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CBM Consulting Inc (2009) ON-CALL PROFESSIONAL/TECHNICAL SERVICES AGREEMENT This Agreement is made and entered into this 16th day of June, 2009 by and between the City of Rancho Palos Verdes(hereinafter referred to as the"CITY")and CBM Consulting, Inc., a wholly-owned subsidiary of KOA Corporations, a California Corporation (hereafter referred to as "CONSULTANT"). WHEREAS, the CITY needs to have contracts with entities who routinely provide certain professional services to the CITY so that these entities can be contacted on short notice to address urgent issues; and WHEREAS, the CITY routinely uses CONSULTANT's professional services and the CITY is generally satisfied with these services; and WHEREAS, the CITY and CONSULTANT would now like to have an on-call professional services contract with each other such that the CITY may contact CONSULTANT on short notice to address urgent issues within the scope of this Agreement. IN CONSIDERATION of the covenants hereinafter set forth, the parties hereto mutually agree as follows: ARTICLE 1 SCOPE OF SERVICES 1.1 Project Description The Project is described as on-call services as follows: Civil Engineering, Project Management, Construction Management & Observation, Federal Compliance Work 1.2 Description of Services CONSULTANT shall perform on-call professional services, as described in CONSULTANT's Proposal and Schedule of Hourly Rates, attached hereto as Exhibit "A" and incorporated herein by this reference. Each service shall be authorized in writing by the CITY and shall include an estimate of the applicable cost of the work. 1.3 Schedule of Work Upon receipt of written Notice to Proceed from the CITY, CONSULTANT shall perform with due diligence the services requested by the CITY and agreed on by CONSULTANT. Time is of the essence in this Agreement. CONSULTANT shall not be 1 responsible for delay, nor shall CONSULTANT be responsible for damages or be in default or deemed to be in default by reason of strikes, lockouts, accidents, or acts of God, or the failure of CITY to furnish timely information or to approve or disapprove CONSULTANT's work promptly, or delay or faulty performance by CITY, other consultants/contractors, or governmental agencies, or any other delays beyond CONSULTANT's control or without CONSULTANT's fault. ARTICLE 2 COMPENSATION 2.1 Fee (a) CITY agrees to compensate CONSULTANT an amount not to exceed sixty thousand dollars ($60,000) per fiscal year for services as described in Article 1, and not to exceed twenty-five thousand dollars($25,000)for a single service. On-call services which are reimbursed by a trust deposit shall not count towards the maximum amounts. CONSULTANT shall be paid for such services in accordance with CONSULTANT's Proposal and Schedule of Hourly Rates attached hereto as Exhibit"A." The hourly rates in Exhibit "A" shall be in effect through the end of this Agreement. (b) CITY may request additional specified work under this Agreement. All such work must be authorized in writing by the Director of Public Works prior to commencement. CONSULTANT shall be paid for such additional services in accordance with CONSULTANT's Proposal and Schedule of Hourly Rates, attached hereto as Exhibit "A." 2.2 Payment Address All payments due CONSULTANT shall be paid to: Vendor CBM Consulting Inc. Address 17601 S. Denver Avenue City & State, Zip Gardena, CA 90248 2.3 Terms of Compensation CONSULTANT will submit invoices monthly for the work completed in the previous month. CITY agrees to authorize payment for all undisputed invoice amounts within thirty(30)days of receipt of the invoice. CITY agrees to use its best efforts to notify CONSULTANT of any disputed invoice within ten (10)days of the receipt of each invoice. However, CITY's failure to timely notify CONSULTANT of a disputed amount shall not be deemed a waiver of CITY's right to challenge such amount. Additionally, in the event CITY fails to pay any undisputed amounts due CONSULTANT within forty-five (45) days after invoices are received by CITY, then CITY agrees that CONSULTANT shall have the right to consider said default a total breach of 2 this Agreement and be terminated by CONSULTANT without liability to CONSULTANT upon ten (10) working days advance written notice. 