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HomeMy WebLinkAbout66-88 RESOLUTION • RESOLUTION NO. 66-88 scit' A , ED A RESOLUTION AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH AIRPORT CONSULTING SERVICES GROUP, INC. , FOR A RATES AND CHARGES SURVEY. BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY OF FAYETTEVILLE, ARKANSAS: That the Mayor and City Clerk are hereby authorized and directed to execute a professional services agreement with Airport Consulting Services Group, Inc. , for a rates and charges survey to be performed at the Fayetteville Municipal Airport. A copy of said agreement is attached hereto marked Exhibit "A" and made a part hereof. PASSED AND APPROVED this 6th day of September , 1988 . APPROVED By: rac:1). ...L.0.4rj. 9p4AiLALArft..—.) ='TAYEI1 I 44, V ♦ '' ,, . % i .' • k 70, \u# ` . !=1:, tL7Pv 0� ' /1' { • • Professional Services Agreement Airport Consulting Services Group, Inc. THIS AGREEMENT, made and entered into this / "`day of 440,i , 190 by and between The City of Fayetteville, Arkansas, 113 West Mountain, Fayetteville,! rkansas, 72701, hereinafter referred to as the "City", and Airport Consulting Services Group, Inc., P.O. Box 2827, Hendersonville, Tennessee 37077, hereinafter referred to as "ACSG", an Oklahoma Corporation. WITNESSETH: WHEREAS, the parties hereto desire to enter into an agreement whereby ACSG will provide professional consulting services to the City; and WHEREAS, the City owns and operates the Municipal Airport in Fayetteville, AR; and WHEREAS, ACSG has expressed a desire to provide consulting services related to a Rates and Charges Survey to be performed at the Municipal Airport as evidenced by their proposal dated July 29, 1988 and the scope of work therein and hereby included as Attachment (B) to this Agreement; NOW, THEREFORE, in consideration of the mutual undertakings, agreements and covenants herein contained, the parties hereto agree as follows: 1. PURPOSE. ACSG will provide professional consulting services to the City for the purpose of performing a Rates and Charges Survey at The Municipal Airport consisting of the following Phases: Phase I Airline Rates and Charges Phase II FBO Agreement Review Phase III Concession and Ground/Hangar Rental Agreement Review Phase IV Final Report Each of the above Phases is outlined fully in Attachment (B). 2. COMMENCEMENT. This Agreement shall commence on September 7, 1988 . All services performed by ACSG pursuant to this Agreement shall be performed in accordance with the project schedule in Attachment (A) hereto. Time is expressely made of the essence of this Agreement. The City may grant an extension of time, at its option, for the performance and completion of services as outlined above upon receipt of written notice from ACSG specifying the purpose for the extension and work to be completed during any extension period. 3. RIGHTS OF THE CITY. The City may terminate this Agreement at any time, without forfeiture, waiver or release of rights of the City upon default or breach by ACSG of any of the covenants contained herein. The City may terminate this Agreement at any time if it is determined that the services performed by ACSG are unsatisfactory in any way to the City. The City shall have the right to terminate this Agreement at anytime for any cause whatsoever upon thirty (30) days advance written notice to ACSG of such termination. Upon written notice of termination from City, ACSG personnel will cease all services and invoice City for only those services rendered through the date of termination which are considered satisfactory to City. The City reserves the right to amend, modify or supplement the scope of work (Attachment B) to be provided by ACSG pursuant to this Agreement. In the event of any such change, the fees payable to ACSG shall be approved by the City. Services in addition to the work described herein shall not be commenced by ACSG without prior written approval of the City. 4. RIGHTS OF ACSG. ACSG shall have the right to terminate this Agreement for failure of the City to perform in accordance with the terms and covenants of this Agreement. 5. PAYMENT FOR SERVICES RENDERED. ACSG shall submit to City on a monthly basis, an invoice for payment which shall include billing rate by personnel classification, the number of hours involved in the project by personnel classification, and direct expenses incurred during the period by ACSG personnel. The City agrees to pay invoices promptly after receipt from ACSG. ACSG's hourly billing rate is hereby established as the rate included in Attachment (A). The City shall pay to ACSG a sum not to exceed Five Thousand Dollars ($5,000.00) for professional services rendered by ACSG personnel in connection with this Agreement. It is expressly understood that the City shall reimburse ACSG's actual monthly expenses that are directly paid to third parties in connection with ACSG's performance under this Agreement. ACSG's monthly expenses are hereby defined, but not limited to, postage and overnight delivery charges, telephone, printing, travel, lodging, food, and computer database services. Total expenses shall not exceed One Thousand Dollars ($1,000.00) without prior authorization of the City. 2 • ACSG shall not be entitled to any additional compensation for services to be performed pursuant to this Agreement except as provided herein. If any additional services are requested by the City, ACSG's billing rate will be based on the rates included in Attachment (A). 