HomeMy WebLinkAboutStaff Report 5.B 07/02/2018DATE:
TO:
FROM:
SUBJECT:
July 2, 2018
Honorable Mayor and Members of the City Council
John C. Brown, City Manager
Resolution Approving and Authorizing the City Manager to Execute a
Professional Services Agreement with Metropolitan Planning Group for Current
Planning Services
RECOMMENDATION
It is recommended that the City Council adopt the attached resolution approving, and authorizing
the City Manager to execute, a Professional Services Agreement with Metropolitan Planning
Group for current planning services.
BACKGROUND
Due to a dramatic curtailment of development activity and the impact of the recession on City
revenues and reserves, the City eliminated many of the positions comprising the former
Community Development Department during FY 2008/09. After an evaluation, it was
determined that outsourcing was the best option to provide planning services within funding
constraints. An RFP process was utilized, a dozen firms responded, and on July 20, 2009 the
City contracted with the Metropolitan Planning Group (M -Group) to provide the full range of
current planning services on, largely, a cost -recovery basis. A model that maximized cost
recovery was an important criterion for contract award; M -Group's proposal was the only
proposal received that met that need. The award of the contract to. M -Group was also based on
their demonstrated understanding of the City's needs, their experience working in a variety of
Bay Area jurisdictions, their customer service orientation, and a depth of staff that could support
Petaluma's needs when development activity resumed.
The M -Group Agreement provided for an initial term of one year, with up to three optional one-
year extensions. Under the agreement, M -Group was required to provide the full range of
current planning services, including interface with and support to Building Services which
became a Division of the City Manager's Office in 2009. Between April and July 2009,
planning services were provided by two part-time Senior Planner positions. One accounting and
clerical support position was also retained to collect outstanding cost -recovery fees. M -Group
was asked to, and did, hire these City employees. As noted, the M -Group proposal relied in
large part on cost recovery. Services such as counter coverage, however, are necessary but
cannot be charged to benefitted parties. Such services are included in the "base services"
element of the Agreement, are paid by the City, and have a not -to -exceed limit. This limit was
originally set at $40,000 per year. That amount was adjusted to $75,000 by 2012, to help offset
losses M -Group was incurring due to the amount of unreimbursed work they were providing.
In 2013, the M -Group Agreement was renewed for a three-year term, with authorization for two
one-year extensions. The agreement was not significantly modified from the 2009 version, it
still provided for the full range of current planning services, but increased fees and the base
service level limit to $100,000. This recognized the further time M -Group had spent in the
preceding four years providing needed services for which there was no outside cost
reimbursement. It should be noted that the model under which M -Group has been providing
services to Petaluma was untested at the outset, and required financial fine-tuning over the years
to address our needs for planning services that cannot be compensated through development
applications. These needs include the counter services noted previously in this report;
coordination with City departments on general planning matters; meetings with the City
Manager, the City Attorney, and staff that are not properly attributable to an applicant's need for
project processing; legislation including short-term vacation rentals, cannabis, and recycling
facilities; and for general Planning Commission and City Council member support (inquiries).
DISCUSSION
The third and final extension authorized by the M -Group agreement expires on July 31, 2018.
M -Group requested a new agreement earlier this year, which was negotiated and is presented for
the City Council's approval.
The City Council and the Planning Commission are aware of the competent, professional,
responsive service the M -Group provides. Their recommendations have been well -reasoned and
sound, and have introduced practicality, flexibility and problem -solving into the review process
in meeting this community's high standards for development. Internally, M -Group has
implemented a variety of process improvements that affect not only those activities assigned to
them, but also to those of the Building Division and for other staff involved in development
review. These improvements have helped to streamline the process for applicants, provide a
higher degree of predictability, and have enhanced customer service. The following list notes
some of the more notable changes M -Group has assisted the City in implementing during the
previous contract period:
• Integrated M -Group with City team
• Increased public hours by adding lunch hour coverage
• Achieve 30 -day completeness review for all applications
• Established one -day turn -around for all general planning and zoning phone calls received
during the business week
• Revised demolition policy
• Initiated public outreach/posting policy
• Reconstituted the Historic and Cultural Preservation Committee
• Provided staff support to the Petaluma Public Art Committee
• Completed Application for Certified Local Government status
• Updated foims/handouts to reflect ordinance changes
• Improved internal CEQA coordination and analysis
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• Worked with Economic Development staff to implement OpenCounter program
• Updated website for more user-friendly interface and increased transparency
• Initiated and facilitates weekly Development Review Committee meetings
• Initiated Preliminary Review process for major projects
• Increased coordination with Finance Department to improve Business License Review
• Standardized development impact fee assessment process and sign off
• Assisted with development of a short term vacation rental ordinance and implementation
• Completed updated of the zoning ordinance to address RLUPA, the Cottage Food Act,
recycling facilities, and parking
• Provided in house historic preservation expertise for project review
In 2013, M -Group had assigned to Petaluma the equivalent of 5.3 FTEs. Today, 8 FTEs are
assigned to Petaluma. Staffing assigned to Petaluma projects currently includes a Planning
Manager, a Deputy Planning Manager, A Principal Planning Manager, two Senior Planners, an
Assistant Planner, a Planning Analyst, and a Development Services Technician. The City
Council receives a monthly Planning activity report, and can track the increasing level of
development activity from the statistics presented in that report. The level of staffing noted
above is another indicator of the increasing level of development being addressed by M -Group.
