1987-0381724L
NO
AN ORDINANCE APPROVING AN AGREEMENT BETWEEN THE CITY OF DENTON
AND LUTZ, DAILY & BRAIN III, FOR ENGINEERING SERVICES, APPROVING
THE EXPENDITURE OF FUNDS THEREFORE, AND PROVIDING FOR AN EFFECTIVE
DATE
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS
SECTION I That the City Council hereby approves and auth-
orizes the Mayor and City Secretary to execute and attest,
respectively, the agreement between the City of Denton, and Lutz,
Daily ~ Brain III, providing for engineering services relating to
the installation of cogeneratlon £acllltles at North Texas State
University under the terms and conditions being contained in said
agreement which is attached hereto and made a part hereof
SECTION II That the City Council authorizes the expenditure
funds in the manner and amount as specified in the Agreement
SECTION III That this ordinance shall become effective
immediately upon ~ts passage and approval
PASSED AND APPROVED this the/~ay of ~, 1987
ATTEST
ACT~G CITY SECRETARY
CITY OF DENTON, TEXAS
APPROVED AS TO LEGAL FORM
DEBRA ADAMI DRAYOVITCH, CITY ATTORNEY
CITY OF DENTON, TEXAS
1724L
THE STATE OF TEXAS
COUNTY OF DENTON
AGREEMENT BETWEEN THE CITY OF
DENTON, TEXAS AND LUTZ, DALLY ~
BRAIN III FOR ENGINEERING SERVICES
This Contract, made and executed in duplicate th~s __ of
, 1987, by and between the City of Denton, Texas,
a municipal corporation, hereinafter called the City, and LUTZ,
DAILY ~ BRAIN III, Consulting Engineers, a general partnership of
Shawnee Mission, Kansas, P O Box 718, hereinafter called the
Engineer
WHEREAS, North Texas State University, which is located in
the City of Denton, is investigating the installation of
cogeneratlon facilities to furnish the campus heating and air
conditioning requirements and generate electrical power for
campus loads or for outside sales, and
WHEREAS, The City of Denton now serves the electrical require-
ments of the University campus and would be impacted by the loss
of the sales if the University generated their own electrical
requirements as the City would be required to furnish back-up to
the cogeneratlon plant The City would also be ~mpacted xf the
University arranged for the sale of the electrical power wheeled
through the City's electric system, and
WHEREAS, Contingent upon certain legal constraints, including
provisions of existing contracts, ~t appears desirable and
economically beneficial to the City to consider installing and
operating the cogeneratlon plant to £urnxsh the heating and air
conditioning and the electrical requirements for the University,
and
WHEREAS, The City has selected Lutz, Daily ~ Brain (Engineer)
to prepare a feasibility study for the projected cogeneratlon
facility and to estimate the delivered cost and revenue that
would be associated with the cogeneratzon plant and supporting
facilities, and
WHEREAS, The City desires to enter into Contract for Profes-
sional Bnglneerlng Services as required for the purposes above
stated, and the Engineer hereby offers Professional Engineering
Services as required for the work above,
WITNESSETH
That in consideration of the mutual covenants herein con-
tained, the City agrees to employ the Engineer to perform the
types of services herein after mentioned and agrees to pay them
for the services rendered according to the schedule of fees
herein contained
SECTION I
The services which the Engineer hereby agrees to perform are
as follows
A Cogeneratlon Feasibility Study at North Texas State
University
1 Task Description
Determine and evaluate the existing and pro3ected
heating and cooling loads and the load duration
curve for each parameter Determination will be
based on load data provided by North Texas State
University and previous studies
b
Determine the electrical base load and the pro3ected
load for the NTSU campus and evaluate the impact that
the replacement of the existing air conditioning
chiller equipment with more efficient equipment will
have on the load and load duration curve
Determine the present and pro3ected future gas
requirements for the heating and cooling of the
University Campus
d
Determine and evaluate local, state and federal
permit needs, plan the permitting function and
evaluate the likelihood of receiving the necessary
permits for the cogeneratlng facility
Determine the appropriate types of cogeneratlon
systems and evaluate the hot water chilled water
distribution system on the campus and prepare
estimates of construction cost
Evaluate various ownership and operations arrange-
ments for the cogeneratlon plant and the hot and
chilled water distribution systems
g
Perform an economic analysis of cogeneratlon plant,
the hot and chilled water distribution system and
the electrical supply system These analyses would
be made by developing a financial model and simula-
ting the operating results and cash flows for an
appropriate period into the future The financial
