CONSULTANT AGREEMENT
BETWEEN TISCHLER & ASSOCIATES, INC. AND
THE CITY OF LAWRENCE, KANSAS
THIS
AGREEMENT, entered into this ______
day of __________, 2004, by and between the City of Lawrence, Kansas,
hereinafter called the “City”, and Tischler and Associates, Inc.,
hereinafter called the “Consultant”.
WHEREAS the City is in need of certain services; and
WHEREAS the Consultant has expertise in impact fee
preparation and related activities.
NOW,
THEREFORE, IN CONSIDERATION OF THE COVENANTS HEREIN CONTAINED, and for other good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged by each party to the
other, it is hereby agreed as follows:
1. The
Consultant shall provide those services to the City as more particularly
identified in the attached Exhibit “A”.
2. In
performing the services identified in the attached Exhibit “A”, the Consultant
shall perform all steps necessary to the full and effective performance of the
tasks specifically referenced in Exhibit “A”.
3. Consultant
shall provide sufficient qualified personnel to perform all services as
required herein, including but not limited to inspections and preparation of
reports, as reasonably requested by representatives of the City.
4.
The Consultant shall base the analysis on data and information
available at the time of the study.
5. (A)
The term of this agreement shall be from the date of execution of the
Agreement, and shall terminate upon the completion of Phases I - III specified
in Exhibit “A”.
(B) Notwithstanding the foregoing, this
Agreement may be terminated by the City upon ten (10) days written
notice, with or without cause. If this Agreement is terminated, the Consultant
shall be paid for services performed to the date of Consultant’s receipt of
such termination notice.
6. Any
notices to be given by either party to the other must be in writing, and
personally delivered or mailed by prepaid postage and certified mail, at the
following address:
City: David Corliss, Assistant City Manager, City of Lawrence, City Hall,
6 E. 6th Street Lawrence, KS 66044. Telephone number (785)
832-3400. Facsimile number (785) 832-3405.
Consultant: Paul S. Tischler, Tischler & Associates, Inc., 4701 Sangamore Road, Suite N210, Bethesda, MD 20817. Telephone number (800) 424-4318. Facsimile number
(301) 320-4860.
7. This
Agreement is non-assignable by the Consultant and its subcontractors.
8. The City shall pay to Consultant the
amounts indicated in Exhibit “B” for those tasks requested in Phases I - III.
Invoices will be issued by the Consultant to the City on a percentage
completion basis. Payment will be made by the City within 30 days of
receipt of invoice.
9. This
Agreement shall be construed under the laws of Kansas.
10. This
Agreement and Exhibits “A” and “B” represent the entire and integrated
Agreement between the City and the Consultant and supersede all prior
negotiations, representations, or agreements, either written or oral. This
Agreement may be amended only by written instrument signed by both the City
and the Consultant. Written and signed amendments shall automatically become
part of the Agreement, and shall supersede any inconsistent provision therein;
provided, however, that any apparent inconsistency shall be resolved, if
possible, by construing the provisions as mutually complementary and
supplementary.
11. In
the event
any provision of the Agreement shall be held to be invalid and unenforceable,
the remaining provisions shall be valid and binding upon the parties. One or
more waivers by either party of any provisions, terms, conditions, or covenant
shall not be construed by the other party as a subsequent breach of the same by
the other party.
12. The
Consultant hereby agrees to indemnify and hold harmless the City, its
departments and divisions, its employees and agents, from any and all claims,
liabilities, expenses or lawsuits caused by the Consultant’s breach of contract
or the negligent performance by Consultant (or by any person acting for the
Consultant or for whom the Consultant is responsible).
13. The
Consultant shall secure and maintain during the life of this Agreement,
insurance coverage which shall include comprehensive general and automobile
liability in the amount of at least $1,000,000.00 coverage with an insurer acceptable
to the City. Consultant shall also maintain errors and omissions
insurance in the amount of at least $250,000.00 for the duration of the
contract and a period of two years after completion of the contract.
Consultant shall provide the City with proof of such insurance in a form
acceptable to City upon request.
14. No
oral orders, objection, claim, or notice by any party to the other shall affect
or modify any of the terms or obligations contained in the Agreement, and none
of the provisions of this Agreement shall be held to be waived or modified by
reason of any act whatsoever, other than by a definitely agreed waiver or
modification thereof in writing. No evidence of modification or waiver other
than evidence of any such written notice, waiver, or modifications shall be
introduced in any proceeding.
IN
WITNESS WHEREOF, the parties have
caused the Agreement to be signed by their duly authorized representatives as
of the ______ day of __________, 2004.
CITY:
___________________________
David Corliss, Asst. City Manager
Lawrence, Kansas
CONSULTANT:
___________________________
Paul
S. Tischler
Tischler
& Associates, Inc.
