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1992-096-RES WHEREAS, the City of Paris, has need for professional services and Hayter Engineering, Inc., 4445 S. E. , . . -l RESOLUTION NO. 92-096 WHEREAS, the City of Paris, has need for professional services and Hayter Engineering, Inc., 4445 S. E. Loop 286 has made a proposal for engineering services for a water facilities improvement project in connection with a new raw water transmission main from Pat Mayse Reservoir to the water treatment plant; and, WHEREAS, it is deemed to be in City of Paris that such proposal professional services contract in attached hereto and made a part approved; NOW, THEREFORE, the best interest of the be accepted and that a the form of Exhibit A hereof which should be BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PARIS, that the proposal of Hayter Engineer ing, Inc. for professional services described in Exhibit A attached hereto, be, and the same is hereby accepted. BE IT FURTHER RESOLVED, That the Mayor of the City of Paris, George Fisher, be, and he is hereby authorized and directed on behalf of the City of Paris to execute the Professional Service Contract attached hereto as Exhibit A. Passed and adopted this 9th day of November, 1992. ~~s~r ATTEST: Mattie Cunning APPROVED AS TO FORM: AGREEMENT BETWEEN OWNER AND ENGINEER FOR PROFESSIONAL SERVICES THIS IS AN AGR~EMENT made as of 11/9/92 bet~een the city of Paris, Paris, Texas, acting through its Mayor as authorized by its City Council (OWNER), and Hayter Engineering, Inc., a Texas corporation, acting through its duly authorized President (ENGINEER) . OWNER now desires services of ENGINEER for a water facilities improvements project including engineering services as further described herein in connection with a new raw water transmission main from Pat Mayse Reservoir to the water treatmen~ plant. OWNER AND ENGINE~R in consideration of their mutual covenants herein agree in respect of the performance of professional engineering service by ENGINEER and the payment for those services by OWNER as set forth below. SECTION 1 - BASIC SERVICES OF ENGINEER 1.1 General 1.1.1 ENGINEER shall provide for OWNER professional engineering services in all phases of the Project to which this Scope of Services applies as hereinafter provided. These services will include serving as OWNER'S professional engineering representative for the Project, providing professional engineering consultation and advice and furniShing customary civil, structural, mechanical and electrical engineering services, and customary architectural services incidental thereto. 1.2 Preliminarv Desian Phase After written authorization to proceed, ENGINE~R shall: 1.2.1. Consult with OWNER to clarify and define OWNER'S requirements for the Project and review available data. 1. 2.2. obtaining paragraph services. Advise OWNER as to the necessity of OWNER'S providing or from others data or services of the types described in 2.1, and assist OWNER in obtaining such data and 1.2.3. Identify and analyze requirements of governmental authorities having jurisdiction to approve the design of the Project and participate in consultations with such authorities. 1.2.4. Prepare a Design Memorandum for approval by the OWNER, which shall be the basis for work performed in the subsequent phases. Page 1 of 23 Pages EXHIBIT A The duties and responsibilities of ENGINEER during the Preliminary Design Phase are amended and supplemented as indicated in Exhibit A "Further Description of Basic Engineering Services and Related Matters". 1.3. Desian Field Sur'leVS Phase After written authorization to proceed with this phase, ENGINEER shall: 1.3.1. Perfor~ on-the-ground surveys to develop more detailed drawings for certain portions of the project, as further described in Exhibit A hereto. 1. 3.2. described obtaining Advise OWNER if additional data or in paragraph 3.4. are necessary such data and services. services of the types and assist OWNER in 1.4. Final Desian Phase After written authorization to proceed with the Final Design Phase, ENGINEER shall: 1.4.1. On the basis of the accepted preliminary documents and the opinion of probable Total Project Costs prepare for incorporation in the Contract Documents final drawings to show the general scope, extent and character of the work to be furnished and performed by CONTRACTOR(S) (hereinafter called "Drawings") and Technical Specifications. 1. 4.2. Provide technical criteria, written descriptions and design data for OWNER'S use in obtaining approvals of such governmental authorities as have jurisdiction to approve the design of the project, and assist OWNER in consultations with appropriate authorities. 1.4.3. Advise OWNER of any adjustments to the latest opinion of probable Total Project Costs caused by changes in general scope, extent or character or design requirements of the Project or Construction Costs. Furnish to OWNER a revised opinion of probable Total Project Costs based on the Drawings and Specifications. 1. 4.4. Prepare for review and approval by OWNER, its legal counsel and other advisors contract agreement forms, general condi tions, and supplementary conditions, and bid forms, invitations to bid and instructions to bidders and assist in the preparation of other related documents. 1.4.5. Furnish t..ro copies of the above documents and of the Drawings and Specifications and present and review them in person with OWNER. Three additional copies will be furnished by the ENGINEER to the appropriate review agencies. Page 2 of 23 Pages 1.5. Biddina Phase After authorization to proceed with the Bidding Phase, ENGINEER shall: 1.5.1. Assist OWNER in advertising for and obtaining bids for each separate prime contract for construction, materials, equipment and services; and maintain a record of prospective bidders to whom Bidding Documents have been issued, attend pre-bid conferences and receive and process deposits for Bidding Documents. 1. 5.2. Issue addenda as appropriate to interpret, clarify or expand the Bidding Documents. 1.5.3. Consult with and advise OWNER as to the acceptability of subcontractors, suppliers and other persons and organizations proposed by the prime contractor(s) (herein called "CONTRACTOR(S)" for those portions of the work as to which such acceptability is required by the Bidding Documents. 