20-21 - Agreement and Amendment No. 2 to the Hart Engineering Agreement for services related to Belford Building & SMA BuildingItem Nos. 20 & 21
TO: Mayor, Mayor Pro Tem & City Council
FROM: Grayson Path, City Manager
SUBJECT: Belford Building Demolition Project
Agreement — SMA
Amendments — Engineering Design and Asbestos work for SMA building
DATE: January 23, 2023
BACKGROUND:
The Belford Building, located at 135 SE 1St Street, is in a state of dilapidation with portions having
collapsed, and needs to be demolished. It has therefore been deemed a public safety hazard. The
City of Paris has an existing and valid demolition order, from the Buildings and Standards
Commission, against the Belford Building. All appeals of this order have been exhausted. In
addition, the 6th District Court has applied a Judgement Lien for Civil Penalties, which are
continuing to accrue. Through communications with the owner, there are no known plans by the
owner to act on this issue.
On September 26, 2022, the City Council approved a Professional Service Agreement with Jason
Hart Engineering, PLLC, to design the demolition of the Belford Building. This is then to be
followed by procurement of a contractor to perform the work. Design has begun. On January 9,
2023, the City Council approved Amendment 41 to this Agreement to include asbestos-related
services.
STATUS OF ISSUE:
The City has been in discussions with South Main Acquisitions, LLC (SMA) who owns the small
building connected to the Belford on the northern wall. While demolition of the Belford building
while maintaining and protecting this smaller building is possible, demolition of the Belford is
more feasible and efficient while demolishing this smaller building at the same time. SMA has
indicated that they would like to see their building demolished as part of our process and has agreed
to cover the costs associated with design and demolition of their building. The City does not have
.any orders on this building, therefore we cannot use public funds in the removal of it. To this point,
Jason Hart has drafted Amendments #2 and #3 to the City's Professional Services agreement to 1)
design the demolition of the SMA building and 2) include asbestos-related survey work. In
addition, the City Attorney and SMA Attorney (HWH Attorney) have worked together to draft an
agreement whereby SMA will reimburse the City for expenses related to the SMA building. At
this time, given we are focusing on the design, bidding, and asbestos, the limits of the agreement
are these focuses. Should SMA decide to proceed with demolition under one contractor with the
City, we will develop a second agreement to that point. They have indicated that they may wish to
demolish their own building themselves in combination to our project.
BUDGET:
Amendment #2 for additional engineering services from Jason Hart Engineering to design the
demolition of the SMA building is set at $6,500.00. Amendment #3 for ERI Consulting asbestos
survey and report services for the SMA building is set at $900.00. SMA shall reimburse the City
for these expenses once paid. The City is using ABPA funds to fund the Belford Building
demolition.
OPTIONS:
1. Approve the Agreement with SMA for demolition of the SMA building along with the
Belford Building and approve Amendment 42 for design and asbestos survey and report
work for the SMA building and authorize the City Manager to sign.
2. Request additional information, edits, and/or reject the agreements and/or amendments.
RECOMMENDATION:
1. Approve the Agreement with SMA for demolition of the SMA building along with the
Belford Building and approve Amendment #2 for design and asbestos survey and report
work for the SMA building and authorize the City Manager to sign.
AGREEMENT
This Agreement is by and between the City of Paris, Texas ("City") and South Main
Acquisitions, LLC ("SMA") and provides for the sharing of costs for the engineering services of
Jason Hart Engineering ("Engineer") related to the demolition of the structures located at 260 S.
Main Street in Paris, Texas.
WHEREAS, the City has a valid and existing demolition order for the dilapidated and
dangerous multi -story building located at 260 S. Main Street, Paris, Texas, hereinafter referred to
as the "Belford" and currently owned by Boomer Trends Magazine, Inc.; and
WHEREAS, South Main Acquisitions, LLC owns the single story building immediately
adjacent to the Belford to the north (the "SMA building"), and which is also in a dilapidated
condition; and
WHEREAS, the City has contracted with Engineer to provide professional services related
to the demolition of the Belford building; and
WHEREAS, SMA desires to demolish the SMA building concurrently with the Belford
demolition; and
WHEREAS, Engineer has proposed Amendment No. 2 to its Owner -Engineer contract
with the City to provide for engineering services necessary to incorporate the SMA building in the
Basic Services in said Owner -Engineer Agreement for the Belford Building Demolition Project
(the "Project") and to provide for asbestos inspection and materials testing for the SMA building;
and
WHEREAS, the services set forth in Amendment No. 2 cover the inclusion of the SMA
building in the Engineer's demolition design plan into bid documents for obtaining demolitions
services; and
WHEREAS, the City is precluded by law from expending public funds for the benefit of
private property unless there is a public purpose for doing so; and
WHEREAS, SMA has agreed to bear the costs for the engineering services relating to the
demolition and asbestos inspection and testing attributable to its building; and
WHEREAS, Engineer has set forth the cost for additional services attributable to the
demolition of the SMA building as $6,500.00 and the cost for the asbestos inspection and materials
testing for said building as $900.00;
WHEREFOR, PREMISES CONSIDERED, THE PARTIES AGREE AS
FOLLOWS:
1. The effective date of this Agreement shall be January 23, 2023.
2. The recitals set forth herein above are incorporated into this Agreement for all
purposes.
