Contract - Acorn Technology Services - 2021-07-01AGREEMENT FOR CONSULTANT SERVICES
This Agreement ("AGREEMENT") is made and effective as of July 1
2021, between the Costa Mesa Sanitary District, a sanitary district
("DISTRICT"), and Acorn Technology Services ("CONSULTANT"). In
consideration of the mutual covenants and conditions set forth herein, the
parties agree as follows:
Recitals
WHEREAS, the DISTRICT requires comprehensive information
technology management services; and
WHEREAS, the CONSULTANT is an independent contractor and the
DISTRICT desires to utilize the services of the CONSULTANT to provide
support for hardware (servers, switches, workstations, laptops, and
tablets), network, software, technical support ("help -desk") services, back-
ups, remote access, on -site support, email maintenance and security,
inventory management, security, and disaster recovery; and
WHEREAS, the CONSULTANT is expected to work and communicate
effectively with DISTRICT staff, officials, and other vendors to make
DISTRICT technologies and systems seamless to the end -users; and
WHEREAS, the CONSULTANT is expected to assist management of
long-term planning to keep systems current and functional in the most cost-
effective manner possible; and
WHEREAS, the CONSULTANT is expected to provide comprehensive,
reliable, timely, and proactive IT management and support that will
promote the mission and vision of the DISTRICT in serving its ratepayers;
and
WHEREAS, the DISTRICT has determined that the CONSULTANT
possesses the professional skills and ability to provide services for the
District; and
NOW, THEREFORE the parties hereto agree as follows:
1. TERM
This AGREEMENT shall commence on July 1, 2021, and shall remain
and continue in effect for three (3) years, from July 1, 2021 to June 30,
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2024, with two (2) one-year extensions at the DISTRICT's discretion, unless
sooner terminated pursuant to the provisions of this AGREEMENT.
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CONSULTANT shall perform the tasks described and set forth in
Exhibit A, attached hereto and incorporated herein as though set forth in
full. CONSULTANT shall complete the tasks according to the schedule of
performance which is also set forth in Exhibit A.
3. PERFORMANCE
CONSULTANT shall, at all times, faithfully, competently, and to the
best of his/her/its ability, experience, and talent perform all tasks described
herein. CONSULTANT shall employ, at a minimum, generally accepted
standards and practices utilized by persons engaged in providing similar
services as are required of CONSULTANT hereunder in meeting its
obligations under this AGREEMENT. CONSULTANT shall warrant that all
services provided and equipment installed shall perform in a workmanlike
manner and be fit for its particular purpose.
4. DISTRICT MANAGEMENT
The General Manager shall represent DISTRICT in all matters
pertaining to the administration of this AGREEMENT, including review and
approval of all products submitted by CONSULTANT. Notwithstanding the
foregoing, the General Manager's authority to enlarge the tasks to be
performed or change CONSULTANT's compensation is subject to Section 5
hereof.
5. PAYMENT
(a) DISTRICT agrees to pay CONSULTANT in accordance with
Exhibit A, attached hereto and incorporated herein by reference. This
amount shall not exceed One Hundred Forty-eight Thousand Four Hundred
Thirty -Five Dollars ($148,435.00) for the total term of this AGREEMENT
unless additional payment is approved as provided in this AGREEMENT.
Said sum includes travel and other costs.
(b) CONSULTANT shall not be compensated for any services
rendered in connection with its performance of this AGREEMENT that are in
addition to those set forth herein, unless such additional services are
requested in a written change order and are approved in advance and in
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writing by DISTRICT. The written change order requirement cannot be
waived. The General Manager may approve change orders for additional
work not to exceed the cumulative value of ten percent (lo%) of the total
contract sum. Any additional work in excess of this cumulative amount
shall be approved by the Board of Directors.
(c) CONSULTANT will submit invoices upon task completion unless
otherwise agreed. Payment shall be made within thirty (30) days of receipt
of each invoice as to all non -disputed fees. If DISTRICT disputes any of
CONSULTANT's fees, DISTRICT shall give written notice to CONSULTANT
within thirty (3o) days of receipt of an invoice of any disputed fees
contained in the invoice.
(a) The DISTRICT may, at any time, for any reason, with or without
cause, suspend or terminate this AGREEMENT, or any portion hereof, by
serving upon the CONSULTANT thirty (3o) days prior written notice. Upon
receipt of said notice, the CONSULTANT shall immediately cease all work
under this AGREEMENT, unless the notice provides otherwise. If the
DISTRICT suspends or terminates a portion of this AGREEMENT, such
suspension or termination shall not make void or invalidate the remainder
of this AGREEMENT.