Attachment 3, Major Pipeline Projects, provides a summary of work that is currently in progress
and being addressed by M -Group.
M -Group also provides direct support to the Building division, reviewing permit applications and
plans for planning and zoning conformity. M -Group also provides coordination and problem
solving services to Building, to facilitate streamlined review and a more cohesive culture
between divisions. M -Group bills these services directly to the Building division, the costs of
which are supported by Building Enterprise revenues. Billings are currently in the mid -$80,000
per year range.
When the City contracted with M -Group, they were tasked with eliminating the backlog of
development applications, and bringing current monies owed through the cost -recovery process.
Both of these tasks have been accomplished. In the 2017/18 fiscal year, M -Group has recovered
$658,000 through the quarter ending April 30, 2018, and is estimated to recover $788,000 by
June 30, 2018.
M -Group formally requested a contract renewal in February 2018. They asked to increase the
initial term of the agreement, with authorization to extend. They requested an increase in the
base level service limit, as they still continue to experience losses for unreimbursed work. M -
Group did not increase its rates during the last contract period, and has requested rate increases
for cost recovery services and building division support. Rates for cost recovery services would
increase by an average of 10 percent, rates for Building Division support by an average of 17
percent. This latter set of increases would be limited to a total of $100,000 per year, for which
M -Group will provide additional services, including overseeing the calculation of development
impact fees, to provide greater accuracy and consistency. To avoid large periodic rate
adjustments, the agreement also allows M -Group to implement annual cost of living adjustments.
M -Group has also proposed to change the fee structure on Administrative and Major Historic
Site Plan and Architectural Review for single family additions and remodels to flat fees, to make
them more affordable for homeowners. This is not reflected in the recommended contract, but
will be addressed as part of the City's master fee schedule update.
A draft of the recommended agreement is included as Attachment 2. The agreement provides
for a five-year initial term, and authorizes up to three one year extensions. The Scope of
Services, which includes the full range of current planning services, is included as Exhibit B to
the Agreement. Exhibit C to the Agreement dictates the rates, which are increased as noted
above. Compensation for Base Level Services is limited to $120,000 per year, compensation for
Building Division Support is limited to $100,000 per year. Cost of living adjustments may occur
annually, would be effective on August 1" of the given year, and based on the change in the CPI -
U for the San Francisco area for the previous twelve months. The non -solicitation provision,
Section 17, prevents the City from hiring M -Group employees during the term of the Agreement,
and increases from 60 days to 12 months the period of time the City must wait to do so after the
Agreement terminates, without M -Group approval. The Agreement, in all other material
respects, is the same as the Agreement that expires on July 31, 2018.
FINANCIAL IMPACTS
General Fund costs, pursuant to the attached agreement are limited to $120,000 per year, and
Building Enterprise Fund costs are limited to $100,000. The remaining, and majority of the,
work to be performed under the Agreement will be conducted on a cost recovery and fee for
service basis.
ATTACHMENTS
1. Resolution
2. Professional Services Agreement
3. Major Pipeline Projects
M
ATTACHMENT I
RESOLUTION APPROVING AND AUTHORIZING THE CITY MANAGER TO
EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH THE
METROPOLITAN PLANNING GROUP FOR CURRENT PLANNING SERVICES
WHEREAS, on July 20, 2009, the City Council approved and authorized the City
Manager to execute a Professional Services Agreement with Metropolitan Planning Group (M -
Group) to provide current planning services for a term, with extensions, of up to four years; and
WHEREAS, on July 1, 2013, the City Council approved and authorized the City
Manager to execute a Professional Services Agreement with M -Group to provide current
planning services for a term, with extensions, of up to five years; and
WHEREAS, said Agreement will expire on July 31, 2018; and
WHEREAS, Metropolitan Planning Group has provided current planning services for
the City on a cost effective basis, and has improved customer service and planning processes;
and
WHEREAS, it is desirable to maintain these results and continuity of planning services;
and
WHEREAS, Metropolitan Planning Group has proposed revisions to the scope of work
term, and rate schedule referenced in the Agreement; and
WHEREAS, these revisions are necessary or desirable to maintain program
improvements and continuity.
NOW, THEREFORE, BE IT RESOLVED that the Petaluma City Council hereby
approves and authorizes the City Manager to execute on behalf of the City of Petaluma a
Professional Services Agreement with Metropolitan Planning Group, effective August 1, 2018,
and all related documents.
5
PROFESSIONAL SERVICES AGREEMENT WITH
METROPOLITAN PLANNING GROUP (M -GROUP)
FOR PLANNING SERVICES
THIS PROFESSIONAL SERVICES AGREEMENT ("Agreement") is effective August 1, 2018
("Effective Date"), by and between the City of Petaluma, a municipal corporation and a charter city
("City") and Metropolitan Planning Group (M -Group)., a planning consultant ("Consultant")
(collectively, the "Parties").
WHEREAS, the Parties enter into this Agreement for the purpose of Consultant providing
professional services to City under the terms and conditions set forth herein.
THEREFORE, in consideration of the mutual covenants contained in this Agreement, the Parties
agree as follows:
l . Services. Consultant shall provide "Base Level Services", `Building Division Support". and
"Cost Recovery Services", as described in and in accordance with Exhibit "A" attached
hereto and incorporated herein ("Services").
