CITY OF DELANO REQUEST FOR PROPOSALS

Transcription

1 CITY OF DELANO, CALIFORNIA CITY OF DELANO S 1) COST ALLOCATION PLAN 2) OMB CIRCULAR A-87 Release Date: May 6, 2014 Proposal Due: May 31, 2014 Contact: Rosa Rios Finance Department City of Delano, California rrios@cityofdelano.org 1

2 CITY OF DELANO, CALIFORNIA Table of Contents 1.0 Purpose Background Information Scope of the Request for Proposal Qualifications Project Schedule Required Information 6.1 Cover Letter, Scope, Work Plan and Schedule Description of Project Team Experience and Qualifications Client References Fee Schedule and Estimate Appendices Submittal Requirements Selection Procedure 7.1 Proposal Review Team Evaluation Criteria Final Selection Qualifications Questions Discussions and Right to Reject Incurring Costs Disposition of Proposals and Ownership of Data 9.1 Disposition of Proposals Ownership of Data Professional Services Agreement and Insurance Requirements Signatures and Declarations

3 CITY OF DELANO, CALIFORNIA 1.0 PURPOSE The City of Delano is requesting proposals from qualified firms for an Overhead Cost Allocation Plan and OMB Circular A-87. The purpose of this project is to ensure that the City of Delano is utilizing comprehensive overhead rates and accurately accounting for the true cost of providing various services within and to all City operations, including capital projects. Additionally, the City must implement an overhead cost allocation plan applicable to Federal Standards as provided in OMB Circular A-87. The models will utilize comprehensive overhead rates in an equitable allocation method and will accurately account for all true costs, programs and services. 2.0 BACKGROUND INFORMATION Delano is located in southern San Joaquin Valley along State Highway 99 and easily connected to six State Highways as well as Interstate 5. The City was incorporated as a general law City by state legislature on April 13, The City operates under a Council-Manager form of government and provides the following service; police service, transit services, parks and recreation, public works, community development, general administrative services and fire services are provided by private contract with the County of Kern. In addition, the City owns and operates water and waste water utility, and a municipal airport. Delano s fiscal year adopted budgets for all funds are $62,210,042. The General Fund adopted budget is $20,708,790. The City is in the process of preparing a review that may include recommendations for adjustments to FY budget and/or cost savings measures to be put in place to sustain the budget as the economy continues to struggle due to the brute force of the longest recession since World War II. A majority of economic experts are predicting that the recession has ended, although the recovery will be precarious with an economic contraction at about a 2% - 3% pace over the next year. The current method of cost allocation used by the City is supported by a full cost allocation plan ( Plan ) in accordance with the policies and procedures contained in OMB Circular A-87. The Plan was completed in FY 2006 based on FY 2005 audited financial information. An OMB A-87 Plan for grant claim purposes was not compiled from the Full Cost Plan complete in FY Internal service fund rates are set each year based on a specific allocation methodology relevant to each fund to recovery costs provided to other departments. 3.0 SCOPE OF THE This Request for Proposal (RFP) is a step in the planned procurement action to acquire the desired services and/or products. Firms responding to this RFP shall be prepared to deliver products and perform the work necessary to provide the services described within four months of the issuance of a contract. The project consists of furnishing all labor, materials, equipment, tools, supervision and travel necessary to complete the following tasks: 3