1.5.4. Consult with OWNER and determine the acceptability of substitute materials and equipment proposed by CONTRACTOR(S) when substitution prior to the award of contracts is allowed by the Bidding Documents. 1.5.5. Attend the bid opening, prepare bid tabulation sheets and assist OWNER in evaluating bids and in assembling and awarding contracts for construction, materials, equipment and services. 1.6. Construction Phase During the construction phase: ;' 1.6.1. General Administration of construction Contract. ENGINEER shall consult with and advise OWNER and act as OWNER'S representative as provided in the construction contract. The extent and limitations of the duties, responsibilities and authority of ENGINEER as assigned in said contract shall not be modified, except to the extent provided in Exhibit A "Further Description of Basic Engineering Services and Related Matters" and except as ENGINEER may otherwise agree in writing. All of OWNER'S instructions to CONTRACTORS will be issued through ENGINEER who will have authority to act on behalf of OWNER to the extent provided in said construction contract, except as othe~Nise provided in writing. 1.6.2. visits to site and Observation of Construction. In connection with observations of the work of CONTRACTOR(S) while it is in progress: 1. 6.2.1. ENGINEER shall make visits to the site at intervals appropriate to the various stages of construction as ENGINEER deems necessary in order to observe as an experienced and qualified design professional the progress and quality of the various aspects of the CONTR~CTOR(S) work. Based on information obtained during Page 3 of 23 Pages such visits and on such observations, ENGINEER shall endeavor to determine in general, if such work is proceeding in accordance with the contract documents and ENGINEER shall keep OWNER informed of the progress of the work. 1.6.2.2. If requested by OI-INER or recommended by ENGINEER and agreed to in 'Nriting by the OWNER an on-site observer will be furnished and will act as directed by ENGINEER in order ~o assist ENGINEER in observing performance of the work of CONTRACTOR(S). Such services will be paid for by OWNER as indicated in Section S. The duties and responsibilities and the limitations on authority of the on-site observer (if any) will be set forth separate exhibit which is to be identified, attached to and a part of this Agreement before such services begin. the in a made 1.6.2.3. The purpose of ENGINEER'S visits to and representation by the on-site observer (if any) at the site will be to enable ENGINEER to better carry out the duties and responsibilities assigned to and undertaken by ENGINEER during the Construction Phase, and, in addition, by exercise of ENGINEER'S efforts as an experienced and qualified design professional, to provide for OWNER a greater degree of confidence that the completed work of CONTRACTOR(S) will conform generally to the contract documents and that the integrity of the design concept as reflected in the contract documents has been implemented and preserved by CONTRACTOR(S). On the other hand, ENGINEER shall not, during such visits or as a result of such observations of CONTRACTOR(S) work in progress, supervise, direct or have control over CONTRACTOR(S) work, nor shall ENGINEER have authority over or responsibility for the means, methods, techniques, sequences or procedures or construction selected by CONTRACTOR(S) for safety precautions and programs incident to the work of CONTRACTOR(S) or for any failure of CONTRACTOR(S) to comply with laws, rules, regulations, ordinances, codes or orders applicable to CONTRACTOR(S) furnishing and performing their work. Accordingly, ENGINEER can neither guarantee the performance of the construction contracts by CONTRACTOR(S), nor assume responsibility for CONTRACTOR(S) failure to furnish and perform their work in accordance with the contract documents. 1. 6. 3. Interoretations and Clarifications ENGINEER shall issue necessary interpretations and clarifications of the contract documents and in connection therewith prepare work directive changes and change orders, as required. 1.6.4. Shoo Drawinqs ENGINEER shall review and approve (or take other appropriate action in respect of) shop drawings (as that term is defined in the aforesaid construction contract), samples and other data Which CONTRACTOR(S) are required to submit, but only for conformance with the design concept of the project and compliance with the information given in the contract documents. Such reviews and Page 4 of 23 Pages approvals or other action shall not extend to means, methods, techniques, sequences or procedures of construction or to safety precautions and programs incident thereto. 1. 6.5. Substi,:utes ENGINEER shall evaluate and deter~ine the acceptability of substitute materials and equipment proposed by CONTRACTOR(S) but subject to the provision of paragraph 2.2.2. 1. 6.6. Insoections and Tests ENGINEER shall have authority, as OWNER'S representative, to require special inspection or testing of the work, and shall receive and review all certificates of inspections, testings and approvals required by laws, rules, regulations, ordinances, codes, orders or the contract documents (but only to determine generally that their content complies with the requirements of, and the results certified indicate compliance with, the contract documents) . 1. 6.7. Disoutes between OWNER and CONTRACTOR ENGINEER shall act as initial interpreter of the requirements of the contract documents and judge of the acceptability of the work thereunder and make decisions on all claims of OWNER and CONTRACTOR(S) relating to the acceptability of the work or the interpretation of the requirements of the contract documents pertaining to the execution and progress of the work. ENGINEER shall not be liable for the results of any such interpretations or decisions rendered in good faith. 1. 