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HomeMy WebLinkAbout06/16/1998, C10 - REDEVELOPMENT AREA FEASIBILITY STUDY council j acEnba uEpont CITY OF SAN LUIS OBISPO FROM: Ken Hampian, ACAO Prepared By: Diane Sheeley,Econo 'c Development Manager aS SUBJECT: REDEVELOPMENT AREA FEASIBILITY STUDY CAO RECOMMENDATION Approve and authorize the Mayor to execute a$20,000 contract with Urban Futures,Inc. to study the feasibility of establishing redevelopment financing areas in San Luis Obispo. DISCUSSION Background Studying the potential for redevelopment financing in San Luis Obispo is included among the City Council's 1997-99 Financial Plan goals, and on March 5, 1998 a study session on this topic was held to receive a staff report and presentation by redevelopment consultant Urban Futures Inc. (UFI). Following the study session, Council directed staff to negotiate a contract to complete a redevelopment area feasibility study. Initially, in the study session report staff recommended including only the mid-Higuera and Madonna Road areas in the study. However, after hearing some public comments — including from Downtown Association representatives — Council suggested a more comprehensive study, and directed staff to identify added areas to be included in the study. Expanded Study Work Scope After consulting with other City departments and UFI, added areas incorporated in the recommended feasibility study include: the Foothill shopping area, North Monterey Street, the downtown, portions of South Broad Street, and the Railroad District. Attachment 1 illustrates the proposed feasibility study areas. It is important to note that the boundaries are only intended as a general guide for the consultant's study; actual redevelopment area boundaries would could be different, if one or more areas are actually established in the future. Included within UFI's proposed work scope is the development of recommendations regarding the eligibility of the various project areas under redevelopment law. These recommendations will be based on the preliminary analyses of area blight, urbanization, redevelopment program opportunities, and financial feasibility. The study will also consider the potential impact of establishing redevelopment areas on other public agencies, and UFI will meet with County and school district officials during the study. Additionally, UFI will conduct two community workshops in order to provide information and receive input on the redevelopment process from interested citizens and community groups. VV tet/ Council Agenda Report—Redevelopment Area Feasibility Study Page 2 The study is estimated to take seven weeks to complete and staff anticipates returning to Council with study recommendations in the late summer or early fall. The proposed work scope is provided as an attachment to the agreement(Attachment 2). Based on UFI's previous work in the County (for the cities of Arroyo Grande and San Luis Obispo), their reputation in the industry, and the communication skills and knowledge demonstrated.during the March 5 study session, staff recommends awarding the contract to UFI and proceeding with the study. CONCURRENCES The idea of enlarging the scope of study to include the downtown was made by members of the Downtown Association's Economic Activities Committee. Principals associated with the Madonna Road shopping areas are aware of the pending study and have voiced no objections. Staff has not made proactive efforts to advise other areas of the study; however, involving these other areas in the actual study is a key part of the proposed work program. Staff has been quite proactive in communicating with both the San Luis Coastal Unified School District and County of San Luis Obispo regarding the City's evaluation of redevelopment financing. Representatives of both agencies attended the March 5 study session and have subsequently voiced concern to staff regarding the expanded scope of study. Staff has emphasized that the City is currently only at the feasibility study stage—and proceeding through this stage is essential in order to develop the information all parties need to judge the advantages and disadvantages establishing redevelopment areas.in San Luis Obispo. The CAO has also continued to emphasize that the City does not wish to establish such areas if it is shown that financial hardship will be caused to the County or schools which cannot otherwise be mitigated. FISCAL EMPACT URI proposes to complete the expanded redevelopment feasibility study for $20,000, and funds are available within existing resources to support this cost. ALTERNATIVES The Council could choose to limit the scope of the study to fewer areas. Given that the City is only at the study stage, a wider study will provide more information and options and is therefore recommended. However, following completion of the study, and depending upon its results, the Council could choose to limit the establishment of redevelopment area financing in San Luis Obispo or to abandon the idea all together. ATTACHMENTS 1. Proposed feasibility study areas 2. Agreement and proposed workscope gJadmin/sheeley/co=cil2g=dacpMA61698.doc Cld :11111111, � ' .. ,�./( ^` • 1 - - . - - . . - c._,_Inn1 C 11111 1111.II,ulllp� 1-n_I_111=1111 o . •uur i _ ♦ .1 • �I�_�I_n_nisl! :`IN•'.:,'�"iiil I0gl�Illdglulllll_I_:"7.