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Contract - Hamers - 2009-07-23 AGREEMENT FOR DISTRICT ENGINEERING SERVICES S This Agreement is made and effective as of July 23 , 2009 between the Costa Mesa Sanitary District, a sanitary district ("District") and Robin B Hamers & Associates, Inc, a corporation ("Consultant"). In consideration of the mutual covenants and conditions set forth herein, the parties agree as follows: Recitals WHEREAS Consultant has been serving as District Engineer since 1981 and WHEREAS, Consultant was thereafter appointed `Manager/District Engineer" in 1992 and performed both Engineer and Manager duties since then, and WHEREAS the District's personnel roster has expanded while at the same time engineering work has increased greatly: and WHEREAS the Board has determined that it needs a full-time manager to oversee personnel and general issues and desires to free Consultant from those duties so he can concentrate his efforts on the engineering work; and WHEREAS, the Board has accordingly now created a full-time manager position ID and will require that the District Engineer position be re-established as a separate position, and WHEREAS, the Board does hereby desire that Consultant be appointed to that District Engineer position, NOW THEREFORE, the parties hereto do hereby agree as follows: 1 TERM This Agreement shall commence on July 23, 2009 and shall remain and continue in effect unless sooner terminated pursuant to the provisions of this Agreement. 2. SERVICES Consultant shall perform the tasks described and set forth in Exhibit A attached hereto and incorporated herein. 3. PERFORMANCE ID Consultant shall at all times faithfully competently and to the best of his 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. 4 PAYMENT (a) The District agrees to pay Consultant monthly in accordance with the payment rates, terms and schedule of payment as set forth in Exhibits `B' `C' and `D' attached hereto and incorporated herein by this reference as though set forth in full, based upon actual time spent on the above tasks. (b) All work shall be approved by the Board or be within budget parameters approved by the Board. (c) Consultant will submit invoices for actual services performed. Invoices shall show tasks performed, project, persons performing the work, hourly rates and hours or fractions thereof spent on those tasks, and any costs charged. Invoices shall be submitted on or about the first business day of each month, or as soon thereafter as practical for services provided in the previous month. Payment shall be made within thirty (30) days of receipt of each invoice as to all non-disputed fees. If the District disputes any of Consultant's fees it shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth on the invoice 1j (d) All retainer fee services shall be provided for the flat monthly sum stated in the attached Exhibits 'B' `C' and `D' Hourly fee services shall be additional to the flat sum. The fees and rates stated shall be guaranteed for the time periods stated as provided in Exhibits B' `C' and 'D' 5. SUSPENSION OR TERMINATION OF AGREEMENT WITHOUT CAUSE (a) Consultant shall have no property right to the position of District Engineer but shall be entitled to the following provisions if given notice of termination. (b) If Consultant is terminated for criminal misconduct or other wrongful act, District may terminate the contract immediately Consultant shall be provided with the reason for said termination but, as a Contractor shall not have any rights to a hearing or due process. (c) If Consultant is terminated for any other reason, District will provide Consultant with six (6) months notice and shall continue to employ Consultant until said time period expires. (d) Should District desire to terminate Consultant immediately and not allow Consultant to work for said six months, District shall agree to pay Consultant the total of the last three months' billings to allow Consultant to pay his expenses for said period. (e) Except as specifically stated above, nothing stated in this Agreement is meant to guarantee any level of work or payment amount. 6. OWNERSHIP OF DOCUMENTS (a) Consultant shall maintain complete and accurate records with respect to the project 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 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, transferring and printing computer files. 