6.8. Aoolications for Payment Based on ENGINEER'S on-site observations as an experienced and qualified design professional, on information provided by the on- site observer (if any), and on review of applications for payment and the accompanying data and schedules: 1.6.8.1. ENGINEER shall determine the amounts owing to CONTRACTOR(S) and recommend in writing payments to CONTRACTOR(S) in such amounts. Such recommendations of payment will constitute a representation to OWNER, based on such observations and review, that the work has progressed to the point indicated, and that, to the best of ENGINEER' 5 knowledge, information and belief, the quality of such work is generally in accordance with the contract documents (subject to an evaluation of such work as a functioning whole prior to or upon substantial completion, to the results of any subsequent tests called for in the contract documents and to any other qualifications stated in the recommendation). In the case of unit price work, ENGINEER'S recommendations of payment will include final determinations of quantities and classifications of such work (subject to any subsequent adjustments allowed by the contract documents) . Page 5 of 23 Pages 1.6.8.2. By recolluuending any payment ENGINEER will not thereby be deemed to have represented that exhaustive, continuous or detailed reviews or examinations have been made by ENGINEER to check the quality or quantity of CONTRACTOR(S) work as it is furnished and perfor:ned beyond the responsibilities specifically assigned to ENGINEER in this Scope of Services and the contract documents. ENGINEER'S review of CONTRACTOR(S) work for the purposes of recommending payments will not impose on ENGINEER responsibility to supervise, direct, or control such work or for the means, methods, techniques, sequences, or procedures of construction or safety precautions or programs incident thereto or CONTRACTOR(S) compliance with laws, rules, regulations, ordinances, codes or orders applicable to their furnishing and performing the work. It will also not impose responsibility on ENGINEER to make any examination to ascertain how or for what purposes any CONTRACTOR has used the monies paid on account of the contract price, or to determine that title to any of the work, materials or equipment has passed to OWNER free and clear of any lien, claims, security interests or encumbrances, or that there may not be other matters at issue between OWNER and CONTRACTOR that might affect the amount that should be paid. 1. 6.9. CONTRACTOR(S) Completion Documents ENGINEER shall receive and review maintenance and operating instruction, schedules, guarantees, bonds and certificates of inspection, tests and approvals which are to be assembled by CONTRACTOR(S) in accordance with the contract documents (but such review will only be to determine that their content complies with the requirements of, and in the case of certificates of inspection, tests and approvals that the results certified indicate compliance with, the contract documents); and shall transmit them to OWNER with written comments. 1.6.10. Inspections ENGINEER shall conduct an inspection to determine if the work is substantially complete and a final inspection to determine if the completed work is acceptable so that ENGINEER may recommend, in writing, final payment to CONTRACTOR(S) and may give written notice to OWNER and the CONTRACTOR(S) that the work is acceptable (subject to any conditions therein expressed), but any such recommendation and notice will be subject to the limitations expressed earlier in this Section 1. 1. 6 . 11. Limitation of Responsibilities ENGINEER shall not be responsible for the acts or omissions of any CONTRACTOR(S), or of any subcontractor or supplier, or any of the CONTRACTOR(S) or subcontractor's suppliers, agents or employees, or any other persons (except ENGINEER'S own employees and agents) at the site or otherwise furniShing or performing any of the CONTRACTOR(S) work; however, nothing contained in section 1. 6. shall be construed to release ENGINEER from liability for failure Page 6 of 23 Pages to properly perfor~ duties and responsibilities assumed by ENGINEER in the cont~ac~ documents. SECTION 2 - ADDIT!ONALSERV!CES OF ENGINEER 2.1. Services Reauirina Authorization in Advance If authorized by OWNER, ENGINEER shall furnish or obtain from others Additional Services of the types listed in the paragraphs of Section 2.1. These services are not included as part of Basic Services, except to the extent provided otherwise in Exhibit A "Further Desc~iption of Basic Engineering Services and Related Matters;" these will be paid for by OWNER, as indicated in section 5. 2.1.1. p~epa~ation of applications and supporting documents (in addition to those furnished under Basic Services) for private or governmental grants, loans or advances in connection with the Project; review and evaluation of the effect on the design requirements of the Project of any documents prepared by others; and assistance in obtaining approvals of authorities having jurisdiction over the anticipated environmental impact of the Project. 2.1. 2. existing drawings services to make measured drawings of or to investigate conditions or facilities, or to verify the accuracy of or other information furnished by OWNER. 2.1.3. Services resulting from significant changes in the general scope, extent or character of the Project or its design including, but not limited to, changes in size, complexity, OWNER'S schedule, character of construction or method of financing; and revising previously accepted studies, reports, design documents or contract documents, when such revisions are required by changes in laws, rules, regulations, ordinances, codes or orders enacted subsequent to the preparation of such studies, reports or documents, or are due to any other causes beyond ENGINEER'S control. 2.1.4. Providing renderings or models for OWNER'S use. 2.1.5. Preparing documents for alternate bids requested by OWNER for CONTRACTOR(S) work which is not executed, or documents for out- of-sequence work. 2.1.6. Furnishing services of independent professional associates and consultants for other than Basic Services (which include, but are not limited to, customary civil, structural, mechanical and electrical engineering and customary architectural design incidental thereto); and providing data or services of the types described in paragraph 3.4. when OWNER employs ENGINEER to provide such data or services in lieu of furnishing the same in accordance with paragraph 3.4. Page 7 of 23 Pages 2.1. 