2010/11/03 David Taussig and Associates FY11 Public Facilities Financing Plan for I215 improvements PROFESSIONAL SERVICES AGREEMENT
THIS AGREEMENT for Professional Services ("Agreement") is made this 3Id day of
November, 2010 ("Effective Date") by and between the CITY OF MENIFEE ("City") and David
Taussig &Associates. ("Consultant") (together sometimes referred to the "Parties").
Section 1. SERVICES. Subject to the terms and conditions set forth in this
Agreement, Consultant shall provide to City the services described in the Scope of Work,
(Exhibit A and Exhibit Al) and incorporated here. Consultant will perform subsequent Task
Orders as requested by the Contract Administrator, in accordance with the Scope of Work. In
the event of a conflict in or inconsistency between the terms of this Agreement and Exhibit A,
this Agreement shall prevail.
1.1 Term of Services. The term of this Agreement shall begin on November
3, 2010 and shall end as described in the Task 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 City's right to terminate the
Agreement, as provided for in Section 8.
1.2 Standard of Performance. Consultant shall perform all services
required pursuant to this Agreement in the manner and according to the standards observed by
a competent practitioner of the profession in which Consultant is engaged in the geographical
area in which Consultant practices its profession and to the sole satisfaction of the Contract
Administrator.
1.3 Assignment of Personnel. Consultant shall assign only competent
personnel to perform services pursuant to Agreement. In the event that City, 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 City of such desire of City,
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 satisfy Consultant's obligations
hereunder.
1.5 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 2. COMPENSATION. City hereby agrees to pay Consultant a sum not to
exceed ninety two thousand-five hundred dollars ($92,500) 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 Exhibit B, regarding the amount of compensation, this Agreement shall prevail.
City 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
City to Consultant for services rendered pursuant to this Agreement. Consultant shall submit all
I
4843-4365-2872.1
invoices to City in the manner specified herein. Except as specifically authorized in advance by
City, Consultant shall not bill City for duplicate services performed by more than one person.
2.1 Invoices. Consultant shall submit invoices monthly 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 City'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 necessary to complete the work described in
Exhibit A;
• Receipts for expenses to be reimbursed;
• The Consultant's signature.
2.2 Monthly Payment. City shall make monthly payments, based on
invoices received, for services satisfactorily performed, and for authorized reimbursable costs
incurred. City shall have thirty (30) days from the receipt of an invoice that complies with all of
the requirements above to pay Consultant.
2.3 Final Payment. City shall pay the last ten percent (10%) of the total sum
due pursuant to this Agreement within sixty (60) days after completion of the services and
submittal to City of a final invoice, if all services required have been satisfactorily performed.
2.4 Total Payment. City shall not pay any additional sum for any expense or
cost whatsoever incurred by Consultant in rendering services pursuant to this Agreement. City
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 in writing prior to the submission of such an invoice.
2.5 Hourly Fees. Fees for work performed by Consultant on an hourly basis
shall not exceed the amounts shown on the fee schedule included with Exhibit A.
2.6 Reimbursable Expenses. Reimbursable expenses are included within
the maximum amount of the contract.
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2.7 Payment of Taxes. Consultant is solely responsible for the payment of
employment taxes incurred under this Agreement and any federal or state taxes.
2.8 Payment upon Termination. In the event that the City or Consultant
terminates this Agreement pursuant to Section 8, the City shall compensate the Consultant for
all outstanding costs and reimbursable expenses incurred for work satisfactorily completed as of
the date of written notice of termination. Consultant shall maintain adequate logs and
timesheets in order to verify costs incurred to that date.
Section 3. FACILITIES AND EQUIPMENT. Except as otherwise provided,
Consultant shall, at its sole cost and expense, provide all facilities and equipment necessary to
perform the services required by this Agreement. City shall make available to Consultant only
physical facilities such as desks, filing cabinets, and conference space, as may be reasonably
necessary for Consultant's use while consulting with City employees and reviewing records and
the information in possession of the City. The location, quantity, and time of furnishing those
facilities shall be in the sole discretion of City. In no event shall'City be required to furnish any
facility that may involve incurring any direct expense, including but not limited to computer, long-
distance telephone or other communication charges, vehicles, and reproduction facilities. All
computer financial models including, without limitation, compilations of formulas and
spreadsheet models used or developed by the Consultant in performing its work are proprietary
and shall remain property owned solely by the Consultant. Notwithstanding the above, the City
is authorized to use the drafts, spreadsheets any reports based on the computer financial
models prepared by Consultant.
Section 4. INSURANCE REQUIREMENTS. Before beginning any work under this
Agreement, Consultant, at its own cost and expense, shall procure the types and amounts of
insurance checked below and provide Certificates of Insurance, indicating that Consultant has
obtained or currently maintains insurance that meets the requirements of this section and which
is satisfactory, in all respects, to the City. 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 Consultant's compensation. Consultant shall not allow any subcontractor,
consultant or other agent to commence work on any subcontract until Consultant has obtained
all insurance required herein for the subcontractor(s) and provided evidence thereof to City.
Verification of the required insurance shall be submitted and made part of this Agreement prior
to execution. Consultant acknowledges the insurance policy must cover inter-insured suits
between the City and other Insureds.
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 ONE MILLION DOLLARS ($1,000,000.00) per accident, ONE MILLION DOLLARS
($1,000,000.00) disease per employee, ONE MILLION DOLLARS ($1,000,000.00) disease per
policy . 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
4843-4365-2872.1David Taussig Professional Services Agreement Page 3
all rights of subrogation against the City and its officers, officials, employees, and authorized
volunteers for loss arising from work performed under this Agreement.
4.2 Commercial General
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 ONE MILLION DOLLARS ($1,000,000.00) per
occurrence, combined single limit coverage, for risks associated with the work contemplated by
this Agreement, TWO MILLION DOLLARS ($2,000,000.00) general aggregate, TWO MILLION
DOLLARS ($2,000,000.00) products/completed operations aggregate. 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 bd" 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
hired, owned and non-owned automobiles.