2. Compensation.
A. For the full performance of the. Services as described herein, City shall compensate
Consultant for time billed, in accordance with the terms set forth in Exhibit "C"
attached hereto and incorporated herein ("M -Group Rate Schedule"). Consultant
shall, to the greatest extent possible, provide the Services specified in Exhibit A on a
full cost recovery basis. City's obligation to pay compensation to Consultant as
provided herein is contingent upon Consultant's performance of the Services
pursuant to the terms and conditions of this Agreement and any amendments thereto.
1. Base Level Services. Compensation for base level services, as detailed in Exhibit
A, shall be paid at the rates detailed in Exhibit C, and is limited to $120,000 per
year.
2. Building Division Support. Compensation for Building Division support, as
detailed in Exhibit A shall be paid at the rates detailed in Exhibit C, and is
limited to $100,000 per year.
3. Cost Recovery Services and Special Projects. Compensation for Cost
Recovery Services and Special Projects shall be paid at the rates detailed in
Exhibit C.
B. Cost of Living Adjustments. Consultant is authorized to implement cost of living
adjustments on the rates for Building Division support and Cost Recovery services.
Cost of Living Adjustments may occur annually, and if implemented shall be
effective on the first of August for each year during the initial and any extended
terms of this Agreement. Adjustments shall be calculated on the one-year change in
the Consumer Price Index for All Urban Consumers (CPI -U), San Francisco using
the most recent statistics available on the first of August.
PROFESSIONAL SERVICES AGREEMENT
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C. Consultant shall submit detailed monthly invoices reflecting all services performed
during the preceding month. City shall provide payment within ten (10) business
days of a determination of accuracy of the fees and charges invoiced.
D, Consultant shall be compensated for services in addition to those described in
Exhibit A, only if Consultant and City execute a written amendment to this
Agreement describing the additional services to be performed and the compensation
to be paid for such services
E. Consultant shall, at all times during the initial term of this agreement and any
extended terms, maintain on file with the City Finance Department a current W-9
form and a currently valid Petaluma business tax certificate.
3. Term. The term of this Agreement commences on the Effective Date, and terminates on
July 31, 2023, unless sooner terminated in accordance with Section 4. The Agreement may
be renewed for three (3) additional one-year periods. Any such extensions must be agreed
upon in writing through an amendment to this Agreement. At least 45 days prior to the
expiration date, or extended expiration date, Consultant shall provide written notice to City
of Consultant's desire to renew for an additional one-year term. It shall be within the City's
sole discretion whether any term shall be renewed. Upon termination, any and all of City's
documents or materials provided to Consultant and any and all of the documents or
materials prepared for City or relating to the performance of the Services, shall be delivered
to the City as soon as possible, but not later than fourteen (14) days after termination of the
Agreement.
4. Termination and Remedies.
A. City may terminate this Agreement without cause upon thirty (30) days' written
notice. Consultant may terminate this Agreement upon sixty (60) days written notice.
City may immediately terminate or suspend this Agreement for cause. Cause for
immediate termination or suspension shall include, but not be limited to, any breach
of this Agreement by Consultant or Consultant's bankruptcy or insolvency. Upon
receipt of notice of termination or suspension for cause, Consultant shall
immediately stop all work in progress under this Agreement. In the event of early
termination of this Agreement by City, Consultant shall be entitled to payment for all
Services performed to the date of termination to the extent such Services were
performed to the satisfaction of City in accordance with the terms and conditions of
this Agreement. If City terminates this Agreement for cause, Consultant shall be
liable to City for any excess cost City incurs for completion of the Services.
B. If Consultant materially breaches any term of this Agreement, in addition to other
remedies the City may have at law or equity, the City may:
l . Terminate the Agreement by notice to the Consultant specifying the
termination effective date;
2. Retain and/or recover from the Consultant at no additional cost to the City,
the plans, specifications, drawings, reports, and other documents and work
products prepared by the Consultant, whether or not completed, and any and
all materials or property provided to or prepared by the Consultant, and any
PROFESSIONAL SERVICES AGREEMENT
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and all materials or property provided to or prepared by the City for the
Consultant in connection with this Agreement, including the Premises and/or
the Facilities;
3. Complete the unfinished. Services itself or have the unfinished Services
completed and/or;
4. Charge the Consultant, or deduct from monies that may be due or become
due the Consultant under this agreement, the difference between the cost of
completing the unfinished Services pursuant to this Agreement and the
amount that would otherwise be due the Consultant had the Consultant
competed the Services in accordance with this Agreement.
C. If the City is in breach of any provision of this Agreement, the Consultant shall have
all rights and remedies afforded to it by this Agreement or at law or equity.
5. Consultant's Representation; Independent Contractor. Consultant represents, that
Consultant possesses distinct professional skills in performing the Services. City has relied
upon said representation as a material inducement to enter into this Agreement. Consultant
shall, therefore, provide properly skilled professional and technical personnel to perform all
Services under this Agreement. It is expressly understood that Consultant and its agents and
employees, shall act in an independent capacity and as an independent contractor and not as
officers, employees or agents of City. This Agreement shall not be construed as an
agreement for employment.
6. Facilities and Equipment. Consultant may at its discretion utilize City facilities,
equipment and furnishings as they exist as of the effective date of this Agreement. If
Consultant elects to utilize other facilities, equipment and furnishings to provide Services
pursuant to this Agreement; Consultant shall do so at its sole cost and expense. City shall
furnish to Consultant no facilities or equipment, other than as set forth in this Agreement,
unless the City otherwise agrees in writing to provide the same.
