HomeMy WebLinkAbout4.08 FiscalAnalysisSntaRtaRezn
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CITY OF DUBLIN
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: OCTOBER 3, 1994
SUBJECT:
Award of Contract for Fiscal Analysis
PA 94-001 Santa Rita Center Rezone
:BL- .
'Jaeri Ram, AssocJ.ate Planner
1. ~esolution Awarding the Consulting
Contract
2. ~ontract for Consultant Services
REPORT PREPARED BY:
EXHIBITS ATTACHED:
RECOMMENDATION:
4/1.
Award the Contract for Consultant
Services to Economic Research
Associates
Authorize the city Manager to
Execute the Contract
2.
FI~ANCIAL STATEMENT:
The Contract will not exceed $15,500 and
is to be paid by the Applicants
DESCRIPTION:
Homart Community Centers and Alameda County Surplus Property
Authority are applying to the city for PA 94-001 Santa Rita Commercial
Center Rezone. The project proposal is for a rezone to a Planned
Development. The 800,000 z square foot retail center will be located
within the city limits in eastern Dublin on 75 z acres of land on the
southeast corner of Hacienda and the Dublin Boulevard extension on
land owned by Alameda County.
POlicies in the Eastern Dublin General Plan Amendment and
Specific Plan require that development in the area fund the cost of
infrastructure and services. Economics Research Associates (ERA)
prepared the fiscal portion of the General Plan Amendment and Specific
Plan. They are familiar with the history surrounding this project and
they are able to prepare the necessary fiscal analysis in a timely and
cost effective manner.
Staff recommends that the city Council (1) award the contract for
consultant services to ERA, and (2) authorize the City Manager to
execute the contract.
COPIES TO:
Jeri Ram, Associate Planner
Applicants
Agenda/PA File
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COPIES TO:
ITEM NO. ~I:I~ I
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RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF DUBLIN
AWARDING A CONSULTING CONTRACT TO ECONOMICS RESEARCH ASSOCIATES
WHEREAS, Homart Community Centers and Alameda County Surplus
Property Authority are applying for PA 94-7001 Santa Rita Commercial
Center Rezone; and
WHEREAS, pOlicies in the Eastern Dublin General Plan Amendment
and Specific Plan require development in the area to fund the cost of
infrastructure and services; and
WHEREAS, Economics Research Associates prepared the fiscal
portions of the East Dublin Specific Plan; and
WHEREAS, the consulting firm of Economics Research Associates is
able to prepare the necessary fiscal analysis in a timely and cost
effective manner.
NOW, THEREFORE BE IT RESOLVED that the city Council of the city
of Dublin hereby awards the consulting contract to Economics Research
Associates.
PASSED, APPROVED AND ADOPTED this 3rd day of October, 1994.
AYES:
NOES:
ABSENT:
ABSTAIN:
Mayor
ATTEST:
City Clerk
EXHBT 1.
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STANDARD
CONTRACTUAL SERVICES AGREEMENT
THIS AGREEMENT is made at Dublin, california, as of
October 3
, 19~, by and between the CITY OF DUBLIN, a
municipal corporation ("city"), and Economics Research Associ atAs ,
("contractor") ,.who.agree as follows:
1. SERVICES. subject to the terms and conditions set
forth in this Agreement, contractor shall provide to city the
services described in Exhibit A. contractor shall provide said
services at the time, place and in the manner specified in
Exhibit A.
2. PAYMENT. city shall pay contractor for services
rendered pursuant to this Agreement at the time and in the manner
set forth in Exhibit B. The payments specified in Exhibit B
shall be the only payments to be made to contractor for services
rendered pursuant to this Agreement. contractor shall submit all
billings for said services to city in the manner specified in
.
Exhibit Bi or, if no manner be specified in Exhibit B, then
according to the usual and customary procedures and practices
which Contractor uses for billing clients similar to city.
Agreement
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EXHIBIT 2
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3. FACILITIES AND EQUIPMENT. Except as set forth in
Exhibit C, contractor shall, at its sole cost and expense,
furnish all facilities and equipment which may be required for
furnishing services pursuant to this-Agreement. city shall
furnish to contractor only the facilities and equipment listed in
Exhibit C according to the terms and conditions set forth in
Exhibit c.
4. GENERAL PROVISIONS. The general provisions set
forth in Exhibit D are part of this Agreement. In the event of
any inconsistency between said general provisions and any other
terms or conditions of this Agreement, the other term or
condition shall control insofar as it is inconsistent with the
general provisions.
