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2024 NBS - Electric Utility Feasibility Study (IID, City of Indio)0r� GEM of the DESERT CITY OF LA QUINTA SHORT -FORM SERVICES AGREEMENT ($25,000 OR LESS) 1. PARTIES AND DATE. This Agreement is made and entered into this 1st day of January, 2024, ("Effective Date") by and between the City of La Quinta, a Municipal Corporation and Charter City organized under the Constitution and laws of the State of California with its principal place of business at 78495 Calle Tampico, La Quinta, CA ("City") and NBS Government Finance Group, DBA NBS, a California S-Corporation with its principal place of business at 32605 Temecula Parkway, Suite 100, Temecula, CA 92592 ("Vendor"). City and Vendor are sometimes individually referred to as "Party" and collectively as "Parties" in this Agreement. 2. TERMS AND CONDITIONS. The Parties shall comply with the terms and conditions in the attached Exhibit "A." 3. SCOPE AND SCHEDULE OF SERVICES. Vendor shall provide to City the services pursuant to the date(s) and schedule(s) described in accordance with the schedule set forth in Exhibit "B." 4. TERM. The term of this Agreement shall be from January 1, 2024, to December 31, 2024, unless earlier terminated as set forth in the attached Terms and Conditions. This Agreement may be extended for a period of six (6) months upon mutual agreement of both Parties and executing a written Amendment. 5. COMPENSATION. Vendor shall receive compensation for services rendered under this Agreement at the rates and schedule set forth in the attached Exhibit "C" but in no event shall Vendor's compensation exceed Seventeen Thousand and Five Hundred Dollars ($17,500) for the Term of the Agreement without written Amendment. 6. FORCE MAJEURE. The time period specified for performance of the services rendered pursuant to this Agreement shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of Vendor including, but not restricted to, acts of God or of the public enemy, fires, earthquakes, floods, epidemic, quarantine restrictions, riots, strikes, freight embargoes, acts of any governmental agency other than City, and unusually severe weather, if Vendor shall within ten (10) days of the commencement of such delay notify the City in writing of the causes of the delay. The City shall ascertain the facts and the extent of delay and extend the time for performing the Services for the period of the forced delay when and if in their judgment such delay is justified, and the City's determination shall be final and conclusive upon the parties to this Agreement. Extensions to time periods for performance of services, which are determined by the City to be justified pursuant to this Section, shall not entitle the Vendor to additional compensation unless City expressly agrees to an increase in writing. 7. COUNTERPARTS. This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument. 8. INSURANCE. In accordance with Section 4 of Exhibit 'A" Vendor shall, at its expense, procure and maintain for the duration of the Agreement such insurance policies as checked below and provide proof of such insurance policies to the City. Vendor shall obtain policy endorsements on Commercial General Liability Insurance that name Additional Insureds as follows: The City of La Quinta, its officers, officials, employees and agents. Commercial General Liability Insurance: ® $1,000,000 per occurrence/$2,000,000 aggregate OR ❑ $2,000,000 per occurrence/$4,000,000 aggregate ® Additional Insured Endorsement naming City of La Quinta ® Primary and Non -Contributory Endorsement Automobile Liability: ® $1,000,000 combined single limit for bodily injury and property damage ❑ Auto Liability Additional Insured Workers' Compensation: ® Statutory Limits / Employer's Liability $1,000,000 per accident or disease ® Workers' Compensation Endorsement with Waiver of Subrogation Professional Liability (Errors and Omissions): ® Errors and Omissions liability insurance with a limit of not less than $1,000,000 per claim 4 IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed on the day and year first above written. CITY OF LA QUINTA VENDOR: a California Municipal Corporation, NBS Government Finance Group, and Charter City DBA NBS J cMILLEN MICHAEL RENTNER City Manager President & CEO Dated: 1/2; 1ZQ2A Dated: _January 22. 2024 _ 1 � ATTEST: V MONIKA RADE A, City Clerk City of La Quinta, California APPROVED AS TO FORM' CAL )f WILLIAM H. IHRK , City Attorney City of La Quinta, California 3 EXHIBIT "A" TERMS AND CONDITIONS 1. Compensation. Vendor shall be paid on a time and materials or lump sum basis, as may be set forth in Exhibit "C", within 30 days of completion of the Work and approval by the City. 2. Compliance with Law. Vendor shall comply with all applicable laws and regulations of the federal, state and local government. Vendor shall assist the City, as requested, in obtaining and maintaining all permits required of Vendor by Federal, State and local regulatory agencies. Vendor is responsible for all costs of clean up and/or removal of hazardous and toxic substances spilled as a result of his or her Work. In explanation of the forgoing and not by way of limitation, Vendor shall comply with any Federal, State, and local laws, regulations, orders, and guidelines related to the work provided by the Vendor during the COVID-19 state of emergency declared by the Governor of California and City of La Quinta. Such Federal, State, and local laws, regulations, orders, and guidelines include but are not limited to: Executive Orders from the Governor of California and orders and guidance issued from the California Department of Public Health (DPH); Orders from the Riverside County Public Health Officer; and Emergency Resolutions and Executive Orders from the City Council and City Manager, respectively, for the City of La Quinta. 3. Standard of Care. The Vendor shall perform the Work in accordance with generally accepted professional practices and principles and in a manner consistent with the level of care and skill ordinarily exercised by members of the profession practicing under similar conditions. 4. Insurance. The Vendor shall take out and maintain, during the performance of all work under this Agreement: A. Commercial General Liability Insurance in the amounts specified in Section 8 of the Agreement for bodily injury, personal injury and property damage, at least as broad as Insurance Services Office Commercial General Liability coverage (Occurrence Form CG 0001), and if no amount is selected in Section 8 of the Agreement, the amounts shall be $1,000,000 per occurrence/$2,000,000 aggregate; B. Automobile Liability Insurance for bodily injury and property damage including coverage for owned, non -owned and hired vehicles, of at least $1,000,000 per accident for bodily injury and property damage, at least as broad as Insurance Services Office Form Number CA 0001 (ed. 6/92) covering automobile liability, Code 1 (any auto); C. Workers' Compensation in compliance with applicable statutory requirements and Employer's Liability Coverage of at least $1,000,000 per accident or disease. Vendor shall also submit to City a waiver of A-1 subrogation endorsement in favor of city, and D. Professional Liability (Errors and Omissions) coverage, if checked in section 6 of the Agreement, with a limit not less than $1,000,000 per claim and which shall be endorsed to include contractual liability. Insurance carriers shall be authorized by the Department of Insurance, State of California, to do business in California and maintain an agent for process within the state. Such insurance carrier shall have not less than an "A"; "Class VII" according to the latest Best Key Rating unless otherwise approved by the City. 4.1 Pass Through Clause. Vendor agrees to ensure that its sub -consultants, sub -contractors, and any other party involved with the project who is brought onto or involved in the project by Vendor, provide the same minimum insurance coverage and endorsements required of Vendor. Vendor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Vendor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the project will be submitted to Agency for review. 5. Indemnification. The Vendor shall indemnify and hold harmless the City, its Council, members of the Council, agents and employees of the City, against any and all claims, liabilities, (including liability related to exposure to communicable diseases, illnesses, or viruses), expenses or damages, including responsible attorneys' fees, for injury or death of any person, or damage to property, or interference with use of property, or any claim of the Vendor or subcontractor for wages or benefits which arise in connection with the performance of this Agreement, except to the extent caused or resulting from the active negligence or willful misconduct of the City, its Council, members of the Council, agents and employees of the City. The foregoing indemnity includes, but is not limited to, the cost of prosecuting or defending such action with legal counsel acceptable to the City and the City's attorneys' fees incurred in such an action. 6. Laws and Venue. This Agreement shall be interpreted in accordance with the laws of the State of California. If any action is brought to interpret or enforce any term of this Agreement, the action shall be brought in a state or federal court situated in the County of Riverside, State of California. 7. Termination. The City may terminate the services procured under this Agreement by giving 10 calendar days written notice to Vendor. In such event, the City shall be immediately given title and possession to any original field notes, drawings and specifications, written reports and other documents produced or developed for the services. The City shall pay Vendor the reasonable value of services completed prior to termination. The City shall not be liable for any costs other than the charges or portions thereof which are specified herein. Vendor shall not be entitled to payment for unperformed services, and shall not be entitled to damages or compensation for termination of work. Vendor may terminate its obligation to provide services under this Agreement upon 30 calendar days' written notice to the City only in the event of City's failure to perform in accordance with the terms of this Agreement through no fault of Vendor. 8. Agreement Terms. Nothing herein shall be construed to give any rights or benefits to anyone other than the City and the Vendor. The unenforceability, invalidity or illegality of any provision(s) of this Agreement shall not render the other provisions A-2 unenforceable, invalid or illegal. Notice may be given or delivered by depositing the same in any United States Post Office, certified mail, return receipt requested, postage prepaid, addressed to the parties to the addresses set forth in the Agreement. Vendor shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City, which may be withheld for any reason. Vendor is retained as an independent contractor and is not an employee of the City. No employee or agent of Vendor shall become an employee of the City. The individuals signing this Agreement represent that they have the authority to sign on behalf of the parties and bind the parties to this Agreement. This is an integrated Agreement representing the entire understanding of the parties as to those matters contained herein, and supersedes and cancels any prior oral or written understanding or representations with respect to matters covered hereunder. This Agreement may not be modified or altered except in writing signed by both parties hereto. 