EXHIBIT A
WORK SCOPE
TA will review relevant budgets, fiscal information, planning
documents, past studies and other materials so that meaningful discussions can
be held.
TA will meet with appropriate City staff. This is likely to include at
a minimum, the City Manager, Planning Director, Finance Director and suggested
elected/appointed officials. The interviews will focus on obtaining key
information regarding the current status of fiscal evaluations of proposed
development projects/scenarios, fiscal impact data needs and approaches. The
topics discussed will pertain to current levels of service, geographic
considerations, possible growth scenarios and other issues.
In this task we will prepare a report discussing the findings of the
above task. The report will discuss the major issues, findings and
recommendations regarding which fiscal impact approach (i.e. average cost or
case study-marginal approach) is appropriate. Potential limitations will be
discussed, as will trade-offs. As appropriate, suggested work tasks under
different methodologies will be recommended and likely consulting costs will be
discussed. In summary, this report will be a road map for interested parties
that will discuss the suggested services and route to implementing fiscal
impact evaluations answering different questions.
Deliverable: Fiscal Impact Feasibility Analysis Report
TA
will meet with appropriate City officials to present the findings and answer
questions.
Make
changes to the work scope based on the two tasks above.
Deliverable: Revised Work Scope as Appropriate
Phase II - Fiscal Impact Analysis
In the Phase I feasibility analysis, we will discuss in
further detail the different approaches to fiscal impact analysis, as well as
the potential limitations and trade-offs. The meetings we will have had with
City staff will have provided us with a better understanding of the available
data, which is an important consideration when determining which type of
analysis will be of the most benefit to the City. Based on our discussions and
evaluation of relevant data and materials, we will recommend the preferred
approach. The work scope for the one or both of two likely approaches that
would be pursued by the City in Phase II is discussed below.
TA
and City staff may decide that a Cost of Land Use Fiscal Analysis, focusing on
the average cost concept, is the preferred work product. In this type of
analysis the characteristics of various residential (i.e. single family,
townhouse, apartment) and nonresidential (i.e. 1,000 square feet of retail,
industrial, office) “prototypes” are defined and a “snapshot,” modified average
cost-per capita approach is used to determine the annual costs and revenues for
each prototype to understand the generalized impacts each land use independently
has on a local government’s budget. The factors used to define these
prototypes typically include persons per household, employment density, vehicle
trips, assessed value, etc.
TA will review up to ten land use categories suggested
by the Client and suggest any changes.
Deliverable: Memorandum Discussing Prototype
Land Use Categories
Based on interviews with City service providers, we will
assign costs and revenues to each land use prototype based on factors such as
household size, vehicle trip generation rates and employment density.
Deliverable: Memorandum Discussing Cost and Revenue Factors
Based on the above tasks TA will calculate the fiscal
impact results by prototype land use.
A
succinct fiscal impact report will be prepared
discussing the full cost allocation for each prototype land use. The report will discuss the average share of
capital costs, operating expenses and revenues by land use type. The
residential results will be presented on a per unit basis and the
nonresidential on a per 1,000 square foot basis. There will be graphs
as well as tables showing the net surplus or deficit for each of the land use
categories. This should be beneficial in understanding the appropriate mixes
of different types of land use. The table of contents may be as follows:
- Executive Summary
- Average Annual Results by Prototype
- Fiscal Implications
- Annual Revenue by Prototype
- Annual Costs by Prototype
- Cost and Revenue Assumptions
A draft report will be provided to the client for review. After
mutually agreed changes are made, a final report will be sent.
Deliverable: Draft and Final Cost of Land Use Fiscal Impact Reports
TA
will present the findings of the cost of land use fiscal analysis report.
To assist the Client in defining scenarios, TA will
conduct a "brainstorming" session. The intent is to agree on the
land use categories, scenario(s), allocation to fiscal analysis zone
(geographic subarea), timeframe and other relevant topics. The population,
household and employment projections could cover a 5 to 20-year time period.
After the Client completes the scenario projections and prepares the
accompanying narrative, TA will prepare a memorandum reflecting the comments on
projections for each scenario(s).
Deliverable: Memorandum Discussing Land Use Scenario(s)
In this task we will conduct onsite interviews with
personnel from the various City departments and service providers. It is
anticipated this will include activities funded through the General Fund. The
purpose of these onsite interviews is to provide TA with an understanding of
the department structure and scope of operations, discuss facility-related
variable costs and other operating expenses, as well as discuss and agree upon
methodologies for forecasting future demand for services and facilities. The
demand sources for the various City services and facilities will vary by
activity and department. The demands for City services can also vary by the
type of development as well as geographic location. TA will supplement this
task with our extensive national as well as recent regional experience
conducting fiscal impact analyses. This experience allows us to facilitate
meaningful conversations with City service providers and identify cost drivers
for specific services that can vary due to the unique characteristics of a
jurisdiction. For example, discussion with the public works department in one
community may indicate the best driver for non-salary operating costs for road
maintenance is additional road mileage, where in another community it may be additional
vehicle trips.
