item 1V - Page 11
line 1 includes, but is not limited to, a desktop computer, laptop, tablet, line 2 or cell phone.
line 3 42488.3. (a) A city, a county, a city and county, or the state line 4 may bring an action in superior court to impose civil liability on line 5 a person or entity that knowingly violated this chapter, or line 6 reasonably should have known that it violated this chapter, in the line 7 amount of one thousand dollars ($1,000) per day for the first line 8 violation of this chapter, two thousand dollars ($2,000) per day line 9 for the second violation, and five thousand dollars ($5,000) per line 10 day for the third and subsequent violations.
line 11 (b) Any civil penalties collected pursuant to subdivision (a) line 12 shall be paid to the office of the city attorney, county counsel, line 13 district attorney, or Attorney General, whichever office brought line 14 the action. The penalties collected pursuant to this section by the line 15 Attorney General may be e xpended by the Attorney General, upon line 16 appropriation by the Le gislature, to enforce this chapter. shall be line 17 deposited into the Public Rights Law Enforcement Special Fund. line 18 SEC. 2. The heading of Chapter 8.6 (commencing with Section line 19 42490) of Part 3 of Division 30 of the Public Resources Code is line 20 amended and renumbered to read:
line 21
line 22 Chapter 8.7. Cell Phone Recycling Act of 2004 line 23
line 24
line 25 REVISIONS:
line 26 Heading—Line 3.
line 27
O
93 SB 244 — 7 —

Item 1V - Page 12

CITY COUNCIL STAFF REPORT
09/14/2023
SUBJECT:

APPROVE BENEFIT PLAN AND SERVICE AGREEMENTS FOR EMPLOYEE

GROUP HEALTH COVERAGE
RECOMMENDATION:

Approve employee benefit plan and service agreements for group health insurance coverage.

1. Authorize the City Manager and/or designee to execute all documents.2.

Attachments
Item 1W

CITY COUNCIL STAFF REPORT

DATE: S EPTEMBER 14, 2023 CONSENT CALENDAR

SUBJECT: APPROVE BENEFIT PLAN AND SERVICE AGREEMENTS FOR

EMPLOYEE GROUP HEALTH COVERAGE

FROM: Scott C. Stiles, City Manager

BY: Department of Human Resources

SUMMARY:

This action will approve employee benefit plan and service agreement s for group health insurance coverage including Medical, Dental, Vision, Basic and Supplemental Life and Accidental Death & Dismemberment, Short-term Disability, Long- term Disability, Employee Assistance Program, Flexible Spending Account Administration Services , COBRA Administration Services, Health Reimbursement Arrangement Services, and Online Benefit Administration Services.

RECOMMENDATION:

1) Approve employee benefit plan and service agreements for group health insurance coverage.

2) Authorize the City Manager and/or designee to execute all documents.

BUSINESS PRINCIPAL DISCLOSURE:

A copy of the Public Integrity Disclosure Form for benefit plan and service agreement vendors is included as Attachment B.

BACKGROUND:

The City’s benefit insurance broker USI conducts formal procurement processes for group insurance coverage benefit plans on behalf of the City. I nsurance coverage agreements had previously been approved and executed by the City Manager, and/or designee as authorized and directed by City Council resolution, to fulfill the approved memorandum of understanding with the recognized bargaining associations.

Item 1W - Page 1
City Council Staff Report
September 14, 2023 -- Page 2
Employee Benefit Plan and Services Agreements Approval
STAFF ANALYSIS:

The C
ity will require continuing these negotiated benefit offerings for future years, and staff is seeking City Council approval in accordance with Municipal Code Title 7 adopted by Ordinance in July of 2021, which predicates approval levels based upon the cumulative value of contracts and continuous purchases of the same goods and services. The group health insurance coverage contract premiums vary from month to month and are calculated based on employee enrollment data.

Contract Service Term Estimated Cost
Aetna Dental Dental Insurance - Safety 01/01/2022 - 12/31/2023 $480,000 Aetna EAP Employee Assistance Program 07/01/2023 - 12/31/2026 $70,000 Blue Shield of California Medical Insurance - Safety 01/01/2023 - 12/31/2023 $4,600,000 CalPERS Medical Insurance 01/01/2023 - 12/31/2023 $6,000,000 Delta Dental Dental Insurance 01/01/2023 - 12/31/2024 $690,000 Life Insurance Company
of America Life/AD&D/STD/LTD Insurance 01/01/2022 - 12/31/2024 $1,840,000 Vision Service Plan Vision Insurance 01/01/2021 - 12/31/2023 $220,000 CPI FSA Administration Services 01/01/2021 - 12/31/2023 $40,000 The Advantage Group HRA Administration Services 01/01/2023 - 12/31/2023 $10,000 WEX Benefit Administration Services 01/01/2023 - 12/31/2023 $70,000 The C
ity is contractually bound to provide these services as part of previously negotiated and approved memoranda of understanding with each bargaining unit.

ENVIRONMENTAL A SSESSMENT:

The r
equested City Council action is not a “Project” as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a “Project” means the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. The requested action is to approve contracts for the above- mentioned services, and is exempt from CEQA pursuant to Section 15378(b), in that a “Project” does not include: (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.

ALIGNMENT WITH STRATEGIC PLANNING:

Not
Applicable.

Item 1W - Page 2
City Council Staff Report
September 14, 2023 -- Page 3
Employee Benefit Plan and Services Agreements Approval

FISCAL IMPACT:

Funds have been budgeted and approved for Fiscal Year 2022- 23 and budgeted for Fiscal Year 2023 -24 in the Department of Human Resources Account s 5401080 and 5411110.

REVIEWED BY:

Department Director: Stephanie George
Deputy City Manager: Jeremy Hammond
City Manager: Scott Stiles

ATTACHMENTS:

A. Benefit Plan and Service Agreements (On File with City Clerk) B. Business Disclosure Forms (On File with City Clerk)
- Attachment A and B - Benefit Plan and Service Agreements and Business Disclosure Forms

Item 1W - Page 3

CITY COUNCIL STAFF REPORT
09/14/2023
SUBJECT:

AWARD TWO SERVICE AGREEMENTS FOR ON-CALL RECRUITMENT

SERVICES FOR EXECUTIVE STAFF
RECOMMENDATION:

Award an on-call recruitment services agreement with Mosaic Public Partners LLC for general department recruiting services for executive staff for a term of four years, not to exceed $210,000.

1. Award an on-call recruitment services agreement with Jacob Green & Associates, Inc. for aviation recruiting services for executive staff for a term of four years, not to exceed $168,000.

