HomeMy WebLinkAboutAGENDA REPORT 2004 0915 CC REG ITEM 09AMOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
ITEM q • A •
CITY OF MOORPARK, CALIFORNIA
City Council Meeting
ACTION- __a /' • �/_ D,��lf
FROM: Hugh R. Riley, Assistant City Mana er
DATE: September 3, 2004 (City Council Meeting of Sept. 15,
2004)
SUBJECT: Agreements for Professional Services Relating to the
Formation, Financing and Annual Administration of
Moorpark Highlands (Morrison /Pardee) and Moorpark Vista
(SunCal) Community Facilities Assessment Districts
BACKGROUND
The City of Moorpark has approved development agreements for the
Moorpark Highlands and Moorpark Vista Residential Subdivision
projects. Morrison/ Pardee Homes and SunCal Homes, the owners and
developers of the projects, have submitted Petitions to the City in
accordance with Sections 53311 and following of the California
Government Code requesting the City to form Community Facilities
Districts for their respective developments. Moorpark Highlands
Development (Pardee) Moorpark Vista Development Project (SunCal)
( "the CFDs "). Two separate CFDs are planned since the projects may
proceed and require funding on different schedules. The CFDs will
encompass approximately 670 planned residential units. The
planning for these subdivisions has been under discussion with the
City for several years and pre- formation planning for the CFDs has
been undertaken by the City during the last few months.
The purpose of the CFDs is to fund the acquisition of a public
school site, the construction of certain major street improvements
and the payment of certain fees associated with the development
projects. The total cost of the fees to be paid and estimated cost
of the land and infrastructure that will be acquired by the CFDs is
approximately $45 million.
The acquisition of an approximately 22 -acre public school site
Moorpark Highlands project has been included in the financing plan
at the request of the Moorpark Unified School District.
Approximately a year ago, the City Council Ad Hoc Committee (Mayor
Hunter and Councilmember Harper) and staff met with representatives
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Honorable City Council
September 3, 2004
Page 2
of the Moorpark Unified School District and Pardee to discuss the
School District's desire to receive school impact fees as well as
the reserved school site in Specific Plan No. 2. The School
District and Pardee could not reach agreement on this proposal.
Pardee was willing to negotiate on the price of the land and
grading improvements but insisted on the use of a Community
Facilities District (CFD) to finance the acquisition of the site
for the District if it was to also pay the full amount of legally
required school fees. The School District did not want to sponsor
the CFD.
Since Pardee wanted to include the cost of certain other
infrastructure costs and fees in a CFD the Ad Hoc Committee
concurred to recommend use of a CFD for both purposes. The City
also worked with the District and Pardee to arrive at a fair value
for the school site.
The infrastructure is to be constructed by the private developer
and to be acquired by the City following completion. The
construction process is expected to take approximately 5 years. The
tax exempt bonds to be issued by the City to finance the project
improvements will be secured by the property and will be
obligations of the property owners and not the City. The Districts
will also include a Police Services Assessment of approximately
$350 per home per year to help offset the costs for additional law
enforcement services created by the projects. The Police Services
Fee will increase by approximately 20 each year for the life of the
project
The CFDs will be similar to other CFD programs in the Southern
California Region in both structure and cost to homeowners and
represents what is typical in areas of significant new residential
development. The property owners have requested that the CFDs be
formed and have successfully used this financing tool in the
development and marketing of their homes elsewhere.
DISCUSSION
In connection with the proposed the Districts, the City of Moorpark
has obtained proposals for professional services from qualified
firms to perform various tasks and provide services relating to the
formation, financing and annual administration of the Districts.
The consultant's proposals are attached as part of each agreement
for services. In the event of any conflict between the proposals
and language in the agreements, the agreement will prevail.
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Honorable City Council
September 3, 2004
Page 3
The costs for these services are fully paid from the proceeds of
the bond issue. If the Districts are not ultimately formed and
there is no financing, all City Staff costs and costs incurred by
the Special Tax Consultant and the Appraiser would be paid by the
developers from an initial deposit of $100,000 per project. The
other consultants could be reimbursed for documented expenses from
the remainder of the deposits.
The professional consultants recommended for these services are as
follows:
Bond Counsel & Disclosure Counsel - Jones Hall- prepares all City
legal documents, reviews all documents, certifies that the debt is
legal, binding and tax exempt. Prepares the preliminary and final
official statement and the continuing disclosure guidelines.
Financial Advisor - Urban Futures - Oversees the financing costs
and assists City in negotiating the final bond pricing. Coordinates
the process and can prepare staff reports and other processing
support analysis. Will help draft and manage the schedule for the
financing.
Bond Underwriter - Piper Jaffray & Co. - Sells the bonds and
delivers the funds to the city. Can also assist the financial
advisor on all points listed above. Establishes the market for the
bonds.
Special Tax Consultant - General Government Management Services -
Establishes the Special Tax formula for the collection of the CFD
payments. Allocates the costs amongst the parcels. Prepares the map
for the CFD.
Appraiser - Abergel & Associates - Evaluates the property based on
the bond financed improvements.
The attached professional service agreements with the various
consultants provide a detailed scope of work as well as cost
estimates for each service.
STAFF RECOMDMNDATION
Approve agreements for professional services subject to final
language approval by the City Manager and the City Attorney.
