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HomeMy WebLinkAboutCotton, Shires and Associates,Inc. • CONSULTING SERVICES AGREEMENT BETWEEN THE TOWN OF LOS ALTOS HILLS AND COTTON, SHIRES AND ASSOCIATES,INC. THIS AGREEMENT for consulting services is made by and between the Town of Los Altos Hills "Town") and Cotton, Shires and Associates, Inc. ("Consultant") (together referred to as the"Parties") as of ,2011 (the"Effective Date"). Section 1. SERVICES. Subject to the terms and conditions set forth in this Agreement, Consultant shall provide to Town the services described in the Scope of Work attached as Exhibit A, and incorporated herein, at the time and place and in the manner specified therein. In the event of a conflict in or inconsistency between the terms of this Agreement and Exhibit A, the Agreement shall prevail. 1.1 Term of Services. The term of this Agreement shall begin on the Effective Date and shall end on February 15,2011,and Consultant shall complete the work described in Exhibit A on or before that date, unless the term of the Agreement is otherwise terminated or extended, as provided for in Section 8. The time provided to Consultant to complete the services required by this Agreement shall not affect the Town's right to terminate the Agreement, as referenced in Section 8. 1.2 Standard of Performance. Consultant shall perform all services required pursuant to this Agreement according to the standards observed by a competent practitioner of the profession in which Consultant is engaged. 1.3 Assignment of Personnel. Consultant shall assign only competent personnel to perform services pursuant to this Agreement. In the event that Town,in its sole discretion, at any time during the term of this Agreement,desires the reassignment of any such persons, Consultant shall, immediately upon receiving notice from Town of such desire of Town, reassign such person or persons. 1.4 Time. Consultant shall devote such time to the performance of services pursuant to this Agreement as may be reasonably necessary to meet the standard of performance provided in Section 1.1 above and to satisfy Consultant's obligations hereunder. 1.5 Public Works Requirements. Because the services described in Exhibit A include°work performed during the design and preconstruction phases of construction including, but not limited to, inspection and land surveying work,the services constitute a public works within the definition of Section 1720(a)(1)of the California Labor Code. As a result, Consultant is required to comply with the provisions of the Labor Code applicable to public works, to the extent set forth in Exhibit C. Consultant shall waive, indemnify, hold harmless, and defend Town concerning any liability arising out of Labor Code Section 1720 et seq. Consulting Services Agreement between Town of Los Altos Hills and Cotton,Shires and Associates, Inc. Page 1 of 14 ri Section 2. COMPENSATION. Town hereby agrees to pay Consultant a sum not to exceed $28,000.00,notwithstanding any contrary indications that may be contained in Consultant's proposal, for services to be performed and reimbursable costs incurred under this Agreement. In the event of a conflict between this Agreement and Consultant's proposal, attached as Exhibit A, regarding the amount of compensation,the Agreement shall prevail. Town shall pay Consultant for services rendered pursuant to this Agreement at the time and in the manner set forth herein. The payments specified below shall be the only payments from Town to Consultant for services rendered pursuant to this Agreement. Consultant shall submit all invoices to Town in the manner specified herein. Except as specifically authorized by Town in writing, Consultant shall not bill Town for duplicate services performed by more than one person. Consultant and Town acknowledge and agree that compensation paid by Town to Consultant under this Agreement is based upon Consultant's estimated costs of providing the services required hereunder, including salaries and benefits of employees and subcontractors of Consultant. Consequently,the parties further agree that compensation hereunder is intended to include the costs of contributions to any pensions and/or annuities to which Consultant and its employees, agents, and subcontractors may be eligible. Town therefore has no responsibility for such contributions beyond compensation required under this Agreement. 2.1 Invoices. Consultant shall submit invoices, not more often than once a month during the term of this Agreement, based on the cost for services performed and reimbursable costs incurred prior to the invoice date. Invoices shall contain the following information: • Serial identifications of progress bills; i.e., Progress Bill No. 1 for the first invoice, etc.; • The beginning and ending dates of the billing period; • A Task Summary containing the original contract amount, the amount of prior billings, the total due this period, the balance available under the Agreement,and the percentage of completion; • At Town's option,for each work item in each task, a copy of the applicable time entries or time sheets shall be submitted showing the name of the person doing the work, the hours spent by each person,a brief description of the work, and each reimbursable expense; • The total number of hours of work performed under the Agreement by Consultant and each employee,agent,and subcontractor of Consultant performing services hereunder; • The Consultant's signature; • Consultant shall give separate notice to the Town when the total number of hours worked by Consultant and any individual employee,agent, or subcontractor of Consultant reaches or exceeds 800 hours within a 12-month period under this Agreement and any other agreement between Consultant and Town. Such notice shall include an estimate of the time necessary to complete work described in Exhibit A and the estimate of time necessary to complete work under any other agreement between Consultant and Town, if applicable. Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 2 of 14 it 2.2 Monthly Payment. Town shall make monthly payments, based on invoices received,for services satisfactodly performed, and for authorized reimbursable costs incurred. Town shall have 30 days from the receipt of an invoice that complies with all of the requirements above to pay Consultant. 2.3 Final Payment. Town shall pay the last 10%of the total sum due pursuant to this Agreement within 60 days after completion of the services and submittal to Town of a final invoice, if all services required have been satisfactorily performed. 2.4 Total Payment. Town shall pay for the services to be rendered by Consultant pursuant to this Agreement. Town shall not pay any additional sum for any expense or cost whatsoever incurred by Consultant in rendering services pursuant to this Agreement. Town shall make no payment for any extra,further,or additional service pursuant to this Agreement. In no event shall Consultant submit any invoice for an amount in excess of the maximum amount of compensation provided above either for a task or for the entire Agreement, unless the Agreement is modified prior to the submission of such an invoice by a properly executed change order or amendment 2.5 Hourly Fees. Fees for work performed by Consultant on an hourly basis shall not exceed the amounts shown on the compensation schedule attached hereto as Exhibit B. 2.6 Reimbursable Expenses. Reimbursable expenses are included in the total amount of compensation provided under this Agreement that shall not be exceeded. 2.7 Payment of Taxes. Consultant is solely responsible for the payment of employment taxes incurred under this Agreement and any similar federal or state taxes. 2.8 Payment upon Termination. In the event that the Town or Consultant terminates this Agreement pursuant to Section 8,the Town shall compensate the Consultant for all outstanding costs and reimbursable expenses incurred for work satisfactodly completed as of the date of written notice of termination. Consultant shall maintain adequate logs and timesheets to verify costs incurred to that date. 2.9 Authorization to Perform Services. The Consultant is not authorized to perform any services or incur any costs whatsoever under the terms of this Agreement until receipt of authorization from the Contract Administrator. Section 3. FACILITIES AND EQUIPMENT. Except as set forth herein,Consultant shall, at its sole cost and expense,provide all facilities and equipment that may be necessary to perform the services required by this Agreement. Section 4. INSURANCE REQUIREMENTS. Before beginning any work under this Agreement, Consultant,at its own cost and expense, unless otherwise specified below, shall procure the types and amounts of insurance listed below against claims for injuries to persons or damages to property that may Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 3 of 14 V arise from or in connection with the performance of the work hereunder by the Consultant and its agents, representatives,employees,and subcontractors. Consistent with the following provisions, Consultant shall provide proof satisfactory to Town of such insurance that meets the requirements of this section and under forms of insurance satisfactory in all respects, and that such insurance is in effect prior to beginning work to the Town. Consultant shall maintain the insurance policies required by this section throughout the term of this Agreement. The cost of such insurance shall be included in the Consultants bid. Consultant shall not allow any subcontractor to commence work on any subcontract until Consultant has obtained all insurance required herein for the subcontractor(s) and provided evidence that such insurance is in effect to Town. Verification of the required insurance shall be submitted and made part of this Agreement prior to execution. Consultant shall maintain all required insurance listed herein for the duration of this Agreement. 4.1 Workers' Compensation. Consultant shall, at its sole cost and expense, maintain Statutory Workers' Compensation Insurance and Employer's Liability Insurance for any and all persons employed directly or indirectly by Consultant. The Statutory Workers' Compensation Insurance and Employer's Liability Insurance shall be provided with limits of not less than$1,000,000 per accident. In the alternative,Consultant may rely on a self- insurance program to meet those requirements,but only if the program of self-insurance complies fully with the provisions of the California Labor Code. Determination of whether a self-insurance program meets the standards of the Labor Code shall be solely in the discretion of the Contract Administrator. The insurer, if insurance is provided,or the Consultant, if a program of self-insurance is provided,shall waive all rights of subrogation against the Town and its officers, officials, employees, and volunteers for loss arising from work performed under this Agreement. 4.2 Commercial General and Automobile Liability Insurance. 