2. Authorize the City Manager or designee to execute the Agreements.3.

Attachments
Item 1X

CITY COUNCIL STAFF REPORT

DATE: SEPTEMBER 14, 2023 CONSENT CALENDAR

SUBJECT: AWARD TWO SERVICE AGREEMENTS FOR ON-CALL RECRUITMENT

SERVICES FOR EXECUTIVE STAFF

FROM: Scott C. Stiles, City Manager

BY: Human Resources Department

SUMMARY:

Award two service agreements for on- call recruitment services for executive staff, one focused on general departments with Mosaic Public Partners LLC, and the other focused on aviation with Jacob Green & Associates, Inc.

RECOMMENDATION:

1. Award an on-call recruitment services agreement with Mosaic Public Partners LLC for general department recruiting services for executive staff for a term of four years, not to exceed $210,000 (Attachment A).

2. Award an on-call recruitment services agreement with Jacob Green & Associates, Inc. for aviation recruiting services for executive staff for a term of four years, not to exceed $168,000 (Attachment B).

3. Authorize the City Manager or designee to execute the Agreements.

BUSINESS PRINCIPAL DISCLOSURE:

Mosaic Public Partners LLC is a California Limited Liability Company in accordance with the Attachment C Public Integrity Disclosure Form.

Jacob Green & Associates, Inc. is a California Corporation in accordance with the Attachment D Public Integrity Disclosure Form.

Item 1X - Page 1
City Council Staff Report
September 14, 2023 -- Page 2
Recruitment Services for Executive Level Staff

BACKGROUND:

The Human Resources Department has a need for on- call recruiting services to provide support to hire executive level staff for the City. Having on-call recruiters that can step in and assist with these higher -level recruitments is key to getting these critical staff positions filled in a timely manner and minimize disruption to the City’s operations. Due to the specialized nature of aviation work and the growth at the Airport, staff felt it was important to hire two firms, one that can focus on general department executive recruiting, with a second one that focuses just on Aviation’s more specialized positions.

STAFF ANALYSIS:

The Procurement and Contracting Department in coordination with the Human Resources Department issued a Request for Proposals (RFP) for Recruitment Services on June 5, 2023. The RFP was advertised in the local newspaper and on Planetbids , the City’s electronic bid/proposal site. A preproposal conference was held on site June 6, 2023 .

Twelve responsive proposals were received by the deadline of June 22, 2023, as follows:

• Clovity Inc., Dublin CA – General only
• GovHRUSA, Northbrook, IL – General only
• HR Dynamics & Performance Management, Inc. , Riverside, CA – General only
• Jacob Green and Associates Inc, Tustin, CA – General and Aviation • Koff & Associates, a Gallagher Division, Berkeley, CA – General only • Mosaic Public Partners LLC, Lincoln, CA – General only • Noor Staffing Group, New York City, NY – General only • OREADY, LLC, Las Vega, NV – Aviation only
• Sig Consults Inc, Los Angeles, CA – General only
• Stafford HR Consulting, Long Beach, CA – General and Aviation • The Act 1 Group, Inc., Torrance, CA – General only
• WBCP Inc, Rogue River, OR – General only

The evaluation team made up of City staff from the Human Resources Department evaluated the proposals received against the evaluation criteria to make sure the selected firms are qualified to do the work. The evaluation criteria consisted of the firm’s experience; the teams experience; a demonstration of the understanding of the work; and cost. In addition, references were checked to confirm successful recruitments for public agencies. The evaluators did not feel it was necessary to interview firms as most are known in the industry.

At the conclusion of the evaluation process, proposal scores were added to cost scores to generate the highest rated proposer for general department recruiting which was Item 1X - Page 2
City Council Staff Report
September 14, 2023 -- Page 3
Recruitment Services for Executive Level Staff

Mosaic Public Partners , and the highest rated proposer for aviation- specific recruiting which was Jacob Green & Associates. At this t ime, staff is recommending two awards , one to Mosaic Public Partners, LLC for general executive recruiting and Jacob Green & Associates for aviation specific executive recruiting.

The amount recommended for award of the agreements represents the Human Resources Department’s best estimate as to how many recruitments may be needed over the four-year term. Eight recruitments were included to develop the value of the general department recruiting, and six recruitments were included to develop the value of the Aviation department recruiting to get the not to exceed values on the agreements. There is no guarantee that these amounts will be spent as these are on- call, as-needed contracts.

ENVIRONMENTAL ASSESSMENT
:

In accordance with the California Environmental Quality Act (“CEQA”) Guidelines the requested City Council action is not a “Project” pursuant to Section 15378(b)(5).

Organizational or administrative activities of government will not result in direct or indirect physical changes in the environment are not considered a “Project”.

ALIGNMENT WITH STRATEGIC PLANNING:

Approval of this action supports City Council Major Themes/Principles of forward-thinking governance.

FISCAL IMPACT:

Sufficient funds are budgeted and available in the current fiscal year in the Human Resources Account 1001030-50006 for the current year of service. The remaining years will be budgeted in future fiscal year budgets.

REVIEWED BY:

Department Director: Stephanie George
Deputy City Manager: Jeremy Hammond
City Manager: Scott Stiles

ATTACHMENTS:

A. Agreement 23P167- General Recruiting (Mosaic)
B. Agreement 23P168 - Aviation Recruiting (Jacob Green) C. Public Integrity Disclosure Form (Mosaic)
D. Public Integrity Disclosure Form (Jacob Green)

Item 1X - Page 3

Page 1 of 15 ends

CONTRACT SERVICES AGREEMENT 23P167

RECRUITMENT SERVICES FOR EXECUTIVE STAFF (GENERAL)

THIS AGREEMENT FO R CONTRACT S ERVICES (“Agreement”) is mad e and entered into on September 18, 2023, by and between the City of Palm Springs, a California charter city an d m unicipal corpor ation (“City”), and Mosaic Public Partners LLC , a California Limited Liability Company, (“Contractor”). City and Contractor are individually referred to as “Party” and are collectively referred to as the “Parties”.

RECITALS
A. City r equires the services of a recruiter, for recruitment of executive level staff (general) non-aviation, (“Service”).

B. C ontractor has subm itted to City a pro posal to provide recruitment services, under the terms of this Agreement.

C. Based on its e xperience, educat ion, training, and r eputation, Contractor is qualified and desires to provide the necessary services to City for the Service.

D. Ci ty des ires to retain the services of Contractor for the Services.

NOW, THEREFORE, in consideration of the promises and mutual obligations, covenants, and conditions contained herein , and ot her val uable consi deration, t he r eceipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

AGREEMENT

1. CONTRACTOR SERVICES

1.1 Sc
ope of Ser vices. In comp liance with a ll terms and c onditions of thi s Agreement, Contractor shall prov ide se rvices to City a s described in the Scope of Services/Work attached to th is A greement as Exhibit “A” and incorporated herein by reference (the “ Services” or “ Work”). Exhibit "A" includes t he a greed upon schedule of performance and the schedule of fees. Contractor warrants that the Services shall be performed in a competent, professional, and satisfactory manner consistent with the level of care and skill ordin arily exercised by high qual ity, e xperienced, and well qualif ied members of t he profession c urrently practicing under si milar conditions. In the even t of any inconsistency b etween the terms contai ned in the Scope of S ervices/Work and the terms set forth in this Agreement, the terms set forth in this Agreement shall govern.