Information
obtained during the previous task will be described in narrative form in a
Level of Service, Cost and Revenue Factor Document. This document will discuss
the different cost components for the various City service providers, including
both facility and non-facility related operating expenses, methodologies for
forecasting future capital facility needs and associated operating expenses.
The document will also contain a separate chapter discussing revenue sources
and associated projection methodologies. A draft will be sent to the Client,
and after mutually agreed upon changes are made, a final document issued.
Deliverable: Memorandum Discussing Cost and Revenue Factors
Based
on the methodologies and factors contained in the Level of Service Document
prepared in the previous task, TA will
develop the fiscal model for this assignment.
TA will prepare a fiscal impact report that describes in
succinct fashion the fiscal findings for the different alternatives. It is
anticipated the report will have the following categories.
-
Executive
Summary
-
Cumulative
Fiscal Results By Alternative(s)
-
Annual
Fiscal Results By Alternative(s)
-
Average
Annual Fiscal Impact Results By Alternative(s)
-
Major
Revenue Findings
-
Major
Capital Cost Findings
-
Major
Operating Expense Findings
The fiscal report will
be a stand-alone document that will be clearly understood by all interested
parties. The analysis will address each scenario. The fiscal impact report
will present all of the major findings and the reasons for the results. This
will include issues regarding differences between the alternatives, spatial
distribution, staging, and other issues.
Deliverable: Draft and Final Growth Alternative(s) Fiscal Impact
Reports
TA
will present the findings of the fiscal impact report.
Phase III – Revenue/Implementation Strategies
The
fiscal impact analysis will establish the
context in which the demand for City services and infrastructure is occurring.
It will also project the likely shortfall to fund this demand. This will
ensure a complete understanding of the current situation and provide a level
base from which all stakeholders can begin the discussion and understanding of
financing options. The following tasks are recommended to provide a complete
analysis of the financing options available to the City to fund its
infrastructure and service delivery needs.
Task 1: Analysis of Infrastructure
Financing Options
This task includes several subtasks. The objective is
to produce a “matrix” of financing options, the pros and cons of which can be
viewed according to several factors.
a.
Description of Financing
Options – TA will provide a
detailed narrative describing each financing option.
b.
Financial Requirements and
Limitations of Financing Options – In
this subtask TA will evaluate how the various financing options fit in the
City’s overall fiscal structure and financial management policies. This
subtask also involves TA evaluating the revenue alternatives using a variety of
fiscal measures in the categories of yield, volatility, predictability, and equity.
c.
Legal Requirements and
Limitations of Financing Options – In
this subtask HNTB will examine the City’s ability to legally expand and/or
increase existing revenue sources and rates. Components of this subtask include
citing specific sections of the Kansas Statutes, state case law, federal legal
precedents, and steps the City would need to enact revenue alternatives. This
will also include an examination of legal limitations on revenue alternatives.
d.
“Appropriateness” and
Applicability of Financing Options
– Based on our on site work and national and state experience, we will evaluate
the possible effect of the financing strategy on the greater
Lawrence community. We will evaluate the revenue alternatives based on
non-legal, non-financial factors such as public acceptance, administrative
feasibility, cost of implementation, and technical ease.
Task
2: Public
Participation and Education
As
part of this process we will collect input from stakeholders. This will
include residents, neighborhood associations, developers, affected public
entities and others. Our products and presentations will allow those
designated by the City to understand the background, reasoning, and approaches
utilized in this process and raise any questions about the information being
used.
No
matter what techniques are used, TA and HNTB recognize that a proactive
approach to public involvement leads to successful projects. Involving the
public early in the planning and decision-making process greatly reduces the
possibility of schedule delays, budget overruns and costly legal processing
during later design and construction phases.
Deliverable: Materials and Graphics as Appropriate
TA
will prepare a draft report which will include at a minimum the following
information:
Ø
Executive Summary.
Ø
A detailed description of revenue
alternatives available.
Ø
A “matrix” of revenue options
available to the City, how they are apportioned and the pros and cons.
Ø
Financial and legal information
which adequately explain the financing options available to the City.
Following the City’s
review of the draft report, we will make mutually agreed upon changes and issue
the final report.
Deliverable: Draft and Final Financing Options Report
We will present the
findings and recommendations to the City Council.
Task 5: Implementation of Financing Options (Optional)
The consultant team will
assist the City in implementing the financing options. This task might include
the following subtasks:
Ø
Additional presentations to
citizens, stakeholders.
Ø
Assistance in preparing ordinances
(if legal action is needed for implementation).
Ø
Presentation to state legislators,
municipal associations, etc. (if state enabling legislation is required for implementation).
Ø
Analysis of revenue alternatives
for achieving “revenue neutral” proposals for raising revenues or implementing
new revenue sources.