4.2.1 General requirements. Consultant,at its own cost and expense,shall maintain commercial general and automobile liability insurance for the term of this Agreement in an amount not less than$1,000,000 per occurrence,combined single limit coverage for risks associated with the work contemplated by this Agreement. If a Commercial General Liability Insurance or an Automobile Liability form or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to the work to be performed under this Agreement or the general aggregate limit shall be at least twice the required occurrence limit. Such coverage shall include but shall not be limited to, protection against claims arising from bodily and personal injury, including death resulting therefrom, and damage to property resulting from activities contemplated under this Agreement,including the use of owned and non-owned automobiles. 42.2 Minimum scope of coverage. Commercial general coverage shall be at least as broad as Insurance Services Office Commercial General Liability occurrence form CG 0001 (most recent edition)covering comprehensive General Liability on an "occurrence"basis. Automobile coverage shall be at least as broad as Insurance Services Office Automobile Liability form CA 0001 (most recent edition), Code 1 (any auto). No endorsement shall be attached limiting the coverage. Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 4 of 14 160 6110 4.2.3 Additional requirements. Each of the following shall be included in the insurance coverage or added as a certified endorsement to the policy: a. The Insurance shall cover on an occurrence or an occurrence basis, and not on a claims-made basis. b. Town, its officers,officials,employees,and volunteers are to be covered as insureds as respects: liability arising out of work or operations performed by or on behalf of the Consultant;or automobiles owned, leased, hired,or borrowed by the Consultant c. For any claims related to this Agreement or the work hereunder,the Consultant's insurance covered shall be primary insurance as respects the Town, its officers,officials,employees, and volunteers. Any insurance or self-insurance maintained by the Town, its officers,officials, employees, or volunteers shall be excess of the Consultant's insurance and shall not contribute with it. d. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled by either party,except after 30 days' prior written notice has been provided to the Town. 4.3 Professional Liability Insurance. 4.3.1 General requirements. Consultant, at its own cost and expense,shall maintain for the period covered by this Agreement professional liability insurance for licensed professionals performing work pursuant to this Agreement in an amount not less than $1,000,000 covering the licensed professionals'errors and omissions. Any deductible or self-insured retention shall not exceed$150,000 per claim. 4.3.2 Claims-made limitations. The following provisions shall apply if the professional liability coverage is written on a claims-made form: a. The retroactive date of the policy must be shown and must be before the date of the Agreement. b. Insurance must be maintained and evidence of insurance must be provided for at least five years after completion of the Agreement or the work, so long as commercially available at reasonable rates. c. If coverage is canceled or not renewed and it is not replaced with another claims-made policy form with a retroactive date that precedes the date of this Agreement,Consultant must purchase an extended period coverage for a minimum of five years after completion of work under this Agreement. Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 5 of 14 V V d. A copy of the claim reporting requirements must be submitted to the Town for review prior to the commencement of any work under this Agreement. 4.4 All Policies Requirements. 4.4.1 Acceptability of insurers. All insurance required by this section is to be placed with insurers with a Bests' rating of no less than A:VII. 4.4.2 Verification of coverage. Prior to beginning any work under this Agreement, Consultant shall furnish Town with complete copies of all policies delivered to Consultant by the insurer, including complete copies of all endorsements attached to those policies. All copies of policies and endorsements shall show the signature of a person authorized by that insurer to bind coverage on its behalf. If the Town does not receive the required insurance documents prior to the Consultant beginning work, it shall not waive the Consultant's obligation to provide them. The Town reserves the right to require complete copies of all required insurance policies at any time. 4.4.3 Deductibles and Self-Insured Retentions. Consultant shall disclose to and obtain the written approval of Town for the self-insured retentions and deductibles before beginning any of the services or work called for by any term of this Agreement. At the option of the Town,either:the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the Town, its officers, employees, and volunteers;or the Consultant shall provide a financial guarantee satisfactory to the Town guaranteeing payment of losses and related investigations, claim administration and defense expenses. 4.4.4 Wasting Policies. No policy required by this Section 4 shall include a"wasting" policy limit(i.e.limit that is eroded by the cost of defense). 4.4.5 Waiver of Subrogation, Consultant hereby agrees to waive subrogation which any insurer or contractor may require from vendor by virtue of the payment of any loss. Consultant agrees to obtain any endorsements that may be necessary to affect this waiver of subrogation. The Workers'Compensation policy shall be endorsed with a waiver of subrogation in favor of the entity for all work performed by the consultant,its employees, agents,and subcontractors. 4.4.6 Subcontractors. Consultant shall include all subcontractors as insureds under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the requirements stated herein. Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 6 of 14 V 4.5 Remedies. In addition to any other remedies Town may have if Consultant fails to provide or maintain any insurance policies or policy endorsements to the extent and within the time herein required,Town may, at its sole option exercise any of the following remedies, which are alternatives to other remedies Town may have and are not the exclusive remedy for Consultant's breach: • Obtain such insurance and deduct and retain the amount of the premiums for such insurance from any sums due under the Agreement; • Order Consultant to stop work under this Agreement or withhold any payment that becomes due to Consultant hereunder,or both stop work and withhold any payment, until Consultant demonstrates compliance with the requirements hereof; and/or • Terminate this Pe.) Agreement. Section 5. INDEMNIFICATION AND CONSULTANTS RESPONSIBILITIES. Consultant shall indemnify,defend with counsel acceptable to Town, and hold harmless Tow and its officers,officials,employees, agents and volunteers from and against any and all liability,I s,damage, claims,expenses,and costs(including without limitation,attorney's fees and costs and f s of litigation) (collectively, "Liability")of every nature arising out of or in connection with Consultant' erformance of the TS Services or its failure to comply with any of its obligations contained in this Agreemen ,except such Liability c c caused by the sole negligence or willful misconduct of Town. The Consultant's obligation to defend and indemnify shall not be excused because of the Consultants inability to evaluate Liability or because the Consultant evaluates Liability and determines that the Consultant is not liable to the claimant. The Consultant must respond within 30 days,to the tender of any claim for defense and indemnity by the Town, unless this time has been extended by the Town. If the Consultant fails to accept or reject a tender of defense and indemnity within 30 days, in addition to any other remedy authorized by law,so much of the money due the Consultant under and by virtue of this Agreement as shall reasonably be considered necessary by the Town, may be retained by the Town until disposition has been made of the claim or suit for damages, or until the Consultant accepts or rejects the tender of defense,whichever occurs first. With respect to third party claims against the Consultant, the Consultant waives any and all rights of any type to express or implied indemnity against the Indemnitees. Notwithstanding the forgoing, to the extent this Agreement is a"construction contract"as defined by California Civil Code Section 2782, as may be amended from time to time, such duties of consultant to indemnify shall not apply when to do so would be prohibited by California Civil Code Section 2782. In the event that Consultant or any employee,agent, or subcontractor of Consultant providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees Retirement System(PERS)to be eligible for enrollment in PERS as an employee of Town, Consultant shall indemnify,defend, and hold harmless Town for the payment of any employee and/or employer contributions for PERS benefits on behalf of Consultant or its employees, agents,or subcontractors,as well Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 7 of 14 11111/ 'SO as for the payment of any penalties and interest on such contributions,which would otherwise be the responsibility of Town. Section 6. STATUS OF CONSULTANT. 6.1 Independent Contractor. At all times during the term of this Agreement, Consultant shall be an independent contractor and shall not be an employee of Town. Town shall have the right to control Consultant only insofar as the results of Consultant's services rendered pursuant to this Agreement and assignment of personnel pursuant to Subparagraph 1.3; however,otherwise Town shall not have the right to control the means by which Consultant accomplishes services rendered pursuant to this Agreement. Notwithstanding any other Town,state,or federal policy,rule, regulation, law,or ordinance to the contrary, Consultant and any of its employees, agents, and subcontractors providing services under this Agreement shall not qualify for or become entitled to, and hereby agree to waive any and all claims to, any compensation, benefit,or any incident of employment by Town, including but not limited to eligibility to enroll in the California Public Employees Retirement System (PERS)as an employee of Town and entitlement to any contribution to be paid by Town for employer contributions and/or employee contributions for PERS benefits. 6.2 Consultant Not an Agent. Except as Town may specify in writing,Consultant shall have no authority,express or implied, to act on behalf of Town in any capaTown whatsoever as an agent. Consultant shall have no authority,express or implied, pursuant to this Agreement to bind Town to any obligation whatsoever. Section 7. LEGAL REQUIREMENTS. 7.1 Governing Law. The laws of the State of California shall govern this Agreement. 7.2 Compliance with Applicable Laws. Consultant and any subcontractors shall comply with all laws applicable to the performance of the work hereunder. 