1.2 Co mpl iance with Law. Contractor shall comply with all applicable federal, state, and local laws, statutes and ordinances and all lawful orders, rules, and regulations when performing t he Services. Con tractor shall be lia ble for all violati ons of such laws and regulations in connection with the Services and this Agreement.

1.3 Li censes and Permits. Co ntractor shall obtain at it s sole cost and expense such licenses, permits, and approvals as may be required b y law for the performance of the Services required by this Agreement.

Item 1X - Page 4

Page 2 of 15 ends

1.4 F amiliarity with Work. By executing this Agreement, Contractor warrants that it has carefully considere d h ow the Work should be performed and fully under stands the facilities, difficulties, and r estrictions atte nding performance of the Work under this Agreement.

2. T IME FOR COMPLETION
The time for comple tion o f the S ervices to be performed by Contractor is an essential condition of this Agreement. Contractor shall prosecute regularly and diligently the work of this Agreement according to the agreed upon schedule of performance set forth in Exhibit “A.” Neither Party shall be accountable for delays in performance caused by any condition beyond the reasonable control and without the fault or negligence of the non- performing Party. Delays shall not entitle Contractor to any additional compensation regardless of the Party responsible for the delay.

3. COMPENSATION OF CONTRACTOR

3.1 C ompensation of Contractor. Con tractor sh all be compen sated and reimbursed for the s ervices rendered under this Agreement in accordance wi th the schedule of fees set forth in E xhibit “ A”. The total amount of Compensation shall not exceed $210,000 for the full four-year term of the Agreement.

3.2 Method o f Payment. In any month in w hich Contractor wishes to r eceive payment, Contractor shall submit to City an invoice for Services rendered prior to the date of the invoic e, no later than the first working day of s uch month, in the form approved by City’s finance director. Payments shall be based on the hourly rates set forth in Exhibit “A” for authorized services performed. City shall pay Contractor for all expenses stated in the invoice tha t are approved by City and co nsistent with this Agreement, within thirty (30) days of receipt of Contractor’s invoice.

3.3 Changes. In the event any change or changes in t he Services is requested by City, Parties shall execute a written amendment to this Agreement, specifying all proposed amendments, including, but not limited to, any add itional fees. An amendment m ay be entered into:

A. T o provide f or revisions or modifications to documents, work product, or Work, when required by the enactment or revision of any subsequent law; or B. To provide for additional service s n ot i ncluded in th is Agreement or not customarily furnished in accordance with generally a ccepted practice in C ontractor’s profession.

3.4 A ppropriations . This Agreement is subject to, and contingent upon, funds being appropriated by the City Council of City for each fiscal year. If such appropriations are not made, this Agreement shall automatically terminate without penalty to City.

4. PE RFORMANCE SCHEDULE

4.1 Tim e of Essence. Time is of the essence in the performance of this Agreement.

4.2 Schedule of Performance. All Services rendered under this Agreement shall be performed under the agreed upon schedule of performance set forth in Exhibit “A.” Any time period extension must be approved in writing by the Contract Officer.

4.3 For ce Majeure. The time for performance of Services to be rendered under this Agreement may be extended because of any delays due to a F orce Majeu re Event if Contractor notifies the Contract Officer within ten (10) days of the comm encement of the Force Majeure Event. A Forc e Majeure Event shall mean an event t hat materially affects Item 1X - Page 5

Page 3 of 15 ends

the Contractor’s performance and is one or more of the following: (1) Acts of God or other natural disasters occurring at the project site; (2) terrorism or other acts of a public enemy; (3) order s o f g overnmental authorities ( including, wit hout limitation, unreasonable and unforeseeable delay in the issuance of permits or approvals by governmental authorities that are required for the Work); and (4) pandemics, epidemics or q uarantine restrictions.

For p urposes of thi s section, “orders of gov ernmental authorities,” incl udes ordinances, emergency proclam ations and orders, rules to protect the public health, welf are and safety, and other actions of the City in its capacity as a muni cipal authority. After Contractor notification, the Contract Officer shall investigate the facts and the extent of any necessary delay , and extend the time for performing the Services fo r the peri od of t he enforced delay when and if, in the Contract Officer’s judgment, such delay is justified. The Contract Of ficer’s determination shall be final and conclusive upon the Parties to this Agreement. The C ontractor will not receive an adjus tment to the co ntract pr ice or any other compensatio n. Notwithstanding the f oregoing, the City may still terminate this Agreement in accordance with the termination provisions of this Agreement.

4.4 T er m. Unless earlier terminated in accordance with S ection 4.5 o f t his Agreement, this Agreement shall continue in full force and effect for a period of four years, commencing on September 18 , 2023, and ending on September 17 , 2027 , unles s extended by mutual written agreement of the Parties.

4.5 Terminat ion Prior to Expiration of Term. City may terminate this Agreement at any time, with or without cause, upon thirty (30) days written notice to Contractor. Where termination is due to the fault of Contractor and constitutes an immediate danger to health, safety, and general welfare, the per iod o f notice shall be s uch shorter t ime as may be determined by the City. Upon r eceipt of th e notice of term ination, Contractor shall immediately ce ase a ll Services excep t such as may be specifically a pproved by t he Contract Officer. Contractor shall b e entitled to c ompensation for all S ervices rendered prior to receipt of the notice of termination and for any Services authorized by the Contract Officer after such notice. City shall not be liable for any cost s other than the charges or portions thereof which are specified herein. Contractor shall not be entitled to payment for unperformed Services, and shall not be entitled to da mages or compensation f or termination of Work. If the termination is for cause, the City shall have the right to take whatever steps it dee ms n ecessary to correct Contractor's d eficiencies a nd charge the cost th ereof to Contractor, who sh all be liable for the ful l cost of th e City's corr ective action. Contractor may not terminate this Agreement except for cause, upon thir ty (30 ) days written notice to City.

5. C OOR DINATION OF WORK

5.1 R epresentative o f Contractor. T he f ollowing princip al of Contractor is designated as being the principal and representative of Contractor authorized to act and make all decisions in its behalf wit h respect to th e specified Services: Gregory Nelson, Founder and Managing Partner . It is e xpressly underst ood that th e experien ce, knowledge, education, capability, and reputation of the foregoing pr incipal is a substantial inducement for City t o enter i nto this Agreement. T herefore, the foregoing principal shall be responsible during the term of this Agreement for directing all activities of Contractor and devoting sufficient time to personally superv ise the Services under this Agreement.