7 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 ("Indemnified Parties') from and against any and all losses, liabilities, damages, costs and expenses, including attorney's fees and costs to the extent same are caused in whole or in part by any negligent or wrongful act, error or omission 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 full 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, Oactions, arbitration proceedings, administrative proceedings, regulatory proceedings, loses, expenses or costs of any kind, whether actual, alleged or threatened, including attorneys fees and costs, court costs, interest, defense costs and expert witness fees) O where the same arise out of 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, agents, employees or subconsultants of Consultant. (c) Immunities. District Engineer shall be entitled to the immunities that may apply as `District Engineer 8. INSURANCE Consultant shall maintain prior to the beginning of and for the duration of this Agreement insurance coverage as specified in Exhibit `E' attached to and part of this Agreement. Such insurance shall cover commercial general liability automotive worker's compensation and professional errors and omissions insurance A certificate of insurance shall be attached. 9. 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. (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 In addition to the indemnity provisions in Paragraph 7 Consultant shall indemnify District for any claims that any officer agent or employee of Consultant is eligible for pension or other fringe benefits provided to District's employees. 10. 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. 4 11 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 Costa Mesa Sanitary 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 Costa Mesa Sanitary District will receive compensation, directly or indirectly from 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 12. NO BENEFIT TO ARISE TO LOCAL EMPLOYEES No member officer or employee of District, or their designees or agents, and no public official who exercises authority over or 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 proceed thereof for work to be performed in connection with the Project performed under this Agreement. 13. INDEPENDENT REVIEW OF CAPITAL IMPROVEMENT PROGRAM (CIP) The parties acknowledge that the District should have a Capital Improvement Program (CIP) that forecasts the work necessary to keep the District's capital projects prioritized and that provides a means for considering the budgetary implementation and timing of the same. Towards that end, Consultant shall prepare and update annually a CIP that establishes work to be done, the timing of that work, and budgets for that work so that the Board of Directors can plan for the work within the budget and funds available. The parties have further agreed that it is necessary to have an independent engineering review of that CIP so that the Board can determine if the work is reasonable necessary and that the budget amounts are reasonable for the work proposed. District has adopted an ordinance that establishes an Alternative District Engineer position for such review The parties agree that all capital improvement projects shall be submitted for such independent review before being approved and agree that the Alternate District Engineer shall report directly to the Board of Directors. 14. CONFLICT OF INTEREST / SELF DEALING REGARDING PRIVATE DEVELOPMENT WORK PROHIBITED The parties acknowledge that it would be inappropriate for the District Engineer to approve his own work done on behalf of a developer therefore if Consultant contracts or performs work for a private developer within District's boundaries, O Consultant shall cease all work as District Engineer on that project and advise staff that 5 the sewer plans for the development shall be submitted to the Alternate District Engineer for review and approval 15. RELEASE OF INFORMATION / CONFLICTS OF INTEREST (a) All information gained by Consultant in performance of this Agreement shall be considered confidential and shall not be released by Consultant without Districts prior written authorization. Consultant, its officers, employees, agents or subconsultants, shall not without written authorization from the District 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, 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 and 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 S 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 the right by District to control, direct, or rewrite said response. 