7.3 Other Governmental Regulations. To the extent that this Agreement may be funded by fiscal assistance from another governmental entity, Consultant and any subcontractors shall comply with all applicable rules and regulations to which Town is bound by the terms of such fiscal assistance program. 7.4 Licenses and Permits. Consultant represents and warrants to Town that Consultant and its employees, agents,and any subcontractors have all licenses, permits, qualifications, and approvals of whatsoever nature that are legally required to practice their respective professions. Consultant represents and warrants to Town that Consultant and its employees, agents,any subcontractors shall, at their sole cost and expense, keep in effect at all times during the term of this Agreement any licenses, permits, and approvals that are legally required to practice their respective professions. In addition to the foregoing, Consultant and any subcontractors shall obtain and maintain during the term of this Agreement valid Business Licenses from Town. Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 8 of 14 7.5 Nondiscrimination and Equal Opportunity. Consultant shall not discriminate, on the basis of a person's race, religion, color, national origin, age, physical or mental handicap or disability, medical condition, marital status,sex,or sexual orientation,against any employee, applicant for employment, subcontractor, bidder for a subcontract,or participant in, recipient of,or applicant for any services or programs provided by Consultant under this Agreement. Consultant shall comply with all applicable federal, state, and local laws, policies, rules,and requirements related to equal opportunity and nondiscrimination in employment,contracting, and the provision of any services that are the subject of this Agreement, including but not limited to the satisfaction of any positive obligations required of Consultant thereby. Consultant shall include the provisions of this Subsection in any subcontract approved by the Contract Administrator or this Agreement. Section 8. TERMINATION AND MODIFICATION. 8.1 Termination. Town may cancel this Agreement at any time and without cause upon written notification to Consultant. Consultant may cancel this Agreement upon 30 days'written notice to Town and shall include in such notice the reasons for cancellation. In the event of termination, Consultant shall be entitled to compensation for services performed to the effective date of termination;Town, however, may condition payment of such compensation upon Consultant delivering to Town any or all documents, photographs,computer software,video and audio tapes, and other materials provided to Consultant or prepared by or for Consultant or the Town in connection with this Agreement. 8.2 Extension. Town may, in its sole and exclusive discretion,extend the end dale of this Agreement beyond that provided for in Subsection 1.1. Any such extension shall require a written amendment to this Agreement, as provided for herein. Consultant understands and agrees that, if Town grants such an extension,Town shall have no obligation to provide Consultant with compensation beyond the maximum amount provided for in this Agreement. Similarly, unless authorized by the Contract Administrator,Town shall have no obligation to reimburse Consultant for any otherwise reimbursable expenses incurred during the extension period. 8.3 Amendments. The parties may amend this Agreement only by a writing signed by all the parties. 8.4 Assignment and Subcontracting. Town and Consultant recognize and agree that this Agreement contemplates personal performance by Consultant and is based upon a determination of Consultant's unique personal competence,experience, and specialized personal knowledge. Moreover, a substantial inducement to Town for entering into this Agreement was and is the professional reputation and competence of Consultant. Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 9 of 14 4I Consultant may not assign this Agreement or any interest therein without the prior written approval of the Contract Administrator, Consultant shall not subcontract any portion of the performance contemplated and provided for herein,other than to the subcontractors noted in the proposal,without prior written approval of the Contract Administrator. 8,5 Survival. All obligations arising prior to the termination of this Agreement and all provisions of this Agreement allocating liability between Town and Consultant shall survive the termination of this Agreement. 8.6 Options upon Breach by Consultant. If Consultant materially breaches any of the terms of this Agreement,Town's remedies shall included,but not be limited to,the following: 8.6.1 Immediately terminate the Agreement; 8.6.2 Retain the plans, specifications,drawings, reports,design documents,and any other work product prepared by Consultant pursuant to this Agreement; 8.6.3 Retain a different consultant to complete the work described in Exhibit A not finished by Consultant;or 8.6.4 Charge Consultant the difference between the cost to complete the work described in Exhibit A that is unfinished at the time of breach and the amount that Town would have paid Consultant pursuant to Section 2 if Consultant had completed the work. Section 9. KEEPING AND STATUS OF RECORDS. 9.1 Records Created as Part of Consultant's Performance. All reports, data,maps, models,charts, studies,surveys, photographs, memoranda, plans,studies,specifications, records,files,or any other documents or materials,in electronic or any other form,that Consultant prepares or obtains pursuant to this Agreement and that relate to the matters covered hereunder shall be the property of the Town. Consultant hereby agrees to deliver those documents to the Town upon termination of the Agreement. It is understood and agreed that the documents and other materials, including but not limited to those described above, prepared pursuant to this Agreement are prepared specifically for the Town and are not necessarily suitable for any future or other use. Town and Consultant agree that, until final approval by Town, all data, plans, specifications, reports and other documents are confidential and will not be released to third parties without prior written consent of both parties. 9.2 Consultant's Books and Records. Consultant shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, and other records or documents evidencing or relating to charges for services or expenditures and disbursements charged to the Town under this Agreement for a minimum of 3 years, or for any longer period required by law,from the date of final payment to the Consultant to this Agreement. Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 10 of 14 V 191111) 9.3 Inspection and Audit of Records. Any records or documents that Section 9.2 of this Agreement requires Consultant to maintain shall be made available for inspection,audit, and/or copying at any time during regular business hours, upon oral or written request of the Town. Under California Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds$10,000.00,the Agreement shall be subject to the examination and audit of the State Auditor, at the request of Town or as part of any audit of the Town,for a period of 3 years after final payment under the Agreement. Section 10 MISCELLANEOUS PROVISIONS. 10.1 Attorneys' Fees. If a party to this Agreement brings any action, including an action for declaratory relief,to enforce or interpret the provision of this Agreement,the prevailing party shall be entitled to reasonable attorneys'fees in addition to any other relief to which that party may be entitled. The cowl may set such fees in the same action or in a separate action brought for that purpose. 10.2 Venue. In the event that either party brings any action against the other under this Agreement,the parties agree that trial of such action shall be vested exclusively in the state courts of California in the County of Monterey or in the United States District Court for the Northern District of California. 10.3 Severability. If a court of competent jurisdiction finds or rules that any provision of this Agreement is invalid, void,or unenforceable,the provisions of this Agreement not so adjudged shall remain in full force and effect. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement. 10.4 No Implied Waiver of Breach. The waiver of any breach of a specific provision of this Agreement does not constitute a waiver of any other breach of that term or any other term of this Agreement. 10.5 Successors and Assigns. The provisions of this Agreement shall inure to the benefit of and shall apply to and bind the successors and assigns of the parties. 10.6 Use of Recycled Products. Consultant shall prepare and submit all reports, written studies and other printed material on recycled paper to the extent it is available at equal or less cost than virgin paper. 10.7 Conflict of Interest. Consultant may serve other clients,but none whose activities within the corporate limits of Town or whose business, regardless of location,would place Consultant in a'conflict of interest"as that term is defined in the Political Reform Act, codified at California Government Code Section 81000 et seq. Consultant shall not employ any Town official in the work performed pursuant to this Agreement. No officer or employee of Town shall have any financial interest in this Agreement that would violate California Government Code Sections 1090 et seq. Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 11 of 14 410 %Ili Consultant hereby warrants that it is not now, nor has it been in the previous 12 months, an employee, agent, appointee,or official of the Town. If Consultant was an employee, agent, appointee,or official of the Town in the previous twelve months, Consultant warrants that it did not participate in any manner in the forming of this Agreement. Consultant understands that, if this Agreement is made in violation of Government Code§ 1090 et seq.,the entire Agreement is void and Consultant will not be entitled to any compensation for services performed pursuant to this Agreement,including reimbursement of expenses, and Consultant will be required to reimburse the Town for any sums paid to the Consultant. Consultant understands that, in addition to the foregoing, it may be subject to criminal prosecution for a violation of Government Code§ 1090 and,if applicable,will be disqualified from holding public office in the State of California. 10.8 Solicitation. Consultant agrees not to solicit business at any meeting,focus group,or interview related to this Agreement, either orally or through any written materials. 10.9 Contract Administration. This Agreement shall be administered by Richard Chiu ("Contract Administrator"). All correspondence shall be directed to or through the Contract Administrator or his or her designee. 