(b) In the event this AGREEMENT is terminated pursuant to this
Section, the DISTRICT shall pay to CONSULTANT the actual value of the
work performed up to the time of termination, provided that the work
performed is of value to the DISTRICT. CONSULTANT shall immediately turn
over all work -product to DISTRICT in a readily usable form. Upon
termination of the AGREEMENT pursuant to this Section, the CONSULTANT
will submit an invoice to the DISTRICT pursuant to Section 5.
(a) The CONSULTANT's failure to comply with the provisions of this
AGREEMENT shall constitute a default. In the event that CONSULTANT is in
default for cause under the terms of this AGREEMENT, DISTRICT shall have
no obligation or duty to continue compensating CONSULTANT for any work
performed after the date of default and can terminate this AGREEMENT
immediately by written notice to the CONSULTANT. If such failure by the
CONSULTANT to make progress in the performance of work hereunder
arises out of causes beyond the CONSULTANT's control, and without fault of
negligence of the CONSULTANT, it shall not be considered a default.
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(b) As an alternative to the procedure for immediate termination
for default set forth in subparagraph (a), if the District Manager or his/her
delegate determines that the CONSULTANT is in default in the performance
of any of the terms or conditions of this AGREEMENT, he/she may in his/her
discretion cause to be served upon the CONSULTANT a written notice of the
default and demand to cure. The CONSULTANT shall have ten (lo) days
after service upon it of said notice to cure the default by rendering a
satisfactory performance. In the event that the CONSULTANT fails to cure
its default within such period of time, the DISTRICT shall have the right,
notwithstanding any other provision of this AGREEMENT, to terminate this
AGREEMENT without further notice and without prejudice to any other
remedy to which it may be entitled at law, in equity or under this
AGREEMENT.
(a) CONSULTANT shall maintain complete and accurate records
with respect to the professional services required by this AGREEMENT and
will produce the work product specified in Exhibit A and other such
information required by DISTRICT that relate to the performance of services
under this AGREEMENT. CONSULTANT shall maintain adequate records of
services provided in sufficient detail to permit an evaluation of services. All
such records shall be maintained in accordance with generally accepted
accounting principles and shall be clearly identified and readily accessible.
CONSULTANT shall provide free access to the representatives of DISTRICT
or its designees at reasonable times to such books and records; shall give
DISTRICT the right to examine and audit said books and records; shall
permit DISTRICT to make transcripts therefrom as necessary; and shall
allow inspection of all work, data, documents, proceedings, and activities
related to this AGREEMENT. Such records, together with supporting
documents, shall be maintained for a period of three (3) years after receipt
of final payment.
(b) Upon completion, termination, or suspension of this
AGREEMENT, all work product reduced to any medium and other documents
prepared in the course of providing the services to be performed pursuant
to this AGREEMENT shall become the sole property of the DISTRICT and
may be used, reused, or otherwise disposed of by the DISTRICT without the
permission of the CONSULTANT. With respect to computer files,
CONSULTANT shall make available to the DISTRICT, at the CONSULTANT's
office and upon reasonable written request by the DISTRICT, the necessary
computer software and hardware for purposes of accessing, compiling,
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transferring, and printing computer files. Said software and hardware shall
be made available to DISTRICT at CONSULTANT's cost.
g. INDEMNIFICATION
(a) Indemnification for Professional Liability. When the law
establishes a professional standard of care for CONSULTANT's services, to
the fullest extent permitted by law, CONSULTANT shall indemnify, protect,
defend, and hold harmless DISTRICT and any and all of its officials,
employees, and agents from and against any and all losses, liabilities,
damages, costs, and expenses, including attorney's fees and costs to the
extent the same arise out of, pertain to, or relate to the negligence,
recklessness, or willful misconduct of CONSULTANT, its officers, agents,
employees, or subconsultants (or any entity or individual that CONSULTANT
shall bear the legal liability thereof) in the performance of professional
services under this AGREEMENT.
