HomeMy WebLinkAbout1994-08-23 - AGENDA REPORTS - GRC COPENHAVER CONTRACTAGENDA REPORT
CONSENT CALENDAR
Approval:
Item to be pr,Ented by:
Donald R. Duckworth VW
DATE: August 23, 1994
SUBJECT: Contract with GRC-Copenhaver, Inc, for Technical Redevelopment
Services
DEPARTMENT: Community Recovery Agency
BACKGROUND
The need for technical redevelopment guidance and analysis as well as financial analysis in
support of the Recovery Agency has grown and should be formalized in a contract with GRC-
Copenhaver, Inc..
In April, 1994, shortly after formation of the Recovery Agency, Mr. Jim Regan was selected
to provide tax increment projections at various growth rates, an analysis of Castaic Lake Water
Agency (CLWA) financial operations and financial statements, an analysis of CLWA
Certificates of Participation, and to report to the City Council on his findings. Although Mr.
Regan has previously performed professional services for the City, this assignment was
undertaken as an associate of GRC-Copenhaver, Inc..
Subsequently, Mr. Steve Copenhaver of that firm has provided the City with technical support
in responding to the CLWA legal challenge to Recovery Agency formation. He has also
assisted staff in evaluating the County's "328 Report," the implications of various growth rates,
optional bond financing alternatives, as well as assisting with the on -going public
participation process.
To date the City has paid $11,698.82 for the above described services.
At this time the City's requirement of such technical redevelopment assistance appears to be
continuing. Currently the firm has been asked to assist in evaluating the CLWA lawsuit
settlement proposal. It is also clear that the firm's experience in implementing post AB1290
taxing agency pass through details will be helpful at the conclusion of that legal action.
The adopted Budget anticipated the need for general professional services of this nature and
allocated monies for that purpose. Prof essionalVEOW
services provided to the Community Recov{ ery
Ar-'�ED A1r�. 'T: it��:
Contract with GRC-Copenhaver, Inc.
August 23, 1994
Page 2
Agency by GRC-Copenhaver, Inc. will be at or below the hourly rate of $115, and will not
exceed a total of thirty -thousand dollars ($30,000.00).
RECOMMENDATION
It is recommended that the Redevelopment Agency Board authorize the Executive
Director/City Manager to execute a contract, upon approval of City Attorney, with
GRC-Copenhaver, Inc. which provides for technical redevelopment consulting services on an
as -needed hourly basis.
ATTACHMENT
Agreement for Redevelopment Consulting Services between the Santa Clarita Redevelopment
Agency and GRC-Copenhaver, Inc..
DRD:11
m.0 c.v\a,082394.1
AGREEMENT FOR
REDEVELOPMENT CONSULTING SERVICES
between the
SANTA CLARITA REDEVELOPMENT AGENCY
and
GRC-COPENHAVER, INC.
THIS AGREEMENT is made and entered into this day of 1994, by
and between the Santa Clarita Redevelopment Agency (hereinafter called "Agency"), and
GRC-Copenhaver, Inc., a California professional corporation (hereinafter called "Consultant').
RECITALS
WHEREAS, Agency desires to undertake activities necessary to implement the plans of the
Santa Clarita Community Recovery Program, which services require a level of staff support
presently unavailable to Agency; and
WHEREAS, Consultant represents that it is qualified to perform the services contained, it is
mutually agreed between the parties as follows:
NOW, THEREFORE, and in consideration of mutual covenants hereinafter contained, it is
mutually agreed between the parties as follows:
COVENANTS
ARTICLE I. SCOPE OF SERVICES
Consultant shall perform professional services as are directed by the authorized Agency
representatives, including, but not limited, to the following categories:
1. Cash flow analysis, revenue projections, budget, and capital program preparation,
2. Identification of development projects, sites, and developers.
3. Project proforma analysis, cost/benefit analysis, profitability determination, and market
analysis of proposed development.
4. Financial method.
5. Agreement negotiation assistance.
6. Project Area boundary analysis.
7. Agreement preparation.
S. Staff Reports, "433" reports, AB1290 reports, and other annual reports required by the
State and County.