� I _ � `�dllll'�'-]'�IIIII 1�� •1.-••.— >.���� � .•1 _ 1 _• • r '--' 1;imNilc � -�- I1=1•I:�IL I1�1u1�11 IIL.�iu�11P r������a.:ce,d,� _ 11111,11111111 r111O11111 VIII�� _ _ .nut 111: LI I � 1 ,�- .f 1111111_. 1 1• 1111 11 1111 �11� �_I 1 • • r .,�/,1u1„uw� � ■ '��o i • Imo—- III � I GII II 1111 ��' i\ •.'� �._1•fit\11111111, 111111 \ r � •.'1 . uII���I ��� �^ 1—' ��Y •• • 1 - � M �\p,,,�,,.+,,,',C ' mlllLal' 1 I.IllllnnW �li1 I '�•r I `rte �,•ttt\ ��1� , • 1�`w muiIL1111R\ 1•I_ILm G1n�-11 1. 14 j_ lit l t/w . ��♦" I� it ♦'� Ilulnnl� p \' ��Inlllll;� � ���♦,,tel l I *'Rik a�.\•,\.`���� ��7��� • • • � r �i"�- � Illi i II�•� i�ApAd II i �0��.✓pA♦ G.w•M1�`�: � w • �I 1111���j'' \\\ ❑lo V L�IIIIIIIII! ♦ vv vu��•p -'♦vvv >g g0"�g A �`.P": / .•••ii7 111 - `V ��•`�r.� � �\;i�O\M1 \ +moi'�'�i�..� „vvJ�iv♦ IA-.��vAA �A v� Imo♦ \\ \\ \\ V. \\ \\ � *� vv 1\8 I 11q Lll IIII IIII 11111111111 1111 ■ IAI � ��� ;� ����•�i,���II����� ' , IIIIi��i�J J� � �7', 1 • ••Ar• • _ IIII JIB..IL.A�I - - YI• J P;O�•,. ,�•` .•�,��,.,;, ... I 1C 11_I�_JL 91 IIII npcV"6I-1 \ I }i�� C,�.j•�•�i�,,�.; �,,�n,�•\�ili���`lu�f t H � • ICI11l.III•IIIIIIIIIINF.IIIl1111'1111111111111 ��� ,�-J ��:•�•�`f� �`^O�♦'�,�%��!N J!�� SRI 1111111 Il .u.�I p �� ,��IIIIIIi��♦,iii t I; ����■��,LL■ , u \ '' II uN��.\\i►ice.. �♦�/ /Q\���•i '}� i•i � lin IIII1_ i s ��1�' ow AI�f. 1/v ms's'� .1• J � q � i • ,,, , e 'I y�„ .� Imo.i• it C 111111111\ /I �/� • •r�Q �� � ten.+ - •►.•.•.:i.. 1111011111111111111pp1 y.. � 1 �I:I•• / �/ 'IIIIIIIII 1111111 111111 � ..}all.. ,1 111111 I X111� j .� 1111111111181......111111111111111+ L 40 WN/ ti 4,15 � �.- S'' a rad ufu•1fi• t"r Ii�1?i�Illllllllllllll�j � a l ,,,,� • • • - • • • s1 a 1 • • ♦ - IND • • • AGREEMENT THIS AGREEMENT is made and entered into in the City of San Luis Obispo on this 16'" day of June 1998,by and between the CITY OF SAN LUIS OBISPO, a municipal corporation, hereinafter referred to as City, and URBAN FUTURES,hereinafter referred to as Consultant. WITNESSETH: WHEREAS,the City wants to analyze the feasibility of forming a redevelopment agency;and WHEREAS, Consultant is qualified to perform this type of analysis and has submitted a proposal to do so which has been accepted by City. NOW THEREFORE, in consideration of their mutual promises, obligations, and covenants hereinafter contained,the parties hereto agree as follows: 1. TERM. The tens of this Agreement shall be from the date of this Agreement is made and entered,as first written above,until acceptance or completion of said services. 2. CITY'S OBLIGATIONS. For providing services as specified in this Agreement, City will pay and Consultant shall receive therefor compensation in a total sum not to exceed$20,000. 4. CONSULTANT'S OBLIGATIONS. For and in consideration of the payments and agreements hereinbefore mentioned to be made and performed by City, Consultant agrees with City to provide services as set forth in Exhibit A attached hereto and incorporated into this Agreement Consultant further agrees to the contract performance terns as set forth in Exhibit B attached hereto and incorporated into this Agreement 5. AMENDMENTS. Any amendment,modification, or variation from the terms of this Agreement shall be in writing and shall be effective only upon approval by the City Administrative Officer of the City. 6. COMPLETE AGREEMENT. This written Agreement, including all writings specifically incorporated herein by reference, shall constitute the complete agreement between the parties hereto. No oral agreement,understanding, or representation not reduced to writing and specifically incorporated herein shall be of any force or effect,nor shall any such oral agreement, understanding, or representation be binding upon the parties hereto. ATTACHMENT 2 Agreement Between City and Urban Futures Page 2 7. NOTICE. All written notices to the parties hereto shall be sent by United States trail, postage prepaid by registered or certified marl addressed as follows: City City Administrative Officer City of San Luis Obispo 990 Palm Street San Luis Obispo,CA 93401 Consultant Urban Futures,Inc. 3111 N.Tustin Avenue,Suite 230 Orange,CA 92865-1753 8. AUTHORITY TO EXECUTE AGREEMENT. Both City and Consultant do covenant that each