43, NBS' 32605 Temecula Parkway, Suite 100 Temecula, CA 92592 Toll free: 800 676 7S16 www.nbsgov.com June 28, 2022 Brian Montgomery City Manager City of Indio 100 Civic Center Mall Indio, CA 92201 Jon McMillen City Manager City of La Quinta 78-495 Calle Tampico La Quinta, CA 92253 EXHIBIT B SCOPE AND SCHEDULE OF SERVICES Subject: Agreement to Provide Utility Infrastructure Impact Fee Study Services Dear Mr. Montgomery and Mr. McMillen, 11:3 NBS would like to thank you for the opportunity to provide Utility Infrastructure Impact Fee Study for the both the City of Indio and City of La Quinta ("Cities") as referenced above. Please review and upon signing, email one copy to contracts@nbsgov.com. Scope of Services The focus of this project will be to work together with the Cities and the Imperial Irrigation District (IID) to establish impact fees that fund the costs of providing electric infrastructure needed to serve new development. The cities are in the process of establishing a finance authority that will build substations to serve both existing and future development. The outcome of this impact fee study will establish maximum fee amounts that capture new development's fair share of this infrastructure cost according to demand placed on the system by various types of development. The actual fee amount that will be adopted by each respective City Council will depend on localized policy decisions to set fees at or below the maximum fee shown in the study's outcome. Though the capital design and infrastructure costs will be specific to each City, we expect that the cost allocation analysis would be similar for both cities. Information to be Provided by Each City NBS completed Citywide impact fee studies for both Indio and La Quinta in the past two years. As such, we would expect to incorporate development data from those studies into this new study for consistency. Other information that will need to be provided by each City includes: Engineering design studies and cost estimates for electric substations and any other utility infrastructure to be funded by the impact fees Information on sources and amounts of other funding that will be used to pay for the electric helping communities fund tomorrow utility infrastructure covered by the impact fees calculated in this study This contract assumes that all information needed to perform the work covered by the scope of this contract will be provided by each or is readily available from other sources. Detailed Work Plan The following tasks comprise the detailed work plan for this impact fee study. These tasks represent the typical requirements of an impact fee study and may be adjusted to meet the needs of this project. TASK 1. KICKOFF MEETING/PROJECT INITIATION To kickoff this study, the Project Manager will attend a kickoff meeting with staff from each City and carry out other activities required to initiate the study, including: Discuss the goals, work plan and schedule for the project Establish coordination, communication and reporting procedures Conduct initial interviews with key staff members Evaluate available information resources and discuss the Consultant's information needs for this study Discuss the funding plans for the electric infrastructure improvements to be addressed in this study TASK 2. IMPACT FEE ANALYSIS NBS will conduct the impact fee analysis and calculate separate impact fees by development type for Indio and La Quinta. That process would include these steps: Compile data on the cost and capacity of substations to be located in each City. Work with IID engineers to determine appropriate demand factors for different types and sizes of electrical services that would be required by various types of residential and non-residential development in the two cities. Those demand factors should address demand peaking and coincidence. Construct a spreadsheet fee calculation model to allocate costs for different types of residential and non-residential electrical services based on how much electrical capacity they require and to calculate impact fees for each type of service. Project potential revenue from the proposed fees. TASK 3. DRAFT AND FINAL STUDY REPORTS A separate study report will be prepared for each City, or a combined report can be completed if preferred. The impact fee study report will explain the data, methodology and formulas used in the fee calculations and document the nexus between the proposed fees and the impacts of development for each type of impact fee calculated in the study. The report will also propose findings to satisfy the requirements of the Mitigation Fee Act regarding the purpose of the fees, the use of the fees, and the reasonable relationship between the fees and development. As the study progresses, NBS will submit preliminary drafts of portions of the study report for review and comment by staff. Once all sections are in draft form, an administrative draft of the