7. Licenses, Permits, Etc. Consultant shall, at Consultant's sole cost and expense, keep in
effect at all times during the term of this Agreement any licenses, permits or other such
approvals which are legally required for performing the Services.
8, Time. Consultant shall devote all time to the performance of the Services as is necessary for
satisfactory performance of Consultant's obligations pursuant to this Agreement.
9. Inspection. Consultant shall provide the City every reasonable opportunity to ascertain that
the Services are being performed in accordance with the requirements and intentions of this
Agreement. All work done and materials furnished, if any, shall be subject to inspection and
approval by the City. The inspection of such work shall not relieve Consultant of any of its
obligations pursuant to this Agreement.
10, Progress Reports. Consultant shall provide, on a monthly basis and in a form acceptable to
the City, reports on its activities performed for the City of Petaluma, including but not
limited to; general planning assistance, over-the-counter applications and permits, public
meetings, Development Review Committee meetings, formal development applications,
PROFESSIONAL SERVICES AGREEMEN r
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conceptual/potential development applications, Major projects, minor projects, and special
projects. Such reports shall be developed in a format acceptable to the City Manager and
shall be submitted not later than the tenth day of the month following the month for which
activity is reported. Consultant shall also be responsible, upon City's request, for written
progress reports of all oral and written observations, opinions, recommendations, analyses,
progress and conclusions related to Consultant's performance of the Services.
11. Confidentiality. In the course of Consultant's employment, Consultant may have access to
trade secrets and confidential information, disclosure of which is protected or limited by
law. Consultant shall not directly or indirectly disclose or use any such confidential
information, except as required for the performance of the Services.
12. Conflict of Interest. Consultant represents that it presently has no interest, and covenants
that it shall not acquire any interest, direct or indirect, financial or otherwise, which would
conflict in any manner or degree with the performance of the Services hereunder.
Consultant further covenants that, in the performance of this Agreement, it shall not employ
any sub -consultant or person having such a conflict of interest. Consultant represents that
no one who has or will have any financial interest under the Agreement is an officer or
employee of City. If such conflict of interest arises during this Agreement or any extension,
Consultant will immediately advise City and City may, at its sole discretion, immediately
terminate this Agreement. Consultant is subject to the requirements, including the
disclosure and reporting requirements, of the City's Conflict of Interest Code adopted
pursuant to the Political Reform Act. Consultant agrees to comply fully with all such
requirements to the extent they apply to Consultant's performance of the Services.
13. Consultant No Agent. Except as City may specify in writing, Consultant shall have no
authority, express or implied, to act on behalf of City in any capacity whatsoever as an
agent. Consultant shall have no authority, express or implied, pursuant to this Agreement to
bind City to any obligation whatsoever.
14. Standard of Performance. Consultant shall perform all the Services in a manner consistent
with the standards of Consultant's profession. All instruments of service of whatsoever
nature, which Consultant delivers to City pursuant to this Agreement, shall be prepared in a
substantial, first-class and workmanlike manner and conform to the standards of
Consultant's profession. All such instruments of service shall become the sole and
exclusive property of City upon delivery of the same.
15. Assignment/Transfer. No assignment or transfer in whole or in part of this Agreement
shall be made without the prior written consent of City.
16, Subcontractors. Consultant shall directly perform all Services, and shall not subcontract
any portion of performance of the Services without the prior written consent of City. Any
subcontractors shall be required to comply with the terms and conditions of this Agreement,
including but not limited to, procuring and maintaining insurance coverage as required
herein and which shall name City as an additional insured.
17. Non -Solicitation. City shall not solicit or lobby Consultant staff engaged under this
Agreement to apply for City employment during the term of this Agreement and for 12
months after its termination without the consent of Consultant. A general public recruitment
PROFESSIONAL SERVICES AGREEMENT
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for City open and promotional opportunities at any point shall not be considered an act
of solicitation or lobbying by the City. Notwithstanding anything to the contrary, no consent
of Consultant shall be required if City solicits a former employee of Consultant whose
employment was terminated by Consultant.
18, Compliance With All Laws. Consultant shall fully comply with all applicable local, state
and federal rules, laws, regulations and ordinances pertaining to the performance of the
Services required hereunder. Consultant's failure to comply with any law(s) or regulation(s)
applicable to the performance of the Services hereunder shall constitute a material breach of
this Agreement. To the extent that any other government entity provides grant or other
fiscal compensation for any Services, Consultant shall also comply with all rules and
regulations applicable to such fiscal assistance.
19. Living Wale Ordinance. Without limiting the foregoing Section 18, Consultant shall
comply fully with all applicable requirements of Petaluma Municipal Code, Chapter 8.36,
Living Wage (the "Living Wage Ordinance"), as the same may be amended from time to
time. Upon the City's request Consultant shall promptly provide to the City documents and
information verifying ConsuItant's compliance with the requirements of the Living Wage
Ordinance, and shall within fifteen (15) calendar days of the Effective Date of this
Agreement, notify each of its affected employees as to the amount of wages and time off
that are required to be provided to them pursuant to the Living Wage Ordinance. The
Acknowledgement and Certification Pursuant to City of Petaluma Living Wage Ordinance,
attached to this Agreement as Exhibit C, shall be a part of this Agreement for all purposes,
and Consultants that are subject to Living Wage Ordinance requirements, as determined by
the City, must provide a properly completed Exhibit C in accordance with the requirements
of the Living Wage Ordinance. Consultant's noncompliance with the applicable
requirements of the Living Wage Ordinance shall constitute cause for City's termination of
this Agreement pursuant to Section 4 hereof.
