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HomeMy WebLinkAbout79-02 RESOLUTION• • • 1 RESOLUTION NO. 79-02 • • A RESOLUTION TO APPROVE AN AGREEMENT FOR PROFESSIONAL ENGINEERING PROJECT MANAGEMENT SERVICES WITH BURNS AND MCDONNELL ENGINEERING COMPANY, INC IN THE AMOUNT OF $336,881.00 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby approves the Agreement for Professional Engineering Service with Burns and McDonnell Engineering Company, Inc. (attached as Exhibit A) in the amount of $336,881.00 and authorizes Mayor Coody to execute said contractual agreement. PASSED and APPROVED this the 7th day of May, 2002. APPROVED: By Fwr71., ATTEST . e • eitilit ./../././ oodruff, City ver DAN COODY, May 4 .y • NAME OF FILE: CROSS REFERENCE: Resolution No. 79-02 • 05/07/02 Resolution No. 79-02 05/07/02 Agreement for Professional Engineering Project Management Services with Burns & McDonnell Engineering Company, Inc. 04/04/02 Departmental Correspondence to Mayor Coody & Fayetteville City Council, from Greg Boettcher, Public Works Director, regarding Wastewater System Improvement Project Staff Review Form 05/08/02 Memo to Greg Boettcher, Public Works Director, from Heather Woodruff, City Clerk NOTES: • • • AGREEMENT For PROFESSIONAL ENGINEERING SERVICES Between CITY OF FAYETTEVILLE, ARKANSAS And BURNS & MCDONNELL ENGINEERING COMPANY, INC. Kansas City, Missouri Res. 79-02 THIS AGREEMENT is made this 7d day of May, 2002, by and between City of Fayetteville, Arkansas (hereinafter called FAYETTEVILLE) and Bums & McDonnell Engineering Company, Inc., a Missouri Corporation specializing in consulting engineering services (hereinafter called BURNS & MCDONNELL ENGINEERING). FAYETTEVILLE requires professional engineering services in connection with the program management of study, design, construction, operation, maintenance, management, and financing of wastewater treatment and conveyance facilities. Therefore, FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING in consideration of their mutual covenants agree as follows: BURNS & MCDONNELL ENGINEERING shall serve as FAYETTEVILLE's professional engineering consultant in those assignments to which this Agreement applies, and shall give consultation and advice to FAYETTEVILLE during the performance of BURNS & MCDONNELL ENGINEERING's services. All services shall be performed under the direction of a professional engineer registered in the State of Arkansas and qualified in the particular field. CHANGES, modifications or amendments in scope, price or fees to this contract shall not be allowed without a formal contract amendment approved by the Mayor and the City Council in advance of the change in scope, cost or fees THE total payment for Scope of Services in this contract is $336,881.00 and shall not be exceeded without prior approval of the Fayetteville City Council pursuant to paragraph 4.1.2. If paragraph 4.1.2 is violated by BURNS & MCDONNELL ENGINEERING, BURNS & MCDONNELL ENGINEERING agrees that the value of any unauthorized services will reduce its authorized compensation from the 10% cost add-ons in paragraphs 4.1.1.2 and 4.1.1.4 dollar for dollar. • • SECTION 1 SCOPE OF SERVICES OF BURNS & MCDONNELL ENGINEERING 1.1 General Res. 79-02 1.1.1 Perform Program Management services in connection with Pre -Design Phase Projects as hereinafter stated which may include normal civil, structural, mechanical, and electrical engineering services and normal architectural design services incidental thereto. 1.1.2 Advise FAYETTEVILLE as to the necessity of FAYETTEVILLE providing or obtaining services or data from others of types described in Paragraph 2.3, make recommendations as to the possible sources of such services, and act as FAYETTEVILLE's representative in connection with any such services. 1.2 Identification of Program Status 1.2.1 Consult with FAYETTEVILLE to determine FAYETTEVILLE's requirements for the Project and collect available data on contracts with Consulting Engineers of Record (Consulting Engineers). 1.2.2 Review contracts of Consulting Engineers and ascertain the schedules and deliverables due to FAYETTEVILLE as part of the contracts. Examine cost -to -date and the status of billings to FAYETTEVILLE for each contract. 1.2.3 Review Arkansas Department of Environmental Quality (ADEQ) requirements for Facility Plans approval. Meet with ADEQ regarding each Facility Plan being prepared. 1.2.4 Review Facility Plans and assess the level of completion. Determine the activities remaining before approval. 1.2.5 Review Water Quality Study and assess the level of completion. Determine the activities remaining before approval. 1.2.6 Conduct a one -day meeting in Fayetteville with the City of Fayetteville staff to further identify status, scheme, and schedule for the projects. Report to FAYETTEVILLE the preliminary conclusions gained from examination of Facility Plans and Water Quality Study. Establish agenda and goals for joint meeting with Consulting Engineers. Establish goals and expectations and lines of communication for the Program. 1.2.7 Jointly conduct with FAYETTEVILLE separate meetings with each Consulting Engineer and OMI, Inc. to review Program status, identify concerns and issues which may impede completion of Consulting Engineers' services, and to receive other feedback from Consulting Engineers. 2 • • Res. 79-02 Review Consulting Engineers' staffing plan and schedule for completion of the pre - design activities. Determine status of property acquisition. 1.2.8 Assess the information obtained in the meetings with Consulting Engineers and prepare an evaluation and recommendations. Present the final results of the evaluation process to FAYETTEVILLE for final approval. This presentation will highlight the evaluation process, including status of stakeholder involvement, and identify the recommendation for proceeding with design activities. 1.3 Develop Steering Document 1.3.1 Prepare a Level 1 concept milestone schedule for the overall Program through the Design Phase which identifies tasks, phases, projects, or subprojects and prioritizes them. The concept milestone schedule will provide guidance to FAYETTEVILLE and Consulting Engineers by establishing "what's first, what's next, what's critical, and what can be accomplished independent of other aspects of the project". The concept milestone schedule will identify an initial Critical Path for the overall Program and will provide direction to the Consulting Engineers through the Design Phase. Establish a phasing plan to be followed in the design of facilities which will permit continuous provision of service by existing facilities. 1.3.2 Identify and address items requiring standardization and coordination among the Consulting Engineers. Topics anticipated include treatment processes, equipment, SCADA concepts, reliability and redundancy, and facility staffing goals. 1.3.3 Establish schedule and requirements for Value Engineering Services. 1.3.4 Develop design standards and criteria. Develop and maintain design standards for wastewater treatment plant and sewerage facilities, support facilities, and privately developed facilities to be adopted by FAYETTEVILLE's Consulting Engineers. By adopting the design standards, Consulting Engineers will assume full responsibility and liability for their resulting design services. BURNS & MCDONNELL ENGINEERING will review design standards provided by the Consulting Engineers. BURNS & MCDONNELL ENGINEERING will prepare design standards and criteria for remaining facilities using the existing standards as a starting point. The design standards will be developed to provide overall design intent and construction quality objectives with the functional and aesthetic objectives of FAYETTEVILLE. Establish CADD standards, sheet sizes, borders, and title blocks. 