HomeMy WebLinkAbout12660RESOLUTION NO. 12660
A RESOLUTION APPROVING A CONTRACT FOR REAL
ESTATE BROKERAGE SERVICES BETWEEN THE CITY OF
PUEBLO, A MUNICIPAL CORPORATION, AND ROCKY
MOUNTAIN REALTY, AND AUTHORIZING THE PRESIDENT
OF CITY COUNCIL TO EXECUTE SAME
WHEREAS, the City of Pueblo receives funding for various housing related activities to
include the Neighborhood Stabilization Program grant funds; and
WHEREAS, the funding allows for the purchase, rehabilitation, and resale of properties;
and
WHEREAS, it is considered beneficial to the City to contract with a single contractor to
facilitate the purchase and sale of said properties; NOW THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, COLORADO, that:
SECTION 1.
The Contract between Rocky Mountain Realty and the City of Pueblo, dated May 13,
2013, for real estate brokerage services is hereby approved in substantially the form attached
hereto, with such minor changes therein as shall be approved by the President of City Council
and the City Attorney.
SECTION 2.
The President of City Council is hereby authorized to execute and deliver the Contract in
the name of and on behalf of the City of Pueblo, a Municipal Corporation, and the City Clerk
shall affix the seal of the City thereto and attest the same.
SECTION 3.
Funds not to exceed $15,000 will be paid for from the Neighborhood Stabilization
Program 3 grant in the 241 Fund.
INTRODUCED: May 13, 2013
BY: Chris Kaufman
Background Paper for Proposed
R
ESOLUTION
DATE: MAY 13, 2013 AGENDA ITEM # M-8
DEPARTMENT: HOUSING AND CITIZEN SERVICES
ADA RIVERA CLARK, DIRECTOR
TITLE
A RESOLUTION APPROVING A CONTRACT FOR REAL ESTATE BROKERAGE SERVICES
BETWEEN THE CITY OF PUEBLO, A MUNICIPAL CORPORATION, AND ROCKY
MOUNTAIN REALTY, AND AUTHORIZING THE PRESIDENT OF CITY COUNCIL TO
EXECUTE SAME
ISSUE
Should the City Council award a professional services contract to Rocky Mountain Realty for the
performance of real estate brokerage services, as may be required by the City?
RECOMMENDATION
Approval of the Resolution
BACKGROUND
The Department of Housing and Citizen Services requires real estate brokerage services to
undertake some of its federally funded projects. A request for proposals was issued in January
of 2013 for said services. Rocky Mountain Realty was the responsive bidder.
There is no guaranteed number of transactions under the contract, as purchases shall be made
based on available properties and their eligibility and feasibility. It is anticipated that there will
be no more than $15,000 worth of required services.
FINANCIAL IMPACT
Funding for the services are budgeted and appropriated in the 241 Fund. Funds not to exceed
$15,000 will be paid from the Fund.
AGREEMENT
FOR REAL ESTATE BROKER SERVICES
THIS AGREEMENT is made and entered this 13th day of May 2013, by and between Pueblo, a Municipal
Corporation ( "City ") and Rocky Mountain Realtv,(Broker ") for Broker to provide certain real estate broker and
management services for City with respect to the City's acquisition, marketing and sale of properties in connection
with the City's housing program or programs to include the City's "NSPI Program" under the Housing and
Economic Recovery Act of 2008, as amended by the American Recovery and Reinvestment Act of 2009 (together,
the "Act "), and implementing federal regulations ( "NSP Regulations ") the Neighborhood Stabilization Program,
also known as the NSP3, under the Dodd -Frank Wall Street Reform Act of 2010, the Community Development
Block Grant, under Title 1 of the Housing and Community Development Act of 1974, and the HOME Investment
Partnership Act grant, under Title 11 of the Cranston - Gonzalez National Affordable Housing Act, and, to the extent
applicable, the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended
(URA), and related ancillary services. In consideration of the mutual covenants hereinafter set forth, the parties
agree as follows:
SECTION 1. GENERAL AND SCOPE OF SERVICES.