model would be able to test the sensitivity of
various financial ratios to such parameters as fuel
quantities, escalation rates, interest rates,
financing alternatives and ownership alternatives
PAGE 2
It would provide the base to determine the benefit
of the cogeneratlon facility to the City and the
University
h
Prepare a final report that would be presented to
the City with the Engineer's recommendations on how
the City should proceed with 1ts participation in a
cogeneratlon program at North Texas State University
B Other Engineering Services
During the term of this agreement, the Engineer shall
perform such other Engineering Services as the City of
Denton may request In writing regarding the utilities
system and any modification shall be reduced to writing
and made an addendum to this contract
SECTION II
The City agrees
A
To pay the Engineer for engineering work performed under
Section I-A a sum not to exceed $28,000 00 based on hourly
rates and expenses as hereinafter stipulated
1 The Engineer will charge the City at the following
hourly rates for personnel assigned and working on the
Pro3ect
Partners
Principal Engineers
Senior Design Engineers
Design Engineers
Engineering Technicians
Senior Draftmen
Draftmen
Stenos/Word Processing
Clerks
$42 41 per hour
28 85 per hour
22 67 per hour
19 26 per hour
15 89 per hour
15 33 per hour
14 52 per hour
11 10 per hour
9 56 per hour
plus 54 percent of the hourly rate for direct payroll
overhead, plus 94 percent of the hourly rate for
general and administrative overhead and profit, plus
printing cost of plans and other expenses at actual
cost, plus personal automobile expense at 22 cents per
m~le
It is understood that the rates for personnel and mileage
in Section II-A are those effective as of January l, 1987,
and that subsequent modification may be necessary The
City agrees to review with the Engineer the above rates
PAGE
for personnel upon initiation of services and at yearly
Intervals on January 1 thereafter, to compare the index of
cost of living and other appropriate referenced profes-
sional level surveys of cost levels It is intended that
the above rates be modified as reflected in the above
referenced ~ndlces and surveys This must be mutually
agreeable to both parties and any modification shall be
reduced to writing and made an addendum to this contract
Payments to the Engineer as defined by the method of com-
pensation in this Section shall be made by the City within
30 days after receipt by the City of invoices from the
Engineer, provided that the invoices are detailed and
accurate This provision will not hold for invoices in
question that are improperly prepared
SECTION III
It is further agreed that
A The work herein will not ~nclude test borings, property
line surveys, material tests, or asbestos survey and
removal in areas which would affect construction These
serwces shall be contracted for by the City
B When the work involves construction of facilities, the
Engineer shall make periodic visits to the site at ~nter-
vals appropriate to the stage of construction to observe
the progress and quality of the executed work and to deter-
mine in general if the work is proceeding in accordance
with the contract documents, he will not be required to
make exhaustive or continuous on-site inspections to check
the quality or quantity of the work, he will not be respon-
sible for and will not have control or charge of construc-
tion means, methods, techniques, sequences, or procedures,
or the safety precautions and programs in connection with
the work, he will endeavor to guard the City against
defects and deficiencies in the work of the contractor, but
he will not be responsible for the contractor's failure to
carry out the work in accordance with the contract docu-
ments, and during such visits and on the basis of his
on-site observations as an experienced and qualified
design professional, he will keep the Owner ~nformed of
the progress of the work
C The Engineer will not be responsible for nor have control
or charge over the acts or omissions of any contractor,
any subcontractor or any of the contractor's or subcon-
tractor's agents or employees or any other person (except
his own employees and agents) at the Pro3ect site or
otherwise performing any work of the Prooect
PAGE 4
D
E
F
Because the Engineer has no control over the cost of
labor, materials or equipment, or over the contractor's
dlf£erlng methods of determining bid prices, or over
competitive bidding or market conditions or other factors,
the estimates of construction cost provided for herein are
for informational purposes, are not guarantees and bids or
construction costs may exceed such estimates
The Engineer will cooperate with the Owner in furnishing
necessary engineering information to the Owner so that the
Owner can submit all necessary applications to secure the
proper permits required, in the work which has previously