4.2.2 Minimum scope of coverage. Commercial general coverage
shall be at least as broad as Insurance Services Office Commercial General Liability occurrence
form CG 0001 or GL 0002 (most recent editions) covering comprehensive General Liability and
Insurance Services Office form number GL 0404 covering Broad Form Comprehensive General
Liability. Automobile coverage shall be at least as broad as Insurance Services Office
Automobile Liability form CA 0001 (ed. 12/90) Code 8 and 9. No endorsement shall be attached
limiting the coverage.
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 accident
basis, and not on a claims-made basis.
b. Any failure of Consultant to comply with reporting
provisions of the policy shall not affect coverage provided to City and its officers, employees,
agents, and volunteers.
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
ONE MILLION DOLLARS ($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:
4843-4365-2872.1David Taussig Professional Services Agreement Page 4
a. The retroactive date of the policy must be shown and must
be no later than the commencement of the work.
b. Insurance must be maintained and evidence of insurance
must be provided for at least five (5) 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 provide extended reporting coverage for a minimum of five (5)
years after completion of the Agreement or the work. Such continuation coverage may be
provided by one of the following: (1) renewal of the existing policy; (2) an extended reporting
period endorsement; or (3) replacement insurance with a retroactive date no later than the
commencement of the work under this Agreement. The City shall have the right to exercise, at
the Consultant's sole cost and expense, any extended reporting provisions of the policy, if the
Consultant cancels or does not renew the coverage. `
d. A copy of the claim reporting requirements must be
submitted to the City 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 and admitted in California.
4.4.2 Verification of coverage. Prior to beginning any work under this
Agreement, Consultant shall furnish City with Certificates of Insurance, additional insured
endorsement or policy language granting additional insured status complete certified copies of
all policies, including complete certified copies of all endorsements. All copies of policies and
certified endorsements shall show the signature of a person authorized by that insurer to bind
coverage on its behalf. The Certificate of Insurance must include the following reference:
NPDES and MS4 permit review, implementation and consultation The name and address
for Additional Insured endorsements, Certificates of Insurance and Notice of Cancellation is:
City of Menifee, 29714 Haun Road, Menifee, CA 92586. The City must be endorsed as an
additional insured for liability arising out of ongoing and completed operations by or on behalf
of the Consultant.
, 4.4.3 Notice of Reduction in or Cancellation of Coverage. A certified
endorsement shall be attached to all insurance obtained pursuant to this Agreement stating that
coverage shall not be suspended, voided, canceled or materially changed by either party, or
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. In the event that any coverage
required by this section is reduced, limited, cancelled, or materially affected in any other
manner, Consultant shall provide written notice to City at Consultant's earliest possible
opportunity and in no case later than ten (10) working days after Consultant is notified of the
change in coverage.
4.4.4 Additional insured; primary insurance. City and its officers,
employees, agents, and authorized volunteers shall be covered as additional insureds with
4e43-4365-2e72.iDavid Taussig Professional Services Agreement Page 5
respect to each of the following: liability arising out of activities performed by or on behalf of
Consultant, including the insured's general supervision of Consultant; products and completed
operations of Consultant, as applicable; premises owned, occupied, or used by Consultant; and
automobiles owned, leased, or used by the Consultant in the course of providing services
pursuant to this Agreement. The coverage shall contain no special limitations on the scope of
protection afforded to City or its officers, employees, agents, or authorized volunteers. The
insurance provided to the City as an additional insured must apply on a primary and non-
contributory basis with respect to any insurance or self-insurance program maintained by the
City. Additional insured status shall continue for (1) year after delivery of product(s).
A certified endorsement must be attached to all policies stating that
coverage is primary insurance with respect to the City and its officers, officials, employees and
volunteers, and that no insurance or self-insurance maintained by the City shall be called upon
to contribute to a loss under the coverage.
4.4.5 Deductibles and Self-insured Retentions. Consultant shall
obtain the written approval of City for the self-insured retentions and deductibles before
beginning any of the services or work called for by any term of this Agreement.
During the period covered by this Agreement, only upon the prior express
written authorization of Contract Administrator, Consultant may increase such deductibles or
self-insured retentions with respect to City, its officers, employees, agents, and volunteers. The
Contract Administrator may condition approval of an increase in deductible or self-insured
retention levels with a requirement that Consultant procure a bond guaranteeing payment of
losses and related investigations, claim administration, and defense expenses that is
satisfactory in all respects to each of them.
4.4.6 Subcontractors. Consultant shall include all subcontractors as
insureds under its policies or shall furnish separate certificates and certified endorsements for
each subcontractor. All coverages for subcontractors shall be subject to all of the requirements
stated herein.
4.4.7 Variation. Contract Administrator may approve in writing a
variation in the foregoing insurance requirements, upon a determination that the coverage,
scope, limits, and forms of such insurance are either not commercially available, or that the
City's interests are otherwise fully protected.
4.5 Remedies. In addition to any other remedies City may have if Consultant
fails to provide or maintain any insurance policies or policy endorsements to the extent and
within the time herein required, City may, at its sole option, exercise any of the following
remedies, which are alternatives to other remedies City 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
4843-4365-2872.1David Taussig Professional Services Agreement Page 6
withhold any payment, until Consultant demonstrates compliance with the
requirements hereof; and/or
• Terminate this Agreement.
Section 5. INDEMNIFICATION.
Because Consultant shall function as a City Official (i.e. City Surveyor), Consultant shall
have the same immunities as other public officials under the Tort Claims Act and other
applicable laws and the City shall indemnify and defend Consultant in that capacity as
provided by law.
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 City. City 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 City shall not have the right to control the means by which Consultant
accomplishes services rendered pursuant to this Agreement. Notwithstanding any other City,
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 any compensation, benefit, or any incident of employment by
City, including but not limited to eligibility to enroll in the California Public Employees Retirement
System (PERS) as an employee of City and entitlement to any contribution to be paid by City for
employer contributions and/or employee contributions for PERS benefits.
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 subcontractor
shall comply with all applicable local, state and federal laws and regulations applicable to the
performance of the work hereunder.
7.3 Licenses and Permits. Consultant represents and warrants to City 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 City that Consultant and its
employees, agents, any subcontractors shall, at their sole cost and expense, keep in effect at all
times during the term or 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 City.