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Honorable City Council
September 3, 2004
Page 4
Attachments: Agreements for Professional Services:
1. Jones Hall- Bond /Disclosure Counsel
2. Urban Futures- Financial Advisor
3. Piper Jaffray & Co.- Underwriter
4. General Government Management Services -
Special Tax Consultant
5. Abergel & Associates - Appraiser
,)UO021
AGREEMENT FOR BOND /DISCLOSURE COUNSEL SERVICES
BY AND BETWEEN THE
CITY OF MOORPARK AND JONES HALL, PLC,
FOR BOND COUNSEL AND DISCLOSURE COUNSEL
SERVICES IN CONNECTION WITH
MELLO -ROOS BOND PROCEEDINGS
THIS AGREEMENT is entered into this day of July, 2004,
by and between the CITY OF MOORPARK, CALIFORNIA (the "City ") and
JONES HALL, A PROFESSIONAL LAW CORPORATION, San Francisco,
California ( "Attorneys ")
Tf1=S`SETH :
WHEREAS, The City is considering the issuance of one or
more series of bonds (the "Bonds ") under the Mello -Roos
Community Facilities Act of 1982, as amended; and
WHEREAS, in connection with such financing the City
requires the advice and assistance of bond counsel.
NOW, THEREFORE, in consideration of the premises and the
mutual covenants hereinafter set forth, the parties hereto do
hereby agree as follows:
Section 1. Duties of Attorneys. Attorneys shall do, carry out
and perform all of the following services as are necessary for
the issuance of the Bonds:
As Bond Counsel:
(a) Consultation and cooperation with the City, the City
Manager, the Finance Director, the City Attorney and all other
officers and employees of the City, with the underwriter, the
financial advisor, and other professional firms engaged by the
City with respect to the issuance of the Bonds and assisting
such persons in the formulation of a coordinated financial and
legal financing from the proceeds of the Bonds.
(b) Preparation of all legal proceedings deemed necessary
or advisable by Attorneys for the authorization, issuance and
delivery of the Bonds including preparation of (i) documentation
required for the issuance of the Bonds by the City, including a
fiscal agent agreement authorizing the issuance of the Bonds,
resolution authorizing and directing the sale of the Bonds, all
documentation required to be executed by the City in connection
with the delivery of the Bonds to the purchaser thereof, and all
ATTACHMENT 1 !;,022
agreements providing collateral security for the Bonds except as
may be within the scope of responsibility of any attorneys
representing other parties to the transaction, {ii} necessary
California Debt Advisory Commission filings and other reports
and documents required to be filed by the City in connection
with the issuance of Bonds, {iii} certificates, deeds,
requisitions, receipts, and other documents required in
connection with the delivery of the Bonds to the original
purchaser thereof, and (iv) other proceedings of the City
incidental to or in connection with the issuance, sale and
delivery of the Bonds.
(c) Application for any Internal Revenue Service or other
rulings deemed necessary by Attorneys (but only following
consultation with and approval by the City) to ensure the
exemption of interest on the bonds from federal or, if
applicable, State of California personal income taxation.
(d) Advising the City as to the need to register the Bonds
under applicable federal securities laws or to obtain a permit
to issue the bonds under applicable State of California
securities laws, or to obtain no- action letters or similar
determinations from the Securities Exchange Commission or
California Corporations Commission.
(e) Subject to the completion of proceedings to the
satisfaction of Attorneys, providing a legal opinion (i)
approving the legality of the proceedings of the City for the
authorization, issuance and delivery of the bonds, and (ii)
stating that interest on the Bonds is excluded from gross income
for federal income tax purposes and is exempt from State of
California personal income taxation.
(f) Legal consultation requested by the City concerning the
Bonds and any resolutions, certificates, agreements and other
documents relating to the authorization, issuance and delivery
of the Bonds at any time following issuance of the Bonds.
As Disclosure Counsel:
(a) Prepare the Official Statement (both preliminary and
final) or other disclosure documents in connection with the
offering of bonds;
(b) Confer and consult with the officers and
administrative staff of the City as to matters relating to the
Official Statement;
2 000023
(c) Attend all meetings of the City and any administrative
meetings at which the Official Statement is to be discussed, as
deemed necessary by the City or the Attorneys for the proper
exercise of their due diligence with respect to matters
contained in the Official Statement, or when specifically
requested by the issuer to attend;
(d) On behalf of the City, prepare the bond purchase
contract pursuant to which bonds will be sold to the underwriter
and a continuing disclosure certificate of the issuer to assist
the underwriter with complying with the provisions of SEC Rule
15c2 -12;
(e) Assist the City in preparation of the form of the first
continuing disclosure certificate to be filed in connection with
the bonds; and
(f) Provide a legal opinion commonly known as a "10b -5
Opinion" to the effect that nothing has come to their attention
to lead them to believe that the Official Statement (except for
certain commonly excepted items) contains any untrue statement
of a material fact or omits to state any material fact necessary
in order to make the statements therein, in light of the
circumstances under which they were made, not misleading. This
opinion will also cover other securities law matters, with
wording to the effect that bonds are exempt from the
registration requirements of the Securities Act of 1933 and
bonds therefore do not require registration, and that the
resolution or other document pursuant to which bonds are issued
is exempt from qualification under the Trust Indenture Act of
1939.
(g) Attorneys shall perform such other and further services
as are customarily performed by bond counsel and disclosure
counsel on similar financings.