been described
The Engineer will make an Initial interpretation of the
terms and conditions of the contract documents and he will
be the impartial ]udge of the performance of the Owner and
the contractors thereunder
G Neither the Engineer's authority to act under these pro-
visions not any decision made by him in good faith either
to exercise or not exercise such authority shall give rise
to any duty or responsibility of the Engineer to contrac-
tor, any subcontractor, supplier or manufacturer, any of
their agents or employees, or any other person performing
any of the work
H The duties, responsibilities and the limitation of the
authority of the Engineer as the Owner's consultant shall
not be modified or extended without written consent of the
Owner and the Engineer
I Engineer shall and does hereby agree to Indemnify and hold
harmless the City from any and all damages, loss or lia-
bility of any kind whatsoever occasioned by any error,
omission or negligent act of Engineer, its officers,
agents employees, lnvltees and other persons for whom ~t
is legally liable, with regard to the performance of this
agreement, and Engineer will, at its cost and expense,
defend and protect the City o£ Denton against any and all
such claims and demands
J
The Engineer will not discriminate against any employee or
applicant for employment because of race, color, religion,
sex, age, disability or national origin The Engineer will
take affirmative action so that applicants are employed,
and that employees are treated during employment without
regard to their race, color, religion, sex, age disability
or national origin Such action shall include, but not be
limited to, the following employment, upgrading, demotion
PAGE S
K
L
or transfer, recruitment or recruitment advertising, layoff
or termination, rates of pay or other forms of compensa-
tion, and selection for training, including apprenticeship
The Engineer will post in conspicuous places, available to
employees and applicants for employment, notices setting
forth the provisions of this nondiscrimination clause
In the event that the City desires additional work, the
Engineer shall give the Owner an estimate of the cost of
services requested before performing the services The
Engineer shall not exceed this estimated cost for these
services by more that 1S percent until the Owner has
reviewed the work thus far completed and authorized the
charge for additional work In the event the Owner does
not grant such authorization, the Engineer shall not be
obligated to perform further services
The Engineer shall perform Designated Services as
expeditiously as is consistent with professional skill and
care and the orderly progress of the work Engineer shall
exercise the same degree of care, skill, and diligence in
the performance of the services as is ordinarily provided
by a professional engineer under similar circumstances
The Engineer shall submit for the City's approval a time
schedule for the performance of the Engineer's services
which shall be adjusted as required as the Pro~ect pro-
ceeds, and shall include allowances for periods of time
required for the City's review and approval of submissions
and for approval of authorities having jurisdiction over
the Pro~ect This time schedule, when approved by the
City, shall be adhered to by the Engineer, except for
delays not caused by the Engineer
The Agreement may be terminated by the City at any date or
time, upon written notice of 60 days given by the Owner
and delivered to the Engineer, by U S Registered Mall,
with return receipt and postage prepaid, addressed to the
Engineer at their principal place of business, 6400
Glenwood, Overland Park, Kansas 66202, of the City's
intention to so terminate the services of such Engineer,
and upon payment to the Engineer of any sums due for
services authorized and performed by them, as set forth
above in this contract up to and including the date of
written notice of termination
Further, the within Agreement may be terminated by the
Engineer at any date or time upon prior written notice of
60 days to the Owner, by U S Registered Mall, return
receipt and postage prepaid, delivered to the Owner at its
administrative office, presently located at the Municipal
PAGE 6
and
Building, 215 E McKlnney, Denton, Texas 76201 The City
agrees to pay promptly to Engineer upon receipt of such
written notice of termination by the Engineer any and all
sums due to the Engineer for services, expenses and other
costs incurred by the Engineer as herelnabove provided for
in this Agreement
IN WITNESS WHEREOF, the Parties have hereunto set their hands
seals on the date first above written
CITY OF DENTON, TEXAS
ATTEST
BY
ACT~G CITY SECRETARY
CITY OF DENTON, TEXAS
APPROVED AS TO LEGAL FORM
DEBRA ADAMI DRAYOVITCH, CITY ATTORNEY
CITY OF DENTON, TEXAS
LUTZ, DAILY ~ BRAIN, III,
CONSULTING ENGINEERS
FRED J L Z ,
, PARTNER
PARTNER
PAGE 7