4 CITY OF DELANO, CALIFORNIA 3.1 Work with selected City staff to define the purpose, uses, and goals for an overhead cost allocation plan, ensuring that the development of the plan will be both accurate and appropriate for the City s current needs. 3.2 Develop an Overhead Cost Allocation Plan Model for calculating the full costs of providing each City service and an OMB Circular A-87 applicable plan for use with Federal Grants and Programs. The requirements of the model shall allow for: The addition or removal of direct and overhead costs so that the overhead cost allocation plan can be developed from a simple plan to a progressively more inclusive plan The ability to continuously update the model and overhead cost allocation plan from year-to-year as the organizational structure changes and the costs change Provide justification to support internal and external rates and/or percentages charged by departments for cost recovery, including Capital Improvement Projects. 3.3 Work with the City in developing service provisions, cost categories and allocation criteria for current and future programs. 3.4 Prepare Overhead Cost Allocation Plan and participate in the presentation to the City Manager, City Council and City staff. Collect and document comments and concerns. 3.5 Prepare final plans for both OMB Circular A-87 Cost and Total Full Cost Allocation Plan and provide 5 bound copies and one unbound copy (or file copy in Microsoft Word/PDF format) to the City. 3.6 Evaluate the City s administrative costs associated with Capital Improvement Projects, and establish both a single, and tiered overhead rate structure for recovery of costs from these projects. 3.7 Evaluate the City s administrative and overhead costs associated with providing planning, engineering, inspecting, building services and establish a billable rate structure for recovery of costs for services provided to customers doing business through various departments, such as community development, public works, police, fire, etc Prepare draft CIP rate and billable rate schedule that indentifies the total cost for each service, the current fees, and makes fee recommendations for each service presented. Review draft report with departments and City Manager for final input on report before presenting final report. Provide 5 bound copies and one unbound copy (or file copy in Microsoft Word format) to the City. 4

5 CITY OF DELANO, CALIFORNIA Prepare final CIP rate and billable rate schedule and present to City Council. Collect and document comments and concerns for follow up as needed. 3.8 Prepare final plans and provide electronic copies in PDF format and five bound copies and one unbound copy of each to the City. In addition provide an electronic model which can be updated. 3.9 The Cost Allocation Plan Model developed shall also be made available to the City electronically to provide the ability to add or delete, and/or update information as needed. 4.0 QUALIFICATIONS 4.1 The qualified firms shall have extensive experience developing an overhead cost allocation plans for agencies of similar size and range of services as the City of Delano. 4.2 The qualified firms must be properly licensed, staffed, equipped, and financed to perform the work relevant to a project of this nature. 4.3 The qualified firms shall have proven methodologies for the collection and analysis of cost data relevant to a project of this nature and for the conversion of the data to the studies specified in this RFP. 5.0 PROJECT SCHEDULE The major events within the selection process for determining the Overhead Cost Allocation Plan vendor are outlined below. An approximate schedule of these events is as follows: Event Schedule RFP Issued May 6, 2014 Receive responses no later than May 31, :00 p.m. (PST). Selected firm notified June 13, 2014 Presentation to City Council for approval June 16, 2014 Begin project July 1, The City expects to award a Professional Services Agreement by June 16, As input on certain issues is needed for mid-year review of the City s budgets, final reports are desired by September 1, The following is a tentative time schedule 5

6 6.0 REQUIRED INFORMATION 6.1 Cover Letter CITY OF DELANO, CALIFORNIA The cover letter shall be signed by an official authorized to bind the firm and shall contain a statement that the proposal is valid for ninety (90) days. As well, the cover letter shall serve as the introductory letter, and should provide a summary of the proposal, an overview of the project and should include a brief description of your understanding of the services to be provided, as well as your approach to providing such Provide the name, address, phone number, fax number, and address of your firm s contact person for this Request for Proposal Provide a description of your firm, including the size (number of employees), number of years in business and areas of specialization. 6.2 Scope of Services, Work Plan and Schedule Provide a description of the work program including a description of deliverables and activities that will be undertaken. Consultants should describe their approach for managing the project, schedule and communicating with the City Consultants should describe their technical approach to the work, and should list specific tasks necessary to fulfill the project requirements. Proposers are encouraged to amplify the scope of services, and to identify any supplemental tasks necessary or recommend any alternatives that may enhance the project or reduces its costs Provide a schedule that includes resource (both City employees and vendor employees) requirements, a step-by-step work plan of all activities involved in the conduct of the work, and timelines for those steps, identifying major steps and milestones. 6.3 Description of Project Team Experience and Qualifications Describe your firm s qualifications to provide the scope of work as outlined in Section 3. Include recent projects of a similar nature Provide the background, qualifications and experience of professional staff to be assigned to this engagement. Specify who the Project Manager (lead person) will be for the project. Describe projects of a similar nature in which they had hands on responsibility. 6

