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2005-054ORDINANCE NO. 2005- AN ORDINANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING THE CITY MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH R. W. BECK, INCORPORATED, AUSTIN, TEXAS, FOR CONSULTING SERVICES PERTAINING TO THE PREPARATION OF A SOLID WASTE DEPARTMENT OPERATIONAL ANALYSIS AND REVIEW; AUTHORIZING THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council deems it to be in the public interest to engage R. W. Beck, Incorporated, a Corporation, with offices in Austin, Texas ("Beck"), to provide professional consulting services to the City, culminating in the preparation of a final report with detailed supporting operational analysis and review respecting the Solid Waste Department, in order to ensure that the department is operating in the most cost-effective and efficient manner possible; and WHEREAS, the City staff has reported to the City Council that there is a substantial need for the above-described professional consulting services, and that limited City staff cannot adequately perform thc services and tasks with its own personnel; and WHEREAS, Chapter 2254 of the Texas Government Code, known as the "Professional Services Procurement Act", generally provides that a City may not select a provider of professional services on the basis of competitive bids, but must select the provider on the basis of demonstrated competence, knowledge, and qualifications, and for a fair and reasonable price; and WHEREAS, the City Council has provided in the City Budget for the appropriation of funds to be used for the purchase of the professional consulting services, as set forth in the Professional Services Agreement; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1: That the City Manager is hereby author/zed to execute a Professional Services Agreement with R. W. Beck, Incorporated, a Corporation, Austin, Texas office, for professional consulting services pertaining to the preparation of a final report with detailed supporting operational analysis and review for the Solid Waste Department, in substantially the form of the Professional Services Agreement attached hereto and incorporated herewith by reference. SECTION 2: That the award of this Agreement by the City is on the basis of the demonstrated competence, knowledge, and qualifications of Beck and the ability of Beck to perform the services needed by the City for a fair and reasonable price. SECTION 3: That the expenditure of funds as provided in the attached Professional Services Agreement is hereby authorized. SECTION 4: That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the ~.~2?~day of,. 5~-~ .ff~/2~ EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY S:\Our Documents\Ordinances\05~R W Beck Iht-Solid Waste-Operational Review-2005.doc 2 STATE OF TEXAS COUNTY OF DENTON PROFESSIONAL SERVICES AGREEMENT FOR CONSULTING SERVICES RE PREPARATION OF A SOLID WASTE DEPARTMENT OPERATIONS REVIEW < ~_Z,.,~,~,~,~ , , y ity , Texas, a Texl~-Municipal Corporation, with~ts principal offices at 215 East McKinney Street, Denton, Texas 76201 (hereinafter "OWNER") and R.W. BECK, INCORPORATED, a Corporation, with its offices at 5806 Mesa Drive, Suite 310, Austin, Texas 78731 (hereinafter "CONSULTANT"); the parties acting herein, by and through their duly-authorized officers and representatives. WlrNESSETH, that in consideration of the covenants and agreements herein contained, the parties hereto do mutually AGREE as follows: ARTICLE ! EMPLOYMENT OF CONSULTANT The OWNER hereby contracts with CONSULTANT, as an independent contractor, and the CONSULTANT hereby agrees to perform the services herein in connection with the Project as stated in the Articles to follow, with diligence and in accordance with the professional standards customarily obtained for such services in the State of Texas. The professional services set forth herein are in connection with the following described project: Professional consulting services for the preparation of a Solid Waste Deptatment operations review to ensure that the department is operating in the most cost effective and efficient manner possible (the "Project"). ARTICLE ri SCOPE OF SERVICES The CONSULTANT shall perform the following services in a professional manner: To perform all those services and tasks as set forth in CONSULTANT'S proposed letter dated January 20, 2005 which is a five (5) page document fi.om David S. Yanke, Principal of CONSULTANT to Vance Kemler, Director of Solid Waste of OWNER, which letter is attached hereto and incorporated herewith by reference as Exhibit "A". If there is any conflict between the terms Of this Agreement and the Exhibit attached to this Agreement, the terms and conditions of the Exhibit shall control over the terms and conditions of the Agreement. ARTICLE Ill PERIOD OF SERVICE This Agreement shall become effective upon execution by the OWNER and the CONSULTANT and upon the issuance of a notice to proceed by the OWNER, and shall remain in force for the period that may reasonably be required for the completion of the Project, and any required extensions approved by the OWNER; or until the monetary consideration expressed herein is wholly exhausted; or until December 31, 2005, whichever