4643-4365-2872.1David Taussig Professional Services Agreement Page 7
Section 8. TERMINATION AND MODIFICATION.
8.1 Termination. City 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 City 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; City, however, may condition payment of
such compensation upon Consultant delivering to City 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 City in connection with this Agreement.
8.2 Extension. City may, in its sole and exclusive discretion, extend the end
date of this Agreement beyond that provided for in Subsection I.I. Any such extension shall
require a written amendment to this Agreement, as provided for herein. Consultant understands
and agrees that, if City grants such an extension, City 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, City 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. City 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 City for entering into this
Agreement was and is the professional reputation and competence of Consultant. 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. In the event that key personnel
leave Consultant's employ, Consultant shall notify City immediately.
8.5 , Survival. All obligations arising prior to the termination of this Agreement
and all provisions of this Agreement allocating liability between City 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, City's remedies shall include, but not be limited to, any or all
of 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; i
4843-4365-2872.1David Taussig Professional Services Agreement Page 8
i
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 City 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 City. Consultant hereby agrees to deliver those documents to the City
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 City and are not necessarily suitable for any future or other use.
City and Consultant agree that, until final approval by City, 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 unless required by law. All computer financial models including, without
limitation, compilations of formulas and spreadsheet models used or developed by the Consultant in
performing its work are proprietary and shall remain property owned solely by the Consultant.
Notwithstanding the above, the City is authorized to use the drafts, spreadsheets any reports based
on the computer financial models prepared by Consultant.
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 City
under this Agreement for a minimum of three (3) years, or for any longer period required by law,
from the date of final payment to the Consultant to this Agreement.
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 City.
Under California Government Code Section 8546.7, if the amount of public funds expended under
this Agreement exceeds Ten Thousand Dollars ($10,000.00), the Agreement shall be subject to the
examination and audit of the State Auditor, at the request of City or as part of any audit of the City,
for a period of three (3) years after final payment under the Agreement.
i
Section 10. MISCELLANEOUS PROVISIONS.
10.1 Attorneys' Fees. If either 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 and expenses including costs, in
addition to any other relief to which that party may be entitled. The court may set such fees in the I
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
Riverside County.
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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 Consultant Representative. All matters under this Agreement shall be
handled for Consultant by David Taussig, President.
10.7 City Contract Administration. This Agreement shall be administered by
a City Employee, Don Allison ("Contract Administrator"). All correspondence shall be directed
to or through the Contract Administrator or his or her designee.
10.8 Notices. Any written notice to Consultant shall be sent to:
David Taussig and Associates
5000 Birch Street, Suite 6000
Newport Beach, CA 92660
949-955-1500
Any written notice to City shall be sent to the Contract Administrator with a copy
to:
City Clerk
City of Menifee
29714 Haun Road
Menifee, CA 92586
10.9 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.
10.10 Integration. This Agreement, including the scope of work attached
hereto and incorporated herein as Exhibit A, represents the entire and integrated agreement
4843-4365-2872.1David Taussig Professional Services Agreement Page 10
between City and Consultant and supersedes all prior negotiations, representations, or
agreements, either written or oral.
10.11 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.
Section 11.
The Parties have executed this Agreement as of the Effective Date.
CITY OFMENIFEE CONS N
Wallace W. Edgerton, M or avid Taussig and As's6ciates
Attest:
f .
Kathy Bennett, City Clerk
Approved as to Form:
le /`7-zlj Karen A. Feld, ity Attorney
1
4843-4365-2872.1David Taussig Professional Services Agreement Page 11
EXHIBIT A
SCOPE OF WORK
4843-4365-2872.iDavid Taussig Professional Services Agreement Page 12
9
t
'- DAVID TAUSSIG
ASSOCIATES
5000 Birch Street, Ste. 6000, Newport Beach, CA 92660
Phone: 949,955.1500 / Fax: 949.955,1590
CONSULTANT AGREEMENT
NOTICE OF AUTHORIZATION
Date: October 25, 2010
Project: City of Menifee/I-215 Interchange Improvements
Description of Work: Public Facilities Financing Plan
Budget:Time and materials not to exceed$17,500(including expenses for the Scope of Services identified
below. Professional Services will be billed at the hourly rates listed below.
President $285/Hour
Vice President $230/Hour
Manager $200/Hour
Senior Associate $180/Hour
Associate $165/Hour
Senior Analyst $145/11our
Financial Analyst $125/Hour
Research Assistant $100/Hour
Client shall reimburse DTA for out-of-pocket and administrative expenses by paying a charge equal to 3%of DTA's
monthly billings for labor,plus clerical time @ $75 per hour, travel costs,and any outside vendor payments. All
hourly rates for services apply through June 30,2011 and are subject to a cost-of-living increase at that time. On or
about the first two weeks of each month during which consulting services are rendered hereunder,Consultant shall
present to Client an invoice covering the current consulting services performed and the reimbursable expenses
incurred pursuant to this Notice of Authorization. Invoices shall be paid by Client within thirty(30)days of the date
of each invoice. A 1.2%charge may be imposed against accounts that are not paid within 30 days of the date of each
invoice. The prevailing party in any arbitration or legal action brought by one party against the other and arising out
of this Notice of Authorization shall be entitled, in addition to any other rights and remedies it may have, to
reimbursement for its expenses,including court costs and reasonable attomeys'fees. The non-prevailing party shall
be liable, to the extent allowable under law, for all fees and expenses of the arbitrator(s) and all costs of the
arbitration.
Consultant: Client:
David Taussig &Associates, Inc. City of Menifee
David Taussi , President (Authorized Signature)
Brief Description of • Please see Exhibit A—Scope of Services.