entire study report, incorporating any previous staff comments, will be submitted for review. Then a final draft document will City of Indio and City of La Quinta Electric Utility Infrastructure Impact Fee Study Page 2 be prepared for review by each City. If necessary, additional changes will be incorporated into the final study report. The study report will include the following components: An Executive Summary including summary impact fee tables A chapter discussing the legal requirements for impact fees and methods used to calculate the fees A chapter presenting data on existing and future development in the study area A chapter for presenting the data and methodology used in the analysis, a detailed explanation the impact fee calculations, and documentation of the nexus A chapter on implementation recommendations, covering steps needed to comply with the Mitigation Fee Act through proper administration of the impact fees, including but not limited to: • Findings and enactment of fees • Collection and expenditure of fees • Accounting and reporting requirements • Administrative appeals, waivers, and exemptions • Credits and reimbursements for developer -provided facilities • Updating and indexing the fees • Recovery of administrative costs for the impact fee program Deliverables for each City include: (1) Preliminary chapter drafts; (2) a complete draft report for staff review; (3) a final draft report for City Council and public review; (4) the final report. All drafts and the final report will be submitted electronically in .pdf format. TASK 4. MEETINGS AND PRESENTATIONS This contract assumes the following regarding meetings during the Study and presentations of results: Meetings with Staff — NBS will conduct meetings with each City staff to initiate the study process, review and discuss work product, and gain insight from staff on the direction of the study. We expect all work -in - progress meetings will be held via conference call or video conferencing format. However, Nicole Kissam, Director from NBS is located within the region of City offices (Joshua Tree) should a site visit(s) to Indio or La Quinta be required during the course of the project. Presentations — NBS will prepare PowerPoint presentations and present findings to each City Council, Council Subcommittees, or industry stakeholders as needed. Within the professional fees proposed for the project, we have included up to two remotely conducted meetings, or one in -person meeting for each City. Additional remotely conducted and/or onsite meetings or presentations for stakeholder input or public hearings can be added to the Scope of Work on a per meeting basis. �� � �� City of Indio and City of La Quinta Electric Utility Infrastructure Impact Fee Study Page 3 Fees Professional fees for this project are total consulting fee of $32,000, plus an as -needed travel budget of $3,000. The following shows the share of costs for the project between the City of Indio and the City of La Quinta. Utility Infrastructure Impact Fee Study Services City of Indio Consulting Fee .............................................. Estimated Expenses Not To Exceed (1) ........ Total Not to Exceed ......................................................................... $16,000 ........................................................................... $1,500 ................................................................................................................. $17,500 (1) See description of expenses below City of La Quinta ConsultingFee.................................................................................... Expenses Not To Exceed(1)................................................................ TotalNot to Exceed..................................................................... (1) See description of expenses below EXPENSES ............................................... $16,000 ................................................. $1,500 ............................................ $17,500 As -needed travel expenses will be billed at their actual cost, not to exceed $3,000. ADDITIONAL SERVICES The following table shows our current hourly rates, with which we will record the cost associated with professional time against the established budget for the project. Additional services authorized by the Cities but not included in the scope of services will be billed at this rate or the then applicable hourly rate. Title Hourly Rate Director - NBS $210 Colgan Consulting $150 Consultant - NBS $140 TERMS Consulting services will be invoiced monthly. Expenses will be itemized and included in the next regular invoice. Fees for all other services will be invoiced upon completion of the task. If the project is prematurely terminated by either party, NBS shall receive payment for work completed. Payment shall be made within 30 days of submittal of an invoice. If payment is not received within 90 days simple interest will begin to accrue at the rate of 1.5% per month. Either party can cancel this contract with 30 days written notice. City of Indio and City of La Quinta Electric Utility Infrastructure Impact Fee Study Page 4 CITIES' RESPONSIBILITIES Each City shall furnish NBS with any pertinent information that is available to City and applicable to the Services. Each City shall designate a person to act with authority on its behalf in respect to the Services. Each City shall promptly respond to NBS' requests for reviews and approvals of its work, and to its requests for decisions related to