event shall first occur. This Agreement may be sooner terminated in accordance with the provisions hereof. Time is of the essence in this Agreement. The CONSULTANT shall make all reasonable efforts to complete the services set forth herein as expeditiously as possible and to meet the schedules established by the OWNER, acting through its Director of Solid Waste or his designee. ARTICLE IV COMPENSATION A. COMPENSATION TERMS: "Direct Non-Labor Expense" is defined as that expense, based upon actual cost, for any expense reasonably incurred by the CONSULTANT in the performance of this Agreement for airfare, taxi fare, lodging, meals while traveling, parking fees, tolls, automobile rental (when reasonably necessary), ground transportation, long-distance telephone charges, telecopy charges, printing and reproduction costs, and other incidental expenses incurred in connection with the Project. Provided however, any sub-consultant billings reasonably incurred by CONSULTANT in connection with the Project shall be invoiced to OWNER at cost plus ten (10%) percent. B. BILLING AND PAYMENT: For and in consideration of the professional services to be performed by the CONSULTANT herein, the OWNER agrees to pay CONSULTANT based upon the hourly rates set forth in Exhibit "A" which is attached hereto and incorporated by reference herewith; a total guaranteed fee, not to exceed $74,500. Partial payments to the CONSULTANT will be made on the basis of detailed monthly statements rendered to and approved by the OWNER through its Assistant City Manager for Utilities or his designees; however, trader no circumstances shall any monthly statement for services exceed the value of the work performed at the time a statement is rendered. The OWNER may withhold the final ten (10%) percent of the contract amount until satisfactoxy completion of the Project. Nothing contained in this Article shall require the OWNER to pay for any work which is unsalisfactory as reasonably determined by the Assistant City Manager for Utilities or his designee, or which is not submitted to the OWNER in compliance with the terms of this Agreement. The OWNER shall not be required to make any payments to the CONSULTANT when the CONSULTANT is in default under this Agreement. 2 It is specifically understood and agreed that the CONSULTANT shall not be authorized to undertake any work pursuant to this Agreement which would require additional payments by the OWNER for any charge, expense or reimbursement above the maximum not to exceed fee as stated hereinabove, without first having obtained written authorization fi.om the OWNER. C. PAYMENT If the OWNER fails to make payments due the CONSULTANT for services and expenses within forty-five (45) days after receipt of the CONSULTANT'S undisputed statement thereof, the amounts due the CONSULTANT will be increased by the rate of one percent (1%) per month fi.om the said forty-fifth (45th) day, and in addition, the CONSULTANT may, after giving ten (10) days' written notice to the OWNER, suspend services under this Agreement until the CONSULTANT has been paid in full for all amounts then due and owing, and not disputed by OWNER for services, expenses and charges. Provided, however, nothing herein shall require the OWNER to pay the late charge of one percent (1%) per month as set forth herein, if the OWNER reasonably determines that the work is unsatisfactory, in accordance with Article IV of this Agreement. ARTICLE V OBSERVATION AND REVIEW OF THE WORK The CONSULTANT will exercise reasonable care and due diligence in discovering and promptly reporting to the OWNER any defects or deficiencies in the work of the CONSULTANT or any of its subcontractors or subconsultants. ARTICLE VI OWNERSHIP OF DOCUMENTS All documents prepared or furnished by the CONSULTANT (and CONSULTANT's subcontractors or subconsultants) pursuant to this Agreement are instruments of service and shall become the property of the OWNER upon the termination of this Agreement. The CONSULTANT is entitled to retain copies of all such documents. The documents prepared and furnished by the CONSULTANT are intended only to be applicable to this project and OWNER'S use of these documents in other pmjects shall be at OWNER'S sole risk and expense. In the event the OWNER uses the Agreement in another project or for other purposes than specified herein any of the information or materials developed pursuant to this agreement, CONSULTANT is released from any and all liability relating to their use in that project. ARTICLE VII INDEPENDENT CONTRACTOR CONSULTANT shall provide services to OWNER as an independent contractor, not as an employee of the OWNER. CONSULTANT shall not have or claim any fight arising fi.om employee status. ARTICLE VIII INDEMNITY AGREEMENT The CONSULTANT shall indemnify and save and hold harmless the OWNER and its officials, officers, agents, attomeys and employees fi:om and against any and all liability, claims, demands, damages, losses and expenses, including but not limited to court costs and reasonable attorney fees incurred by the OWNER, and including without limitation damages for bodily and personal injury, death and property damage, resulting from the negligent acts or omissions of the CONSULTANT or its