5. EXHIBITS. All exhibits referred to herein are
attached hereto and are by this reference incorporated herein.
6. CONTRACT ADMINISTRATION. This Agreement shall be
administered by Richard Ambrose
("Administrator"). All correspondence shall be directed to or
through the Administrator or his or her designee.
7. NOTICES. Any written notice to contractor shall
be sent to:
Economics Researr.h A~~O~;~TP~
~88 Market StreAt 1 S11;T,P 1 SRO
San Francisco. CA 94111
AgreeTI!ent
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Any written notice to city shall be sent to:
City of Dublin
Attn: Richard Ambrose
P.O. Box 2340
Dublin, CA 94568
Executed as of the day first above stated:
CITY OF DUBLIN, a municipal
corporation
By
"city"
Attest:
city Clerk
By
"contractor"
Approved as to form:
city Attorney
Agreement
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EXHIBIT A
SCOPE OF SERVICES
(As specified in the September 29, 1994
letter, from Economics Research Associates,
as attached)
Exhibit A
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Economics Research Associates
Afflllatea wlrh Drivers Jones
29 September 1994
Richard C. Ambrose
Dublin City Manager
P.O. Box 2340
100 Civic Pla%.a
Dublin. CA 94S68
Proposal No. 32018R
Dear Mr. Ambrose:
In follow up to this morning's conference caD. Economics Research Associates (ERA) is
pleased to present the following proposal for a scope of work to assist the City of Dublin in evaluating
the fLSCal impacts of a 75 acre commercial retail center proposed by Homart Development Company in
the Eastern Dublin Specific Plan AreL We understand the City would like to determine the likely
portion of the sales tax revenue which will be new to the City. net of offsetting losses in other Dublin
retail establishments, as well as the overall costIrevenue balance within the initial2.100f acres in the
Specific Plan AreL ERA is in a position to ~ these fiBcal impacts quickly and efficiently due to
the extensive experience we have had in the past analyzing fiscal issues for the City related to the
Eastern Dublin' Specific Plan and the negotiations with Alameda County over the annexation
agreement.
SCOPE OF WORK (Exhfblt A)
We undersWld that the project proponents have developed a profile of the types of tenants
they hope to attract along with expected retail productivity factors, and that information regarding
service costs has already been requested from DubHn department heads. BAAls analysis will have two
parts. The second will be the projection of operational costs and .revenues accruing to the City as a
result of the project. F'JSCal projections are only as good as the market assumptions which go into
them, however. '!be goal of the first part of the work will be to develop some level of comfort for the
City that the retail sales projections are reasonable in to~ and that the .fraction which is likely to he
drawn to the new project from other retaD. establishments in Dublin has been diligently estimated.
Given the short time frame for ERA's consulting assignment. work on both parts will proceed
concurrenUy.
Part 01le: Market Res,arch
· Collect and review the proponent's project description, including planned retail tenants,
expected sales factors for the tenant types. total building area. and development cost.
aa Markel Street, Suite 1580, San Francleco, OallfQrnla 94111 · (415) 906-81$2 Telell; 340890 (ECON RES BFO) Fax: (415) 956-5274
Loe Angeles' San FrancIsco. San Diego. Chicago · Washington, D,O. . London
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Mr. Richard Ambrose
Dublin City Manaier
Proposal No. 32018R
Page 2
Discuss with proponents ~ ~ impact of the proposed new center on retail trade
patterns in the Trl. Valley market area.
. Collect infonnation describing the retail offering hi the Tn- VallBy area in existing,
planned and proposed major centerS.
. Collect and analyze the recent trend in t.axable retail sales volumes for the Tri- Valley
cities of Dublin. Pleasanton. Uvermore and San Ramon.
. Interview retallleasing agents and other commercial real estate interests in the Trl- Valley
area.
. Estimate taxable retail sales totals which can reasonably be achieved from the Homart
project. Estimate the proportion of this sales volume which may be created through
reduced taxable sales elsewhere in DubUn, and the proportion which will be entirely new
to the City (including recognition that some of the sales .reduced elsewhere in Dublin
would be lost if the Homat't project (toes .nm proceed in Dublin, because sites in other
cities wm then be developed to house '4power center" type tenants).
Part Two: Fls~ Projection,
.
Estimate sales tax revenues accruing to the City (oetting out the portion pledged to the
County) resulting from the market research and projections in Part One.
.
Work with the proponents to estimate the likely assessed value created on the tax rolls
from the land purchase and conswction of retail uses on the 75 acre site.
Develop a spreadsheet projecting revenues to the City from sales taxes, property taxes
and any other ongoJng revenue sources derived from the c:ommeldal development.
.
.
CoDect and critique intemal analyses conducted by the pob, fire. public works and any
other City departments regardin, service costs, and discuss reasonabks apportiorunent of
additional administrative costs for the City.
Develop a spreadsheet projecting costs of extending municipal services to the proposed
retail project and to the surrounding 2,100% acres of the Spectiic Plan area.
.
.
Prepare a memorandum report including narrative and spreadsheet analyses comparing
costs and revenues.
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Mr. Richard Ambrose
DubUn City Manager
Proposal No. 32018R
Page 3
COMPENSATION (ExhIbit B)
ERA proposes to render the above services for a fixed fee of $1S.000 for professional time.
Out-of-pocket-expenses will be charged at cost plus ten percent, but will not exceed $500 without
prior authorization.
SCHEDULE AND PROJECT INITlATION
We understand. this assiaM1e11t wm be authorized by the City with the execution of a Standard
Contractual Services A&reement, to whk:h this letter win be appended. ERA is familiar with this
agreement and finds it acceptable, except that, the language of Exhibit B will have to be modified to
allow more than 20% of the total contract amount to be paid in one month. ERA understands the
entire project will have to be conducted over the next tlu'ee weeks, with the final memorandum report
being submitted by fax on October 14, with hard copy to foRow by overnight mail Given this time
frame, ERA will begin work on the City's verbal authorization, with the expectation that a formal
contract will be sent to ERA after the October 3 City CouncR meeting.
We look forward to being of service &..Sam to the City of Dublin in planning for the rational
.growth of your community.
Steven E. Spickard, AICP
Vice Pre.sident '
cc Jeri Rmn, Dublin Planning Depart.lDent
Don Casper, Homart Community CenterS
Glen Anderson, Homart Conununity Centers
Adolph Martinelli. Alameda County Planning Department
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EXHIBIT B
PAYMENT SCHEDULE
city shall pay contractor an amount not to exceed the total sum
of
Pi f"-tppn 'T'hrm"'Oln..1 Fi,";;> l:Vmdroa dallal's ($ 15,500 00
) for
services to be performed pursuant to this Agreement. contractor
shall submit invoices during the term of this Agreement based on
the cost for services performed in accordance with the following
schedule:
Upon completion of work
within 30 days following submittal of invoice.
sum
services
Agreement
total
a monthj and provided
city pay
a sum exceeding 20%
and the last 20% of the
sum to this Agreement
after completion the services and su~ ittal to city, if all
services due satisfactorily
performed.
The total sum stated above' shall be the total which
city shall pay for the services to be rendered~by Contractor
pursuant to this Agreement. city shall not pay any additional
Exhibit B
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sum for any expense or cost whatsoever incurred by Contractor in
rendering services pursuant to this Agreement.
city shall make no payment for any extra, further or
additional service pursuant to this-Agreement unless such extra
service and the price therefor is agreed to in writing executed
by the city Manager or other designated official of city
authorized to obligate city thereto prior to the time such extra
service is rendered and in no event shall such change order
exceed twenty-five (25%) of the initial contract price.
The services to be provided under this Agreement may be
terminated without cause at any point in time in the sole and
exclusive discretion of city. In this event, city shall
compensate the contractor for all outstanding costs incurred as
of the date of written notice thereof and shall terminate this
Agreement. contractor shall maintain adequate logs and
time sheets in order to verify costs incurred to date.
The contractor is not authorized to perform any
services or incur any costs whatsoever under the terms of this
Agreement until receipt of a fully executed Purchase Order from
the Finance Department of the city of Dublin.
Exhibit B
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EXHIBIT C
city shall furnish physical facilities such as desks,
filing cabinets, and conference space, as may be reasonably
necessary for Contractor's use while consulting with city
employees and reviewing records and the information in possession
of city. The location, quantity, and time of furnishing said
physical facilities shall be in the sole discretion of city. In
no event shall city be obligated to furnish any facility which
may involve incurring any direct expense, including, but not
limiting the generality of this exclusion, long-distance
telephone or other communication charges, vehicles, and
reproduction facilities.
Exhibit C
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EXHIBIT D
GENERAL PROVISIONS
1. INDEPENDENT CONTRACTOR. At al~ times during the term of
this Agreement, contractor shall be an independent contractor and
shall not be an employee of city. city shall have the right to
control contractor only insofar as the results of contractor's
services rendered pursuant to this Agreement; however, city shall
not have the right to control the means by which contractor
accomplishes services rendered pursuant to this Agreement.
2. LICENSES: PERMITS; ETC. Contractor represents and warrants
to city that he has all licenses, permits, qualifications and
approvals of whatsoever nature which are legally required for
contractor to practice his profession. contractor represents and
warrants to city that Contractor shall, at his sole cost and
expense, keep in effect at all times during the term of this
Agreement any licenses, permits, and approvals which are legally
required for contractor to practice his profession.
3. TIME. Contractor shall devote such time to the performance
of'services pursuant to this Agreement as may be reasonably
necessary for satisfactory performance of contractor's
obligations pursuant to this Agreement. ,
4. INSURANCE REQUIREMENTS. contractor shall procure and
maintain for the duration of the contract insurance against
claims for injuries to persons or damages to property which may
arise from or in connection with the performance of the work
hereunder by the contractor, his agents, representatives,
employees or subcontractors. The cost of such insurance shall be
included in the Contractor's bid.
(a) Minimum Scope of Insurance. coverage shall be at least
as broad as:
1. Insurance Services Office form number GL 0002 (Ed.
1/73) covering comprehensive General Liability and
Insurance Services Office form number GL 0404
covering Broad Form Comprehensive General
Liability; or Insurance Services Office Commercial
General Liability coverage ("occurrence" form
CG 0001.)
Exhibit D
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2. Insurance Services Office form number CA 0001 (Ed.
1/78) covering Automobile Liability, code 1 "any
auto" and endorsement CA 0025.
3. Workers' compensation insurance as required by the
Labor Code of the state of California and
Employers Liability I~surance.
(b) Minimum Limits of Insurance. contractor shall maintain
limits no less than:
1. General Liability: $1,000,000 combined single
limit per occurrence for bodily injury, personal
injury and property damage. If commercial General
Liability Insurance or other form with a general
aggregate limit is used, either the general
aggregate limit shall apply separately to this
project/location or the general aggregate limit
shall be twice the required occurrence limit.
2. Automobile Liability: $1,000,000 combined single
limit per accident for bodily injury and property
damage.
3. Workers' compensation and Employers Liability:
Workers' compensation limits as required by the
Labor Code of the state of California and
Employers Liability limits of $1,000,000 per
accident. .
(c) Deductibles and Self-Insured Retentions. Any
deductibles or self-insured retentions must be declared
to and approved by the city. At the option of the
city, either the insurer shall reduce or eliminate such
deductibles or self-insured retentions as respects the
city, its officers, officials and employees; or the
Contractor shall procure a bond guaranteeing payment of
losses and related investigations, claim administration
and defense expenses.
(d) other Insurance provisions. The policies are to
contain, or be endorsed to contain, the following
provisions:
1. General Liability and Automobile Liability
coverages.
a. The city, its officers, officials, employees
and volunteers are to be covered as insureds
Exhibit D
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as respects: liability arising out of
activities performed by or on behalf of the
contractor; products and completed operations
of the contractor, premises owned, occupied
or used by the contractor, or automobiles
owned, leased, hired or borrowed by the
contractor. The-coverage shall contain no
special limitations on the scope of the
protection afforded to the city, its
officers, officials, employees or volunteers.
b. The Contractor's insurance coverage shall be
primary insurance as respects the city, its
officers, officials, employees and
volunteers. Any insurance or self-insurance
maintained by the city, its officers,
officials, employees or volunteers shall be
excess of the contractor's insurance and
shall not contribute with it.
c. Any failure to comply with reporting
provisions of the policies shall not affect
coverage provided to the city, its officers,
officials, employees or volunteers.
d. The Contractor's insurance shall apply
separately to each insured against whom claim
is made or suit is brought, except with
respect to the limits of the insurer!s
liability.
2. Workers' compensation and Employers Liability
Coverage.
The insurer shall agree to waive all rights of
subrogation against the city, its officers,
officials, employees and volunteers for losses
arising from work performed by the contractor for
the city.
3. Professional Liability.
contractor shall carry professional liability
insurance in an amount deemed b~ the city to
adequately protect the Contractor against
liability caused by negligent acts, errors or
omissions on the part of the contractor in the
course of performance of the services specified in
this Agreement.
Exhibit D
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4. All Coverages.
Each insurance policy required by this clause
shall be endorsed to state that coverage shall not
be suspended, voided, cancelled by either party,
reduced in coverage or in limits except after
thirty (30) days' prior written notice by
certified mail, return receipt requested, has been
given to the city.
(e) Acceptabilitv of Insurers. Insurance is to be placed
with insurers with a Bests' rating of no less than
A:VII.
(f) Verification of Coveraqe. contractor shall furnish
city with certificates of insurance and with original
endorsements effecting coverage required by this
clause. The certificates and endorsements for each
insurance policy are to be signed by a person
authorized by that insurer to bind coverage on its
behalf. The certificates and endorsements are to be
received and approved by the city before work
commences. The city reserves the right to require
complete, certified copies of all required insurance
policies, at any time.
(g) Subcontractors. Contractor shall include all
subcontractors as insureds under its policies or shall
furnish separate certificates and endorsements for each
subcontractor. All coverages for subcontractors shall
be subject to all of the requirements stated herein.
(h) The Risk Manager of city may approve a variation in
those insurance requirements upon a determination that
the coverages, scope, limits and forms of such
insurance are either not commercially available or that
the city's interests are otherwise fully protected.
5. CONTRACTOR NO AGENT. Except as city may specify in writing,
contractor shall have no authority, express or implied, to act on
behalf of city in any capacity whatsoever as an agent.
Contractor shall have no authority, express or implied, pursuant
to this Agreement to bind city to any obligation whatsoever.
6. ASSIGNMENT PROHIBITED. No party to this Agreement may
assign any right or obligation pursuant to this Agreement. Any
attempted or purported assignment of any right or obligation
pursuant to this Agreement shall be void and of no effect.
Exhibit D
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7. PERSONNEL. contractor shall assign only competent personnel
to perform services pursuant to this Agreement. In the event that
city, in its sole discretion, at any time during the term of this
Agreement, desires the removal of any such persons, contractor
shall, immediately upon receiving notice ,from city of such desire
of city, cause the removal of such person or persons.
8. STANDARD OF PERFORMANCE. Contractor shall perform all
services required pursuant to this Agreement in the manner and
according to the standards observed by a competent practitioner
of the profession in which contractor is engaged in the
geographical area in which contractor practices his profession.
All instruments of service of whatsoever nature which contractor
delivers to city pursuant to this Agreement shall be prepared in
a substantial, first class and workmanlike manner and conform to
the standards of quality normally observed by a person practicing
in contractor's profession.
9. HOLD HARMLESS AND RESPONSIBILITY OF CONTRACTORS. contractor
shall take all responsibility for the work, shall bear all losses
and damages directly or indirectly resulting to him, to any
subcontractor, to the city, to city officers and employees, or to
parties designated by the city, on account of the performance or
character of the work, unforeseen difficulties I accidents,
occurrences or other causes predicated on active or passive
negligence of the contractor or of any subcontractor. contractor
shall indemnify, defend and hold harmless the city, its officers,
officials I directors, employees and agents from and against any
or all loss, liability, expense, claim, costs (inCluding costs of
defense), suits, and damages of every kind, nature and
description directly or indirectly arising from the performance
of the work. This paragraph shall not be construed to exempt the
city, its employees and officers from its own fraud, willful
injury or violation of law whether willful or negligent. For
purposes of section 2782 of the civil code the parties hereto
recognize and agree that this agreement is not a construction
contract. By execution of this agreement contractor acknowledges
and agrees that he has read and understands the provisions hereof
and that this paragraph is a material element of consideration.
Approval of the insurance contracts does not relieve the
Contractor or subcontractors from liability under this paragraph.
10. GOVERNMENTAL REGULATIONS. To the extent that this Agreement
may be funded by fiscal assistance from another governmental
entity, contractor shall comply with all applicable rules and
regulations to which city is bound by the terms of such fiscal
assistance program.
Exhibit D
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11. DOCUMENTS. All reports, data, maps, models, charts,
studies, surveys, photographs, memoranda or other written
documents or materials prepared by contractor pursuant to this
Agreement shall become the property of city upon completion of
the work to be performed hereunder or upon termination of the
Agreement.
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