individual executing this agreement on behalf of each party is a person duly authorized and empowered to execute Agreements for such party. IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the day and year first above written. ATTEST: CITY OF SAN LUIS OBISPO,A Municipal Corporation By: City Clerk Allen K.Settle,Mayor APPROVED AS TO FORM: URBAN FUTURES,INC. By: #1me Marshall F. Linn,President C� Exhibit FEASIBILITY STUDY PROPOSAL BACKGROUND Urban Futures, Inc. (UFI), has been asked by the Agency to provide a proposal for conducting a study which explores the feasibility of activating the City's redevelopment agency and establishing a redevelopment project area through adoption of a redevelopment plan. We have been asked to focus our study efforts on the following specific areas within the community which are more specifically described in the map attached to this proposal as Exhibit A: i) Foothill District; ii) Madonna Road District; iii) North Monterey Street District; iv) Downtown Commercial District; v) South Broad Street District; vi) Railroad District; and vii) Mid-Higuera District. Collectively these areas will be referred to as the "Study Area". The work program shown below outlines UFI's approach to completing this assignment. WORK PROGRAM 1. Determination of R _d yelooment Project El�iai_biay An overview of Redevelopment Project eligibility will be discussed. The following primary issue areas will be reviewed: ♦ Agency activation ♦ Fiscal opportunity and constraints ♦ Conflict of interest requirements ♦ Blight requirements ♦ Urbanization requirements 2. Preliminary Blight Urban Futures, Inc. will conduct a preliminary blight analysis (block level detail, or smaller scale whichever is determined appropriate by UFI) to determine those areas of the Study Area that exhibit characteristics of blight as defined by the California Community Redevelopment Law ([CCRL) Health and Safety Code Section 33000, et seq.). Discussion of the analysis will include the following: ♦ Methodology used to determine evidence of blight ♦ Physical and economic blight as defined by law ♦ Additional blighting conditions permissible under law ♦ Portions of the Study Area found to be appropriate for inclusion within a redevelopment project area based upon UFI's blight assessment 6/1198L:1PROR151SLO-FEns(2).wrc 1 3. Preliminary Urbanization Analysis Urban Futures, Inc. will prepare a preliminary urbanization analysis of those portions of the Study Area deemed appropriate for inclusion within a Project Area based upon conditions of blight as described in Task No. 2 above, to identify, in accordance with CCRL Section 33320.1(b), the areas that are "predominately urbanized." This analysis will: i) indicate the appropriate amount of undeveloped land that can be legally included within a Project Area, and ii) indicate how much undeveloped land can be legally included within a project area because it is an "integral part" of an urban area. 4. Redevelopment Programs 00 ort o y Analysis Urban Futures, Inc. will prepare a Redevelopment Programs Opportunity Analysis that will consider the following: • Limitations on Agency assistance to certain sales tax generators ♦ Relationship to general plan goals and policies and/or other master plan(s), and pertinent economic development strategy(s) or plan(s) • Discussion of key Agency projects and programs, including the Agency's ability to promote development/redevelopment of commercial, industrial, housing, historic preservation and public facilities; and its ability to acquire and dispose of property, and prepare and respond to major development proposals. Special attention will be given to assistance that a redevelopment agency could provide to existing regional retail/commercial facilities that are currently performing at less than optimal levels, have high vacancy rates and that are impacted by outdated and inefficient designs. 5. al Based upon analyses conducted in the first three components of the work program, UFI will identify those portions of the Study Area that qualify for inclusion within a redevelopment Project Area. 6. Preliminary Financial F asihilit ml sic Urban Futures, Inc. will prepare a preliminary financial feasibility analysis for the hypothetical Project Area that will include discussions on the methods of financing available to redevelopment agencies and the types and timing of major projects that could be funded. We will give special attention to the program requirements of the CCRL. We will prepare tax increment projection spread sheets based upon historical assessed valuation growth rates for the hypothetical Project Area. These projections will account for tax increment payments required to be made to affected taxing entities (pursuant to CCRL Sections 33607.5 ), optional tax increment payments that may be made to the City of San Luis Obispo (pursuant to CCRL Section 33607.5(b)), housing set-aside contributions and the balance available for general redevelopment purposes. 