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HomeMy WebLinkAboutC37610 Authz RFP User Fee-Full Cost Allocation Fee Study • STAFF REPORT CITY OF PALM DESERT FINANCE DEPARTMENT MEETING DATE: September 27, 2018 PREPARED BY: Janet M. Moore, Director of Finance REQUEST: Authorization to issue a Request for Proposals (RFP) for a User Fee and Full Cost Allocation Fee Study Recommendation By Minute Motion, that the City Council authorize the issuance of a Request for Proposals (RFP) for a User Fee and Full Cost Allocation Fee Study. Strategic Plan Objective/City Manager 2018 Goals This request does not directly apply to a specific strategic plan goal but helps the City to meet the goals within the plan. The commencement of the process for a fee study is included in the City's 2018 Department Goals with an expected completion in 2019. Committee Recommendation The Audit, Investment and Finance Committee will review this request at its regular meeting of September 25, 2018. A verbal report will be provided upon request. Executive Summary The last comprehensive user fee study was performed in 2004. The most recent fee adjustments for most of the City's user fees were implemented between 2010 and 2012. A comprehensive fee study includes a review of the full cost of providing certain City services. The purpose of adding a full cost allocation plan to the user fee study is to ensure that the City has a basis for applying comprehensive overhead rates and is accurately accounting for the true cost of various services provided by each department. The results of the study will include recommendations for setting user fees for City services including permit fees, plan check, inspections, license fees, community development fees, engineering fees and fire fees. Since a comprehensive user fee study has not been performed in over 14 years, staff recommends issuing an RFP to select a consultant to review the City's fees for services. September 27, 2018— Staff Report RFP for User Fee and Full Cost Allocation Study Page 2 of 4 Background Analysis In 2004 the City approved a "Cost of Services Study" that was prepared by Zucker Systems ("Zucker Study"). The Zucker Study set up tables that could be updated every two (2) years following an analysis by each department based on budgeted costs. With Council approval, staff adjusted fees based on the Zucker Study up until 2012. The City Council at that time expressed concerns that the City's fees may hinder development and/or increase costs to businesses recovering from the economic downturn. Since 2012, under Council direction, most fees have been held constant even though other factors included in the basis for fees in the Zucker Study increased (i.e. minimum wage, inflation). A limited number of fee categories have been updated based on specific circumstances and some have been added for new services since the Zucker Study. This study is available for review upon request. Cost allocations and fees should be reviewed periodically. Additional reviews should be conducted when cost allocation calculations are complex, new policies or technology are implemented, or there are structural changes in the City. The Government Finance Officers Association (GFOA) suggests that updating fees on a periodic basis may help smooth the impact of changes over several years rather than having uneven impacts between fee reviews. Proper assessment of fees is important to ensure that each fee covers the cost of services being provided. Improper assessment could result in taxpayer dollars being used to subsidize the cost of someone else's demand on City services. Since the Zucker Study was over 14 years ago, staff recommends conducting a new review with a full cost allocation plan and comprehensive user fee study. The study will include a review of both direct (plan check, inspections, community development fees, engineering fees, and fire fees) and indirect costs (shared services from administrative departments, i.e. human resources, finance, legal, city clerk, etc.). The new study would be the basis for adjusting the City's fees every two years and would ensure that the City can add the cost of internal services to requests for reimbursements, including federal and state grants, when allowed. Full Cost Allocation Plan The purpose of the Full Cost Allocation Plan is to ensure that the City has a basis for applying comprehensive overhead rates and is accurately accounting for the true cost of providing various services by each department. This type of plan serves to allocate all indirect costs. Additionally, best practices, accounting standards, and OMB 2 CFR part 225 make it necessary for the City to maintain a well-documented cost allocation plan that will help appropriately allocate general and administrative costs, properly identify overhead rates that can be used in the calculation of billable hourly rates for federal and state grants, set user fees and obtain reimbursements from other governmental agencies. The results from the Cost Allocation Plan would be used to develop the Comprehensive User Fee Study. September 27, 2018— Staff Report RFP for User Fee and Full Cost Allocation Study Page 3 of 4 Comprehensive User Fee Study The Comprehensive User Fee Study will calculate the full cost of providing certain City services including permit fees, plan check, inspections, license fees, community development fees, engineering fees, and fire fees. It will also provide a recommended fee to be charged for each applicable service while ensuring compliance with Proposition 26, Proposition 218, the California Fee Mitigation Act, and other applicable statutory requirements. Another goal of this fee study is to review the application of fees and overall categories of fees to simplify the overall fee structure. This will help ensure that appropriate charge differentials based on factors when the fees are applied are not overly complicated. For example, plan check fees currently vary by the type of plans checked as well as the size of the facility being reviewed. Single-family residential dwelling units have approximately 14 different rates charged for architectural and structure reviews, some based on square footage, some based on the type of plan check, with a cost differential as low as one cent. Similarly, multi-family residential units, garages, commercial plans, tenant improvements, etc. have their own unique set of customized rates charged. Some differentiation is likely warranted, but to the extent any can be combined, the review will provide a substantiated recommendation to streamline them. The study will also include any cost recovery strategies and suggestions on best practices for revising or establishing new user fees. These strategies should take into consideration the complexities and demands of each department and program. Developer Impact Fees The study will include a review of developer impact fees and recommendations may be made to streamline the application of fees. However, the primary goal of the study is to review fees for City-provided services including plan check, inspections, community development fees, engineering fees and fire fees. Should the City decide to perform a comprehensive review of development impact fees, it would be done separately. Process If approved, staff will issue an RFP (draft attached). Once proposals are received, a review committee will convene to review the proposals and rank them. Once a firm is selected and approved by the City Council, staff from all departments will be required to provide the selected consulting firm with information relative to time spent on certain tasks, overhead costs and actual costs for supplies used. Once the firm is on board, the process is very comprehensive and time-intensive. According to other cities that have gone through this process recently, the timeframe to complete the study has varied dramatically, from six months to two years based on each city's current fee structure. Optimistically, staff would like to see the study completed in six months; however, it will most likely take about a year to complete. The selected firm will provide a thorough analysis along with development of fee models and recommendations including identifying and recommending new fees and revenue sources, remaining cognizant of the Government Finance Officers Association's best September 27, 2018— Staff Report RFP for User Fee and Full Cost Allocation Study Page 4 of 4 practice guidelines for such studies. Staff will notify the local building associations of the City's actions to undertake this study. Once a draft of the study is provided, staff will request input from the building associations and any other interested parties that would like to comment on the study results. The study will then be presented to the City Council along with recommendations for changes that may be suggested as a result of the comprehensive review. Conclusion It is the City's goal to have a well-documented and defensible cost of service plan that will identify rates that would be used to recover billable costs for services and develop compliant user fees. In order to evaluate the current costs of services provided by the City, staff recommends that an RFP be issued for a consultant to review the City's user fees through a comprehensive user fee study along with a full cost allocation plan. Fiscal Analysis The cost of issuing the RFP will be minimal. The study itself will range from $75,000 to $100,000 along with the staff time required to provide the necessary information to complete the study. The estimated cost of the study is not included in the 2018-2019 budget. Staff believes that there will be savings in various department budgets from staff vacancies that can assist with covering the cost of the study. Once the RFP responses are received, staff will review this again. In the event there are insufficient savings to cover the cost of the study, with Council's approval, staff will request the difference with the end-of-year adjustments. LEGAL R V EW DEPT. REVIEW FINANCIAL REVIEW CITY MANA ER old ober . reaves et M. Moore tJarfet M. Moore Lauri Aylaian City Attorney Director of Finance Director of Finance City Manager ATTACHMENT: Draft Request for Proposal Draft Agreement Current Schedule of Building Permit Fees DVBA Comparison of Local Fees r " I 741 r. i • tam wi�`r CITY OF PALM DESERT REQUEST FOR PROPOSALS FOR COMPREHENSIVE USER FEE STUDY AND FULL COST ALLOCATION PLAN ISSUE DATE: October 5, 2018 RFP DUE ❑ATEt - 2018 73-510 Fred Waring Drive Palm Desert, CA 92260 (760) 346-0611 Palm Desert is committed to inclusion and diversity and welcomes proposals and bids from contractors, consultants, and vendors of all faiths, creeds, ancestries, and ethnicities without regard to disability, gender identity, sexual orientation, or immigration status, The City condemns and will not tolerate prejudice, racism, bigotry, hatred, bullying, or violence towards any group within or outside of our community. • CITY OF PALM DESERT REQUEST FOR PROPOSALS (RFP) COMPREHENSIVE USER FEE AND FULL COST ALLOCATION PLAN NOTICE IS HEREBY GIVEN that the City of Palm Desert ("City") is soliciting proposals from qualified consultants for preparation of a Comprehensive User Fee Study and Full Cost Allocation Plan ("Project"). The City proposes to select the most qualified consultant ("Consultant") to develop and implement the Project based on the Consultant's ability to meet all criteria established in the Request for Proposals ("RFP"). The Consultant must demonstrate to the City its experience with similar projects and its ability to deliver a comprehensive user fee study and full cost allocation plan to the City. The plan will ultimately ensure the utilization of comprehensive overhead and user fee rates. All proposals must contain the requisite information outlined in this RFP. Only one proposal may be submitted by a Consultant. Interested parties may request a copy of the RFP in writing from Niamh Ortega via e-mail at