20. Discrimination. During the performance of this Agreement, Consultant shall not
discriminate against any employee or applicant for employment because of race, religion,
creed, color, national origin, ancestry, gender, sexual orientation, age or physical or mental
disability in violation of any applicable law. Verification by the City of any alleged
instances of discrimination on Consultant's part shall be considered a breach of this
Agreement, and may be addressed as provided in Section 4 of this Agreement.
21. Notice. Except as otherwise specified in this Agreement, all notices to be sent pursuant to
this Agreement shall be made in writing, and sent to the Parties at their respective addresses
specified below or to such other address as a Party may designate by written notice delivered
to the other Party in accordance with this Section. All such notices shall be sent by;
(i) personal delivery, in which case notice is effective upon delivery;
(ii) certified or registered mail, return receipt requested, in which case notice shall be
deemed delivered on receipt if delivery is confirmed by a return receipt;
(iii) nationally recognized overnight courier, with charges prepaid or charged to the
sender's account, in which case notice is,effective on delivery if delivery is
confirmed by the delivery service; or
(iv) facsimile transmission, in which case notice shall be deemed delivered upon
PROFESSIONAL SERVICES AGREEMENT
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transmittal, provided that (a) a duplicate copy of the notice is promptly delivered by
first-class or certified mail or by overnight delivery, or (b) a transmission report is
generated reflecting the accurate transmission thereof. Any notice given by
facsimile shall be considered to have been received on the next business day if it is
received after 5:00 p.m. recipient's time or on a nonbusiness day.
City: City Clerk
City of Petaluma
Post Office Box 61
and:
Petaluma, California 94953
Phone: (707) 778-4360
Fax: (707) 778-4554
Email: cityclerk@ci.petaluma.ca.us
City Manager
City of Petaluma
Post Office Box 61
Petaluma, CA 94953
Phone: 707-778-4345
Fax: 707-778-4419
Email: citymgr@ci.petaluma.ca.us
Consultant: Heather Hines, Principal
Metropolitan Planning Group
499 Humboldt Street
Santa Rosa, CA 95404
Phone: 707-540-0723
Email: hhines@m-group.us
22. Ownership of Documents. All original papers, documents or computer material on disk or
microfilm, and copies thereof, produced as a result of this Agreement, shall be the property
of City and may not be used by Consultant without the written consent of City. Copies of
such documents or papers shall not be disclosed to others without the written consent of the
City Manager or his or her designated representative.
23. Indemnification. Consultant shall, at its own expense, indemnify, defend with counsel
acceptable to the City, (which acceptance will not be unreasonably withheld), and hold
harmless City and its officers, officials, employees, agents and volunteers ("Indemnitees")
from and against any and all liability, loss, damage, claims, suits, actions, arbitration
proceedings, administrative proceedings, regulatory proceedings, civil penalties and fines,
expenses and costs (including, without limitation, claims expenses, attorney's fees and costs
and fees of litigation) (collectively, "Liability") of every nature, whether actual, alleged or
threatened, arising out of or in connection with the Services or Consultant's failure to
comply with any of the terms of this Agreement, regardless of any fault or alleged fault of
the Indemnitees.
The Consultant's obligation to indemnify, defend and hold harmless under this provision
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 or may not be
liable. The Consultant must respond within 30 calendar days to any tender for defense and
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indemnity by the City, unless the time for responding has been extended by an authorized
representative of the City in writing. If the Consultant fails to accept tender of defense and
indemnity within 30 calendar days, in addition to any other remedies authorized by law, so
much of the money due or that may become due the Consultant under this Agreement as
shall reasonably be considered necessary by the City, may be retained by the City until
disposition has been made of the matter subject to tender, or until the Consultant accepts the
tender, whichever occurs first. In. the event that the City must file responsive documents in a
matter tendered to Consultant prior to Consultant's acceptance of tender, Consultant agrees
to fully reimburse all costs, including but not limited to attorney's fees and costs and fees of
litigation, incurred by the City in filing such responsive documents.
The Consultant waives any and all rights to express or implied indemnity against the
Indemnitees concerning any Liability of the Consultant arising out of or in connection with
the Services or Consultant's failure to comply with any of the terms of this Agreement.
Notwithstanding the foregoing, to the extent this Agreement is a "construction contract" as
defined by California Civil Code. Section 2783, as may be amended from time to time,
Consultant's duty to indemnify under this provision shall not apply when to do so would be
prohibited by California Civil Code Section 2782, as may be amended from time to time.
Notwithstanding the foregoing, to the extent that the Services include design professional
services subject to California Civil Code Section 2782.8, as may be amended from time to
time, Consultant's duty to indemnify shall only be to the maximum extent permitted by
California Civil Code Section 2782.8.
24. Insurance. Consultant shall comply with the "Insurance Requirements for Consultants" in
Exhibit 13-2, attached hereto and incorporated herein by reference.
25. Amendment. This Agreement may be amended only by a written instrument executed by
both Parties.
26, Litigation. If litigation ensues which pertains to the subject matter of Consultant's services
hereunder, Consultant, upon request from City, agrees to testify therein at a reasonable and
customary fee. To the extent that Consultant's testimony does not relate to Consultant's
status as a percipient witness in any matters complained of, City shall pay Consultant a
reasonable and customary fee.