6/1/99-C:M2R0M1 S%SL0-Fens(2).wro 2 ��O 17 7. Preliminary Program Feacihili x Ana4mic The preliminary program feasibility analysis will review the benefits and constraints affecting the implementation of a redevelopment plan in the post-AB 1290 era. Among other issues, the analysis will consider the historical perspective on positions taken by affected taxing agencies with respect to redevelopment plans proposed for adoption within their respective jurisdictions. 8. Project Adoption one of Work Eijdaet and S had uI We will provide a scope of work, budget and schedule with respect to the ultimate adoption of a new or amended redevelopment plan. S. Special Circ-umctnn Pc We will determine whether or not there are any special circumstances (e.g., inclusion of agricultural land, existence of unique agreements with the County or other taxing entities [sales tax, annexation, etc.], existence of areas demonstrating unique development/redevelopment potential, potential for inclusion of County land within a City redevelopment project area, impact of the CEQA process and other environmental concerns, etc.) that would affect the redevelopment plan adoption process. If unique circumstances exist UFI will make recommendations) to the Agency as to how the plan adoption/implementation processes might be structured to either maximize unique, positive agency opportunities or to mitigate potential adverse impacts to the City's redevelopment efforts. 10. Draft Report Urban Futures, Inc. will submit the draft Study to City staff for review and comment. 11. Final Report Urban Futures, Inc. will revise the draft Study as directed by staff. Subsequently, we will submit the final Study to the City. 12. City Presentation Urban Futures, Inc., will conduct three (3) workshops/meetings, two of which will be scheduled for the same day. Two of these workshops/meetings will be held to provide and receive input on the redevelopment process from interested citizens and community groups. The third workshop will be held to present the results of the Study to the City Council (because the City's Planning Commission will play a role in the Redevelopment Plan adoption process, we recommend that the Planning Commission be invited to hear this presentation). Urban Futures, Inc. prides itself on the close and personal working relationships it establishes with its clients. As such, UFI will conduct each step of the Study in close concert with City staff. Urban Futures, Inc. will carry out the Study in full accord with the current CCRL, and present its findings in final form in appropriate and clearly understandable text, photographs, maps, tables, and graphics. 611/98-C:TROM151SLO-FFAS M.wvo 3 Go-8 s III RE �_kali:=l°?'ESi_c c71 4..y :'� -• - • -,. .� I �/�■ •p r ���� Me rliiilt%I� I'1-III:III NN 1) 111111111.rn1111111 •Q I l a�Jlal\-1111 'L.rl.a_•IIIIII ■■ n` �[��1 I■_ rrnr I �� ••'"• II n _ IUB 4 .`� �.I_9�19l��II�`Il�ulgi�L -'\_ .�i��' �//_I_nn'n�l Ilf'•�I/�211il�iln�rl`u_,-��w♦, r 1 • . olll llll••nnnllll �' a 1 ` I�III II�■Jr 1111 1■� 1. i—I ���� -.1 - -•-. • �rnuu■unllll� ( iruu•- �� ITL II�IrI1Ul\III 171: �1)Ai �S � i 1� �.\ r!�.uui m 'I Imunur nlr� • ,� rr 111111■I - 1 r� -ml I1ur fli 1�,� "� r 1 _ __ • _'rur`\iiui ur,- prnl r • II■-T_ III �■ d1 11 nn ♦ . ..',-L= 1 J !�lnuunur �lii 1 �•Ir`li �•� •p�•Q VAS■�Ar' �IIOd: � uililii uw I -IL- ��_ 1 �.J 1111 �� ! �� a:& . 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I\�i.. 1 L Irun.uuuuunu+�,n�umnuuioioll �L \112_ 1� I � oil igg IN i MOE ji,��Lilll f/ �liA•rte y�1r__—r�y� 11J IIIAIIIIpI y r`� �•4♦Ate•I r � \ u I U�•I II � N.111111`� ` ,,,/� ���i, '•`•.���I II ;- +.���il riO.i•��� �II r.r\O \ ��+i� � .�i•I� b '-? �%.:f:• lunn�annum°°w�o �/<- ��� �1 •i LI' � . � �I'r. ��- 111,11111,IIIIIIP 111111 / . ••,�•�111 1111 t� ��" I•uuuuu until n Q ♦ ,•. -Ir �11 • - 111111111111 ' . II�ITunm:�:mannllnmm�u*� II .. �/p••"•• r � ����. -- pulq � wv .♦ \\ �• I I,\♦\fir I•••• ���•I • �.Il t J. rr Mn[I -�`4ME •,'�_� �tiJr�. is � 'I`x - ati I��j `� -p'.: 1111 no".