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 either 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 628 West 19th Street Costa Mesa, California 92627 Attn: District Clerk 6 To Consultant: Robin B. Hamers & Associates, Inc. 234 East 17th Street #205 Costa Mesa, California 92627 Attn Robin B Hamers 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. Because of the personal nature of the services to be rendered pursuant to this Agreement, only Robin Hamers shall perform the services described in this Agreement. Robin B Hamers may use assistants, under its direct supervision, to perform some of the services under this Agreement. Consultant shall provide District fourteen (14) days notice prior to the departure of Robin B. Hamers from Consultant's employ Should he leave Consultant's employ the District shall have the option to immediately terminate this Agreement, within three (3) days of the close of said notice period. Upon termination of this agreement, Consultant's sole compensation shall be payment for actual services performed up to and including, the date of termination or as may be otherwise agreed to in writing between the Board of Directors and the Consultant. 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 The District and Consultant understand and agree that the laws of the State of Califomia 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 municipal, superior or federal district court with jurisdiction over the Costa Mesa Sanitary 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 21 AUTHORITY TO EXECUTE THIS AGREEMENT The person or persons executing this Agreement on behalf of Consultant warrants and represents that he/she has the authority to execute this Agreement on behalf of the Consultant and has the authority to bind Consultant to the performance of its obligations hereunder 22. 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. IN WITNESS WHEREOF the parties hereto have caused this Agreement to be executed the day and year first above written. COSTA MESA SANITARY DISTRICT CONSULTANT It 419 • i �,� President Signature Secretary APPROVED AS TO FORM: alid4/1 District Counsel O 8 EXHIBIT A Job Description COSTA MESA SANITARY DISTRICT DISTRICT ENGINEER I. RETAINER FEE SERVICES A. Administrative Functions 1 Provide engineering counsel for the Board of Directors, staff other public agencies, and the public. 2. Attend, as requested by General Manager regularly scheduled District agenda and Board meetings. 3. Prepare letters in response to inquiries, questionnaires, or surveys regarding District's facilities, policies and procedures, or ordinances. 4 Confer with District staff and maintenance personnel for daily engineering and assistance. 5. Confer with contractors, developers, engineers, public IDagencies and the public regarding existing sewer location and proposed sewer construction. 6. Prepare and submit on a year-end basis fixed asset and inventory reports. Assist in maintaining a fixed asset record file and an inventory of facilities. Assist staff and auditors with fixed asset audit. 7 Prepare and submit required information in a timely fashion. 8 Prepare and submit cash flow analysis for District CIP projects. 9 Prepare and submit Capital Improvement Action Request forms for all approved projects. 10 Prepare and submit, as requested by General Manager proposed Capital Improvement Program with detailed descriptions and justifications for inclusion in the next year's Preliminary Budget. 1 11 Prepare and submit, as requested by General Manager final Capital Improvement Program incorporating all changes requested by the Board for inclusion in the Final Budget. 12. Understand and implement all provisions of State of California Waste Discharge Requirements (WDR). B Engineering Functions 1 Prepare and maintain up-to-date District boundary records including District map showing current boundary 2. Maintain and update an overall District annexation map showing annexation number and area. 3. Maintain and update engineering data, records, pump station information, and CMSD Standard Plans and Specifications for the Construction of Sanitary Sewers. 4 Prepare responses to mandatory requests from state, county and federal agencies and respond in writing to other local agencies regarding sewer availability O 5. Review proposed developments for effect on District facilities and submit appropriate conditions to be placed on those developments. 6. Prepare and submit to Board a monthly Project Status Report briefly detailing the status of each District capital project. Respond to public inquiry over the purpose scope and timing of each capital project. 7 Respond to sewer emergencies such as force main rupture or main line blockage. II. HOURLY FEE SERVICES A. Plan Checking 1 Review plan check, and sign plans for all sewer construction proposed by developers or other entities within public right- of-way public easements, or on private property Understand industry standard public works sewer design and private property sewer design in accordance with the California Plumbing Code. Upon completion of construction, 2 as-built sewer plans and add CMSD sewer information to District's sewer atlas. 2. Determine inspection, plan check, and connection charges for all new development. 