7 CITY OF DELANO, CALIFORNIA The qualifications of each of the Principal and senior consultants should be spelled out in this section (resumes for those people included in Appendix). Those who are named must continue to have a direct, hands-on role in the project. The City may insist on Principal-level participation at every stage of the project. Any substitutions will require prior City approval Identify sub-consultants if any, and the role of each, spelled out by task. 6.4 Client References Provide the names, titles, addresses, and telephone numbers of a contact person for at least three references. It is preferred that this list includes organizations for which your firm has performed similar services as outlined in this RFP. It is preferred that this list include municipalities of the approximate size of the City of Delano Provide a complete listing of all California Municipal agency clients. 6.5 Fee Schedule and Estimate The consultant shall present a specific not to exceed fixed fee including associated fees (i.e. printing costs, etc.) with separate fee proposals for the OMB Circular A-87 applicable plan, full allocation cost plan. The fee estimate shall include: 6.6 Appendices A listing of tasks required to accomplish the scope of services An estimate of the labor hours for each task, by position classification The proposed hourly fee schedule for calendar year All reimbursable fees and expenses, noting that the City will not pay for lodging, vehicles or travel time The qualifications of professional personnel who will be working on the project. 6.7 Submittal Requirements Proposers should respond to only those items requested, and brevity will be appreciated. Proposals should include, in this order: Cover Letter Scope 7

8 CITY OF DELANO, CALIFORNIA Project Team References Fee Schedule Appendices Each section of your response should be clearly defined and separated from the others. Each section of your response should clearly match the number schema of this RFP. For example, response to item number should be clearly labeled: All proposal packages must be in hard copy. Someone authorized to execute legal documents on behalf of your firm must sign the original transmittal document. Please submit six (6) bound copies of the completed proposal All Mailed Proposals shall be addressed as follows: Rosa Rios Finance Director City of Delano 1015 Eleventh Avenue Delano, CA The envelope shall also have stated thereon the name and address of the submitting firm All proposal packages shall be received at City Hall at the address indicated in Item no later than, 5:00 pm (PST) on May 31, Proposals will not be accepted thereafter. All proposals received after said date and time will be returned unopened to the submitter Facsimile proposals will not be considered. Postmarks will not be accepted Please note that your response becomes property of the City of Delano and a matter of public record It is preferred that the basic proposal be submitted in standard 8 ½ by 11-inch page format. Attachments or enclosures may vary in size as necessary. Each response must be clearly numbered and match the RFP item number schema, i.e., City of Delano is not responsible for proposals that are delinquent, lost, mismarked, and sent to an address other than that given above, or sent by mail or courier service. The City of Delano reserves the right, after opening the proposals, to reject any or all proposals, or to accept the proposal(s) that is, in its sole judgment, in the best interest of the City of Delano. 8

9 CITY OF DELANO, CALIFORNIA 7.0 SELECTION PROCEDURE 7.1 Proposal Review Team The review team may consist of some or all of the following: City staff, outside experts, representatives of the local business community, members of other local or regional organizations, and representatives of the public. The final approval of any contract award recommendation will necessitate review and approval by the City Manager and the City Council. 7.2 Evaluation Criteria Each firm shall submit a written proposal package, which shall include the items requested in Section 6. Failure to include any of the required information listed below may disqualify your proposal. Proposals will be evaluated on the following factors: Responsiveness to the instructions, requirements, terms and conditions of this RFP Project methodology and work plan. Demonstrated understanding of the project scope and tasks to be completed Project team s qualifications, expertise and overall experience in carrying out the scope of service Firm s municipal public sector experience conducting similar studies for cities of similar size and complexity Firm s ability to commence work immediately and accomplish the requested services in a timely fashion and within the contracted time References Cost 7.3 Final Selection The City may interview a limited number of finalists following the review and ranking of proposals Firm s invited to oral interviews will be provided with additional instructions in preparation of such interviews. The City reserves the right not to select any of the submitted proposals. 7.4 Qualifications The City reserves the right to proceed with any subsequent procurement contract award to any firm based upon responses to 9

