Ordinance No. 11,983ORDINANCE NO. 11,983
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS,
AUTHORIZING AND DIRECTING THE CITY MANAGER TO EXECUTE A
CONTRACT FOR CONSULTING SERVICES WITH HAWES HILL CALDERON
LLP, FOR SERVICES RELATED TO THE CREATION OF A PUBLIC
IMPROVEMENT DISTRICT; AUTHORIZING PAYMENT BY THE CITY OF
BAYTOWN IN AN AMOUNT NOT TO EXCEED THIRTY -FIVE THOUSAND FIVE
HUNDRED AND NO /100 DOLLARS ($35,500.00); MAKING OTHER PROVISIONS
RELATED THERETO; AND PROVIDING FOR THE EFFECTIVE DATE THEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS:
Section I: That the City Council of the City of Baytown, Texas, hereby authorizes and
directs the City Manager to execute a Contract for Consulting Services with Hawes Hill Calderon LLP,
for services related to the creation of a public improvement district. A copy of said agreement is attached
hereto, marked Exhibit "A," and made a part hereof for all intents and purposes.
Section 2: That the City Council of the City of Baytown authorizes payment to Hawes Hill
Calderon LLP, in an amount not to exceed THIRTY -FIVE THOUSAND FIVE HUNDRED AND
NO /100 DOLLARS ($35,500.00) in accordance with the contract authorized in Section 1 hereof.
Section 3: That the City Manager is hereby granted general authority to approve a decrease
or an increase in costs by FIFTY THOUSAND AND NO /100 DOLLARS ($50,000.00) or less, provided
that the amount authorized in Section 2 hereof may not be increased by more than twenty-five percent
(25 %).
Section 4: This ordinance shall take effect immediately froo and after its passage by the
City Council of the City of Baytown.
INTRODUCED, READ and PASSED by the affirmative y6te of the City Council of the City of
Baytown this the 26'" day of July, 2012. Za =
ATTEST• -, ;�1 j0 ���
ST PHEN H. DONCARLOS, Mayor
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NACIO RAMIREZ, SR., City me
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Exhibit "A"
AGREEMENT BY AND BETWEEN
CITY OF BAYTOWN AND
HAWES HILL CALDERON LLP
This agreement is made by and between the City of Baytown (the "Client") and Hawes Hill Calderon LLP (the
"Contractor ").
Lnlifi�l�3�;�
WHEREAS, the Client desires that the Contractor provide it with certain professional services related to the
creation of a public improvement district; and
WHEREAS, the Contractor has the employees, office operations, and knowledge to ably provide the
professional services required by the Client; and
NOW THEREFORE, for and in consideration of the premises and mutual covenants and agreements herein
contained, it is agreed as follows:
Engagement of Contractor
The Client hereby engages the Contractor, and the Contractor hereby agrees to provide, furnish, or perform
certain professional services with respect to the creation of a public improvement district, including the services
described on Exhibit A, annexed hereto and incorporated herein for all intents and purposes. Such services herein
collectively referred to as the "Services."
II.
Compensation and Reimbursement to Contractor
For and in consideration of the professional services to be performed by the Contractor specified in Exhibit
"A," Scope of Professional Consulting, of this Agreement, the Client agree to pay the Contractor a fixed fee of THIRTY -
FIVE THOUSAND AND NO /100 DOLLARS ($35,000.00) to be paid in the following manner:
SIGNING OF CONTRACT $ 5,000.00
THE DATE CITY COUNCIL PASSES CREATION RESOLUTION $15,000.00
THE DATE THAT COUNCIL APPROVES SERVICE & ASSESSMENT PLAN & LEVIES ASSESSMENT $15,000.00
TOTAL
$35,000.00
Payment will be due within thirty (30) days of receipt of an invoice or completion of each event specified
hereinabove, whichever is later.
Reimbursable out -of- pocket expenses and other expenses and charges incurred by the Contractor in
performing the Services under this Agreement shall be made on a monthly basis upon submission by the Contractor
of invoices and other documentation setting forth such expenses and charges; provided, however, all expenses and
charges proposed to be incurred by the Contractor for the performance of the Services shall be subject to the Client's
prior written approval. The Schedule of Maximum Charges and Rates of Hawes Hill Calderon LLP for the performance
of the Services by the Contractor under this Agreement as set forth on Exhibit "B" attached hereto for reference are
hereby approved by the Client. The Client expressly disclaims any liability for and the Contractor agrees that the
Client shall not be liable for reimbursement to the Contractor of any amounts in excess of those approved in writing
by the Client. The parties agree that reimbursable expenses shall not exceed FIVE HUNDRED AND NO /100 DOLLARS
($500.00).