(a) Broker shall satisfactorily perform, in accordance with the standards of care and conduct applicable
to licensed real estate brokers and employing real estate brokers in the State of Colorado, the real estate broker
services for the City's Housing Program described in more detail in Schedule 1 attached hereto and incorporated
herein by reference (the "Basic Services "). Such services shall include all usual and customary real estate
brokerage services. All of the requirements of the Request for Proposal or RFP issued by the City under the RFP for
Project No.13 -006 are also incorporated herein by reference, unless any requirement is expressly excluded in
Schedule 1.
(b) To the extent Broker performs any of the services to be provided under this Agreement through
other real estate brokers or real estate salespersons employed by Broker or acting as subcontractors to Broker,
Broker shall be and remain as fully responsible for the full performance and quality of services performed by such
employees or brokers as it is for services performed directly by Broker.
(c) To the extent Broker requires access to private property to perform its services hereunder, Broker
shall be required to make arrangements to obtain such access. However, in the event City has already secured
access for Broker to any such property through a right of entry agreement, access agreement, letter of consent or
other instrument, Broker shall fully comply with and be subject to the terms and conditions set forth therein. A
copy of any such instrument will be provided to Broker upon request.
SECTION 2. BROKER'S DUTIES AND RESPONSIBILITIES.
(a) City as Buyer. When City is evaluating, negotiating or undertaking the purchase of any property,
Broker shall have the fiduciary duties and responsibilities to City that are required of a "buyer agent" under the
rules of the Colorado Real Estate Commission ( "Commission ") and the latest version of Commission approved
forms. The services to be furnished when City is evaluating, negotiating or undertaking the purchase of property
and in preparing Broker's Price Opinions ( "BPO's "), are those generally described in Schedule 1 under the heading
"City as Buyer" and payment shall be limited to the amounts set forth in Schedule 2 under the heading "City as
Buyer ". In such circumstances, Broker shall use real estate forms of purchase agreement that have been approved
for use in the Housing Program or NSP Program with major lenders, or as directed by City. No commissions shall
be payable to Broker in connection with services provided when City is purchasing property.
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(b) City as Seller. When City is preparing to sell or selling any property in the Housing and NSP
Programs, Broker shall have the fiduciary duties and responsibilities to City that are required of a "seller agent"
under the Commission's rules and forms. The services to be furnished by Broker when City is preparing to or
selling property are those generally described in Schedule 1 under the heading "City as Seller ", and payment for
those services shall be limited to the amount or amounts for commission listed in Schedule 2 under said heading. In
no event shall City's liability exceed the maximum total commission set forth in schedule 2. Commissions shall not
be earned until and unless the sale of a property actually occurs, and Broker acknowledges and agrees that City may
withdraw a property from sale at any time prior to closing of the sale in its sole and absolute discretion. All
agreements Broker enters into with other real estate brokers with respect to City properties offered for sale shall be
subject to the limitations of this Agreement. In cases where City is selling property, the following terms also apply:
A. Broker shall exercise reasonable skill and care as a seller agent broker for City, including, but not
limited to the following:
i) Timely and professionally performing the terms of this Agreement;
ii) Presenting all offers to and from City in a timely manner regardless of whether the
property is subject to a contract for Sale;
iii) Disclosing to City adverse material facts which are set forth in any disclosure forms or
which are known by Broker;
iv) Advising City regarding the sale transaction and advising Seller to obtain expert advice as
to material matters about which Broker knows but the specifics of which are beyond the
expertise of Broker;
v) Accounting in a timely manner for all money and property received, if any; and
vi) Keeping Seller fully informed regarding the transaction.
B. Broker shall not disclose the following information without the informed consent of City:
i) That City is or may be willing to accept less than the asking price for the Property;
ii) What the motivating factors are for City to sell the Property;
iii) That Seller will agree to finance terms other than those offered;
iv) Any material information about City unless disclosure is required by law or failure to
disclose such information would constitute fraud or dishonest dealing; or
v) Unless contrary to law, any facts or suspicions regarding circumstances that could
psychologically impact or stigmatize the Property.
C. City consents to Broker's disclosure of City's confidential information to the supervising Broker or
designee for the purpose of proper supervision, provided such supervising Broker or designee shall not
further disclose such information without consent of City, or use such information to the detriment of City.