7. other than Sec1:.ion 1. Services during out-of-town travel required of ENGINEER, visits to the site or OWNER'S office, as required by 2.1.8. Assistance in connection with bid protests, rebidding or renegotiating contrac1:.S for construction, materials, equipment or services. 2.1.9. Providing any type of property surveys or related engineering services needed for the transfer of interests in real property and field surveys for design purposes and engineering surveys and staking to enable CONTRACTOR(S) to proceed with their work; and providing other special field surveys. 2.1.10. manuals. Preparation of opera1:.ing, maintenance and staffing 2.1.11. Preparing to serve or serving as a consultant or witness for OWNER in any litigation, arbitration or other legal or administrative proceeding involving the project. 2.1.12. Additional services in connection with the Project, including services which are to be furnished by OWNER in accordance with Article 3, and services not otherwise provided for in this Agreement. SECTION 3 - OWNER'S RESPONSIBILITIES OWNER shall do the following in a timely manner so as not to delay the services of ENGINEER. 3.1. Designate in writing a person to act as OWNER'S representative with respect to the services to be rendered under this Agreement. Such person shall have complete authority to transmit instructions, receive information, interpret and define OWNER'S policies and decisions with respect to ENGINEER'S services for the Project. 3.2. Provide all criteria and full information as to OWNER'S requirements for the Project, including design objectives and constraints, spaces, capacity and performance requirements, flexibility and expandability, and any budgetary limitations; and furnish copies of all design and construction standard which OWNER will require to be included in the Drawings and Specifications. 3.3 Assist ENGINEER available information reports and any other the Project. by placing at ENGINEER'S disposal all pertinent to the Project inCluding previous data relative to design or construction of 3.4. Furnish to ENGINEER, as required for performance of ENGINEER'S Basic Services (except to the extent provided otherwise in Exhibit A "Further Description of Basic Engineering Services and Related Matters"), the following: Page 8 of 23 Pages 3.4.1. Data prepared by or services of others, including '.oIithout limitation borings, probings and subsurface explorations, hydrographic surveys, laboratory tests and inspec~ions of samples, materials and equipment; 3.4.2. Appropriate professional interpretations of all of the foregoing: 3.4.3. Environmental assessment and impact statements. 3.4.4. Property, boundary, easement, right-of-way, topographic and utility surveys; 3.4.5. Property descriptions; 3.4.6. Zoning, deed and other land use restriction; and 3.4.7. Other special data or consultations not covered in section 2; all of which ENGINEER may use and rely upon in performing services under this Agreement. 3.5. Provide engineering surveys to establish reference points for construction (except to the extent provided otherwise in Exhibit A "Further Description of Basic Engineering Services and Related Matters") to enable CONTRACTOR(S) to proceed with the layout of the work. 3.6. Arrange for access to and make all provisions for ENGINEER to enter upon public and private property, as required for ENGINEER to perform services under this Agreement. 3.7. Examine all studies, reports, sketches, Drawings, Specifications, proposals and other documents presented by ENGINEER, obtain advice of an attorney, insurance counselor and other consultants as OWNER deems appropriate for such examination and render in writing decisions pertaining thereto within a reasonable time so as not to delay the services of ENGINEER. 3.8. Furnish approvals and authorities having jurisdiction and consents from others as may Project. permits from all governmental over the project and such approvals be necessary for completion of the 3.9. Provide such accounting, independent cost estimating and insurance counseling services as may be required for the Project, such legal services as OWNER may require or ENGINEER may reasonably request with regard to legal issues pertaining to the Project including any that may be raised by CONTRACTOR(S), such auditing service as OWNER may require to ascertain how or for what purpose any CONTRACTOR has used the monies paid under the construction contract, and such inspection services as OWNER may require to ascertain that CONTRACTOR(S) are complying with any law, rule, regulation, ordinance, code or order applicable to their furnishing and performing the work. Page 9 of 23 Pages 3.10. If OWNER designates a person to represent OWNER at the site who is not ENGINEER or ENGINEER'S agent or employee, the duties, responsibilities and limitations of authority of sucn other person and the af:ec~ thereof on the duties and responsibilities of ENGINEER will be set for~h in an exhibi~ that is to be identified, attached to and made a part of this Agreement before such services begin. 3.11 If more than one prime contract is to be awarded for construction, materials, equipment and services for the entire Project, designate a person or organization to have authority and responsibility for coordinating the activities among the various prime contractors. 3.12. Furnish to ENGINEER data or estimated figures as to OWNER'S anticipated costs for services to be provided by others for OWNER so that ENGINEER may make the necessary findings'to support opinions of prObable Total Project Costs. 3.13. Attend the pre-bid conference, bid preconstruct ion conferences, construction progress and related meetings and substantial completion inspections payment inspections. opening, other job and final 3.14. Gi ve prompt written notice to ENGINEER whenever OWNER observes or otherwise becomes aware of any development that affects the scope or timing of ENGINEER'S services, or any defect or non- conformance in the work of any CONTRACTOR. 