1.3.5 Develop standard contract language. Develop General Conditions for General Construction Contracts. Develop other documents, including Bidding and Agreement forms, and Division 1 Specifications. 3 • • Res. 79-02 1.3.6 Disseminate the Steering Document which includes design standards and criteria and standard contract language, to Consulting Engineers for use in preparation of design contracts, budgets, and scope. 1.3.7 Assist FAYETTEVILLE in developing standardized Professional Services Agreements, based on EJCDC documents as a starting point. 1.4 Develop Program Budget 1.4.1 Prepare the overall Program Budget utilizing Consulting Engineers' opinions of probable construction costs. Formulate independent opinions of probable design fees for the West Treatment Plant, modifications to the existing Noland Facility, the West sewer system improvements, and the East sewer system improvements Analyze and include other likely Program Budget costs. 1.5 Evaluate Status of Permitting Process 1.5.1 Review Arkansas Department of Environmental Quality (ADEQ) requirements for permitting of facilities. 1.5.2 Identify permitting requirements for the construction and operation of the new and modified facilities. 1.5.3 Identify the status of the permitting process to date. 1.5.4 Conduct a Fatal Flaw Analysis. 1.5.5 Develop matrix illustrating the permits required, the responsibilities for obtaining them, the tasks remaining before each permit is obtained, and a schedule for completion of the permitting process. 1.6 Provide Other Program Management Services 1.6.1 Prepare a Program Management Plan (PMP) describing the responsibilities of the Program Manager, Consulting Engineers, and construction contractors involved in management, design, and construction. The PMP will establish procedures enabling FAYETTEVILLE to monitor the design and construction phases of the projects. The PMP will emphasize the monitoring of cost, schedule and quality and will establish procedures to permit FAYETTEVILLE to make timely decisions to properly control the Program. The PMP will describe review and approvals at all stages of the Program or projects such as design, construction, security, safety, D/M/WBE programs, logistics, and communications. 4 • • Res. 79-02 1.6.2 Establish a computer-based Program Management Control System (PMCS) to monitor and manage the Program schedule, budget, financial requirements, and D/M/WBE compliance. Establish a document tracking and control system, including shop drawings, samples, approvals, and changes to the work. The system will be used by the Program Manager throughout the Program to advise FAYETTEVILLE on schedule and financial issues and manage the design and construction process. The proposed system consists of Primavera Expedition project management software, customized to FAYETTEVILLE's documentation requirements. Primavera Project Planner (P3) scheduling software will be used for the Master Program Schedule, which will be used in conjunction with Expedition. Review FAYETTEVILLE's information retrieval needs and consider providing FAYETTEVILLE with real-time read-only access to program financial records or provision of periodic hard copy of desired reports. Establish a public/private Web -based communications to be used for inter -firm access to selected program information by FAYETTEVILLE, Program Management Team, and Consulting Engineers. 1.6.3 Assist in developing a Communications Plan to involve the stakeholders during the concept development and design phase; and promote a positive image of the overall Program and FAYETTEVILLE. The plan may include newsletters, press releases, message boards, and the Project web site. The plan development and implementation will be coordinated with FAYETTEVILLE's Public Relations staff. 1.6.4 Prepare a Master Program Schedule by refining the conceptual milestone schedule. Develop the Master Program Schedule through design development, construction documents, and construction. Cost load the schedule, based on program activities, for cash flow and spending plan analysis. Benchmark the program schedule and update based on actual progress of activities. 1.6.5 Prepare and coordinate up to four reports or presentations to the City Council, City staff, or other parties as directed by FAYETTEVILLE. 1.7 It is anticipated that the above-described Scope of Services can be completed in 2758 person hours. 5 • • SECTION 2 RESPONSIBILITIES OF FAYETTEVILLE Res. 79-02 FAYETTEVILLE shall, within a reasonable time, so as not to delay the services of BURNS & MCDONNELL ENGINEERING: 2.1 Provide full information as to FAYETTEVILLE's requirements for the Project. 2.2 Assist BURNS & MCDONNELL ENGINEERING by placing at BURNS & MCDONNELL ENGINEERING's disposal all available information pertinent to the assignment including previous reports and any other data relative thereto. 2.3 Furnish BURNS & MCDONNELL ENGINEERING services or data such as core borings, probings and subsurface explorations, hydrographic surveys, laboratory tests and inspections of samples, materials, and equipment; appropriate professional interpretations of all of the foregoing; property, boundary, easement, right-of-way, topographic, and utility surveys; zoning and deed restrictions; and other special data or consultations, all of which BURNS & MCDONNELL ENGINEERING may rely upon in performing its services under this Agreement. 2.4 Guarantee access to and make all provisions for BURNS & MCDONNELL ENGINEERING to enter upon public and private property as required for BURNS & MCDONNELL ENGINEERING to perform its services under this Agreement. 2.5 Examine all studies, reports, sketches, cost opinions, Bid Documents, Drawings, proposals, and other documents presented by BURNS & MCDONNELL ENGINEERING and render in writing decisions pertaining thereto. 2.6 Provide such professional legal, accounting, financial, and insurance counseling services as may be required for the Project. 2.7 Designate in writing a person to act as FAYETTEVILLE's representative with respect to the services to be performed under this Agreement. Such person shall have complete authority to transmit instructions, receive information, interpret and define FAYETTEVILLE's policies and decisions with respect to materials, equipment, elements and systems to be used in the Project, and other matters pertinent to the services covered by this Agreement. 2.8 Give prompt written notice to BURNS & MCDONNELL ENGINEERING whenever FAYETTEVILLE observes or otherwise becomes aware of any defect in the Project. 2.9 Furnish approvals and permits from all governmental authorities having jurisdiction over the Project and such approvals and consents from others as may be necessary for completion of the Project. 6 • • Res. 79-02 2.10 If BURNS & MCDONNELL ENGINEERING's standard bidding requirements, Agreement forms and General Conditions are not to be used but FAYETTEVILLE's documents are to be used instead, FAYETTEVILLE shall provide copies of such documents for BURNS & MCDONNELL ENGINEERING's use in coordinating the Contract Drawings and Specifications. SECTION 3 PERIOD OF SERVICE 3.1 BURNS & MCDONNELL ENGINEERING will proceed with providing the services set forth herein immediately upon the execution of this Agreement. These services will be completed within 120 days of the execution of this Agreement subject to adjustment from factors outside BURNS & MCDONNELL ENGINEERING's control, e.g., permitting, etc. SECTION 4 PAYMENTS TO BURNS & MCDONNELL ENGINEERING 4.1 Compensation 4.1.1 Amount of Payment. For services performed, FAYETTEVILLE shall pay the BURNS & MCDONNELL ENGINEERING the sum of the following: 4.1.1.1 For time expended by personnel, payment at the hourly rates indicated in the attached "Schedule of Hourly Professional Service Billing Rates" Form BMR 902. Such rates include overhead and profit. The schedule is effective to January 1, 2003, and will be revised annually. 