Attorneys shall not be responsible for the preparation or
content of any official statement or other offering document
prepared by or on behalf of an underwriter or financial
consultant other than to examine any such official statement or
other offering document as to the description of the Bonds and
related financial agreements drafted by Attorneys and as to
matters within Attorneys' knowledge (without undertaking any
independent investigation thereof)
3 '00024
Attorneys shall not be responsible for (i) compliance by
the City with arbitrage rebate requirements under federal tax
law, other than to render advice as to the legal interpretation
of such requirements as set forth in the documents relating to
the Bonds, (ii) the representation of the City in connection
with any litigation involving the Bonds, or (iii) representation
in connection with the continuing disclosure requirements of the
Securities and Exchange Commission. Without limiting the
generality of the foregoing, Attorneys shall not be responsible
for preparing any calculations or documentation to establish
compliance with such rebate requirements or otherwise for
computing the amounts required to be rebated, or for providing
any litigation or continuing disclosure services related to the
Bonds, without a separate agreement between the City and
Attorneys.
Section 2. Compensation.
For the services listed in Section 1, as Bond Counsel, Attorneys
shall be paid a percentage fee, applied to the aggregate
principal amount of the bonds issued equal to the sum of: a) two
percent (2 %) of the first $1 million principal amount of the
Bonds, plus, b) one percent (1 %) of the next $4 million
principal amount of the Bonds, plus c) one -half of one percent
(1/2 of 1 %) of the next $10 million principal amount of the
Bonds, plus d) one -eight of one percent (1/8 of 1 %) of the
remaining principal amount of the Bonds; provided that said
percentage compensation shall not exceed an aggregate of
$70,000.
For the services listed in Section 1, as Disclosure Counsel,
Attorneys shall be paid a fee depending on the security for the
bonds as well as the complexity of the financing size and
structure. This fee typically ranges between $25,000 and $50,000
and is set by mutual agreement of the City and the Attorneys.
The fee for serving as disclosure counsel is also contingent
upon a successful closing.
In addition, the City shall reimburse Attorneys for all out -of
pocket costs and expenses incurred by Attorneys in connection
with their services hereunder for messenger and delivery
services, photocopying, legal publication, out -of -state travel,
and the cost of preparing transcripts of the proceedings for
closing; provided that said reimbursement shall not exceed an
aggregate of $5,000. Payment of said compensation shall be
entirely contingent upon the successful issuance of the Bonds,
4 000025
and shall be payable solely from the proceeds of the Bonds and
from no other funds of the City.
Section 3. Responsibilities of City. The City shall cooperate
with Attorneys and shall furnish Attorneys with certified copies
of all proceedings taken by the City and deemed necessary by
Attorneys to render an opinion on the validity of the Bonds. All
costs expenses incurred incidental to the actual issuance and
delivery of the Bonds, including the cost and expense of
preparing certified copies of proceedings required by Attorneys
in connection with the issuance of the Bonds, the cost of all
printing and publication costs:, fees and expenses of parties
other than Attorneys, costs and expenses of legal advertising
and all other expenses incurred in connection with the issuance
of the Bonds, shall be paid by the City from the proceeds of the
Bonds and shall not be the responsibility of Attorneys.
Section 4. Termination of Agreement. This agreement may be
terminated by City with or without cause at any time with no
less than 10 days written notice of such termination. In the
event of such termination, Attorneys shall be compensated for
such services up to the date of termination. Such compensation
for work in progress shall be prorated as to the percentage of
progress completed at the date of termination.
This agreement may be terminated by Attorneys only in the event
of breach by the City and by providing City with written notice
no less than 30 days in advance of such termination.
Section 5. General Conditions.
A. City shall not be called upon to assume any liability
for the direct payment of any salary, wage or other
compensation to any person employed by Attorneys performing
services hereunder for City.
B. Attorneys are and shall at all times remain as to the
City a wholly independent contractor. Neither the City nor
any of its officers, employees, servants or agents shall
control over the conduct: of Attorneys or any of Attorneys'
officers, employees or agents, except as herein set forth.
C. At the time of 1) termination of this agreement or 2)
conclusion of all work; all original documents, designs,
drawings, reports, calculations, diskettes, computer files,
notes, and other related materials whether prepared by
Attorneys or their subcontractor(s) or obtained in the
5 _100026
course of providing the services to be performed pursuant
to this agreement shall become the sole property of the
City and delivered to City on demand.
1. Attorneys will furnish City reproducible plans and
copies of documents, reports, diskettes and other items
mentioned above upon request of City, during the
evolution of work under this contract.
2. The Attorneys agree that any document, drawing,
report, calculations, diskette, computer file, note,
and other instrument prepared by Attorneys shall not
be subject to unauthorized reuse by the City.
D. Attorneys shall hold harmless, indemnify and defend
the City and its officers, employees, servants, from any
claim, demand, damage, liabilil:y, loss, cost or expense,
for any damage whatsoever, including but not limited to
death or injury to any person and injury to any property,
resulting from misconduct, negligent acts, or for want care
or skill on the part of Attorneys or any of its officers,
employees or agents in the performance of this agreement,
except such damage as is caused by the sole negligence of
the City or any of its officers, employees, servants or
agents.
1. The City does not waive any rights that it may have
against Attorneys by reason of Paragraph E hereof,
because of the acceptance by the City, or the deposit
with the City, of any insurance policy or certificate
required pursuant to this agreement. This hold
harmless and indemnification provision shall apply
regardless of whether or not said insurance policy is
determined to be applicable to the claim, demand,
damage, liability, loss, cost or expense described in
Paragraph E hereof.