2.4 Term of Agreement This Agreement shall commence on the date and year first written above and shall terminate exactly three (3) years after that date, unless renewed in writing. ARTICLE 3 INDEMNIFICATION AND INSURANCE 3.1 Indemnification CONSULTANT will defend, indemnify and hold harmless CITY and its officials, officers, employees, agents and volunteers free and harmless from all tort liability, including liability for claims, suits, actions, expenses or costs of any kind, whether actual, alleged or threatened, actual attorneys' fees, experts' fees, or court costs incurred by the CITY, arising out of or in any way connected with, in whole or in part, the acts or omissions or willful misconduct of CONSULTANT or any of CONSULTANT's officers, agents, employees or contractors in the performance of this Agreement. This includes but is not limited to claims, suits and liabilities for bodily injury, death or property damage to any individual or entity, including officers, agents, employees or contractors of the CONSULTANT. The provisions of this paragraph shall not apply to claims to the extent arising out of the sole negligence or willful misconduct of the CITY and its officials, officers, employees, agents and volunteers. In addition to the foregoing, CONSULTANT shall indemnify, defend and hold free and harmless the CITY and the CITY's officials, officers, employees, agents and volunteers from and against any and all losses, liabilities, damages, costs and expenses, including reasonable attorneys' fees, experts' fees, and costs to the extent the same are caused by negligence or willful misconduct of the CONSULTANT, or any of the CONSULTANT's officials, officers, agents, employees or volunteers, in the performance of professional services pursuant to this Agreement. 3.2 General Liability CONSULTANT shall at all times during the term of the Agreement carry, maintain, and keep in full force and effect, a policy or policies of Commercial General Liability Insurance, with minimum limits of one million dollars ($1,000,000) for each occurrence and two million dollars($2,000,000)general aggregate for bodily injury, death, loss or property damage for products or completed operations and any and all other activities undertaken by CONSULTANT in the performance of this Agreement. Said policy or policies shall be issued by an insurer admitted to do business in the State of California and rated in A.M. Best's Insurance Guide with a rating of A:VII or better. 3 , 3.3 Professional Liability CONSULTANT shall at all times during the term of this Agreement, carry, maintain, and keep in full force and effect a policy or policies of professional liability insurance with a minimum limit of one million dollars($1,000,000)per claim and aggregate for errors and/or omissions of CONSULTANT in the performance of this Agreement. Said policy or policies shall be issued by an insurer admitted to do business in the State of California and rated in Best's Insurance Guide with a rating of A VII or better. If a "claims made" policy is provided, such policy shall be maintained in effect from the date of performance of work or services on the CITY's behalf until three (3)years after the date of work or services are accepted as completed. Coverage for the post-completion period may be provided by renewal or replacement of the policy for each of the three (3)years or by a three-year extended reporting period endorsement, which reinstates all limits for the extended reporting period. If any such policy and/or policies have a retroactive date, that date shall be no later than the date of first performance of work or services on behalf of the CITY. Renewal or replacement policies shall not allow for any advancement of such retroactive date. 3.4 Automobile Liability CONSULTANT shall at all times during the term of this Agreement obtain, maintain, and keep in full force and effect, a policy or policies of Automobile Liability Insurance,with minimum of one million dollars($1,000,000)per claim and occurrence and two million dollars ($2,000,000) in the aggregate for bodily injuries or death of one person and $500,000 for property damage arising from one incident. 3.5 Worker's Compensation CONSULTANT agrees to maintain in force at all times during the performance of work under this Agreement worker's compensation insurance as required by the law. CONSULTANT shall require any subcontractor similarly to provide such compensation insurance for their respective employees. 3.6 Notice of Cancellation A. All insurance policies shall provide that the insurance coverage shall not be cancelled by the insurance carrier without thirty (30) days prior written notice to CITY. CONSULTANT agrees that it will not cancel or reduce said insurance coverage. B. CONSULTANT agrees that if it does not keep the aforesaid insurance in full force and effect, CITY may either immediately terminate this Agreement or, if insurance is available at a reasonable cost, CITY may take out the necessary insurance and pay, at CONSULTANT's expense, the premium thereon. 4 i 3.7 Certificate of Insurance At all times during the term of this Agreement, CONSULTANT shall maintain on file with the CITY Clerk a certificate of insurance showing that the aforesaid policies are in effect in the required amounts. The commercial general liability shall contain endorsements naming the CITY, its officers, agents and employees as additional insured. 