6. PERSONNEL. ACSG hereby represents to the City that it has all qualified personnel required to properly perform services pursuant to this Agreement. Personnel involved in this project shall not be employees of or have any contractual relationship with the City. ACSG will not subcontract, without prior written approval of the City, any services to be performed under this Agreement. In the event a subcontractor is used, ACSG will be responsible for quality of the services performed and payment to subcontractor for services performed. 7. SERVICES TO BE PROVIDED BY CITY. It is understood that during the perfor- mance of its duties under this Agreement, ACSG will require certain financial and operational information from the Airport Staff. The City will make all reasonable effort to provide ACSG personnel with information required for the proper performance of its duties. 8. INSPECTIONS. ACSG, upon receipt of written notice from the City, will make any and all records, work in progress, or other related information available for inspection by the City or its designated representative in ACSG's office where such data is regularly maintained during normal business hours. 9. COORDINATION. ACSG, in order to ensure adequate review and evaluation of work in progress, agrees to keep the City and Staff fully informed at all times concerning services being performed pursuant to this Agreement. 10. CONFIDENTIALITY. All reports, documents, plans, or information prepared by ACSG under the terms of this Agreement which the City requests to be kept confidential, shall not be made available to any other party by ACSG without prior written approval of the City. No document, report or information prepared by ACSG under the terms of this Agreement will be subject to copyright by ACSG. 11. INDEMNIFICATION. ACSG shall and does assume full responsibility for any act of its employees, agents, officers, invitees and representatives in the performance of the covenants of this Agreement. ACSG shall defend, indemnify and hold harmless the City, its members, employees, agents, officers, invitees and representatives from and against any and all losses, claims, suits, damages, costs, expenses (including attorneys' fees and costs of defense), and liabilities attributable to ACSG in the performance of its duties hereunder. 12. AFFIRMATIVE ACTION. ACSG hereby assures the City that it will undertake an affirmative action program as required by 14 CFR Part 152, Subpart E, to insure that no person shall on the grounds of race, creed, color, religion, national origin or sex, be excluded from participating in any employment activities covered in 14 CFR Part 152, Subpart E. ACSG assures that no person shall be excluded on the grounds of race, creed, 3 color, religion, national origin or sex from participating in or receiving the services or benefits of any program or activity covered by this Subpart. ACSG assures that it will require that its covered suborganizations provide assurances to the City that they will undertake affirmative action programs and that they will require assurances from their suborganizations, as required by 14 CFR Part 152, Subpart E, to the same effect. 13. PARTIAL INVALIDITY. If any term or condition of this Agreement or the application thereof to any person or event shall to any extent be invalid and unenforceable, the remainder of this Agreement and the application of such term, covenant or condition to persons or events other than those to which it is held invalid or unenforceable shall not be affected and each term, covenant and condition of this Agreement shall be valid and be enforced to the fullest extent permitted by law. 14. RELATIONSHIP OF PARTIES. It is understood that ACSG is not in any way or for any purpose partner or joint venturer with, or agent of the City. ACSG shall act as an independent contractor in the performance of its duties pursuant to this Agreement. 15. INSURANCE. ACSG will, during the term of this agreement, acquire and keep in force a general public liability policy in the amount of $500,000 naming the City as an additional insured. Proof of insurance will be provided to the City upon request. 16. INTERPRETATION. The City and ACSG hereby agree that this Contract shall not be construed or interpreted in favor of either party on the basis of preparation. 17. ENTIRE AGREEMENT. This writing is the entire Agreement of the parties. No representations, warranties, inducements or oral agreements previously made between the parties shall continue unless stated herein. This Agreement shall not be changed, modified or rescinded except as provided herein and in writing signed by both parties. 