27. Construction. This Agreement is the product of negotiation and compromise on the part of
both Parties and that the Parties agree that, notwithstanding Civil Code Section 1654, any
uncertainty in the Agreement shall not be construed against the drafter of the Agreement.
28, Governing Law; Venue. This Agreement shall be enforced and interpreted under the laws
of the State of California and the City of Petaluma. Any action arising from or brought in
connection with this Agreement shall be venued in a court of competent jurisdiction in the
County of Sonoma, State of California.
29. Non -Waiver. The City's failure to enforce any provision of this Agreement or the waiver
thereof in a particular instance shall not be construed as a general waiver of any part of such
provision. The provision shall remain in full force and effect.
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30. Severability, If any term or portion of this Agreement is held to be invalid, illegal, or
otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of
this Agreement shall continue in full force and effect.
31. No Third Party Beneficiaries. The Parties do not intend to create, and nothing in this
Agreement shall be construed to create any benefit or right in any third party.
32. Mediation. The Parties agree to make a good faith attempt to resolve any dispute arising
out of this Agreement through mediation prior to commencing litigation. The Parties shall
mutually agree upon the mediator and shall divide the costs of mediation equally.
33. Consultant's Books and Records.
A. Consultant shall maintain any and all ledgers, books of accounts, invoices, vouchers,
canceled checks, and other records or documents evidencing or relating to costs,
expenditures and disbursements and/or revenues relating to provision of the Services
or Consultant's performance under this Agreement for a minimum period of three (3)
years or for any longer period required by law, from the date of final compensation
to Consultant pursuant to this Agreement.
B. Consultant shall maintain all documents and records which demonstrate performance
under this Agreement for a minimum period of three (3) years or for any longer
period required by law, from the date of termination or completion of this
Agreement.
C. Any records or documents required to be maintained pursuant to this Agreement
shall be made available for inspection or audit, at any time during regular business
hours, upon written request by the City Manager, City Attorney, City Finance
Director, or a designated representative of these officers. Copies of such documents
shall be provided to the City for inspection at Petaluma City Hall when it is practical
to do so. Otherwise, unless an alternative is mutually agreed upon, the records shall
be available at Consultant's address indicated for receipt of notices in this
Agreement.
D. Where City has reason to believe that such records or documents may be lost or
discarded due to dissolution, disbandment or termination of Consultant's business,
City may, by written request by any of the above-named officers, require that
custody of the records be given to the City and that the records and documents be
maintained in Petaluma City Hall. Access to such records and documents shall be
granted to any party authorized by Consultant, Consultant's representatives, or
Consultant's successor in interest.
34. Headings. The headings used in this Agreement are for convenience only and are not
intended to affect the interpretation or construction of any provisions herein.
35. Survival. All obligations arising prior to the termination or expiration of this Agreement
and all provisions of this Agreement allocating liability between City and Consultant shall
survive the termination or expiration of this Agreement.
PROFESSIONAL SERVICES AGREEMENT
(wanage4609321)July 2018
36, Entire A14reement. This Agreement, including the exhibits attached hereto and
incorporated herein, constitutes the entire agreement between the Parties with respect to the
Services, and supersedes all prior agreements or understandings, oral or written, between the
Parties in this regard.
IN WITNESS WHEREOF, the parties hereto have executed this document the day, month and year
first above written.
CITY OF PETALUMA
City Manager
ATTEST:
City Clerk
APPROVED AS TO FORM:
City Attorney
CONSULTANT
Heather Hines
Owner
Address
City State Zip
Taxpayer I.D, Number
Petaluma Business Tax Certificate Number
SCOPE OF SERVICES
M -Group's scope of services falls under one of four general categories, Base Level Services,
Building Division Support, Cost Recovery Services, and Special Projects.
I. Base Level Services
Tasks under Base Level Services are those that cannot be assigned to a specific project, and which
provide general planning services for the City, residents, businesses, and developers. This includes:
• Full time coverage of the Planning Counter (Monday through Thursday, 8:00 a.m, to 5:00
p.m.) to provide general zoning information in response to public inquiry. Counter coverage
also extends to timely response to emails and voicemails on similar issues as counter
inquiries;
• Processing flat fee permits such as fence permits, home occupation permits, short term
vacation rental permits, cannabis permits, outside dining permits and zoning permits;
• Zoning clearance review for all business licenses processed through the Finance
Department;
• Project review for all referrals from outside agencies including but not limited to the State
Department of Alcoholic Beverage Control and the Sonoma County Permit and Resource
Management District;
• Inter Departmental coordination, including.
o facilitating weekly Development Review Committee meetings
o attending agenda setting and senior staff meetings, and regular check in meetings
with other city departments;
• Maintaining the Planning Division website;
• Compiling monthly activity and major development reports for the City; and
• Media relations.
The Division's "first hour free" policy also falls under the category of Base Level Service and
allows staff to facilitate concept project discussions with applicants, discuss development
opportunities and constraints for properties for sale with realtors and property owners, and trouble
shoot major issues with developers early in the design phase of a project.
Additional tasks under Base Level Service include administrative staffing tasks associated with
Planning Commission and Historic and Cultural Preservation Committee meetings.