D. Broker has no duty to conduct an independent inspection of any property being sold by City for the
benefit of a buyer and has no duty to independently verify the accuracy or completeness of statements made
by City or independent inspectors. Broker has no duty to conduct an independent investigation of a buyer's
financial condition or to verify the accuracy or completeness of any statement made by a buyer.
E. Broker agrees that City shall not be liable for Broker's acts or omissions that have not been
approved, directed, or ratified by City.
(c) Broker shall be responsible for the professional quality, technical accuracy and timely completion
of Broker's work, including that performed by Broker, its employees and other brokers employed as subcontractors
to Broker, irrespective of City's approval of or acquiescence in same. Where the Broker consists of a corporation
and a licensed individual associated with the corporation, as indicated in the initial paragraph of this Agreement,
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both the corporation and the individual shall be contractually responsible, jointly and severally, for all obligations
under the terms of this agreement to be performed by Broker.
(d) Broker shall be responsible, in accordance with applicable law, to City for all loss or damage to
City caused by Broker's negligent act or omission; except that Broker hereby irrevocably waives and excuses City
and City's attorneys from compliance with any requirement to obtain a certificate of review as a condition precedent
to commencement of an action, including any such requirements set forth in Section 13 -20 -602, C.R.S. or similar
statute, whether now existing or hereafter enacted.
(e) Broker shall be completely responsible for the safety of Broker's employees in the execution of
work under this Agreement and shall provide all necessary safety and protective equipment for said employees.
(f) Broker acknowledges that time is of the essence with respect to the completion of its services under
this Agreement. Broker represents that, if a Schedule 3 attached is attached hereto, it shall constitute the schedule
by which Broker proposes to accomplish its work, with time periods for which it will commence and complete each
major work item; otherwise, Broker shall timely perform in accordance with the schedule for such work items
customary in Pueblo, Colorado.
(e) Before undertaking any work or incurring any expense which Broker considers beyond or in
addition to the Scope of Work described in Schedule 1 or otherwise contemplated by the terms of this Agreement,
Broker shall advise City in writing that (i) Broker considers the work beyond the scope of this Agreement, (ii) the
reasons that Broker believes the out of scope or additional work should be performed, and (iii) a reasonable
estimate of the cost of such work. Broker shall not proceed with any out of scope or additional work until
authorized in writing by City. The compensation for such authorized work shall be negotiated, but in the event the
parties fail to negotiate or are unable to agree as to compensation, then Broker shall be compensated for its direct
costs and professional time at the rates set forth in Schedule 2 attached hereto.
SECTION 3. FEES FOR SERVICES; PAYMENT.
(a) City will pay to Broker as full compensation for all services required to be performed by Broker
under this Agreement, except for services for additional work or work beyond the scope of this Agreement, the
amounts set forth in Schedule 2.
(b) With respect to services where City acts as buyer, Broker shall submit periodic, but not more
frequently than monthly, applications for payment, aggregating to not more than the maximum amount set forth
above, for actual real estate broker services rendered. Applications for payment shall be submitted based upon the
rates and expense reimbursement provisions set forth in Schedule 2 attached hereto, and shall contain appropriate
documentation that such services have been performed and such expenses incurred. Thereafter, City shall pay
Broker for the amount of the application within 45 days of the date such application is received.
(c) With respect to services where City acts as seller, Broker shall be compensated at the time of
disbursement of proceeds from the sale of the property, in accordance with the fees set forth in Schedule 2.
(e) The fees set forth in Schedule 2 are intended to compensate Broker for all of Broker's expenses for
advertising, internet listings, MLS fees, photography, travel, profit, overhead, local telephone expenses, lodging,
photocopying, computer time, secretarial or clerical time and similar expenses unless otherwise provided and listed
in Schedule 2.
(f) No compensation shall be paid to Broker for services required and expenditures incurred in
correcting Broker's mistakes or negligence.
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(g) Compensation for authorized work beyond the scope of this Agreement shall be governed by the
provisions of Section 2(e).
(h) In the event services under this Agreement are phased and to be performed in more than one fiscal
year or are subject to annual appropriation, Broker acknowledges that funds only in the amount of initial
appropriation are available and it shall confirm availability of funds before proceeding with work exceeding initial
and subsequent annual appropriations.
SECTION 4. CITY'S RESPONSIBILITIES.