18. BINDING EFFECT. This Agreement shall be binding upon and may be enforced by and against all parties, their heirs, executors, successors, assigns and legal representatives. 19. APPLICABLE LAWS. This Agreement and the terms, covenants and conditions herein contained shall be at all times governed, interpreted and construed under and in accordance with the laws of the State of Arkansas. All present and future Federal, State and Local laws applicable to the rendering of services by ACSG under this Agreement shall be complied with in all respects as shall all present and future rules and regulations of the City, FAA or any other governmental agency. 20. NOTICES. All notices and communications under, or with respect to this Agreement shall be sufficiently given if sent by United States registered mail addressed as specified at the addresses first mentioned or to such other address as either party may specify to the other in writing during the term of this permit. 4 IN WITNESS WHEREOF, the parties hereto have hereunto set their hands and affixed their corporate seals as of the day and year first above written. A'FI EST: CITY OF FAYETTEVILLE, ARKANSAS BY BY TITL TITILEVI(17:7X) ATTEST: AIRPORT CONSULTING SERVICES GROUP, INC. yam,, BC9. .�i� �lua,� TITLE NioAA TITL 5 Attachment (A) Airport Consulting Services Group, Inc. Professional Fees The following fee schedule will be the basis for all professional fees incurred as a result of this agreement: PERSONNEL CLASSIFICATION HOURLY FEE Principal $75.00 Project Manager $60.00 Senior Consultant $50.00 Aviation Consultant $40.00 Administrative $25.00 Project Schedule Time Period Phase/Task Comment 30 Days Phase I Report This report will be furnished to the Airport Man- agement within 30 days in order to assist with the inprocess airline negotiations. 45 Days Phase II & III Work will be completed on Phases II and III within 45 days after completion of Phase I. 30 Days Phase IV The final report will be prepared and a preliminary Task 1 copy submitted to Airport Management within 30 days after completion of Phases II & III. 15 Days Phase IV The final report will be submitted within 15 days Task 2 after review of the preliminary submission. 6 Attachment (B) Scope Of Services To Be Performed In Relation To a Facility Rates and Charges Overview and Evaluation The following scope of work will be performed by ACSG under the terms and conditions of this agreement: Phase I -Airline Rates and Charges This Phase of the assignment will entail preparation of a brief report which the Airport Management Team can effectively use in their negotiations with the Airline Property Representatives. A Firm Principal will make a trip to Fayetteville to perform an initial survey. He will examine, at a minimum, the following information: - All Leases - Airport Financial History - Airline Rates and Charges History - Master Plan - Facility Usage Forecasts - Financial Requirements for the Future - Present Revenue Generation Efficiency - Sources of New Revenue - Revenue Enhancement - Airline Negotiation Progress to Date After completion of the survey, the Firm will prepare an initial report which will include, but not be limited to, the following: - Recommended Airline Rates and Charges - Comparative Analysis of Airline Rates and Charges - Analysis of Airline Operational Costs at Fayetteville - Projected Future Financial Requirements - Suggested Methods to Reach Financial Goals The report furnished at the conclusion of this Phase will give the Airport Management Team justification for recommended Airline Rates and Charges. 7 Phase II - Fixed Base Operator Agreement Review During this Phase, the Consultant will review the FBO Agreement presently in place and the following information will be included in the final report completed in Phase IV: - Compare with industry standards - Establish Airport Return on Investment Requirement - Examine Results of Appraisal - Project Lease ROI - Express an Opinion as to appropriate Rate of Return Phase III - Concession and Ground/Hangar Rental Agreement Review Phase III will include an examination of the remaining leases on airport. The following Agreements will be reviewed: - Airport Restaurant - Advertising Leases - Rental Car Leases - T-Hangar Leases - Parking Agreement - Maintenance/Executive Hangar Agreements - Flight Service Station Agreement - Limousine Lease Contracts will be analyzed with consideration given to the following: - Financial Return - Comparison with Industry Standards - Long Term Impact - Return of Airport's Investment - Operational Performance Conclusions and opinions will be expressed in the Phase IV Final Report. Phase IV- Final Report A Final Report will be prepared and presented to the Airport Management. It will include the analysis, comparisons, opinions and recommendations derived from the first three Phases of the Assignment. In addition, methods to derive funds for airport capital requirements will be suggested. 8