(b) Indemnification for Other than Professional Liability. Other
than in the performance of professional services and to the fullest extent
permitted by law, CONSULTANT shall indemnify, defend, and hold harmless
DISTRICT and any and all of its employees, officials, and agents from and
against any liability (including liability for claims, suits, actions, arbitration
proceedings, administrative proceedings, regulatory proceedings, losses,
expenses, or costs of any kind, whether actual, alleged, or threatened,
including attorney's fees and costs, court costs, interest, defense costs, and
expert witness fees), where the same arise out of, pertain to, relate to, are a
consequence of, or are in any way attributable to, in whole or in part, the
performance of this AGREEMENT by CONSULTANT or by any individual or
entity for which CONSULTANT is legally liable, including, but not limited to,
officers, agent, employees, or subconsultants of CONSULTANT.
10. INSURANCE
CONSULTANT shall, at its expense, procure and maintain for the
duration of this AGREEMENT insurance against claims for injuries to
persons or damages to property which may arise from or in connection with
the performance of this AGREEMENT by the CONSULTANT, its agents,
representatives, employees, or subcontractors. CONSULTANT shall also
require all of its subcontractors to procure and maintain the same insurance
for the duration of this AGREEMENT. If CONSULTANT is an employer or
otherwise hires one (1) or more employees during the term of this PROJECT,
CONSULTANT shall procure and maintain workers' compensation coverage
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for such employees which meets all requirements of state law (Labor Code §
1861).
At a minimum, CONSULTANT is required to submit proof of insurance
in accordance with the following standards:
Minimum Scone of Insurance: Coverage shall be at least as broad as
the latest version of the following: (1) General Liability: Insurance Services
Office Commercial General Liability coverage (occurrence form CG o001):
(2) Automobile Liability: Insurance Services Office Business Auto Coverage
form number CA 000l, code 1 (any auto); and (3) Workers' Compensation
and Employer's Liability: Workers' Compensation insurance as required by
the State of California and Employer's Liability Insurance.
Minimum Limits of Insurance: CONSULTANT shall maintain limits
of no less than:
(A) General Liability. One Million Dollars ($1,000,000.00) per
occurrence for bodily injury, personal injury and property damage. If
Commercial General Liability Insurance or other form with general
aggregate limit is used, either the general aggregate limit shall apply
separately to this AGREEMENT/location or the general aggregate limit shall
be twice the required occurrence limit.
(B) Automobile Liability. One Million Dollars ($1,000,000.00) per
accident for bodily injury and property damage.
(C) Workers' _ Compensation__and__Employer's Liability. Workers'
Compensation limits as required by the Labor Code of the State of
California. Employer's Liability limits of One Million Dollars
($1,000,000.00) per accident for bodily injury or disease.
Insurance Endorsements: The insurance policies shall contain the
following provisions, and a separate endorsement stating to add the
following provisions to the insurance policies shall be submitted and
approved by DISTRICT:
(A) General Liability. The general liability policy shall be endorsed
to state that: (1) DISTRICT, its directors, officials, officers, employees,
agents, and volunteers shall be covered as additional insureds with respect
to the work or operations performed by or on behalf of the CONSULTANT,
including materials, parts, or equipment furnished in connection with such
work; and (2) the insurance coverage shall be primary insurance as respects
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DISTRICT, its directors, officials, officers, employees, agents, and
volunteers, or if excess, shall stand in an unbroken chain of coverage excess
of the CONSULTANT's scheduled underlying coverage. Any insurance or
self-insurance maintained by DISTRICT, its directors, officials, officers,
employees, agents, and volunteers shall be excess of the CONSULTANT's
insurance and shall not be called upon to contribute with it in any way.
(B) Automobile Liability. The automobile liability policy shall be
endorsed to state that: (1) DISTRICT, its directors, officials, officers,
employees, agents and volunteers shall be covered as additional insureds
with respect to the ownership, operation, maintenance, use, loading or
unloading of any auto owned, leased, hired or borrowed by CONSULTANT or
for which the CONSULTANT is responsible; and (2) the insurance coverage
shall be primary insurance as respects DISTRICT, its directors, officials,
officers, employees, agents and volunteers, or if excess, shall stand in an
unbroken chain of coverage excess of the CONSULTANT's scheduled
underlying coverage. Any insurance or self-insurance maintained by
DISTRICT, its directors, officials, officers, employees, agents and volunteers
shall be excess of the CONSULTANT's insurance and shall not be called upon
to contribute with it in any way.
(C) Workers' Compensation and Employer's Liability Coverage.
The insurer shall agree to waive all rights of subrogation against DISTRICT,
its directors, officials, officers, employees, agents, and volunteers for losses
paid under the terms of the insurance policy which arise from work
performed by the CONSULTANT.