Scope of Services:
J:\PROPOSAL\PFFP\Menifee\Notice of Authorization- Menifee Public Facilities Financing Program 10.25.10.doc
Newport Beach 9 Riverside•San Francisco•Dallas,1X
EXHIBIT A - SCOPE OF SERVICES
PUBLIC FACILITIES FINANCING PLAN
FOR CITY OF MENIFEE 1-215 IMPROVEMENTS
David Taussig and Associates, Inc. ("DTA") shall assist the City of Menifee (the "City") in preparing a
public facilities financing plan analysis (the "PFFP") that will recommend appropriate financing
mechanisms to support all infrastructure costs associated with certain City-selected 1-215
Interchange improvements, identified as the Garboni Road Bridge and the Scott Road Interchange
(the "Facilities"). With the assistance of City staff and Fieldman Rolapp & Associates, DTA will
prepare a financing strategy that will ensure that the goals, objectives, and policies of the City are
properly implemented and that the following general objectives are addressed:
• The Facilities are adequately financed and provided in a timely manner;
• Public financing is equitable, financially feasible, efficiently utilized and consistent with City
guidelines and accepted public policy, and meets all relevant nexus and benefit criteria;
• Public financing mechanisms avoid creating a financial and administrative burden to the City.
DTA's specific objectives in preparing the PFFP are to (1) collect the required Facilities costs and
phasing for the public improvements covered by the PFFP, (2) collect the anticipated residential and
non-residential development benefitting from the proposed Facilities, (3) determine the fee and
Community Facilities District revenues to be generated for the Facilities, (4) compute total financing
burden by financing mechanism and compute any anticipated shortfalls, and (5) prepare a summary
memorandum and summary matrix for the PFFP.
DTA shall undertake the following tasks to prepare the PFFP:
Task 1 Collect and Review Facilities Costs Revenues and Demographic Data
Evaluate Facilities construction costs, as well as potential revenues and demographic data. This will
involve the following:
• Collect and review data provided by all parties and their consultants regarding
construction costs associated with the Facilities (all costs will be in 2010 dollars).
For purposes of this static public facilities financing plan analysis, the Facilities cost
inflation factors will not be evaluated;
• Collect and review data provided by all parties and their consultants regarding
existing land uses and future projected residential and non-residential development,
by year,for such development;
• Collect and review data on Development Impact Fees ("DIF"), Transportation Uniform
Mitigation Fees ("TUMF") and Road and Bridge Benefit District Fees ("RBBD")
collected to date, as well as Fees per residential unit or non-residential square foot
(building or land) to be collected in future years. For purposes of this static public
facilities financing plan analysis, the Fee inflation factors will not be evaluated;
• Collect and review data and structuring of County of Riverside Community Facilities
District No. 05-8 (the "CFD"), as well as Rate and Method of Apportionment. Project
future development within the CFD by year.
City of Menifee(1-215Interchange Improvements) Page A-1
Public Facilities Financing Plan October 27,20I0
It is assumed that land use, infrastructure construction cost and fee data will be provided by City
and/or its consultants under Task 1.
Task 2 Project Revenue Sources and Construction Dates for the Facilities
• Project available DIF, TUMF and RBBD funding by year based on residential and
commercial/industrial absorption projections.
• Project available CFD funding (special taxes and bond proceeds) by year based on
residential and non-residential land uses.
• Based on this revenue analysis, determine the amounts of funding to be generated
from each revenue source annually, as well as any existing shortfalls in given years.
All revenue projections under this task will be stated in 2010 dollars.
• If appropriate, compare projected construction dates for the Facilities assuming
additional property owner assistance with grant or loan, or without any property
owner assistance.
Task 3 Recommend Mechanisms Available to Fund Shortfalls(If Any)
Provide a qualitative description of the various Fee programs,federal and state grants and loans and
other financing and reimbursement mechanisms (including additional land-secured financing)
available for covering any shortfalls.
Task 4 Prepare Summary Memorandum
Prepare a summary table and a memorandum containing a discussion and analysis of the
assumptions, methodology and findings of the PFFP discussed under Tasks 1-3.
Task 5 General and Technical Assistance
Participate in discussions relating to the transferring of existing County CFDs to the City(up to twelve
hours,after which time may be considered "Additional Work,"see below).
Task 6 Meetings
Attend up to a total of four (4) meetings with City, Riverside County and other stakeholders, as well
as their consultants, to discuss the findings and issues relating to the PFFP. After a total of four(4)
meetings attended by DTA have been completed, additional meetings will require fees beyond the
maximum established if the agreed upon total compensation amount has been completely expended
based on hourly ratds quoted herein.
Limitations
This budget covers only those tasks outlined in Exhibit A. Additional consulting services beyond
those outlined in the Scope of Services ("Additional Work") may be provided for additional fees if they
cause the proposed budget maximum to be exceeded. DTA shall notify City if and when consulting
services charges approach $17,500 to obtain written consent for additional fees to continue
Additional Work. Alternatively, if the selected tasks can be completed for less than the maximum
amount, only the hours actually expended will be billed. DTA's attendance at more than four (4)
meeting(s) with the City, Riverside County, stakeholders, and/or other interested parties, or major
revisions to the analysis requested by the City, etc. will be classified as Additional Work. Other
examples of Additional Work shall include:
City of Menifee(I-215 Interchange Improvements) Page A-3
Public Facilities Financing Plan October 27,2010
• Additional analyses based on revised assumptions requested by City after the completion of
Task 4
• Additional coordination required for timely data collection due to lack of available data from
City under Task 1
• Actual implementation of any of the financing mechanisms discussed in the PFFP
• More than twelve hours spent on Task 5
J:\PROPOSAL\PFFP\Menifee\Scope of Services-Menifee Public Facilities Financing Program 10.26.10.doc
City of Menifee(1-21 S Interchange Iniproventents) Page A-3
Public Facilities Financing Plan October 27,2010
DAVID TAUSSIG
ASSOCIATES
woo
5000 Birch Street, Ste. 6000, Newport Beach, CA 92660
Phone: 949,955,1500 /Fax: 949.955.1590
EXHIBIT A- SCOPE OF SERVICES
FINAL FUNDING APPLICATION - WORK
PLAN/BUDGET/SCHEDULE/MONITORING
SANTA ANA WATERSHED PLANNING AUTHORITY
David Taussig and Associates, Inc. ("DTA") shall assist the City of Menifee (the "City") in
responding to the third round of applications (the "Final Application") required by the Santa
Ana Watershed Planning Authority to obtain funding through the State Department of Water
Resources' ("DWR") Integrated Regional Water _Management Proposition 84 Grant
Implementation Program (the "Program"). This work shall include the preparation of the
Work Plan, Budget, Schedule and Monitoring sections of the Final Application. The City's
proposed flood control project (the "Project") consists of two detention basins and
approximately 11,800 lineal feet of open channel and storm drains running from Juniper
Flats westerly. The intent of the Project is to collect storm water and control run off while
removing debris, silt and other contaminants and providing a comprehensive solution for
non-point source pollution generated from a 6.5 square mile drainage basin.