The foregoing principal may not be changed by Contractor without prior written approval of the Contract Officer.

5.2 Contract Office r. The C ontract Officer shal l b e the City Manager or his /her designee ("Contract Officer"). C ontractor sh all be responsible fo r keeping the Contract Item 1X - Page 6

Page 4 of 15 ends

Officer fully informed of the progress of the performance of the Services. Contractor shall refer any decisions that must be made by C ity to the Contr act Officer. Unless otherwise specified, any approval of City shall mean the approval of the Contract Officer.

5.3 Prohibition Against Subcontract ing or Assignment . The exper ience, knowledge, educat ion, capability, and reputation of Contractor, its principal s, and employees, were a substant ial inducement for C ity to enter into this Agreement .

Contractor sh all not contract with a ny other individual or entity to perf orm any S ervices required under this Agreement without the City's express wr itten approval. In addition, neither this Agreement nor any interest may be assigned or transferred, vo luntarily or by operation of law, witho ut the prior wr itten approval of City . Subcontracts, if a ny, shall contain a provisions maki ng them subject to al l p rovisions sti pulated in this Agreement including without limitation the insurance and indemnification requirements. If Contractor is permit ted to subcontract a ny part of this A greement by Cit y, Co ntractor shall be responsible to City for the acts and omissions of its subcontractor(s) in the same manner as it is for persons directly employed. Nothing conta ined in this A greement shall create any contractual relationships between any subcontractor and City.

5.4 Independent Cont ractor. Neither City nor any o f its employees shall have any control over the m anner, mode, or means by which Contractor, its agents, or employees, perform the Services required, except as otherwise specified. Contractor shall perform all required Services as an independent contractor of City and shall not be an employee of City and shall remain at all times as to City a wholly independent contractor with only such obligations a s are consistent with t hat role; however, C ity shall have the right to review Contractor’s work product, result, and advice. Contractor shall not at any time or in any manner represent that it or any of it s agents or employees are agents or employees o f City. Contractor shall pay all wages, salaries, and other amounts due personnel in connection with th eir performance under this A greement and as required by l aw.

Contractor shall be responsible for all reports and obligations respecting such personnel, including, but not limite d to: so cial security taxes, income tax with holding, unemployment insurance, and workers’ compensation insurance. Contractor shall not have any authority to bind City in any manner.

5.5 Personne l. Contractor agrees to assign the following individuals to perform the services i n this Agreement. Contractor shall not alter th e assignment of t he following personnel without the prior written a pproval of th e Cont ract Officer. Acting throu gh t he City M anager, the City s hall have the unrestricted r ight to orde r the removal of any personnel assigned by Contractor by providing written notice to Contractor.

N am e: T itle:

Greg Nelson Founder and Managing Partner
Bryan Noblett Founder and Managing Partner

5.6 Ca lifornia Labor Code Requirements.

A. Contractor is aware of the require ments of California Labor Code Sections 1720 et s eq. and 1770 et seq., which require the pa yment of prevailing wa ge rates and the performance of other requirements on certa in “public works” and “maintenance” proj ects (“Prevailing Wage Laws”). If the Services are being perfor med as pa rt of an applicable “public works” or “maint enance” project, as defined by the Prevailing Wage Laws, and if the total compensation is $15 ,000 or mor e for ma intenance or $25,000 or mor e for construction, alteration, demolition, installation, or repair, Contractor agrees to fully comply with such Prevailing Wage Laws. Contractor shall defend, indemnify, and hold the City, its Item 1X - Page 7

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officials, of ficers, employees, and agents free and harmless fr om any claims, liabilities, costs, penalties, or interest arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. It sha ll be mandatory upon the Contractor and all subcontractors to comply with all California Labor Code provi sions, which include but are not limited to prevailing wages (Labor Code Sections 1771, 1774 and 1775), employment of apprentices (Labor Code Section 1777.5) , certified payroll records (Labor Code Sections 1771.4 and 1776), hours of labor (Labor Code Sections 1813 and 1815) and debarment of contractors and subcontractors (Labor Code Section 1777.1).

B. I f the Services a re being performed as part of an applicable “ public w orks” or “maintenance” project and if the total compensation is $15,000 or more for maintenance or $25,000 or more for construction, alteration, demol ition, installation, or repai r, then pursuant to Labor C ode Sect ions 1725.5 and 1771.1, the Contractor and al l subcontractors performing such S ervices mus t be registered with the Department of Industrial Relations. Contractor shall maintain registration for the duration of t he Project and require the same of a ny subcontractors, as applicable. This Agreement may also be subject to compliance m onitoring and e nforcement by the Department of Indus trial Relations. It shall be Contractor’s sole r esponsibility to com ply with all a pplicable registration and labor compliance requirements.

6. INSURANCE
Contractor shall procure and maintain, at its sole cost and expense, policies of insurance as set forth in the attached Exhibit "B", incorporated herein by reference.

7. INDEMNIFICA TION.

7.1 I ndemnification. To t he fullest extent permitted by law, Contractor shall defend (at Contractor’s sole cost a nd e xpense), indemnify, protect, and hold harmless City, i ts elected off icials, officers, employees, agents, and volunteers (collect ively the “Indemnified Parties”), from and agai nst any and all liabilities, actions, suit s, cl aims, demands, losses, costs, ju dgments, arbitration awards, settlements, damages , demands, orders, pe nalties, a nd expenses i ncluding legal costs and a ttorney fees ( collectively “Claims”), including but not li mited to Claims arising from injuries to or death of persons (Contractor’s employees included), for d amage to property, including property owned by City, for any violation of any federal, state, or local law o r o rdinance or in an y manner arising out of, pertai ning to, or incident to a ny acts, errors or omissions, or willful misconduct committed by Contractor, its officers, employees, representatives, and agents, that arise out of or relate to Contractor’s performance of Services or this Agreement. This indemnification clause exc ludes Claims arisin g from th e sole negligence or willf ul misconduct o f the Indemnified Parties. Under no circum stances shall the insurance requirements and limits set f orth i n this Agreeme nt be con strued t o limit Contractor ’s indemnification obligation or other liability under t his Agreement. Contractor ’s indemnification obligatio n shall survive the expirat ion or earlier t ermination of t his Agreement until all actions a gainst the Indemnified Parties for su ch matters indem nified are fully and finally barred by t he applicable statute of limitations or, if an a ction is timely file
d, until such action is final.

7.2 Desi gn Professional Services Indemnification and Reimbursement. If Contractor’s obl igation to defend, indemnify , and/or hold harmless arises o ut of Contractor’s performance as a “design professional ” (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully incorporated herein, Contractor’s indemnification obligation shall be limited to the extent which the C laims a rise out of, pertain to, or relate to the negligenc e, Item 1X - Page 8

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recklessness, or willful misconduct of the Contractor in the performance of the Services or this A greement, and, upon Contractor o btaining a final adjudic ation by a cour t o f competent jurisdiction, Cont ractor’s liability for s uch claim, including the cost to d efend, shall not exceed the Contractor’s proportionate percentage of fault.