3.8 Primary Coverage The insurance provided by CONSULTANT shall be primary to any coverage available to CITY. The insurance policies (other than workers compensation and professional liability) shall include provisions for waiver of subrogation. ARTICLE 4 TERMINATION 4.1 Termination of Agreement (a) This Agreement may be terminated at any time,with or without cause, by the CITY upon thirty(30)days prior written notice or by CONSULTANT upon ninety(90) days prior written notice. Notice shall be deemed served if completed in compliance with Article 6.13. (b) In the event of termination or cancellation of this Agreement by CONSULTANT or CITY, due to no fault or failure of performance by CONSULTANT, CONSULTANT shall be paid compensation for all services performed by CONSULTANT, in an amount to be determined as follows: for work satisfactorily done in accordance with all of the terms and provisions of this Agreement, CONSULTANT shall be paid an amount equal to the percentage of services performed prior to the effective date of termination or cancellation in accordance with the work items; provided, in no event shall the amount of money paid under the foregoing provisions of this paragraph exceed the amount which would have been paid to CONSULTANT for the full performance of the services described in Article 2.1. ARTICLE 5 OWNERSHIP OF DOCUMENTS 5.1 Ownership of Documents and Work Product All documents, plans, specifications, reports, photographs, images,video files and media created or developed by CONSULTANT pursuant to this Agreement ("Written Products") shall be and remain the property of the CITY without restriction or limitation upon its use, duplication or dissemination by the CITY. All Written Products shall be considered "works made for hire," and all Written Products and any and all intellectual property rights arising from their creation, including, but not limited to, all copyrights and 5 other proprietary rights, shall be and remain the property of the CITY without restriction or limitation upon their use, duplication or dissemination by the CITY. CONSULTANT shall not obtain or attempt to obtain copyright protection as to any Written Products. CONSULTANT hereby assigns to the CITY all ownership and any and all intellectual property rights to the Written Products that are not otherwise vested in the CITY pursuant to the paragraph directly above this one. CONSULTANT warrants and represents that it has secured all necessary licenses, consents or approvals to use any instrumentality, thing or component as to which any intellectual property right exists, including computer software, used in the rendering of the services and the production of all Written Products produced under this Agreement, and that the CITY has full legal title to and the right to reproduce the Written Products. CONSULTANT shall defend, indemnify and hold the CITY, and its elected officials,officers, employees, servants, attorneys, designated volunteers, and agents serving as independent contractors in the role of CITY officials, harmless from any loss, claim or liability in any way related to a claim that CITY's use of any of the Written Products is violating federal, state or local laws, or any contractual provisions, or any laws relating to trade names, licenses, franchises, copyrights, patents or other means of protecting intellectual property rights and/or interests in products or inventions. CONSULTANT shall bear all costs arising from the use of patented, copyrighted, trade secret or trademarked documents, materials, equipment, devices or processes in connection with its provision of the services and Written Products produced under this Agreement. In the event the use of any of the Written Products or other deliverables hereunder by the CITY is held to constitute an infringement and the use of any of the same is enjoined, CONSULTANT, at its expense, shall: (a) secure for CITY the right to continue using the Written Products and other deliverables by suspension of any injunction, or by procuring a license or licenses for CITY; or (b) modify the Written Products and other deliverables so that they become non- infringing while remaining in compliance with the requirements of this Agreement. This covenant shall survive the termination of this Agreement. Upon termination, abandonment or suspension of the Project, the CONSULTANT shall deliver to the CITY all Written Products and other deliverables related to the Project. If CONSULTANT prepares a document on a computer, CONSULTANT shall provide CITY with said document both in a printed format and in an acceptable electronic format. ARTICLE 6 GENERAL PROVISIONS 6.1 Representation A CITY representative shall be the Director of Public Works or his or her designee, and a CONSULTANT representative shall be designated by CONSULTANT as the primary contact person for each party regarding performance of this Agreement. 6 6.2 Fair Employment Practices/Equal Opportunity Acts In the performance of this Agreement, CONSULTANT shall comply with all applicable provisions of the California Fair Employment Practices Act (California Government Code Sections 12940-48)and the applicable equal employment provisions of the Civil Rights Act of 1964(42 U.S.C. 200e-217), and the Americans with Disabilities Act of 1992 (42 U.S.C. § 11200, et seq.). 6.3 Personnel CONSULTANT represents that it has, or shall secure at its own expense, all personnel required to perform CONSULTANT's services under this Agreement. Any person who performs engineering services pursuant to this Agreement shall be licensed as a Civil Engineer by the State of California and in good standing. CONSULTANT shall make reasonable efforts to maintain the continuity of CONSULTANT's staff who are assigned to perform the services hereunder and shall obtain the approval of the Director of Public Works of all proposed staff members who will perform such services. CONSULTANT may associate with or employ associates or subcontractors in the performance of its services under this Agreement, but at all times shall be responsible for their services. 6.4 Conflicts of Interest CONSULTANT agrees not to accept any employment or representation during the term of this Agreement or within twelve(12)months after completion of the work under this Agreement which is or may likely make CONSULTANT "financially interested" (as provided in California Government Code Sections 1090 and 87100) in any decisions made by CITY on any matter in connection with which CONSULTANT has been retained pursuant to this Agreement. 6.5 Legal Action (a) Should either party to this Agreement bring legal action against the other, the validity, interpretation, and performance of this Agreement shall be controlled by and construed under the laws of the State of California, excluding California's choice of law rules. Venue for any such action relating to this Agreement shall be in the Los Angeles County Superior Court. (b) If any legal action or other proceeding, including action for declaratory relief, is brought for the enforcement of this Agreement or because of an alleged dispute, breach, default or misrepresentation in connection with this Agreement,the prevailing party shall be entitled to recover reasonable attorneys' fees, experts' fees, and other costs, in addition to any other relief to which the party may be entitled. (c) Should any legal action about a project between CITY and a party other than CONSULTANT require the testimony of CONSULTANT when there is no allegation that CONSULTANT was negligent, CITY shall compensate CONSULTANT for its testimony and preparation to testify at the hourly rates in effect at the time of such testimony. 6.6 Assignment Neither this Agreement nor any part thereof shall be assigned by CONSULTANT without the prior written consent of the CITY. Any such purported assignment without written consent shall be null and void, and CONSULTANT shall hold harmless, defend and indemnify the CITY and its officers, officials, employees,agents and representatives with respect to any claim, demand or action arising from any unauthorized assignment. Notwithstanding the above, CONSULTANT may use the services of persons and entities not in CONSULTANT's direct employ,when it is appropriate and customary to do so. Such persons and entities include, but are not necessarily limited to, surveyors, specialized consultants, and testing laboratories. CONSULTANT's use of subcontractors for additional services shall not be unreasonably restricted by the CITY provided CONSULTANT notifies the CITY in advance. 6.7 Independent Contractor CONSULTANT is and shall at all times remain, as to the CITY, a wholly independent contractor. Neither the CITY nor any of its agents shall have control over the conduct of CONSULTANT or any of the CONSULTANT's employees, except as herein set forth, and CONSULTANT is free to dispose of all portions of its time and activities which it is not obligated to devote to the CITY in such a manner and to such persons, firms, or corporations at the CONSULTANT wishes except as expressly provided in this Agreement. CONSULTANT shall have no power to incur any debt, obligation,or liability on behalf of the CITY or otherwise act on behalf of the CITY as an agent. CONSULTANT shall not, at any time or in any manner, represent that it or any of its agents, servants or employees, are in any manner agents, servants or employees of CITY. CONSULTANT agrees to pay all required taxes on amounts paid to CONSULTANT under this Agreement, and to indemnify and hold the CITY harmless from any and all taxes, assessments, penalties, and interest asserted against the CITY by reason of the independent contractor relationship created by this Agreement. CONSULTANT shall fully comply with the workers' compensation law regarding CONSULTANT and its employees. CONSULTANT further agrees to indemnify and hold the CITY harmless from any failure of CONSULTANT to comply with applicable workers' compensation laws. The CITY shall have the right to offset against the amount of any fees due to CONSULTANT under this Agreement any amount due to the CITY from CONSULTANT as a result of its failure to promptly pay to the CITY any reimbursement or indemnification arising under this Article. 8 6.8 Titles The titles used in this Agreement are for general reference only and are not part of the Agreement. 