3 Receive review and process right-of-way descriptions, maps and easements for public and private developments. Preparation of right-of-way documents, easements and right- of-way acquisitions for District projects are a separate cost and are charged against the particular capital improvement project when budgeted and authorized by the Board. 4 Prepare District annexation documents, maps, and descriptions, and submit to District staff for processing new annexations. 5 Review annually and update as necessary the Capital Improvement Program Master Plan through, but not limited to flow characteristics, major private developments, and land use changes in effect. 6 Prepare written updates, when appropriate, of the District's Sewer System Management Plan (SSMP) as required under the State of California Waste Discharge Requirements (WDR.) Perform self-audits in accordance with WDR schedule. 7 Update pumping station head curves and operating points upon purchase of new pumps. 8. Consult with Maintenance Supervisor regarding issues found in field. Initiate miscellaneous sewer work as appropriate to resolve matters. 9 Continue developing CMSD's long-term sewer planning to prepare for time when sewer lines reach their life expectancy Attend, as requested by General Manager CMSD strategic planning interviews, planning sessions, and workshops. 10 Work to resolve emerging issues of concern such as infiltration and inflow (I/I) and calcium in sewer mains and laterals. 3 11 As requested by General Manager assist in preparing ® contracts for sewer cleaning, pumping station maintenance, root control, cockroach control, or work by consultants. 12. As requested by Board of Directors or General Manager attend special meetings or perform work on special projects such as sewer transfers. B. Construction Inspection 1 Review inspect and approve sewer main construction in District by City County State and private developer construction projects. 2. Review inspect and approve all sewer lateral construction in District from the property line to the main line for all development in Newport Beach and unincorporated Orange County 3. Review inspect and approve all sewer lateral construction in District from just outside the building on private property to the main line for all development in the City of Costa Mesa. 4 Review and inspect all utility or street construction projects in the vicinity of or that impacts, District facilities. 5 Field mark the location of all District owned pressure sewer mains as required in response to Underground Service Alert notification. 6 Assist contractors and homeowners in locating existing gravity mains, force mains, and sewer laterals. 7 Respond to emergency sewer problems and assist in controlling emergencies. 8. Interface with CMSD sewer maintenance crews and contractors in the cleaning and maintaining of District facilities. C District Initiated Capital Improvement Projects 1 Upon authorization by Board on a per project basis, complete design phase of each capital improvement project including providing the necessary engineering services to 4 prepare complete project plans and specifications, assisting ® in advertising said projects for bid, reviewing bids and making recommendations to Board for award of project. 2. Upon authorization by Board on a per project basis, administer inspect and review the construction of each capital project as completed by District selected contractor including, but not limited to, holding pre-construction meetings, reviewing contractors schedule and performance, providing construction staking, inspecting and reviewing contractor's work, reviewing and approving monthly progress payments and performing liaison with public. 10 7/04/09 S 5 tArlIDu I 0 ROBIN B. HAMERS as ASSOC., INC. 234 E. 17TH ST SUITE 205 CIVIL ENGINEERS PLANNERS SURVEYORS COSTA MESA, CA 92627 since 1981 Phone 949/548-1192 OFax 949/548-6516 Revised June 16, 2009 Revised May 28, 2009 May 11 2009 Board of Directors Costa Mesa Sanitary District 628 W 19TH Street Costa Mesa, CA 92627 RE. Proposed Rates and Re-Structuring for District Engineering Work Dear Board Members. Enclosed is a request for a compensation increase for the engineering rate provided to the District and a request for consideration of work hours. The current rate of $85 00 per hour has become so low it is difficult retaining professional engineers. It is requested the existing rate of$85.00/hr be increased to $92.00/hr Please see ® the chart below As has been true throughout the 28 years of being the District Engineer and the 17 years of being the Manager the rates charged the District are substantially below the regular rates charged by this firm. For instance civil engineering is normally charged at $150 00 per hour which is 63% higher than the proposed new engineering