10 7.5 Questions CITY OF DELANO, CALIFORNIA this Request for Proposal and exclude those firms that are deemed not qualified Additional information and/or questions should be directed to Ms. Rios by at All answers to questions will be sent via to an interested parties list so that all can review the questions and answers in the same timeframe. All identifying information name, firm, and address of the person asking the question will be removed prior to distribution of all responses. Responses will be provided within two (2) business days 7.6 Discussions and Right to Reject Proposals 8.0 Incurring Costs The City may award a contract on the basis of proposals submitted, without discussions, or may negotiate further with those firms within a competitive range. Proposals should be submitted on the most favorable terms the firm can provide. After selection of the consultant, the City and the consultant shall negotiate the contract under which the work shall be performed. All items submitted in the consultant s proposal shall be subject to negotiation The City reserves the right to reject any or all proposals. 8.1 The City is not liable for any costs incurred by firms in responding to this RFP. 9.0 Disposition of Proposals and Ownership of Data 9.1 Proposals submitted in response to this RFP shall become the property of the City and a matter of public record. The firm must identify all copyrighted material, trade secrets or other proprietary information that they claim are exempt from disclosure under the Public Records Act (California Code Sections 6250 et seq.). In the event such an exemption is claimed, the firm shall state in the proposal that they will defend any action taken against the City to release such exempt material. 9.2 Upon completion of all work under this contract, ownership and title of all plans, reports and documents produced as part of this contract will automatically be vested in the City of Delano Professional Services Agreement and Insurance Requirements 10

11 CITY OF DELANO, CALIFORNIA 10.1 A copy of the City s standard Professional Services Agreement and related insurance requirements are attached for your information. Please provide a statement showing your present coverage including appropriate professional liability insurance coverage, errors and omissions insurance, and Workers Compensation insurance coverage. Please also detail any concerns you may have with the City s Professional Services Agreement. The selected consultant will be required to comply with the stated indemnification provision and all applicable insurance requirements. A current City of Delano business license is also required prior to the execution of the Services Agreement Signatures and Declarations 11.1 Each proposal must be signed on behalf of the firm by an officer authorized to bind the proposal. The City reserves the right to revise this RFP after it has been issued, but prior to the required response date. In the event of a revision an addendum will be sent to all parties known to have received a copy of the original RFP. 11

12 AGREEMENT NO. OVERHEAD COST ALLOCATION PLAN SERVICES AGREEMENT THIS AGREEMENT is made and entered into on, by and between the THE CITY OF DELANO, ("AGENCY" herein) and NAME OF FIRM ("FIRM" herein). R E C I T A L S WHEREAS, the AGENCY issued a Request for Proposals and FIRM has submitted a proposal concerning the development of an overhead cost allocation plan; and WHEREAS, FIRM represents FIRM is experienced, well qualified and a specialist in developing overhead cost allocation plans; and WHEREAS, FIRM is required and does currently have errors and omissions insurance which will protect the AGENCY in the event of professional errors or omissions by the FIRM; and WHEREAS, FIRM is aware that information may come into FIRM's possession which may impact the AGENCY s legal position in the event such information was released to outside parties. NOW, THEREFORE, incorporating the foregoing recitals herein, AGENCY and FIRM mutually agree as follows: 1. SCOPE OF WORK. The scope of work is described as: Provide overhead cost allocation services for the City of Delano. The scope of work shall include all items contained in FIRM s Proposal and AGENCY s request for Proposals. FIRM s Proposal and AGENCY s Request for Proposal are incorporated herein by reference as though fully set forth. FIRM s services will include all the procedures necessary to property complete the tasks it has been hired to perform whether specifically included in the scope of work or not. 2. COMPENSATION. Compensation for all work, services or products called for under this Agreement shall consist of progress payments which shall be paid upon the basis of hours of work completed during the course of the engagement. The compensation set forth in this section shall be the total compensation under this Agreement including, but not limited to, all out-of-pocket costs and taxes. AGENCY shall pay only the compensation listed unless otherwise agreed to in writing by the parties. The final ten percent (10%) of the total price will be paid upon delivery of the firm s final reports.