6.9 Entire Agreement This Agreement, including any other documents incorporated herein by specific reference, represents the entire and integrated agreement between CITY and CONSULTANT and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be modified or amended, or provisions or breach may be waived, only by subsequent written agreement signed by both parties. 6.10 Construction In the event of any asserted ambiguity in, or dispute regarding the interpretation of any matter herein, the interpretation of this Agreement shall not be resolved by any rules of interpretation providing for interpretation against the party who causes the uncertainty to exist or against the party who drafted the Agreement or who drafted that portion of the Agreement. 6.11 Non-Waiver of Terms, Rights and Remedies Waiver by either party of any one or more of the conditions of performance under this Agreement shall not be a waiver of any other condition of performance under this Agreement. In no event shall the making by the CITY of any payment to CONSULTANT constitute or be construed as a waiver by the CITY of any breach of covenant, or any default which may then exist on the part of CONSULTANT, and the making of any such payment by the CITY shall in no way impair or prejudice any right or remedy available to the CITY with regard to such breach or default. 6.12 Severability If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement shall continue in full force and effect. 6.13 Notice Except as otherwise required by law, any notice, request, direction, demand, consent, waiver, approval or other communication required or permitted to be given hereunder shall not be effective unless it is given in writing and shall be delivered (a) in person or (b) by certified mail, postage prepaid, and addressed to the parties at the addresses stated below, or at such other address as either party may hereafter notify the other in writing as aforementioned: To CITY: 9 Y • Responsible Person: Ray Holland, Interim Director of Public Works City of Rancho Palos Verdes 30940 Hawthorne Blvd. Rancho Palos Verdes, CA 90275 To CONSULTANT: Responsible Person: Alan Braatvedt, Vice President Vendor CBM Consulting, Inc. Address 17601 S. Denver Avenue City & State, Zip Gardena, CA 90248 A party may change its address by giving written notice to the other party. Thereafter, any notice or other communication shall be addressed and transmitted to the new address. If sent by mail, any notice, tender, demand, delivery or other communication shall be deemed effective three(3)business days after it has been deposited in the United States mail. For purposes of communicating these time frames, weekends and federal, state, religious, County of Los Angeles or CITY holidays shall be excluded. No communication via facsimile or electronic mail shall be effective to give any such notice or other communication hereunder. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date and year first above written. Dated: June 16, 1009 C SULTANT Q uI471O! BY.• � BY: Dated: June 16, 2009 CITY OF RANCHO PALOS VERDES A Municipal Corporation 4 BYO._.. f,♦ r M •YO R ATTEST: _gaajf,14.Ledit__ CITY CLERK 10 Exhibit "A": Consultant's Proposal and Schedule of Hourly Rates Civil Engineering, Project Management, Construction Management & Observation Federal Compliance Work, including preparation of plans, specifications and Engineer's estimate. Fee Estimate PROFESSIONAL ENGINEERING & MANAGEMENT SERVICES 2009 & 2010 2011 2012 0 Principal-In-Charge/Program Director $155.00 $163 $177 0 QA/QC Manager 130.00 $137 $143 0 Senior Engineer 130.00 $137 $143 0 Senior Project Manager 130.00 $137 $143 0 Construction Manager 130.00 $137 $143 0 Traffic Engineer 150.00 $158 $165 0 Project Manager 120.00 $126 $132 0 Resident Engineer 120.00 $126 $132 0 Project Engineer 120.00 $126 $132 0 Assistant Construction Manager 110.00 $116 $121 0 Office Engineer 110.00 $105 $110 0 Design Engineer 110.00 $105 $110 0 Assistant Project Manager 100.00 $105 $110 0 Associate Engineer 100.00 $105 $110 0 Project Controls 100.00 $105 $110 0 Senior Construction Observer 90.00 $95 $99 0 Construction Observer 85.00 $89 $94 0 Public Works Inspector 80.00 $84 $88 0 CAD Technician 75.00 $79 $83 0 Technician 70.00 $74 $77 0 Administrative & Clerical Support 65.00 $68 $72 The rates shown above may be negotiable for long-term,multi-classification contracts and/or assignments that utilize full-time staff exclusively at the Client's offices or project site. EXPENSES Project expenses are billed at cost plus I 0%. Project expenses include: Non-commuter automobile mileage City of Rancho Palos Verdes 12/9/2009 Project I Page I ($0.585 per mile),postage and special courier expenses,subsistence,reproduction,project related telephone, subcontractor services and other direct project expenses as requested by the client. Should the client desire, phone and mileage may be included in an hourly rate,which shall be negotiated and slightly higher than the billable rates indicated above. Rates are subject to change. Standard adjustment periods are annually on the 1st of January. City of Rancho Palos Verdes 12/9/2009 Project 2 Page 2