officers, shareholders, agents, attorneys and employees in the execution, operation, or performance of this Agreement. Nothing in this Agreement shall be constnted to create a liability to any person who is not a party to this Agreement and nothing herein shall waive any of the partes defenses, both at law or equity, to any claim, cause of action or litigation filed by anyone not a party to this Agreement, including the defense of governmental immunity, which defenses are hereby expressly reserved. ARTICLE IX INSURANCE During the performance of the Services under this Agreement, CONSULTANT shall maintain the following insurance with an insurance company licensed to do business in the State of Texas by the State Insurance Commission or any successor agency, that has a rating with A. M. Best Rate Carriers of at least an "A-" or above: Comprehensive General Liability Insurance with bodily injury limits of not less than $1 million for each occurrence and not less than $1 million in the aggregate, and with property damage limits of not less than $100,000 for each occurrence and not less than $100,000 in the aggregate. Automobile Liability Insurance with bodily injury limits of not less than $500,000 for each person and not less than $500,000 for each accident and with property damage limits for not less than $100,000 for each accident. C. Worker's Compensation Insurance in accordance with statutory requirements and Employer's Liability Insurance with limits of not less than $100,000 for each accident. D. Professional Liability Insurance with limits of not less than $1,000,000 annual aggregate. CONSULTANT shall furnish insurance certificates or insurance policies at the OWNER's request to evidence such coverage to the extent that is possible. Otherwise CONSULTANT shall furnish to OWNER within fitteen (15) days of the date of approval of this Agreement, certificates of insurance evidencing the required coverage. The insurance policies shall name the OWNER as an additional insured on all such policies to the extent legally possible, and shall contain a provision that such insurance shall not be cancelled or modified without thirty (30) days prior written notice to OWNER and CONSULTANT. In such event, the 4 CONSULTANT shall, pr/or to the effective date of the change or cancellation of coverage, deliver copies of any such substitute policies furnishing at least the same policy limits and coverage to OWNER. ARTICLE X ARBITRATION AND ALTERNATE DISPUTE RESOLUTION The parties may agree to settle any disputes under this Agreement by submitting the dispute to arbitration or other means of alternate dispute resolution such as mediation. No arbitration or alternate dispute resolution arising out of or relating to, this Agreement involving one party's disagreement may include the other party to the disagreement without the other's approval. ARTICLE XI TERMINATION OF AGREEMENT Notwithstanding any other provision of this Agreement, either party may terminate this Agreement by providing thirty- (30) days advance written notice to the other party. This Agreement may be terminated in whole or in part in the event of either party substantially failing to fulfill its obligations under this Agreement. No such termination will be effected unless the other party is given (1) written notice (delivered by certified mail, return receipt requested) of intent to terminate and sett'mg forth the reasons specifying the nonperformance or other reason(s), and not less than (30) calendar days to cure the failure; and (2) an opportunity for consultation with the terminating party prior to termination. If the Agreement is terminated prior to completion of the services to be provided hereunder, CONSULTANT shall immediately cease ail services and shall render a final bill for services to the OWNER within thirty (30) days after the date of termination. The OWNER shall pay CONSULTANT for all services properly rendered and satisfactorily performed, and for re'hmbursable expenses pr/or to notice of temainafion being received by CONSULTANT, in accordance with Article IV of this Agreement. Should the OWNER subsequently contract with a new consultant for the continuation of services on the Project, CONSULTANT shall cooperate in providing information to the OWNER and the new consultant. The CONSULTANT shall turn over all documents prepared or furnished by CONSULTANT pursuant to this Agreement to the OWNER on or before the date of termination but may maintain copies of such documents for its files. CONSULTANT agrees that it shall also fully comply with any and all written requests received t~om the OWNER, through its Director of Solid Waste, to maintain confidentiality respecting certain designated records, documents, and other written materials related to the Project, which the OWNER reasonably determines is competitively sensitive, and would likely cause damage to the OWNER if disclosed to the public or to any other person, party, or entity. ARTICLE XII RESPONSIBILITY FOR CLAIMS AND LIABILITIES Approval of the work by the OWNER shall not constitute nor be deemed a release of the 5 responsibility and liability of the CONSULTANT, its officers, employees, agents, subcontractors, and sub-consultants for the accuracy and competency of their