The Contractor shall tender to the Client a detailed invoice of the services performed and the allowable
reimbursable expenses incurred to the Client each month during the term of this Agreement. Payments for
professional services shall be rendered in accordance with the above payment schedule, and reimbursable expenses
incurred shall be made within 30 days after the Client receives Contractor's detailed invoice therefor. In the event of
a disputed or contested invoice, the Client may withhold any such disputed or contested amount without penalty.
III.
Right of Ownership
All data, information, maps, books, reports, files, photography, artwork, software, equipment, and materials
purchased, created or maintained by the Client or purchased, created or maintained by the Contractor on behalf of
the Client shall remain the property of the Client. It shall be clearly marked as property of the Client in such manner
that it may at any time be removed from the premises of the Contractor.
IV.
Laws to be Observed
In performing its obligations under this Agreement, the Contractor at all times shall observe and comply with
all federal and state laws, local laws, ordinances, orders, and regulations of the federal, state, county, or city
governments. The federal, state, and local laws, ordinances, and regulations which affect those engaged or employed
in the work, or the equipment used in the work, or which in any way affects the conduct of the work, shall be at all
times in effect, and no pleas of misunderstanding will be considered on account of ignorance thereof.
V.
Successors and Assigns
This Agreement shall bind and benefit the respective parties and their legal successors, and shall not be
assignable, in whole or in part, by any party hereto without first obtaining the written consent of the other party.
Nothing herein shall be construed as creating any personal liability on the part of any officer or director of the Client.
VI.
Character of Workers and Work
The This Agreement shall be for the sole and exclusive benefit of the parties hereto and shall not be
construed to confer any rights upon any third party. Contractor shall perform its obligations under this Agreement as
an independent contractor and not as an employee of the Client. The employees provided by the Contractor shall be
competent and careful workers skilled in their respective trades. In performing its obligations under this Agreement,
the Contractor shall not employ any person who engages in misconduct or is incompetent or negligent in the
performance of his or her duties. The Client retains the right to require the Contractor to remove from the
performance of services provided for under this Agreement any employee who engages in (1) unethical or
unprofessional conduct, (2) misconduct or other discourtesies toward the public, (3) conduct inconsistent with sound
business practices or (4) other conduct inconsistent with the performance of work in an acceptable manner and at a
satisfactory rate of progress to the Client. Nothing herein is intended to, and the parties agree that this Agreement
does not, create any third party beneficiary rights for any employee or other person. It is intended that any
employee who engages in any services provided for under this Agreement is an employee -at -will of the Contractor.
VII.
Conflict of Interest
In keeping with Contractor's duties to the Client, Contractor agrees that it shall not, directly or indirectly,
become involved in any conflict of interest, or upon discovery thereof, allow such a conflict to continue. Moreover,
Contractor agrees that it shall promptly disclose to the Client any facts that might involve any reasonable possibility
of a conflict of interest.
VIII.
Term and Termination
Either party may terminate this Agreement at any time by giving the other party at least 30 days' notice
thereof. If this Agreement is cancelled by Client, Client agrees to reimburse the Contractor for all fees and expenses
incurred in good faith that are unpaid at the time notice of termination is given, including all work products
completed or in- process, not to exceed the maximum amount payable for the unfinished task under this Agreement.
Upon delivery of notice of termination by the Client without cause, the Contractor shall discontinue all services in
connection with the performance of the Agreement. Within ten (10) days after receipt of the notice of termination,
the Contractor shall submit a final statement showing in detail the services satisfactorily performed and accepted and
all other appropriate documentation required herein for payment of services. At the same time that the final
statement is tendered to the Client, the Contractor shall also tender all of the Contractor's work product, whether
complete or not, in an acceptable form and format to the Client. No final payment will be made until all work product
is so tendered.
Either party shall have the right to terminate this Agreement if the other party is in default of any obligation
hereunder and such default is not cured within thirty (30) days of receipt of a written notice specifying such default.
In the event of such a termination, the Client shall reimburse the Contractor for all work that had been satisfactorily
completed prior to such termination. If Client terminates this contract for the default of the Contractor, the Client
shall be able to withhold from payment the sums reasonably necessary to complete the services left unperformed by
the Contractor.
