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HomeMy WebLinkAbout13214RESOLUTION NO. 13214 A RESOLUTION APPROVING A CONTRACT BETWEEN THE CITY OF PUEBLO, A MUNICIPAL CORPORATION, AND RAFTELIS FINANCIAL CONSULTANTS, INC. TO PROVIDE UTILITY RATE CONSULTING SERVICES FOR THE PUEBLO WASTEWATER DEPARTMENT AND NAMING RAFTELIS FINANCIAL CONSULTANTS, INC. AS THE RATE CONSULTANT OF RECORD WHEREAS, Statements of Qualifications for Utility Rate Consulting services were requested and received; and WHEREAS, a committee was formed to evaluate these qualifications; and WHEREAS, the committee selected Raftelis Financial Consultants, Inc. as the most qualified to serve the Pueblo Wastewater Department; NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. The Contract for Professional Services by and between Pueblo, a Municipal Corporation, and Raftelis Financial Consultants, Inc., a true copy of which is attached hereto and incorporated herein by reference (the “Contract”) having been approved as to form by the City Attorney, is hereby approved. SECTION 2. Work performed under this contract may include, but is not limited to, the following items: 1. Review sanitary sewer rates and fees 2. Develop recommendations and schedules for revising wastewater rates and fees to assure the ability of such rates and fees to support the cost of wastewater service 3. Develop and maintain a model to assist the City in forecasting rate and fee changes 4. Assist the City in securing financing for wastewater projects SECTION 3. The President of City Council is hereby authorized to execute the Contract in the name and on behalf of the City and the City Clerk is directed to affix the seal of the City thereto and attest same. SECTION 4. The officers and staff of the City are directed and authorized to perform any and all acts consistent with the intent of this Resolution and the attached contract to effectuate the transactions described therein. SECTION 5. This Resolution shall become effective immediately upon passage and approval. INTRODUCED: April 27, 2015 BY: Dennis Flores City Clerk’s Office Item # M-3 Background Paper for Proposed Resolution COUNCIL MEETING DATE: April 27, 2015 TO: President Stephen G. Nawrocki and Members of City Council CC: Sam Azad, City Manager VIA: Gina Dutcher, City Clerk From: Gene Michael, Wastewater Director SUBJECT: A RESOLUTION APPROVING A CONTRACT BETWEEN THE CITY OF PUEBLO, A MUNICIPAL CORPORATION, AND RAFTELIS FINANCIAL CONSULTANTS, INC. TO PROVIDE UTILITY RATE CONSULTING SERVICES FOR THE PUEBLO WASTEWATER DEPARTMENT AND NAMING RAFTELIS FINANCIAL CONSULTANTS, INC. AS THE RATE CONSULTANT OF RECORD SUMMARY: Attached is a Resolution accepting a contract between the City of Pueblo and Raftelis Financial Consultants, Inc for professional services associated with providing sanitary sewer rate consulting. PREVIOUS COUNCIL ACTION : None BACKGROUND : As an enterprise of the City of Pueblo, the Wastewater Department operates the James R. DiIorio Water Reclamation Facility and the associated sanitary sewer collection system. Operating and maintaining the infrastructure of these facilities entails increasing costs and, as an enterprise, the Wastewater Department is obligated to collect sufficient funds through its rates and fees to pay for its operations. Section 16-7- 9 of the Pueblo Municipal Code requires biennial review of sanitary sewer rates and fees. The attached contract establishes a long-term agreement between the City and Raftelis Financial Consultants, Inc., to provide professional utility rate consulting services to fulfill these obligations. Qualification statements were received from two firms. Raftelis Financial Consultants, Inc. was judged to be the firm best qualified to provide the required services. FINANCIAL IMPLICATIONS : Funds for the professional services related to the rate review are available from the Sewer User Fund. BOARD/COMMISSION RECOMMENDATION : Not applicable STAKEHOLDER PROCESS : Not applicable ALTERNATIVES : Not applicable. The Municipal Code requires that sanitary sewer rates be reviewed no less often than every two years. Raftelis Financial Consultants, Inc. was selected as the City’s Wastewater Rate Consultant of Record through a competitive bid process. RECOMMENDATION : Approval of the Resolution. Attachments : A copy of the contract with Raftelis Financial Consultants, Inc.. CONTRACT THIS CONTRACT entered into as of April 27th, 2015 between the City of Pueblo, a municipal corporation, 1 City Hall Place, Pueblo, Colorado, 81003 (the "City") and Raftelis Financial Consultants, Inc., 1031 South Caldwell Street, Suite 100, Charlotte, NC 28203 (the "Consultant"), WITNESSETH: Recitals A. The City owns and operates the wastewater utility enterprise, including the James R. Dilorio Water Reclamation Facility("WRF") and the sanitary sewer collection system connected thereto. The City solicited competitive proposals for review of existing utility rates and fees and recommendations for such appropriate modifications to those rates and fees as may be required to sustain the operation of the WRF and the sanitary sewer collection system adequately in the long term ("Request For Proposals"). B. Consultant submitted in response to the Request For Proposals its statement of qualification and experience for utility rate consulting and planning services ("Response"). C. City has evaluated all Responses submitted and has determined to select Consultant to provide utility rate consulting and finance consulting services to the wastewater utility. NOW,THEREFORE, in consideration of the foregoing Recitals and mutual covenants, City and Consultant agree as follows: 1. Engagement (a) City engages