The Project was approved by SAWPA for $1,000,000 in funding after the second round of
applications, and has been included among the 13 projects being recommended by SAWPA
to DWR for funding. The Final Application required by DWR includes a workplan, budget,
schedule and monitoring program. The City has selected DTA to assist City staff in preparing
these sections of the Final Application.
DTA shall undertake the following tasks to prepare the Economic Analysis on behalf of the
City:
Task 1 Develop,Collect and Integrate Work Program for Project
Coordinate with City and Webb Engineering to document individual tasks associated with
completion of the,Project, as they relate to the revisions in the Project as currently approved
by SAWPA.
Task 2 Determine and Document Project Benefits
Develop Work Plan, budget, Project schedule and monitoring program with
assistance from City staff.
Task 3 Complete Sections of Final Application
Complete all tables in Attachments 3 - 6 in the Final Application and associated narratives
in Final Application, and submit to SAWPA by November 30, 2010.
Newport Beach•Riverside•San Francisco-Chicago•Dallas
EXHIBIT B - FEE SCHEDULE
FINAL FUNDING APPLICATION — WORK
PLAN/BUDGET/SCHEDULE/MONITORING SANTA ANA WATERSHED PLANNING
AUTHORITY
The maximum fee shall be time and materials not to exceed $11,250 (including expenses)
for the Scope of Services described above. Professional Services will be billed at the hourly
rates listed below.
President $285/Hour
Vice President $230/1-lour
Manager $200/1-lour
Senior Associate $180/1-lour
Associate $165/1-lour
Senior Analyst $145/1-lour
Financial Analyst $125/Hour
Research Assistant $100/Hour
Client shall reimburse DTA for out-of-pocket and administrative expenses by paying a charge
equal to 3% of DTA's monthly billings for labor, plus clerical time @ $75 per hour, travel
costs, and any outside vendor payments. All hourly rates for services apply through June 30,
2011 and are subject to a cost-of-living increase at that time.
Limitations - Any work required after submittal of Attachments 3 - 6 on November 30, 2010
are not included in this Scope of Work.
J:\PROPOSAL\State and Federal Grants and Loa ns\Men ifee\Proposal-Final Work Plan.doc
City of Menifee Work Plapr/Budget/Srheduling/Monitoring Program Page A-2
Santa Ana Watershed Planning Authority November 26,2011
Jennifer Arsaga
From: Liz.Lange@sce.com
Sent: Monday, February 28, 2011 8:56 AM
To: Jennifer Arsaga
Subject: Re: Street Light
Attachments: ATT00001.png
Jennifer,
I'll forward your message to our Field Supervisor.
Have a great day!
Liz Lange
Assistant to Region Managers:
Ray Hicks/Louis Davis/Viet Tran
Southern California Edison
Local Public Affairs
(951)928-8333/Pax 18333-Menifee Office
(951)249-8616/Pax 19616-Wildomar Office
From: Jennifer Arsaga<JArsaga(a)citvofinenifee.us>
To: "Liz.Large a sce com"<Liz.Langeasce.com>
Date: 02/28/2011 08:30 AM
Subject: Street Light
Liz,
I received a call today from an elderly resident. I reported a light out on 1/26/11 ref#854736(KMM3523933122462LOKM)Trouble
Order#58757.
Pole#2347393E located on Potomac and Braddock.
Thank you for your help,
Jennifer
Jennifer Arsaga "For things to change, you have to change "-Jim Rohn
City of Menifee
29714 Haun Road
Menifee, CA 92586
951.672.6777
iarsaga cityofinenifee.us
i
DAVID TAUSSIG
& ASSOCIATES
5000 Birch Street, Ste. 6000, Newport Beach, CA 92660
Phone: 949,955.1500/ Fax: 949.955.1590
EXHIBIT A - SCOPE OF SERVICES
CFD SPECIAL TAX CONSULTING SERVICES
FOR CITY OF MENIFEE
David Taussig and Associates, Inc. ("DTA") shall assist the City of Menifee ("City") in establishing
future a Community Facilities District ("CFDs") to fund public improvements and fees for residential
and non-residential developments interested in CFD financing (each a "Future Development"), and
issuing a first series of CFD bonds. DTA's responsibilities-under this Scope of Services shall consist
of two phases:
(PHASE ONE)COMMUNITY FACILITIES DISTRICT FORMATION
DTA shall provide special tax consulting services necessary to assist City in the formation of a CFD
for each potential Future Development. The Phase One tasks listed below represent work completed
through the Resolution of Formation for a CFD, and do not include the actual issuance of CFD bonds.
Task 1 Background Research
Review available planning, engineering, development absorption and financial information regarding
the Future Development. All information shall be provided by the developer, City and/or its
consultants. DTA shall base its analysis on data received from these sources, and shall not conduct
any independent research to verify the accuracy of such data.
Task 2 Properly Tax Research
Request a preliminary title report and Assessor's Parcel Number or property tax bills from the
representatives for the Future Development in order to identify the existing property tax rate, special
taxes, and assessments. DTA shall contact the related taxing entities and service providers, as
appropriate, to determine projected and maximum rates and the method of assessment. DTA shall
utilize this information to identify the base property tax rate for purposes of modeling the projected
total effective tax rate.
Task 3 Public Facilities Eligibilay. Phasing. Reimbursement
Review public improvements proposed to be financed. Evaluate eligibility under the Mello-Roos
Community Facilities Act of 1982 as well as the City's policy guidelines.
Task 4 Preliminary Tax Spread Analysis
Prepare preliminary spread of special taxes (the "Tax Spread") to estimate CFD revenues and
expenses. Determine supportable bonded indebtedness and the special tax rates required to fund
desired public improvements. Estimate effective total property tax rates. The Tax Spread analysis
will focus on:
• Effective Tax Rate: Estimate effective total tax rates for the Future Development to ensure
compliance with the City's approved CFD policies.