3.15. Services services Furnish, or as stipulated as required. direct ENGINEER to provide, Additional in paragraph 2.1 of this Agreement or other 3.16. Bear all costs incident to compliance with the requirements of this Section 3. SECTION 4 - PERIOD OF SERVICE 4.1. The provisions of this Section 4 and the various rates of compensation for ENGINEER'S services provided for elsewhere in this Agreement have been agreed to in anticipation of the orderly and continuous progress of the Project through completion of the Construction Phase. ENGINEER'S obligation to render services hereunder will extend for a period which may reasonably be required for the des ign, award of contracts, and construction of the project, including extra work and required extensions thereto. 4.2. ENGINEER'S services under the Preliminary Design, Field surveys and the Final Design Phase shall each be considered complete at the earlier of (1) the date when the submissions for that phase have been accepted by OWNER or (2) thirty days after the date when such submissions are delivered to OWNER for final acceptance, plus such additional time as may be considered reasonable for obtaining approval of governmental authorities having jurisdiction over design criteria applicable to the Project. Page 10 of 23 Pages I i II l v , l 1 ~ . III I] I: I. 4.3. After accepcance by OWNER of the ENGINEER'S Drawings, specifications and other Final Design Phase documentation including the most recent opinion of probable Project Cost, ENGINEER shall proceed with performance of the services called for in the Bidding Phase. This Phase shall terminate and the services to be rendered thereunder shall be considered complete upon commencement of the Construction Phase or upon cessation of the negotiations with prospective C8NTRACTOR(S) . i 4.4 The Construction Phase will commence with the execution of the prime construction contract to be executed for the work of the Project, and will terminate upon written recommendation by ENGINEER of final payment on the prime construction contract. SECTION 5 - PAYMENTS TO ENGINEER 5.1. Methods of Payment for Services and Expenses of ENGINEER. 5.1.1. For Basic Services: OWNER shall pay ENGINEER for basic services outlined herein, a lump sum of $262,000. 5.1.2. For Additional Services - OWNER shall pay ENGINEER for additional services rendered under this Agreement as follows: 5.1.2.1. General - For Additional Services rendered, on the basis of per diem hourly rates shown on Exhibit B hereto for services rendered by principals and employees assigned to the Project. 5.1.2.2. Soecial Consultants For services and reimbursable expenses of special consultants employed by ENGINEER pursuant to Section 2.1, the amount billed to ENGINEER therefor, ti~es a factor of 1.05. 5.1.2.3. For Reimbursable Exoenses - In addition to payments provided for in paragraphs 5.1.2.1. and 5.1.2.2., OWNER shall pay ENGINEER the accual costs of all Reimbursable Expenses incurred in connection with all Additional Services. The term "Reimbursable Expenses" means the actual expense incurred directly or indirectly in connection with the Project for: transportation and subsistence incidental to locations other than the site; furniShing and maintaining field office facilities; subsistence and transportation of on-site observers; toll telephone calls and telegrams; special package delivery charges; laboratory testing fees; reproduction of reports, Drawings, Specifications, and similar Project-related items in addition to those required under Section 1; and, if authorized in advance by OWNER, overtime work requiring higher than regular rates. 5.2. Times of Pavments 5.2.1. ENGINEER shall submit monthly statements for Basic and Additional Services rendered and for Reimbursable Expenses incurred. The statements will be based upon ENGINEER'S estimate of Page 11 of 23 Pages the proportion of the total services actually completed at the time of billing. OWNER shall make prompc monchly payments in response to ENGINEER'S monchly stacements. 5.3. Other Provisions concerninq ?avments 5.3.1. If OWNER fails to make any payment due ENGINEER for services and expenses within thirty days after receipt of ENGINEER'S statement therefor, the amounts due ENGINEER will be increased at the rate of 1% per month from the thirtieth day, and in addition, ENGINEER may, after giving seven days' written notice to OWNER, suspend services under this Agreement until he has been paid in full all amounts due him for services, expenses and charges. 5.3.2. In the evenc of terminacion by OWNER upon the completion of any phase of the 8asic Services, progress payments due ENGINEL~ for services rendered through such phase shall constitute total payment for such services. In the event of such termination by OWNER during any phase of the Basic Services, ENGINEER shall be paid for services rendered during that phase on the basis of the attached per diem rates for services rendered during that phase to date of termination by ENGINEER'S principals and employees engaged directly on the Project. In the event of any such termination, ENGINEER also will be reimbursed for the charges of independent professional associates and consultants employed by ENGINEER to render Basic Services, and for all unpaid Additional Services and unpaid Reimbursable Expenses, plus all termination expenses. Termination expenses mean Reimbursable Expenses directly attributable to termination. SECTION 6 - OPINIONS OF COST 6.1. ooinions of Cost Since ENGINEER has no control over the cost of labor, materials, equipment or services furnished by others, or over the CONTRACTOR(S) methods of determining prices, or over competitive bidding or market conditions, his opinions of probable Project Cost and Construction Cost provided for herein are to be made on the basis of his experience and qualifications and represent his best judgement as an experienced and qualified professional engineer, familiar with the construction industry; but ENGINEER cannot and does not guarantee that proposals, bids or actual Project or Construction Cost will not vary from opinions or probable cost prepared by ENGINEER. If prior to the Bidding or Negotiating Phase, OWNER wishes greater assurance as to Project or Construction cost, he shall employ an independent cost estimator as provided in section 3. SECTION 7 - GENERAL CONSIDERATIONS 7.1. Insurance Page 12 of 23 Pages 7.~.