Consultant and Consultant accepts such engagement to perform the services set forth in this Contract and in the attached Standard Form of Agreement For Professional Consulting Services ("Standard Form of Agreement") with respect to the following anticipated tasks or projects (the "Projects"). (1) Reviewing and updating sanitary sewer rates and fees as required by Section 16-7-9 of the Municipal Code; (2) Assisting City staff in developing a realistic and workable Capital Improvement Program (CIP), including; a. Identifying projects necessary to maintain and/or expand the capacity of wastewater collection and treatment facilities; b. Assisting City staff in developing recommendations for financing infrastructure improvements and pretreatment program requirements; and c. Assisting City staff in presenting recommendations on wastewater rates to the City Council; (3) Supporting the City in securing financing for required construction by providing engineering cost estimates and technical information for loan or bond documentation; and (4) Carrying out other projects as required related to rates and fees for the wastewater utility (b) City may in its sole discretion undertake any of the anticipated Projects enumerated above, or other projects that the City deems necessary. Upon written direction from City, the Consultant shall complete and deliver to City the Standard Form of Agreement for any of the Projects as specified by City. (c) Consultant shall prepare and submit with the Standard Form of Agreement for each specified Project, Exhibit 1—Scope of Services, Exhibit 2—Project Schedule, Exhibit 3—Identification of Personnel, Subcontractors and Task Responsibility. (d) Within a reasonable time after receipt of the Standard Form of Agreement and Exhibits, City will review same, perform appropriate cost and fee comparisons and analysis, and advise Consultant if the Standard Form of Agreement and Appendixes are acceptable to City, or which modifications or changes City requests with respect thereto. (e) After mutual approval of the terms and provisions of the Standard Form of Agreement and Appendixes, City will submit same to City Council of City for approval. 2. Term. This Contract is for a term commencing April 27, 2015 and ending December 31, 2018, with two optional two (2)-year extensions. This Contract may be terminated by either party at any time, without cause or liability, upon ninety(90) days prior written notice given to the other party specifying the date of termination, provided, however, that the termination of this Contract shall not terminate or be deemed to terminate any then existing Standard Form of Agreement executed by and between the parties with respect to any specified Project. 3. General Covenants. Consultant covenants that it is: a. Competent and qualified to perform and will perform the services and work contemplated by this Contract and the Standard Form of Agreement in a professional manner to the satisfaction of City. b. Familiar with the regulations and requirements of the Federal Clean Water Act ("CWA") and the Colorado Water Pollution Control Act("CWPCA") with respect to the services and work contemplated by this Contract and Standard Form of Agreement and will perform such services and work in compliance therewith. 4. Records and Database. Consultant shall maintain a cost accounting system acceptable to City. The City, or any of their duly authorized representatives, shall have access to any books, documents, papers and records of the Consultant which are directly pertinent or relate to this Contract or any Standard Form of Agreement for a specified Project, for the purpose of making audit, examination, inspection, excerpts, and transcriptions. The Consultant shall maintain such records for three years after City makes final payments to Consultant and all pending matters are closed. Consultant shall prepare and maintain an electronic database that accurately represents all existing and future civil infrastructure for all Projects completed under this Contract and any Standard Form of Agreement for a specified Project. 5. Specific Covenants. Consultant covenants that, during the performance of this Contract and any Standard Form of Agreement for a specified Project, Consultant will: a. Comply with all federal statutes and regulations relating to nondiscrimination in federally assisted programs including without limitation Title VI of the Civil Rights Act of 1964(P.L. 88-352, Department of Transportation Regulation 49 CFR Part 21, and Executive Order 11246 entitled "Equal Employment Opportunity," as amended by Executive Order 11375 and as supplemented in the Department of Labor regulations 41 CFR Part 60. b. Comply with the State of Colorado's Requirements for State Revolving Fund Loan Projects. c. Comply with all other applicable federal, state and local laws and regulations. 6. Rights to Inventions. All rights to inventions and materials generated under this Contract or any Standard Form of Agreement for a specified Project shall be the property of the City. Consultant shall retain sole ownership of pre-existing proprietary property including but not limited to computer programs, software and models. 7. Insurance and Indemnity. a. Consultant agrees that it has procured and will maintain during the term of this Agreement, such insurance as will protect it and City from claims under workers' compensation acts, claims for damages because of bodily injury including personal 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 Consultant 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 Client. ii. Commercial General Liability Insurance. The Consultant shall secure and maintain during the period of this agreement/contract and for such additional time as work on the project is being performed, Commercial General Liability Insurance issued to and covering the liability of the contractor with respect to all work performed by him and all his subcontractors under the agreement/ contract, to be written on a comprehensive policy form. This insurance shall be written in amounts not less than $1,000,000 for each occurrence and aggregate for personal injury including death and bodily injury and $1,000,000 for each occurrence and aggregate for property damage. This policy of insurance shall name the City of Pueblo, its agents, officers and employees as additional insureds. This policy shall have all necessary endorsements to provide coverage without exclusion for explosion and collapse hazards, underground property damage hazard, blanket contractual coverage, as well as Owner's and Contractor's Protective Liability (OCP) coverage. The policy shall also provide coverage for contractual liability assumed by Contractor under the provisions of the Agreement/Contract, and "Completed Operations and Projects Liability" coverage. iii. Professional Liability Insurance with coverage of not less than $1,000,000, and with a deductible of not more than $ 5,000. iv. Comprehensive Automobile Liability Insurance. The Consultant shall procure and maintain during the period of the agreement/contract and for such additional time as work on the project is being performed, Comprehensive Automobile Liability Insurance. This insurance shall be written with limits of liability for and injury to one person in any single occurrence of not less than $350,000 and for any injury to two or more persons in any single occurrence of not less than $1.000,000. This insurance shall include uninsured/underinsured motorist coverage and shall protect the Consultant from any and all claims arising from the use both on and off the site of the project of automobiles, trucks, tractors, backhoes and similar equipment whether owned, leased, hired or used by Consultant. c. Consultant shall furnish to City a certificate or certificates of insurance showing compliance with this section 7. The certificates shall provide that the insurance shall not be changed or cancelled until after ten (10)days written notice has been given to City. Consultant shall immediately notify City of any substantial change in, or cancellation, or non-renewal of any such insurance. d. Consultant agrees to hold harmless, defend and indemnify City from and against any liability to third parties, arising out of negligent acts, errors or omissions of Consultant, its employees, subcontractors and consultants. 8. Certifications. Consultant certifies that: a. Neither Consultant nor any of its principals are presently, or at the time of execution of any Standard Form of Agreement or a specified Project will be, debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this Contract or in any such subsequent Standard Form of Agreement for a specified Project by any Federal department or agency. Consultant will include this clause in all lower tier transactions, solicitations, proposals, contracts, and subcontracts. b. Consultant is not owned or controlled by one or more citizens of foreign country included in the list of countries that discriminate against U.S. firms published by the Office of the United States Trade Representatives and that it will comply with the Department of Transportation trade restriction regulations 49 CFR Part 30. Consultant will include this clause and other clauses required by said trade restriction regulations in all lower tier transactions, solicitations, proposals,contracts and subcontracts. 9. Notices. Any notice required or permitted by this Contract shall be in writing and may be served personally or mailed by first-class mail, postage prepaid, addressed to the party at its address shown on the first page hereof, and if to the City, a copy of thereof shall be given to Gene Michael,Wastewater Director, 1300 S.Queens Ave., Pueblo, Colorado, 81001. Either party may change addresses upon written notice given to the other party specifying the changed address. 10. Financial Obligations of City. All financial obligations of the City under this Contract in any subsequent fiscal year of City are subject to and contingent upon funds being specifically budgeted and appropriated for such purposes. 11. Miscellaneous. a. This Contract shall be governed and interpreted in accordance with the laws of the State of Colorado. b. In the event of any litigation arising out of this Contract, the court shall award to the prevailing party its costs and reasonable attorney fees. Venue for any such litigation shall be Pueblo County, Colorado. c. This Contract contains the entire agreement between the City and Consultant and incorporates all prior written and oral understandings and agreements between the parties. d. This Contract may only be modified or amended by written instrument signed by both City and Consultant. e. This Contract shall be binding upon and inure to the benefit of City and Consultant and their respective successors and assign, provided, however, Consultant shall not assign this Contract or any interest herein without the prior written consent of City. Executed the day and year first above written. CITY OF PUEBLO,A MUNICIPAL CORPORATIO Allr°1°." . By — - — Ste_ President of the City Council Attest: A,....,c,_ �4-I, City Clerk APPROVED AS TO FORM: Gt. '•:k4 - . � (D��-e_F City Attorney RAFT LI FI NCIH OnTAN INC. /) By i Name: l C6t0 a 6 1 A TitIe; i+_Q \,) - Z---- Attest'___ LA'_,,�//� l�'G /�� )o��.�t Name: Ar' �I"`�� Title: NGIA)C[QC'.f �_--------