The Client shall have a perpetual, nontransferable, paid -up right and license for purposes of its internal
business to use, copy, modify and prepare derivative works of the deliverable items developed by the Contractor in
the course of the Services pursuant to this Agreement, whether jointly or individually.
IX.
Amendment or Modification
Except as otherwise provided in this Agreement, this Agreement shall be subject to change, amendment, or
modification only upon the written consent of the parties hereto.
X.
Disclaimer of Political Support or Affiliation
The Client expressly disclaims any political support or affiliation with the Contractor. Further, the Client
prohibits the Contractor, and the Contractor hereby agrees to comply with such prohibition, from expending any
funds, directly or indirectly on any political candidate, cause, party, organization or activity.
XI.
General Provisions
A. Address and Notice. Unless otherwise provided in this Agreement, any notice, communication,
request, reply or advice (herein severally and collectively for convenience, called "Notice ") herein provided or
permitted to be given, made or accepted by any party to the other must be in writing and may be given or served by
depositing the same in the United States mail, postpaid and registered or certified and addressed to the party to be
notified, with return receipt requested, or by delivering the same to an officer of such party, or by prepaid telegram,
when appropriate, addressed to the party to be notified. Notice deposited in the mail in the manner hereinabove
described shall be conclusively deemed to be effective, unless otherwise stated in this Agreement, from and after the
expiration of three (3) days after it is so deposited.
Notice given in any other manner shall be effective only if and when received by the party to be notified.
However, in the event of service interruption or hazardous conditions, neither party will delay remedial action
pending the receipt of formal notice. For the purpose of notice, the address of the parties shall, until changed as
hereinafter provided, be as follows:
If to the Client, to
City of Baytown
Attn: City Manager
P.O. Box 424
Baytown, TX 77522
Fax: (281) 420 -6586
If to the Contractor, to
Hawes Hill Calderon LLP
10103 Fondren Road, Suite 300
Houston, Texas 77096
Fax: (713) 595 -1295
The parties shall have the right from time to time and at any time to change their respective addresses and
each shall have the right to specify as its address any other address, provided at least fifteen (15) days' written notice
is given of such new address to the other parties.
B. Regulatory Agencies. This Agreement shall be subject to all present and future valid laws, orders,
rules and regulations of the United States of America, the State of Texas, and of any regulatory body having
jurisdiction.
C. No Additional Waiver Implied. The failure of any party hereto to insist, in any one or more
instances, upon performance of any of the terms, covenants or conditions of this Agreement, shall not be construed
as a waiver or relinquishment of the future performance of any such terms, covenants or conditions by any other
party hereto, but the obligation of such other party with respect to such future performance shall continue in full
force and effect.
D. Modification. Except as otherwise provided herein, this Agreement shall be subject to change or
modification only with the mutual written consent of the parties hereto.
E. Captions. The captions appearing in this Agreement are inserted and included solely for
convenience and shall never be considered or given any effect in construing this Agreement or any provision hereof,
or in connection with the duties, obligations or liabilities of the respective parties hereto or in ascertaining intent, if
any question of intent should arise.
F. Severability. The provisions of this Agreement are severable, and if any provision or part of this
Agreement or its application thereto to any person or circumstance shall ever be held by any court of competent
jurisdiction to be invalid or unconstitutional for any reason, the remainder of this Agreement and the application of
such provisions or part of this Agreement to other persons or circumstances shall not be affected thereby.
G. Merger. This Agreement embodies the entire understanding and agreement between the parties,
and there are no prior effective representations, warranties or agreements between the parties. This Agreement
contains all the agreements of the parties relating to the subject matter hereof and is the full and final expression of
the agreement between the parties.
H. Construction of Agreement. The parties agree that this Agreement shall not be construed in favor
of or against any party on the basis that the party did or did not author this Agreement.
I. Insurance. The Contractor shall procure and maintain at its sole cost and expense for the duration of
the Agreement, insurance against claims for injuries to person or damages to property which may arise from or in
connection with the performance of the Work hereunder by THE CONTRACTOR, its agents, representatives,
volunteers, employees or subconsultants.
1. The Contractor's insurance coverage shall be primary insurance with respect to the Client, its
officials, employees and agents. Any insurance or self- insurance maintained by the Client, its officials,
employees or agents shall be considered in excess of the Contractor's insurance and shall not contribute to it.
Further, THE CONTRACTOR shall include all subconsultants, agents and assigns as additional insureds under
its policy or shall furnish separate certificates and endorsements for each such person or entity. All
coverages for subconsultants and assigns shall be subject to all of the requirements stated herein.