(D) All _ Coverage. Each insurance policy required by this
AGREEMENT shall be endorsed to state that: (A) coverage shall not be
suspended, voided, reduced, or canceled except after thirty (3o) days prior
written notice by certified mail, return receipt requested, has been given to
DISTRICT, and (B) any failure to comply with reporting or other provisions
of the policies, including breaches or warranties, shall not affect coverage
provided to DISTRICT, its directors, official, officers, employees, agents, and
volunteers.
Acceptability of Insurers: Insurance is to be placed with insurers
with a current A.M. Best's rating of no less than A-:VIII, licensed to do
business in California, and satisfactory to DISTRICT.
All insurance documents must be submitted and approved by the
District's Risk Manager prior to execution of any AGREEMENT with
DISTRICT.
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11. INDEPENDENT CONSULTANT
(a) CONSULTANT is and shall at all times remain as to the DISTRICT
a wholly independent consultant. The personnel performing the services
under this AGREEMENT on behalf of CONSULTANT shall at all times be
under CONSULTANT's exclusive direction and control. Neither DISTRICT
nor any of its officers, 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 not at
any time or in any manner represent that it or any of its officers,
employees, or agents are in any manner officers, employees, or agents of
the DISTRICT. CONSULTANT shall not incur or have the power to incur any
debt, obligation, or liability whatsoever against DISTRICT or bind DISTRICT
in any manner.
(b) No employee benefits shall be available to CONSULTANT in
connection with the performance of this AGREEMENT. Except for the fees
paid to CONSULTANT as provided in the AGREEMENT, DISTRICT shall not
pay salaries, wages, or other compensation to CONSULTANT for performing
services hereunder for DISTRICT. DISTRICT shall not be liable for
compensation or indemnification to CONSULTANT for injury or sickness
arising out of performing services hereunder.
12. LEGAL RESPONSIBILITIES
The CONSULTANT shall keep itself informed of State and Federal laws
and regulations which in any manner affect those employed by it or in any
way affect the performance of its service pursuant to this AGREEMENT.
The CONSULTANT shall at all times observe and comply with all such laws
and regulations. The DISTRICT and its officers and employees shall not be
liable at law or in equity occasioned by failure of the CONSULTANT to
comply with this Section.
13. UNDUE INFLUENCE
CONSULTANT declares and warrants that no undue influence or
pressure has been used against or in concert with any officer or employee of
the DISTRICT in connection with the award, terms, or implementation of
this AGREEMENT, including any method of coercion, confidential financial
arrangement, or financial inducement. No officer or employee of the
DISTRICT will receive compensation, directly or indirectly, from
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CONSULTANT or from any officer, employee, or agent of CONSULTANT in
connection with the award of this AGREEMENT or any work to be conducted
as a result of this AGREEMENT. Violation of this Section shall be a material
breach of this AGREEMENT entitling the DISTRICT to any and all remedies
at law or in equity.
T, I I I W, N0 : ► • : :3.
No member, officer, or employee of DISTRICT, or their designees or
agents, and no public official who exercises authority over or has
responsibilities with respect to the project during his/her tenure or for one
year thereafter shall have any interest, direct or indirect, in any agreement
or sub -agreement, or the proceeds thereof, for work to be performed in
connection with the project performed under this AGREEMENT.
15. RELEASE OF INFORMATION CONFLICTS OF INTEREST
(a) All information gained by CONSULTANT in the performance of this
AGREEMENT shall be considered confidential and shall not be released by
CONSULTANT without DISTRICT's prior written authorization.
CONSULTANT and its officers, employees, agents, or subconsultants shall
not, without written authorization from the General Manager or unless
requested by the District Counsel, voluntarily provide declarations, letters
of support, testimony at depositions, response to interrogatories, or other
information concerning the work performed under this AGREEMENT or
relating to any project or property located within the DISTRICT. Response to
a subpoena or court order shall not be considered "voluntary" provided
CONSULTANT gives DISTRICT notice of such court order or subpoena.
(b) CONSULTANT shall promptly notify DISTRICT should
CONSULTANT or its officers, employees, agents, or subconsultants be served
with any summons, complaint, subpoena, notice of deposition, request for
documents, interrogatories, requests for admissions, or other discovery
request, court order, or subpoena from any person or party regarding this
AGREEMENT or the work performed thereunder or with respect to any
project or property located within the DISTRICT. DISTRICT retains the
right, but has no obligation, to represent CONSULTANT and/or be present at
any deposition, hearing, or similar proceeding. CONSULTANT agrees to
cooperate fully with DISTRICT and to provide the opportunity to review any
response to discovery requests provided by CONSULTANT. However,
DISTRICT's right to review any such response does not imply or mean that
DISTRICT has a right to control, direct, or rewrite said response.
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(c) CONSULTANT covenants that neither he/she/it nor any officer
or principal of their firm have any interest in, or shall acquire any interest,
directly or indirectly, which will conflict in any manner or degree with the
performance of their services hereunder. CONSULTANT further covenants
that in the performance of this AGREEMENT, no person having such interest
shall be employed by it/them as an officer, employee, agent, or
subconsultant. CONSULTANT further covenants that CONSULTANT has not
contracted with nor is performing any services, directly or indirectly, with
any developer(s) and/or property owner(s) and/or firm(s) and/or
partnership(s) owning property in the DISTRICT or the study area and
further covenants and agrees that CONSULTANT and/or its subconsultants
shall provide no service or enter into any agreement or agreements with
a/any developer(s) and/or property owner(s) and/or firm(s) and/or
partnership(s) owning property in the DISTRICT or the study area prior to
the completion of the work under this AGREEMENT.
16. NOTICES
Any notices which either party may desire to give to the other party
under this AGREEMENT must be in writing and may be given by: (i)
personal service, (ii) delivery by a reputable document delivery service,
such as, but not limited to, Federal Express, which provides a receipt
showing date and time of delivery, or (iii) mailing in the United States Mail,
certified mail, postage prepaid, return receipt requested, addressed to the
address of the party as set forth below or at any other address as that party
may later designate by notice:
To DISTRICT: Costa Mesa Sanitary District
ego Paularino Avenue
Costa Mesa, CA 92626
Attn: Management Analyst II
To CONSULTANT: Acorn Technology Services
lg 6 o Chicago Ave, Ste E g
Riverside, CA 92507
Attn: Mickey McGuire, CEO
17. ASSIGNMENT
The CONSULTANT shall not assign the performance of this
AGREEMENT, nor any part thereof, nor any monies due hereunder, without
prior written consent of the DISTRICT.
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18. LICENSES
At all times during the term of this AGREEMENT, CONSULTANT shall
have in full force and effect all licenses required of it by law for the
performance of the services described in this AGREEMENT.
19. GOVERNING LAW
DISTRICT and CONSULTANT understand and agree that the laws of
the State of California shall govern the rights, obligations, duties, and
liabilities of the parties to this AGREEMENT and also govern the
interpretation of this AGREEMENT. Any litigation concerning this
AGREEMENT shall take place in the superior or federal district court with
jurisdiction over the DISTRICT.
20. ENTIRE AGREEMENT
This AGREEMENT contains the entire understanding between the
parties relating to the obligations of the parties described in this
AGREEMENT. All prior or contemporaneous agreements, understandings,
representations, and statements, oral or written, are merged into this
AGREEMENT and shall be of no further force or effect. Each party is
entering into this AGREEMENT based solely upon the representations set
forth herein and upon each party's own independent investigation of any
and all facts such party deems material.
CONSULTANT is bound by the contents of Exhibit A, hereto and
incorporated herein by this reference. In the event of conflict, the
requirements of DISTRICT's Request for Proposals and this AGREEMENT
shall take precedence over those contained in the CONSULTANT's proposals.
22. MODIFICATION
No modification to this AGREEMENT shall be effective unless it is in
writing and signed by authorized representatives of the parties hereto. This
written modification requirement cannot be waived.
23. AUTHORITY TO EXECUTE THIS AGREEMENT
The person or persons executing this AGREEMENT on behalf of
CONSULTANT warrant(s) and represent(s) that he/she/they has/have the
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authority to execute this AGREEMENT on behalf of the CONSULTANT and
has/have the authority to bind CONSULTANT to the performance of its
obligations hereunder.
24. INTERPRETATION
In the event of conflict or inconsistency between this AGREEMENT
and any other document, including any proposal or Exhibit hereto, this
AGREEMENT shall control unless a contrary intent is clearly stated.
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CONSULTANT shall obtain a business license from the City of Costa
Mesa unless legally exempt.
IN WITNESS WHEREOF, the parties hereto have caused this
AGREEMENT to be executed this day and year first above written.
COSTA MESA SANITARY DISTRICT
Robert Ooten, President
i
1
Arlene Schafer, Secr ary
APPROVED AS TO FORM:
b ru
District Counsel
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CONTRACTOR
Signat re
Mickey McGuire
Typed Name
Chief Executive Officer
Title
Attest:
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