` �\v y ,r\ <... ♦� `♦• � ` ' _ ,1 f � a ,rl • • =0 - PROJECT FEE. Urban Futures, Inc. proposes to provide these services to the Agency for a fixed, professional services fee of $20,000. Our fee includes all staff and incidental costs associated with the above noted work program, including one (1) camera ready original and twenty (20) copies of the final report, as well as computer files on disk, as applicable, compatible to the City's existing software, if possible. We will bill the City monthly, in arrears, for actual services rendered. In the event the City requests additional work, such work shall be billed to the City in accordance with UFI's standard fee schedule (see appendix). If the City elects to execute the Plan adoption process, LIN will credit the $20,000 fee for the Study against the plan adoption work. UFI will complete the scope of work within eight weeks from receipt of the City's notice to proceed. PROJECT TEAM As our firm's resume will confirm (see appendix), UFI is a multi-discipline, consulting firm serving local government clients throughout California for over 25 years. We specialize in two core areas: redevelopment planning and implementation and,public finance and bond administration. Throughout the San Luis Obispo engagement, UFI will commit its most senior staff, including Marshall Linn, Jon Huffman,'Richard Tillberg, Steve Harding and Doug Anderson. As our individual resumes will confirm (see appendix), our senior staff has nearly 100 years of'hands-on City, Redevelopment-Agency and public finance experience. Our practical experience has prepared us well to assist the.Agency in evaluating its redevelopment program potential. 'In addition, the scope of our practice is such that we are able to provide all!of the services required by this engagement on an "in-house" basis, and we do not require any sub-consultants. This approach has significantly contributed to our cost effectiveness. 6/1/98-CAPR0P\151SL0-FEAs(2).W Pp 4 �-9 Exhibit 8:Contract Perrornance Terms Page B-2 12. Payment Terms. The City's payment terms are 30 days from the receipt of an original invoice and acceptance by the City of the services provided by Consultant(Net 30). ' 13. Inspection. Consultant shallfirnish City with every reasonable opportunity for City to ascertain that the services of Consultant are being performed in accordance with the requirements and intentions of this contract. All work done and all materials famished, if any, shall be subject to the City's inspection and approval. The inspection of such work shall not relieve Consultant of any of its obligations to fulfill its contract requirements. 14. Audit. The City shall have the option of inspecting and/or auditing all records and other written materials used by Consultant in preparing its invoices to City as a condition precedent to any payment to Consultant. 15. Interests of Consultant. Consultant covenants that it presently has no interest, and shall not acquire any interest direct or indirect or otherwise,which would conflict in any manner or degree with the performance of the work hereunder. Consultant further covenants that, in the performance of this work,no sub-contractor or person having such an interest shall be employed. Consultant certifies that no one who has or will have any financial interest in performing this work is an officer or employee of the City. It is hereby expressly agreed that, in the performance of the work hereunder,Consultant shall at all times be deemed an independent contractor and not an agent or employee of the City. 16. Hold Harmless and Indemnification. Consultant agrees to defend, indemnify,protect and hold the City and its agents, officers and employees harmless from and against any and all claims asserted or liability established for damages or injuries to any person or property, including injury to Consultant's employees, agents or officers which arise from or are connected with or are caused or claimed to be caused by the acts or omissions of Consultant,and its agents,officers or employees, in performing the work or services herein, and all expenses of investigating and defending against same; provided, however, that Consultant's duty to indemnify and hold harmless shall not include any claims or liability arising from the established sole negligence or willful misconduct of the City,its agents,officers or employees. 17. Contract Assignment. Consultant shall not assign, transfer, convey or otherwise dispose of the contract, or its right, title or interest, or its power to execute such a contract to any individual or business entity of any kind without the previous written consent of the City. 18. Termination. If, during the term of the contract, the City determines that Consultant is not faithfully abiding by any term or condition contained herein, the City may notify Consultant in writing of such defect or failure to perform; which notice must give Consultant a 10 (ten) calendar day notice of time thereafter in which to perform said work or cure the deficiency. If Consultant has not performed the work or cured the deficiency within the ten days specified in the notice, such shall constitute a breach of the contract and the City may terminate the contract immediately by written notice to Consultant to said effect. Thereafter, neither party shall