(a) City agrees to advise Broker regarding City's Housing and NSP Program requirements and to
provide all relevant information, data and previous reports accessible to City which Broker may reasonably
require.
(b) City shall designate a Project Representative to whom all communications from Broker shall be
directed and who shall have limited administrative authority on behalf of City to receive and transmit information
and make decisions with respect to the Project. Said representative shall not, however, have authority to bind City
as to matters of governmental policy or fiscal policy, nor to contract for additions or obligations exceeding a value
which is the lesser of $1000 or 5% of the maximum contract price.
(c) City shall examine all documents presented by Broker, and render decisions pertaining thereto
within a reasonable time. The City's approval of any reports, documents or other materials or product furnished
hereunder shall not in any way relieve Broker of responsibility for the professional adequacy of its work.
(d) City shall perform its obligations and render decisions within a reasonable time under the
circumstances presented. Based upon the nature of City and its requirements, a period of 14 days shall be presumed
reasonable for any decision not involving policy decision or significant financial impact, when all information
reasonably necessary for City to responsibly render a decision has been furnished. A period of 46 days shall be
presumed reasonable for City to act with respect to any matter involving policy or significant financial impact. The
above periods of presumed reasonableness shall be extended where information reasonably required is not within
the custody or control of City but must be procured from others.
SECTION 5. TERMINATION.
(a) City reserves the right to terminate this Agreement and Broker's performance hereunder, at any
time upon written notice, either for cause or for convenience. Upon such termination, Broker shall cease all work
and stop incurring expenses, and shall promptly deliver to City all data, reports, plans, calculations, summaries and
all other information, documents, work product and materials as Broker may have accumulated in performing this
Agreement, together with all finished work and work in progress.
(b) Upon termination of this Agreement for events or reasons not the fault of Broker, when the City is
acting as buyer, Broker shall be paid at the rates specified in Schedule 2 for City acting as buyer for all services
rendered and reasonable costs incurred to date of termination. When the City is acting as seller, upon any such
termination not the fault of Broker, Broker shall not be entitled to any compensation except with respect to the
properties which have actually sold and for which Broker provided services as a seller agent. In no event shall
payment to Broker upon termination exceed the maximum compensation provided for complete performance in
Section 3(a).
(c) In the event termination of this Agreement or Broker's services is for breach of this Agreement by
Broker, or for other fault of Broker including but not limited to any failure to timely proceed with work, or to pay
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its employees and Brokers, or to perform work according to the highest professional standards, or to perform work
in a manner deemed satisfactory by City's Project Representative, then in that event, Broker's entire right to
compensation shall be limited to the lesser of (a) the reasonable value of completed work to City or (b) payment at
the rates specified in Schedule 2 for services satisfactorily performed, prior to date of termination.
(d) Broker's professional responsibility for its completed work and services shall survive any
termination.
SECTION 6. SITE ACCESS.
In the event the Broker's services will require access to property not under the control of City, Broker and
Broker's employees and subcontracted or selling brokers, if any, shall obtain all additional necessary approval and
clearances required for access to such property. City shall assist Broker in obtaining access to such property at
reasonable times but makes no warranty or representation whatsoever regarding access to any such property.
Notwithstanding the foregoing, Broker understands and agrees that entry to some property by Broker may be
subject to compliance by Broker with the terms and conditions of an access agreement in accordance with section
1(c) of this Agreement.
SECTION 7. USE OF DOCUMENTS.
(a) Plans, BPO's, reports and all other documents prepared or provided by Broker hereunder shall
become the sole property of City, subject to applicable federal grant requirements and requirements imposed by the
Act and its implementing regulations, and City shall be vested with all rights therein of whatever kind and however
created, whether by common law, statute or equity. City shall have access at all reasonable times to inspect and
make copies of all notes, reports, and all other data or other documents pertaining to the work to be performed
under this Agreement. In no event shall Broker publish work product developed pursuant to this Agreement except
(i) with advance written consent of City, which consent may be granted or withheld in City's sole and absolute
discretion and (ii) in full compliance with the requirements of this Agreement, the Act and applicable federal
regulations.
SECTION 8. INSURANCE AND INDEMNITY.