8. RECORDS AND REPORTS

8.1 R epor ts. Contractor shall periodically prepare and submit to the Contract Officer reports concerning the performance of the Services required by this Agreement, or as the Contract Officer shall require.

8.2 Records. Contractor shall keep complete, accurate, and detailed accounts of all time, costs, expenses, and expenditures pertaining in any way to this Agr eement.

Contractor shall keep such books and r ecords as shall be necessary to proper ly perform the Services required by t his Agreement and enable the Cont ract Officer to evaluate the performance of such Services. The Contract Officer shall have full and free access to such books and records at all reasonable times, including the right to inspect, copy, audit, and make records and transcripts from such records.

8.3 O wn ership of Documents. All d rawings, spec ifications, reports, records, documents, and oth er m aterials prepared by Contractor in the perf ormance of t his Agreement shall be the property of City. Contractor shall deliver a ll above -referenced documents to Ci ty u pon request of the Contract Officer or up on the termination of this Agreement. Contractor shall have no claim for further e mployment or a dditional compensation as a resul t o f the exercise by Ci ty of its full rights or owners hip of the documents and materia ls. Co ntractor may retain copies of such documents for Contractor's own use . Contractor shall have an unrestricted right to use th e c oncepts embodied in such documents.

8.4 Release of D ocuments. All dr awings, specificatio ns, reports, rec ords, documents, and ot her materials pre pared by Contractor in the performance of S ervices under this Agreement shall not be released publi cly without the prior written approval of the Contract Officer.

8.5 Audit and Inspection of Records. After receipt of reasonable notice and during the regular business hours of City, Contractor shall prov ide City, or othe r agents of City, such access to C ontractor’s books, re cords, pay roll document s, and facilities as City deems necessary to examine, copy, audit, and inspect all accounting books, records, work data, docum ents, and activities directly relat ed t o Co ntractor’s perfor mance under this Agreement. Cont ractor sh all m aintain such books, rec ords, data, and documents in accordance with gene rally ac cepted accounting principle s and shall clearly ide ntify and make such items readily accessible to such parties during the term of this Agreement and for a period of three (3) years from the date of final payment by City hereunder.

9. E NFORCEMENT OF AGREEMENT

9.1 C aliforni a Law. T his Agreement shall be construed and interpr eted both as to validity and to per formance of t he parties in accordance with the laws of t he State of California. Legal action s con cerning any dis pute, cl aim, or m atter arising out of or in relation to this Agr eement shall b e instituted in t he Superior C ourt of the County of Riverside, St ate of C alifornia, or any other appropriate court in such coun ty, a nd Contractor covenants and agrees to submit to the personal jurisdiction of such court in the event of such action.

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9.2 I nt erpretation. This Agreement shall be construed as a whole accordin g to its fair language and common meaning to achieve the objectives and purposes of the Parties.

The term s of this Agreement ar e contractua l and the result of negotia tion between t he Parties. Accor dingly, any rule of c onstruction of contracts (including, without lim itation, California Civil Code Section 1654) that ambiguities are to be construed agai nst the drafting party, shall not be employed in the interpretation of this Agreement. The caption headings of the various sections and paragraphs of this A greement are for convenience and identification pur poses only and shall not be deemed to limit, ex pand, or define the contents of the respective sections or paragraphs.

9.3 Wai ver. No delay or omission in t he exercise of any right or remedy of a non - defaulting Party o n any default shall impair such right o r re medy o r b e construed as a waiver. No consent or approval of City shall be deemed to waive or render unnecessary City’s consent to or a pproval of any s ubsequent act of Contractor. Any waiver by either Party of any default must be in writing . No such waiver shall be a waiver of any other default concerning the same or any other provision of this Agreement.

9.4 Rights and Re medies are Cum ulative. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are cumulative. The exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other Party.

9.5 Legal A ction. In addition to any other rights or remedies, either Party may take legal action, in law or in equity, to cure, correct, or r emedy any d efault, to recover damages for an y def ault, to c ompel specific performance of this Agreement, to ob tain injunctive relief, a declaratory judgment, or any other remedy consistent with the purposes of this Agreement.

9.6 Attorney Fees. In the event any dispute between the Parties with respect to this Agreement results in litigation or any non-judicial proceeding, the prevailing Party shall be entitled, in addition to suc h other relief as may be gr anted, t o recover from the non - prevailing Party all reasonable costs and expenses. These i nclude but are not li mited to reasonable attor ney fe es, ex pert contractor fee s, court cos ts a nd all fees , cos ts, and expenses incurred in a ny appeal or in collection of any judgment entered in suc h proceeding.

10. CIT Y OFFICERS AND EMPLOYEES: NON-DISCRIMINATION

10.1 No n-Liability of City Officers an d Employees. No officer or employee of City shall be pers onally liable to the Contractor, or any successor-in-interest, in the event of any default or breach by City or for any amount which may become due to the Contractor or its successor, or for breach of any obligation of the terms of this Agreement.

10.2 Conf lict of Interest. Contractor acknowledges that no officer or employee of the City has or shall have any direct or indirect financial interest in t his Agreement, nor shall Contractor enter into any a greement of any kind with any such officer or employee during the ter m of this Agreement and for one (1) year therea fter. Contractor warrants that Contractor has not pai d or given, and will not pay or give, any third party any money or other consideration in exchange for obtaining this Agreement.

10.3 Covenant A gainst Discrimination. In connection with its performance under this A greement, Contractor shal l n ot discriminate agai nst any employee or applica nt for employment because of actual or perceived race, religion, color, sex, age, marital st atus, ancestry, national or igin ( i.e., p lace of origin, immigration statu s, cultural or l inguistic Item 1X - Page 10

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characteristics, or ethnici ty), sexual orientation, gender ident ity, g ender expression, physical or mental disabi lity, or medical condition (each a “prohibi ted basis”). Contractor shall ensure that applicants are employed, and tha t employees are treated during their employment, with out regard to any prohibited basis. A s a co ndition precedent to City’s lawful capacity to ente r th is A greement, and in executing this A greement, Contractor certifies that its actions and omissions hereunder shall not incorporate any dis crimination arising from or related to any prohibited basis in any Contractor activity, including but not limited to t he f ollowing: emplo yment, upgrading , demotion or tr ansfer; recruitment o r recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship; and further, that Contr actor is in full compliance wit h the provis ions o f Palm Sp rings Municipal Code S ection 7.09. 040, including without limi tation the pr ovision of benefits, relating to non-discrimination in city contracting.