nortega@cityofpalmdesert.org. Consultants desiring to respond to the RFP shall submit an original and three (3) copies of the proposal in an opaque envelope marked plainly on the outside: "SEALED PROPOSAL FOR THE COMPREHENSIVE USER FEE AND FULL COST ALLOCATION PLAN - DO NOT OPEN WITH REGULAR MAIL" to the attention of:Rachelle Klassen,City Clerk,City of Palm Desert,73-510 Fred Waring Drive, Palm Desert, CA 92260 prior to the closing of the response period at 2:00 p.m. (PST), , at which time they will be opened and forwarded to the Finance Division for review. The City reserves the right to reject any or all proposals, to waive any irregularity, to accept any proposal or portion thereof, and to take all proposals under advisement for a period of one-hundred and eighty (180) days, Proposals sent by telephone, telegram, e- mail, facsimile or other digital means will not be accepted. CHEDULE FOR RFP (Dates are Tentative) RFP Released October 5, 2018 Deadline for submission of questions regarding RFP October 17, 2018 Proposals due _ _ October 31, 2018 It is the sole responsibility of each Consultant to ensure that their proposal reaches the City Clerk's Office by the time and date specified. Proposals received after the specified time and date shall be returned unopened and considered non-responsive. Consultants are cautioned that if the proposal is delivered by an express mail carrier or by any means, it is the Consultant's responsibility to ensure delivery to the City Clerk's office at the above address prior to the time and date specified. The City will not be responsible for deliveries made to any place other than the specified office or address. Palm Desert is committed to inclusion and diversity and welcomes proposals and bids from contractors, consultants, and vendors of all faiths, creeds, ancestries, and ethnicities without regard to disability, gender identity, sexual orientation, or immigration status. The City condemns and will not tolerate prejudice, racism, bigotry, hatred, bullying, or violence towards any group within or outside of our community. Dated this 5th day of October, 2018, at Palm Desert, California. BI RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA 21Page (760) 346-0611 Table of Contents Introduction 4 Background 4 Objectives 4 Full Cost Allocation Plan 4 Comprehensive User Fee Study 5 Scope of Services 5 Full Cost Allocation Plan 5 Comprehensive User Fee Study 6 General Requirements g Proposal Submission Requirements 9 Evaluation of Proposals and Selection Process 10 Proposal Requirements 10 Format for Proposal 10 Public Records 11 Right to Cancel and Amend 11 Additional Information 11 Conflict of Interest 11 Release of Public Information 11 Non-Assignment 11 Collusion 11 Debarment... 12 Equal Employment Opportunity Compliance 12 Right to Audit 12 City Contact for RFP; Requests for Clarification 12 Cost of Proposal 12 Wage Introduction The City of Palm Desert ("City") is requesting sealed proposals for a Comprehensive Fee Study and Cost .... .... .. ......:.. Allocation Plan ("Project'). All proposals must be received by the City, no later than 2:00 p.m. wm , 2018. Late proposals will not be considered. The original signed proposal and three (3) duplicates are to be submitted in the sealed packages with the name of the Consultant and Proposal for Comprehensive Fee Study and Cost Allocation Plan clearly marked on the outside of the package. Proposals must be responsive to City's request. The City shall determine the most responsive and qualified consultant providing the best service at the most reasonable cost. Cost alone shall not be the determining factor. The Request for Proposals ("RFP')does not obligate the City to award a contract or complete the Project and the City reserves the right to cancel the solicitation if deemed in its best interest. Background The City of Palm Desert is located in Riverside County situated in the geographical center of the Coachella Valley and covers approximately 26 square miles. Palm Desert has a population of 50,740 as of January 1, 2017. The City was incorporated on November 26, 1973, as a general law city. On November 4, 1997, voters overwhelmingly approved Measure LL adopting a city charter, Under the provisions of the charter, the City of Palm Desert has full authority over its own municipal affairs including bidding and contracting procedures; regulation of parks, libraries, and other facilities; certain fees; imposition of taxes; municipal zoning; salaries of officials and employees; municipal utilities; and municipal election procedures. The City operates under a Council-Manager form of government which consists of five members elected by the residents of the City. Council terms are four years and elections occur in November during even-numbered years. Each December,the City Council selects the Mayor from among its members for a one-year term. The City Council also appoints the City Manager and the City Attorney. Operating as a "contract city" utilizing agreements with other governmental entities, private firms and individuals to provide many services the City has a budget of$58.009,613 for FY 2018-19. Contracted services include: police protection through the County of Riverside;fire protection through Cal-Fire; animal control; road maintenance and construction services; legal services; landscape maintenance; and recreation program services. The City is a member of the California Joint Powers Insurance Authority that provides insurance coverage for the City. Waste and recycling services are provided under a franchise agreement with Burrtec Waste and Recycling Services. A comprehensive cost of services study was completed in March 2004 and the City is interested in having this plan reviewed and updated. Objectives Full Cost Allocation Plan The purpose of this Project is to ensure that the City of Palm Desert has a basis of applying comprehensive overhead rates and is accurately accounting for the true cost of providing various services by each department. A Cost Allocation Plan serves to allocate all indirect costs. Additionally, best practices, accounting standards and OMB 2 CFR part 225 make it necessary for the City to maintain a well-documented cost allocation plan 4 ' Page that will help it to appropriately allocate general and administrative costs in its budget; properly identify overhead rates that can be used in the calculation of billable hourly rates for federal and state grants, user fees, and reimbursements from other governmental agencies. The results from the Cost Allocation Plan shall be used to develop the Comprehensive User Fee Study. Comprehensive User Fee Study The City is seeking to evaluate all costs of services provided and examine whether a reasonable relationship exists between the costs of providing services and current service fees, while ensuring compliance with Proposition 26, Proposition 218, and other applicable statutory requirements. The City desires to undertake a comprehensive citywide review and evaluation of user fee and rate charges resulting in a cost-based user fee study. The Comprehensive Fee Study will calculate the full 100%cost of providing certain City services, and provide a recommended fee to be charged for each applicable service. The selected firm shall recommend cost recovery strategies and identify best practices in establishing user fees. These strategies should take into consideration the complexities and demands of each department and program. The selected firm will provide thorough analysis, development of fee models and recommendations including identifying and recommending new fees and revenue sources, if applicable. It is the City's goal to have a well-documented and defensible cost of service plan that will identify rates that will be used to recover billable costs for services and develop compliant user fees. Scope of Services Project tasks shall include, but are not necessarily limited to, the following sections. If the firm feels that additional tasks are warranted, they must be clearly identified in the firm's proposal. Firms responding to this RFP shall be prepared to deliver services and perform the work necessary to complete the services no later than six months after the award of the contract. The Project consists of furnishing all labor, materials, supervision and travel necessary to complete the tasks outlined below. Time of Performance is of the essence in the performance of this Project and the services shall be performed to completion in a diligent and timely manner. If a particular City Department does not provide information in timely manner to Consultant,additional time may be granted to Consultant to complete the Project upon written request. The failure by the Consultant to perform the services in such a manner may result in termination of this Project and all related agreements with the City. Fu II Cost Allocation Plan Prepare the City's Cost Allocation Plan, which may include the following elements (if the Consultant feels that additional tasks are warranted,they must be clearly identified in the Consultant's proposal): 1. Work and meet with the selected City staff to refine the Project scope, purpose, uses and goals of the City's Cost Allocation Plan and to ensure that the study will be both accurate and appropriate to the City's needs. Review Project schedule and answer any questions pertaining to the successful development of the study. 2. Meet with staff and conduct interviews as needed to gain an understanding of the City's processes and operations. This includes determining where certain services and functions are performed together or shared through cooperation between different departments. Costs should be identified so that they can be allocated to and tracked by the appropriate department. 3. Identify the total cost of providing each City service at the appropriate activity level and in a manner that is consistent with applicable laws, statutes, rules and regulations governing the collection of fees, rates, and charges by public entities including, but not limited to, the State Controller's Office Guidelines for Cost Claiming and OMB 2 CFR Part 225 standards. 5IPage 4. Develop a Cost Allocation Model using the FY 2018-19 budget and/or the most recent actual data for calculation of the full costs of providing each City service. The requirements of the model should allow for: a) Additions, revisions or removal of direct and overhead costs so that the cost allocation plan can be easily adapted to a range of activities, both simple and complex. b) The ability of the City to continuously update the model and full Cost Allocation Plan from year to year as the organization changes and as costs change. c) The addition of hypothetical service area information for future service enhancements and the ability to calculate the estimated costs of providing the service under consideration (i.e. ad-hoc analysis). In this manner, the City has the ability to access information and analyze data on an as-needed or requested basis. 5. Report on other matters that come to the firm's attention in the course of the valuation that, in its professional opinion, the City should consider. 6. Present the plan to the City's management group and make necessary adjustments as requested. 7. Prepare and deliver presentation to the City Council to facilitate their understanding of the plan and its implications to the City. 8. Work with the Finance Department in developing service provisions, cost categories, and allocation criteria for current and future programs. 9. Provide the City with an electronic copy of the final comprehensive review, including related schedules and cost documentation in a format such as Microsoft Word and Excel that can be edited and updated by City staff to accommodate changes in the organization or changes in cost. 10. Prepare a final report and provide eight bound color copies, and a PDF file of the Cost Recovery Plan that can be made available to City staff. Models,tables and graphs should be provided in Excel. The development of any Cost Allocation Model revisions shall also be made available to the City in Excel and PDF formats, providing the ability to add, delete and/or update information as needed. 11. Provide a computer based model in Excel (utilizing the latest version of Microsoft Office available) to be used to adjust these fees and charges for the City's current and future needs and provide the City with an electronic copy of the final comprehensive study, including related schedules and cost documentation in a format that can be edited and updated by City staff to accommodate changes in the organization or changes in costs. 12. Consult with City staff should the need arise to defend the cost allocation plan as a result of audits or other challenges. Comprehensive User Fee Study Prepare a Comprehensive User Fee Study for the City, which may include the following elements (if the Consultant feels that additional tasks are warranted, they must be clearly identified in the Consultant's proposal): 1. Work and meet with City staff to refine the Project scope, purpose, uses and goals of the City's Comprehensive User Fee Study to ensure that the study will be both accurate and appropriate to the City's needs. Review Project schedules and answer any questions pertaining to the successful development of the study. 2. Meet with staff and conduct interviews as needed to gain an understanding of the City's processes and operations. Conduct a comprehensive review of the City's existing fees, rates, and charges. 3. Identify the total cost of providing each City service at the appropriate activity level and in a manner that is consistent with all applicable laws, statutes, rules and regulations governing the collection of 6IPage fees, rates and charges by public entities including, but not limited to, Proposition 26 and Proposition 218. 4. Compare service costs with existing recovery levels. This should include any service areas where the City is currently charging for services as well as areas where perhaps the City should charge, in light of the City's practices, or the practices of similar or neighboring cities. 5. Recommend potential new fees and charges for services that the City currently provides but does not have any fees and/or charges established or recommend potential lower fees and charges if needed. Recommendations should be based on practices by surrounding cities that may charge for similar services, industry best practices, or the consultant's professional opinion. 6. Recommend appropriate fees and charges based on the firm's analysis together with the appropriate subsidy percentage for those fees where full cost recovery may be unrealistic. 7. Prepare a report that identifies each fee service, its full cost, recommended and current cost recovery levels. The report should also identify the direct costs, the indirect cost, and the overhead cost for each service. 8. Prepare a report that identifies the present fees, recommended fees, percentage change, cost recovery percentage, revenue impact and fee comparison with other Riverside County cities or other California cities that are comparable to the City of Palm Desert. A report comparing rates and fees with similar cities, as well as how the fees compare to other Coachella Valley cities, is required. 9. Report on other matters that come to the Consultant's attention in the course of the evaluation that, in the Consultant's professional opinion,the City should consider. 10. Prepare and include samples of any reports that accomplish the scope of services, i.e., identification of total costs. 11. Provide a computer based model in Microsoft Excel for adjusting these fees and charges for the City's current and future needs and provide the City with an electronic copy of the final comprehensive study, including related schedules and cost documentation in a format that can be edited and updated by City staff to accommodate changes in the organization or changes in costs. The requirements of the model should allow for: a. Additions, revisions or removal of direct and overhead costs so that the cost allocation plan can be easily adapted to a range of activities, both simple and complex. b. The ability of the City to continuously update the model and cost allocation plan from year to year as the organization changes. c. The addition of hypothetical service area information for future service enhancements and the ability to calculate the estimated costs of providing the service under consideration (i.e., ad-hoc analysis). 12. Present the plan to the City's executive management group and make necessary adjustments as requested 13. Prepare and deliver presentation to the City Council to facilitate their understanding of the plan and its implication for the City to make necessary adjustments as requested. 14. Provide on-site training to enable staff to update fees on an annual basis. 15. Prepare a final report and provide eight bound color copies and a PDF file of the Cost Recovery Plan that can be made available to City staff. Models, tables, and graphs should be provided in Excel. Any Cost Allocation Model revisions developed shall also be made available to the City in Excel and PDF formats, providing the ability to add, delete and/or update information as needed. 71Page 16. Consult with City staff should it become necessary to defend the City's Comprehensive User Fee as a result of any legal or other challenge. 11/4 Wage General Requirements The consultant may recommend other tasks that is deemed appropriate to achieve the objectives set forth in this RFP. The successful respondent shall be required to retain all working papers and related supporting documents, including records of professional time spent,for a period of five(5) years after delivery of the required reports, unless notified in writing by the City of the need to extend the retention period. The Consultant further agrees to allow City staff to review such document upon written request at any time during the retention period. Proposal Submission Requirements The Consultant shall be responsible for preparing an effective, clear, and concise proposal. The City is requesting three(3) bound paper color copies of the proposal, which must contain, at a minimum,the following information: 1. Letter of Interest: Please include a letter expressing the Consultant's interest in being considered for the Project. Include a statement regarding the Consultant's availability to dedicate time, personnel, and resources to this effort. The letter of interest must include a commitment to the availability of the Consultants and all key Project staff during the planning period and a proposed schedule designed to meet the City's needs for the Project. 2. Project Understanding and Approach: Please include a statement demonstrating your understanding of the proposed Project. Describe your approach to completing the Project successfully; methodologies and technologies you would employ; key milestones and processes you would employ. Describe what information you would expect the City to supply. 3. Relevant Experience: Please include information describing the Consultant's experience with Comprehensive Fee Studies, including cost allocation plans for public agencies. Please list a minimum of five(5) specific examples of the Consultant's relevant experience with the development of Comprehensive Fee Studies and Cost Allocation Plans. This list should include the most recent projects for which the Consultant has performed similar services of similar size, scope and complexity. Include the name, contact person, address, phone number and/or e-mail of each party for whom the service was provided, as well as a description of the service performed, the dollar amount of the contract, and the date of performance. 4. Project Manager/Key Staff: Please include information about the specific relevant experience and billing rates for the proposed Project Manager and all other applicable staff. A Project Manager must be designated and must be the principal contact for the City. Information on the experience of the Project Manager(on similar projects) and at least two references for the Project Manager. 5. Proposed Scope of Services: Please provide a Proposed Scope of Services, which is based on the Scope of Work contained in this RFP; and discuss any ideas for modifying, clarifying, or improving the City's proposed scope of work. Provide a realistic working schedule with key deliverables, milestones and tasks. 6. Conflict of Interest Statement: The firm shall disclose any financial, business,or other relationship with the City that may have an impact upon the outcome of this contract. Particular attention should be paid to compliance with Government Code section 1 ogo. 7. Comments on or Requested Changes to Contract: The City's standard professional services contract is included as Attachment 1 to this Request for Proposals and incorporated herein by this reference. The proposing firm shall identify any objections to and/or request changes to the standard contract language in this section. If any exceptions are taken, such exceptions must be clearly noted in the proposal and may be reason for rejection of the proposal. As such, proposer is directed to carefully review the proposed professional services contract and, in particular, the insurance and indemnification provisions therein. 91Page 8. Certification of Proposal: The Consultant shall include the following statement in its proposal: "The undersigned hereby submits its proposal and, by doing so, agrees to furnish services to the City in accordance with the Request for Proposal (RFP). and to be bound by the terms and conditions of the RFP." 9. Cost Proposal: In a separate envelope marked "Cost Proposal", provide the following: a. Total All-Inclusive Not T❑ Exceed Maximum Price: The cost proposal should contain all pricing information relative to performing the scope of work as described in this RFP. The total all-inclusive maximum not to exceed price is to contain all direct and indirect costs including all out-of-pocket expenses. Provide a budget for each major milestone for the entire scope of services. The proposed budget should be inclusive of all meetings, conference calls, site visits and deliverables. The budget should include a list of anticipated reimbursable expenses with rates charged for each. Evaluation of Proposals and Selection Process Evaluation of the proposals will be made by at least three members of the City's staff. This evaluation team will evaluate all proposals received as specified. The City team members, in applying the major criteria to the proposals, may consider additional criteria beyond those listed. During the evaluation period, the team may elect to interview some ❑r all of the proposing firms. The final selection will be the firm which, in the City's opinion, is the most responsive and responsible, meets the City's requirements in providing this service, and will ❑perate in the City's best interest. The City maintains the sole and exclusive right to evaluate the merits of the proposals received. Consultants will be objectively evaluated based ❑n their responses to the Project scope outlined in the RFP. The written proposal should clearly demonstrate how the firm could best satisfy the requirements of the City. Proposals will be evaluated generally on the following criteria: • Proper submission of proposal ■ Thoroughness and understanding of the tasks to be completed. ■ Background and experience in organizational analysis evaluation. • Staff expertise and ❑verall experience and qualifications of personnel assigned to the work. • Time required to accomplish the requested services. • Responsiveness to requirements of the Project. • Recent public sector experience, preferably in a municipal setting, conducting similar studies. ■ Pricing. • Reference checks. Although the pricing for the services will be an important part of the consideration for award of the Project,the City will consider the consultant's qualifications, expertise and level of professional service and advice in the award of the Project. Upon selection of a proposer, the City will endeavor to negotiate a mutually agreeable professional services agreement with the selected proposer. In the event that the City is unable to reach agreement, the City will rt proceed, at its sole discretion, to negotiate with the next proposer selected by the City. After negotiating a proposed agreement that is fair and reasonable, City staff will make the final recommendation to the City Council concerning the proposed agreement. The City Council has the final authority to approve or reject the agreement. Proposal Requirements Format for Proposal To facilitate the review of responses, all responses are required to adhere to the following requirements with regard to their proposal. The City strongly encourages respondents to ensure that RFP submissions are y succinct and clearly organized. If the proposal is not in this format or does not include all of the listed items, it 10IPage I may be deemed non-responsive. For ease of handling, all responses are to be provided in a standard 81/2 x 11"portrait format with binding on the left hand edge. In addition,the proposal shall be provided in an electronic pdf format. 1. Title Page showing the request for proposals' subject; the firm's name; the name, address and telephone number of the contact person; and the date of the proposal. 2. Table of Contents identifying the materials submitted by section and page number. 3. Detailed Proposal following the order set forth in the Proposal Content. 4. Provide a timeline for the Comprehensive Fee Study and Cost Allocation Plan, indicating dates for completion of the final reports. Public Records All proposals submitted in response to this RFP become the property of the City. Information in the proposal, unless specified as trade protected, may be subject to public review. Any information contained in the proposal that is proprietary must be clearly designated. Marking the entire proposal as proprietary will be neither accepted nor honored. Proprietary information submitted in response to this RFP will be handled in accordance with the California Public Records Act. Proposer shall indemnify, defend and hold harmless the City, and its officers, directors, employees, and agents from and against all liability, loss, cost or expense (including attorney's fees)arising out of a legal action brought to compel the release of proprietary information. Right to Cancel and Amend The City reserves the right to cancel, for any or no reason, part or in its entirety, this RFP, including but not limited to: selection schedule, submittal date, and submittal requirements. If the City cancels or revises the RFP, all Consultants will be notified in writing. Additionally, the City is not required to award a contract as a result of this RFP and has the right to take the proposals under advisement for 180 days. City reserves the right to negotiate any price or provision, task order or service, accept any part or all of any proposals, waive any irregularities, and to reject any and all, or parts of any and all proposals, whenever, in the sole opinion of City, such action shall serve its best interests and those of the tax-paying public. The City reserves the right to amend the RFP or issue to all proposers a notice of amendment to answer questions for clarification. A proposal may be considered non-responsive if conditional, incomplete, or if it contains alterations of form, additions not called for, or other irregularities that may constitute a material change to the proposal. Additional Information The City reserves the right to request additional information and/or clarification from any or all Consultants. Conflict of Interest Selected Consultant covenants that the company, its officers, employees and/or agents presently have no interest, and shall not acquire any interest, direct or indirect,financial or otherwise, which would conflict in any manner or degree with the performance of the services requested herein by the City. Consultant further covenants that, in the performance of any contract or agreement resulting from this RFP, no subcontractor or person having such an interest shall be employed. Consultant certifies that to the best of Consultant's knowledge, no one who has or will have any financial interest under any contract or agreement resulting from this RFP is an officer or employee of the City. Release of Public Information Consultants who respond to this RFP who wish to release information to the public regarding selection, contract award or data provided by the City must receive prior written approval from the City before disclosing such information to the public. Non-Assignment If a contract is awarded, the selected Consultant shall neither assign, nor delegate, in part or in whole, any duties without the prior written consent of the City. Collusion Each Consultant certifies that the company, its officers, employees and/or agents are not a party to any collusive action, fraud, or any action that may be in violation of the Sherman Antitrust Act. The Consultant certifies that the company, its officers, employees and/or agents have not offered or received any kickbacks 11IPage or inducements from any other bidding Consultant, supplier, manufacturer, or subcontractor in connection with the proposal and that the company, its officers, employees and/or agents have not conferred with any public employee having official responsibility for this procurement transaction regarding any payment, loan, subscription, advance, deposit of money, services or anything of more than nominal value. Any or all bids shall be rejected if there is any reasons to believe collusion exists among the bidding Consultants. Debarment By submitting a proposal, the Consultant certifies that the company is not currently debarred from submitting proposals and/or bids for contracts issued by any city or political subdivision or agency of the State of California, and that is not an agent of a person or entity that is currently debarred from submitting proposals and/or bids for contracts issued by any City or political subdivision or agency of the State of California. Equal Employment Opportunity Compliance The selected Consultant shall not discriminate against any employee or applicant for employment because of race, creed, color, or national origin. The Consultant shall ensure that all employees and applicants for employment shall be treated with equality in all aspects of employment processes including, but not limited to, hiring, transfer, promotion, training, compensation and termination, regardless of their race, creed, color, sex, national origin, age, or physical handicap. Right to Audit The selected Consultant shall maintain such financial records and other records as may be prescribed by the City or by applicable federal and state laws, rules and regulations. The selected Consultant shall retain these records for a period of three years after final payment, or until they are audited by the City, whichever event occurs first. These records shall be made available during the term of the contract or service agreement and the subsequent three-year period for examination, transcription, and audit by the City or its designees. City Contact for RFP; Requests for Clarification The principal contact for the City regarding this RFP will be 1*"NAME'**1, Director of [***DEPARTMENT"**], ([*"telephone #***]), (["`email"""1), who will coordinate the assistance to be provided by the City to the proposer. All questions, requests for interpretations or clarifications,either administrative or technical must be requested in writing and directed to the City Contact for this RFP, identified above. All written questions, if answered, will be answered in writing, conveyed to all interested firms via email and/or posted on the City's website. Oral statements regarding this RFP by any persons should be considered unverified information unless confirmed in writing. To ensure a response, questions must be received in writing by 2:00 p.m. local time on the date identified in the Schedule for RFP. Cost of Proposal The City will not compensate any proposer for the cost of preparing any proposal, and all materials submitted with a proposal shall become the property of the City. The City will retain all proposals submitted and may use any idea in a proposal regardless of whether that proposal is selected. 121Page DRAFT FOR RFP ONLY CITY OF PALM DESERT PROFESSIONAL CONSULTANT SERVICES AGREEMENT 1. PARTIES AND DATE. This Agreement is made and entered into this day of , 20 , by and between the City of Palm Desert, a municipal corporation, organized under the laws of the State of California, with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California, 92260 ("City") and [INSERT NAME OF COMPANY], a [INSERT TYPE OF BUSINESS; I.E., CORPORATION (INCLUDE STATE OF INCORPORATION), LIMITED LIABILITY COMPANY, SOLE PROPRIETORSHIP, ETC.], with its principal place of business at [INSERT ADDRESS] ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party' and collectively as "Parties." 2. RECITALS. 2.1 Consultant. Consultant desires to perform and assumes responsibility for the provision of certain professional fee study consulting services required by the City on the terms and conditions set forth in this Agreement. Consultant represents that it is experienced in providing professional fee study consulting services to public clients, is licensed in the State of California, and is familiar with the plans of City. 2.2 Project. City desires to engage Consultant to render such professional fee study consulting services for the PALM DESERT USER FEE AND FULL COST ALLOCATION FEE STUDY PROJECT ("Project") as set forth in this Agreement. 3. TERMS. 3.1 Scope of Services and Term. 3.1.1 General Scope of Services. Consultant promises and agrees to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately supply the professional fee study consulting services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations. 1 3.1.2 Term. The term of this Agreement shall be from [INSERT DATE] to [INSERT DATE], unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines. 3.2 Responsibilities of Consultant. 3.2.1 Independent Contractor; Control and Payment of Subordinates. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Consultant on an independent contractor basis and not as an employee. Consultant retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing the Services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Neither City, nor any of its officials, officers, directors, employees or agents shall have control over the conduct of Consultant or any of Consultant's officers, employees, or agents, except as set forth in this Agreement. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. 3.2.2 Schedule of Services. Consultant shall perform the Services expeditiously, within the term of this Agreement, and in accordance with the Schedule of Services set forth in Exhibit "B" attached hereto and incorporated herein by reference. Consultant represents that it has the professional and technical personnel required to perform the Services in conformance with such conditions. In order to facilitate Consultant's conformance with the Schedule, City shall respond to Consultant's submittals in a timely manner. Upon request of City, Consultant shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services. 3.2.3 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of City. 3.2.4 Substitution of Key Personnel. Consultant has represented to City that certain key personnel will perform and coordinate the Services under this Agreement. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of City. In the event that City and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to terminate this Agreement for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the City, or who are determined by the City to y be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the Consultant at the request of the City. The key personnel for performance of this Agreement are as follows: [INSERT NAME, TITLE AND LICENSE/CERTIFICATION NUMBER]. NI 3.2.5 City's Representative. The City hereby designates [INSERT NAME AND TITLE], or his/her designee, to act as its representative in all matters pertaining to the 4 administration and performance of this Agreement ("City's Representative"). Consultant shall not accept direction or orders from any person other than the City Manager, City's 2 Representative or his/her designee. City's Representative shall have the power to act on behalf of the City for review and approval of all products submitted by Consultant, but not the authority to enlarge the Scope of Work or change the total compensation due to Consultant under this Agreement. The City Manager shall be authorized to act on City's behalf and to execute all necessary documents which increase the Scope of Work or change the Consultant's total compensation, subject to the provisions contained in Section 3.3 of this Agreement. 3.2.6 Consultant's Representative. Consultant hereby designates [INSERT NAME, TITLE, AND LICENSE/CERTIFICATION NUMBER], or his/her designee, to act as its representative for the performance of this Agreement ("Consultant's Representative"). Consultant's Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Agreement. The Consultant's Representative shall supervise and direct the Services, using his/her best skill and attention, and shall be responsible for all means, methods, techniques, sequences, and procedures and for the satisfactory coordination of all portions of the Services under this Agreement. 3.2.7 Coordination of Services. Consultant agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants and other staff at all times. 3.2.8 Standard of Care; Performance of Employees. Consultant shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services. Consultant warrants that all employees and subconsultants shall have sufficient skill and experience to perform the Services assigned to them. Finally, Consultant represents that it, its employees and subconsultants have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, and that such licenses and approvals shall be maintained throughout the term of this Agreement. As provided for in the indemnification provisions of this Agreement, Consultant shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Consultant's failure to comply with the standard of care provided for herein. Any employee of the Consultant or its sub-consultants who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project. 3.2.9 Laws and Regulations. Consultant shall keep itself fully informed of and in compliance with ail local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with Services. If Consultant performs any work knowing it to be contrary to such laws, rules and regulations, Consultant shall be solely responsible for all costs arising therefrom. Consultant shall defend, indemnify and hold City, its officials, directors, officers, employees, agents, and volunteers free and harmless, pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations. 3.2.10 Insurance. Without limiting Consultant's indemnification of City, and prior to commencement of Work, Consultant shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form that is satisfactory to City. General Liability Insurance. Consultant shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO "insured contract" language will not be accepted. Automobile Liability Insurance. Consultant shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non-owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident. The City's Risk Manager may modify this requirement if it is determined that Consultant will not be utilizing a vehicle in the performance of his/her duties under this agreement. Professional Liability (Errors & Omissions) Insurance. Consultant shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of $1,000,000 per claim and in the aggregate. Any policy inception date, continuity date, or retroactive date must be before the effective date of this agreement and Consultant agrees to maintain continuous coverage through a period no less than three years after completion of the services required by this agreement. Workers' Compensation Insurance. Consultant shall maintain Workers' Compensation Insurance (Statutory Limits) and Employer's Liability Insurance (with limits of at least $1,000,000). Consultant shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City of Palm Desert, its officers, agents, employees and volunteers. Umbrella or Excess Liability Insurance. Consultant may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Consultant shall obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability and employer's liability. Such policy or policies shall include the following terms and conditions: • A drop down feature requiring the policy to respond if any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason; • Pay on behalf of wording as opposed to reimbursement; • Concurrency of effective dates with primary policies; and • Policies shall "follow form" to the underlying primary policies. • insureds under primary policies shall also be insureds under the umbrella or excess policies. Fidelity Coverage. Consultant shall provide evidence of fidelity coverage on a blanket fidelity bond or other acceptable form. Limits shall be no less than $1,000,000 per occurrence. A Cyber Liability Insurance. Consultant shall procure and maintain Cyber Liability insurance with limits of $1,000,000 per occurrence/loss, which shall include the following coverage: a. Liability arising from the theft, dissemination and/or use of confidential or personally identifiable information; including credit monitoring and regulatory fines arising from such theft, dissemination or use of the confidential information. b. Network security liability arising from the unauthorized use of, access to, or tampering with computer systems. c. Liability arising from the failure of technology products (software) required under the contract for Consultant to properly perform the services intended. d. Electronic Media Liability arising from personal injury, plagiarism or misappropriation of ideas, domain name infringement or improper deep- linking or framing, and infringement or violation of intellectual property rights. e. Liability arising from the failure to render professional services If coverage is maintained on a claims-made basis, Consultant shall maintain such coverage for an additional period of three (3) years following termination of the contract. OTHER PROVISIONS OR REQUIREMENTS Proof of Insurance. Consultant shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation. Insurance certificates and endorsements must be approved by City's Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time. Duration of Coverage. Consultant shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Work hereunder by Consultant, his/her agents, representatives, employees or sub-consultants. Primary/Non-Contributing. Coverage provided by Consultant shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non- contributory basis for the benefit of City before the City's own insurance or self-insurance shall be called upon to protect it as a named insured. City's Rights of Enforcement. In the event any policy of insurance required under this Agreement does not comply with these specifications, or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Consultant, or City will withhold amounts sufficient to pay premium from Consultant payments. In the alternative, City may cancel this Agreement. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category Class Vil (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City of Palm Desert, its elected or appointed officers, agents, officials, employees and volunteers, or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against the City of Palm Desert, its elected or appointed officers, agents, officials, employees and volunteers, and shall require similar written express waivers and insurance clauses from each of its sub-contractors. Enforcement of Contract Provisions (non estoppel). Consultant acknowledges and agrees that any actual or alleged failure on the part of the City to inform Consultant of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder. Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Consultant maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. Notice of Cancellation. Consultant agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. Additional Insured Status. General liability, automobile liability, and if applicable, pollution liability and cyber liability, policies shall provide or be endorsed to provide that the City of Palm Desert and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. y Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Consultant's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer's limits of liability. The policy(ies) shall not contain any cross-liability exclusions. Pass Through Clause. Consultant 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 Consultant, provide the same minimum insurance coverage and endorsements required of Consultant. Consultant 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. Consultant agrees that upon request, all agreements with consultants, sub- contractors, and others engaged in the project will be submitted to City for review. c City's Right to Revise Specifications. The City or its Risk Manager reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Consultant ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Consultant, the City and Consultant may renegotiate Consultant's compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice. Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City. Timely Notice of Claims. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant's performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. Additional Insurance. Consultant shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work. Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. 1n carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. 3.3 Fees and Payments. 3.3.1 Compensation. Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto and incorporated herein by reference. The total compensation shall not exceed [INSERT AMOUNT WRITTEN OUT] ($[INSERT NUMBER]) without authorization of the City Council or City Manager, as applicable, per the Palm Desert Municipal Code. Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement. 3.3.2 Payment of Compensation. Consultant shall submit to City a monthly invoice which indicates work completed and hours of Services rendered by Consultant. The invoice shall describe the amount of Services provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the invoice. City shall, within 30 days of receiving such invoice, review the invoice and pay all non- disputed and approved charges thereon. If the City disputes any of Consultant's fees, the City shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth therein. 3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by City, or included in Exhibit "C" of this Agreement. 3.3.4 Extra Work. At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project, but which the Parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without authorization from the City Council or City Manager, as applicable, per the Palm Desert Municipal Code. 3.3.5 Rate Increases. 1n the event that this Agreement is renewed pursuant to Section 3.1.2, the rate set forth in Exhibit "C" may be adjusted each year at the time of renewal as set forth in Exhibit "C." 3.3.6 Prevailing Wages. Consultant is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations. Title 8, Section 16000, et seq., ("Prevailing Wage Laws"). which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects. If the Services are being performed as part of an applicable "public works" or "maintenance" project, as defined by the Prevailing Wage Laws, Consultant agrees to fully comply with such Prevailing Wage Laws. City shall provide Consultant with a copy of the prevailing rates of per diem wages in effect at the commencement of this Agreement. Consultant shall make copies of the prevailing rates of per diem wages for each craft, classification or type of worker needed to execute the Services available to interested parties upon request, and shall post copies at the Consultant's principal place of business and at the project site. Consultant shall defend, indemnify and hold the City, its officials, officers, employees, agents, and volunteers free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. 3.4 Accounting Records. 3.4.1 Maintenance and Inspection. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. Ali such records shall be clearly identifiable. Consultant shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement. Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement. 3.5 General Provisions. 3.5.1 Termination of Agreement. 3.5.1.1 Grounds for Termination. City may, by written notice to Consultant, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Consultant shall be compensated only for those services which have been adequately rendered to City, and Consultant shall be entitled to no further compensation. Consultant may not terminate this Agreement except for cause. 3.5.1.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Consultant to provide all finished or unfinished Documents and Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Agreement. Consultant shall be required to provide such document and other information within fifteen (15) days of the request. 3.5.1.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated. 3.5.2 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose: Consultant: [INSERT BUSINESS NAME] [INSERT STREET ADDRESS] [INSERT CITY STATE ZIP] ATTN: [INSERT NAME AND TITLE] City: City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 ATTN: Janet Moore, Director of Finance Such notice shall be deemed made when personally delivered or when mailed, forty- eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 3.5.3 Ownership of Materials and Confidentiality. 3.5.3.1 Documents & Data; Licensing of Intellectual Property. This Agreement creates a non-exclusive and perpetual license for City to copy, use, modify, reuse. or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings and data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data"). Consultant shall require all subconsultants to agree in writing that City is granted a non-exclusive and perpetual license for any Documents & Data the subconsultant prepares under this Agreement. Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or provided to Consultant by the City. City shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at City's sole risk. 3.5.3.2 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City. 3.5.4 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate, or convenient to attain the purposes of this Agreement. 3.5.5 Attorney's Fees. If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party reasonable attorney's fees and all other costs of such action. 3.5.6 Indemnification. 3.5.6.1 Scope of Indemnity. To the fullest extent permitted by law, Consultant shall defend, indemnify and hold the City, its directors, officials, officers, employees, volunteers and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any alleged acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant's Services, the Project or this Agreement, including without limitation the payment of all consequential damages, expert witness fees and attorneys fees and other related costs and expenses. Notwithstanding the foregoing, to the extent Consultant's Services are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent required by Civil Code Section 2782,8, to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant. 3.5.6.2 Additional Indemnity Obligations. To the fullest extent permitted by law, Consultant shall defend, with counsel of City's choosing and at Consultant's own cost, expense and risk, any and all claims, suits, actions or other proceedings of every kind covered by Section 3.5.6.1 that may be brought or instituted against City or its directors, officials, officers, employees, volunteers and agents. Consultant shall pay and satisfy any judgment, award or decree that may be rendered against City or its directors, officials, officers, employees, volunteers and agents as part of any such claim, suit, action or other proceeding. Consultant shall also reimburse City for the cost of any settlement paid by City or its directors, officials, officers, employees, agents or volunteers as part of any such claim, suit, action or other proceeding. Such reimbursement shall include payment for City's attorney's fees and costs, including expert witness fees. Consultant shall reimburse City and its directors, officials, officers, employees, agents, and/or volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the City, its directors, officials officers, employees, agents, or volunteers. 3.5.7 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties. 3.5.8 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in Riverside County. 3.5.9 Time of Essence. Time is of the essence for each and every provision of this Agreement. 3.5.10 City's Right to Employ Other Consultants. City reserves right to employ other consultants in connection with this Project. 3.5.11 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties. 3.5.12 Assignment or Transfer. Consultant shall not assign, hypothecate, or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent of the City. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer. 3.5.13 Construction; References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subconsultants of Consultant, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement. 3.5.14 Amendment; Modification. No supplement, modification, or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties. 3.5.15 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise. 3.5.16 No Third-Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties. 3.5.17 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect. 3.5.18 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom. 3.5.19 Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subconsultant, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex, or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. 3.5.20 Labor Certification. By its signature hereunder, Consultant certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation, or to undertake self- insurance in accordance with the provisions of that Code and agrees to comply with such provisions before commencing the performance of the Services. 3.5.21 Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party. 3.5.22 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original. 3.6 Subcontracting. 3.6.1 Prior Approval Required. Consultant shall not subcontract any portion of the work required by this Agreement, except as expressly stated herein, without prior written approval of City. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement. CITY OF PALM DESERT [INSERT NAME] By: By: Sabby Jonathan, Mayor [INSERT NAME AND TITLE] [If Corporation, TWO SIGNATURES, President OR Vice President AND Secretary OR Treasurer REQUIRED] Signatures of Consultant must be NOTARIZED ATTEST: By: [INSERT NAME AND TITLE] By: Rachelle D. Klassen City Clerk DRAFT FOR RFP ONLY EXHIBIT "A" SCOPE OF SERVICES DRAFT FOR RFP ONLY EXHIBIT "B" SCHEDULE OF SERVICES DRAFT FOR RFP ONLY EXHIBIT "C" COMPENSATION • - _ Z% �— o CITY OF PALM DESERT SCHEDULE OF BUILDING PERMIT FEES Building &Safety Department PLAN CHECK/INSPECTION FEES: N These fees are collected on ALL building permits. F FIRE DEPARTMENT PLAN CHECK/INSPECTION FEES: 0 Commercial, Industrial, and Multi-Family applications only. R CONSTRUCTION TAX: (Ordinance No. 216) M Charge $ .40 on ALL new and additional square footage added to the building A under roof(i.e. additional square footage for SFD additions, converting T Garages, atriums or patio areas to living space and all commercial additions). SMIP FEES: (Strong Motion Instrumentation Program) Q This is on NEW construction only, not tenant improvements. N Residential: .00013 of total valuation A Commercial: .00028 of total valuation ART IN PUBLIC PLACES: (Ordinance No. 473) Residential: .25 of 1°Io of valuation of the structure B Commercial: .50 of 1% of valuation of the structure Individual single family dwelling not in a development is exempt for the first L $100,000. L E MICROFILM FEES: T The following fee(s) will be charged accordingly to EVERY permit: 8.5x11 up to 11x17 = $.07 per page Plans = $.80 per page N Color up to 8.5x11 = $.11 per page SCHOOL TAX FEES: Revised This fee is paid to the appropriate school district on new residential construc- 10-8-2014 tion. Submit receipt for proof of payment. Note: School Fees are paid directly to the School District by cash, cashier's check or money order. TUMF FEES: (Traffic Uniform Mitigation Fee) Single Family Dwellings $1837.44 73510 Fred Waring Drive Commercial Buildings calculated and paid in Building and Safety Department. Palm Desert, CA 92260 Phone. (760)776-6420 Fax: (760)776-6392 www.citvofoalmdesert.org Schedule of Building Permit Fees Page 2 LOW INCOME HOUSING MITIGATION FEE (Res. No. 90-130) All commercial developments shall be assessed the following mitigation fees to be paid at the issuance of building permits. The fee shall be based on the following schedule: General Mixed Commercial $1.00 sq.ft. Professional Office $ .50 sq. ft. Industrial $ .33 sq. ft. Resort Hotel $1,000 per room (including major amenities, golf course, multiple restaurants, large convention facilities, etc.) Non-Resort Hotel $ 620 per room (limited amenities) CHILD CARE FACILITIES COMMERCIAL DEVELOPMENT IMPACT MITIGATION FEE Fees will be collected for all new square footage for commercial (non-residential)developments within the City. The fees shall be based on the following schedule: Light Industrial $ .47 sq.ft. Hotel/Visitor Uses $ .77 sq.ft. Retail/Service Commercial $ .90 sq. ft. Office Uses $1.15 sq. ft. Mixed use projects shall be assessed a blended rate based on the anticipated uses. Uses not listed shall be assessed according to the nearest appropriate category. FIRE FACILITIES IMPACT MITIGATION FEE—(AREA DEFINED) Fees will be based on Residential or Non-Residential use as follows: RESIDENTIAL Low Density $709.00 per dwelling unit RESIDENTIAL Medium Density $306.00 per dwelling unit RESIDENTIAL High Density $182.00 per dwelling unit NON-RESIDENTIAL COMMERICAL $ .22 per sq ft. NON-RESIDENTIAL INDUSTRIAL/OFFICE $ .21 per sq ft. This fee is charged to a designated area of development to supplement future fire protection needs. BUILDING AND SAFETY Ali i Fee Schedule t-,4"7 Resolution 2012-37 Item Flat Fee Fee Per Sq Ft 1.Permit Issuance $105.00 RESIDENTIAL SINGLE FAMILY DWELLINGS" - - 2.1-2,500 sq ft Single Family Dwelling Custom or Tract Model Plan Check,Architectural $0.50 Plan Check,Structural $0.22 Inspection $1.14 _ 3.1-2,500 sq ft Tract Production Model Revised Plan Check,Architectural $0.27 Plan Check,Structural $0.12 • Inspection $1.10 4,1-2,500 sq ft Production Model Unchanged Plan Check,Architectural I $0.20 Inspection $1.02 5.2,501sq ft or Larger Custom o►Tract Model Single Family Dwelling Plan Check,Architectural $0.37 Plan Check,Structural $0.18 Inspection $0.80 6.2,501 sq ft o►Larger Model Production Revised Plan Check,Architectural $0.25 Plan Check,Structural $0.08 Inspection $0.80 7.2,501 sq ft or Larger Single Family Production Unchanged Plan Check,Architectural $0.24 Plan Check,Structural $0.08 Inspection $0.57 8. Residential Remodel Plan Check,Architectural I $0.70 Inspection $0.86 9.Residential Remodel over 500 sq.ft. Plan Check,Architectural $0.57 Inspection 1 $0.56 10. Residential Alteration per$3,000 value' Plan Check,Architectural $168.00 lns.echon $159.00 ULTIPLE FAMILY DWELLINGS 11.Up to 15,000 sq ft Multiple Famly Dwelling Plan Check,Architectural $0.20 Plan Check,Structural $0.10 Inspection $0.36 12. 15,001 sq ft and Larger Mulitple Family Dwelling Plan Check,Architectural $0.18 Plan Check,Structural $0.10 Inspection $0.30 6122/2012 1 Item Flat Fee Fee Per S•Ft COf>MA E RC IALII N DLISTRIAL 13.1-30,000 sq ft Concrete Improved Plan Check,Architectural $0 24 Plan Check,Structural $0.08 Inspection $0.27 14,30,001 sq ft and Larger Concrete Improved Plan Check,Architectural $0.21 Plan Check,Structural $0.07 Inspection I $ozi 15.1-30,000 sq ft Masonry Improved Plan Check,Architectural $0 28 Plan Check,Structural $0.13 Inspection $0.27 16.30,001 sq ft and Larger Masonry Improved Plan Check,Architectural $0.22 Plan Check,Structural $0.10 Inspection $0.24 17.1-30,000 sq ft Wood Frame Improved Plan Check,Architectural $0.21 Plan Check,Structural $0.10 Inspection $0.32 18.30,001-50,000 sq ft and Larger Wood Frame Plan Check,Architectural $0 22 Plan Check,Structural $0.10 Ins ction $0.29 19.0-500,000 sq ft and Larger Plan Check,Architectural $0.06 Plan Check,Structural $0.04 Ins•:ction $0.08 • IMPROVEMENTS ---- 20.5,000 sq ft Tenant Improvement Plan Check,Architectural $0.18 Plan Check,Structural $0.07 Inspection $0.30 21.15,000 sq ft Tenant Improvement Plan Check,Architectural $0.15 Plan Check,Structural $0.05 Inspection $0.23 22.15,001-25,000 sq ft Tenant Improvement Plan Check,Architectural _ $0 13 Plan Check,Structural $0.07 Inspection $0.21 23.25,001-50,000 sq ft and Larger Tenant Improvement Plan Check,Architectural _ $0.12 Plan Check,Structural $0.07 Inspection $0.18 6/22/2012 2 Item Flat Fee Fee Per S•Ft RE-ROOFING MIL 24.Residential Re-roof Inspection L $159.00 25.Commercial/industrial Re-roof Ins ction $318.00 26,Each Plumbing Fixture Inspection $159.00 27.Plumbing Re-pipe or Repair Residential Inspection I $159.00 28.Plumbing Re-pipe or Repair Commercial Inspection I $159,00 29.Water Service Replacement inspection I $159.00 30.Water Heater Each Inspection i $80.00 31.Gas Pipe Each 50 ft or Fraction Thereof inspection I $159.00 32.Mechanical Appliances Each Residential Inspection $159.00 33.Mechanical Appliances Each Commercialllndustrial Inspection $318.00 34.Mechanical Ducts Each 50 ft or Fraction Thereof Inspection I $159.00 35.Mechanical Outlets or Inlets Each Inspection $159.00 J 36.HVAC Replacements Residential Inspection $159.00 37.HVAC Replacements Commercial/industrial Inspection I $159,00 38.installation of PV Solar System Inspection I $159.00 39.Pool Heater Replacement(Natural Gas) 1 ction $159.00 40.Electrical Plug,Switch or Similar Outlet-Five Each or Fraction Thereof Inspection $159.00 41.Electrical Appliance Each Inspection $159.00 1 42.Motors/Device inspection $159.00 43.Busway Each 50 ft or Fraction Thereof inspection $159.00 44.Conduit Each 50 ft or Fraction Thereof Inspection $159.00 45.Electric Service Up to 200 Amps Inspection $159.00 46.Electric Service 201-400 Amps Inspection $239.00 47.Electric Service 401-600 Amps Inspection _ $318.00 48.Electric Service Over 600 Amps Inspection 5318.00 6122/2012 3 Item _ Flat Fee Fee Per S. Ft OTHER ITEMS 49.Over Submittal and Two Corrections Plan Check € $336.00 50.Inspections After One Inspection Inspection $159.00 51.Building Official Variance Consideration Plan Check $531.00 52.Appeals Board Application Plan Check $885.00 53.Parking Lot Re-striping Plan Check $504.00 Inspection 5636.00 54.Minimum Fee Plan Check $168.00 Inspection $159.00 55. Block!Retaining Wall Inspection $159.00 56. Swimming Pool Inspection I S318.00 57. Mills Acts Application Fee $318.00 58. Mills Acts Contract Initiation Fee(deposit) $1,000.00 59.Discretionary Projects Hourly Rate: O8S=Director of Building&Safety 5177.00 PCM=Plan Check Manager 5168.00 Bl=Building Inspector $159.00 BPC=Building Permit Specialists(Blended Rate) $140.00 FS1=Fire Safety Inspector $113.00 FSS=Fire Safety Supervisor $125.00 _ Effective 5125112 Resolution 2012-37) Note:Addilional Services far which a fee has not been established shall be charged at Ihe City's fully burdened hourly rale. Trusl Deposit Fee reflects the initial amount of deposit for a given application.A billable hourly rate for Director of Building&Safety and/or City Attorney will be billed against the deposit supplied by the applicant at the lime of submltlal.Applicant will be notified when initial deposit is near depletion and additional funding is required.Upon project completion any funds remaining in the deposit will be returned to the applicant. 6122J2012 4 ��„ Fire Department ��l �i Fee Schedule 0111,1 +, Resolution 2012-37 Flat Fee Fee per Sq Ft 1. Fire Permit Issuance Plan Check $101.00 2. 1-15,000 sq ft Multi Family Plan Check $0.0334 Inspection $0.0452 3. 15,001-30,000 sq ft Multi Family Plan Check $0.0250 Inspection $0.0260 4. Up to 30,000 sq ft Commercial or Industrial-Improved Plan Check $0.0164 Inspection $0.0131 5. 30,001-70000 and Higher Multi Family Plan Check $0.0196 Inspection $0.0403 6. 1-5,000 sq ft Tenant Improvements Plan Check $0.0375 Inspection $0.0226 7. 5,001-15,000 sq ft Tenant Improvements Plan Check $0.0188 Inspection $0.0226 8. 15,001.25,000 sq ft Tenant Improvements Plan Check $0.0091 Inspection $0.0164 9. 25,001-50,000 sq ft Tenant Improvements Plan Check $0.0069 Inspection $0.0068 10. 1.30,000 sq ft Commercial/Industrial Building Plan Check $0.0150 Inspection $0.0170 11. 30,001-80,000 sq ft and Higher Plan Check $0.0091 Inspection $0.0085 12. Parking Garage Plan Check $0.0019 Inspection $226.00 13. Fire Sprinkler Systems up to 10 Heads Plan Check $250.00 1 Inspection $226.00 14. Fire Sprinkler Systems up to 100 Heads or Fraction Thereof Plan Check $250.00 Inspection 1 $226.00 15. Fire Sprinkler Systems 101-299 Heads Plan Check $375.00 Inspection $339.00 16. Fire Sprinkler Systems 300-700 Heads Plan Check $750.00 Inspection $678.00 17. Fire Sprinkler Systems over 700 Heads Plan Check $1000.00 Inspection $1017.00 18. Residential Fire Sprinklers Plan Check $250.00 Inspection $226.00 19. Fire Alarms Tenant Improvements 1-24 Plan Check $375.00 Inspection $339.00 20. Fire Alarms Tenant Improvements-Over 24 Plan Check $375.00 Inspection $452.00 21. Fire Alarms-New Systems Under 24 Devices Plan Check $375.00 Inspection $226.00 22. Fire Alarms-New System 24-100 Devices Plan Check $750.00 I Inspection $678.00 23. Fire Alarms-Over 100 Devices Plan Check $1000.00 Inspection $1017.00 24. Stand Pipe Systems Plan Check $250.00 Inspection $226.00 25. Private Fire Hydrant System Plan Check $375.00 Inspection $226.00 26. Fire Pump Installation Plan Check $1000.00 Inspection $1130.00 27. Fire Alarm Control/Monitor Plan Check $375.00 Inspection $339.00 28. Underground Storage Tank Plan Check $375.00 Inspection $339.00 29. Above Ground Storage Tank Plan Check $500.00 Inspection $452.00 30. Hoods-Suppression Plan Check $125.00 Inspection $113.00 31. Residential Care Facilities Plan Check $500.00 Inspection $565.00 32. Tents and Canopies Plan Check $125.00 Inspection $226.00 33. Private Schools Plan Check $250.00 Inspection $226.00 34. Special Inspections Plan Check $250.00 Inspection $226.00 35. Site Plans-Conditions of Approval Plan Check $250.00 Inspection $226.00 36. Fire Works Plan Check $125.00 Inspection $113.00 37. Plan Check Submittals Exceeding Original and One Correction Plan Check $250.00 Inspection _ $113.00 38. Minimum Fee Plan Check $125.00 Inspection $113.00 BILLABLE RATES PER HOUR USED IN THIS ANALYSIS WAS GIVEN BY RIVERSIDE COUNTY FIRE DEPARTMENT Note:Additional Services for which a fee has not been established shall be charged at the City's fully burdened rate. FSI=Fire Safety Inspector FSS=Fire Safety Specialists Resolution 2012-37 Effective 6-25-12 CITY OF PALM DESERT 73-510 FRED WARING DRIVE r� PALM DESERT, CALIFORNIA 92260-2578 !4� TEL: (760) 776-6450 FAX: (760)341-7098 f;f Public Works Engineering Fees Subdivision Improvement Projects (Tract/Parcel Maps) Plan Check Fees - Due at time of Plan Submittal Fees Final Map Check $1,253 +$125/Lot Precise Grading Plan Check Fee Per Plan Up to 8 Lots $1,628 Each Additional Lot Over 8 (Per Lot) $781Lot Hydrology Report Plan Check $352JAcre SWPPP/NPDES Plan Check $176 PM10 $78 Half Street Improvements Plan Check $891/1000 LF Full Street Improvements Plan Check $1,550/1000 LF Storm Drain Plan Check $1,550/1000 LF Signing &Striping Plan Check $1,110 Traffic Signal Plan Check $1,480 Three or More Plan Checks(Initial Check &Two Corrections) $3881Per Check Revision $155/hr Bonds & Cash Deposits Due Prior to Permit Issuance *Faithful Performance Bond 100% of Public Improvements + 25%Grading Amount *Labor and Materials Bond 50°I0 of Faithful Performance Amount PM10 Cash Deposit(Refundable) $2000/Acre Monumentation Cash Deposit(Refundable) 100°/°of Engineers Estimate WQMP (Fee reflects the initial amount of deposit for a given application) $3,700 Permit Fees Due Prior to Permit Issuance Application Processing $279 Grading Inspection Up to 8 Lots $1,590 Each Additional Lot Over 8 (per lot) $159/Acre SWPPPINPDES Inspection $318 PM10 Inspection $477 Half Street Improvements Inspection $2,544/1000 LF Full Street Improvements Inspection $3,180/1000 LF Storm Drain Inspection $2,862/1000 LF Signing and Striping inspection $1,590 Traffic Signal Inspection $5,460 Impact Fees Due Prior to Permit Issuance Signalization Residential (Per Unit) $50 Commercial (per 1000 sq ft of building area) $500 Industrial Per Acre $500 Drainage Impact Fee South of Whitewater $4,000/Acre Between Whitewater and Sand Ridge $1,500/Acre Between Sand Ridge and I-10 $1,000/Acre Park Fees (Residential Subdivision Only) (Per Ordinance) =I(#of D.U.'s) (2.174)(5)I [Current Land Value (1000) J L Per Acre Page 1 of 2 Revised June 27,2017 Haul Route Wear and Tear Fees Due Prior to Permit Issuance Residential Buildings $35 per Residential Unit; Accessory Buildings Exempted All Residential Remodeling is exempted *Based on Engineer's Construction Cost Estimate. Cash Deposit in lieu of Bond is acceptable. Not all fees listed are applicable to every project. Page 2 of 2 Revised June 27,2017 City of Palm Desert Business License Fee Schedule Please review your application to ensure it is properly completed and signed. Unsigned applications will be returned. Return the completed application with your check made payable to the "City of Palm Desert".A separate business license must be obtained for each separate business location and for each separate type of business at the same location per Section 5.04.030 of the Palm Desert Municipal Code. If you have any questions, please call the Business Support Center at(760)346-0611. CATEGORY"A" IN CITY BUSINESS Business Fee Schedule Includes This Category includes all types of businesses located in Palm $4.00 AB 1379 CA Surcharge Desert,including Home Based Businesses.(P.O.Boxes cannot be used as your Physical Business Address.) GROSS RECEIPTS FEE The license tax fee for this category shall be based upon annual $ 0 - $ 100,000 $ 64 gross receipts of sales and/or commissions based upon either the $ 100,001 $ 250,000 $ 95 previous calendar year or previous fiscal year of the business for $ 250,001 $ 500,000 $ 155 renewals. Gross receipts may be estimated for new licenses, and $ 500,001 - $ 750,000 $ 230 payable according to the table to the right. $ 750,001 - $ 1,000,000 $ 305 In addition to your business license,you may need: $ 1,000,001 - $ 1,500,000 $ 380 $ 1,500,001 - $ 2,000,000 $ 455 ■ A Home Occupation Permit: This permit is required for Palm $ 2,000,001 - $ 3,000,000 $ 567 Desert Based Businesses using a residential address as the $ 5,000,001 - $ 7,500,000 $ 1,13030 Physical Business Address. (Section 25.34.020 of the Palm $ 5,000,001 - $ 7,500,000 $ Desert Municipal Code) $ 7,500,001 $ 10,000,000 $ 1,505 $ 10,000,001 - $ 15,000,000 $ 2,067 Initial fee:$54.00 Renewal fee:$29.00 $ 15,000,001 $ 20,000,000 $ 2,817 (Fee includes$4.00 AB1379 CA Surcharge) $ 20,000,001 $ 30,000.000 $ 3,942 $ 30,000,001 - $ 40,000,000 $ 5,442 If your business address is located on El Paseo,please refer to the $ 40.000,001 $ 50,000,000 $ 6,942 reverse side of this form. $ 50,000,001 - $ 75,000,000 $ 9,567 $ 75,000,001 - $ 99,000,000 $ 13,2342 Note: The City is authorized to verify the statements and records of any and all persons licensed to conduct or carry on business within the City. (Section 5.04.320 of the Palm Desert Municipal Code). CATEGORY "B" Contractors will pay only from this category and no other. STATE BOARD LICENSED CONTRACTORS ONLY FEE * Contractors shall pay a license fee based on the highest General Engineering (A) $ 104 classification on their Contractors License. Unless you are a Swimming Pool {C53} $ 104 sole proprietor with no employees,contractors must have Owner/Builder (B) $ 104 worker's compensation insurance.. Plumbing (C36) $ 79 ' Contractors who operate any store,shop,or maintenance Electrical (C10) $ 79 service within the city,in conjunction or connection with the contracting business are also required to pay a business license fee as described in category"A"or"C". All Other sub-contractors or specialty contractors not If your business is based within a Palm Desert residence,you will be listed above $ 54 required to have a Home Occupation Permit. Initial fee:$54.00 Renewal fee:$29.00 (Fees includes$4.00 AB 1379 CA Surcharge) CATEGORY "C" OUT OF CITY BUSINESS GROSS RECEIPTS FEE This Category includes all types of businesses located outside the city of Palm Desert. $ 0 - $ 100,000 $ 79 $ 100,001 - $ 250,000 $ 117 The license tax fees for this category are apportioned to the $ 250,001 - $ 500,000 $ 267 amount of business Conducted within the City only and based $ 500,001 - $ 750,000 $ 342 upon the license year of the licensee,either calendar of fiscal for $ 750,001 - $ 1,000,000 $ 487 renewals and may be estimated for new licenses,and payable $ 1,000,001 - $ 1,500,000 $ 591 according to the table to the right. $ 1,500,001 - $ 2,000,000 $ 717 $ 2,000,001 - $ 3,000,000 $ 904 Note: The City is authorized to verify the statements and records of $ 3,000,001 - $ 5,000,000 $ 1,279 any and ail persons licensed to conduct or carry on business within the City. (Section 5.04.320 of the Palm Desert Municipal Code). City of Palm Desert El Paseo Assessment Fee Schedule El Paseo Assessment Fees are levied on business establishments with addresses 73-040 through 73-999 El Paseo and adjoining streets located 180 feet south of El Paseo and 154 feet north of El Paseo per Section 3.40.010 of the Palm Desert Municipal Code. El Paseo Assessment Fees are in addition to your business license fee. Please select the category appropriate for your business. Business Fee Schedule Includes $4.00 AB 1379 CA Surcharge CATEGORY I CATEGORY II i CATEGORY III Amount charged is one times the Amount charged is two times the Amount charged is three times the business license fee. business license fee. Business license fee. Example: Example: Example: Business License Fee 60.00 Business License Fee 60.00 Business License Fee 60.00 El Paseo Fee 1x 60.00 El Paseo Fee 2x 120.00 El Paseo Fee 3x 180.00 (1 x 60.00) (2 x 60.00) (3 x 60.00) CA 1379 Surcharge 4.00 CA 1379 Surcharge 4.00 CA 1379 Surcharge 4.00 Total Due 124.00 Total Due 184.00 Total Due 244.00 Accountants Alterations/tailoring Antiques Agencies-not insurance Animal Care Art Galleries Attorneys at Law Barber/Beauty/Manicure Shops Clothing-all Auditors Building Supplies Confectionary-Candies/Nuts Brokers-other than real estate Distributors Eating and Drinking Places Consultants Dry Cleaners Gift Shops Dental Professional Fitness Centers Home Furnishings Electrical General Merchandise/Mail Order Jewelry Stores Escrow Companies Interior Decorating/Designers Music Stores Finance and Loan Laundry/Dry Cleaners Operators of Nonresidential Buildings Fine Arts/Music School Limited Specialty Photographic Supplies General Business Offices Photographers Shoe Stores General Contractors Printing/Duplicating/Publishing Specialty Shops Investment Counselors Travel Agencies Sporting Goods Landscape Design or Architect Similar Business Stationery Stores/Bookstores Lithographers Other Similar Businesses Maintenance Other Medical Professions Independent Contractors: Optical Professions Barbers Personnel Agencies Beauticians CATEGORY IV Property Management Hair Stylist Schools-Trade/Private Manicurist Security Patrol Massage Therapist Banks $1,000.00 Surveyors Others not listed Annually Title Companies Similar Business CA 1379 Surcharge 4.00 Others Total Due $1,004.00 CITY OF PALM DESERT '/ 5 vi BUSINESS LICENSING DIVISION 1 ; 4.. ,f; ; 73-510 Fred Waring Drive '.. s'.,, Palm Desert, CA 92260 '" j Ph: (760) 346-0611 Fax: (760) 776-6356 Executive Summary The Iiesert Valleys Builders Association(DVBA) periodically commissions studies to examine the estimated deveropment fees imposed within the Coachella Valley and Imperial County. To complete its current study,the DVBA assumes two development scenarios. The first scenario assumes development of 60 single family tract homes on a 10 acre parcel of previously undeveloped land. The second scenario assumes development of 35 single family tract homes on a 10 acre parcel of previously undeveloped land. The DVBA completed similar studies in 2005, 2007,and 2014. Periodic updates of the study allow for the comparison of fee changes over time. 2007 to 2017 (10-year)fee comparison information is provided in the summary sheets for each agency. The categories of fees examined include: -Building Fees such as new construction plan review and permitting -Impact/Developer/Capacity Fees such as water,sewer,school, parks,and streets fees -Planning Fees such as initial environmental assessments,general plan and zoning amendments -Engineering Fees such as final map review and site improvement plan review and inspection Findings - Riverside County The chart below illustrates the estimated"per unit"development fees for a 35-home subdivision. 35-Unit Subdivision(Per Unit Developer Fees) -2017- $so,aao 1 $45,0OD 117_ $4o,aao S35,000 1 $3Q,000 iS25,000S20,000I$15,000$10,000 - f Ss,aoQ - $oCathedra! I Indian I Rancho ! Riverside l ❑esert Hat Palrn City Wells MirageLa Quints County Palm DesertSprings Springs IndioCoachella Fees $34,609 { $37,857 $38,469 $39,044 $39,466 $39,495 ° $41,890 $42,630 $46,549 $47,353 Cathedral City,at the low end of the fee spectrum has not updated the majority of its fees in more than ten years. Estimated fees for Indian Wells,Rancho Mirage, La Quinta, Riverside County, Palm Desert, Desert Hot Springs,and Palm Springs are relatively similar. Fees for the cities of Coachella and Indio are at the upper end of the fee spectrum. Documentation property of Desert Valleys Builders Association. All Rights Reserved. Palm Desert Summary Data Tables and Charts 2017 Fees 2007 Fees Fee Totals 60-unit Subdivision 35-unit Subdivision 60-unit Subdivision 35-unit Subdivision Fee Description Per Unit Total Per Unit Total Per Unit Total Per Unit Total Building Permit Fees $4,329 $259,745 $4,394 $153,792 $5,166 5309,975 $5,166 $180,819 impact Fees $31,068 $1,864,090 $32,642 $1,142,461 $19,227 $1,153,597 $19,361 $677,649 Planning Fees $509 $30,542 $873 $30,542 $43 $2,562 $73 $2,562 Engineering Fees $1,235 $74,116 $1,586 $55,516 $457 $27,429 $482 $16,854 Total $37,142 $2,228,493 $39,495 $1,382,311 t $24,893 $1,493,563 $25,087 $877,884 57%Fee increase 514,000 per unit Fee Share 60-unit Subdivision 35-unit Subdivision 60-unit Subdivision 35-unit Subdivision Fee Description Per Unit Total Per Unit Total Per Unit Total Per Unit Total Building Permit Fees 12% 12% 11% 11% 21% 21% 21% 21% Impart Fees 84% 84% 83% 83% 77% 77% 77% 77% Planning Fees 1% 1% 2% 2% 0% 0% 0% 0% Engineering Fees 3% 3% 4% 4% 2% 2% 2% 2% Total 100% 100% 100% 100% 100% 100% 100% 100% Development impact fees represent roughly 85%of the developer fees examined in this study. These include school developer tees,water and wastewater capacity fees,TUMF, multi-species habitat conversation,and other fees intended to offset the impact of development on certain capital facilities. 35-Unit Subdivision(Per Unit Developer Fees) $50,003 2017 1 545,000 540,000 . $35,000 UL I t ' i .•. Cathedral l Indian ! Rand* 1Desert I Riverside I Palm I Hot I Palm I City Welts lI Mirage La Quintsi Indio l Coachella rage { County I Desert I Springs Springs I -!Fees $34,609 ; $37,1357 i $38,459 i $39,044 I $39,466 I $39,495 I $41,890 J $-42,630 $46,549 : $47,353 Documentation property of Desert Valleys Builders Association. All Rights Reserved. Palm Desert Fee Details 2017 Fees Notes Buildi g Permit Fees 60-unit Subdivision 35-unit Subdivision Fee Description Per Unit T Total Per Unit Total Building Permit $2,903 $174,156 $2,917 $102,081 Plan Check $698 $41,856 $747 $26,156 Fire Res Sprinklers-Permit $327 $19,620 $327 $11,445 Fire Res Sprinklers-Plan Check $250 $15,000 $250 $8,750 Architectural Review $2 $105 $3 $105 Document Imaging $24 $1,464 $24 $854 Job Valuation Fee $73 $4,395 $73 $2,564 SMIP $40 $2,408 $40 $1,405 BSA(SB 1473) $12 $741 $12 $432 Total $4,329 $259,745 $4,394 $153,792 Impact Fees 60-unit Subdivision 35-unit Subdivision Fee Description Per Unit Total Per Unit Total Parks and Recreation Fee $2,955 $177,293 $2,955 $103,421 Art in Public Places Fee $772 $46,311 $772 $27,015 Construction Tax $1,160 $69,600 $1,160 $40,600 Fire $709 $42,540 $709 $24,815 Signalization Fee $50 $3,000 $50 $1,750 Drainage Fee $167 $10,000 $286 $10,000 Water Meter Only(CVWD) $400 $24,000 $400 $14,000 1"Meter Surcharge(CVWD) $2,479 $148,740 $2,479 $86,765 Water System Backup Fac.Charge(CVWD) $3,707 $222,420 $3,707 $129,745 Supplemental Water Supply Charge(CVWD) $2,036 $122,180 $3,491 $122,180 Sanitation Capacity Charge(Sewer)(CVWD) $4,851 $291,060 $4,851 $169,785 TUMF $1,837 $110,246 $1,837 $64,310 Multi-Species Fee $1,245 $74,700 $1,245 $43,575 School District Fee $8,700 $522,000_ $8,700 $304,500 Total $31,068 $1,864,090 $32,642 $1,142,461 Planning Fees 60-unit Subdivision 35-unit Subdivision Fee Description Per Unit Total Per Unit Total Environmental Assessments $5 $276 $8 $276 Initial Study/Neg Dec-Estimated $83 $5,000 $143 $5,000 [a) GPA/Zone Change Combo-Estimated $133 $8,000 $229 $8,000 [a] Precise Plan/TfM Combo-Estimated $250 $15,000 $429 $15,000 [a) Fish&Game(Neg.Dec.) $37 $2,216 $63 $2,216 County Filing Fee $1 $50 $1 $50 Total $509 $30,542 $873 $30,542 Documentation property of Desert Valleys Builders Association- All Rights Reserved. Palm Desert Fee Deiniis 2017 Fees Notes Engin :ering Fees 60-unit Subdivision 35-unit Subdivision Fee Description Per Unit Total Per Unit Total Final Map $146 - $8,753 $161 $5,628- Grading-Plan Review $95 $5,684 $107 $3,734 Street Improvements-Plan Review $37 $2,228 $64 $2,228 Storm Drain-Plan Review $26 $1,550 $44 $1,550 Landscaping-Plan Review $212 $12,708 $222 $7,758 PM10-Plan Review $1 $78 $2 $78 SWPPP/NPDES-Plan Review $3 $176 $5 $176 Hydrology Report-Plan Review $59 $3,520 $101 $3,520 Application Processing $5 $279 $8 $279 Grading-Permit Inspection $164 $9,858 $168 $5,883 Street Improvements Inspection $106 $6,360 $182 $6,360 Storm Drain-Permit Inspection $48 $2,862 $82 $2,862 Landscaping-Permit Inspection $190 $11,370 $193 $6,770 SWPPP/NPDES-Permit Inspection $5 $318 $9 $318 PM10-Permit Inspection $8 $477 $14 $477 Water Improvements-Plan Check(CVWD) $29 $I,750 $50 $1,750 Sewer Improvements-Plan Check{CVWD} $24 $1,425 $41 $1,425 Landscape Plan Check(CVWD) $9 $560 $16 $560 Water Improvements Inspection(CVWD) $35 $2,080 $59 $2,080 $2,080 Sewer Improvements Inspection(CVWD) $35 $2,080 $59 Total $1,235 $74,116 $1,5$6 $55,516 Total Fees $37,142 $2,228,493 $39,495 $1,382,311 Notes: fa]Fees are billed at varying hourly rates with initial deposit collected. Estimates shown were developed by CfearSource in order to provide information that will provide a more accurate agency to agency comparison. Actual amounts may vary. Documentation property of Desert Valleys Builders Association. All Rights Reserved.