rate of $92.00 per hour Please also note, the industry standard rate for a professional engineer with equivalent experience in engineering is in excess of$225 00/hour Also being requested is re-structuring the District Engineer's billings to the District. Please see the following regarding the number of regular monthly meetings and services to the District as well as the attached CMSD resolution regarding the District Engineer's job description. Previous to this date, many of the regularly occurring monthly meetings were covered in Manager hours billed to the District. Current Monthly Retainer $1 400 Available hours = $1 400 / $92/hr = 15.2 hours/month Current Monthly Meetings Agenda Review 2 hours Regular Board Meeting 3 Sewer System Committee 1 5 • WDR Steering Committee 2 Board of Directors June 16, 2009 W O DR General Group Meeting 2 Sewer System Sub-Committee 1 City Utilities Coordination Meeting 1 Total 12.5 hours Therefore, only 15.2 — 12.5 = 2.7 hours are available each month for the following items: 1 Update CMSD WDR Sewer System Management Plan (40 hours per year) 2. Oversee Project #164 Miscellaneous Sewer Work (2 hours/week) 3 Update Pumping Station operating points after new pumps are purchased (4 hours/month) 4 Consult with Maintenance Supervisor regarding issues found in field and resolution of matters (2 hours/week) 5 Attend Strategic Planning Sessions (16 hours every 2 years) 6 Attend CMSD Special Meetings (2 hours every 3 months) ® 7 Work on I/I and other emerging sewer concerns (2 hours/week) 8. Participate in ad-hoc meetings such as with CR&R to consider CMSD's participation in Perris anaerobic recycling plant (4 hours/month) 9 Work on projects such as OCSD Transfer of Sewers to CMSD (8 hours/month) 10 Review contracts such as Sewer Main Maintenance Cleaning Contract (4 hours/month) 11 Attend District Yard LEED meetings and contractor selection process meeting (4 hours/month) 12.Provide assistance if requested by Interim Manager or new Manager (4 hours/week) 13 Items Al —All (except A2) and Bl-B8 of the attached Resolution (4 hours/month) It is estimated Items 1 13 above can be accomplished in approximately 17 5 hours per week. Therefore, it is proposed for Board consideration to approve accomplishing Items 1 13 above at the Engineering hourly rate of$92/hr not to exceed 15 hours/week. ID 2 Board of Directors June 16, 2009 Current Rate Proposed Rate Total 2 year Per Year Increase Increase Engineering $ 85 00/hr 92.00/hr 8.2% 4 1% Draftsman 65.00/hr 65 00/hr 0% 0% Inspector 60 00/hr 60 00/hr 0% 0% Retainer 1 400 00/mo 1 400 00/mo 0% 0% 2 Man Survey Crew 220.00/hr average union rate 4.5% 2.3% (currently $230) Alan Burns relayed a request from the Board of Directors to have RBH, Inc. carry professional liability insurance (errors and omissions insurance) for the work performed for the District. Because the District is covered under the SDRMA policy past practice was not to have separate insurance for CMSD work with the savings passed on to the District in the form of ® lower rates. Based on the estimated yearly hours and quoted premium for covering the scope of services provided to the District, the Engineering and Inspector rates are proposed as follows: Engineering $ 96.50 Inspector 64 50 Thank you for your consideration of the above. Sincerely 1l /r" Robin B. Hamers, PE President ID 3 EXHIBIT `C' 0 ROBIN B. HAMERS es ASSOC., INC. 234 E. 17TH ST SUITE 205 CIVIL ENGINEERS PLANNERS SURVEYORS COSTA MESA, CA 92627 since 1981 ® Phone 949/548-1192 Fax 949/548-6516 Revised June 28, 2009 May 26, 2009 Board of Directors Costa Mesa Sanitary District 628 W 19th Street Costa Mesa, CA 92627 RE. Engineering and Inspection Budget Beginning July 1 2009 Dear Board Members: Enclosed please find the forthcoming labor distribution beginning July 1 2009 in accordance with the regular meeting held May 20, 2009 At the meeting, the Board restored the total plan check and inspection budget, including the sewer lateral assistance program, for RBH, Inc. to $200,000 At the previous level of$120,000, there were insufficient funds to properly cover the volume of work (for example, inspection was limited to six hours per day thereby requiring the Maintenance Supervisor to perform two hours per day of inspection.) TOTALS with revised total allocation of$200,000- Engineer Plan Check 8.75 hrs/wk @ $96.50/hr= $ 43,907.50 per year Engineer Sewer Lateral Assistance 1.00 hrs/wk @ $96.50/hr= 5,018.00 Inspection 45.00 hrs/wk @ $64.50/hr= 150,930.00 Total $199,855.50 per year Please note, the draftsman hours for updating the Sewer Atlas, which was last updated in October 2006. were removed from the budget, but a separate proposal for the work was provided to the Assistant Manager as requested. The undersigned appreciates the Board's decision to restore the plan check and inspection budget to a workable level that protects the District. Sinnerely /*- Robin B. Hamers, PE President ID EXHIBIT 'D' l' ROBIN B. HAMERS & ARSSOCSURV EI., NCORS. 