(a) Broker agrees that it shall procure and will maintain during the term of this Agreement, such
insurance as will protect it from claims under workers' compensation acts, claims for damages because of personal
injury including bodily injury, sickness or disease or death of any of its employees or of any person other than its
employees, and from claims or damages because of injury to or destruction of property including loss of use
resulting therefrom; and such insurance will provide for coverage in such amounts as set forth in subparagraph (b).
(b) The minimum insurance coverage which Broker shall obtain and keep in force is as follows:
(i) Workers' Compensation Insurance complying with statutory requirements in Colorado and
in any other state or states where the work is performed. The Workers' Compensation Insurance
policy shall contain an endorsement waiving subrogation against the City.
(ii) Commercial General Liability Insurance issued to and covering the liability of Broker with
respect to all work performed by Broker and its employees and subcontractors under this
Agreement, to be written on a Commercial General Liability policy form CG 00 01, with coverage
limits of not less than Six Hundred Thousand and No /100 Dollars ($600,000.00) per person and
occurrence for personal injury, including but not limited to death and bodily injury, and Six
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Hundred Thousand and No /100 Dollars ($600,000.00) per occurrence for property damage. This
CGL policy shall be endorsed naming the City, its officers, agents and employees as additional
insureds and contain a waiver of subrogation rights against City. This CGL policy shall also
provide coverage for contractual liability assumed by Broker under the provisions of this
Agreement.
(iii) Professional Liability Insurance with coverage of not less than $1,000,000, and with a
deductible of not more than $ 5,000.00.
(iv) Comprehensive Automobile Liability Insurance effective during the period of the
Agreement, and for such additional time as work on the Project is being performed, written with
limits of liability for injury to one person in any single occurrence of not less that $150,000 and for
any injury to two or more persons in any single occurrence of not less than $600,000. This insurance
shall include uninsured /underinsured motorist coverage and shall protect the Broker from any and all
claims arising from the use both on and off the Project site of motor vehicles, including any
automobiles, trucks, tractors, backhoes and similar equipment whether owned, leased, hired or used
by Broker.
(c) Broker agrees to hold harmless, defend and indemnify City from and against any liability to third
parties, arising out of negligent acts or omissions of Broker, its employees, and subcontractors.
SECTION 9. SUBCONTRACTS.
(a) City acknowledges that Broker is the only party with whom City has a contractual relationship
under this Agreement. To the extent Broker performs any Housing and NSP Program activities or services under
this Agreement through others, Broker shall contractually bind each of such persons or entities by written
agreement to all of the terms of this Agreement which are for the benefit of City, and City shall be a third party
beneficiary of those agreement provisions.
(b) Broker shall indemnify and defend City from all claims and demands for payment for services
provided by employees or third parties hired by or providing services for Broker.
SECTION 10. REQUIRED FEDERAL PROVISIONS.
(a) Broker understands that City may be funding the Project in whole or part with funds provided
under authority of the Acts. Broker agrees it is subject to and shall comply with all applicable provisions of the
Acts and applicable implementing regulations. The Acts and regulations are available directly to Broker and are
included herein by reference to the same extent as if recited verbatim.
(b) Broker shall comply with all applicable Federal, State, and local laws applicable to its activities.
(c) All records with respect to any matters covered by this Agreement shall be available for inspection
by City, the U.S. Department of Housing and Urban Development ( "HUD "), and the Colorado Division of
Housing ("State") at any time during normal business hours and as often as City, HUD or State deems necessary, to
audit, examine and make excerpts or transcripts of relevant information, and otherwise to perform its official
functions or duties.
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SECTION 11. MISCELLANEOUS.
(a) Notices. Any and all notices or other communications required or permitted by this Agreement or
by law to be served on or given to either Broker or City by the other party shall be in writing and shall be deemed
duly served and given when personally delivered to the party to whom it is directed, or in lieu of such personal
service, when deposited in the United States mail, first -class postage prepaid, addressed to the City, Attention:
Mrs. Ada Clark, Director,
City of Pueblo
Department of Housing and Citizen Services
2631 E. 4 St., Pueblo, CO. 81001
Or to Broker at:
Rocky Mountain Realty
Attn: Shawn Martinez
205 N Main Street, Pueblo, CO 81003
Either party may change his address for the purpose of this paragraph by giving written notice of such change to the
other party in the manner provided in this paragraph.