The following is a list of standard insurance policies along with their respective minimum
coverage amounts required in this Agreement:
a. Commercial General Liability
■ General Aggregate: $1,000,000
■ Products & Completed Operations Aggregate: $1,000,000
■ Personal & Advertising Injury: $1,000,000
■ Per Occurrence: $1,000,000
■ Fire Damage $50,000
■
Coverage shall be at least as broad as ISO CG 00 02 12 07
■
No coverage shall be deleted from standard policy without notification of
individual exclusions being attached for review and acceptance.
b. Umbrella
Liability
■
General Aggregate: $1,000,000
■
Per Occurrence: $1,000,000
C. Business Automobile Policy
■
Combined Single Limits: $1,000,000
■
Coverage for "Any Auto"
d. Errors and Omissions
■
Limit: $500,000 for this project.
■
Claims -made form is acceptable
■
Coverage will be in force for one (1) year after construction of the Project is
completed.
e. Workers' Compensation
■
Statutory Limits
■
Employer's Liability $1,000,000
■
Waiver of Subrogation required.
2. The following shall be applicable to all policies of insurance required herein.
a. Insurance carrier for all liability policies must have an A.M. Best Rating of B +:VIII or
better.
b. Only insurance carriers licensed and admitted to do business in the State of Texas
will be accepted.
C. Liability policies must be on occurrence form. Errors and Omissions can be on
claims -made form.
d. Each insurance policy shall be endorsed to state that coverage shall not be
suspended, voided, canceled or reduced in coverage or in limits except after thirty
(30) days' prior written notice by certified mail, return receipt requested, has been
given to the Client.
e. The Client, its officers, agents and employees are to be added as Additional Insureds
to all liability policies, with the exception of the Errors and Omissions Policy and
Workers' Compensation required herein.
f. Upon request and without cost to the Client, certified copies of all insurance policies
and /or certificates of insurance shall be furnished to the Client.
g. Upon request and without cost to the Client, loss runs (claims listing) of any and /or
all insurance coverages shall be furnished to the Client.
h. All insurance required herein shall be secured and maintained in a company or
companies satisfactory to the Client, and shall be carried in the name of the
Contractor. The Contractor shall provide copies of insurance policies required
hereunder to the Client on or before the effective date of this Agreement.
J. No Arbitration. Notwithstanding anything to the contrary contained in this Agreement, the Client
and the Contractor hereby agree that no claim or dispute between the Client and the Contractor arising out of or
relating to this Agreement shall be decided by any arbitration proceeding including, without limitation, any
proceeding under the Federal Arbitration Act (9 U.S.C. Sections 1 -14), or any applicable State arbitration statute,
including, but not limited to, the Texas General Arbitration Act, provided that in the event that the Client is subjected
to an arbitration proceeding notwithstanding this provision, the Contractor consents to be joined in the arbitration
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proceeding if the Contractor's presence is required or requested by the Client for complete relief to be recorded in
the arbitration proceeding.
K. Release. By this Agreement, the Client does not consent to litigation or suit, and the Client hereby
expressly revokes any consent to litigation that it may have granted by the terms of this Contract or any other
contract or agreement, any charter, or applicable state law. Nothing contained herein shall be construed in any way
so as to waive in whole or part the Client's sovereign immunity. The Contractor assumes full responsibility for its
work performed hereunder and hereby releases, relinquishes and discharges the Client, its officers, agents, and
employees from all claims, demands, and causes of action Of every kind and character, including the cost of defense
thereof, for any injury to or death of any person (whether they be either of the parties hereto, their employees, or
other third parties) and any loss of or damage to property (whether the property be that of either of the parties
hereto, their employees, or other third parties) that is caused by or alleged to be caused by, arising out of, or in
connection with the Contractor's work to be performed hereunder. This release shall apply with respect to the
Contractor's work regardless of whether said claims, demands, and causes of action are covered in whole or in part
by insurance.
L. Choice of Law and Venue. This Agreement shall in all respects be interpreted and construed in
accordance with and governed by the laws of the State of Texas and the City, regardless of the place of its execution
or performance. The place of making and the place of performance for all purposes shall be Baytown, Harris County,
Texas.
M. Authority. The officers executing this Agreement on behalf of the parties hereby represent that such
officers have full authority to execute this Agreement and to bind the party he /she represents.
N. Agreement Read. The parties acknowledge that they have read, understand and intend to be bound
by the terms and conditions of this Agreement.