• Debt Service Coverage: Estimate aggregate debt service coverage ratios for the bonds.
Estimate coverage produced from developed and undeveloped property categories.
City of Menifee Community Facilities District Page A-]
Special Tax Consulting Services October 26,2010
• Bond Sizing and Structure: Coordinate with financial advisor and underwriter regarding
structure and sizing of bonds to establish an optimal schedule of bond sales to maximize
funding capacity and alleviate cash flow constraints, including an analysis of level and
increasing debt service, sales of multiple series of bond issues, use of improvement areas or
zones should the City decide to include more than one property owner in any CFD with a
separate rate structure, trade-offs between capitalized interest and bond-financed facilities,
required reserve funds, and escrowed bond proceeds, if applicable.
As requested, DTA will prepare additional Tax Spreads based on varying land use types, absorption,
interest rate, bond phasing and structuring, and other assumptions. DTA cashflows shall provide
special tax structures necessary to support proposed financing, with a variety of combinations of tax
levels to be applied to various land use types. These cashflows will allow City staff to evaluate
alternative special tax scenarios to determine the most politically attractive set of tax rates. DTA may
recommend alternative techniques to apportion special taxes to enhance project feasibility. DTA
shall prepare tax spread revisions until all parties are satisfied.
Task 5 Rate and Method of Apportionment of Special Tax(the Special Tax Formula)
Prepare the rate and method of apportionment of the special tax ("RMA"). The RMA will document
the special tax formula, maximum special tax rates, classification of property for purposes of the
annual levy,the prepayment methodology, etc. All such components of the RMA will be structured so
they are consistent with the City's approved CFD policies. The RMA will be designed to adapt to
changes in land use, densities and absorption. DTA will also evaluate the need for improvement
areas or zones,and if required, develop a separate RMA for each improvement area or zone.
Task 6 Joint Community Facilities Agreement and Funding and Acquisition Agreement
Review and negotiate Joint Community Facilities Agreements and Funding and Acquisition
Agreements with participating public agencies and developers.
Task 7 CFD Report
Prepare the public report which shall contain a description and estimated cost of the proposed
public facilities to be financed by the CFD, estimated bonded indebtedness and related issuance
costs and incidental expenses,and an explanation of the special tax apportionment methodology.
Task 8 CFD Boundary Map
This task entails the preparation and/or review of the CFD boundary map pursuant to the
requirements of the Mello-Roos Act and the Riverside County (the "County") Recorder's Office,
assuming that computerized base maps are provided by the Future Development landowner. The
boundary map will describe the property to be subject to the special tax. When finalized, and as
requested, DTA will prepare mylar and black line originals of the boundary map and coordinate
execution of the signature blocks and recordation.
Task 9 Registrar of Voter's Certification
Request from the County Registrar of Voters confirmation of registered voters status residing in the
boundaries of the CFD prior to the adoption of the Resolution of Intention (Government Code Section
§53322).
Task 10 Document Review and Preparation
Assist City and its finance team in the preparation and review of legal and bond documents for the
formation of the CFD, including Resolution of Intention and Resolution of Formation, and assist
participating parties in executing such agreements, as needed. Also provide necessary data and
advice to Bond Counsel regarding the implementation of the CFD, including policies which address
changes in land uses which occur after district formation, integration of reimbursement programs
from the State or other public districts or fee programs.
City of Menifee Community Facilities District Page A-2
Special Tax Consulting Services October 26,2010
Task 11 Notice of Special Tax Lien
Provide a list of Assessor's Parcels to be attached to the Notice of Special Tax Lien and coordinate its
recordation with the County, pursuant to the Streets& Highway Code §3114.5.
Task 12 General and Technical Assistance
Answer questions and provide technical advice to City and financing team regarding the CFD
formation during the period in which Tasks 1 through 11 of the Phase One Scope of Services are
being completed.
Task 13 Meetings
DTA shall attend up to a total of five (5) meetings. These meetings may be used to discuss or
present the Tax Spread, Rate and Method of Apportionment of Special Tax, CFD Report, or other
items prepared by DTA. They may also be used for the protest hearing, or other public meetings.
After a total of five (5) meetings attended by DTA have been completed, additional meetings will
require fees beyond the maximum established if the agreed upon total compensation amount has
been completely expended based on hourly rates quoted herein. DTA shall also provide verbal
assistance to City and its financing team as necessary.
(PHASE Two COMMUNITY FACILITIES DISTRICT ISSUANCE OF BONDS
DTA shall provide special tax consulting services necessary to assist City with the issuance of CFD
bonds for each Future Development:
Task 14 Revisions to CFD Tax Spreads
Prepare revised CFD pro formas as needed, up to a total of 25 pro formas including those prepared
under Task 4,for the Future Development.
Task 15 Appraisal
Recommend appraiser(s) if requested. Review appraisal process and methodology. Assist appraiser
by providing bond phasing and undeveloped property tax projections for appraiser's discounted
cashflow analysis.
Task 16 Market Absorption Study
Recommend market absorption study consultant(s) if requested. Review and comment on market
absorption study. Adapt CFD Tax Spreads to pricing and absorption rates in market absorption
study.
Task 17 Value to Lien Analysis
Utilizing information contained in the market absorption study and appraisal, prepare value to lien
ratio estimates by special tax class to assist in identifying bond underwriting issues and timing of
bond issues.
Task 18 Bond Documents
Assist finance team in the preparation and review of legal and bond documents for the CFD bond
issuance, including Bond Indenture, Official Statement, Continuing Disclosure Agreements,
Statement of Overlapping Debt for the Official Statement, Special Tax Coverage tables, and Sample
Tax Bills.
Task 19 Special Tax Certification
After receiving executed Property Owner Information Certificates confirming taxable acreage and
other data provided by property owner(s), prepare and execute Special Tax Consultant Certificate
confirming adequacy of special taxes to meet debt service requirements for first bond issue. If there
City of Menifee Community Facilities District Page A-3
Special Tax Consulting Services October 26,2010
are one or more improvement areas, DTA shall prepare and execute a Special Tax Consultant
Certificate confirming the adequacy of special taxes for the first series of bonds issued for a CFD
and/or each improvement area, provided that all such bonds are issued at the same time.