(b) Entire Agreement. This instrument contains the entire agreement between Broker and City
respecting the Housing and NSP Program and Broker services, and any other written or oral agreement or
representation respecting the same or the duties of either City or Broker in relation thereto not expressly set forth in
this instrument and its attachments is null and void. In the case of any conflict between the terms of this Agreement
for Real Estate Broker Services and terms of Schedule 1 or any other attachment hereto, the terms of this
Agreement shall govern.
(c) Successors and Assigns. This Agreement shall be binding on the parties hereto and on their
successors and assigns; provided, however, neither this Agreement, nor any part thereof, nor any moneys due or to
become due hereunder to Broker may be assigned by it without the written consent of City, which consent may be
withheld in City's sole and absolute discretion. Any assignment or attempted assignment in violation of this
subsection shall be void.
(d) Amendments. No amendment to this Agreement shall be made nor be enforceable unless made by
written amendment signed by an authorized representative of Broker and by City in accordance with the
requirements of Section 4(b) of this Agreement or upon authorization of City's governing board.
(e) Choice of Law. This Agreement shall be governed and interpreted in accordance with the laws of
the State of Colorado. Any unresolved dispute arising from or concerning any breach of this Agreement shall be
decided in a state court of competent jurisdiction located in Pueblo, Colorado.
(f) Etc ual Employment Opportunity. In connection with the performance of this Agreement, neither
Broker nor its Brokers shall discriminate against any employee or applicant for employment because of race, color,
religion, sex, national origin, disability or age. Broker shall endeavor to insure that applicants are employed, and
that employees are treated during employment without regard to their race, color, religion, sex, national origin,
disability or age.
(g) Severability. If any provision of this Agreement, except for Section 2, is determined to be directly
contrary to and prohibited by law or the requirements of any federal grant or other Project funding source, then
such provision shall be deemed void and the remainder of the Agreement enforced. However, it is the intent of the
parties that Section 2 of this Agreement not be severable, and that if any provision of said section is determined to
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be contrary to law or the terms of any federal grant, and then this entire Agreement shall be void.
SECTION 12. STATE - IMPOSED MANDATES PROHIBITING ILLEGAL ALIENS FROM PERFORMING
WORK
(a) At or prior to the time for execution of this Agreement (which may be referred to in this section as
this "Contract "), Broker (which may be referred to in this section as "Contractor ") shall submit to the Purchasing
Agent of City its certification that it does not knowingly employ or contract with an illegal alien who will perform
work under this Contract and that the Contractor will participate in either the "E- Verify Program" created in Public
Law 208, 104` Congress, as amended and expanded in Public Law 156, 108` Congress, as amended, that is
administered by the United States Department of Homeland Security or the "Department Program" established
pursuant to §8- 17.5- 102(5)(c) C.R.S. that is administered by the Colorado Department of Labor and Employment in
order to confirm the employment eligibility of all employees who are newly hired for employment to perform work
under this Contract.
(b) Contractor shall not:
(1) Knowingly employ or contract with an illegal alien to perform work under this contract;
(II) Enter into a contract with a subcontractor that fails to certify to Contractor that the
subcontractor shall not knowingly employ or contract with an illegal alien to perform work under
this Contract.
(c) The following state - imposed requirements apply to this contract:
(I) The Contractor shall have confirmed the employment eligibility of all employees who are
newly hired for employment to perform work under this Contract through participation in either the
E- Verify Program or Department Program.
(II) The Contractor is prohibited from using either the E- Verify Program or Department
Program procedures to undertake pre - employment screening of job applicants while this Contract
is being performed.
(111) If the Contractor obtains actual knowledge that a subcontractor performing work under this
Contract knowingly employs or contracts with an illegal alien, the Contractor shall be required to:
A. Notify the subcontractor and the City's Purchasing Agent within three (3) days that
the Contractor has actual knowledge that the subcontractor is employing or contracting
with an illegal alien; and
B. Terminate the subcontract with the subcontractor if within three (3) days of
receiving the notice required pursuant to subparagraph (c)(III)A. above the subcontractor
does not stop employing or contracting with the illegal alien; except that the Contractor
shall not terminate the contract with the subcontractor if, during such three (3) days, the
subcontractor provides information to establish that the subcontractor has not knowingly
employed or contracted with an illegal alien.