~. ENGINEER shall procure protection from claims under workers' damages because of bodily injury sickness or disease or dea~~ of any person other than such employees, because of injury to or des~ruction use resulting therefrom. and maintain insurance for compensation acts, claims for including personal injury, and all employees or of any and from claims or damages of property including loss of 7.1.2 OWNER shall procure and maintain similar coverage for any of its employees engaged on the Project, and shall require all construction contractors associated with the project to procure and maintain at least statutory workmen's compensation and contractor's liability coverage. 7.2. Nothing under this Agreement shall be construed to give any rights or benefits in this Agreement to anyone other than OWNER and ENGINEER, and all duties and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive benefit of OWNER and ENGINEER and not for the benefit of any other party. 7.3. Indemni tv - The OWNER will require that any construction contractor or subcontractors performing work in connection with Drawings and specifications produced under this Agreement hold harmless, indemnify and defend, the OWNER and this ENGINEER their consultants, and each of their officers, agents, and employees from all liability claims, losses or damage arising out of or alleged to arise from the CONTRACTOR'S or any subcontractor's negligence in the performance of the work described in the Construction Contract Documents. 7.4. Termination - The obligation to provide further services under this Agreement may be terminated by either party upon thirty days written notice in the event of substantial failure by the other party to perform in accordance with the terms hereof through no fault of the termination party. 7.5 Controllina Law - This Agreement is to be governed by the laws of the State of Texas. 7.6. Successors and Assians - ENGINEER and OWNER each is hereby bound and the partners, successors, executors, administrators, and legal representatives of OWNER and ENGINEER are hereby bound to the other party to this Agreement and to the partners, successors, executors, administrators, assigns and legal representatives (and said assigns) of such other party, in respect to all covenants, agreements and obligations of this Agreement. 7.7. Limitation of Liabilitv The OWNER agrees to limit the ENGINEER'S liability to the OWNER and to all construction contractors and subcontractors on the Project, due to the ENGINEER'S professional negligent acts, errors or omissions, such that the total aggregate liability of the ENGINEER to those named shall not exceed Five Hundred Thousand Dollars ($500,000) or the ENGINEER'S total fee for services rendered on this project, whichever is greater. Page 13 of 23 Pages SECTION a - SPECIAL PROVISIONS. EXHIBITS AND SCHEDULES 8.1. The following Exhibits are attached to and made a part of this Agreement: 8.1.1. Exhibit A "Further Description of Basic Engineering Services and Related Matters." 8.1.2. Exhibit B "Schedule of Per Diem Rates." 8.2. This Agreement (consisting of pages 1 to 23 inclusive), together with the Exhibits and Schedules identified above constitute the entire Agreement between OWNER and ENGINEER and supersede all prior written or oral understandings. This Agreement and said Exhibits and schedules may only be amended, supplemented, modified or cancelled by a duly executed written instrument. IN WITNESS WHEREOF, the parties have made and executed this Agreement as of the day and year first above written. OWNER: CITY OF PARIS, PARIS, TEXAS ENGINEER: HAYTER ENGINEERING, INC. George Fisher, Mayor R. Reeves Hayter, President Address for giving notices: Address for giving notices: P.O. Box 9037 paris, Texas 75461-9037 4445 S.E. Loop 286 Paris, Texas 75460 ATTEST: ATTEST: Mattie cunningham, City Clerk APPROVED AS TO FORM: T. K. Haynes, City Attorney Page 14 of 23 Pages Exhibit A to Agreement Between Owner and Engineer for Professional Services Further Descriotion of Basic Enqineerinq Services and Related Ma1:ters 1.3.1. It is understood that OWNER has previously obtained topographic surveys of the pipeline route. ENGINEER will be provided these surveys, and shall be entitled to rely thereon as described in Section 3.4.7. 2.1 At the request of OWNER, ENGINEER will assist in the preparation of one application for grant-in-aid assistance to the u.s. Department of Commerce, Economic Development Administration. ENGINEER'S fee for said assistance will be a lump sum of $1,500. ENGINEER will endeavor to assist OWNER to the best of his professional ability, but makes no guarantees, express or implied, as to the successful outcome of any such application. 3.4.4. ENGINEER will consult with area utility companies regarding the locations of existing lines, including water, sewer, gas, electric, and CATV. These will be indicated on the drawings at locations identified by the respective utility, and the ENGINEER will not be required to independently verify such locations. 4.5. Subject to timely approval by the OWNER and any funding or regulatory authorities, the following schedule is projected: completion of Preliminary Plans and Specifications Completion of Final Plans and Specifications Secure State and Local Approvals start of Construction 9-1-92 12-1-92 3-1-93 5-1-93 5.5.1. The present scope of work includes engineering services as described in the agree~ent for a raw water transmission main, anticipated to be ~' diameter or larger (size to be determined in Design Memorandum), from the City's existing intake structure at Pat Mayse Reservoir to the City's existing water treat~ent plant; a walkway from the shoreline to the intake structure; and modifications to the raw water pumps to accommodate the new transmission main. Page 15 of 23 Pages Exhibit B Schedule of ~er Diem January 1, 1992 Rates Personnel Hourly Rates Engineers Junior Engineers Technicians Draftsmen Administration Principals On-Site Observer $60.00 40.00 32 .00 19.00 29.00 90.00 25.00 This Schedule of hourly rates is effective until January 1, 1993. After that date, the ENGINEER may, at his discretion, adjust said rates, by an amount not-to-exceed the increase of the Consumer Price Index for all urban consumers, u.S. City Average, as established by the Bureau of Labor Statistics, U.S. Department of Labor, with