Certifications for all other bond issues will be covered under separate agreements.
Task 20 General and Technical Assistance
Answer questions and provide technical advice to City and financing team regarding the CFD bond
issuance during the period in which Tasks 14 through 19 of the Phase Two Scope of Services are
being completed. Coordinate with underwriter regarding structure of final debt service and bond
schedule. Prepare final CFD Tax Spread(s).
Task 21 Meetings
Attend up to three (3) meetings (in addition to meetings specified in the Phase One Scope of
Services above) with City and its finance team, as well as other interested parties, to present and/or
discuss the appraisal, market absorption study, Official Statement, Bond Indenture or other bond
documents.
City of Menifee Community Facilities District Page A-4
Special Tax Consulting Services October 26,2010
EXHIBIT B - FEE SCHEDULE
CFD SPECIAL TAX CONSULTING SERVICES
FOR CITY OF MENIFEE
Subject to the Limitations section listed below, DTA's proposed compensation (excluding expenses)
for completion of Tasks 1-21 in Exhibit A for each CFD is shown in the following table.
JAM
Proposed Compensation ',
Phase One Time and Materials not to exceed $35,000
(CFD Formation) (excluding expenses)
Phase Two
(CFD Issuance of Bonds) Dependent on Size of Bond Issue(s)
Phase 1 - DTA shall be remunerated for services based on the hourly rates shown in table below,
with invoices being submitted to City on a monthly basis.
Phase 2- Prior to the sale of a first bond issue, DTA shall be remunerated for services based on the
hourly rates shown in table below, with invoices being submitted to City on a monthly basis. Upon
the sale of a first bond issue, any remaining portion of the agreed upon compensation (to be
determined once sizing of bonds has been confirmed) shall be paid from the proceeds of the bond
issue. Should no bonds be sold, DTA shall only receive remuneration for hours worked and out-of-
pocket expenses.
David Taussig&Associates, Inc.
/ / /11 H■
President $285/Hour
Vice President $230/Hour
Manager $200/1-lour
Senior Associate $180/1-lour
Associate $165/1-lour
Senior Analyst $145/1-lour
Financial Analyst $125/1-lour
Research Assistant $100/Hour
In addition to fees for services, City shall reimburse DTA for out-of-pocket and administrative
expenses by paying a charge equal to 3%of DTA's monthly billings for labor, plus clerical time @ $75
per hour, travel costs, and any outside vendor payments, not to exceed a total of $2,500 for Phase
One.
Limitations
Any additional tasks assigned by City if the total compensation listed above has been exceeded shall
be charged at the hourly rates listed above. An excessive number of meetings (more than five (5)
for Phase One) or tax spread computer runs (more than twenty-five) may also require additional fees
if the total compensation has been exceeded. Such additional fees shall be added to the
"compensation" amounts listed above. Should separate improvement areas or zones be included
Cite of Alenifee Community Facilities District page g_]
Special Tax Consulting Services October 26,2010
within a CFD, additional time and materials may be charged, up to a maximum of $6,000 per
improvement area or zone, if these improvement areas or zones cause the maximum compensation
levels listed above under Phase 1 to be exceeded.
The proposed compensation amount for Phase One assumes the formation of a typical CFD with a
schedule between initiation of work and adoption of the Resolution of Formation that is no longer
than nine months. If the Phase One tasks listed in the Scope of Services are not completed within
nine months, at any point thereafter, DTA may request an increase in the maximum compensation if
total hourly billings to-date exceed the proposed compensation level listed above for Phase One.
Consulting services related to the annual collection of special taxes or the preparation of bond
documents (including value to lien analysis and other OS tables) for a bond issue for the CFD shall
be covered under a separate agreement, as they are dependent on the size of the bond issue.
The hourly fees listed above apply for a twelve month period, and are subject to a cost-of-living
increase after that period and on an annual basis thereafter.
J:\PROPOSAL\MELLO\Menifee\Menifee CFD Formation Proposal 10.25.10.docx
City of Menifee Community Facilities District Page B-2
Special Tax Consulting Services October 26,2010
DAVID TAU SSIG
& ASSOCIATES
5000 Birch Street, Ste. 6000, Newport Beach, CA 92660
Phone: 949.955.1500/ Fax: 949.955.1590
EXHIBIT A - SCOPE OF SERVICES
FINAL FUNDING APPLICATION - FINAL ECONOMIC ANALYSIS
SANTA ANA WATERSHED PLANNING AUTHORITY
David Taussig and Associates, Inc. ("DTA") shall assist the City of Menifee (the "City") in
responding to the third round of applications (the "Final Application") required by the Santa
Ana Watershed Planning Authority to obtain funding through the State Department of Water
Resources' ("DWR") Integrated Regional Water Management Proposition 84 Grant
Implementation Program (the "Program"). The City's proposed flood control project (the
"Project") consists of two detention basins and approximately 11,800 lineal feet of open
channel and storm drains running from Juniper Flats westerly. The intent of the Project is to
collect storm water and control run off while removing debris, silt and other contaminants
and providing a comprehensive solution for non-point source pollution generated from a 6.5
square mile drainage basin.
The Project was approved by SAWPA for $1,000,000 in funding after the second round of
applications, and has been included among the 13 projects being recommended by SAWPA
to DWR for funding. The Final Application required by DWR includes an economic cost-
benefit analysis (the "Economic Analysis"), and SAWPA has recommended that approved
applicants who have not previously prepared such cost-benefit analyses hire DTA to assist
them in the preparation. The City has chosen to hire DTA to prepare this analysis.
DTA shall undertake the following tasks to prepare the Economic Analysis on behalf of the
City:
Task 1 Collect and Review Revised Project Costs and Revenue Sources
Coordinate with City and Webb Engineering to document revised Project costs, as well as
revenues provided by State and other parties, as they relate to the revisions in the Project as
currently approved by SAWPA. Complete budgetary breakdown as required in Table 7 of
Final Application.