11. MISCELLANEOUS PROVISIONS

11.1 N otice. Any notice, demand, request, consent, approval, or communication that either Party desires, or is required to give to the other Party or any other person shall be in writing and either served personally or sent by pre-paid, first-class mail to the address set forth below. Notice shall be deemed communicated seventy-two (72) hours from the time of mailing if mai led as provided in this Section. Either Party may change its address by notifying the other Party of the change of address in writing.

To City: Cit y of Palm Springs
Attention: City Manager/ City Clerk
3200 E. Tahquitz Canyon Way
Palm Springs, California 92262
To Contractor: Mosaic Public Partners
Attention: Gregory Nelson
200 Gateway Drive #1908
Lincoln, CA 95648

11.2 I ntegrated Agreemen t. This Agreement co nstitutes t he entire understanding between the Parties and s upersedes and cancels all prior negotiations, a rrangements, agreements, representations, and understandings, if any, made by or among the Parties with respect to the subject matter in this Agreement.

11.3 Amendment. No amendments or other modifications of this Agreement shall be binding unless through written agreement signed by all Parties.

11.4 Severability. W henever possible, each provision of this Agre ement shall be interpreted in such a manner as t o be effect ive and valid under applicable law. In the event that any one or more of the phrases, sentences, clauses, para graphs, or sections contained in this Agreement shall be declared invalid or unenforce able by valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, se ntences, clauses, paragraphs, or sec tions of this Agreement, which shall be interpreted to carry out the intent of the Parties.

11.5 Successor s in Interest. This Agreement shall be binding upon and inure to the benefit of the Parties’ successors and assignees.

11.6 Thir d Part y Beneficiary. Excep t as may be expr essly provi ded for in this Agreement, no thing contained in this Agreement is i ntended to confer, nor shall this Item 1X - Page 11

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Agreement be construed as c onferring, any rights, including, without limitation, any r ights as a third -party beneficiary or othe rwise, upon any entity or p erson not a party to this Agreement.

11.7 Re citals. The above- referenced Recitals are her eby incorporated into the Agreement as though fully set forth in this Agreement and each Party acknowledges and agrees that such Party is bound, for purposes of this Agreement, by the same.

11.8 Auth ority. The person s executing this A greement on behalf o f the P arties warrant that t hey are duly authori zed to execute this Agreement on behalf of Parties and that by so executing this Agreement the Parties are formally bound to the provisions of this Agreement.

11.9 Counter parts. This Ag reement may be signed i n counterparts, each of whi ch shall constitute an original.

11.10 Compliance with Economic Sanctions in R es ponse to Russia's Actions in Ukraine. When funding for the services is provided, in whole or in part, by an agency controlled of t he State of Calif ornia, Consultant shall fully and adequately comply with California Executive Order N -6-22 (“Russian Sanctions Program”). As part of this compliance process, Consultant shall also certify compliance with the Russian Sanctions Program by completing the fo rm during the solicitation phase (Russian Sanctions Certification), incorporated herein by reference. Consultant shall also require any subconsultants to comply with the Russian Sanctions Program and certify compliance pursuant to this Section.

[SIG
NATURES ON NEXT PAGE]
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SIGNATURE PAGE TO CONTRACT SERVICES AGREEMENT BY AND BETWEEN

THE CITY OF PALM SPRINGS AND MOSAIC PUBLIC PARTNERS LLC

IN WITNESS WHEREOF, the P arties h ave executed this Agreement as of the dates stated below.

CONTRACTOR:

By: _____________________________ By: _____________________________ Signature Signature

(2nd signature required for Corporation)

Date: ___________________________ Date: ___________________________

CITY OF PALM SPRINGS:

APPROVED BY CITY COUNCIL:

Date: _______ Item No. ________ Agreement No. _________

APPROVED AS TO FORM: ATTEST:

By: _____________________________ By: _____________________________ City Attorney C ity Clerk

APPROVED:

By: _____________________________ Da te: ____________________________ City Manager – over $50,000
Deputy/Assistant City Manager – up to $50,000
Director – up to $25,000
Manager – up to $5,000

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EXHIBIT “A”

SCOPE OF SERVICES/WORK

Including,

Schedule of Fees

And

Schedule of Performance
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SCOPE OF WORK

1.1 Background:

A. T he C ontractor will develop a rich pool of qualified candidat es for th e selection of various executive level staff on an on-call basis as needed . Task Orders will be issued for specific r ecruitments at the time of need. There is no specific amount of work guaranteed under this scope of work, but the Contractor will be responsible for executive level recruitments during the term of the contract.

B. The Contractor shall be responsible for the entire recruitment process fr om assessing the City’s needs to ensuring the select ed candidate is successf ully acclimated in the job. The Contractor shall be responsible for the devel opment of recruitment materials involving participation from City stakeholders , rec ruitment of candidates including background investigations, assistance in analyzing applications, and assistance in the interview, selection, and background processes.

C. The objec tive is to provide an open and fair recruitment that w ill attract a talented pool of qualified candi dates from diverse backgrounds from throughout the United States and provide the City’s search committee with multiple, qualified candidates for consideration.

D. The City of Palm Springs is a tourist city located on t he eastern area of California and on the western edge of the Coachella Valley and is a full-service municipality governed by a Council-Manager form of government since 1938. The City Council is the City's Legislative body and is composed of a rotating Mayor, and four council members representing individual districts. The City Council appoints the City Manager. The City Manager appoints the City’s department heads, including the Fire and Police Chiefs.

E. Under general administrative direction from the Ci ty Manager, department heads assume full management responsibility for all department services and activities.

1.2 Scope of Work
A. The Contract or shall provide services i ncluding, but n ot limited to, those outlined below. The City and the Contractor shall agree upon a more detailed scope of work upon issuance of the notice to proceed. The Cit y reserves the right to set the exact start and completion dates for the work.

1. De fining the position profile
a. Extensively consult with City Council members, key staff, stakeholders and/or community members t o determine the City’s vision/mission, goals and objectives, needs and issues, requirements of the job, and to obtain information about the environment in which the position functions.
b. Based on the above meetings, identify the preferred managem ent style , personal traits, demonstrated performance c riteria, and previous experience and accomplishments of the successful candidate.
c. Develop professional recruitment brochures that will include inf ormation on the City, the department, challenges and issues, the position, and selection criteria.

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2. Sourcing qualified candidates
a. Place advertisements in professional journal s, web sites, newspapers, and diversity-oriented specialty publications.
b. Conduct referrals and cold sourcing.

3. Evaluating prospective candidates
a. Develop a preliminary screeni ng and progress report based on education, experience, technical knowledge, accomp lishments, management style, personal traits, any other criteria included in the position profile. b. Include any issues/ complaints/charges/litigation that are pending or are in the candidate’s history.
c. Meet with the City at times and locations de signated by the City in order to provide progress reports on the numbers of semifinalist candidates and recommend a list of semifinalists. City is amenable to remote meetings. d. Provide the City wit h electronic copies of all resumes/ applications received during this search.