13 3. PAYMENT PROCEDURE. FIRM shall be paid for services rendered after receipt of an itemized invoice for the work completed and approved by AGENCY in accordance with the terms of this Agreement. Payment by AGENCY to FIRM shall be made within thirty (30) days after receipt and approval by AGENCY of FIRM's itemized invoice. 4. KEY PERSONNEL. At request of AGENCY, FIRM shall name all key personnel to be assigned to the work set forth herein. FIRM shall provide background for each of the key personnel including, without limitation, resumes and work experience in the type of work called for herein. AGENCY reserves the right to approve key personnel. Once the key personnel are approved FIRM shall not change such personnel without the written approval of AGENCY. 5. INCLUDED DOCUMENTS. Any bid documents, including, without limitation, special provisions and standard specifications and any Request for Proposals, Request for Qualifications and responses thereto relating to this Agreement are incorporated by reference as though fully set forth. 6. STARTING WORK. FIRM shall not begin work until authorized to do so in writing by AGENCY. No work will be authorized until the contract has been fully executed by FIRM and AGENCY. 7. TITLE TO DOCUMENTS. All documents, plans, and drawings, maps, photographs, and other papers, or copies thereof prepared by FIRM pursuant to the terms of this Agreement, shall, upon preparation, become the property of the AGENCY. 8. LICENSES. FIRM shall, at its sole cost and expense, keep in effect or obtain at all times during the term of this Agreement any licenses, permits and approvals which are legally required for FIRM to practice its profession. 9. CONFIDENTIALITY. During the term of this Agreement, FIRM will be dealing with information of a legal and confidential nature, and such information could severely damage AGENCY if disclosed to outside parties. FIRM will not disclose to any person, directly or indirectly, either during the term of this Agreement or at any time thereafter, any such information or use such information other than as necessary in the course of this Agreement. All documents FIRM prepares and confidential information given to FIRM under this Agreement are the exclusive property of the AGENCY. Under no circumstances shall any such information or documents be removed from the AGENCY without the AGENCY's prior written consent. 10. NEWS RELEASES/INTERVIEWS. All news releases, media interviews, testimony at hearings and public comments relating to this Agreement by FIRM shall be prohibited unless authorized by the AGENCY. 11. NO WAIVER OF DEFAULT. The failure of any party to enforce against another party any provision of this Agreement shall not constitute a waiver of that party's right to enforce such a provision at a later time, and shall not serve to vary the terms of this Agreement. 12. GOVERNING LAW. The laws of the State of California will govern the

14 validity of this Agreement, its interpretation and performance. Any litigation arising in any way from this Agreement shall be brought in Kern County, California. 13. FURTHER ASSURANCES. Each party shall execute and deliver such papers, documents, and instruments, and perform such acts as are necessary or appropriate, to implement the terms of this Agreement and the intent of the parties to this Agreement. 14. NOTICES. All notices relative to this Agreement shall be given in writing and shall be personally served or sent by certified or registered mail and be effective upon depositing in the United States mail. The parties shall be addressed as follows, or at any other address designated by notice: CITY: ROSA LARA RIOS CITY OF DELANO CITY HALL th Avenue Delano, California FIRM: FIRM NAME ADDRESS 15. ASSIGNMENT. Neither this Agreement, nor any interest in it, may be assigned or transferred by any party without the prior written consent of all the parties. Any such assignment will be subject to such terms and conditions as AGENCY may choose to impose. 16. BINDING EFFECT. The rights and obligations of this Agreement shall inure to the benefit of, and be binding upon, the parties to the contract and their heirs, administrators, executors, personal representatives, successors and assigns, and whenever the context so requires, the masculine gender includes the feminine and neuter, and the singular number includes the plural. This Agreement may be executed in any number of counterparts, each of which shall be considered as an original and be effective as such. 17. EXHIBITS. In the event of a conflict between the terms, conditions or specifications set forth in this Agreement and those in exhibits attached hereto, the terms, conditions, or specifications set forth in this Agreement shall prevail. All exhibits to which reference is made in this Agreement are deemed incorporated in this Agreement, whether or not actually attached. 18. MERGER AND MODIFICATION. This contract sets forth the entire Agreement between the parties and supersedes all other oral or written representations. This Agreement may be modified only in a writing approved by AGENCY and signed by all the parties. 19. CONFLICTS OF INTEREST. FIRM stipulates that corporately, or individually, the firm, its employees and sub consultants have no financial interest in either the success or failure of any project which is dependent upon the result of the work