4.1.1.2 For outside expenses incurred by BURNS & MCDONNELL ENGINEERING, such as authorized travel and subsistence, including airfare, food, lodging, automobile rental, commercial services, courier deliveries, and incidental expenses, the cost to BURNS & MCDONNELL ENGINEERING plus 10 percent. 4.1.1.3 For normal computer usage, computer-aided drafting (CAD), telephone, fax, photocopy and mail services, a technology charge in accordance with the "Schedule of Hourly Professional Service Billing Rates" in effect at the time the service is provided. Specialty items are not included in the technology charge. For reproduction, printing and binding of documents, and vehicle and testing apparatus usage, amounts as determined from BURNS & MCDONNELL ENGINEERING's schedule of rates in effect at the time the service is provided. 4.1.1.4 For services rendered by others as subcontractor(s) to BURNS & MCDONNELL ENGINEERING, such as value engineering, surveying, real property descriptions, soil 7 • • Res. 79-02 borings, subsurface investigations, laboratory testing, field quality control tests, progress photographs, or other activities required or requested by FAYETTEVILLE, the cost to BURNS & MCDONNELL ENGINEERING plus 10 percent. 4.1.2 The total payment for the Scope of Services described herein is estimated to be Three Hundred Thirty Six Thousand Eight Hundred Eighty One United States Dollars ($336,881.00), but is not a guaranteed maximum. The total payment is based on expending no more than 2758 person -hours. 4.2 Statements 4.2.1 Monthly statements, in engineer's standard format, will be submitted by BURNS & MCDONNELL ENGINEERING to FAYETTEVILLE. Statements will be submitted covering services and expenses incurred during the preceding month. 4.3 Payments 4.3.1 Statements are payable upon receipt and due within thirty (30) days. If a portion of BURNS & MCDONNELL ENGINEERING's statement is disputed by FAYETTEVILLE, the undisputed portion shall be paid by FAYETTEVILLE by the due date. FAYETTEVILLE shall advise BURNS & MCDONNELL ENGINEERING in writing of the basis for any disputed portion of any statement. SECTION 5 GENERAL CONSIDERATIONS 5.1 Insurance 5.1.1 During the course of performance of these services, BURNS & MCDONNELL ENGINEERING will maintain (in United States Dollars) the following minimum insurance coverages: Type of Coverage Workers' Compensation Employers' Liability: Type of Coverage Commercial General Liability: Bodily Injury and Property Damage Automobile Liability: Bodily Injury and Property Damage Professional Liability Insurance: Limits of Liability Statutory $500,000 Each Accident Limits of Liability $1,000,000 Combined Single Limit $1,000,000 Combined Single Limit $1,000,000.00 8 • • If requested, BURNS & MCDONNELL ENGINEERING will provide to FAYETTEVILLE certificates as evidence of the specified insurance. Res. 79-02 5.1.2 Construction Contractors shall be required to provide (or FAYETTEVILLE may provide) FAYETTEVILLE's Protective Liability Insurance naming FAYETTEVILLE as a Named Insured and BURNS & MCDONNELL ENGINEERING as an additional insured, or, to endorse FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING as additional insureds on construction Contractor's liability insurance policies covering claims for personal injuries and property damage. Construction Contractors shall be required to provide certificates evidencing such insurance to FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING. 5.1.3 FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING waive all rights against each other and their officers, directors, agents, or employees for damage covered by property insurance during and after the completion of BURNS & MCDONNELL ENGINEERING's services. If the services result in a Construction Phase, a provision similar to this shall be incorporated into all Construction Contracts entered into by FAYETTEVILLE, and all construction Contractors shall be required to provide waivers of subrogation in favor of FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING for damage or liability covered by any construction Contractor's policy of insurance. 5.2 Professional Responsibility 5.2.1 BURNS & MCDONNELL ENGINEERING will exercise reasonable skill, care, and diligence in the performance of BURNS & MCDONNELL ENGINEERING's services and will carry out its responsibilities in accordance with customarily accepted professional engineering practices. If BURNS & MCDONNELL ENGINEERING fails to meet the foregoing standard, BURNS & MCDONNELL ENGINEERING will perform at its own cost, and without reimbursement from FAYETTEVILLE, the professional engineering services necessary to correct errors and omissions which are caused by BURNS & MCDONNELL ENGINEERING's failure to comply with above standard, and which are reported to BURNS & MCDONNELL ENGINEERING within three years from the completion of BURNS & MCDONNELL ENGINEERING's services for the Project. FAYETTEVILLE retains all other remedies to recover for its damages caused by any negligence of BURNS & MCDONNELL ENGINEERING. 5.2.2 In addition, BURNS & MCDONNELL ENGINEERING will be responsible to FAYETTEVILLE for damages caused by its negligent conduct during its activities at the Project Site to the extent covered by BURNS & MCDONNELL ENGINEERING's Commercial General Liability, Automobile Liability Insurance and Professional Liability Insurance policies as specified in Paragraph 5.1.1. 9 • • 5.3 Cost Opinions and Projections Res. 79-02 Cost opinions and projections prepared by BURNS & MCDONNELL ENGINEERING relating to construction costs and schedules, operation and maintenance costs, equipment characteristics and performance, and operating results are based on BURNS & MCDONNELL ENGINEERING's experience, qualifications, and judgment as a design professional. Since BURNS & MCDONNELL ENGINEERING has no control over weather, cost and availability of labor, material and equipment, labor productivity, construction Contractors' procedures and methods, unavoidable delays, construction Contractors' methods of determining prices, economic conditions, competitive bidding or market conditions, and other factors affecting such cost opinions or projections, BURNS & MCDONNELL ENGINEERING does not guarantee that actual rates, costs, performance, schedules, and related items will not vary from cost opinions and projections prepared by BURNS & MCDONNELL ENGINEERING 5.4 Changes FAYETTEVILLE shall have the right to make changes within the general scope of BURNS & MCDONNELL ENGINEERING's services, with an appropriate change in compensation and schedule, only after Fayetteville City Council approval of such proposed changes and upon execution of a mutually acceptable amendment or change order signed by the Mayor of the City of FAYETTEVILLE and the President or any Vice President of the BURNS & MCDONNELL ENGINEERING 5.5 Suspension of Services Should FAYETTEVILLE fail to fulfill its responsibilities as provided under Section 2 to the extent that BURNS & MCDONNELL ENGINEERING is unduly hindered in BURNS & MCDONNELL ENGINEERING's services or if FAYETTEVILLE fails to make any payment to BURNS & MCDONNELL ENGINEERING on account of BURNS & MCDONNELL ENGINEERING's services and expenses within 90 days after receipt of BURNS & MCDONNELL ENGINEERING's bill therefore, BURNS & MCDONNELL ENGINEERING may, after giving seven days' written notice to FAYETTEVILLE, suspend services under this Agreement until FAYETTEVILLE has satisfied FAYETTEVILLE's obligations under this Agreement. 