10.10 Notices. Any written notice to Consultant shall be sent to: Cotton,Shires and Associates, Inc. Attn: David T.Schrier 330 Village Lane Los Gatos, CA 95030 Any written notice to Town shall be sent to: Town of Los Altos Hills Attn: Richard Chiu 26379 Fremont Road Los Altos Hills, CA 94022 10.11 Professional Seal. Where applicable in the determination of the contract administrator, the first page of a technical report,first page of design specifications, and each page of construction drawings shall be stamped/sealed and signed by the licensed professional responsible for the report/design preparation. The stamp/seal shall be in a block entitled 'Seal and Signature of Registered Professional with report/design responsibility,"as in the following example. Seal and Signature of Registered Professional with report/design responsibility. Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 12 of 14 it 10.12 Integration. This Agreement, including the scope of work attached hereto and incorporated herein as Exhibits A,B, and C represents the entire and integrated agreement between Town and Consultant and supersedes all prior negotiations, representations,or agreements,either written or oral. Exhibit A Scope of Services Exhibit B Payment Schedule Exhibit C Public Works Requirements 10.13 Counterparts. This Agreement may be executed in multiple counterparts,each of which shall be an original and all of which together shall constitute one agreement. Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 13 of 14 V The Parties have executed this Agreement as of the Effective Date. TOWN OF LOS ALTOS HILLS CONSULTANT Loa Carl Cahill,City Manager David T. Schrier, Principal Geotechnical Engineer Ca-Neuf( Sl-wits awl Ar5sc44, (inc. Attest: Deborah L. Padovan,City Clerk Approved as to Form: Steven T. attas,City Attorney Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 14 of 14 • • RESOLUTION NO. 55-11 A RESOLUTION OF THE CITY COUNCIL OF THE TOWN OF LOS ALTOS HILLS AWARDING A CONTRACT TO PROVIDE GEOTECHNICAL AND DESIGN SERVICES FOR ELENA ROAD SLIDE REPAIR PROJECT TO COTTON SHIRES & ASSOCIATES,INC. WHEREAS, the City Engineer of the Town of Los Altos Hills did, duly examine and consider the proposal submitted for providing geotechnical and design services for Elena Road Slide Repair Project in Los Altos Hills, California; and WHEREAS, the City Engineer recommends that the contract for said project be awarded to Cotton Shires &Associates, Inc. in an amount not to exceed$28,000; NOW, THEREFORE, BE IT RESOLVED by the City Council of the Town of Los Altos Hills that: 1. The City Manager is hereby authorized and directed to execute a contract to the above- named firm on behalf of the Town of Los Altos Hills. The above and foregoing resolution was passed and adopted by the City Council of the Town of Los Altos Hills at a special meeting held on the 22nd day of September, 2011 by the following vote: AYES: Summit, Larsen, Mordo, Radford, Waldeck NOES: None ABSTAIN: None ABSENT: None • BY: Ging S it, Mayor ATTEST:- /- 4 f, - _ Deborah Pae oval,City Clerk Resolution No.55-11 Page 1 EXHIBIT A SCOPE OF SERVICES Consulting Services Agreement between Town of Los Altos Hills and Cotton,Shires and Associates, Inc Exhibit A Page 1 of 1 COTTON, SHIRES AND ASSOCIATES, INC. CONSULTING ENGINEERS AND GEOLOGISTS July 22,2011 P5421 TO: Mr.Richard Chiu Director of Public Works/City Engineer TOWN OF LOS ALTOS HILLS 26379 Fremont Road Los Altos Hills,California 94022 SUBJECT: Proposal for Geotechnical Investigation and Preparation of Plans, Specifications and Estimate RE: Elena Road Improvements,Los Altos Hills,California Dear Mr.Chiu: At your request, we have prepared this proposal for Geotechnical and Civil services. We understand that the Town would like to address instability noted along a segment of Elena Road (southeastern portion of hairpin curve located south of intersection with Foothill Lane). Monitoring of two inclinometers has indicated local ground movement to depths of 8 to 12 feet.This movement could be associated with fill materials beneath the outboard edge of the road.Multiple sets of cracks have developed in the roadway pavement typically above areas of interpreted artificial fill materials. Several observed pavement cracks have exceeded 1/e inch in width. This significantly distressed portion of the roadway is approximately 400 to 500 feet in length. We understand that a new pier-supported retaining wall is being considered by the Town to provide adequate lateral confinement and stability to the roadway. Appropriate wall dimensions(lengths and heights)are to be determined during the design process. We understand that our work is to include topographic survey and preparing a base map, site geotechnical investigation, design of retaining walls, and preparation of project plans, specifications, and construction cost estimates. Both woodlagging and concrete panel lagging walls are to be considered when preparing cost estimates. We understand that the desired wall type and alignments will be selected prior to preparation of complete construction plans and specifications. We also understand that a bound geotechnical investigation(report)it is be prepared as part of our work. We are proposing the following Scope of Work,Schedule and Fee to perform the work. Northern California Office Central California Office Southern California Office 330 Village Lane 6417 Dogtown Road 550 St.Charles Drive,Suite 108 Los Gatos,CA 95030-7218 San Andreas,CA 95249-9640 Thousand Oaks,CA 91360-3995 (908)354-5542•Fax(408)354-1852 (209)7369252•Fax(209)736-1212 (805)497-7999•Fax(805)497-7933 www.cottons hires.com V Mr.Richard Chiu July 22,2011 Page 2 P5421 SCOPE OF WORK Field Investigation A. Topographic Survey and Field Mapping - We will complete a topographic survey of the project site and adjoining slope. An engineering geologic map of the roadway alignment,focusing on the distribution of existing artificial fill materials and native earth materials,will be also prepared. This map will be the base for our design plans.Engineering geologic cross sections will be prepared to illustrate the subsurface distribution of earth materials and to display multiple profiles across the existing roadway. B. Subsurface Investigation - Based on an inspection of site conditions, we anticipate that a rubber tire drill rig can be utilized for subsurface exploration. Approximately 4 to 5 exploratory borings will be advanced and logged(depth range 20 to 30 feet) to aid in our interpretation of subsurface conditions. Selected samples will be collected for laboratory testing to determine geotechnical properties and design criteria parameters. Subsurface material characterization will directly influence wall design criteria including pier lengths along wall alignments. C. Meeting with Town Engineering Staff - We will meet with appropriate Town Staff to present preliminary findings and to discuss wall lengths, alignments, types, and height prior to proceeding with more detailed analysis and design. II. Geotechnical Analysis A. Laboratory Testing - Representative samples from the field exploration program will be tested for shear strength and index properties to help provide a basis for retaining wall design criteria parameters. B. Geotechnical Analysis - Based on the collected field data, and laboratory test results, recommended retaining wall design criteria parameters will be formulated. III, Geotechnical Report A. Preparation of Report - Results of our Field Investigation and geotechnical design recommendations will be presented in a letter report with accompanying maps and cross sections. Recommended retaining wall design criteria (active and passive COTTON,SHIRES AND ASSOCIATES, INC. Mr.Richard Chiu July 22,2011 Page 3 P5421 pressures, minimum pier depths and diameters, etc.) will be presented. N. Engineering Design A. Preparation of Drawings and Technical Specifications - We will prepare a draft and final set of plans and specifications for the project. A paper set of draft plans and specifications will be prepared for Town comments. A final set of plans and associated autocad source files will be transmitted to the Town. V. Consultation and Construction Inspection A. Consultation - We will provide consultation during the bidding phase and attend pre-bid and pre-construction meetings. B. Construction Inspection - We will provide wall layouts with suitable setbacks and observation and testing during construction. SCHEDULE We are prepared to begin the surveying and mapping work within two weeks of receipt of authorization to proceed. We will complete Tasks I through III (outlined above) in roughly 6 weeks or 4 weeks after completing subsurface investigation. We anticipate that preparation of draft plans and specifications for Task N-A will require an additional 4 weeks. FEE We propose to bill the Town for our services on a time-and-expenses basis in accordance with attached Schedule of Charges Limitations and Terms (minus 10% discount on hourly rates). We estimate the following fees for the Task I through N described above will not exceed$28,000 (including drilling and laboratory subcontractor costs). We will invoice the Town on a monthly basis for a total not-to-exceed $28,000 for Tasks I through N without prior written approval. The following is a breakdown of our estimated fees for tasks described above: Task Fee I. Field Investigation $7,500 to$8,500 IL Geotechnical Analysis Services $2,500 to$3,500 COTTON,SHIRES AND ASSOCIATES, INC. 6110 11NO Mr.Richard Chiu July 22,2011 Page 4 P5421 III. Geotechnical Report $2,500 to$3,500 IV. Engineering Design $11,500 to$12,500 V. Consultation&Construction Inspections ** **We have not provided you with a projected fee for Task V, Consultation and Construction Inspection. Due to the variability of design and contractors' schedules,it is difficult to project an accurate cost estimate for this task. Consequently we propose to invoice you on a time-and-expense basis in accordance with the attached Schedule of Charges for this task. Alternatively, we can prepare a cost estimate for these services after wall construction details have been determined and the selected contractor has provided a construction schedule. ASSUMPTIONS The proposed scope of work is based on the following assumptions: 1) we are provided with all available information regarding buried utilities or improvements prior to the drilling, and we will take every precaution, but COTTON, SHIRES AND ASSOCIATES, INC. assumes no responsibility for damage to unmarked utilities; 2) project services do not include an evaluation of the site for determining the presence or absence of wetlands or hazardous or toxic materials in the soil,bedrock, surface water, groundwater, or air, on, or below or around this site; 3)any delays/standby time due to conditions beyond our control such as security checks, site restrictions, obstructions at boring locations, etc. will be invoiced additionally on a time-and-expenses basis;4) this investigation does not include a determination of sulfates or the corrosive nature of the soil, if such a determination is required we can provide one for an additional fee; 5) the Town shall coordinate and provide traffic control on the day we perform subsurface exploration; and 6) we understand that