E. Attorneys shall secure from a good and responsible
company or companies doing insurance business in the State
of California, pay for, and maintain in full force and
effect for one (1) year after the duration of this
agreement those policies of insurance required by Sections
S. F., G. and H. below, and shall, upon written request,
furnish to the City Clerk of the City certificates of said
insurance.
s 900027
F. Consistent with the provisions of Paragraph E,
Attorneys shall provide general public liability including
automobile liability, errors and omissions, and property
insurance in an amount not less than One Million
($1,000,000) per occurrence and annual aggregate.
G. Consistent with the provisions of Paragraph E,
Attorneys shall provide errors and omissions liability
insurance in an amount not less than One Million
($1,000,000) per occurrence and annual aggregate.
H. Consistent with the provisions of Paragraph E,
Attorneys shall provide Workers' Compensation Insurance as
required by the California Labor Code. If any class of
employees engaged by Attorneys in work under this agreement
is not protected by the workers' compensation law,
Attorneys shall provide adequate insurance for the
protection of such employees to the satisfaction of the
City.
I. Attorneys shall not assign this agreement or any of
the rights, duties or obligations hereunder. It is
understood and acknowledged by the parties that Attorneys
is uniquely qualified to perform the services provided for
in this agreement.
J. City is relying on Attorneys' expertise in the
execution of all work under this contract. Time is of the
essence.
K. Any notice to be given pursuant to this agreement
shall be in writing and all such notices and any other
documents to be delivered shall be delivered by personal
service or by deposit in the United States mail, certified
or registered, return receipt requested, with postage
prepaid, and addressed to the party for whom intended as
follows:
To: City of Moorpark
799 Moorpark Avenue
Moorpark, CA 93021
Attn: City Manager
To: Jones Hall, PLC
650 California Street, 18th Floor
San Francisco, CA 94108
Attn: David T. Fama, Esq
7
000028
Either party may, from time to time, by written notice to
the other, designate a different address which shall be
substituted for the one above specified. Notices, payments
and other documents shall be deemed delivered upon receipt
by personal service or upon deposit in the United States
mail.
L. Nothing contained in this agreement shall be deemed,
construed or represented by the City or Attorneys or by any
third person to create the relationship of principal or
agent, or of a partnership, or of a joint venture, or of
any other association of any kind or nature between the
City and Attorneys.
M. This agreement constitutes the subject matter hereof
and all prior agreements or understandings, oral or written
are hereby superseded. This agreement shall not be amended
in any way except by a writing expressly purporting to be
such an amendment, signed and acknowledged by both of the
parties hereto.
N. Should interpretation of this agreement, or any
portion thereof, be necessary, it is deemed that this
agreement was prepared by the parties jointly and equally,
and shall not be interpreted against either party on the
ground that the party prepared the agreement or caused it
to be prepared.
0. No waiver of any provision of this agreement shall be
deemed, or shall constitute, a waiver of any other
provision, whether or not similar, nor shall any such
waiver constitute a continuing or subsequent waiver of the
same provision. No waiver shall be binding, unless executed
in writing by the party making the waiver.
P. In the event any action, suit or proceeding is brought
for the enforcement of, or the declaration of any right or
obligation pursuant to this agreement or as a result of any
alleged breach of any provision of this agreement, the
prevailing party shall be entitled to recover its costs and
expenses, including reasonable attorney's fees, from the
losing party and any judgment or decree rendered in such a
proceeding shall include an award thereof.
000029
8
Q. Cases involving a dispute between the City and
Attorneys may be decided by an arbitrator if both sides
agree in writing, with costs proportional to the judgment
of the arbitrator.
R. This agreement is made, entered into, executed in
Ventura County, California, and any action filed in any
court or for arbitration for the interpretation,
enforcement or other action of the terms, conditions or
covenants referred to herein shall be filed in the
applicable court in Ventura County, California.
S. The captions and headings of the various Articles and
Paragraphs of this agreement are for convenience and
identification only and shall not be deemed to limit or
define the content of the respective Articles and
Paragraphs hereof.
Section 6. Responsible Individual. The individual directly
responsible for Attorneys overall performance of the contract
provisions herein above set forth and to serve as principal
liaison between City and Attorneys shall be David T. Fama.
Upon mutual agreement of: the parties, other individuals may be
in the above capacity.
Section 7. Implementation. The City shall provide Attorneys with
written notice in advance of the date at which these services
are to be implemented if different than the date of the
agreement.
Section 8. Conflict of Discrepancy. In consideration of the
award of this contract, Attorneys agrees that if there is a
conflict or discrepancy within or between any of the contract
documents, the City shall be the sole person to decide which
document or provision shall govern.
IN WITNESS WHEREOF, the City and Attorneys have executed
this Agreement as of the date first above written.
JONES HALL, PLC
By:
David T. Fama, Esquire
9 960030
CITY OF MOORPARK
Steven Kueny, City Manager
10
900031
AGREEMENT FOR PROFESSIONAL SERVICES THE CITY
OF MOORPARK AND URBAN AND FUTURES, INC. FOR
FINANCIAL ADVISORY CONSULTING SERVICES
RELATED TO FORMATION AND FINANCING OF THE
MOORPARK HIGHLANDS AND MOORPARK VISTA
COMMUNITY FACILITIES ASSESSMENT DISTRICTS.
This Agreement is made and entered into in the City of
P,Toorpark on this day of June, 0.004, by and between the City
of Moorpark ( "CITY "'), a public body, corporate and politic, and
Urban Futures, Inc., a California corporation providing
consulting services (CONSULTANT).