5.6 Termination 5.6.1 Services may be terminated by FAYETTEVILLE or BURNS & MCDONNELL ENGINEERING by seven (7) days' written notice in the event of substantial failure to perform in accordance with the Terms hereof by the other party through no fault of the terminating party. Failure on the part of FAYETTEVILLE to make payments to BURNS & MCDONNELL ENGINEERING when due shall be considered substantial 10 • • Res. 79-02 nonperformance and cause for termination. If so terminated, FAYETTEVILLE shall pay BURNS & MCDONNELL ENGINEERING all amounts due BURNS & MCDONNELL ENGINEERING for all services properly rendered and expenses incurred to the date of receipt of notice of termination, plus reasonable costs incurred by BURNS & MCDONNELL ENGINEERING in terminating the services. 5 6 2 In the event of premature termination of the Project by FAYETTEVILLE and through no fault of BURNS & MCDONNELL ENGINEERING, BURNS & MCDONNELL ENGINEERING shall be entitled to: 1) recover all reasonable costs and expenses incurred to date of termination plus all costs incurred to assemble and close Project files and documents; 2) unavoidable down time in the reassignment of Project staff; 3) termination penalties/expenses related to third parties retained by BURNS & MCDONNELL ENGINEERING in regard to its obligations under this contract; plus 4) a termination amount of 15 percent of the remaining portion of the total compensation (or estimated compensation) agreed to herein or by separate authorization to cover lost profits, damages, and lost opportunity costs which cannot otherwise be accurately calculated. 5.7 Delays In the event the services of BURNS & MCDONNELL ENGINEERING are suspended or delayed by FAYETTEVILLE, BURNS & MCDONNELL ENGINEERING shall be entitled to additional compensation for reasonable costs incurred by BURNS & MCDONNELL ENGINEERING in temporarily closing down or delaying the Project and reassigning Project staff (including, but not limited to, unavoidable down time and any termination expenses incurred where reassignment is not reasonably possible) and in organizing Project files, records, and work in progress for suspension and later resumption of BURNS & MCDONNELL ENGINEERING's services. 5.8 Disputes In the event that a dispute should arise relating to the performance of the services to be provided and should that dispute result in litigation, it is agreed that the prevailing party shall be entitled to recover all reasonable costs of litigation, including staff time, court costs, attorneys' fees, and other related expenses. 5.9 Rights and Benefits BURNS & MCDONNELL ENGINEERING's services will be performed solely for the benefit of FAYETTEVILLE and not for the benefit of any other persons or entities. 11 • • 5.10 Dispute Resolution Res. 79-02 5.10.1 Scope of Paragraph: The procedures of this Paragraph shall apply to any and all disputes between FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING which anse from, or in any way are related to, this Agreement, including, but not limited to the interpretation of this Agreement, the enforcement of its terms, any acts, errors, or omissions of FAYETTEVILLE or BURNS & MCDONNELL ENGINEERING in the performance of this Agreement, and disputes conceming payment. 5.10.2 Exhaustion of Remedies Required: No action may be filed unless the parties first negotiate and, if necessary, mediate their disputes as set forth in this Paragraph. If timely Notice is given under Paragraph 5.10.3, but an action is initiated prior to exhaustion of these procedures, such action shall be stayed, upon application by either party to a court of proper jurisdiction, until the procedures in Paragraphs 5.10.3 and 5.10.4 have been complied with. 5.10.3 Notice of Dispute 5.10.3.1 For disputes arising prior to the making of final payment promptly after the occurrence of any incident, action, or failure to act upon which a claim is based, the party seeking relief shall serve the other party with a written Notice; 5.10.3.2 For disputes arising after the making of final payment, FAYETTEVILLE shall give BURNS & MCDONNELL ENGINEERING written Notice at the address listed in Paragraph 5.18 within ninety (90) days after occurrence of any incident, accident, or first observance of defect or damage. In both instances, the Notice shall specify the nature and amount of relief sought, the reason relief should be granted, and the appropriate portions of this Agreement that authorize the relief requested. 5.10.4 Negotiation: Within seven days of receipt of the Notice, the Project Managers for FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING shall confer in an effort to resolve the dispute. If the dispute cannot be resolved at that level, then, upon written request of either side, the matter shall be referred to the President of BURNS & MCDONNELL ENGINEERING and the Mayor of the City of Fayetteville or his designee. These officers shall meet at the Project Site or such other location as is agreed upon within 30 days of the written request to resolve the dispute. 5.10.5 Mediation. If FAYETTEVILLE's and BURNS & MCDONNELL ENGINEERING's said officers are unable to resolve the dispute, then either side may request that the matter be submitted to mediation before a mediator is mutually agreed upon. If the parties cannot agree on a mediator, then the American Arbitration Association shall appoint one upon request. Any administrative or mediator's fees shall be split equally between the parties. 12 • • Res. 79-02 5.11 FAYETTEVILLE represents that it has sufficient funds or the means of obtaining funds to remit payment to BURNS & MCDONNELL ENGINEERING for services rendered by BURNS & MCDONNELL ENGINEERING. 5.12 Publications Recognizing the importance of professional development on the part of BURNS & MCDONNELL ENGINEERING's employees and the importance of BURNS & MCDONNELL ENGINEERING's public relations, BURNS & MCDONNELL ENGINEERING may prepare publications, such as technical papers, articles for periodicals, and press releases, pertaining to BURNS & MCDONNELL ENGINEERING's services for the Project. Such publications will be provided to FAYETTEVILLE in draft form for FAYETTEVILLE's advance review. FAYETTEVILLE shall review such drafts promptly and provide FAYETTEVILLE's comments to BURNS & MCDONNELL ENGINEERING. FAYETTEVILLE may require deletion of proprietary data or confidential information from such publications, but otherwise FAYETTEVILLE will not unreasonably withhold approval. The cost of BURNS & MCDONNELL ENGINEERING's activities pertaining to any such publication shall be for BURNS & MCDONNELL ENGINEERING's account. 5.13 Indemnification 5.13.1 FAYETTEVILLE agrees that it will require all construction Contractors to indemnify, defend, and hold harmless FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING from and against any and all loss where loss is caused or incurred in whole or in part as a result of the negligence or other actionable fault of the Contractors, or their employees, agents, Subcontractors, and Suppliers. 