obtaining a permit from the Town or other permitting agency is not required for our work, if a permit(s) is required we can prepare the necessary forms however,this could delay the project and increase our fees. AGREEMENT If you agree with the Scope of Work,Schedule, and Fee outlined above, as well as the Schedule of Charges, Limitation and Terms on file with the Town as part of our existing contract, please sign one copy of this proposal and return it to our office. Receipt of the signed proposal will constitute authorization for us to proceed. COTTON,SHIRES AND ASSOCIATES, INC. V Mr.Richard Chiu July 22,2011 Page 5 P5421 We look forward to providing you with the professional services discussed above.If you have any questions,or need additional information,please contact us. Respectfully submitted, COTTON,SHIRES AND ASSOCIATES, INC. TOWN GEOTECHNICAL CONSULTANT Ted Sayre Principal Engineering Geologist CEG 1795 Reviewed By: A 4'� '. i L , it 1 ' David T.Schrier Principal Geotechnical Engineer GE 2334 Approved and Authorized By Date TS:DTS:kd Attachments: Schedule of Charges COTTON,SHIRES AND ASSOCIATES, INC. id EXHIBIT B COMPENSATION SCHEDULE Consulting Services Agreement between [EFFECTIVE DATE) Town of Los Altos Hills and Cotton, Shires and Associates, Inc Exhibit B Page 1 of 1 V COTTON,SHIRES AND ASSOCIATES,INC. SCHEDULE OF CHARGES LIMITATIONS AND TERMS FOR PROFESSIONAL SERVICES Pare 1 of 2 January 2011-Los Gatos Office Personnel Charges Expert Witness Consultation Charges Senior Principal Geologist/Engineer $250/hr Principal Geologist/Engineer $210/hr Expert witness testimony for court appearances and binding arbitrations shall be charged on a daily basis(minimum one day increments)at a Supervising Geologist/Engineer $175/lu rate of$3,800 per day. Deposition testimony shall be charged at a rate of Senior Geologist/Engineer $145/hr $475 per hour (minimum one hour charge). Preparation lime for Senior Staff Geologist/Engineer $135/hr depositions or court appearances shall be charged on a time-and- expense basis in accordance with the Personnel, Equipment, and Staff Geologist/Engineer $120/hr Expense charges listed herein. Field/Laboratory Technician $100/hr Technical illustrating $85/lis Laboratory Testing and Geophysical Service Charges Clerical/Accounting $70/hr Laboratory testing and geophysical services shall be charged on a time- and-materials basis in accordance with the Personnel,Equipment, and Equipment and Supply Charges Expense charges listed herein. Inclinometer System $150/day Laboratory samples shall be stored for 60 days after the date of final Piezometer Data Acquisition System $75/day report submittal unless special anangements are made for longer Total Station Surveying Equipment $200/day storage. GPS/Reflectorless Surveying Equipment $300/day Nuclear Moisture/Unit Weight Gauge $100/day Expense Charges(Receipted Costs Plus 15%01 Rope Climbing Safety Equipment $200/day Travel expenses including air fare, lodging, vehicle rental, etc. Multi-Channel Seismograph or ReMi System $250/day (either actual receipted costs plus 15% for meals or a flat Push Camera System $300/day subsistence charge of $55 per diem for overnight stay shall be $.50 vu charged in addition to the lodging cost) Vehicle Mileage* / i Excavation subcontractors and expendable field supplies `mileage will be adjusted per IRS rate Reproduction of drawings Aircraft Mileage $1.29/n mi Film,film development,and photograph printing mcp (B&W-Color) $ 15 4Il Special fees,permits,insurance,etc Photocopying /copy Conference call telephone costs Engineering(Large Format)Copier $ .40/ft2 Special mail service(air,electronic,courier,etc.) Computer Assisted Color Plotting $10/sq.ft. Special equipment rental Special consultant fees Subcontractor fees Limitations and Terms for Professional Services AGREEMENT-This Schedule of Charges,Limitations and Terms for Professional Services as an attachment to a.signed Proposal ur Client Contract constitutes an"Agreement" between COTTON,SHIRES AND ASSOCIATES,INC.(CSA)and the Client Client has authorized commencement of the work under this Agreement by signing the"Approved by"section of the Proposal or Contract The Agreement is hereby incorporated and made part of the Contract between the parties. In consideration of the mutual Agreement set forth herein and intending to be legally bound,the parties hereto agree as to the following: Invoicing and Payment-Client shall pay CSA compensation as outlined in the Proposal or at the rates determined in the above Schedule of Charges and according to the payment terms below. Invoices may be prepared and submitted by CSA on a monthly basis or when the work is completed,at CSA's option. Payment is due upon receipt and is past due thirty(30)days from date of invoice. A service charge of 1.5%per month, or the maximum amount allowed by law,will be charged on past due accounts. Payments by Client will thereafter be applied first to accrued interest and then to the principal unpaid balance. Any attorney fees,court costs,or other costs incurred in collection of delinquent accounts shall be paid by the Client If payment of invoices is not current,CSA may suspend performing further work at no liability to CSA. Relationship between CSA and Client-CSA is retained by the Client to investigate and to consult with the Client regarding the Project,as defined in the Proposal. Client shall provide(SA in writing with all information relevant to the Project and shall advise CSA of any condition known-to Client that may affect GSA's performance under this Agreement CSA's services are for the benefit of the Client,but Client recognises that the extent of those services is limited by the time-frame chosen and the funds expended by the Client for the investigation. CSA has no responsibility for the work product of any independent consultants required for the Client's Project,nor for completeness,adequacy,or quality of said independent consultants'work,or specialty work. Information Provided by Client-CSA and the Client shall discuss and agree upon the information needed for rendering of services hereunder. The Client agrees to provide to CSA all such information as agreed to be necessary. With respect to such information, the Client understands and agrees that CSA will rely solely upon the Client to ensure the accuracy and completeness thereof,as the Client recognizes that it is impossible for CSA to assure the accuracy,completeness and sufficiency of such information. Ownership of Documents and Proprietary Information - This proposal and all documents, including, but not limited to, drawings, specifications, computer disks, reports, calculations, and estimates, prepared by CSA in connection with this Agreement ("CSA Confidential Information")are instruments of service and are intended for the sole use of the recipient hereof,and may not,except as otherwise described herein, be disclosed,distributed,or disseminated in any form without the prior written consent of GSA. The CSA Confidential Information is and shall remain the sole property of CSA.Client may distribute documents generated by CSA in connection with CSA's services under Nis Agreement to third parties,provided that said third party agrees in writing to be bound by the confidentiality and ownership of documents provisions of this Agreement. The terms of this Section shall survive the termination of this Agreement COTTON,SHIRES AND ASSOCIATES, INC. 4110 1111/0 CSA SCHEDULE OF CHARGES,LIMITATIONS AND TERMS FOR PROFESSIONAL SERVICES(Page 2 of 21 Public Liability — Cu'tON, SHIRFS AND ASSOCIATES, INC. is a California Corporation protected by Workers Compensation Insurance (and/or Employers Liability Insurance), and by Public Liability Insurance for bodily injury and property damage, and will furnish certificates thereof upon request. We assume the risk of damage to our own supplies and equipment. If your contract or purchase order places greater responsibilities upon us or requires further insurance coverage we, if specifically directed by you, will procure additional insurance(if procurable)to protect us at your expense,but we shall not be responsible for property damage from any cause,including fire and explosion,beyond the amounts of coverage of our insurance. Standard of Care and Professional Liability—In performing professional services,CSA shall use that degree of care and skill ordinarily exercised under similar circumstances by members of our profession at t e time the services are performed. No other representation or warranty, express or implied,is made or intended in this Agreement,by our proposal fur consulting services,by our furnishing oral opinion or written reports, or by our inspection or work. However,should we or any of our professional employees be found to have been negligent in the performance of professional services or to have made and breathed any express or implied warranty,you agree that the maximum aggregate amount of your recovery against us and/or said professional employees shall be limited to$50,000 or the amount of the fee paid us for professional services as computed under the SCHEDULE OF CHARGES,whichever amount is greater. Moreover,client agrees to indemnify us against damages in excess of $50,000 or the amount of our fee,whichever amount is greater,arising from suits brought against us by third parties,in connection with our work performed on your project Notices—All notices in writing to be given hereunder by either party to the other party shall be served by letter or sent by facsimile. Assignment—Neither this agreement nor the benefits or obligations under this Agreement shall be sold,assigned or transferred by either party to any third parties including subsidiary or affiliated companies without the prior written approval of the other party,with such approval not to be unreasonably withheld by either. In the event the approval is given by either for assignment or transfer,such an approval shall not relieve either from any liability and/or responsibility under the Agreement. Termination/Cancellation—Client and CSA will have the right to terminate this Agreement for their convenience by giving ten(10)days prior written notice. Atter termination,CSA will be reimbursed for.services rendered and necessary expenses incurred to the termination date upon submission to Client of detailed supporting invoices. The obligations of paragraphs 3,4,and 6 remain in effect after termination. Change in Scone of Work—If,during the performance of the work under this Agreement,it is determined that the scope of work has expanded or changed such that additional expenditures are required,the client shall be notified and approval from the client shall be received prior to the performance of the additional services. Dispute Resolution—CSA and Client recognize that disputes arising under this Agreement are best resolved at the working level by the parties directly involved. Both parties are encouraged to be imaginative in designing mechanism and procedures to resolve disputes at this level. Such efforts shall include the referral of any remaining issues in