II. Building Division Support
The Planning and Building Divisions are closely tied in day-to-day activities and public counter
coverage. Tasks under Building Division Support are associated with the overall operation of
development services and include review of projects that don't require a separate planning
entitlement review. Tasks that will be performed in this category include, but are not limited to:
Sign and building permit review;
Assessment of development impact fees for all applicable projects;
PROFESSIONAL SERVICES AGREEMENT
(iMmage 1160932 1)July 2018
• Cashiering and reconciliation of daily fee intake;
• Coordination and problem solving on projects, from plan check through construction;
• Assistance and coordination with public information;
• Regular update of the building permit data base with planning related information;
• Identification and resolution of management issues overlapping the Planning and Building
function; and
• Focus on process improvement to ensure the highest level of customer service to the
community.
III. Cost Recovery Services
Tasks under Cost Recovery Services are all associated with a specific project application and
charged on a time and materials to the project applicant. This category encompasses all activities
associated with project entitlements, fiom application through approval, building permit,
construction, completion, and occupancy. Tasks include, but are not limited to:
• Application intake and referral;
• Site visits;
• Completeness review;
• Design Review;
• Development Review Committee meetings;
• California Environmental Quality Act (CEQA) review and analysis;
• Determination of need for and coordination of studies in support of project entitlement
applications;
• Staff Reports, Conditions of Approval, Resolutions;
• Ongoing coordination with the applicant team;
• Public outreach including noticing and engagement with interested members of the public;
and
• Presentation and discussion at applicable advisory committee meetings.
Cost recovery services also include preparation, presentation, and follow up for public hearings
before decision making bodies such as Historic and Cultural Preservation Committee, Public Art
Committee, Planning Commission, and the City Council. These are followed with building permit
review, public improvement plan review, onsite inspections and other post entitlement review
activities.
Additional tasks under Cost Recovery services include administrative tasks associated cost recovery
billing and reconciliation in conjunction with the City's Finance Department,
Special Projects
Special projects are above and beyond standard tasks under the other three categories and have a
separate scope and budget agreed upon prior to commencement. Examples of special projects
include the Municipal Airport PCD Rezoning and Business Park Rezoning Project. Examples of
ongoing special projects include staff liaison role to the Public Art Committee and Public Works
CEQA review.
PROFESSIONAL SERVICLS AGREEMENT
(Wanage #009321).luly 2018
INSURANCE REQUIREMENTS
12
EXHIBIT B-2
PROFESSIONAL SERVICES AGREEMENT
(iMannge #609321) July 2018
INSURANCE REQUIREMENTS
F.XHIBTT B-2
Consultant's performance of the Services under this Agreement shall not commence until
Consultant shall have obtained all insurance required under this paragraph and such insurance
shall have been approved by the City Attorney as to form and the Risk Manager as to carrier and
sufficiency. All requirements herein provided shall appear either in the body of the insurance
policies or as endorsements and shall specifically bind the insurance carrier.
Consultant shall procure and maintain for the duration of the contract all necessary insurance
against claims now and in the future for injuries to persons or damages to property which may
arise from or in connection with the performance of the Services by the Consultant, the
Consultant's agents, representatives, employees and subcontractors. Required professional
liability insurance shall be maintained at the level specified herein for the duration of this
Agreement and any extension thereof and for twelve additional months following the Agreement
termination or expiration.
A. Minimum Scope of Insurance
Coverage shall be at least as broad as:
1. Insurance Services Office Commercial General Liability coverage:
a. Personal injury;
b. Contractual liability.
2. Insurance Services Office form covering Automobile Liability, code 1 (any auto).
3. Workers' Compensation insurance as required by the State of California and
Employer's Liability Insurance.
4. Professional Liability insurance.
5. Such other insurance coverages and limits as may be required by the City.
B. Minimum Limits of Insurance
Consultant shall maintain limits no less than:
1. General Liability: $1,000,000 per occurrence for bodily injury, personal injury
and property damage. If Commercial General Liability Insurance or other form
with a general aggregate liability is used, either the general aggregate limit shall
apply separately to this Agreement or the general aggregate limit shall be twice
the required occurrence limit.
2. Automobile Liability: $1,000,000 per accident for bodily injury and property
damage.
3. Employer's Liability: Bodily Injury by Accident - $1,000,000 each accident.
Bodily Injury by Disease - $1,000,000 policy limit.
Bodily Injury by Disease - $1,000,000 each employee.
4. Professional Liability insurance: $1,000,000.
5. Such other insurance coverages and limits as may be required by the City.
C. Deductibles and Self -Insured Retentions
Any deductibles or self-insured retentions must be declared to and approved by the City.
At the option of the City, either: the insurer shall reduce or eliminate such deductibles or
Exhibit 132
Page 1 of 3
INSURANCE REQUIREMENTS (City)
(609325) Oct 2017
self-insured retentions as respects the City, its officers, officials, employees, and
volunteers; or the Consultant shall procure a bond guaranteeing payment of losses and
related investigations, claim administration and defense expenses.
City reserves the right to review any and all of the required insurance policies and/or
endorsements, but has no obligation to do so. City's failure to demand evidence of full
compliance with the insurance requirements set forth in this Agreement or City's failure
to identify any insurance deficiency shall not relieve Contractor from, nor be construed or
deemed a waiver of, its obligation to maintain the required insurance at all times during
the performance of this Agreement.
D. Other Insurance Provisions
The required general liability and automobile policies are to contain, or be endorsed to
contain the following provisions:
1. The City, its officers, officials, employees, agents and volunteers are to be
covered as Additional Insureds as respects: liability arising out of activities
performed by or on behalf of the Consultant; products and completed operations
of the Consultant; premises owned, occupied or used by the Consultant; or
automobiles owned, leased, hired or borrowed by the Consultant. The coverage
shall contain no special limitations on the scope of protection afforded to the City,
its officers, officials, employees, agents or volunteers.
2. For any claims related to this project, the Consultant's insurance coverage shall be
primary insurance as respects the City, its officers, officials, employees, agents
and volunteers. Any insurance or self-insurance maintained by the City, its
officers, officials, employees, agents or volunteers shall be excess of the
Consultant's insurance and shall not contribute with it.
3. Any failure to comply with reporting or other provisions of the policies including
breaches of warranties shall not affect coverage provided to the City, its officers,
officials, employees, agents or volunteers.
4. The Consultant's insurance shall apply separately to each insured against whom
claim is made or suit is brought except, with respect to the limits of the insurer's
liability.
5. Each insurance policy required by this clause shall be endorsed to state that
coverage shall not be suspended, _ voided, canceled by either party, reduced in
coverage or in limits except after thirty (30) days' prior written notice by certified
mail, return receipt requested, has been given to the City.
6. Consultant agrees to waive subrogation rights for commercial general liability,
automobile liability and worker's compensation against City regardless of the
applicability of any insurance proceeds, and to require all contractors,
subcontractors or others involved in any way with the Services to do likewise.
7. It shall be a requirement under this Agreement that any available insurance
proceeds broader than or in excess of the specified minimum insurance coverage
requirement and/or limits shall be available to the additional insured.
Furthermore, the requirement for coverage and limits shall be (1) the minimum
coverage and limits specified in this Agreement, or (2) the broader coverage and
maximum limits of coverage of any insurance policy or proceeds available to the
named insured; whichever is greater.
Exhibit B2
Page 2 of 3
INSURANCE REQUIREMENTS (City)
(609325) OCL 2017
8. The limits of insurance required in this Agreement may be satisfied by a
combination of primary and umbrella or excess insurance. Any umbrella or excess
insurance shall contain or be endorsed to contain a provision that such coverage
shall also apply on a primary and non-contributory basis for the benefit of the City
of Petaluma before the City of Petaluma's own insurance or self-insurance shall
be called upon to protect it as a named insured.
E. Acceptability of Insurers
r
Insurance is to be placed with insurers with a current A.M. Best's rating of no less than
A: VII.
F. Verification of Coverage
I
Consultant shall furnish the City with original endorsements effecting coverage required
by this clause. The endorsements are to be signed by a person authorized by that insurer
to bind coverage on its behalf. All endorsements are to be received and approved by the
City before the Services commence.
Pi
f
f'-
d
I".
x'11
Exhibit B2
Page 3 of 3
INSURANCE REQUIREMENTS (City)
(604325) Oct 0017
EXHIBIT C
M -Group Rate Schedule
Hourly Rates for Base Level Services
Job Title
Hourly Rate
Planning Manager/Principal
$
144
Principal Planner/Deputy Planner/DeputyPlanning Manager
$
131
Senior Planner
$
108
Associate Planner
$
83
Assistant Planner
$
66
Administrative Analyst/Permit Technician
$
55
Hourly Rates for Cost Recovery Services
Job Title
Hourly Rate
Planning Manager/Principal
$
200
Principal PImmer/Deputy Planer/DeputyPlanning Manager
$
160
Senior Planner
$
140
Associate Planner
$
115
Assistant Planner
$
90
Administrative Analyst/Permit Technician
$
75
Historic Preservation Specialist
$
130
13
PROFESSIONAL SF.RVICF,S AGREEMENT
(iManage #609321) July 2018
ATTACHMENT 3
Major Pipeline Projects
Project
Address
Status
Notes
Haystack
215 Weller
Incomplete
178 residential units
Waiting for resubmittal
14516 sq ft commercial
North River Apartments
368 and 402 PBN
Approved
184 residential units
Working on public
5,000 sq ft commercial
improvement plans
Brody Ranch
360 Corona
RApproved ` A- Y�
199 residential units
Under construction
Petaluman Hotel
2 PBS
Incomplete
50 hotel rooms
Waiting for resubmittal
Riverfront
500 Hopper
Approved
SPAR for office, mixed
use, townhomes, and
final phase of single
family outstanding
Baywest
Hopper (Pomeroy
Incomplete
145 residential units
Site)
Waiting for resubmittal
Office
Safeway Fuel Center
335 S McDowell
PC review on June 26
16 position gas station
Davidon
Windsor/D
Project revisions
66 single family units
anticipated
DEIR
Sid Commons
End of Graylawn
Resubmittal
278 multi -family units
anticipated for
consideration as part of
FEIR
Redwood Gateway Hotel
Redwood Tech
FEIA in process
140 hotel rooms
Center
SPAR outstanding.
Silkmill
750 Jefferson
Occupancy granted
76 hotel rooms
Adobe Road Winery
1 C Street
In completeness review
Historic Demo
approved by HCPC
Baywood Apartments
End of Casa Grande
Initial completeness
299 multi family units
review
_PC_
-
PEP Senior Housing
951 PBS
Targeting July 24t6PC
_
54 residential units
hearing
Omahony Mixed Use
131 Liberty
Approved
10 residential units,
1500 sq ft commercial
Marina Apartments
0 Marina Ave
Approved
90 multi family units
Under construction
Altura Apartments
Baywood/Perry
Approved
150 multi -family units
Under construction
Keller Court Commons
West/Keller
Approved
8 single family units in
Under Construction
pocket neighborhood
East Washington
817 E Washington
Approved
24 multi -family units
Commons