Task 2 Determine and Document Project Benefits
Determine and document water supply, water quality (including salt removal) and flood
control benefits associated with the revised Project, and quantify such benefits. Also
determine and identify other benefits, including recreational benefits.
Task 3 Determine and Document Cost Effectiveness of Project
Complete Tables 10-19 and associated narratives in Final Application, and submit to SAWPA
by December 7, 2010.
Newport Beach -Riverside-San Francisco-Chicago-Dallas
Task 4 Coordinate with City on Final Application
Coordinate with City staff to integrate responses to Tables 7 and 10-19 with remainder of
City's Final Application.
Task 5 Attend Meetings
Attend two meetings with City staff to discuss Economic Analysis and coordination with
remainder of application.
City of Menifee Fi+aal Economic Analysis Page A-2
Santa Ana Watershed Planning Authority November 26,20I0
EXHIBIT B - FEE SCHEDULE
FINAL FUNDING APPLICATION — FINAL ECONOMIC ANALYSIS
SANTA ANA WATERSHED PLANNING AUTHORITY
The maximum fee shall be time and materials not to exceed $15,000 (including expenses)
for the Scope of Services described above. Professional Services will be billed at the hourly
rates listed below.
President $285/1-lour
Vice President $230/Hour
Manager $200/1-lour
Senior Associate $180/Hour
Associate $165/Hour
Senior Analyst $145/Hour
Financial Analyst $125/Hour
Research Assistant $100/Hour
Client shall reimburse DTA for out-of-pocket and administrative expenses by paying a charge
equal to 3% of DTA's monthly billings for labor, plus clerical time @ $75 per hour, travel
costs, and any outside vendor payments. All hourly rates for services apply through June 30,
2011 and are subject to a cost-of-living increase at that time.
Limitations - Work completing remainder of Final Application other than the Economic
Analysis, and any work required after submittal of Final Application after December 7, 2010
are not included in this Scope of Work.
J:\PROPOSAL\State and Federal Grants and Loans\Menifee\Proposal-Final Economic Analysis.doc
City of Menifee Final Economic Analysis Page A-3
Santa Ana Watershed Planning Authority November 26,2010
DAVID TAUSSIG
& ASSOCIATES
Finance.and Urban Eponornics
5000 Birch Street, Ste. 6000, Newport Beach, CA 92660
Phone: 949.955.1500/ Fax: 949.955.1590
EXHIBIT A - SCOPE OF SERVICES
FUNDING APPLICATION - ADDITIONAL REQUIRED PROJECT INFORMATION
SANTA ANA WATERSHED PLANNING AUTHORITY
David Taussig and Associates, Inc. ("DTA") shall assist the City of Menifee (the "City") in
responding to the second round of applications (the "Application") required by the Santa Ana
Watershed Planning Authority to obtain funding through the State Department of Water
Resources' ("DWR") Integrated Regional Water Management Proposition 84 Grant
Implementation Program (the "Program"). The City's proposed flood control project (the
"Project") consists of two detention basins and approximately 11,800 lineal feet of open
channel and storm drains running from Juniper Flats westerly. The intent of the Project is to
collect storm water and control run off while removing debris, silt and other contaminants
and providing a comprehensive solution for non-point source pollution generated from a 6.5
square mile drainage basin.
As the Project was ranked second by SAWPA among 297 projects for purposes of funding, it
was included in the second round of funding by SAWPA, along with the other top 24 projects
in this ranking. The second round application consists of twelve questions regarding the
Project that were identified as "Additional Required Project Information" in an email sent to
the City on September 1, 2010 by Mr. Salvatore Lopez, representing SAWPA.
DTA shall undertake the following tasks to assist the City in preparing the Application:
Task 1 Collect and Review Project Costs and Revenue Sources
Coordinate with City and Webb Engineering to document project costs, as well as revenues
provided by State and other parties. Explain why DWR funding is needed for this Project.
Task 2 Determine and Document Project Benefits
Determine and document water supply,
pp y, water quality (including salt removal) and flood
control benefits associated with the construction of the Project. Also describe recreational
benefits, as well as benefits related to environmental justice and climate control.
Task 3 Determine and Document Cost Effectiveness of Project
Compare the costs of the Project with the monetary and qualitative benefits associated with
the Project. Emphasize those benefits that are consistent with DWR Program goals and
objectives, and DWR preferences.
Newport Beach -Riverside-San Francisco•Chicago•Dallas
Task 4 Document Natural Hydrology and Land Uses Described in Original ADDlication
Substantiate hydrology and land uses impacted by Project, as well as benefits from the
Project that will impact these factors.
Task 5 Explain and Document Project Readiness
Discuss and document the "shovel-ready" status of the Project, and the City's ability to
construct this Project as soon as funding is made available under the Program.
Task 6 Describe Active Partnerships
Research and describe other public agencies and private parties who are involved in funding
the Project, or who will benefit from the Project.
Task 7 Attend Meetings
Attend meetings with City staff and the SAWPA interview, which is required before final
SAWPA approval.
City of Menifee Flood Control Improvements Funding page A-2
Santa Ana Watershed Planning Authority November 24,2010
EXHIBIT B - FEE SCHEDULE
FUNDING APPLICATION — ADDITIONAL REQUIRED PROJECT INFORMATION
SANTA ANA WATERSHED PLANNING AUTHORITY
The maximum fee shall be time and materials not to exceed $13,750 (including expenses)
for the Scope of Services described above. Professional Services will be billed at the hourly
rates listed below.
President $285/1-lour
Vice President $230/1-lour
Manager $200/Hour
Senior Associate $180/Hour
Associate $165/Hour
Senior Analyst $145/Hour
Financial Analyst $125/Hour
Research Assistant $100/Hour
Client shall reimburse DTA for out-of-pocket and administrative expenses by paying a charge
equal to 3% of DTA's monthly billings for labor, plus clerical time @ $75 per hour, travel
costs, and any outside vendor payments. All hourly rates for services apply through June 30,
2011 and are subject to a cost-of-living increase at that time.
J:\PROPOSAL\State and Federal Grants and Loa ns\Menifee\Proposal-SAWPA Application.doc
City of Menifee Flood Control Improvements Funding Page A-3
Santa Ana Watershed Planning Authority November 24,2010