dispute to higher authority within each participating party's organization for resolution. Failing resolution of conflicts at the organizational level,CSA and Client agree that any remaining conflicts arising out of or relating to this Agreement shall be submitted to non-binding mediation unless CSA and Client mutually agree otherwise. If the dispute is not resolved through non-binding mediation,then the parties may take other appropriate action subject to the other terns of this Agreement Neither party shall hold the other responsible for damages or delay in performance caused by acts of God,strikes,lockouts,accidents or other events beyond the reasonable control of the other party, its employees or agents. Should litigation or arbitration occur between the parties relating to the provisions of this Agreement, all litigation or arbitration expenses, collection expenses, witness fees, court costs and attorneys' fees reasonably incurred by the prevailing party shall be paid by the non-prevailing party. Governing Law—The validity,performance,and construction of this Agreement,and the relationship between Client and CSA shall be governed and interpreted in accordance with the substantive laws of California,United States of America,without regard to its choice of law rules. This Agreement shall be construed as to its fair and not strictly for or against either party. Jobsite Safety-Neither the professional activities of CSA,nor the presence of CSA employees and CSA subconsultants at a construction site,shall relieve the contractor and any other entity of their obligations, duties and responsibilities including,but not limited to,construction means, methods, sequence, techniques or procedures necessary far performing, superintending or coordinating all portions of the Work of construction in accordance with the contract documents and any health of safety precautions required by any regulatory agencies. CSA and its personnel have no authority to exercise any control over any construction contractor or other entity or their employees in connection with their work or any health or safety precautions. The Client agrees that the general contractor and its various subcontractors are solely responsible for jobsite safety,and warrants that this intent shall be made evident where appropriate in the Client's agreements with other contractors. If the Client is a Contractor or Subcontractor on the Project the Client also agrees that the Client,CSA,and GSA's consultants shall be indemnified and shall be made additional insureds under the client's general liability insurance policy;in other cases,the Client agrees to arrange for this indemnification and additional insureds under the General Contractors general liability insurance policy. Field Exploration — Unless otherwise agreed,the client shall furnish right-of-entry an land for planned field operations. The client shall also provide CSA with locations and depths of buried utilities and structures. GSA shall take responsible precautions to minimize damage to land from use of equipment,but our fee does not include cost of restoration of damage resulting from our exploration operations. CSA shall nut be liable for damage or injury arising from damage to subterranean structures(pipes,tanks,-telephone cables,etc.)which are not called to our attention and correctly shown on plans famished to us. Miscellaneous-In the event of any litigation or proceeding involving CSA and Client,the prevailing party shall be entitled to recover its reasonable legal fees,expert fees,and normal employee rates and associated cost from the non-prevailing party. Failure by Client to object to any of the terms and conditions contained in this Agreement before the commencement of services by CSA will be deemed an acceptance of such terms and conditions. Notwithstanding anything to the contrary in this Agreement,CSA and Client agree that neither party shall be liable for any special, indirect,consequential,lost profits,or punitive damages. If any term,condition,or provision of this Agreement is found unenforceable by a court of law or equity,this Agreement shall be construed as though that term,condition,or provision did not exist,and its unenforceability shall have no effect whatsoever on the rest of this Agreement COTTON,SHIRES AND ASSOCIATES, INC. fr+ EXHIBIT C PROVISIONS REQUIRED FOR PUBLIC WORKS CONTRACTS PURSUANT TO CALIFORNIA LABOR CODE SECTION 1720 ET SEQ. HOURS OF WORK: A. In accordance with California Labor Code Section 1810,8 hours of labor in performance of the services described in Exhibit A shall constitute a legal day's work under this contract. B. In accordance with California Labor Code Section 1811,the time of service of any worker employed in performance of the services described in Exhibit A is limited to eight hours during any one calendar day, and forty hours during any one calendar week,except in accordance with California Labor Code Section 1815, which provides that work in excess of eight hours during any one calendar day and forty hours during any one calendar week is permitted upon compensation for all hours worked in excess of eight hours during any one calendar day and forty hours during any one calendar week at not less than one-and-one-half times the basic rate of pay. C. The Consultant and its subcontractors shall forfeit as a penalty to the Town$25 for each worker employed in the performance of the services described in Exhibit A for each calendar day during which the worker is required or permitted to work more than 8 hours in any one calendar day, or more than 40 hours in any one calendar week, in violation of the provisions of California Labor Code Section 1810 and following. WAGES: A. In accordance with California Labor Code Section 1773.2, the Town has determined the general prevailing wages in the locality in which the services described in Exhibit A are to be performed for each craft or type of work needed to be as published by the State of California Department of Industrial Relations, Division of Labor Statistics and Research, a copy of which is on file in the Town Public Works Office and shall be made available on request. The Consultant and subcontractors engaged in the performance of the services described in Exhibit A shall pay no less than these rates to all persons engaged in performance of the services described in Exhibit A, 8. In accordance with Labor Code Section 1775,the Consultant and any subcontractors engaged in performance of the services described in Exhibit A shall comply Labor Code Section 1775,which establishes a penalty of up to$50 per day for each worker engaged in the performance of the services described in Exhibit A that the Consultant or any subcontractor pays less than the specified prevailing wage, The amount of such penalty shall be determined by the Labor Commissioner and shall be based on consideration of the mistake, inadvertence,or neglect of the Consultant or subcontractor in failing to pay the correct rate of prevailing wages,or the previous record of the Consultant or subcontractor in meeting applicable prevailing wage Consulting Services Agreement between ]EFFECTIVE DATE] Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Exhibit[CI Page 1 of 3 obligations,or the willful failure by the Consultant or subcontractor to pay the correct rates of prevailing wages. A mistake, inadvertence,or neglect in failing to pay the correct rate of prevailing wages is not excusable if the Consultant or subcontractor had knowledge of their obligations under the California Labor Code. The Consultant or subcontractor shall pay the difference between the prevailing wage rates and the amount paid to each worker for each calendar day or portion thereof for which each worker was paid less than the prevailing wage rate. If a subcontractor worker engaged in performance of the services described in Exhibit A is not paid the general prevailing per diem wages by the subcontractor,the Consultant is not liable for any penalties therefore unless the Consultant had knowledge of that failure or unless the Consultant fails to comply with all of the following requirements: 1. The contract executed between the Consultant and the subcontractor for the performance of part of the services described in Exhibit A shall include a copy of the provisions of California Labor Code Sections 1771, 1775, 1776, 1777.5, 1813, and 1815. 2. The Consultant shall monitor payment of the specified general prevailing rate of per diem wages by the subcontractor by periodic review of the subcontractor's certified payroll records. 3. Upon becoming aware of a subcontractor's failure to pay the specified prevailing rate of wages,the Consultant shall diligently take corrective action to halt or rectify the failure, including, but not limited to,retaining sufficient funds due the subcontractor for performance of the services described in Exhibit A. 4. Prior to making final payment to the subcontractor,the Consultant shall obtain an affidavit signed under penalty of perjury from the subcontractor that the subcontractor has paid the specified general prevailing rate of per diem wages for employees engaged in the performance of the services described in Exhibit A and any amounts due pursuant to California Labor Code Section 1813. C. In accordance with California Labor Code Section 1776,the Consultant and each subcontractor engaged in performance of the services described in Exhibit A shall keep accurate payroll records showing the name, address, social security number, work,straight time and overtime hours worked each day and week,and the actual per diem wages paid to each journeyman, apprentice,worker,or other employee employed in performance of the services described in Exhibit A. Each payroll record shall contain or be verified by a written declaration that it is made under penalty of perjury, stating both of the following: 1. The information contained in the payroll record is true and correct. 