4. Selection of finalists
a. Conduct personal interviews of semifinalists (approximately 5-12). b. Pres ent a confidential report in a f ormat to be specified by the City wit h recommendations of finalists (approximately 4-8) to be reviewed and/or interviewed by City staff , City Council and/or other selected panel members.

The report shall include, but not be limited to:
i. Education, certifications, and experience information for each finalist ii. Evaluation of each finalist’s experience relative to selection criteria iii. Summary of reference comments
iv. Statements demonstrating accomplishments and management styles v. Present salary/compensation and salary expectations for each finalist. c. Conduct in-depth background screenings of the final candidate including credit checks, criminal and civil histories, driving records, college degrees and other related pr ofessional certifications, internet charac ter searches, a nd detailed and extensive reference checks of job performances, management styles, personal traits and other any additional factors as they relate to this position.

5. Identification of top candidate
Facilitate confidential interviews with finalists by th e City Council, key stakeholders, and staff panels as designated by the City.

6. Selection of top candidate
Assist w ith n egotiation of an employment agr eement between the City and selected candidate once the top candidate has been identified.

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7. Additional requirements
a. Conduct and incorporate community feedback into the recruitment process and provide this information to the City as requested.
b. All recruiting costs a ssociated w ith its work, including mark eting, advertising fees, travel, lodging, meals, and any incidental costs for its employees shal l be included in the contract pricing.
c. Coordinate candidate travel, meals and lodging f or interviews. Candidates may be reimbursed for travel expenses with prior city approval and within approved City travel policies.
d. Provide the City with all mate rials related to the search in the amounts, at the times, and in the forms requested by the City.

B. Guarantee the posit ion for one year. If the selected candidate for which the Contractor is paid to conduct t he executive search, leaves for any reason dur ing the first 12 months of employment with the City, the Contractor shall immediately conduct a search for a replacement candidate. Within twelve weeks of the request from the City for the replacement search, a slate of qualified candidates shall be submitted to the City. If the firm is unable to provide the candidates as stated above, the firm shall refund the fee paid by the City.

1.3 Schedule:

Complete all the work required herein within the time frame outlined in the request by the City. Typically, recruitments for executive staff will range from two to four months.

1.4 Compensation:

Work will be c ompensated on a lumpsum basis for the services outlined in the contract pricing. Contract pricing includes all labor, expenses, and incidentals to complete the work outlined in the contract scope. The Contractor may request monthly payments based on the percentage of work completed for the previous month as long as a detailed progress report is provided to support the amount requested. No additional c
ompensation will be due by the City unless the contract is modified for additional work requested by the City.

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Item 1X - Page 18
ATTACHMENT "G"

COST PROPOSAL - GENERAL PUBLIC SECTOR
REQUEST FOR PROPOSAL (RFP 16-23)

RECRUITMENT SERVICES FOR EXECUTIVE STAFF

THIS FORM MUST BE COMPLETED AND SUBMITTED IN SEPARATE ELECTRONIC FILE #2 "Cost Proposal", NOTwith Electronic File #1, Technical/Work Proposal*) ITEM DESCRIPTION Unit of TOTAL FOR EACH
Measure RECUITMENT OR

STAKEHOLDER

MEETING
1 Recruitment Services for each recruitment Lump Sum
needed for general public sector for year 1 $25,000
2 Additional Stakeholder Meetings needed for Lump Sum
year 1 $500
3 Recruitment Services for each recruitment Lump Sum $25,500 needed for general public sector for year 2 4 Additional Stakeholder Meetings needed for Lump Sum $500 year 2 5 Recruitment Services for each recruitment Lump Sum
needed for general public sector for year 3 $26,000
6 Additional Stakeholder Meetings needed for Lump Sum
year 3 $500
7 Recruitment Services for each recruitment Lump Sum
needed for general public sector for year 4 $26,500
8 Additional Stakeholder Meetings needed for Lump Sum
year 4 $500
Total
*Note: The pricing above will be used in the evaluation process and to set the cost for the term of the contract; however, the contract value will be based on a City provide budget amount.

Gregory Nelson Certified by: _______________________ _
Firm Name: Mosaic Public Partners
Signature of Authorized Person: ~ Ilk..

Printed Name: Gregory Nelson
Title: __ F_o_u_n_d_er_a_n_d_M_a_n_ag_i_n_g_P_a_rt_n_e_r _____________ _ Date: __ J_u_n_e_2_0_,_2_0_2_3 __________________ _

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EXHIBIT “B”

INSURANCE PROVISIONS

Including

Verification of Coverage,

Sufficiency of Insurers,

Errors and Omissions Coverage,

Minimum Scope of Insurance,

Deductibles and Self-Insured Retentions, and

Severability of Interests (Separation of Insureds)
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INSURANCE

1. P r ocurement and Maintenance of Insurance. Contractor shall procure and maintain public liability and pr operty damage insur ance against all cla ims for i njuries against p ersons or d amages to property resulting from Cont ractor’s per formance under this Agreement. Contractor shall procure and m aintain all insurance at its sole cost and expense, in a form and content satisfactory to the City, and submit concurrently with its execution of this Agreement. Contractor shall also carry workers’ compensation insurance in accordance with California workers’ compensation laws. Such insurance shall be ke pt in full force and effect during the term of this Agreement, including any extensions. Such insurance shall not be cancelable without thirty (30) days advance written notice to City of any p roposed cancellation. Certificates of insuran ce evidencing t he foregoing and designating the City, its elected officials, officers, employees, agents, and volunteers as additional named insureds by original endorsement shall be delivered to and approved b y City prior to commencement of services. The procuring of such insurance and the delivery of policies, certificates, and endorsements evidencing the same shall not be construed as a limitation of Contractor’s obligation to indemnify City, its elected officials, officers, agents, employees, and volunteers.

2. M inimum S cope of Insu rance. The minimum amount of in surance required under this Agreement shall be as follows:

1. C omprehensive gener al liability and personal i njury wit h limits of at least o ne million d ollars ( $1,000,000.00) combined single limit coverage pe r oc currence and t wo million dollars ($2,000,000) general aggregate;

2. Automobile liability i nsurance with limits of at least o ne million d ollars ($1,000,000.00) per occurrence;

3. Professional liability (errors and omissions) insurance with limits of at least one million dollars ($1,000,000.00) per occurrence and two million dollars ($2,000,000) annual aggregate is:
_________ required
___x____ _ is not required;

4. Wor kers’ Compensation insurance i n the st atutory amount as required by t he State of Cal ifornia and Employer’s Liability Insu rance with limi ts of at least one mil lion dollars $1 millio n per occurrence . If Contractor has no employees, Contractor shal l complete the City’s Request for Waiver of Workers’ Compensation Insurance Requirement form.

3. Pr imary Insurance. For any claims relat ed to th is Agreement, Contractor’s insurance coverage shall be primary with res pect to the City and it s respectiv e el ected officials, officers, empl oyees, agent s, a nd v olunteers. Any insurance or self -insurance maintained by City a nd its respective electe d officials, of ficers, e mployees, agents, and volunteers shall be in excess of Contractor’s insurance and shall not contribute with it. For Workers’ Compensation and Employer’s Liability Insurance only, the insurer shall waive all rights of subrogation and contribution it may have against City, its elected officials, officers, employees, agents, and volunteers.

4. E rror s and Omissions Coverage. If Errors & Omissions Insurance is required, and if Con tractor provides claims ma de prof essional liability insur ance, Contractor shal l also agree in writ ing either (1) to purchase tai l insurance in the amount required by this Agreement to cov er claims made wit hin t hree ye ars of t he compl etion of Contractor ’s Item 1X - Page 20

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services under this Agreement, or (2) to maintain professional liability insurance coverage with the sa me carrier in the amount r equired by this Agreement for a t least thr ee years after completion of Contractor’ s services under this Agreement. Contractor shall also be required to p rovide ev idence to City of the purchase o f the required tail in surance or continuation of the professional liability policy.

5. Su fficiency of Insurers. Insurance required in this Agreement shall be provided by authorized insurers in good standi ng with the State of California. Coverage shall be provided by insurers admitted in the State of California with an A. M. Best’s Key Rating of B++, Class VII, or better, unless otherwise acceptable to the City.

6. Veri fication of Coverage. Contractor shall furnish City with both certificat es of insurance and endorsements, including additional insured endorsements, effecting all of the coverages required by this Agreement. The certificates and endorsements are to be signed by a person auth orized by that insurer to bind coverage on its behal f. All proof of insurance is to be r eceived an d approved b y the City before work co mmences. C ity reserves the right to require Contractor’s insurers to provide complete, certified copies of all required insurance poli cies at any time. A dditional insured endorsements a re no t required for Errors and Omissions and Workers’ Compensation policies.

Verif ication of Insurance coverage may be provided by: (1) an approved General and/or Auto Liability Endorsement Form for the C ity of Palm Springs or (2) an acceptable Certificate of L iability Insurance Cov erage wi th an app roved Additional Insured Endorsement with the following endorsements stated on the certificate:

A. "The City of Palm Springs, its officials, em ployees, and agents are named as an additional insured…” ("as respects City of Palm Springs Contract No.___" or "for any and all work performed with the City" may be included in this statement).

B. " This insurance is p rimary and non -contributory over any insurance or self - insurance the City may have..." (" as respects City of Palm S prings Contract No.___" or "for any and all work performed with the City" may be included in this statement).

C. " Should any o f the above described policies be canceled before t he expiration date thereof, the issuing company will mail 30 days written notice to the Certificate Holder named." Language such as, “endeavor to” mail and "bu t failure t o mail such notice shall impose no obligation or liability o f a ny kind upon the company, its agents or representative" is not acceptable and must be crossed out.

D. B oth the Workers’ Compensation and Employers' Liability policies shall contain the insurer's waiver of subrogation in favor of City, its elected officials, officers, employees, agents, and volunteers.

In addition to the endorsements listed above, the City of Palm Springs shall be named the certificate holder on the policies.

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All ce rtificates of insurance and endorsements are t o b e received and approved b y the City before work commences. All certificates of insurance must be authorized by a person with authority to bind cover age, whether that is the authorized agent/broker or insura nce underwriter. Failure to obtain the required documents prior to the commencement of work shall not waive the Contractor’s obligation to provide them.

7. D educt ibles and S elf-Insured Retentions. Any deduct ibles or self -insured retentions must be declared to and approved by the City prior to commencing any work or services under this Agreement. At the option of the City, either (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions with respect to the City, its elected officials, of ficers, employees, agents, and volunte ers; or ( 2) C ontractor sh all procure a bond guaranteeing payment of losses and related investigations, claim administration, and defense expenses. Certificates of Insurance mus t include evidence of the amoun t of any deductible or self-insured retention under the policy. Contractor guarantees payment of all deductibles and self-insured retentions.

8. Severab ility of I nterests (Separation o f Insured s). This i nsurance applies separately to each in sured agains t whom claim is made or suit is brought except with respect to the limits of the insurer’s liability.

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CONTRACT SERVICES AGREEMENT 23P168

RECRUITMENT SERVICES FOR EXECUTIVE STAFF (AVIATION)

THIS AGREEMENT FO R CONTRACT S ERVICES (“Agreement”) is mad e and entered into on September 18, 2023, by and between the City of Palm Springs, a California charter city and municipal corporation (“City”), and Jacob Green & Associates, Inc., a California Corporation, (“Contractor”). City and Contractor are individually referred to as “Party” and are collectively referred to as the “Parties”.

RECITALS
A. City requires the services of a recruiter for aviation executive staff recruitments, (“Services”).

B. C ontractor has submitted to City a proposal to provide executive staff recruitment services for aviation, under the terms of this Agreement.

C. Based on its e xperience, educat ion, training, and r eputation, Contractor is qualified and desires to provide the necessary services to City for the Project.

D. Ci ty desires to retain the services of Contractor for the Services.

NOW, THEREFORE, in consideration of the promises and mutual obligations, covenants, and conditions contained herein , and ot her val uable consi deration, t he r eceipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

AGREEMENT

1. CONTRACTOR SERVICES

1.1 Scope of Ser vices. In comp liance with all terms and c onditions of thi s Agreement, Contractor shall prov ide se rvices to City a s described in the Scope of Services/Work attached to th is A greement as Exhibit “A” and incorporated herein by reference (the “ Services” or “ Work”). Exhibit "A" includes the a greed upon schedule of performance and the schedule of fees. Contractor warrants that the Services shall be performed in a competent, professional, and satisfactory manner consistent with the level of care and skill ordin arily exercised by high quali ty, e xperienced, and well qualif ied members of t he profession c urrently practicing under si milar conditions. In the even t of any inconsistency b etween the terms contai ned in the Scope of S ervices/Work and the terms set forth in this Agreement, the terms set forth in this Agreement shall govern.

1.2 Co mpliance with Law. Contractor shall comply with all applicable federal, state, and local laws, statutes and ordinances and all lawful orders, rules, and regulations when performing t he Services. Con tractor shall be lia ble for all violati ons of such laws and regulations in connection with the Services and this Agreement.

1.3 Li censes and Permits. Co ntractor shall obtain at it s sole cost and expense such licenses, permits, and approvals as may be required by law for the performance of the Services required by this Agreement.

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Palm Springs City CouncilSeptember 14, 2023

Palm Springs City Council
September 14, 2023