have any further duties,obligations,responsibilities, or rights under the contract. In said event, Consultant shall be entitled to the reasonable value of its services performed from the beginning date in which the breach occurs up to the day it received the City's Notice of Termination, minus any offset from such payment representing the City's damages from such breach. "Reasonable value" includes fees or charges for goods or services as of the last milestone or task satisfactorily delivered or completed by Consultant as may be set forth in the Agreement payment schedule; compensation for any other work, services or goods performed or d/O/� Exhibit B CONTRACT PERFORMANCE.TERMS 1. Business Tax. Consultant must have a valid City of San Luis Obispo business tax certificate prior to execution of the contract. Additional information regarding the City's business tax program may be obtained by calling(805) 781-7134. 2. Ability to Perform. Consultant warrants that it possesses, or has arranged through subcontracts, all capital and other equipment, labor, materials, and licenses necessary to cant' out and complete the work hereunder in compliance with any and all federal, state, county, city, and special district laws,ordinances,and regulations. 3. Laws to be Observed. Consultant shall keep itself fully informed of and shall observe and comply with all applicable state and federal laws and county and City of San Luis Obispo ordinances,regulations and adopted codes during its performance of the work. 4. Payment of Taxes. The contract prices shall include full compensation for all taxes which Consultant is required to pay. 5. Permits and Licenses. Consultant shall procure all permits and licenses, pay all charges and fees,and give all notices necessary. 6. Safety Provisions. Consultant shall conform to the rules and regulations pertaining to safety established by OSHA and the California Division of Industrial Safety. 7. Public and Employee Safety. Whenever Consultant's operations create a condition hazardous to the public or City employees, it shall, at its expense and without cost to the City, famish, erect and maintain such fences,temporary railings,barricades, lights, signs and other devices and take such other protective measures as are necessary to prevent accidents or damage or injury to the public and employees. 8. Preservation of City Property. Consultant shall provide and install suitable safeguards, approved by the City, to protect City property from injury or damage. If City property is injured or damaged as a result of Consultant's operations, it shall be replaced or restored at Consultant's expense. The facilities shall be replaced or restored to a condition as good as when the Consultant began work. 9. Immigration Act of 1986. Consultant warrants on behalf of itself and all sub-contractors engaged for the performance of this work that only persons authorized to work in the United States pursuant to the Immigration Reform and Control Act of 1986 and other applicable laws shall be employed in the performance of the work hereunder. 10. Consultant Non-Discrimination. In the performance of this work, Consultant agrees that it will not engage in,nor permit such sub- contractors as it may employ, to engage in discrimination in employment of persons because of age, race, color, sex, national origin or ancestry, sexual orientation,or religion of such persons. 11. Work Delays. Should Consultant be obstructed or delayed in the work required to be done hereunder by changes in the work or by any default, act, or omission of the City, or by strikes, fire, earthquake, or any other Act of God, or by the inability to obtain materials, equipment, or labor due to federal government restrictions arising out of defense or war programs, then the time of completion may, at the City's sole option,be extended for such periods as may be agreed upon by the City and the Consultant e�o�/ EXHIBIT B Exhibit B:Contract Performance Terms Page B-3 23. Insurance. Consultant shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by Consultant, its agents, representatives,employees,or sub-contractors. a. Minimum scope of insurance. Coverage shall be at least as broad as: • Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). • Insurance Services Office form number CA 0001 (Ed. 1/87) covering Automobile Liability,code 1 (any auto). • Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. • Errors and Omissions Liability insurance as appropriate to Consultant's profession. b. Minimum limits of insurance. Consultant shall maintain limits no less than: • General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. • Automobile Liability: $1,000,000 per accident for bodily injury and property damage. • Employer's Liability: $1,000,000 per