2. The employer has complied with the requirements of Sections 1771, 1811, and 1815 for any work performed by the employers employees on the public works project. Consulting Services Agreement between [EFFECTIVE DATE] Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Exhibit 1C] Page 2 of 3 V The payroll records required pursuant to California Labor Code Section 1776 shall be certified and shall be available for inspection by the Owner and its authorized representatives,the Division of Labor Standards Enforcement, the Division of Apprenticeship Standards of the Department of Industrial Relations and shall otherwise be available for inspection in accordance with California Labor Code Section 1776. D. In accordance with California Labor Code Section 1777.5, the Consultant,on behalf of the Consultant and any subcontractors engaged in performance of the services described in Exhibit A, shall be responsible for ensuring compliance with California Labor Code Section 1777.5 governing employment and payment of apprentices on public works contracts. E. In case it becomes necessary for the Consultant or any subcontractor engaged in performance of the services described in Exhibit A to employ for the services described in Exhibit A any person in a trade or occupation (except executive,supervisory, administrative, clerical,or other non manual workers as such)for which no minimum wage rate has been determined by the Director of the Department of Industrial Relations, the Contractor shall pay the minimum rate of wages specified therein for the classification which most nearly corresponds to services described in Exhibit A to be performed by that person.The minimum rate thus furnished shall be applicable as a minimum for such trade or occupation from the time of the initial employment of the person affected and during the continuance of such employment. • Consulting Services Agreement between [EFFECTIVE DATE] Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Exhibit[C] Page 3 of 3 111) Richard Chiu From: Mattas, Steven <smattas@meyersnave.com> Sent Friday,October 07,2011 3:59 PM To: Richard Chiu Subject: RE:Agreement for Elena Road slide project Richard, This change is fine. Steve From: Richard Chiu [maitto:rchiu@losaltoshills.ca.gov] Sent: Friday, October 07, 2011 9:37 AM To: Mattas, Steven Subject: FW: Agreement for Elena Road slide project Steve, Please confirm that this is acceptable. Thanks Richard From:Ted Sayre [mailto:tsayre@cottonshires.com] Sent: Tuesday, October 04, 2011 12:05 PM To: Richard Chiu Subject FW: Agreement for Elena Road slide project Hi Richard- I need to propose a change to page 7 of the agreement for the Elena Road Project.The change is on the first page of the attachment. If the word "negligent" can be inserted as indicated (or an alternative change with similar meaning)then CSA can look past the other concerns with the agreement and sign. If this change can not be made then we will have a significant problem engaging in an agreement with the Town for this work. This situation is unfortunate as have completed many similar roadway repair design projects in the past for the Town without problems. We have entered into agreements with 12 other Cities and Towns in the Bay area for geotechnical services and we have not run into wording that is this adverse to us, as the Project Geotechnical Consultant. I have attempted to minimize discussions and time spent over this agreement by only focusing on a single important change. As you can see from the last marked-up page of the attachment from our insurance carrier, they recommend tossing out entire sections of the agreement. I have worked with Steven Mattas in the past and would be happy to speak with him about this agreement if necessary. Thanks for any assistance you can provide in this matter, 1 it V Ted Sayre Principal Engineering Geologist Cotton, Shires and Associates, Inc. 330 Village Lane Los Gatos, CA 95030 408-354-5542 ph 408-354-1852 fax tsayre@cottonshires.com From: Richard Chiu [mailto:rchiu@losaltoshills.ca.gov] Sent: Monday, October 03, 2011 10:20 AM To: Ted Sayre Subject: RE: Agreement for Elena Road slide project Ted, If you want a wet signed original, please send us 2 original signed copies. Thanks Richard From: Ted Sayre[mailto:tsavre@cottonshires.com] Sent: Monday, October 03, 2011 10:15 AM To: Richard Chiu Subject: RE: Agreement for Elena Road slide project Hi Richard- Would the Town like to get back 3 signed copies of the agreement? I am checking with our insurance carrier regarding Section 5, page 7 indicating: "Consultant shall indemnify...for loss, damage, claims....of every nature arising out of or in connection with Consultant's performance...." Typically, CSA is charged with indemnification responsibilities for acts that result from our negligence however the above wording has no qualifications on indemnification responsibilities, except for Liability caused by sole negligence of the Town. I suspect that our insurance carrier will indicate that the provided wording obligates CSA beyond what is covered by our insurance. I will be back in touch about this issue, but I suspect that we will need to propose a change to this section of the agreement. Thanks, Ted Sayre From: Richard Chiu [mailto:rchiuralosaltoshills.ca.gov] Sent: Friday, September 30, 2011 6:11 PM z 400 To: tsavrec cottonshires.com Subject:Agreement for Elena Road slide project Ted, Here is the agreement for signature. Please send the original(s)back to us for execution. Thanks Richard Internal Virus Database is out of date. Checked by AVG-www.avq.com Version: 9.0.872/Virus Database: 271.1.1/3468-Release Date: 02/25/11 12:34:00 Internal Virus Database is out of date. Checked by AVG-www.avq.com Version: 9.0.872/Virus Database: 271.1.1/3468-Release Date: 02/25/11 12:34:00 3 4110 1111. 4.5 Remedies. In addition to any other remedies Town may have if Consultant fails to provide or maintain any insurance policies or policy endorsements to the extent and within the time herein required,Town may,at its sole option exercise any of the following remedies,which are alternatives to other remedies Town may have and are not the exclusive remedy for Consultant's breach: • Obtain such insurance and deduct and retain the amount of the premiums for such insurance from any sums due under the Agreement; • Order Consultant to stop work under this Agreement or withhold any payment that becomes due to Consultant hereunder,or both stop work and withhold any payment, until Consultant demonstrates compliance with the requirements hereof;and/or f • Terminate this Agreement. '^o�'/cr0+"'/ Section 5. INDEMNIFICATION AND CONSULTANTS RESPONSIBILITIES. „0 G Consultant shall indemnify,defend with counsel acceptable to Town, and hold harmless T and its officers,officials, employees,agents and volunteers from and against any and all liability, oss,damage, claims,expenses, and costs(including without limitation,attorneys fees and costs and s of litigation) (collectively,"Liability")of every nature arising out of or in connection with Consultant' erformance of the Services or its failure to comply with any of its obligations contained in this Agreement,except such Liability caused by the sole negligence or willful misconduct of Town. The Consultant's obligation to defend and indemnify shall not be excused because of the Consultant's inability to evaluate Liability or because the Consultant evaluates Liability and determines that the Consultant is not liable to the claimant. The Consultant must respond within 30 days,to the tender of any claim for defense and indemnity by the Town,unless this time has been extended by the Town. If the Consultant fails to accept or reject a tender of defense and indemnity within 30 days,in addition to any other remedy authorized by law,so much of the money due the Consultant under and by virtue of this Agreement as shall reasonably be considered necessary by the Town,may be retained by the Town until disposition has been made of the claim or suit for damages,or until the Consultant accepts or rejects the tender of defense,whichever occurs first. With respect to third party claims against the Consultant, the Consultant waives any and all rights of any type to express or implied indemnity against the Indemnitees. Notwithstanding the forgoing, to the extent this Agreement is a"construction contract"as defined by California Civil Code Section 2782,as may be amended from time to time,such duties of consultant to indemnify shall not apply when to do so would be prohibited by California Civil Code Section 2782. In the event that Consultant or any employee,agent,or subcontractor of Consultant providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees Retirement System(PERS)to be eligible for enrollment in PERS as an employee of Town,Consultant shall Indemnify,defend,and hold harmless Town for the payment of any employee and/or employer contributions for PERS benefits on behalf of Consultant or its employees,agents,or subcontractors,as well Consulting Services Agreement between Town of Los Altos Hills and Cotton, Shires and Associates, Inc. Page 7 of 14 • , i 4. "...any and all claims,demands.odious,sults.." Attorneys are overly fond of absolutes. Otherwise,they would snip using"of every kind,nature,and description"as if it were punctuation. Absolutes leave room for nrgument where clarity is the only appropriate goal. You know by now that where you have to be when your negotiations arc over does not include'any and ail"losses,nor does it include"cluinn,demands,action,or suite" It includes only those damages for which you arc legally liable. Losses.liabilities.expenses,and costs are damages for which you could be legally liable if they ore caused by your negligence. Even attorneys'fees may be construed to be damages in some sinus,and,where not,your limited contractual liability envenlge may well respond. But claims,demands,actions,and snits,in and of themselves,ere not damages,and the mere fact that they occur may or may not have anything to do with your negligence. 1 his is not a make or break proposition,either,hut clarity of intent finds offense in these words and the absolutes which precede them. Rest they be deleted. 5. "._directly or Indirectly... This phrase is clearly al odds with one of the four characteristics of indemnity which counts no coup. Your responsibility under the common law cods will.proximate cause(a direct consequence of your negligence),and your indemnification should end there too. 11th is chaff. It should not pass through your principled harsher. 6. "._connected with,attributable to,or alleged to be caused by,connected will,or attributable to..." Hold it! You arc not in a position to assume responsibility for I00a/of any loss to which you may have contributed in some way. Nor, absent negligence,are you willing to spring forward and start throwing money around in response to each and every allegation of wrongdoing that may conic along. You are not negligent until you are found by a court or forum of competent jurisdiction to have been negligent. It follows that you cannot insure against costs incurred by someone else us n result of mere allegations of negligence on your purr. Uvea if you are found to have contributed to a loss Through your negligence,your insurance will respond only to the extent of that contribution. The conhib lion of others is their problem,and the language of your agreement to indemnify should be us clear on this point as you are. Delete these words. 7. "...The performance of services._" -) 'there is a serious omission hero,and by now you know what it ls. The word"negligeor,is missing. Without it you will find yourself j responsible,not just for losses for which you are legally liable,but for losses arising out of anything that might he related to the services you perfom. You can safely agree to accept responsibility for the consequences of your negligent performance,but only at great peril can you agree to accept responsibility for losses of any kind which may somehow be associated with your existence on earth. The distinction: Liability for losses which would not otherwise be yours. 