WITNESSETH
WHEREAS, CITY has determined that it requires professional
consulting services related 'Co the formation and financing of the
Moorpark Highlands and t400rpark vista Community Facilities
Districts; and
WHEREAS, CONSULTANT is experienced in providing such
services and has the proper experience, knowledge and skills to
carry out the duties involved; and
WHEREAS, CITY
performance of said s:
NOW, THEREFORE,
benefits and promises
_ c l . 3ws :
wishes
?rvices;
in con,
herein
Scope of Services
to retain �OVSULTANT for e
;ideration Oi the ra tual cod %e ant
stated, the parties hereto agree c.S
AGENCY does hereby retain CONSULTANT in a conr_ractus
capacity to provide financial advisory consulting services :=.s
described in the CONSULTANT'S Proposal dated June 4, 2004 which
is attached to this agreement as Exhibit "A. ", and made .art
hereof.
_.. t: event that additional service =s rega re _
CNSULTAN`?', beyond the Scope of Services for this tigreen.e~
-)- ITT ANT �aj be authorized t0 undertake ari� ? �yPt�
_ _ _ s'_ _ -
additional work only if such authorization is provide -,-j it
writing, identifying the exact nature of the additional ser:;ic
c r se Vice: required =;mil a ". ':c+ Jc paid
Professional Services Agreement between Page 1 of g
City of Moorpark and Urban Futures: Inc.
ATTACHMENT 2 fy, 00 032
for said additional work, or at a negotiated lump sum amount
approved by CITY.
II. Compensation
The compensation to CONSULTANT shall be as indicated in the
Proposed Fees /Compensation Section of Exhibit "A ". Payment to
CONSULTANT shall be made by the designated Bond Trustee as
authorized by the CITY within thirty (30) days of receipt of
invoice, if the invoice is not contested or questioned by CITY.
If AGENCY identifies a discrepancy between the invoice amount and
the services or products completed, CITY shall within fifteen
(15) workdays of receipt of the invoice specify in writing the
discrepancy. CONSULTANT shall then either 1) provide support
materials to satisfy CITY'S stated concern, or 2) revise the
invoice to reflect an adjustment to the stated discrepancy. CITY
shall then pay the revised or documented invoice within thirty
(30) days of such revision or documentation.
III. Incorporation by Reference
Exhibit "A ", as previously identified and the Attachments
thereto, is hereby incorporated into and made a part of this
Agreement. In the event of a conflict between the provisions of
the Scope of Services found in Exhibit "A" and this Agreement,
the language contained in this Agreement shall take precedence.
IV. Termination or Suspension
This Agreement may be terminated or suspended with or
without cause by CITY at any time with no less than five (5)
working days written notice of such termination or suspension.
CONSULTANT may terminate this Agreement only by providing CITY
with written notice no less than thirty 130) days in advance of
such termination. In the event of such termination or
suspension, CONSULTANT shall be compensated for such services up
to the date of termination or suspension. Such compensation for
work in progress shall be prorated as to the percentage of
progress completed at the date of termination or suspension.
V. Complete Agreement
This written Agreement, including all writings specifically
incorporated herein by reference, shall constitute the complete
Professional Services Agreement between Page 2 of 9
City of Moorpark and Urban Futures, Inc.
Agreement between the parties hereto. No oral Agreement,
understanding, or representation not reduced to writing and
specifically incorporated herein shall be of any force or effect,
nor shall any such oral Agreement, understanding, or
representation be binding on the parties hereto. Should
interpretation of this Agreement, or any portion thereof, be
necessary, it is deemed that this Agreement was prepared by the
parties jointly and equally, and shall not be interpreted against
either party on the ground that the party prepared the Agreement
or caused it to be prepared. No waiver of any provision of this
Agreement shall be deemed or shall constitute, a waiver of any
other provision, whether or not similar, nor shall any such
waiver constitute a continuing or subsequent waiver of the same
provisions. No waiver shall be binding, unless executed in
writing by the party making the waiver.
VI. Assignment /Successors
CONSULTANT shall not assign this Agreement or any of the
rights, duties or obligations hereunder. It is understood and
acknowledged by the parties that CONSULTANT is uniquely qualified
to perform the services provided for in this Agreement.
VII. Term
The Term of this Agreement shall be for a period beginning
With the date first herein written and continuing through June
30, 2005, unless sooner terminated or extended, as herein
provided. CONSULTANT shall perform the professional services
identified in this Agreement in a timely manner, consistent with
sound professional practices.
VIII. Anti- Discrimination
In the performance of the terms of this Agreement,
CONSULTANT agrees that it will not engage in, nor permit such
subcontractors as it may employ, to engage in discrimination in
employment of persons because of the age, race, color, creed,
sex, sexual orientation, national origin, ancestry, religion,
physical disability, medical disability, medical condition, or
marital status of such persons. Violation of this provision may
result in the imposition of penalties referred to in the Labor
Code of the State of California Section 1735.