0. Multiple Originals. It is understood and agreed that this Agreement may be executed in a number of
identical counterparts each of which shall be deemed an original for all purposes.
AGREED AND ACCEPTED THIS
On Behalf of the Contractor:
By:
Name: David W. Hawes
Managing Partner
Hawes Hill Calderon LLP
And on Behalf of Client:
DAY OF 12012.
By:
Name: Robert D. Leiper
City Manager
City of Baytown
Exhibit "A"
Scope of Professional Consulting Services
The services are broken down into three distinct goals: a) pre- creation activities, or those activities associated with
financial analyses and the development of petitions and related materials; b) the creation activities, or all actions
required by the statute in order to create the public Improvement district ( "PID "); and c) the creation and activation
of the PID Service and Assessment Plan and Assessment Rolls.
Pre - Creation Activities for Public Improvement District
• Prepare an initial analysis of the proposed PID area. The analysis will include: a) a complete review of all land
development plans in the proposed area; and b) existing land uses;
• Prepare a recommended boundary map of the area and related maps that set forth the proposed land uses,
utilities, infrastructure (current and proposed) and other CIP information (if available) for the PID;
• Prepare an ongoing financial analysis regarding PID revenue and cash flow as it relates to reimbursement of
capital costs, and revise as necessary;
• Prepare a petition to be signed by property owner of record requesting the creation of a public improvement
district. The petition will state: a) the general nature of the proposed improvements; b) the estimated costs of
the improvements; c) the boundaries of the proposed assessment district; d) the proposed method of
assessment, which may specify included or excluded classes of assessable property; e) the proposed
apportionment of cost between the public improvement district and the municipality as a whole; f)whether the
management of the district is to be by the Client, the private sector, or a partnership between the Client and the
private sector; g) that the persons signing the petition request or concur with the establishment of the district;
and h) that an advisory board may be established to develop and recommend an improvement plan to the
governing body of the Client;
• As needed, conduct meetings with elected officials /staffs of the Client regarding the PID creation /development
strategy. Provide financial impact information to each and work with any elected body committees to review the
proposed creation and how it will impact the Client's economic development goals and objectives; and
• Conduct a workshop (if necessary) with the City Council on the creation of the PID. Present the proposed
development strategy, the process for creating the PID and the administrative issues associated with
implementation of the service and assessment plan and serve as support staff to Client's staff in their role as
advisors to the elected leadership.
Creation of the Public Improvement District
• Prepare a public notice for the purpose of conducting a public hearing to create a PID. The notice will include: a)
the time and place of the hearing; b) the general nature of the proposed improvements; c) the estimated costs of
the improvements; d) the boundaries of the proposed assessment district; e) the proposed method of
assessment, which may specify included or excluded classes of assessable property; and f) the proposed
apportionment of cost between the public improvement district and the municipality as a whole;
• Assist the Client in conducting a public hearing on the advisability of creating a public improvement district;
• Prepare and deliver to the Client's Legal Department a resolution of "finding of Fact" to be adopted by the
governing body of the Client as to the advisability of the improvement; and
• Prepare and deliver to the Client's Legal Department a Resolution to be adopted by the governing body of the
Client authorizing the district in accordance with its findings as to the advisability of the improvement.
PID Service and Assessment Plan, Assessment Rolls
• Prepare an ongoing PID Service and Assessment Plan of at least five years that defines the annual indebtedness
and the projected costs for improvements;
• Prepare a proposed and final PID assessment role;
• Prepare a public notice, CAD certified mailing list, and provide copies of the service and assessment plan with the
notice for the Client's City Secretary for publication and transmittal to affected property owners for purpose of
conducting a public hearing to take testimony concerning the assessment roll;
• Prepare and deliver to the Client's Legal Department the service and assessment plan ordinance. The ordinance
will include all items required in Chapter 372 of the Local Government Code; and
• Prepare and deliver to the Client's Legal Department the assessment ordinance for the PID Plan. The ordinance
will include all items required in Chapter 372 of the Local Government Code,
Exhibit "B"
Schedule of Maximum Charges and Rates
Professional consulting fixed fee: $35,000.00
Out -of- pocket expenses including, without limitation, the following: actual cost
• prints, photocopies, reproductions, graphics, art supplies
• postage, deliveries
• posting, filing and submittal fees
• publication of public notices
• parking fees and tolls
• travel, lodging and incidentals
• city review fee
Automobile mileage directly attributable to this project shall be charged at the current rate allowable under Internal
Revenue Service regulations.
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