9. Housing compliance plans, strategy, and finance programs.
10. Implementation programs.
11. Property acquisition, relocation, and project management.
ARTICLE II. AMENDMENTS TO SCOPE OF SERVICES
Agency may request changes in the Scope of Services to be performed hereunder. Such
changes, including any increase or decrease in the rate of Consultant's compensation, shall
be mutually agreed upon by and between Agency and Consultant and shall be incorporated
in written amendments to this Agreement.
ARTICLE III. WORK ORDERS
Consultant agrees that work will be performed under the direction of the authorized Agency
representatives and in accordance with Agency Work Orders detailing the specific services to
be performed by Consultant and the approved budget for such work.
ARTICLE IV. CONSULTANT'S COMPENSATION AND METHOD OF PAYMENT
For services provided pursuant to Article I, Sections A, B, C, and D of this Agreement,
Consultant shall be compensated at the following hourly rates, payable within thirty (30) days
following receipt of Consultant's invoice:
Principals $115.00 per hour
Senior Associates $85.00 per hour
Associates $60.00 per hour
Graphics Specialists $45.00 per hour
Secretarial/Clerical $40.00 per hour
Invoices will describe services provided and the time required for each service. Sum total of
all Consultant's invoices shall not exceed thirty -thousand dollars ($30,000.00). Hourly rates
indicated above also pertain to and include monies relating to travel expenses. Travel -related
costs shall not be billed to Agency as part of this agreemenL
ARTICLE V. TIME OF PERFORMANCE
Consultant agrees that it will diligently and responsibly pursue the performance of the
services required of him by this Agreement and Work Orders prepared pursuant to this
Agreement. If a delay beyond the control of Consultant is encountered, a time extension
mutually agreed upon in writing by Agency and Consultant may be granted. Consultant shall
present documentation satisfactory to Agency to substantiate any request for a time extension.
ARTICLE VI. COOPERATION BY AGENCY
All information, data, reports, records, and maps as are existing, available and necessary for
carrying out the work as outlined in the Scope of Services shall be furnished to Consultant
without charge by Agency. Agency shall cooperate with Consultant in every way possible to
facilitate, without undue delay, the work to be performed under this Agreement and Work
Orders prepared pursuant to this Agreement.
ARTICLE VII. DESIGNATED REPRESENTATIVES
The following individuals are hereby designated as representatives of Agency and Consultant
respectively to act as liaison between the parties:
Redevelopment Agency:
Donald R. Duckworth - Community Recovery Agency
Consultant
Stephen A. Copenhaver - President
Any change in designated representatives shall be promptly reported to the other party in
order to ensure proper coordination of the project.
ARTICLE VIII. STANDARDS OF PERFORMANCE
Consultant shall comply with all applicable laws, ordinances, and codes of the federal, state,
and local governments while performing the services described herein in a good, skillful, and
professional manner.
ARTICLE IX. OWNERSHIP OF DOCUMENTS
All reports, files, and other material prepared under this Agreement shall be and remain the
property of the Agency,
ARTICLE X. LEGAL REVIEWS
All legal reviews of documents prepared by Consultant are the responsibility of the Agency.
ARTICLE XI. AUTHORITY OF CONSULTANT
Consultant shall be an independent contractor and shall not incur or have the power to incur
any debt, obligation, or liability whatsoever against Agency.
Consultant shall, as required, represent the Agency as its agent in contracts, solicitations, and
negotiations concerning the implementation of the Santa Clarita Recovery Program, but
Consultant shall be without authority to bind Agency in any way with respect to terms,
conditions, sale prices, times of performance, or any other matter related to Agency's legal
liability or performance with respect to the implementation of the Santa Clarita Recovery
Program.
ARTICLE XII. TERMINATION
Either party may terminate this Agreement upon thirty (30) days' written notice to the other.
In the event of such termination, Consultant shall be compensated for all services performed
and expenses incurred to the date of notice of termination as described in a written report to
Agency prepared by Consultant, less any amounts previously paid by Agency.
ARTICLE XIII. NOTICES
Notice by Agency to Consultant shall be deemed delivered if sent by certified mail, return
receipt requested to GRC-Copenhaver, Inc.,1340 Valley Vista Drive, Suite 120, Diamond Bar,
California 91765. Notice by Consultant to Agency shall be deemed delivered if sent by
certified mail, return receipt requested to the Community Recovery Agency, Santa Clarita
Redevelopment Agency, 23920 Valencia Boulevard, Suite 300, Santa Clarita, California 91355.
ARTICLE XIV. CONFLICT OF INTEREST
Consultant represents and agrees that Consultant has not employed any person to solicit or
procure this Agreement, and has not made, and will not make, any payment of any agreement
for the payment of any commission, percentage, brokerage, contingent fees, or other
compensation in connection with the procurement of this Agreement. Consultant further
represents and agrees that he has not now, and will not, acquire any interest, direct or
indirect, present or prospective, in any of the property acquired by Agency, during the term
of this Agreement. Consultant further represents that it has not employed, and will not
employ in connection with work to be performed hereunder, any person having an interest,
direct or indirect, in any of the property acquired by Agency during the term of this
Agreement and Consultant will notify Agency of and will not work on any projects which
may represent or appear to represent a conflict of interest with any other municipal client of
Consultant.
ARTICLE XV. INSURANCE REQUIREMENTS
Consultant shall obtain and maintain during the life of this Agreement automobile liability,
including owned, hired, and non -owned vehicles, except as may be stricken out by Agency.
Endorsement shall be obtained for the policies providing the above insurance for the
following provisions:
1. Additional Insureds
"The Santa Clarita Redevelopment Agency, Santa Clarita, California, its elected
and appointed boards, officers, agents, and employees are additional insureds
with respect to this subject project and contract with Agency."
2. Notice
"Said policy shall not terminate, nor shall it be canceled, nor the coverage
reduced, until thirty (30) days after written notice is given to Agency."
3. Limits
The policy limits shall have minimum coverage per occurrence as follows:
$100,000 - Property Damage;
$250,000 - Injury to One Person/Any Once Occurrence; and
$500,000 - Injury to More Than One Person/Any One Occurrence
In addition to the insurance coverage in the paragraphs above, Consultant shall obtain and
maintain, during the life of this Agreement, Workers' Compensation Insurance in statutory
amount. All of the endorsements which are required above shall be obtained for the policy
of Workers' Compensation Insurance. Consultant shall provide to Agency certificates of
insurance showing the insurance coverage described in the paragraphs above, in a form and
content approved by Agency, prior to beginning work under this Agreement.
ARTICLE XVI. INDEMNIFICATION CLAUSE
Neither party hereto shall be liable for any damages proximately resulting from the negligent
or wrongful actions or omissions of the other parties, employees, agents, or contractors
performing under this Agreement, and each party shall indemnify, defend, and save harmless
the other party from such damages or liability.
ARTICLE XVII. ENTIRE AGREEMENT
This Agreement shall constitute the entire Agreement between the parties. Any amendments
to or clarification necessary to this Agreement shall be in writing and acknowledged by both
parties to the Agreement.
ARTICLE XVIIL MISCELLANEOUS
A. Attorneys Fees
If either party to this Agreement is required to initiate or defend or is made a
party to any action or proceeding in any way connected with this Agreement,
the prevailing party in such action or proceeding, in addition to any other relief
which may be granted, whether legal or equitable, shall be entitled to
reasonable attorneys' fees. Attorneys' fees shall include attomeys' fees on any
appeal, and in addition, the party entitled to attorneys' fees shall be entitled to
all other reasonable costs for investigating such action, taking depositions and
discovery and all necessary costs the Court allows in such litigation. All such
fees shall be deemed to have accrued on commencement of such action and
shall be enforceable whether or not such action is prosecuted to judgment.
B. Staff
Consultant agrees that each task as outlined in the work program shall be
staffed by members of Consultant's team who are qualified and have the
necessary experience to competently perform the task in a manner satisfactory
to Agency.
C. Subcontracts
Consultant shall not employ subcontractors to perform the tasks required in the
work program without written approval of Agency.
D. Non -Liability of AgencV and City Officers and Employees
No officer or employee of Agency or City shall be personally liable to the
5
Consultant, or any successor in interest, in the event of any default or breach
by Agency or the City for any amount which may become due to Consultant
or its successor, or for breach of any obligation of the terms of this Agreement.
E. California Law
This Agreement shall be construed and interpreted both as to validity and to
performance under the laws of the State of California. Any and all legal
actions concerning any dispute, claim, or matter arising out of or in relation to
this Agreement shall be instituted in the Superior Court of the County of Los
Angeles, State of California, or any appropriate Court in such County.
Consultant covenants and agrees to submit to the personal jurisdiction of such
Court in the event of such action.
IN WITNESS WHEREOF, Consultant and Agency have signed this Agreement on the date set
forth hereinabove.
Attest:
Agency Secretary
Date
Approved as to form
City Attorney
comre<ov\mntactgrc
City of Santa Clarita
Executive Director
GRC-COPENHAVER, INC.
UN
Stephen A. Copenhaver, President
6
CASTAIC LAKE WATER AGENCY
DIRECTORS
May f7. Spring
E. G. "Jerry" Glodboch (805)
W. J, Maneito
Jim Gates
Stephen J. Mclean.
Donald R. Froelich
Dean D Elstathiou
William Cooper
Richard Green
Robert J. DiPrimio
Donald Hayes
August 23, 1994
A Public Agency Established 1962
32700 N. Lake Hughes Rd,
P.O.. Box 368
Castaic, CA 91310
257-6024 Fax 051257-6146
I l (GENERAL MANAGER
(g I Robert C Sagehorn
ht. I ATTORNEY
PART 01 .'� ;'`r Robert H. Clark.
Linda J. Fleming
ITEM N0. 2 - k"
Mayor George Pederson and Members of the City Council
City of Santa Clarita
23920 West Valencia Blvd.
Santa Clarita, CA 91355
Dear Mayor Pederson and City Council Members:
This letter should clarify for you the intent of the Castaic Lake
Water Agency (CLWA) suggested solution to the Community
Redevelopment/Recovery Agency (CRA) issue. The CLWA presentation
to the Mayor and Councilman Smyth was not a formal proposal, but a
concept for addressing both earthquake relief and economic
revitalization. It reflects the needs of the CLWA, as well as
other agencies, and the feelings of other community groups. It
reflects serious, deliberate study, analysis and discussion.
Whereas the CLWA has no desire to dictate to the City actual
boundaries or projects, we have provided a map with a boundary
marked in yellow that is one possible scenario for the economic
revitalization portion of the CRA. We have also provided financial
documentation to substantiate the figures projected under this
scenario.
This suggestion has two major components:
1. Reduction of the CRA in geographic size to an area of
$1.325 billion assessed value which based upon an assumed
8% future growth would yield a revenue to the CRA of $770
million over the 30 year life of the CRA.
$570 million in revenue is generated from the $961
million assessed value within the yellow mapped area
for economic redevelopment
$200 million in revenue is generated through a $364
million assessed value addition to the yellow mapped
area for earthquake relief. (this area not shown on
the map)
Mayor George Pederson and Members of the City Council
August 23, 1994
Page 2 of 2
2. A Loss Mitigation Plan that would lessen the financial
impact on the CLWA to $21 million over the 30 year life
of the CRA. Future tax increment income received by CLWA
is pledged to water infrastructure projects that will be
needed to respond to the City's General Plan. $21
million is the limit on loss the CLWA can sustain over
thirty years and still meet infrastructure needs.
This loss mitigation plan is similar to the plan proposed
by the City several months ago.
There are strong advantages to this proposal.
1. Limiting the CRA to a reasonable, manageable geographic
area makes it easier to plan, design and implement the
CRA.
2. City determines actual geographic boundaries for
revitalization and recovery assistance and earthquake
relief.
3. Areas of greatest need are addressed.
4. Reduces loss to CLWA, and other agencies such as fire,
sanitation, libraries, schools, etc.
5. Provides development that will:
Increase sales and property taxes;
Improve our business districts;
Provide housing and jobs;
Have a positive impact on tourism;
Enhance the entire community;
This solution concept is a basis for all concerned groups to come
together with the City to develop a plan that meets current needs,
has the least long-range impact on the community, and provides the
intended benefits of true community redevelopment.
Sincerely,
MaryAstiT
President, Board of Directors