Professional Services Agreement between Page 3 of 9
City of Moorpark and Urban Futures, Inc.
f�00034
IX. Insurance and Indemnification
CONSULTANT shall 'hold harmless, indemnify and defend City
and its officers, employees, servants and agents and independent
contractors who serve in the role of City Manager, Assistant City
Manager, City Clerk, Director of Community Development, City
Engineer, or City Attorney from any claim, demand, damage,
liability, loss, cost or expense, for any damage whatsoever,
including but not limited to death or injury to any person and
injury to any property, resulting from, or in any way connected
with the performance of this Agreement by CONSULTANT or CITY,
except such damage as is caused by the sole negligence of CITY
CONSULTANT shall secure from a good and responsible company
or companies doing insurance business in the State of California,
pay for, and maintain in full force and effect for the duration
of this Agreement the policies of insurance required by this
section and shall furnish to the City Clerk of the City
certificates of said insurance on or before the commencement of
the term of this Agreement.
Notwithstanding any inconsistent statement in any of said
policies or any subsequent endorsement attached thereto, the
protection offered by the policies shall;
1. Provide general public liability insurance including
automobile liability and property damage insurance in
an amount not less than one million dollars
($1,000,000) per occurrence and annual aggregate.
2. Name AGENCY and its officers, employees, servants and
agents and independent contractors serving in the role
of City Manager, Assistant City Manager, City Clerk,
Director of Community Development, City Engineer, or
City Attorney, as additional insured with CONSULTANT'.
Confirmation of this coverage shall be provided on an
Insurance Services Office (ISO) Form CG 20 10 11 85
Endorsement, or other form stipulated in writing by
City Clerk.
3. Bear an endorsement or have attached a rider whereby it
is provided that, in the event of cancellation or
amendment of such policy for any reason whatsoever,
AGENCY shall be notified by mail, postage prepaid, not
less than thirty (30) days before the cancellation or
Professional Services Agreement between
City of Moorpark and Urban Futures, Inc.
Page 4 of 9
000035
amendment is effective. CONSULTANT shall give AGENCY
thirty (30) days written notice prior to the expiration
of such policy.
4. Be written on an occurrence basis.
CONSULTANT also shall maintain professional liability
(errors and omissions) coverage in an amount not less than one
million dollars ($1,000,000) per claim.
Consistent with this section, CONSULTANT shall provide
workers' compensation insurance as required by the California
Labor Code. If any class of employees engaged by CONSULTANT in
work under this Agreement is not protected by the workers'
compensation law, CONSULTANT shall provide adequate insurance for
the protection of such employees to the satisfaction of CITY.
At such point in time that CONSULTANT obtains and provides
any of the above insurance with coverage limits in excess of the
amounts specified above to another of CONSULTANT'S clients,
CONSULTANT shall immediately provide these same coverage limits
to CITY.
CITY does not, and shall not, waive any rights that it may
have against CONSULTANT by reason of this section, because of the
acceptance by CITY, or the deposit with CITY, of any insurance
policy or certificate required pursuant to this Agreement. This
hold harmless and indemnification provision shall apply
regardless of whether or not said insurance policies are
determined to be applicable to the claim, demand, damage,
liability, loss, cost or expense described in this section.
X. Notices
Any notice to be given pursuant to this Agreement shall be
in writing, and all such notices and any other document to be
delivered shall be delivered by personal service or by deposit in
the United States mail, certified or registered, return receipt
requested, with postage prepaid, and addressed to the party for
whom intended as follows:
Professional Services Agreement between Page 5 of 9
City of Moorpark and Urban Futures, Inc.
00036
To: City Manager
City of Moorpark
799 Moorpark Avenue
Moorpark, California 93021
To: Marshall Linn, President
Urban Futures, Inc.
3111 North Tustin Avenue, Suite 230
Orange, California 92865 -1753
Either party may, from time to time, by written notice to
the other, designate a different address or contact person, which
shall be substituted for the one above specified. Notices,
payments and other documents shall be deemed delivered upon
receipt by personal service or as of the second (2 rd) day after
deposit in the United States mail.
XI. General Conditions
A. CONSULTANT agrees not to work for any private firm
located within the CITY limits or its Area of Interest, or for
any public agency where its jurisdiction includes all or part of
the CITY without the prior written consent of the CITY, during
the term of this Agreement. Furthermore, CONSULTANT agrees to
limit its actions related to economic interest and potential or
real conflicts of interest as such as defined by applicable State
law to the same standards and requirements for designated CITY
employees.
3. CITY shall not be called upon to assume any liability
for the direct payment of any salary, wage or other compensation
to any person employed by CONSULTANT performing services
hereunder for CITY.
C. CONSULTANT is, and shall at all times, remain as to
CITY a wholly independent contractor. Neither the CITY, nor any
of its officers, employees, servants or agents, shall have
control over the conduct of CONSULTANT or of CONSULTANT'S
officers, employees or agents, except as herein set forth.
CONSULTANT shall not at an time or in any manner represent that
it or any of its officers, employees, or agents are in any manner_
employees of CITY.
Professional Services Agreement between Page 6 of 9
City of Moorpark and Urban Futures, Inc.
000037
D. At the time of 1) termination of this Agreement or 2)
conclusion of all work, all original reports, documents,
calculations, diskettes, computer files, notes, and other related
materials whether prepared by CONSULTANT or its subcontractor(s)
or obtained in the course of providing the services to be
performed. pursuant to this Agreement shall become the sole
property of CITY. Any word processing computer files provided to
CITY shall use Microsoft Word for Windows software.
E. Nothing contained in this Agreement shall be deemed,
construed or represented by CITY or CONSULTANT or by any third
person to create the relationship of principal or agent, or of a
partnership, or of a joint venture, or of any other association
of any kind or nature between CITY and CONSULTANT.
F. In the event any action, suit or proceeding is brought
for the enforcement of, or the declaration of any right or
obligation pursuant to this Agreement or as a result of any
alleged breach of any provision of this Agreement, the prevailing
party shall be entitled to recover its costs and expenses,
including reasonable attorney's fees, from the losing party, and
any judgment or decree rendered in such a proceeding shall
include an award thereof.
v. Cases involving a dispute between CITY and CONSULTANT
may be decided by an arbitrator if both sides agree in writing on
the arbitration and on the arbitrator selected, with costs
proportional to the judgment of the arbitrator.
H. This Agreement is made, entered into, and executed in
Ventura County, California, and any action filed in any court or
for arbitration for the interpretation, enforcement or other
action of the terms, conditions or covenants referred to here--,,-
shall be filed in the applicable court in Ventura County,
California.
I. The captions and headings of the various Sections and
Exhibits of this Agreement are for convenience and identification
only and shall not be deemed to limit or define the content of
the respective Sections and Exhibits hereof.
J. This Agreement constitutes the entire Agreement of the
parties concerning the subject matter hereof and all prior
Agreements or understandings, oral or written, is hereby merged
herein. This Agreement shall not be amended in any way except by
Professional Services Agreement between Page 7 of 9
City of Moorpark and Urban Futures, Inc.
000038
a written amendment expressly purported to be such an amendment,
signed and acknowledged by both parties hereto.
K. Should interpretation of this Agreement, or any portion
thereof, be necessary, it is deemed that this Agreement was
prepared by the parties jointly and equally, and shall not be
interpreted against either party on the ground that a party
prepared the Agreement or caused it to be prepared.
L. No waiver of any provision of this Agreement shall be
deemed, or shall constitute a continuing or subsequent waiver of
the same provision. No waiver shall be binding, unless executed
in writing by the party making the waiver.
M. If any portion of this Agreement is held by a court of
competent jurisdiction to be invalid, void, or unenforceable, the
remaining provisions will never - the -less continue in full force
without being impaired or invalidated in any way.
N. No officer, employee, director or agent of the CITY
shall participate in any decision relating to this Agreement
which affects his personal interest or the interest of any
corporation, partnership, or association in which he is directly
or indirectly interested, or shall any such person have any
interest, direct r indirect, in this Agreement or the provisions
thereof.
XII. Responsible Individual
The individual directly responsible for CONSULTANT's overall
performance of the Agreement provisions herein above set forth
and to serve as principal liaison between CITY and CONSULTANT
shall be Marshall Linn, and no other individual may be
substituted.
The CITY'S contact person in charge of administration of
this Agreement and to serve as principal liaison between
CONSULTANT and CITY shall be the City Manager or his designee.
Professional Services Agreement between Page 8 of 9
City of Moorpark and Urban Futures, Inc.
000039
XIII. Effective Date
This Agreement shall be effective on June__, 2004.
CITY OF MOORPARK:
Steven Kueny
City Manager
ATTEST:
Deborah Traffenstedt, City Clerk
CONSULTANT:
Marshall Linn, President
Urban Futures, Inc.
Exhibit "A ": Proposal for Professional Services
Professional Services Agreement between
City of Moorpark and Urban Futures, Inc.
Page 9 of 9
000040
SCOPE OF SERVICES
FINANCIAL ADVISOR
It has been and will continue to be UFI's approach as financial advisor to be independent from real or
perceived conflicts of interest and to preserve absolute impartiality in providing financing advice.
The relationship should be one of mutual confidence and trust, and the client should feel comfortable
that the financial advisor will represent and protect its interests throughout the term of the
engagement. This is more a statement of philosophy, but it is one we believe in and adhere to in the
conduct of our business. UFI is fully capable of assisting the City of Moorpark in all of the areas
listed in the Scope of Services. The services stated below are for land based types of financings.
1. Prepare for the client a financing structure to accomplish the financing objective. This
analysis will include setting goals and objectives relative to the issuance of both taxable and
tax exempt debt.
2. Organize the financing team and represent the City at all developer and staff meetings.
3. Assist in the selection of appropriate team members, such as appraiser, underwriter, trustee,
etc.
4. Assist in the development of special tax formulas.
5. Evaluate the feasibility of the project/financing to include project costs, cash flows, built and
finished land values.
6. Evaluate the financing structure, to include debt service schedules; call features; bond
security-, flow of funds; sources and uses of funds including costs of issuance; underwriters
discount and original issue discount; investment of bond proceeds; and estimated positive
and negative cash flow to the A-ency.
000041
EXHIBIT A
7. Work with client staff, bond counsel, disclosure counsel, underwriters and other participants,
to review, prepare and advise on information contained in the preliminary and final official
statements, Indenture of Trust, investment agreements, and other legal and disclosure
documents and materials required to facilitate the sale of the bonds.
8. Continue to update and monitor market conditions including interest rate "spreads" between
various tax - exempt and taxable securities, financing schedules and reinvestment
opportunities up until the actual marketing and pricing of the bonds.
9. After reviewing all bond documents including the Official Statement, Indenture of Trust, and
investment agreements, UFI will provide the client with a "Fairness Opinion" relative to the
proposed sale of bonds including the pricing structure, interest rate levels, interest rate
"spreads ", reinvestment structures, costs of issuance, underwriting and other investment
banking fees.