designs or other work performed pursuant to this Agreement; nor shall such approval by the OWNER be deemed as an assumption of such responsibility by the OWNER for any defect in the design or other work prepared by the CONSULTANT, its officers, employees, agents, subcontractors, and sub-consultants. ARTICLE XIlI NOTICES All notices, communications, and reports required or permitted under this Agreement shall be personally delivered or mailed to the respective parties by depositing same in the United States mail at the addresses shown below, by means of U. S. Mail, postage prepaid, certified mail, return receipt requested, unless otherwise specified herein. To CONSULTANT: To OWNER: R.W. Beck, Incorporated Atto: David S. Yanke, Principal 5806 Mesa Drive, Suite 310 Austin, Texas 78731 City of Denton, Texas Atto: Michael A. Conduff City Manager 215 East McKinney Denton, Texas 76201 All notices under this Agreement shall be effective upon their actual receipt by the party to whom such notice is given. ARTICLE XIV ENTIRE AGREEMENT This Agreement, consisting of nine (9) pages and one (1) Exhibit, 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 contemporaneous offers, promises, representations, negotiations, discussions, communications understandings, and agreements which may have been made in connection with the subject matter of this Agreement. ARTICLE XV SEVERABIL1TY If any provision of this Agreement is found or deemed by a court of competent jurisdiction to be invalid or unenfomeable, it shall be considered severable fiom 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 the extent reasonably possible, to replace such stricken provision with a valid and enforceable provision which comes as close as possible to expressing the original intentions of the parties respecting any such stricken provision. ARTICLE XVI COMPLIANCE WITH LAWS The CONSULTANT shall comply with all federal, state, local laws, rules, regulations, and ordinances applicable to the work performed by CONSULTANT hereunder, as they may now read or as they may hereafter be amended. ARTICLE XVII DISCRIMINATION PROHIBITED In performing the services required hereunder, the CONSULTANT shall not discriminate against any person on the basis of race, color, religion, sex, national origin or ancestry, age, or physical handicap. ARTICLE XVIII PERSONNEL The CONSULTANT represents that it has or will secure at its own expense all personnel required to perform all the services required under this Agreement. Such personnel shall not be employees or officers of, nor have any contractual relations with the OWNER. CONSULTANT shall inform the OWNER of any conflict of interest or potential conflict of interest that may arise during the term of this Agreement. All services required hereunder will be performed by the CONSULTANT or under its direct supervision. All personnel engaged in performing the work provided for in tkis Agreement, shall be qualified, and shall be authorized and permitted under state and local laws to perform such services. ARTICLE XIX ASSIGNABILITY The CONSULTANT shall not assign any interest in this Agreement and shall not lransfer any interest in this Agreement (whether by assignment, novation or otherwise) without the prior written consent of the OWNER. CONSULTANT shall promptly notify OWNER, in writing, of any change of its name as well as of any material change in its corporate structure, its location, and/or its operations. ARTICLE XX MODIFICATION No waiver or modification of this Agreement or of any covenant, condition, limitation herein contained shall be valid unless in writing and duly executed by the party to be charged therewith. No evidence of any waiver or modification shall be offered or received in evidence in any proceeding arising between the parties hereto out of or affecting this Agreement, or the rights or obligations of the parties hereunder, unless such waiver or modification is in writing, duly executed. 7 The parties further agree that the provisions of this Article will not be waived unless as herein set forth. ARTICLE XXI MISCELLANEOUS A. The following Exhibit is attached to and made a part of this Agreement: Exhibit "A" --- CONSULTANT'S letter to Kemler (January 20, 2005) CONSULTANT agrees that OWNER shall, until the expiration of three (3) years after the final payment made by OWNER under this Agreement, have access to and the right to examine any pertinent books, documents, papers and records of the CONSULTANT involving transactions relating to this Agreement. CONSULTANT agrees that OWNER shall have access during normal working hours to all necessary CONSULTANT facilities and shall be provided adequate and appropriate working space in order to conduct examinations or audits in compliance with this Article. OWNER shall give CONSULTANT reasonable advance notice of all intended examinations or audits. Venue of any suit or cause of action under this Agreement shall lie exclusively in Denton County, Texas. This Agreement shall be governed by and construed in accordance with the laws of the State of Texas. For the purpose of this Agreement, the key persons who will serve as Project Manager respecting this engagement shall be David Yanke, Principal and Scott Pastemak, Manager of