15 prepared pursuant to this Agreement. 20. CORPORATE AUTHORITY. Each individual signing this Agreement on behalf of entities represent and warrant that they are, respectively, duly authorized to sign on behalf of the entities and to bind the entities fully to each and all of the obligations set forth in this Agreement. 21. TERMINATION FOR CAUSE. If at any time AGENCY becomes dissatisfied with the performance of FIRM under this Agreement, AGENCY may terminate this Agreement on ten (10) days written notice. Written notice shall be given pursuant to the notices paragraph of this Agreement. In the event of early termination, FIRM shall be compensated only for work satisfactorily completed up to the date of termination and delivered to and accepted by AGENCY. Except for early termination, this agreement will terminate when all funds have been expended under the agreement or one (1) year from the date of execution, whichever occurs first. 22. COMPLIANCE WITH ALL LAWS. FIRM shall, at FIRM's sole cost, comply with all of the requirements of Municipal, State, and Federal authorities now in force, or which may hereafter be in force, pertaining to this Agreement, and shall faithfully observe in all activities relating to or growing out of this Agreement all Municipal ordinances and State and Federal statutes, rules or regulations, and permitting requirements now in force or which may hereafter be in force including, without limitation, obtaining a City of Delano business license. 23. INDEPENDENT CONTRACTOR. This Agreement calls for the performance of the services of FIRM as an independent contractor. FIRM is not an agent or employee of the AGENCY for any purpose and is not entitled to any of the benefits provided by AGENCY to its employees. This Agreement shall not be construed as forming a partnership or any other association with FIRM other than that of an independent contractor. 24. DIRECTION. FIRM retains the right to control or direct the manner in which the services described herein are performed. 25. EQUIPMENT. FIRM will supply all equipment, tools, materials and supplies necessary to perform the services under this Agreement. 26. INSURANCE. In addition to any other insurance or bond required under this Agreement, the FIRM shall procure and maintain for the duration of this Agreement the following types and limits of insurance ("basic insurance requirements" herein): 26.1 Professional liability insurance, providing coverage on claims made basis for errors and omissions with limits of not less than One Million Dollars ($1,000,000) aggregate; and 26.2 Automobile liability insurance, providing coverage on an occurrence basis for bodily injury, including death, of one or more persons, property damage and personal injury, with limits of not less than One Million Dollars ($1,000,000) per occurrence; and the policy shall:

16 Provide coverage for owned, non-owned and hired autos Broad form commercial general liability insurance, unless otherwise approved by the AGENCY s Risk Manager, providing coverage on an occurrence basis for bodily injury, including death, of one or more persons, property damage and personal injury, with limits of not less than One Million Dollars ($1,000,000) per occurrence; and the policy shall: Provide contractual liability coverage for the terms of this Agreement Contain an additional insured endorsement in favor of the AGENCY, its officers, agents, employees and volunteers Workers' compensation insurance with statutory limits and employer's liability insurance with limits of not less than One Million Dollars ($1,000,000) per occurrence; and the policy shall contain a waiver of subrogation in favor of the AGENCY, its officers, agents, employees and volunteers Except for professional liability, all policies required of the FIRM shall be primary insurance as to the AGENCY, its officers, agents, employees, or designated volunteers and any insurance or self-insurance maintained by the AGENCY, its officers, agents, employees, and designated volunteers shall be excess of the FIRM's insurance and shall not contribute with it Except for workers compensation, insurance is to be placed with insurers with a Bests' rating as approved by AGENCY s Risk Manager, but in no event less than A:V. Any deductibles, self-insured retentions or insurance in lesser amounts, or lack of certain types of insurance otherwise required by this Agreement, or insurance rated below Bests' A:V, must be declared prior to execution of this Agreement and approved by the AGENCY in writing Unless otherwise approved by AGENCY s Risk Manager, all policies shall contain an endorsement providing the AGENCY with thirty (30) days written notice of cancellation or material change in policy language or terms. All policies shall provide that there shall be continuing liability thereon, notwithstanding any recovery on any policy. Copies of policies shall be delivered to AGENCY on demand The insurance required hereunder shall be maintained until all work required to be performed by this Agreement is satisfactorily completed as evidenced by written acceptance by the AGENCY The FIRM shall furnish the AGENCY Risk Manager with a certificate of insurance and required endorsements evidencing the insurance required. The AGENCY may withdraw its offer of contract or cancel this contract if certificates of insurance and endorsements required have not been provided prior to the execution of this Agreement Full compensation for all premiums which the FIRM is required to pay on all the insurance described herein shall be considered as included in the prices paid for the various items of work to be performed under this Agreement, and no additional allowance will be made therefor or for additional premiums which may be required by