5.14 Computer Models BURNS & MCDONNELL ENGINEERING may use or modify BURNS & MCDONNELL ENGINEERING's proprietary computer models in service of FAYETTEVILLE under this Agreement, or BURNS & MCDONNELL ENGINEERING may develop computer models during BURNS & MCDONNELL ENGINEERING's service to FAYETTEVILLE under this Agreement Such use, modification, or development by BURNS & MCDONNELL ENGINEERING does not constitute a license to FAYETTEVILLE to use or modify BURNS & MCDONNELL ENGINEERING's computer models. Said proprietary computer models shall remain the sole property of BURNS & MCDONNELL ENGINEERING. FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING will enter into a separate license agreement 13 • • Res. 79-02 if FAYETTEVILLE wishes to use BURNS & MCDONNELL ENGINEERING's computer models. 5.15 Notices Any Notice required under this Agreement will be in writing, addressed to the appropriate party at the following addresses: FAYETTEVILLE's address: City of Fayetteville, Arkansas 113 West Mountain Street Fayetteville, Arkansas 72701 BURNS & MCDONNELL ENGINEERING's address: Burns & McDonnell Engineering Co., Inc. 9400 Ward Parkway Kansas City, MO 64114 5.16 Successor and Assigns FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING each binds itself and its successors, executors, administrators, and assigns to the other party of this Agreement and to the successors, executors, administrators, and assigns of such other party, in respect to all covenants of this Agreement; except as above, neither FAYETTEVILLE nor BURNS & MCDONNELL ENGINEERING shall assign, sublet, or transfer its interest in the Agreement without the written consent of the other. 5.17 Controlling Law This Agreement shall be subject to, interpreted and enforced according to the laws of the State of Arkansas without regard to any conflicts of law provisions. 5.18 Entire Agreement This Agreement represents the entire Agreement between BURNS & MCDONNELL ENGINEERING and FAYETTEVILLE relative to the Scope of Services herein. All previous or contemporaneous agreements, representations, promises, and conditions relating to BURNS & MCDONNELL ENGINEERING's services described herein are superseded. Since terms contained in purchase orders do not generally apply to professional services, in the event FAYETTEVILLE issues to BURNS & MCDONNELL ENGINEERING a purchase order, no preprinted terms thereon shall become a part of this 14 • • Res.. 79-02 Agreement. Said purchase order document, whether or not signed by BURNS & MCDONNELL ENGINEERING, shall be considered as a document for FAYETTEVILLE's internal management of its operations. SECTION 6 SPECIAL CONDITIONS 6.1 Additional Responsibilities of the BURNS & MCDONNELL ENGINEERING: 6.1.1 FAYETTEVILLE's or ASWCC's review, approval, or acceptance of design drawings, specifications, reports, and other services furnished hereunder shall not in any way relieve BURNS & MCDONNELL ENGINEERING of responsibility for the technical adequacy of the work. Neither FAYETTEVILLE's nor ASWCC's review, approval or acceptance of, nor payment for any of the services shall be construed as a waiver of any rights under this Agreement or of any cause of action arising out of the performance of this Agreement. 6.1.2 BURNS & MCDONNELL ENGINEERING shall be and shall remain liable, in accordance with applicable law, for all damages to FAYETTEVILLE caused by BURNS & MCDONNELL ENGINEERING's negligent performance of any of the services furnished under this Agreement except for errors, omissions or other deficiencies to the extent attributable to FAYETTEVILLE or FAYETTEVILLE-furnished data. 6.1.3 BURNS & MCDONNELL ENGINEERING's obligations under this clause are in addition to BURNS & MCDONNELL ENGINEERING's other express or implied assurances under this Agreement or State law and in no way diminish any other rights that FAYETTEVILLE may have against BURNS & MCDONNELL ENGINEERING for faulty materials, equipment, or work. 6.2 Remedies Except as may be otherwise provided in this Agreement, all claims, counter -claims, disputes and other matters in question between FAYETTEVILLE and BURNS & MCDONNELL ENGINEERING arising out of or relating to this Agreement or the breach thereof will be decided by arbitration if the parties mutually agree, or in a court of competent jurisdiction within Arkansas. 6.3 Audit: Access to Records 6.3.1 BURNS & MCDONNELL ENGINEERING shall maintain books, records, documents and other evidence directly pertinent to performance on work under this Agreement in accordance with generally accepted accounting principles and practices consistently applied in effect on the date of execution of this Agreement. BURNS & MCDONNELL ENGINEERING shall also maintain the financial information and data 15 • • Res. 79-02 used by BURNS & MCDONNELL ENGINEERING in the preparation of support of the cost submission required for any negotiated agreement or change order and send to FAYETTEVILLE a copy of the cost summary submitted. The United States Environmental Protection Agency, the Comptroller General of the United States, the United States Department of Labor, FAYETTEVILLE, the State or any of their authorized representatives shall have access to all such books, records, documents and other evidence for the purpose of inspection, audit and copying during normal business hours. BURNS & MCDONNELL ENGINEERING will provide proper facilities for such access and inspection. 6.3.2 Records under Paragraph 6.3.1 above, shall be maintained and made available during performance on assisted work under this Agreement and until three years from the date of final payment for the project. In addition, those records which relate to any controversy arising out of such performance, or to costs or items to which an audit exception has been taken, shall be maintained and made available until three years after the date of resolution of such appeal, litigation, claim or exception. 6.3.3 This right of access clause (with respect to financial records) applies to: 6.3.3.1 Negotiated prime agreements; 6.3.3.2 Negotiated change orders or agreement amendments in excess of $10,000 affecting the price of any formally advertised, competitively awarded, fixed price agreement; 6.3.3.3 Agreements or purchase orders under any agreement other than a formally advertised, competitively awarded, fixed price agreement. However, this right of access does not apply to a prime agreement, lower tier subagreement or purchase order awarded after effective price competition, except: (1) With respect to record pertaining directly to subagreement performance, excluding any financial records of BURNS & MCDONNELL ENGINEERING; (2) If there is any indication that fraud, gross abuse or corrupt practices may be involved; (3) If the subagreement is terminated for default or for convenience. 6.4 Covenant Against Contingent Fees BURNS & MCDONNELL ENGINEERING warrants that no person or selling agency has been employed or retained to solicit or secure this Agreement upon an agreement or understanding for a commission, percentage, brokerage or contingent fee, excepting bona fide employees or bona fide established commercial or selling agencies maintained by BURNS & MCDONNELL ENGINEERING for the purpose of securing business. For 16 • • Res. 79-02 breach or violation of this warranty, FAYETTEVILLE shall have the right to annul this Agreement without liability or at its discretion, to deduct from the contract price or consideration, or otherwise recover, the full amount of such commission, percentage, brokerage or contingent fee. 6.5 Gratuities 6.5.1 If FAYETTEVILLE finds after a notice and hearing that BURNS & MCDONNELL ENGINEERING, or any of BURNS & MCDONNELL ENGINEERING's agents or representatives, offered or gave gratuities (in the form of entertainment, gifts or otherwise) to any official, employee or agent of FAYETTEVILLE, the State or EPA in an attempt to secure an agreement or favorable treatment in awarding, amending or making any determinations related to the performance of this Agreement, FAYETTEVILLE may, by written notice to BURNS & MCDONNELL ENGINEERING, terminate this Agreement. FAYETTEVILLE may also pursue other rights and remedies that the law or this Agreement provides. However, the existence of the facts on which FAYETTEVILLE bases such finding shall be in issue and may be reviewed in proceedings under the Remedies clause of the Agreement. 