234 E. 17TH ST SUITE 205 CIVIL ENGINEERS PLANNERS COSTA MESA, CA 92627 since 1981 Phone 949/548-1192 Fax 949/548-6516 July 12, 2009 Proposal for 5-year Agreement for Civil Engineering Services Being requested is a 5-year agreement that provides stability and protection for the Costa Mesa Sanitary District. The agreement provides the District the following significant benefits: • Insures High Quality Engineering and Inspection Services 30-years of Proven Effectiveness with the CMSD Includes Succession Planning and Training Guarantee of Below Market Engineering Costs Flexible Termination Provisions ID The intent is to provide the pertinent provisions herein with the legal language to be mutually agreed upon in a formal agreement. IP EXHIBIT 'E' 0 1. High Quality Key Engineers and Inspectors Robin B. Hamers, PE Rob Hamers has successfully served as the District Engineer for the Costa Mesa Sanitary District since 1981 During this 28-year period, Rob has successfully managed the sewer system to the degree of earning the District a sterling reputation in the industry and particularly with Ken Theisen of the Santa Ana Regional Water Quality Control Board. Mr Theisen complimented Mr Hamers Sewer System Management Plan(SSMP) and referred to the plan as an example for other agencies. Highlights of Mr. flamers tenure include creating a long term sinking fund to provide funding when the sewer system reaches its life expectancy• creating an earthquake/major emergency fund; continually updating the Sewer Master Plan; writing the Sewer System Management Plan and successfully bringing the District into compliance with the State Water Resources Control Board's Waste Discharge Requirements (WDR) resulting in the Districts earning its reputation. Mr Hamers takes a proactive approach to sewer repairs as he recognizes that problems in the system, such as hotspots, require significant field crew time and expense. Mr Hamers continually meets with the CMSD Maintenance Supervisor Karl Dulake to structurally correct hotspots and other problem areas. Mr Ranters regularly receives comments of appreciation from developers, engineers, other agencies, and residents participating in the sewer lateral assistance program for immediate, effective, and friendly service. Mr Hamers also has high standing in the region as a key member of the Orange County WDR Steering Committee and General Group and runs the WDR education program that includes an education seminar every three months to benefit the furtherance of proper sewer system management. Engineers from Los Angeles County Sanitation District (LACSD) are frequent attendees at Mr Hamers education seminar Joseph P Sinacori, II, PE Mr. Sinacori is very young but highly experienced and has designed the $2 million CMSD Irvine Pumping Station Relocation and the $1 1 million CMSD Bristol Street Sewer Replacement in addition to other projects. Mr Sinacori is being trained in all District matters and will soon have the capability to 2 4) stand in for Mr. Hamers. This training provides the District flexibility and security over the future. Mr Sinacori has excellent writing skills and is a candidate for future District Engineer Michael Benesh, PE, LS Mr Benesh is both a Professional Engineer(PE) and Licensed Land Surveyor (LS) and has a long history with the District having designed many CIP projects in addition to work on the District's Sewer Master Plan. emergency response plans, conversion of the older pumping stations to submersible, and other critical items. Mr Benesh is particularly familiar with all 20 District pumping stations and is an experienced and talented civil engineer Mr. Benesh also has excellent writing skills. Paul Guzman, Senior Inspector Mr Guzman has been with Rob Hamers from the beginning and has unparalleled system knowledge in addition to his inspection capabilities. Mr Guzman has personally inspected every District project since 1981 thereby insuring proper installation and long life expectancy Mr Guzman also works in planning and design of new improvements such as the West Side Pumping Station Abandonment and the OCSD II Transfer of Sewers to CMSD Mr Guzman is an expert in sewer pipeline and pumping station design, construction, and maintenance. Joseph Limon, Inspector Mr Limon has been with Rob Hamers for five years and is familiar with the entire District sewer system. In order to protect the District and pass on the particulars of the system, both District Engineer Rob Hamers and Senior Inspector Paul Guzman have been mentoring Mr Limon. Mr Limon can inspect District