the Services. Both Cities understand and agree that NBS is entitled to rely on all information, data and documents (collectively, "Information") supplied to NBS by each City or any of the Cities' agents, contractors or proxies or obtained by NBS from other usual and customary sources including other government sources or proxies as being accurate and correct and NBS will have no obligation to confirm that such Information is correct and that NBS will have no liability to either City or any third party if such Information is not correct. INDEMNIFICATION NBS shall defend, indemnify and hold harmless each City, its officers, employees, officials and agents from and against all claims, demands, losses, liabilities, costs and expenses, including reasonable attorneys' fees, (collectively "Liabilities") arising out of or resulting from the negligence or willful misconduct of NBS or a breach by NBS of its obligations under this Agreement, except to the extent such Liabilities are caused by the negligence or willful misconduct of either City. NBS will not be liable to either City or anyone who may claim any right due to a relationship with either City, for any acts or omissions in the performance of Services under this Agreement, unless those acts or omissions are due to the negligence or willful misconduct of NBS. Except in the case of NBS' negligence, willful misconduct or breach of its obligations under this Agreement, each City shall defend, indemnify and hold harmless NBS, its officers, directors, shareholders, employees and agents from and against all Liabilities to the extent that such Liabilities arise out of NBS performing Services pursuant to the terms of this Agreement, including, without limitation, any Liabilities arising as a result of either City or any of Cities' agents or contractors supplying incorrect Information or documentation to NBS. The provisions of this Section shall survive termination of this Agreement. BSCity of Indio and City of La Quinta Electric Utility Infrastructure Impact Fee Study Page 5 Please feel free to contact me if you have any questions or need further information. Best regards, NBS Government Finance Group, City of Indio DBA NBS Michael Rentner President and CEO June 28 2022 Title Date City Manager Date City of La Quinta Jon McMillen City Manager Date AIR N �� City of Indio and City of La Quinta Electric Utility Infrastructure Impact Fee Study Page 6 EXHIBIT "C" COMPENSATION FOR SERVICES Vendor shall receive compensation for services rendered under this Agreement at the rates and schedule set forth in the attached Exhibit "C" but in no event shall Vendor's compensation exceed Seventeen Thousand and Five Hundred Dollars (17 500) for the Term of the Agreement without written Amendment. C-1 ta Qaixra SELECT/SOLE SOURCE JUSTIFICATION Vendor: NBS (V#09267) CALIFORNIA Select/Sole Source purchases may be made in a non-competitive manner only when in the best interest of the City and when the price is considered reasonable. Attach this form and other supporting documents if available, to the purchase Requisition. Complete responses must be provided for all of the following items. A. THE PURCHASE REQUEST IS RESTRICTED TO ONE VENDOR FOR THE REASONS STATED BELOW: 1. Why is the purchase of goods or services restricted to this vendor? Explain why the purchase cannot be competitively bid. Examples of Single/Sole Source procurements include, but are not limited to: Compatibility: The commodity or service matches existing brand of equipment for compatibility. Replacement Part: The item is a replacement part for a specific brand of existing equipment. Emergency: URGENT NEED for the item or service does not permit soliciting competitive bids. Over the last two years, NBS has previously completed citywide impact fee studies for both the City of Indio and City of La Quinta. For consistency, prior development data from those studies will be incorporated into the new study; therefore other alternatives are not feasible for both cities. 2. What market research was conducted to substantiate no competition, including evaluation of other items considered? Provide a narrative of your efforts to identify other similar goods/services, including a summary of how the department concluded that such alternatives are either inappropriate or unavailable. The names and addresses of suppliers contacted and the reasons for not considering them must be included OR an explanation of why the survey or effort to identify other goods/services was not performed. Due to the extensive development data needed to complete this study and the current knowledge that NBS has with both cities, acquiring other vendors would not be feasible and would extend the timeline for the study. B. PRICE ANALYSIS: 3. How was the price offered determined to be fair and reasonable? Explain what the basis was for comparison. For example, if the item/service has been purchased in the past, compare historical pricing. The rates for this study are comparable to prior fee studies. JPrarMonika Radeva, City Clerk ed� By Approved By Date Sole or Select Source: Defined as any contract entered into without a competitive process, based on a justification that only one known source exists or that only one single supplier can fulfill the requirements. The requesting department is responsible for supplying written justification, approved by the department director or designee with signing authority for these purchases. S:\100 ADMINISTRATION\107 Forms & Templates - General Citywide\Finance