CONSULTANT. However, nothing herein shall limit CONSULTANT fi.om using other qualified and competent consultants and administrative support personnel of their finn to perform the services required herein. CONSULTANT shall commence, carry on, and complete its work on the Project with all applicable dispatch, and in a sound, economical, efficient manner, and in accordance with the provisions hereof. In accomplishing the Project, CONSULTANT shall take such steps as are appropriate to ensure that the work involved is properly coordinated with related work being carded on by the OWNER. The OWNER shall assist the CONSULTANT by placing at the CONSULTANT's disposal all available information pertinent to the Project, including previous reports, any other data relative to the Project and arranging for the access to, and make all provisions for the CONSULTANT to enter in or upon, public and private property as required for the CONSULTANT to perform professional services under this Agreement. 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. IN WITNESS WHEREOF, the City of Denton, Texas has executed this Agreement in four (4) original counterparts, by and through its duly-authorized City Manager; and CONSULTANT has executed this Agreement by and through its undersigned officer, on this the _~;q~,~t~tlay of ,~_l_z~4,~~- ,2005. duly-authorized "OWNER" CITY OF DENTON, TEXAS A Texas Municipal Corporation Michael A. Conduff, City M~,~r ATTEST: JENNIFER WALTERS, CITY SECRETARY By: ~~~.~ APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, C1TY ATTORNEY "CONSULTANT" ATTEST: R. W. BECK, INCORPORATED Corporation By: By: S:\Our Documents\ConUacts\05~R W Beek-PSA-Operafions Review-Solid Waste Dept-2005.doe 9 January 20, 2005 Via E-mail Mr. Vance Kemler Director of Solid Waste City of Denton 1527 S. Mayhill Road Denton, Texas 76208 ' EX fl I I?IT "A" Dear Mr. Kemler: R. W. Beck, Inc. is pleased to offer our services in assisting the City of Denton (City) with a solid waste operations review of the City's solid waste utility. The following letter describes the scope of services, which would be provided by R. W. Beck during the conduct of this study. In addition, we have provided a cost estimate and the timing associated with this study. The goal of this study is to review the City's solid waste utility to ensure that it is operating in the most cost effective and eff'tcient manner possible. To the extent that findings are made by the project team that result in the issuance of recommendations that will assist in improving the solid waste utility's operating performance, these recommendations will be clearly identified and explained in the executive summary of the final report. The detailed supporting analysis will be provided inthe body of the final report. I. SCOPE OF SERVICES R. W. Beck has conducted numerous solid waste operational reviews for local governments during thc past few years. Based on this experience we have developed a format for conducting studies such as the one requested by the City of Denton. Listed below are the key activities that would be accomplished by our project team during the conduct of this study. Kick-off Meeting: Prior to commencing the study, the R. W. Beck project team would meet with key City staff. At this kick-off meeting we would discuss the project work plan, key issues to be addressed, confirm timing associated with the various project tasks, etc. At this meeting we would discuss our initial Request For Information (R_FI) that we would have provided to the City staff 7 to 14 days prior to the kick-off meeting. This RFI would request that specific operating data be provided to the project team to serve as a starting point for beginning the study (tonnage records, collection information, recycling data, etc.). Solid Waste Operations Review: During the solid waste operations review, R. W. Beck will review each of the solid waste programs listed below. Under each of the programs is a listing of key issues, which will be addressed and studied with regard to each program. 5806 Mesa Drive, Suite 310 Austin, Texas 78731, Phone (512) 450-0991, Fax (512) 450-0515 Mr. Vance Kemler January20,2005 Page 2 o Residential Garbage Collection Issues to be addressed during the review of the residential collection program (manual and cart) include but are not limited to the following: · Collection efficiency (e.g. number of houses collected per route) · Layout of routes Staffing, including use of overtime and temporary personnel · Configuration of equipment · Vehicle maintenance · Public education · Utilization of operational reports (daily driver logs, etc.) · Other issues as identifiedI Commercial Garbage Collection Issues to be addressed during the review of the commercial collection program (Dumpsters and roll- offs) include but are not limited to the following: · Collection efficiency · Configuration of equipment (side loaders, from end loaders and roll-off trucks) · Lease vs. ownership of containers by customers · Layout of routes · Staffing, including use of overtime and temporary personnel · Vehicle maintenance · Container maintenance policies · Utilization of operational reports (daily driver logs, etc.) · Billing mechanism and practices (for temporary and permanent