HomeMy WebLinkAbout369918 ECONOMIC & PLANNING SYSTEMS - CONTRACT - CONTRACT - 5507191PROFESSIONAL SERVICES AGREEMENT
THIS AGREEMENT made and entered into the day and year set forth below, by
and between THE CITY OF FORT COLLINS, COLORADO, a Municipal Corporation,
hereinafter referred to as the "City" and Economic Planning and Systems, Inc., a
corporation, hereinafter referred to as "Professional'.
WITNESSETH:
In consideration of the mutual covenants and obligations herein expressed, it is
agreed by and between the parties hereto as follows:
1. Scope of Services. The Professional agrees to provide services in
accordance with the scope of services attached hereto as Exhibit "A", consisting of two
(2) page[s], and incorporated herein by this reference.
2. Time of Commencement and Completion of Services. The services to be
performed pursuant to this Agreement shall be initiated within five (5) days following
execution of this Agreement. Services shall be completed no later than December 31,
2005. Time is of the essence. Any extensions of the time limit set forth above must be
agreed upon in writing by the parties hereto.
3. Early Termination by City. Notwithstanding the time periods contained
herein, the City may terminate this Agreement at any time without cause by providing
written notice of termination to the Professional. Such notice shall be delivered at least
fifteen (15) days prior to the termination date contained in said notice unless otherwise
agreed in writing by the parties.
All notices provided under this Agreement shall be effective when mailed, postage
prepaid and sent to the following addresses:
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Professional:
City:
With Copy to:
Economic & Planning
Purchasing Division
Greg Byrne, CPES
Systems, Inc.
City of Fort Collins
City of Fort Collins
730 17th Street, Suite 630
PO Box 580
PO Box 580
Denver, Colorado 80202-3511
Fort Collins, CO 80522
Fort Collins, CO 80522
In the event of any such early termination by the City, the Professional shall be paid for
services rendered prior to the date of termination, subject only to the satisfactory
performance of the Professional's obligations under this Agreement. Such payment shall
be the Professional's sole right and remedy for such termination.
4. Design, Project Indemnity and Insurance Responsibility. The
Professional shall be responsible for the Professional quality, technical accuracy, timely
completion and the coordination of all services rendered by the Professional, including
but not limited to designs, plans, reports, specifications, and drawings and shall, without
additional compensation, promptly remedy and correct any errors, omissions, or other
deficiencies. The Professional shall indemnify, save and hold harmless the City, its
officers and employees in accordance with Colorado law, from all damages whatsoever
claimed by third parties against the City; and for the City's costs and reasonable
attorneys fees, arising directly or indirectly out of the Professional's negligent
performance of any of the services furnished under this Agreement. The Professional
shall maintain commercial general liability insurance in the amount of $500,000
combined single limits, and errors and omissions insurance in the amount of
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5. Compensation. In consideration of the services to be performed pursuant
to this Agreement, the City agrees to pay Professional on a time and reimbursable direct
cost basis according to the following schedule:
Hourly billing rates: Attachment B.
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with maximum compensation (for both Professional's time and reimbursable direct costs)
not to exceed twenty-five thousand dollars ($25,000). Monthly partial payments based
upon the Professional's billings and itemized statements of reimbursable direct costs are
permissible. The amounts of all such partial payments shall be based upon the
Professional's City -verified progress in completing the services to be performed pursuant
hereto and upon the City's approval of the Professional's reimbursable direct costs.
Final payment shall be made following acceptance of the work by the City. Upon final
payment, all designs, plans, reports, specifications, drawings and other services
rendered by the Professional shall become the sole property of the City.
6. City Representative. The City will designate, prior to commencement of
work, its project representative who shall make, within the scope of his or her authority,
all necessary and proper decisions with reference to the project. All requests for
contract interpretations, change orders, and other clarification or instruction shall be
directed to the City Representative.
7. Monthly Report. Commencing thirty (30) days after the date of execution
of this Agreement and every thirty (30) days thereafter, Professional is required to
provide the City Representative with a written report of the status of the work with
respect to the Scope of Services, Work Schedule, and other material information.
Failure to provide any required monthly report may, at the option of the City, suspend the
processing of any partial payment request.
8. Independent Contractor. The services to be performed by Professional
are those of an independent contractor and not of an employee of the City of Fort
Collins. The City shall not be responsible for withholding any portion of Professional's
compensation hereunder for the payment of FICA, Workers' Compensation, other taxes
or benefits or for any other purpose.
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9. Personal Services. It is understood that the City enters into this
Agreement based on the special abilities of the Professional and that this Agreement
shall be considered as an agreement for personal services. Accordingly, the
Professional shall neither assign any responsibilities nor delegate any duties arising
under this Agreement without the prior written consent of the City.
10. Acceptance Not Waiver. The City's approval of drawings, designs, plans,
specifications, reports, and incidental work or materials furnished hereunder shall not in
any way relieve the Professional of responsibility for the quality or technical accuracy of
the work. The City's approval or acceptance of, or payment for, any of the services shall
not be construed to operate as a waiver of any rights or benefits provided to the City
under this Agreement.
11. Default. Each and every term and condition hereof shall be deemed to be
a material element of this .Agreement. In the event either party should fail or refuse to
perform according to the terms of this agreement, such party may be declared in default.
12. Remedies. In the event a party has been declared in default, such
defaulting party shall be allowed a period of ten (10) days within which to cure said
default. In the event the default remains uncorrected, the party declaring default may
elect to (a) terminate the Agreement and seek damages; (b) treat the Agreement as
continuing and require specific performance; or (c) avail himself of any other remedy at
law or equity. If the non -defaulting party commences legal or equitable actions against
the defaulting party, the defaulting party shall be liable to the non -defaulting party for the
non -defaulting party's reasonable attorney fees and costs incurred because of the
default.
13. Binding Effect. This writing, together with the exhibits hereto, constitutes
the entire agreement between the parties and shall be binding upon said parties, their
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officers, employees, agents and assigns and shall inure to the benefit of the respective
survivors, heirs, personal representatives, successors and assigns of said parties.
14. Law/Severability. The laws of the State of Colorado shall govern the
construction, interpretation, execution and enforcement of this Agreement. In the event
any provision of this Agreement shall be held invalid or unenforceable by any court of
competent jurisdiction, such holding shall not invalidate or render unenforceable any
other provision of this Agreement.
15. Special Provisions. [Optional] Special provisions or conditions relating to
the services to be performed pursuant to this Agreement are set forth in Exhibit "_",
consisting of _NA ( ) page[s], attached hereto and incorporated herein by this
reference.
THE CITY OF FORT COLLINS, COLORADO
By:OE51�L`�Q X—
(Jaines B. O'Neill II, CPPO, FNIGP
Directo f Purchasing & Risk Management
DATE: 1 c7 �L 6 f UJ
Economic and Planning Systems, Inc.
Title: Poe iNc i IAA i:_
CORPORATE PRESIDENT OR VICE PRESIDENT
Date: /o -2`y-OS
ATTEST: pp
t�.�-�-sy // (Corporate Seal)
lCorporate Secretary
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Attachment A
SCOPE OF WORK
PROFESSIONAL will provide economic and financial analysis advisory services related
to pending regional retail development proposals under consideration by the City of
Fort Collins. There are three proposals currently under review as follows:
Bayer Properties - A proposal to rezone the Johnson and LSI properties on
Harmony Road.
McWhinney Enterprises - A proposal to rezone approximately 25 acres of
multifamily zoned land at Drake and Timberline.
General Growth Properties - A proposal for a major redevelopment of the Foothills
Mall and adjacent properties.
These proposals all potentially add regional retail uses and new sales tax revenues to the
City. However, the three projects are at least partially competitive and may not all be
viable. Further, each is expected to ask for some level of public financial assistance. The
City has requested PROFESSIONAL conduct a series of economic and financial analysis
tasks to help inform the following policy issues:
Is each project beneficial to the City individually and collectively and should all of
the projects be supported?
Is public financing assistance warranted, and if so how much is required to make
each individual project feasible?
Do the projects generate net new sales and property tax revenues, and what portion
of these revenues should be eligible for public investment?
SCOPE OF WORK
There are six major tasks anticipated at this time as outlined below:
Task 1: Retail Sales Flows
PROFESSIONAL will update its existing retail sales flow model estimating total City
retail sales inflow and outflows by major store category. Retail sales will be estimated
for sales to residents and inflows from the surrounding trade area. Retail expenditures
will be estimated by market segment including local expenditures and outflow (leakage)
to retail centers outside of the City. These estimates will be made accounting for the
change in retail sales patterns due to new retail development including the development
of the Shops at Centerra and the new Lowe's in Loveland.
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Task 2: Retail Sales Forecasts
PROFESSIONAL will evaluate the market viability of the proposed development plan
for each project and estimate annual retail sales levels and sales tax revenues based on
the proposed tenant mix. The net new retail sales and sales tax revenues (netting out
sales transfers or "cannibalization' from other Fort Collins stores) will be estimated for
each project individually and in combination with the other two projects utilizing
PROFESSIONAL retail sales model based on City sales tax data.
Task 3: Public Financing Requirements
All three projects are anticipated to request some level of public financing assistance
based on the City retail incentives policies established earlier this year.
PROFESSIONAL will evaluate each project's confidential development financial pro
forma to determine if there is a financing gap and need for public financing assistance.
We will also estimate the amount of public financing required to make the project viable
as well as any financing incentives warranted due to retail competition issues with sites
outside of the City.
Task 4: Financing Strategies
Based on the financial needs and individual circumstances of each project,
PROFESSIONAL will evaluate specific financing mechanisms and approaches. The
available incentives could include TIF, sales tax revenue sharing, PIFs, impact fee
deferrals or waivers, and/or combinations of the above. PROFESSIONAL will evaluate
and recommend alternative approaches to each project and work with the City to
develop a public financing plan for each project.
Task 5: Report and Presentations
PROFESSIONAL will prepare a concise 20 to 25 page decision level report summarizing
the economic analysis and financing options for staff and council review. One City
Council meeting is anticipated to present the results of the analysis.
Task 6: Advisory Services
PROFESSIONAL would continue to work with City staff and City Council through the
development approval process attending appropriate public meetings and evaluating
financial and economic issues on an as needed basis.
BUDGET AND SCHEDULE
It is recognized that the project work plan is expected to evolve as the details on each
project are fleshed out. We therefore propose to initiate work on a time and materials
basis with an initial upset limit of $25,000 for Tasks 1-5. The contract can be amended by
mutual consent on an as needed basis. The PROFESSIONAL billing rates by staff level
are attached (Attachment B.). Professional will start on this assignment immediately
and will establish a project schedule for the specific tasks as soon as the required project
development programs and financial pro formas are available.
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EPS DENVER 2005 HOURLY BILLING RATES
Managing Principal $250
Principal $190
Vice President $150
Senior Associate $120
Associate $95
Research Analyst II $75
Research Analyst I $60
Production and Administrative Staff $60
10/14/2005