6.5.2 In the event this Agreement is terminated as provided in Paragraph 6.5.1, FAYETTEVILLE may pursue the same remedies against BURNS & MCDONNELL ENGINEERING as it could pursue in the event of a breach of the Agreement by BURNS & MCDONNELL ENGINEERING. As a penalty, in addition to any other damages to which it may be entitled (as determined by FAYETTEVILLE) which shall be not less than three nor more than ten times the costs BURNS & MCDONNELL ENGINEERING incurs in providing any such gratuities to any such officer or employee. 6.6 Arkansas Freedom of Information Act. BURNS & MCDONNELL ENGINEERING agrees that it will provide to FAYETTEVILLE, at a cost to be agreed upon, all documents in its possession that are, under this Agreement, the property of FAYETTEVILLE and which FAYETTEVILLE believes to be subject to an Arkansas Freedom of Information Act request made to it, or, in anticipation of such a request, which it believes necessary for it to possess. BURNS & MCDONNELL ENGINEERING further agrees that it will request of all subconsultants, retained by BURNS & MCDONNELL ENGINEERING to perform services under this Agreement, to provide to FAYETTEVILLE, at a cost to be agreed upon, all documents in the possession of such subconsultants that are, under this Agreement, the property of FAYETTEVILLE and which FAYETTEVILLE believes to be subject to an Arkansas Freedom of Information Act request made to FAYETTEVILLE, or, in anticipation of such a request, which it believes necessary for FAYETTEVILLE to possess. BURNS & MCDONNELL ENGINEERING will produce all documents or material in the format that are kept by BURNS & MCDONNELL ENGINEERING, or at the option of BURNS & MCDONNELL ENGINEERING, in some other format. If a specialized format is 17 • • Res. 79-02 requested by FAYETTEVILLE, the cost of conversion, if that additional responsibility is accepted by BURNS & MCDONNELL ENGINEERING, will be borne by FAYETTEVILLE at the then prevailing rates for the parties actually performing the conversion. Production of requested items will be done with reasonable diligence, but cannot in some circumstances be within the time frame established by the Act. The above and foregoing provisions apply only to work performed from this date forward and does not apply retroactively. Nothing in this Agreement shall constitute an acceptance of BURNS & MCDONNELL ENGINEERING or its subconsultants to the application of the Arkansas Freedom of Information Act to BURNS & MCDONNELL ENGINEERING or its subconsultants or to BURNS & MCDONNELL ENGINEERING's or subconsultant's books, records, drawings, or other items not constituting the property of FAYETTEVILLE under this Agreement, nor a waiver of its rights to object to any requests made to it pursuant to the Arkansas Freedom of Information Act by any person or entity not a party to this Agreement. 18 • • Res. 79-02 IN WITNESS WHEREOF, the CITY OF FAYETTEVILLE, ARKANSAS, by and through its Mayor, and BURNS & MCDONNELL ENGINEERING COMPANY, INC., by its authorized officer have made and executed this Agreement as of the day and year first above written. CITY OF FAYETTEVILLE, ARKANSAS BUk7SONNELL ENGINEERING COMPANY, INC. Bv: 00-frfrw.e 912 -Le etierent, Infrastructure Group roject Manager CHANGES, modifications or amendments in scope, price or fees to this contract shall not be allowed without a formal contract amendment approved by the Mayor and the City Council In advance of the change in scope, cost or fees. END OF AGREEMENT FOR PROFESSIONAL ENGINEERING SERVICES 19 }Greg Boettcher -agrpes-st1.Fay.PDF a a Page 11 AGREEMENT For PROFESSIONAL ENGINEERING SERVICES Between CITY OF FAYETTEVILLE, ARKANSAS And BURNS & McDONNELL ENGINEERING COMPANY, INC. Kansas City, Missouri THIS AGREEMENT is made as of 2002, by and between City of Fayetteville, Arkansas (hereinafter called OWNER) and Bums & McDonnell Engineering Company, Inc., a Missouri Corporation specializing in consulting engineering services (hereinafter called ENGINEER). OWNER requires professional engineering services in connection with the program management of study, design, construction, operation, maintenance, management, and financing of wastewater treatment and conveyance facilities. Therefore, OWNER and ENGINEER in consideration of their mutual covenants agree as follows: ENGINEER shall serve as OWNER's professional engineering consultant in those assignments to which this Agreement applies, and shall give consultation and advice to OWNER during the performance of ENGINEER s services. All services shall be performed under the direction of a professional engineer registered in the State of Arkansas and qualified in the particular field. SECTION 1 SCOPE OF SERVICES OF ENGINEER 1.1 General Perform Program Management services in connection with Pre -Design Phase Projects as hereinafter stated which may include normal civil, structural, mechanical, and electrical engineering services and normal architectural design services incidental thereto. 1.1.2 Advise OWNER as to the necessity of OWNER providing or obtaining services or data from others of types described in Paragraph 2.3, make recommendations as to the possible sources of such services, and act as OWNER S representative in connection with any such services. AGATES -ST I.F AY.DOC A- 031301 Greg Boettcher - agrpes-stl.Fay.PDF Page 2 1.2 Identification of Program Status 1.2.1 Consult with OWNER to determine OWNER s requirements for the Project and collect available data on contracts with Consultants of Record (Consultants). 1.2.2 Review contracts of Consultants and ascertain the schedules and deliverables due to the OWNER as part of the contracts. Examine cost -to -date and the status of billings to the OWNER for each contract. 1.2.3 Review Arkansas Department of Environmental Quality (ADEQ) requirements for Facility Plans approval. Meet with ADEQ regarding each Facility Plan being prepared. 1.2.4 Review Facility Plans and assess the level of completion. Determine the activities remaining before approval. 1.2.5 Review Water Quality Study and assess the level of completion. Determine the activities remaining before approval. 1.2.6 Conduct a one -day meeting in Fayetteville with OWNER and staff to further identify status, scheme, and schedule for the projects. Report to the OWNER the preliminary conclusions gained from examination of Facility Plans and Water Quality Study. Establish agenda and goals for joint meeting with Consultants. Establish goals and expectations and lines of communication for the Program. 1.2.7 Jointly conduct with the OWNER separate meetings with each Consultant and OMI, Inc. to review Program status, identify concerns and issues which may impede completion of Consultants' services, and to receive other feedback from Consultants. Review Consultants' staffing plan and schedule for completion of the pre -design activities. Determine status of property acquisition. 