3. The City will advance the sum of $7,400.00 directly to Engineer for services related to
the demolition and asbestos inspection and materials inspection of the SMA building
as a part of its contract with Engineer.
4. SMA hereby agrees to reimburse City said amount of $7,400.00 within 30 days of
written notice from the City to do so. Said written notice may be delivered via email to
Jordan Harper at jI aps.r( , A/1).11 ray 7,�:�� G°a� , with a copy to attorney Courtney Eudy at
Pf
5. A copy of Proposed Amendment 2 is attached hereto as Exhibit A and is incorporated
herein by reference.
6. This agreement is contingent upon the City Council's approval of Proposed
Amendment 2 at its regularly scheduled meeting on January 23, 2023.
Si ° nature age to follow.
CITY OF PARIS
LI -A
ATTEST:
Janice Ellis
City Clerk
APPROVED AS TO FORM:
Stephanie H. Harris
City Attorney
GRAYSON PATH
City Manager
SOUTH MAIN ACQUISITIONS, LLC
By:.........
Title:
APPROVED AS TO FORM:
Courtney Eudy
Attorney for South Main Acquisitions, LLC
[Remainder of page left blank intentionally.]
THE STATE OF TEXAS §
COUNTY OF LAMAR §
BEFORE ME, the undersigned authority, in and for said County, Texas, on this day
personally appeared GRAYSON PATH, City Manager of the CITY OF PARIS, a Texas
Municipal Corporation, known to me to be the person who's name is subscribed to the
foregoing instrument, and acknowledged to me that he has executed the same on the
City's behalf.
GIVEN UNDER MY HAND AND SEAL OF OFFICE, THIS THE
DAY OF .2023.
Notary Public Lamar County, Texas
My commission expires .
THE STATE OF TEXAS §
COUNTY OF LAMAR §
This instrument was acknowledged before me on the day of.......m ,
2023, by...emm.�..................win his capacity as .. of
South Main Acquisitions, LLC, a Texas Limited Liability Corporation, known to me to
be the person whose name is subscribed to the foregoing instrument, and acknowledged
that he executed the same on behalf of and as the act of
GIVEN UNDER MY HAND AND SEAL OF OFFICE, THIS THE
DAY OF .2023.
Notary Public County, Texas
My commission expires ......w„
EXHIBIT A
PROPOSED AMENDMENT 2
ASBESTOS INSPECTION & DEMOLITION
OF ADJACENT BUILDING
EXHIBIT C - AMENDMENT TO OWNER -ENGINEER AGREEMENT PAGE 2
ATTACHMENT 1 - ASBESTOS INSPECTION AT ADJACENT BUILDING PAGE 4
INFORMATION SENT BY JHE TO ERI PAGE 5
PROPOSAL BY ERI PAGE 7
EXHIBIT C—AMENDMENT TO OWNER -ENGINEER AGREEMENT
AMENDMENT TO OWNER -ENGINEER AGREEMENT
Amendment No. 2
Client: City of Paris
Engineer: Jason Hart Engineering PLLC
Project: Belford Building Demolition
Effective Date of Owner -Engineer Agreement: September 27, 2022
Nature of Amendment: (Check those that apply)
® Additional Services to be performed by Engineer
❑ Modifications to services of Engineer
❑ Modifications to responsibilities of Owner
C] Modifications of payment to Engineer
C] Modifications to time(s) for rendering services
❑ Modifications to other terms and conditions of the Agreement
Description of Modifications:
Task A2. Engineering services necessary to incorporate the 1 -story building immediately adjacent to
(northward) Belford Building into the Basic Services of the Owner -Engineer Agreement for the Belford
Building Demolition project.
- Note: The Bid Documents will be expanded to include the adjacent building, rather than issuing
two separate sets of Bid Documents for the two buildings.
- Fee: $6,500.00
Task A3. Asbestos inspection and materials testing at the 1 -story building immediately adjacent to
(northward) Belford Building. Refer to accompanying proposal #AI1208.
- Deliverable: report prepared by ERI Consulting, Inc.
- Cost: $900.00
Agreement Summary: Amendment 2 -Asbestos inspection and demolition of adjacent building
Original agreement amount: $46,960.00
Net change for prior amendments: 51.850.00
This amendment amount: $7,400.00
Adjusted Agreement amount: $56,210.00
Change in time for services (days or date, as applicable):
Exhibit C—Amendment to Owner -Engineer Agreement.
Exhibits to EJCDC® E-500, Agreement between Owner and Engineer for Professional Services.
Copyright® 2020 National Society of Professional Engineers, American Council of Engineering Companies,
and American Society of Civil Engineers. All rights reserved.
Page 1 of 2
Owner and Engineer hereby agree to modify the above -referenced Agreement as set forth in this
Amendment. The Effective Date of the Amendment is
Owner Engineer
City of Paris Jason Hart Engineering
(typed or printed name of organization) (typed or printed name of organization)
By:
(individual's signature)
(Attach evidence of authority to sign.)