CIP projects as well as Sewer Lateral Assistance work 3 II. Below Market Costs The proposal includes four years of no cost increases with a 9% increase in year five. This equates to a 1.8% yearly increase over the five years. Years 1-4 Year 5 Yearly Increase Current Market Rate Retainer $1 400/mo. $1,530 1.8% N/A Engineer $96.50/hr. 105/hr 1.8% $175/hr Draftsman $65 00/hr 71/hr 1.8% $105/hr Inspector $64.50/hr 70/hr 1.8% Senior $85/hr Regular $75/hr ® Survey Crew average hourly union rate proposed for each year ID 4 III. Flexible Termination Provisions Robin B. flamers desires to remain as the District Engineer for at least the next 15 years, which would equate to 43 years of continuous service. As shown in the key personnel descriptions, the firm is providing exceptional engineers, inspectors, and dedicated services. To provide stability and protection for the District, RBH, Inc. proposes to continue providing these high quality services while also providing a flexible termination procedure that protects the District in the event of criminal behavior or other wrong doing while also allowing RBH, Inc. the ability to properly wind down services to the District if so desired by the Board of Directors. Termination Options 1. In the event of criminal behavior resulting in a felony by Mr Hamers, immediate termination without compensation. 2. Standard Termination of six months notice allowing RBH, Inc. to continue working while ID providing the timeframe to wind down services and provide a smooth transition to the new District Engineer 3. Short Term or Immediate Termination equal to payment of the sum of the past three monthly billings (currently approximately $95,000.) This allows for the continued payment of the additional rent, insurance,computer hardware and software, overhead, and other expenses related to providing comprehensive services to the District while a winding down process occurs. ID 5 ACORD CERTIFICATE OF LIABILITY INSURANCE OP ID AZ DATE(MM/DD/YYVY) ROBIN-3 08/19/09 PRODUCER it E C E IV EIrHIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE (PA)He f fernan Prof Practices 2009 HOLDER.THIS CERTIFICATE DOES NOT AMEND,EXTEND OR 1808A Embarcadero Rd AUG 2 4 2009 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. Palo Alto CA 94303 ne 650 842 5200 Fax 650 842 SEBBTd h4FSASANUARI UJSIOURERSAFFORDING COVERAGE /� y��NAIC# ED INSURER A. e1e ope ty Ce &icy n `tF ,I 25674 INSURERB One Beacon America tAi/Coy—�,I 21970 Inbin B Hamers & Associates INSURERC Argonaut Insurance Company11 234 E 17th Street Suite 205 INSURER D. Costa Mesa CA 9262J7 — INSURER E COVERAGES THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED NOTWITHSTANDING ANY REOUIREMENT TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN,THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,EXCLUSIONS AND CONDITIONS OF SUCH POLICIES AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS INSR'ADD" POLICY€FFEZTIVETPDOCTEXPIRATION LTR INSR TYPE OF INSURANCE POLICY NUMBER DATE(MM/DD/YY) I DATE(MM/DD/YY) LIMITS GENERAL LIABILITY EACH OCCURRENCE $ 1,000,000 -DAMAGETUH NIEU A X COMMERCIAL GENERAL LIABILITY 6808291N502 06/01/09 06/01/10 PREMISES(Ea occurence) $ 1,000, 000 CLAIMS MADE X OCCUR MED EXP(Anyo pe n) $ 10,000 PERSONAL 8ADV INJURY $ 1,000,000 GENERAL AGGREGATE $ 2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER PRODUCTS COMP/OP AGG $ 2,000,000 POLICY IA JECT PRO- LOC AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT $ 1 000 000 A 1 ANY AUTO 6808291N502 06/01/09 06/01/10 (Eaa¢'denp ALL OWNED AUTOS BODILY INJURY $ SCHEDULED AUTOS (Pe Per n) X HIRED AUTOS BODILY INJURY X NON-OWNED AUTOS (Pe adenl) $ PROPERTY DAMAGE $ (Pe cdenl) ipGARAGE LIABILITY AUTO ONLY EA ACCIDENT $ ANY AUTO OTHER THAN EA ACC` AUTO ONLY AGG $ EXCESS/UMBRELLA LIABILITY EACH OCCURRENCE 5 OCCUR a CLAIMS MADE AGGREGATE $ $ DEDUCTIBLE I $ RETENTION S $ WORKERS COMPENSATION AND X TORY LIMITS DI ER B EMPLOYERS'LIABILITY 4060168740002 03/23/09 03/23/10 E L.EACH ACCIDENT $ 1,000, 000 ANY PROPRIETOR/PARTNER/EXECUTIVE OFFICER/MEMBER EXCLUDED? E L DISEASE EA EMPLOYEE $ 1,000,000 U yes,descnbe under — SPECIAL PROVISIONS bolo E L DISEASE POLICY LIMIT $ 1,0 00,0 00 OTHER C Professional IAE108040 07/27/09 07/27/10 Per Claim $500 000 Liability Aggreagte $500,000 DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES/EXCLUSIONS ADDED BY ENDORSEMENT/SPECIAL PROVISIONS All operations of the Named Insured *10 Day Notice for Non Payment of Premium CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF THE ISSUING INSURER WILL La w..,.......JMAIL 30* DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT.flU, r,eLunE-,,Du tO 3,ALL Costa Mesa Sanitary District 628 W 19th Street 9ePoes...mitt. Costa Mesa CA 92627 AUTHOR NTATIVE ACORD 25(2001/08) ©ACORD CORPORATION 1988