accident for bodily injury or disease. • Errors and Omissions Liability: $500,000 per occurrence. C. Deductibles and self-insured retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, officials, employees and volunteers; or Consultant shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses. d. Other insurance provisions. The general liability and automobile liability policies are to contain,or be endorsed to contain,the following provisions: • The City, its officers, officials, employees, agents and volunteers are to be covered as insureds as respects: liability arising out of activities performed by or on behalf of Consultant; products and completed operations of Consultant premises owned, occupied or used by Consultant; or automobiles owned, leased, hired or borrowed by Consultant. The coverage shall contain no special limitations on the scope of protection afforded to the City, its officers, official, employees,agents or volunteers. • For any claims related to this project, Consultant's insurance coverage shall be primary insurance as respects the City, its officers, officials, employees, agents and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, agents or volunteers shall be excess of Consultant's insurance and shall not contribute with it. Exhibit B:Contract Performance Terms Page 63 provided by Consultant shall be based solely on the City's assessment of the value of the work- in-progress in completing the overall workscope. The City reserves the right to delay any such payment until completion or confirmed abandonment of the project, as may be determined in the City's sole discretion, so as to permit a full and complete accounting of costs. In no event, however, shall Consultant be entitled to receive in excess of the compensation quoted in its proposal. 19. Ownership of Materials. All original drawings, plan documents and other materials prepared by or in possession of Consultant as part of the work or services under these specifications shall become the permanent property of the City,and shall be delivered to the City upon demand. 20. Release of Reports and Information. Any reports, information, data, or other material given to, prepared by or assembled by Consultant as part of the work or services under these specifications shall be the property of City, and shall not be made available to any individual or organization by Consultant without the prior written approval of the City. 21. Copies of Reports and Information. If the City requests additional copies of reports, drawings, specifications, or any other material in addition to what Consultant is required to furnish in limited quantities as part of the work or services under these specifications, Consultant shall provide such additional copies as are requested, and City shall compensate Consultant for the costs of duplicating of such copies at the Consultant's direct expense. 22. Required Deliverable Products. Consultant will provide: a. Twenty copies of the final report which addresses all elements of the workscope. Any documents or materials provided by Consultant will be reviewed by City staff and, where necessary, Consultant will respond to staff comments and make such changes as deemed appropriate. b. One camera-ready original, unbound, each page printed on only one side, including any original graphics in place and scaled to size,ready for reproduction. C. When computers have been used to produce materials submitted to the City as a part of the workscope, Consultant must provide the corresponding computer files to the City, compatible with the following programs whenever possible: • Word Processing Word • Spreadsheets Excel • Desktop Publishing Coreldraw,Pagemaker • Computer Aided Drafting(CAD) AutoCad Computer files must be on 3'/2", high-density, write-protected diskettes, formatted for use on IBM-compatible systems. Each diskette must be clearly labeled and have a printed copy of the directory. ��SCJ Exhibit B:Contract Performance Terms Page BS • Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to the City, its officers,officials,employees,agents or volunteers. • Consultant's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. • Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail,return receipt requested,has been given to the City. e. Acceptability of insurers. Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII. f. Verification of coverage. Consultant shall furnish the City with a certificate of insurance showing maintenance of the required insurance coverage. Original endorsements effecting general liability and automobile liability coverage required by this clause must also be provided. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements are to be received and approved by the City before work commences.