January, 1988 being the base index number, to wit: 115.7 for each succeeding twelve-month period. Page 16 of 23 Pages Exhibit C EDA Required Services The following requirements are hereby deemed a portion of this contract: i. All negotiated Architect/Engineer contracts (except those of $10,000 or less awarded under small purchase procedures) awarded by Grantees shall include a provision to the effect that the Grantee, EDA, the Comptroller General of the United States, the Inspector General of the Department of Commerce, or any of their duly authorized representatives, shall have access to any documents, books, papers, and records of the Architect/Engineer which are directly pertinent to a specific grant program for the purpose of making an audit, examination, excerpts, and transcriptions. The Grantee shall require the Architect/Engineer to maintain all required records for at least three years after the Grantee makes final payment and all pending matters are closed. j. The agreement for Architect/Engineer services shall provide an adequate basis for the Grantee to require the Architect/Engineer to: (1) design the project in accordance with the intent of the Loan and/or Grant Agreement between the Grantee and EDA; (2) redesign the project in the event the preliminary cost estimate, the final cost estimate, or the lowest responsive bid less deductive alternates, exceeds the funds available by an amount or percentage to be mutually agreeable to the Grantee and the Architect/Engineer; (3) design any sewage treatment or other sewage facility so that a certificate can be obtained from the Environmental Protection Agency (EPAl as required by Section 106 of the Public Works and Economic Development Act of 1965; Page 17 of 23 Pages (4) include in all contracts and subcontracts of amounts in excess of $100,000 a provision which reauires comoliance with all aoolicable standards, orders, or reauirements issued under Section 306 of the Clean-Air Act (42 U.S. 1857 (h)), Section 508 of the Clean Water Act (33 U.S.C. 1368), Executive Order 11738, and Environmental protection Agency regulations (40 CFR, Part 15), which prohibit the use under non-exempt Federal contracts, grants or loans of facilities included on the EPA List of Violating Facilities; the provisions shall require reporting of violations to the EDA and to the U. S. Environmental Protection Agency Assistant Ad~inistrator for .Enforcement; (5) include in all contracts and subcontracts other than for small purchases (procurement of services, supplies or other property costing in the aggregate not more than $10,000) provisions or conditions which will allow for administrative, contractual or legal remedies in instances where contractors violate or breach contract terms, and provide for such sanctions and penalties as may be appropriate; (6) include in all contracts in excess of $10,000 suitable provisions for termination by the Grantee including the manner by which it will be affected and the basis for settlement; in addition, such contracts shall describe conditions under which the contract may be terminated for default as well as conditions where the contract may be terminated because of circumstances beyond the control of the contractor; (7) include in all contracts in excess of $10,000 a provision requiring compliance with Executive Order 11246, entitled "Equal Employment opportunity", as amended by Executive Order 11375, and as supplemented in Department of Labor regulations (41 CFR, Part 60) ; (8) include in all concracts for construction or repair a provision for compliance with the Copeland "Anti-Kickback" Act (18 USC 874) as supplemented in Department of Labor regulations (29 CFR, Part 3); this Act provides that each contractor or subgrantee shall be prohibited from inducing, by any means, any person employed in Page 18 of 23 Pages - the const~uction, completion, oe repaie of public work, to gi~e up any part of the compensation to which he/she is otherwise entitled; the Grantee shall repoet all suspected oe eepoeted ~iolations to EOA; (9) include in all construction conte acts in excess of $2,000 a pro~ision for compliance with the Da~is-Bacon Act (40 USC 276a to a-7) as supplemented by Department of Labor regulations (29 CFR, Part 5); under this Act contractors shall be required to pay wages to laborers and mechanics at a rate not less than the minimum wages specified in a wage determination made by the Secretary of Labor; in addition, contractors shall be required to pay wages not less often than once a week; a copy of the current pre~ailing wage determination issued by the Department of Labor must be included in each solicitation and the award of a contract shall be conditioned upon the acceptance of the wage determination; all suspected or reported violations shall be reported to EDA; Da~is-Bacon wage determinations are not applicable to "Force Account" workers; (10) include in all contracts in excess of $2,000 for construction contracts and in excess of $2,500 for other contracts which invol~e the employment of mechanics or laborers a provision for compliance with Sections 103 and 107 of the Contract Work Hours and Safety Standards Act (40 USC 327-330) as supplemented by Department of Labor regulations (29 CFR, Part 5); under Section 103 of the Act, each contractor shall be required to compute the wages of e~ery mechanic and laborer on the basis of a standard work day of a hours and a standard work week of 40 hours. Work in excess of the standard work day or work week is permissible provided that the worker is compensated at a rate of not less than 1-1/2 times the basic rate of pay for all hours worked in excess of a hours in any calendar day or 40 hours in the work week; Section 107 of the Act is applicable to construction work and provides that no laborer or mechanic shall be required to work in surroundings or under working conditions which are unsanitary, hazardous, or dangerous to his/her health and safety as determined under construction, safety and health standards promulgated by the Secretary of Labor; these requirements do not apply to the purchases of supplies or materials or articles ordinarily available on the open market, or contracts for transportation or transmission of intelligence; Page 19 