17 extensions of the policies of insurance It is further understood and agreed by the FIRM that its liability to the AGENCY shall not in any way be limited to or affected by the amount of insurance obtained and carried by the FIRM in connection with this Agreement Unless otherwise approved by the AGENCY, if any part of the work under this Agreement is subcontracted, the "basic insurance requirements" set forth above shall be provided by, or on behalf of, all subcontractors even if the AGENCY has approved lesser insurance requirements for FIRM. 27. THIRD PARTY CLAIMS. In the case of public works contracts AGENCY will timely notify CONSULTANT of third party claims relating to this contract. AGENCY shall be allowed to recover from FIRM, and FIRM shall pay on demand, all costs of notification. 28. INDEMNITY. FIRM shall indemnify, defend, and hold harmless AGENCY, its officers, agents and employees against any and all liability, claims, actions, causes of action or demands whatsoever against them, or any of them, before administrative or judicial tribunals of any kind whatsoever, arising out of, connected with, or caused by FIRM, FIRM's employees, agents, independent contractors, companies, or subcontractors in the performance of, or in any way arising from, the terms and provisions of this Agreement whether or not caused in part by a party indemnified hereunder, except for AGENCY s sole active negligence or willful misconduct. 29. EXECUTION. This Agreement is effective upon execution. It is the product of negotiation and all parties are equally responsible for authorship of this Agreement. Section 1654 of the California Civil Code shall not apply to the interpretation of this Agreement. 30. CONTRACT ADMINISTRATOR. The Contract Administrator for the AGENCY is: Maribel Reyna CITY OF DELANO th Avenue Delano, California Telephone (661) FIRM's project manager shall be: FIRM S REPRESENTATIVE FIRM S NAME FIRM S ADDRESS FIRM S TELEPHONE NUMBER The Contract Administrator and the Project Manager shall be the primary contact persons for AGENCY and FIRM. It is expressly understood that only the AGENCY may approve modifications to the contract, which modifications must be in writing.

18 31. ACCOUNTING RECORDS. FIRM shall maintain accurate accounting records and other written documentation pertaining to all costs incurred in performance of this Agreement. Such records and documentation shall be kept at FIRM's office during the term of this Agreement, and for a period of three years from the date of the final payment hereunder, and said records shall be made available to AGENCY representatives upon request at any time during regular business hours. 32. TAX NUMBERS. FIRM's Federal Tax ID Number. FIRM is a corporation? Yes No (Please check one) 33. NON-INTEREST. No officer or employee of the AGENCY shall hold any interest in this Agreement (California Government Code section 1090). 34. RESOURCE ALLOCATION. All obligations of AGENCY under the terms of this Agreement are subject to the appropriation and allocation of resources by AGENCY. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed, the day and year first-above written. "AGENCY" CITY OF DELANO FIRM FIRM S NAME By: GRACE VALLEJO Mayor By: NAME OF REPRESENTATIVE Position Title APPROVED AS TO FORM: By: Bonifacio Garcia Agency Attorney