11 is here that you will want to limit the scope of your indemnification ogreemem to the consequences of your negligence,and you can easily do so by ipso ing"negligent"in front of the word,"perfon once." What about your agents and consultants? Ry virtue of your position in the line of fire,you may well be legally liable for their negligent acts,errors.and omissions under n theory of vicarious liability—just as the owner may be liable for yours by virtue of having contracted with you in the fust place, This explains the owner's interal in your indemnity agreement. It also explains your insurer's interest in the Ccnificmes of Insurance you obtain from your consultants,and it argues for passing the obligations you assume under your contract through to them. If you keep those obligations within the maximum limits of fainicss,there should be no problain with this. S. "...willful misconduct by any of t hem..." If you arc willing to extend indemnification for your negligence(harm inadvertently caused),why is it unfair to extend indemnification for harm intentionally done? This is presumably something you can control,and the case from your client's point of view would seem mole compelling for intentional harm than for negligence. Your reluctance is due to the absence of insurance for either damages or defense costs arising out of harm intentionally caused,but that will not be persuasive to your client, Any argument you night have ngninsl indemnification E r wilifnl misconduct probably must rya ing from the general unfairness of wild western courtrooms,where anyone can sue for anything and say the most outrageous things in the process of doing so. You might frame your argument like this: "I cannot pay all the bills to support the vagaries of the legal system we have in place. I buy insurance for the bulk of my risk,but if some cockeyed plaintiff alleges that I practice my sacred trust in a way to intentionally Inn another as n tactic to embanass Inc or pressure me into an unjustified settlement,I decline to compound my problem by taking on the cost of defense of clients,their officers, directors,employees,mmgeit s,desigmices,friends,acquniniances,and p1 ayl notes of(heir children. 'Thal plays into the hands of the unscrupulous who would claim intentional harm to gain a choke hold on me. If you think 1 would intentionally harm another soul,then we have u groat deal more talking to do. Sony,but there are limits. This is one of Them" Y. '' infringement oh'any copyright,trade secret,or patent,.." Copyright infringement is one of those wrongs needing no proof of intent,negligence,or any evil behavior save Ibe infringement itself. So ere trade secrets and patents This is truly n problem. There is no Place where the borders of anyone's copyright or track secrets mire recorded. One emu register a copyright,but it is nom necessary to do so in order to claim one. patents arc registered.but you arc neither • 4 Karen Frey From: Gigi Yuen (SFC) Sent: Tuesday,October 04, 2011 8:54 AM To: 'Karen Frey' Subject: RE: ins. indemn wording Attachments: 4601_001.pdf Hi Karen, Please see Mac marked up comments and attachments ate that professional Ila N y policy-pramces'coverage for claims to the extent that they were caused by your negligent acts, errors, or omissions. This indemnification is not limited to your negligence. Without"negligent,"you're going to find yourself responsible, not just for losses for whLgh you aNJ legally liable, buut fof losses arising out of anything that might be related to your professional services. Unfortunately, onerous contract language usually produces nothing but an illusory sense of protection to the client. FYI, allowing the language to stay as it is does not void or reduce your coverage but could expose your firm to claims not covered by your professional liability policy. Below is an example of insurable indemnity language: To the fullest extent permitted by law the Consultant will indemnify and hold Town and its officers, directors, employees harmless from any and all claims, costs, Issses or damages, including reasonable attorney fees, to the extent caused by the negligent acts, errors or omissions of the Consultant or the negligent acts, errors or omissions of the Consultant's officers, directors, and employees or any other entity or person for whom they would be legal liable for, in the performance of professional services under this Agreement, except such liability caused the negligence or willful misconduct of Town. Let me know if you should have any questions. Thank you. Note: Comments are from an Insurance perspective only. This Is not an exhaustive review of each and every provision. As always,we recommend that you obtain the advice of counsel on all contractual matters. Glgl Yuen,Account Executive IOA INSURANCE SERVICES 3875 Hopyard Rd.,Suite 240 Pleasanton.CA 94588 Tel: (925) 416-7862 Extension 50008 Direct:(925)660-3514 Fax: (925) 416-7869 IOA Insurance Services: www.l000ro.com Insurance Office of America: www.loausa.com a/e ProNel: www.aepronelorg From: Karen Frey[mailto:kfrey@cottonshires.com] Sent: Monday, October 03, 2011 10:07 AM To: Gigi Yuen (SFC) Cc: Leslie Pancoast(SFC) Subject: ins. indemn wording Good morning, Another interesting wording in the indemnification portion of a contract from the Town of Los Altos Hills... Thank you, Karen Frey kfrey@cottonsh ires.co m err 4 one; kE` \ryvS. ,vv W I5 b kfri 4.5 Remedies. In addition to any other remedies Town may have if Consultant fails to provide �� or maintain any Insurance policies or policy endorsements to the extent and within the time C^6" 5 cl herein required,Town may,at Its sole option exercise any of the following remedies,which .)f 441 are alternatives to other remedies Town may have and are not the exclusive remedy for Consultant's breach: • Obtain such Insurance and deduct and retain the amount of the premiums for such �-]'� insurance from any sums due under the Agreement; Xx. 4175'- t • Order Consultant to stop work under this Agreement or withhold any payment that W� wo-v'� Y, becomes due to Consultant hereunder,or both stop work and withhold any payment, 414;5 LA0y U • until Consultant demonstrates compliance with the requirements hereof;and/or • Terminate this Agreement. /tt?r L�rVilr✓t Section 5. DEMNIFICATION AND CONSULTANT'S RESPOtN61'BILITIES./ �y Consultant shall inn mIyei ,:. Ncewselacceptabledo Towg�ff and hold harmless Town and its �. 115 officers,officials,emp ye- .,: Is and volunteers from and agalr�st any and all liability,loss,damage, —dein),expenses,and s 'including.w thautlimitaton,attorney' es and casts and fees of litigation (collectively,"Llabilltytfavory"1lalumfar s n onsullant' performance of the _,., Services or Its failure to comply with any of as oblgaUons contained in this Agreement,except such Liability caused by thea negligence or wllllulm�rtaurtUtTavu�,, _rlie .�N, _ �F-`1r E, Ire �,y�..I rr `` ed { �' ____ YN�CConsultant's obligation to defend and indemnify shall not be excused because of the ottani � legally-to-evaluate Liability or because the Consultant evaluates I,labl1fy and determines that the ."' "I ` '�, .144 Consultant is not liable to the claimant. The Consultant mugl.respond within 30 days,to the tender of any claim for defense and indemnify bylhe Town,unless)his lime has been extended by the Town. If the 2 Co onsultant fails to accept or reject a lender of defense and indemnity within 30 days,in addition to any = al v s a other remedy authorized by law,so muclToflhe money due the Consultant under and by undue of this =. .7" gma a Agreement as shall reasonably be considered necessary by the Town,may be retained by the Town until a 3 2 disposition has been made o�f)he clalm or suit for damages,or until the Consultant acceptsor rejepls the tender of defense,whicheydr occurs first. With respect to third party.claimsagainst the Consultant,the-Consultant waives-any and all rights of any type to express or implied Indemnity against the Indemniteos. q o 4 c Notwithstanding the forgoing,to the extent this Agreement is a"constmetion contract"as defined by • A a California Civil Code Section 2782,as maybe amended from time to time,such duties of consultant to Indemnify shall not apply when to do so would he prohibited by California Civil Code Section 2782. ^ c -s In the event that Consultant or any employee,agent,or subcontractor of Consultant providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees = Retirement System(PERS)to he eligible for enrollment in PERS as an employee of Town,Consultant shall = - indemnify,defend,and hold harmless Town for the payment of any employee andlor employer - a 3 contributions for PERS benefits on behalf of Consultant or its employees,agents,or subcontractors,as well — lt ^ mq th ETVJ Consulting Services Agreement between Town of Los Altos Hills and Colton,Shims and Associates.Inc. Page 7 of 14 E 575 Market Street,Suite 266. Steven T.Mattas San Francisco,California 94105 Attorney at Low tel 415.421.3711 smattas@meyersnave.com fax 415.421.3767 www.meyersnave.com meyers nave WED WED OCI 27 2011 October 25, 2011 TOWN OF 10S ALTOS HILLS Deborah Padovan City Clerk Los Altos Hills 26379 Fremont Road Los Altos Hills, CA 94022 Re: Cotton Shires Agreement Dear Deborah: Please find attached the signed copy of Ordinance No. 532. In addition, please find attached the two signed signature pages for the agreement with Cotton Shires. Please note that it appears that Cotton Shires amended the agreement to insert the word "negligent" in Section 5 of the agreement. The decision whether or not to accept this insertion is a business decision for the Town to make. I generally recommend against allowing this change as it may be interpreted to require the 'fown to establish Cotton Shires negligence prior to their having the duty to indemnify and defend the Town for claims arising from their work product. If this proposed change is not acceptable to the Town, Cotton Shires should be advised that the Town will transmit to them a fully executed contract without the change. If, however, the Town decides to accept the change, then Carl should initial where the change has been made. Please call me if you have any questions. Very truly yours, Steven T. Mattas l Y'ft City Attorney STM:pp Enclosures 1734497.1 (588.002.08001) A PROFESSIONAL LAW CORPORATION OAKLAND LOS ANGELES SACRAMENTO SAN FRANCISCO SANTA ROSA FRESNO LOSALTOS HILLS 100.4, CALIFORNIA October 24, 2011 Steve Mattas Meyers,Nave, et al. 575 Market Street, Suite 2600 San Francisco, CA 94105 RE: Consulting Services Agreement Between the Town and Cotton, Shires and Associates, Inc. Dear Steve: Please find enclosed the Agreement with Cotton Shires for the Elena Road Improvements and two signature pages. Please sign both pages and return only the signature pages in the envelope provided. In addition, enclosed is Ordinance 532 for your signature. When you signed the ordinance on Thursday, October 20th, your signature was in the spaced provided for the City Clerk. Please re-sign and send back in the enclosed self-addressed stamped envelope. Thank you. Sincerely, 2164,14-- Deborah Padovan City Clerk Enclosures 26379 Fremont Road Los Altos Hills California 94022 650 / 941 -7222 Fax 650/941-3160