(IV) The Contractor is required to comply with any reasonable request by the Colorado
Department of Labor and Employment (hereinafter referred to as "CDLE ") made in the course of
an investigation that CDLE is undertaking pursuant to its authority under §8 -17.5- 102(5), C.R.S.
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(d) Violation of this Section 12 by the Contractor shall constitute a breach of contract and grounds for
termination. In the event of such termination, the Contractor shall be liable for City's actual and consequential
damages.
(e) As used in this Section 12, the terms "subcontractor" shall mean any subcontractor or real estate
professional rendering services within the scope of this Agreement.
SECTION 13. PERA LIABILITY
Broker shall reimburse the City for the full amount of any employer contribution required to be paid by the
City of Pueblo to the Public Employees' Retirement Association ( "PERA ") for salary or other compensation paid to
a PERA retiree performing contracted services for the City under this Agreement. The Broker shall fill out the
questionnaire attached as Exhibit A and submit the completed form to City as part of the signed Agreement.
(Signature Page Follows)
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IN WITNESS WHEREOF, the parties hereto have made and executed this Agreement as of the day and year first
above written.
CITY OF P . : • I' . CORPORATION
By: , .
President of the City Council
ATTEST: APPROVED AS TO FORM:
Cit Ierk City Attorney �7
BROKER: Rocky Mountain Realty
By:
Name: Shawn P Martinez
Title: Broker Associate /Owner
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Exhibit "A"
COLORADO PUBLIC EMPLOYEES RETIREMENT ASSOCIATION
SUPPLEMENTAL QUESTIONNAIRE TO BE ANSWERED BY
ANY BUSINESS PERFORMING SERVICES FOR THE CITY OF PUEBLO
Pursuant to section 24 -51- 1101(2), C.R.S., salary or other compensation from the employment, engagement,
retention or other use of a person receiving retirement benefits (Retiree) through the Colorado Public Employees
Retirement Association (PERA) in an individual capacity or of any entity owned or operated by a PERA Retiree or
an affiliated party by the City of Pueblo to perform any service as an employee, contract employee, Broker,
independent Broker, or through other arrangements, is subject to employer contributions to PERA by the City of
Pueblo. Therefore, as a condition of contracting for services with the City of Pueblo, this document must be
completed, signed and returned to the City of Pueblo:
(a) Are you, or do you employ or engage in any capacity, including an independent Broker, a PERA Retiree
who will perform any services for the City of Pueblo? Yes, No ,7' (Must sign below whether you answer
"yes" or "no")
(b) If you answered "yes" to (a) above, please answer the following question: Are you 1) an individual, 2)
sole proprietor or partneyship, or 3) a business or company owned or operated by a PERA Retiree or an affiliated
party? Yes , No7C,
If you answered "yes" please state which of the above listed entities (1, 2, or 3) best describes your business:
(c) If you answered "yes" to both (a) and (b) please provide the name, address and social security number
of each such PERA Retiree.
Name Name
Address Address
Social Security Number Social Security Number
(If more than two, please attach a supplemental list)
If you answered "yes" to both (a) and (b), you agree to reimburse the City of Pueblo for any employer
contribution required to be paid by the City of Pueblo to PERA for salary or other compensation paid to you as a
PERA Retiree or paid to any employee or independent Broker of yours who is a PERA Retiree performing services
for the City of Pueblo. You further authorize the City of Pueblo to deduct and withhold all such contributions from
any moneys due or payable to you by the City of Pueblo under any current or future contract or other arrangement
for services between you and the City of Pueblo.
Failure to accurately complete, sign and return this document to the City of Pueblo may result in your
being denied the privilege of doing business with the City of Pueblo.
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Signed , 20 L3 .
By: C jACtt,uv\ ccri j '?PL
Title: Br-0 (< r AS occt ow/ er
For purposes of responding to question (b) above, an "affiliated party" includes (1) any person who is the
named beneficiary or cobeneficiary on the PERA account of the PERA Retiree; (2) any person who is a relative of
the PERA Retiree by blood or adoption to and including parents, siblings, half - siblings, children, and
grandchildren; (3) any person who is a relative of the PERA Retiree by marriage to and including spouse, spouse's
parents, stepparents, stepchildren, stepsiblings, and spouse's siblings; and (4) any person or entity with whom the
PERA Retiree has an agreement to share or otherwise profit from the performance of services for the City of Pueblo
by the PERA Retiree other than the PERA Retiree's regular salary or compensation.