of 23 Pages ~ ~ I (11) include a notice in all contracts involving research, develoomental, exoerimental or demonstration wock requiring that all patentable processes, discoveries or inventions which arise or are developed in the course of, or under, such contract shall be reported to EDA; the notice will state that EDA has an interest in any such patentable processes, discoveries or inventions corresponding to the percentage of total project cost funded by EDA; (12) include in all negotiated contracts (except those awarded by small purchase procedures) a provision to the effect that the Grantee, EDA, the Comotroller General of the united States, or anv of their duly authorized representatives, shall- have access to any books, documents, papers, and records of the contractor which are directlv pertinent to that specific contract, for th~ purpose of making audit, examination, excerpts, and transcriptions; (13) include in all contracts a requirement that the contractor maintain all relevant project records for three years after the Grantee has made final payment to the contractor and all other pending matters are closed; (14) include in all contracts a provision recognizing mandatory standards and policies relating to energy efficiency which are contained in the State energy conservation plan issued in compliance with the Energy Policy and Conservation Act (P.L. 94-165); (15) state a specific timetable in the agreement for: (a) completing preliminary plans and associated cost estimates; (b) completing final plans, specifications, and cost estimates; (c) securing required State and local approvals; and (d) completing proposed contract documents in a form sufficient for soliciting bids for construction of the project; if the Grantee has executed an Architect/Engineer agreement without such a requirement for a timetable, EDA shall require that an addendum to the agreement be executed to incorporate this requirement; Page 20 of 23 Pages (16) provide surveillance of project construction to assure compliance with plans, specifications, and all other contract documents; if the Grantee chooses to use the Architect/Engineer as the project inspector, the requirements for construction inspection services shall be clearly defined and a limit placed on the amount the Grantee is required to pay for such services; (17) be responsible for any damages arising from any defects in design or negligence in the performance of the construction inspector, if the inspector is furnished by the Architect/Engineer; EDA recommends that the Architect/Engineer be required to take insurance, when available, to cover liability for such damages; (l8) supervise any required subsurface explorations such as borings, soil tests, and the like, to determine amounts of rock excavation or foundation conditions, no matter whether they are performed by the Architect/Engineer or by others paid by the Grantee; (l9) attend bid openings, prepare and submit tabulation of bids, and make a recommendation as to contract award; (20) review proof of bidder's qualifications and recommend approval or disapproval; (2l) prepare and submit proposed contract change orders when applicable; there shall be no charge to the Grantee when the change order is required to correct errors or omissions by the Architect/ Engineer; to be eligible for EDA participation the specific change order must have express approval from EDA and must have some form of cost or price analysis performed by the Grantee or the Architect/Engineer; (22) submit a report at least quarterly to the Grantee covering ~~e general progress of the job and describing any probler-s or factors contributing to delay; (23) review and approve the contractor's SChedule of amounts for contract payment; (24) certify partial payments to contractors; Page 21 of 23 Pages (25) assure that a ten percent (lO%) retainage is withheld from all payments on construction contracts until final acceptance by the Grantee and approval by the EDA Regional Office, unless State or local law provides otherwise; (26) prepare "as-built" or record drawings after completion of the project; reproducible originals will be furnished to the Grantee within 60 days after all construction has been completed and the final inspection has been performed; one set of copies shall be furnished to the EDA Regional Office upon request; (27) review and approve Contractor's submission of samples and shop drawings, where applicable; (28) comply with all applicable provisions of the Regulations of the united States Department of Commerce (Part 8 of Subtitle 15 of the Code of Federal Regulations) issued pursuant to the Civil Rights Act of 1964, in regard to nondiscrimination in employment because of race, religion, color, sex or national origin; (29) incorporate into the proposed construction contract documents a designation of all of the different types of construction which will be used for the project; such as Building, Heavy or Highway in accordance with all local and State laws and practices; for this purpose either the plans, the specifications or both shall clearly delineate where each type stops and another starts; (30) consider in the establishment of the compensation any cost savings that may be realized through multiple use of the same design; (31) provide in all proposed construction contracts deductive alternates (additive alternatives will not be approved by EDA), where feasible, so that should the lowest responsive base bid for construction of the project exceed the funds available, deductive alternatives can be taken to reduce the bid price; (32) design for access by the handicapped to facilities to be used by the public in accordance with Public Law 90-480, as amended, 42 USC 4l5l-4l56; Page 22 of 23 Pages (33) provide sufficient plans, specifications, bid sheets, cost estimates, design analysis, and other contract documents required for the project; the number of copies to be furnished by the Architect/Engineer as part of his/her compensation for basic services shall be specified; and (34) use forms for instructions to bidders, general conditions, contract, bid bond, performance bond, and payment bond which have EDA approval; all contract documents shall be subject to EDA approval. Page 23 of 23 Pages