1.2.8 Assess the information obtained in the meetings with Consultants and prepare an evaluation and recommendations. Present the final results of the evaluation process to OWNER for final approval. This presentation will highlight the evaluation process, including status of stakeholder involvement, and identify the recommendation for proceeding with design activities. AGRPES -SELF AY .DOC A-2 031301 Greg Boettcher - agrpes-stl.Fay.PDF 1.3 Develop Steering Document 1.3.1 Prepare a Level 1 concept milestone schedule for the overall Program through the Design Phase which identifies tasks, phases, projects, or subprojects and prioritizes them. The concept milestone schedule will provide guidance to the OWNER and Consultants by establishing "what's first, what's next, what's critical , and what can be accomplished independentof other aspectsof the project". The concept milestone schedule will identify an initial Critical Path for the overall Program and will provide direction to the Consultants through the Design Phase. Establish a phasing plan to be followed in the design of facilities which will permit continuous provision of service by existing facilities. 1.12 Identify and address items requiring standardization and coordination among the Consultants. Topics anticipated include treatment processes, equipment, SCADA concepts, reliability and redundancy, and facility staffing goals. 1.3.3 Establish schedule and requirements for Value Engineering Services. 1.3.4 Develop design standards and criteria. Develop and maintain design standards for wastewater treatment plant and sewerage facilities, support facilities, and privately developed facilities to be adopted by the OWNER's Consultants. By adopting the design standards, Consultants will assume full responsibility and liability for their resulting design services. ENGINEER will review design standards provided by the Consultants. ENGINEER will prepare design standards and criteria for remaining facilities using the existing standards as a starting point. The design standards will be developed to provide overall design intent and construction quality objectives with the functional and aesthetic objectives of the OWNER. Establish CADD standards, sheet sizes, borders, and title blocks. 1.3.5 Develop standard contract language. Develop General Conditions for General Construction Contracts. Develop other documents, including Bidding and Agreement forms, and Division 1 Specifications. 1.3.6 Disseminate the Steering Document which includes design standards and criteria and standard contract language, to Consultants for use in preparation of design contracts, budgets, and scope. 1.3.7 Assist OWNER in developing standardized Professional Services Agreements, based on EICDC documents as a starting point. AGRPFS -5T1 FAY DOC A-3 031301 Page 3 Greg :oettchernagrpes-st1.Fa .PDF 1.4 Develop Program Budget Page 4 1.4.1 Prepare the overall Program Budget utilizing Consultants' opinions of probable construction costs. Formulate independent opinions of probable design fees for the West Treatment Plant, modifications to the existing Noland Facility, the West sewer system improvements, and the East sewer system improvements. Analyze and include other likely Program Budget costs. 1.5 Evaluate Status of Permitting Process 1.5.1 Review Arkansas Department of Environmental Quality (ADEQ) requirements for permitting of facilities 1.5.2 Identify permitting requirements for the construction and operation of the new and modified facilities. 1.5.3 Identify the status of the permitting process to date. 1.5.4 Conduct a Fatal Flaw Analysis. 1.5.5 Develop matrix illustrating the permits required, the responsibilities for obtaining them, the tasks remaining before each permit is obtained, and a schedule for completion of the permitting process. 1.6 Provide Other Program Management Services 1.6.1 Prepare a Program Management Plan (PMP) describing the responsibilities of the Program Manager, Consultants, and construction contractors involved in management, design, and construction. The PMP will establish procedures enabling the OWNER to monitor the design and construction phases of the projects. The PMP will emphasize the monitoring of cost, schedule and quality and will establish procedures to permit the OWNER to make timely decisions to properly control the Program. The PMP will describe review and approvals at all stages of the Program or projects such as design, construction, security, safety, D/M/WBE programs, logistics, and communications. 1.6.2 Establish a computer-based Program Management Control System (PMCS) to monitor and manage the Program schedule, budget, financial requirements, and D/M/WBE compliance. Establish a document tracking and control system, including shop drawings, samples, approvals, and changes to the work. The system will be used by the Program Manager AGRPES -ST I.F AY .DOG A-4 031301 Greg Boettcher - zlgrpes-stl .Fay.PDF Page 5 throughout the Program to advise the OWNER on schedule and financial issues and manage the design and construction process. The proposed system consists of Primavera Expedition project management software, customized to the OWNER'S documentation requirements. Primavera Project Planner (P3) scheduling software will be used for the Master Program Schedule, which will be used in conjunction with Expedition. Review OWNER's information retrieval needs and consider providing OWNER with real-time read-only access to program financial records or provision of periodic hard copy of desired reports. Establish a public/private Web -based communications to be used for inter -firm access to selected program information by the OWNER, Program Management Team, and Consultants. 1.6.3 Assist in developing a Communications Plan to involve the stakeholders during the concept development and design phase; and promote a positive image of the overall Program and the OWNER. The plan may include newsletters, press releases, message boards, and the Project web site. The plan development and implementation will be coordinated with OWNER s Public Relations staff. 1.6.4 Prepare a Master Program Schedule by refining the conceptual milestone schedule. Develop the Master Program Schedule through design development, construction documents, and construction. Cost load the schedule, based on program activities, for cash flow and spending plan analysis. Benchmark the program schedule and update bacrd on actual progress of activities. 1.6.5 Prepare and coordinate up to four reports or presentations to the City Council, City staff, or other parties as directed by the OWNER. 1.7 It is anticipated that the above described Scope of Services can be completed in 2758 person - hours. SECTION 2 RESPONSIBILITIES OF OWNER OWNER shall, within a reasonable time, so as not to delay the services of ENGINEER: 2.1 Provide full information as to OWNER s requirements for the Project. 2.2 Assist ENGINEER by placing at ENGINEER's disposal all available information pertinent to the assignment including previous reports and any other data relative thereto. AGRPES -ST I.FAY.QOC A-5 031301 • • reg Boettcher -agrees-stl.Fay.PDF Page 6 2.3 Furnish ENGINEER services or data such as core borings, probings and subsurface explorations, hydrographic surveys, laboratory tests and inspections of samples, materials, and equipment; appropriate professional interpretations of all of the foregoing; property, boundary, easement, right-of-way, topographic, and utility surveys; zoning and deed restrictions; and other special data or consultations, all of which ENGINEER may rely upon in performing his services under this Agreement. 2.4 Guarantee access to and make all provisions for ENGINEER to enter upon public and private property as required for ENGINEER to perform his services under this Agreement. 2.5 Examine all studies, reports, sketches, cost opinions, Bid Documents, Drawings, proposals, and other documents presented by ENGINEER and render in writing decisions pertaining thereto. 2.6 - Provide such professional legal, accounting, financial, and insurance counseling services as may be required for the Project. 2.7 Designate in writing a person to act as OWNER's representative with respect to the services to be performed under this Agreement. Such person shall have complete authority to transmit instructions, receive information, interpret and define OWNER s policies and decisions with respect to materials, equipment, elements and systems to be used in the Project, and other matters pertinent to the services covered by this Agreement. 2.8 Give prompt written notice to ENGINEER whenever OWNER observes or otherwise becomes aware of any defect in the Project. 2.9 Furnish approvals and permits from all governmental authorities having jurisdiction over the Project and such approvals and consents from others as may be necessary for completion of the Project. 2.10 If ENGINEER s standard bidding requirements, Agreement forms and General Conditions are not to be used but OWNER's documents are to be used instead, OWNER shall provide copies of such documents for ENGINEER's use in coordinating the Contract Drawings and Specifications. SECTION 3 PERIOD OF SERVICE 3.1 ENGINEER will proceed with providing the services set forth herein immediately upon the execution of this Agreement. These services will be completed within 120 days of the execution AGRPES -ST I.F AY .DOC A-6 031301 • Greg Boettcher - agrpes-stl .Fay.PDF Page 7 of this Agreement subject to adjustment from factors outside ENGINEER's control, e.g., permitting, etc. SECTION 4 PAYMENTS TO ENGINEER 4.1 Compensation 4.1.1 Amount of Payment: For services performed, the OWNER shall pay the ENGINEER the sum of the following: 4.1.1.1 For time expended by personnel, payment at the hourly rates indicated in the attached "Schedule of Hourly Professional Service Billing Rates" Form BMR 902. Such rates include overhead and profit. The schedule is effective to January 1, 2003, and will be revised annually. 4.1.1.2 For outside expenses incurred by ENGINEER, such as authorized travel and subsistence, including airfare, food, lodging, automobile rental, commercial services, courier deliveries, and incidental expenses, the cost to ENGINEER plus 10 percent. 4.1.1.3 For normal computer usage, computer-aided drafting (CAD), telephone, fax, photocopy and mail services, a technology charge in accordance with the "Schedule of Hourly Professional Service Billing Rates" in effect at the time the service is provided. Specialty items are not included in the technology charge. For reproduction, printing and binding of documents, and vehicle and testing apparatus usage, amounts as determined from ENGINEER's schedule of rates in effect at the time the service is provided. 4.1.1.4 For services rendered by others as subcontractor(s) to ENGINEER, such as value engineering, surveying, real property descriptions, soil borings, subsurface investigations, laboratory testing, field quality control tests, progress photographs, or other activities required or requested by OWNER, the cost to ENGINEER plus 10 percent. 4.1.2 The total payment for the Scope of Services described herein is estimated to be Three Hundred Thirty Six Thousand Eight Hundred Eighty One United States Dollars ($336,881.00), but is not a guaranteed maximum. The total payment is based on expending no more than 2758 person -hours. AGUES -STIP AY .DOC A-7 031301 0. (.Greg Qoettcher-,agrpes-stt.Fay.PDF Page 8 1 4.2 Statements 4.2.1 Monthly statements, in ENGINEER s standard format, will be submitted by the ENGINEER to the OWNER. Statements will be submitted covering services and expenses incurred during the preceding month. 4.3 Payments 4.3,1 Statements are payable upon receipt. A late payment charge of 1.5 percent per month or any partial month will be added to amounts not received within 30 days of the statement date. Time is of the essence in payments of statements, and timely payment is a material part of the consideration of this Agreement. Costs, including reasonable attorneys fees, incurred by the ENGINEER in collecting any delinquent amount shall be reimbursed by the OWNER. If a portion of ENGINEER s statement is disputed by OWNER, the undisputed portion shall be paid by OVTIER by the due date. The OWNER shall advise the ENGINEER in writing of the basis for any disputed portion of any statement. 4.4 Taxes 4.4.1 Taxes, other than United States federal and state income taxes, and Kansas City, Missouri eamings tax, as may be imposed by the United States, state, and local authorities, shall be in addition to the payment stated under "Amount of Payment." SECTION 5 GENERAL CONSIDERATIONS 5.1 Insurance 5.1.1 During the course of performance of these services, ENGINEER will maintain (in United States Dollars) the following minimum insurance coverages: Type of Coverage Limits of Liability Workers' Compensation Statutory Employers' Liability 5500,000 Each Accident AGRPES -STI.F AY .DOC A-8 031301 1.--D-FeTBoettcher - agrpes-stl.Fay.PDF Page 9 Type of Coverage Limits of Liability Commercial General Liability Bodily Injury and Property Damage Automobile Liability: Bodily Injury and Property Damage $1,000,000 Combined Single Limit $1,000,000 Combined Single Limit If requested, ENGINEER will provide to OWNER certificates as evidence of the specified insurance. 5.1.2 Construction Contractors shall be required to provide (or OWNER may provide) Owners' Protective Liability Insurance naming the OWNER as a Named Insured and the ENGINEER as an additional insured, or, to endorse OWNER and ENGINEER as additional insureds on construction Contractor's liability insurance policies covering claims for personal injuries and property damage. Construction Contractors shall be required to provide certificates evidencing such insurance to the OWNER and ENGINEER. 5.1.3 OWNER and ENGINEER waive all rights against each other and their officers, directors, agents, or employees for damage covered by property insurance during and after the completion of ENGINEER's services. If the services result in a Construction Phase, a provision similar to this shall be incorporated into all Construction Contracts entered into by OWNER, and all construction Contractors shall be required to provide waivers of subrogation in favor of OWNER and ENGINEER for damage or liability covered by any construction Contractor's policy of insurance. 5.2 Professional Responsibility 5.2.1 ENGINEER will exercise reasonable skill, care, and diligence in the performance of ENGINEER s services and will cavy out its responsibilities in accordance with customarily accepted professional engineering practices. If the ENGINEER fails to meet the foregoing standard, ENGINEER will perform at its own cost, and without reimbursement from OWNER, the professional engineering services necessary to correct errors and omissions which are caused by ENGINEER's failure to comply with above standard, and which are reported to ENGINEER within one year from the completion of ENGINEER s services for AGRPES -ST 1.F AY .DOC A-9 031301