accounts) · Other issues as identified2 Brush & Bulky Item Collection Issues to be addressed during the review of this program will include but are not limited to the following: · Configuration of equipment · Impact of seasonal waste generation · Layout of routes · Staffing, including use of overtime and temporary personnel · Vehicle maintenance · Utilization of operational reports (daily driver logs, etc.) · Setout policies · Other issues as identified ~ Oftentimes during the course of an operations review the examination of certain issues may lead the project team to identify additional items that need to be studied during the course of the operations review. This is the norm versus the exception. ~ This would include the industry practice of combining residential and commercial routes, where feasible, to maximize operational efficiencies and minimize costs. Mr. Vance Kemler January 20, 2005 Page 3 Recycling Programs (Residential and Commercial) R. W. Beck will examine the City's current recycling programs (both residential and commercial) to assist in determining the most cost effective options for the City. Issues to be addressed include but are not limited to the following: · Review the curbside recycling program ~/ Participation and set-out rates ,/ Diversion rates · Commercial recycling collection · / Equipment configuration ~' Collection efficiency · / Customer counts v~ Tonnages ,'/ Other issues as identified Landfill Operations R. W. Beck will examine the current operational performance of the City's landfill. This examination will include a review of the capital and operating costs associated with the facility. Issues to be addressed include but are not limited to the following: · Scale house operations and processing of incoming and outgoing vehicles · Management of vehicle traffic on the landfill face · Compaction patterns, slope, and daily cover practices · Litter control and grounds keeping Equipment utilization · Equipment maintenance process · Current staffing requirements (full-time, temporary and part-time) · Planning and timeline for landfill closure, post closure, permitting and cell design and construction · Review of the most recent closure plan and related cost estimates · High level assessment of alternative disposal processes such as bioreactors · Other issues as identified In reviewing all of these solid waste programs, R. W. Beck will compare our findings with regard to the City of Denton's operating l~erformance with those of other cities that provide similar services to provide a "benchmark" comparisonf Preparation of Draft Report: Once the project team's analysis has been completed we will prepare a draf~ report summarizing our findings and recommendations. We will then present it to the appropriate City staff for review and comment. Upon their review of the draft report we will meet with the City staff to discuss the findings and the preparation of the fmal report. 3 R. W. Beck has developed a current "benchmark" database of cities that will be relied upon to assist in this comparison for the City of Denton. Mr. Vance Kemler January 20, 2005 Page 4 Presentation of Final Report: Upon review of the draft report, R. W. Beck will incorporate any appropriate and relevant changes or recommendations into the final report and present it to the City in a workshop setting or at a City Council meeting. II. PROJECT TIMING AND FEES R. W. Beck understands the importance of having this study completed in a timely manner. Therefore, assuming a start date of February 1, 2005 we will commit to having the draft report completed and issued by May 31, 2005, given the timely receipt of the required financial and operational data. We would envision a final report to be issued no later than June 15, 2005. Our project team for this engagement will consist of the following individuals: David Yanke, Director Scott Pasternak, Manager Fred Doran, Senior Landfill Engineer Brent Matson, Consultant Seth Cunningham, Consultant Other consultants, as needed Administrative Support $225 per hour $170 per hour $160 per hour $110 per hour $120 per hour $90 - $150 per hour $ 40 per hour Based on the above scope of services we have priced the services described in this letter as follows: · Residential Garbage Collection $17,500 · Commercial Garbage Collection $12,500 · Brush & Bulky Item Collection $ 7,500 · Recycling Programs $10,000 · Landfill Operations $ 25,000 Out-of-pocket expenses $ 2,000 Total Cost $74,500 These costs include the cost of travel for a kick-off meeting concerning the project and a final presentation to the City Council, Public Utility Board, or meeting with City staff, as well as numerous on-site consultant workdays. The prices listed above are for a guaranteed-not-to-exceed budget of $74,500. Mr. Vance Kemler January 20, 2005 Page 5 R. W. Beck is pleased to offer these services to the City of Denton. If this letter is in agreement with your understanding of the engagement and services to be provided, please sign one copy and return it to our Austin office. If you have any questions concerning this engagement letter please call Mr. Dave Yanke at (512) 450-0991. Sincerely, R. W. Beck, Inc. (~ Principal and Client SeX, ices Director City of Denton Accepted by: Date: