HomeMy WebLinkAbout1997-088J \WPD0CS\0RD\RK1DAILY ORD
ORDINANCE NO. 9 % - 099
AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE A PROFESSIONAL
SERVICES AGREEMENT (FOR DAILY SERVICES) WITH RESOURCE MANAGEMENT
INTERNATIONAL ("RMI") PROVIDING FOR CONSULTING SERVICES RELATED TO
ELECTRIC RESTRUCTURING; AUTHORIZING THE EXPENDITURE OF FUNDS
THEREFOR; AND PROVIDING AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION I. That the City Manager is hereby authorized to
execute a professional services agreement providing for daily
services for consulting services related to electric restructuring
with Resource Management International ("RMI"), a copy of which
agreement is attached hereto and incorporated herein.
SECTION II. That the expenditure of funds as provided in the
attached agreement is hereby authorized.
SECTION III. That this ordinance shall become effective
immediately upon its passage
PASSED AND APPROVED this
ATTEST•
JENNIFER WALTERS, CITY
and approval.
the t day of % J , 1997.
JA R MILLER, MAYOR
BY: C
APPRO ED AS TO LEGAL FORM:
HERBERT L. PROUTY, CITY ATTORNEY
BY: "A I a
V
STATE OF TEXAS
COUNTY OF DENTON
PROFESSIONAL SERVICES AGREEMENT
THIS AGREEMENT is entered into this � t day of
2hA& �c=: , 1997 by and between Resource Management
International, Inc ("RMI"), a California corporation, and the City
of Denton, Texas ("City"), a Texas municipal corporation with its
principal office at 215 East McKinney Street, Denton, Texas, 76201,
for professional and related service to be provided to City, both
parties acting by and through their duly authorized representa-
tives
I
SCOPE OF SERVICES
RMI shall provide to City professional consulting services
pertaining to electric utility restructuring RMI and the City
agree that, because of the unpredictability and urgency of Public
Utility Commission ("PUC") and Texas legislative events impacting
upon the City's electric utility requiring immediate attention by
City staff, RMI shall provide such professional services and
technical support, upon City's request, which shall relate to PUC
and Texas legislative activities relating to electric restructuring
as well as other issues evolving therefrom and related thereto,
including without limitation, power marketing issues, stranded cost
issues, pricing issues, and TMPA issues
II
FEES FOR SERVICES
For services provided by RMI to City pursuant to this Agree-
ment, City shall pay RMI in accordance with the rates and charges
set forth in Exhibit A, "Fees for Services", attached hereto and
made a part of this Agreement for all purposes, provided however
such charges and rates shall not exceed $1,000 per day, and in the
aggregate, shall not exceed $25,000, unless the City agrees by an
amendment to this Agreement to increase the maximum fee for
services
III
BILLING AND PAYMENT
RMI shall submit a monthly statement to City setting forth the
amount due for services and itemizing amounts due for expenses
City shall pay the full amount of such statement within thirty (30)
days after receipt Any sums billed, not disputed in written form
setting forth specific exceptions and unpaid after thirty (30) days
from the date of receipt, shall be sub3ect to a late payment charge
equal to the lesser of one and one-half (1-1/2) percent or the
maximum rate permitted by law, for each month or fraction thereof
past due Nothing contained in this article shall require the City
to pay for any work which is unsatisfactory as reasonably deter-
mined by the Executive Director of Utilities for the City or which
is not submitted in compliance with the terms of this contract
Nor shall any late charge apply to any such unsatisfactory or
disputed work The City shall not be required to make any payments
to RMI when RMI is in default under this Agreement
IV
T CONTRACTOR
RMI shall provide services to City as an independent contrac-
tor, not as an employee of City RMI shall not have or claim any
right arising from employee status RMI agrees to perform the
services hereunder in connection with the project as stated in the
sections to follow with diligence and in accordance with the
highest professional standards obtained for such services in the
State of Texas
V
TERM AND TERMINATION OF
(a) Unless otherwise terminated as provided herein, this
Agreement shall become effective upon execution by the parties and
shall terminate when (i) the services provided for herein have been
fully and completely performed or (ii) December 31, 1998, whichever
occurs first This Agreement may be sooner terminated in accor-
dance with the provisions hereof Time is of the essence in this
Agreement RMI will make all reasonable efforts to complete the
services set forth herein as expeditiously as possible to meet the
schedule established by the City
(b) Notwithstanding any other provision of this Agreement,
either party may terminate this Agreement by giving thirty (30)
days advance written notice to the other party
(c) This Agreement may be terminated in whole or in part in the
event of either party substantially failing to fulfill its
obligations under the Agreement No such termination will be
affected, unless the breaching party is given (1) written notice,
delivered by certified mail, return receipt requested, of intent to
terminate, and not less than thirty (30) calendar days to cure the
failure, and (2) an opportunity for consultation with the terminat-
ing party prior to termination
(d) If the Agreement is terminated prior to completion of the
services to be provided hereunder, RMI shall immediately cease all
services and shall render a final bill for services to City within
thirty (30) days after the date of termination, and City shall pay
RMI for all services properly rendered and reimbursable expenses to
Professional Services Agreement - Page 2
termination incurred prior to the date of termination in accordance
with Section III Should the City subsequently contract with a new
consultant for continuation of services on the project, RMI shall
cooperate in providing information All documents prepared or
furnished by RMI pursuant to this Agreement shall become the
property of owner, but RMI may maintain copies of such documents
for its use
VI
INSURANCE
(a) RMI shall maintain in effect at its own expense, employer's
liability insurance, one million dollars ($1,000,000) aggregate of
comprehensive general liability insurance (bodily injury and
property damage), five hundred thousand dollars ($500,000)
aggregate of comprehensive automobile liability insurance (bodily
injury and property damage) with respect to employees and vehicles
assigned to the prosecution of work under this Agreement, and one
million dollars ($1,000,000) aggregate of professional liability
insurance RMI shall also maintain statutory worker's compensation
insurance
(b) RMI shall obtain and thereafter maintain in effect, if
available, such additional insurance as may be requested in writing
by City, the cost of which will be reimbursed by City
(c) RMI shall furnish insurance certificates to evidence such
coverages to City The City shall be named as an additional
insured on such policies The certificates shall contain a
provision that such insurance shall not be canceled or modified
without thirty (30) days prior written notice to City
VII
LIABILITY
(a) RMI shall indemnify and hold harmless City, its directors,
officers, partners, agents, and employees from and against any and
all liability, claims, demands, damages, losses, and expenses,
including but not limited to attorney's fees, for which RMI is
determined to be legally liable resulting from negligent acts,
errors, or omissions by RMI, its directors, officers, agents and
employees in performance of services required by this Agreement
Liability, claims, demands, damages, losses, or expenses resulting
from the negligent acts, errors or omissions, whether active or
passive, by City, its directors, officers, partners, agents,
employees, are excluded from RMI's obligations pursuant to this
paragraph
(b) RMI's obligations to indemnify and hold City harmless shall
be expressly limited to the proceeds of its applicable insurance
coverage
Professional Services Agreement - Page 3
(c) In the event that City changes in any way or uses in
another project or for other purposes any of the information or
materials developed by RMI pursuant to this Agreement, RMI is
released from any and all liability relating to their use in that
project and to the extent allowed by law, City shall indemnify and
hold harmless RMI, its directors, officers, agents, and employees
from and against any and all liability, claims, demands, damages,
losses, and expenses, including but not limited to attorney's fees,
arising out of such changes or use
(d) Nothing in this Agreement shall be construed to create a
duty to, any Standard of care with reference to , or any liability
to any person not a party to this Agreement
VIII
SUCCESSORS IN INTEREST
This Agreement shall be binding on, and inure to the benefit
of, each party's successors in interest, including their heirs,
legatees, assignees, and legal representatives
IX
WAIVER
Any waiver at any time by either party of its rights with
respect to a default under this Agreement, or with respect to any
other matters arising in connection with this Agreement, shall not
be deemed a waiver with respect to any subsequent default or other
matter
X
SEVERAL OBLIGATIONS
Except where specifically stated in this Agreement to be
otherwise, the duties, obligations, and liabilities of the parties
are intended to be several and not joint or collective Nothing
contained in this Agreement shall be construed to create an
association, trust, partnership, or joint venture or impose a trust
or partnership duty, obligation, or liability on or with regard to
either party Each party shall be individually and severally
liable for its own obligations under this Agreement
XI
All changes or modifications to this Agreement shall be in
writing and Signed by both parties
Professional Services Agreement - Page 4
XII
GOVERNING LAW
This Agreement shall be construed and interpreted according to,
and the rights of the parties shall be governed by, the laws of the
State of Texas Venue of any suit or cause of action under this
Agreement shall lie exclusively in Denton County, Texas
XIII
ATTORNEY'S FEES
If either party becomes involved in litigation arising out of
this Agreement or the performance thereof, the prevailing party
shall be entitled to reasonable attorney's fees, costs and
expenses, in addition to any other relief to which that party may
be entitled This provision shall be construed as applicable to
the entire Agreement
XIV
ENTIRE AGREEMENT
This agreement constitutes the complete and final expression of
the agreement of the parties and is intended as a complete and
exclusive statement of the terms of their agreements and supersedes
all prior and contemporaneous offers, promises, representations,
negotiations, discussions, communications, and agreements which may
have been made in connection with the subject matter hereof
XV
SEVERABILITY
If any provision of this Agreement is found or deemed by a
court of competent jurisdiction to be invalid or unenforceable, it
shall be considered severable from the remainder of this Agreement
and shall not cause the remainder to be invalid or unenforceable
In such event, the parties shall reform this Agreement to replace
such stricken provision with a valid and unenforceable provision
which comes as close as possible to expressing the intention of the
stricken provision
XVI
NOTICES
(a) Any notice, demand, information, invoice, report, or item
otherwise required, authorized, or provided for in this Agreement,
unless otherwise specified herein, shall be deemed properly given
if delivered in person or sent by United States Mail, First Class
postage prepaid
Professional Servioae Agreement - Page 5
To RMI Resource Management International, Inc
P 0 Box 15516
Sacramento, CA 95852-1516
Copy to Resource Management International, Inc
8310 Capital of Texas Highway N, Suite 385
Austin, TX 78731-1026
To City Executive Director, Department of Utilities
City of Denton, Texas
215 E McKinney Street
Denton, TX 76201
(b) All notices shall be deemed effective upon receipt by the
party to whom such notice is given
XVII
RESPONSIBILITY FOR WORK
Approval by the City shall not constitute nor be deemed a
release of RMI, its employees, associates, agents, and consultants
for the accuracy and competency of their designs or other work
Nor shall approval be deemed to be an assumption of such responsi-
bility by the City for any defect in the work prepared by RMI, its
employees, subcontractors, agents, and consultants
XVIII
CAPTIONS
The captions of this Agreement are for informational purposes
only and shall not in any way affect the substantive terms or
conditions of this Agreement
XIX
SIGNATURE CLAUSE
The signatories hereto represent that they are authorized to
enter into this Agreement on behalf of the party for whom they
sign
City of Denton, Texas
i
Professional Services Agreement - Page 6
Resource Management
International, Inc
ATTEST
JENNIFER WALTERS, CITY SECRETARY
BY
APPROVED AS TO LEGAL FORM
HERBERT L PROUTY, CITY ATTORNEY
BY
�V'uu�
Professional Services Agreement - Page 7
SENT BY RMI Austin , 3- 5-07 , 2 06PM ,
RMI Austin-8173827823 # 2/ 2
EXHIBIT A
FEES FOR SERVICES
RESOURCh MANAGEMENT INTERNATIONAL, INC.
1997
Professional and support services, except for testimony, shall be billed at the following
rates
Managing Executive Consultant
$166 per hour
Principal Executive Consultant
$150 per hour
Executive Consultant
$142 per hour
Pritcipal Consultant
$131 per hour
Supervising Consultant
$116 per hour
Senor Consultant
$106 per hour
Associate Professional
$ 92 per hour
Analyst
Research Assistant
$ 81 per hour
$ 61 per hour
Technician
Office Services
$ 53 per hour
$ 49 per hour
The above rates shall be adjusted each year, commencing January 1,1998, to reflect the
change in rates officially established by the RMI Board of Directors
TeAtimony shall be billed at not less than eight (8) hours per day
Repraduchon, printing, Communications, computer services, and other miscellaneous
support services shall be billed at rates for such services as determined from time to
time and officially established by the RMI Board of Directors plus ten (10) percent
All travel, food, lodging, and miscellaneous expenses, except automobile mileage,
associated with the provision of services hereunder shall be billed at cosL Automobile
mileage shall be billed at $0 30 per mile
Client shall reimburse RMI for any applicable sales tax imposed on services rendered
by RMI to Client
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