Date:
(date signed)
Name:
Title:
(typed or printed)
(typed or printed)
By:
(individual's signature)
(Attach evidence of authority to sign.)
Date:
(date signed)
Name: Jason Hart, PE
(typed or printed)
Title: President
(typed or printed)
Exhibit C—Amendment to Owner -Engineer Agreement.
Exhibits to EJCDC® E-500, Agreement between Owner and Engineer for Professional Services.
Copyrightm 2020 National Society of Professional Engineers, American Council of Engineering Companies,
and American Society of Civil Engineers. All rights reserved.
Page 2 of 2
ATTACHMENT
PROPOSAL FOR ASBESTOS INSPECTION
AT ADJACENT BUILDING
INFORMATION SENT BY JHE TO ERI PAGE 5
PROPOSAL BY ERI PAGE 7
ERI Consulting, Inc.
Request for Quote for Asbestos Inspection
We request a proposal for the services of ERI Consulting, Inc. as outlined below.
Client Contact Name: Jason Hart, P.E.
Company: Jason Hart Engineering
Billing Address: 10404 Gooding Drive
City/State/Zip: Dallas, Texas 75229
Phone No.: 4693233028 Fax No.:
Cell No.: 4693233028 Email address: jhart@jhartengineering.com
Address of building to be inspected: 230 S. Main Street
City/State/Zip: Paris, Texas 75460
Site contact person, if other than above: possibly City of Paris personnel
Phone No.:
Cell No.: TBD
Fax No..
Email address: TBD
Age of Building: 100 years +/- Approx. Building Size: 21000 s.f*
Immediate plans for the building: Renovation Demolitiono
Past use of Building: Retail
Current use of Building: None
Future use of Building: None
Diagram - Please provide existing floor plan diagram, demolition diagram, Ft photos, if available.
Additional comments: I am the consultant for the City for the demolition project. The building is 1 story and is in poor condition.
The purpose of this request is to make sure that TDSHS regulations are followed in the demolition project. See page 2 for photos.
Submitted by: Jason Hart
Date: 12/7/2022
Note: Upon receipt of the above information, ERI will provide a formal written proposal within one business day. Our
proposal will outline all costs associated with the asbestos inspection, and will include field work, report preparation,
sample analysis costs, and travel expenses (if necessary). Upon receiving your signed acceptance of our proposal, we
will schedule the inspection at your convenience. Fax the completed form to 903-534-8701, or email to
FLOG!!!?, IS IN &KYUG ff
(NOT SAFE TU IMUK)
(WALK AIIONW. L)
I S [3 "J II � DNG
s 111111.�� St i El H���,c
llfls flRU:)OSAL,
REQUESI
B U I �L...II'::�)HNG '°°�]�ROM
12/5/22 [��'�:ROFIOSXI
�REQUES"r
PAGE 2
ERI CONSULTING, INC.
WA
Jason Hart Engineering
Mr. Jason Hart, P.E.
10404 Gooding Drive
Dallas, Texas 75229
Phone: 469-323-3028
R O. Box 2024, Tyler, Texas 75710
2026 Republic Drive, Suite A, Tyler, Texas 75701
Ph: (903) 534-5001 Fax: (903) 5348701
TBPE Firm # F-1787
www.ericonsulting.com
December 8, 2022
RE: Proposal - Consulting/Laboratory Services - Pre Demolition Asbestos Inspection, 230 S.
Main Street, Paris, Texas 75460
Dear Mr. Hart:
We are pleased to submit this proposal for an asbestos inspection within the above referenced
building. Samples of suspected asbestos -containing materials will be collected and analyzed by
Polarized Light Microscopy (PLM) in our Texas Department of State Health Services (TDSHS)
licensed laboratory. The inspection will be performed by a licensed TDSHS inspector. All work will
be performed under the direction of a TDSHS licensed asbestos consultant.
All work will be billed at $900.00 and will include all travel, field work, sample analysis, report, etc.
We will supply an electronic copy of our report. A paper copy will be available upon request.
Please note: The inspection requires the collection of physical samples, so some, small/limited
damage to building materials will occur. Also note, inaccessible building products may not be
discoverable using normal and customary practices.
If you would like to retain our services, please sign the acceptance statement below and return to our
office. If you have questions concerning our proposal or if we can be of further service to you,
please contact us at 903-534-5001.
clp/kd
Sincerely,
.ristopher L. Power, E.V.P.
TDSHS Asbestos Consultant #10-5566
Jason Hart Engineering Al 1208.pro
ERI Consulting, Inc.
Mr. Hart
December 8, 2022
page 2 of 2
ACCEPTANCE STATEMENT:
RE: Proposal - Consulting/Laboratory Services - Pre Demolition Asbestos Inspection, 230 S.
Main Street, Paris, Texas 75460
We wish to retain the services of ERI Consulting, Inc. as outlined in the proposal letter dated
December 8, 2022.
Signature
Printed Name/Title
Date
Payment terms are 15 days net + A finance charge of 1.5% per month
will be added to all accounts over 30 days
Jason Hart Engineering A] 1208.pro