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SCHEDULE 1
SCOPE OF SERVICES
The Scope of Services to be provided by Broker shall include, but not be limited to, the requirements listed under
the General Description Section of the RFP for Project No. 13 -006, to include:
a. Analysis of designated real estate;
b. Assessment of current market;
c. Development of marketing plan;
d. Drafting offers and filling out forms
e. Negotiations for purchase or sale.
f. Market Survey including valuation information;
g. Report preparation, Microsoft compatible format;
h. Proposal /offer evaluation and implementation;
i. Recommendations and pricing and positioning of properties;
j. Implementation of an affirmative fair housing marketing plan
k. Updates as required.
City as Buyer:
1. Coordinate inspection of prospective properties by Broker with seller representatives; obtain keys
and entry for City consultants in connection with evaluation for purchase and other incidental services.
2. Provide a Broker's Price Opinion (BPO) on all prospective properties considered for purchase by
the City. The BPO will include not less than three comparables utilizing information from recent sales, property
assessments, and other factors such as neighborhood analysis, market conditions and economic determinants
impacting the value of the property. NOTE: The purchase price, listing price and sales price for all properties will
be determined by City's Department of Housing and Citizen Services (DHCS) and must be approved, in writing, by
the DHCS Director or her Designee.
3. If requested, transmit purchase offers /contracts to seller representatives using City approved forms
and Commission approved forms not inconsistent therewith.
City as Seller:
1. Establish a marketing strategy that includes all of the types of advertising (listing the property on
MLS, the Broker's web pages, conducting open houses, providing "for sale" signage, lock boxes, and other forms
of advertising) that is usually and customarily associated with professional real estate sales. Costs and expense of
all forms of marketing utilized by Broker shall be the responsibility of the Broker.
2. Forward offers on the properties being sold by the City to the DHCS for the City's consideration
through the designated contact person. Offers shall be on forms approved by City or as directed by DHCS, and
Broker will communicate this requirement to other selling agents. NOTE: The Director, or her assignee, will
review offers on the properties as delivered to them by the Broker. The Director may then, alternatively, make a
counter -offer or decline the offer and return the property to the portfolio for further marketing.
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All services:
All services by the Broker shall conform to requirements of the:
1. Neighborhood Stabilization Program 1, also known as NSP1, its regulations under the Housing Economic
Recovery Act of 2008, as published in the Federal Register of Monday, October 6, 2008, Part 111,
Department of Housing and Urban Development and all other applicable federal regulations and laws;
2. Neighborhood Stabilization Program 3, also known as the NSP3, under the Dodd -Frank Wall Street
Reform Act of 2010;
3. Community Development Block Grant, under Title 1 of the Housing and Community Development Act of
197;
4. HOME Investment Partnership Act grant, under Title 1I of the Cranston - Gonzalez National Affordable
Housing Act, and,;
5. Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, as amended (URA).
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SCHEDULE 2
City as Buyer:
For all services associated with furnishing the BROKER'S PRICE OPINION (BPO), Broker will be paid $50 per
prospective property address for which a BPO is requested. Negotiable depending on situation.
For all other City as Buyer services, these items will be deemed incidental and no compensation will be paid.
City as Seller:
Commission (fee) to be paid in full payment for all services by Broker and third parties upon actual sale of City
owned property is based upon the contract selling price as follows:
Where the selling price is between $25,000- $49,999, the commission will be $1,750- $3,499.93.
Where the selling price is between $50,000- $74,999, the commission will be $3,500- $4,499.94.
Where the selling price is between $75,000- $99,999, the commission will be $4,500- $5,999.94.
Where the selling price is between $100,000- $124,999, the commission will be $6,000- $7A99.94.
Where the selling price is between $125,000- $149,999, the commission will be $7,500- $8,999.94.
Where the selling price is between $150,000, the commission will be $9,000.
All expenses of marketing to be paid by Broker.
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