10. Assist the client in the final closing of the financing and investment of proceeds.
11. Assist in the formation of the District.
12. Attend all City Council meetings on items related to the formation of the District.
13, Post -Bond Sale follow -up:
A. Working with the City /Agency's underwriter, prepare and furnish the City with a table of
debt service which will include semi annual and annual payments of principal and interest.,
table of sources and uses of funds from the proceeds of the financing, and a complete cash
flow analysis of the financing which will "track" the flow of funds, investment earnings,
pledged revenues, and debt service payments.
000042
B. Reinvestment Assistance. UFI has established a network of advisors and sources to
assist clients in their investment and reinvestment decisions related to their financing plans.
We will actively assist the City in its ongoing investment decisions, as well as its investment
decisions for the proceeds from the financing if so desired by the City.
14. Conduct investor meetings on behalf of the City/Agency if necessary.
000043
PROPOSED FEES /COMPENSATION
FINANCIAL ADVISOR FEES
The cost for the services requested by the City for Financial Advisor shall be based on the following
fee schedule and other considerations:
Fee Bond Amt.
1) $22,500 up to and including $ 1,000,000
2) $26,500 up to and including $ 2,000,000
3) $29,500 up to and including $ 3,000,000
4) $32,500 up to and including $ 4,000,000
5) $35,500 up to and including $ 5,000,000
6) $37,500 up to and including $ 6,000,000
7) $39,500 up to and including $ 7,000,000
8) $41,500 up to and including $ 8,000,000
9) $43,500 up to and including $ 9,000,000
10) $45,500 up to and including $10,000,000
11) $47,500 up to and including $11,000,000
12) $49,500 up to and including $12,000,000
13) $51,500 up to and including $13,000,000
14) $53,500 up to and including $14,000,000
15) $55,500 up to and including $15,000,000
16) $57,500 up to and including $16,000,000
17) $59,500 up to and including $17,000,000
18) $61,500 up to and including $18,000,000
19) $63,500 up to and including $19,000,000
20) $65,500 up to and including $20,000,000
21) $67,500 up to and including $21,000,000
22) $69,500 up to and including $22,000,000
23) $71,500 up to and including $23,000,000
24) $73,500 up to and including $24,000,000
25) $75,500 up to and including $25,000,000
For any single issue in excess of $25,000,000, the financial advisor fee will be $1,500 per million
over and above $25,000,000.
Such fee shall become payable only upon delivery by the City (or the legal entity or entities issuing
such bonds, or obligations) of such bonds.
FORMATION FEE
Urban Futures, Inc. will be compensated at $175 per hour for work associated with the formation of
the District. All fees shall be the responsibility of the developer, who shall deposit money with the
City prior to the initiation of the financing.
Agreement Employing
Piper Jaffray & Co.
as Municipal Bond Underwriter
This Agreement made this day of , 2004, by and between
the City of Moorpark, a public body corporate and politic, created and existing under
and by virtue of the laws of the State of California, hereinafter referred to as "Issuer" and
Piper Jaffray & Co., hereinafter referred to as "Piper Jaffray ".
Recitals
Whereas, Issuer may issue Community Facilities District or Assessment District
Bonds to assist with the financing and refinancing of public infrastructure for the
Moorpark Highlands Area (Pardee Homes and Suncal Homes projects) (the "Project ") in
one or more series of municipal bond sales (hereinafter "Bonds ").
Whereas, Piper Jaffray has expended a substantial amount of time and effort on
behalf of the proposed Project financings in the areas of research, analysis, structuring
and presentation of the financing options; and
Whereas, it is in the best interest of the Issuer to employ an investment banker to
advise and assist in the planning, structuring, and sale of Bonds; and
Whereas, Piper Jaffray has such licenses, capital and experience as to qualify to
serve as the investment banker for the Project and is prepared to purchase the Bonds
that will finance the Project.
Now, therefore, for and in consideration of the matters hereinbefore referred to
and the mutual covenants herein set forth, the parties agree as follows:
Section T Scope of Services
Piper Jaffray shall serve as the investment banker responsible to underwrite the
Bonds for the Project of the Issuer.
A. Underwriting Services
Pertaining to the issuance of Bonds, Piper Jaffray will develop a financing plan
for each sale of Bonds with the purpose of assisting the Issuer in achieving its financial
objectives. The services requested may include, but are not limited to the following:
1. Organize and coordinate the financing team;
ATTACHMENT 3
000045
3. Review and evaluation of various financing structures available to Issuer for
funding each facet of the Project, including the refunding of said original bond
issues;
4. Preparation and implementation of a comprehensive financing plan and
marketing strategy for the issuance of Bonds;
5. Assess benefits of rated Bonds, and if found cost effective or prudent, facilitate
such rating;
6. Assess benefits of credit enhancements (letter of credit, bond insurance, etc.)
and if found cost effective or prudent, facilitate such enhancement;
7. Assist with the preparation of an Official Statement (OS), including, among other
things, providing a detailed description of each financing undertaken as part of
the Project, the debt to be offered, the financing plan for each individual
financing, and such statistical and other matters as desired for informing
investors and other concerned parties;
8. Coordination of the printing and distribution of each OS;
9. Preparation of cash flow statements, debt amortization schedules, and other
appropriate financial information as requested by Issuer;
10. Submit a Bond Purchase Contract at such time and place as mutually agreed
upon by the Issuer and Piper Jaffray for the purchase of the Bonds;
11. Purchase the Bonds; and
12. Coordination of closing and delivery activities of the Bonds and proceeds.
For the term of this Agreement, Issuer designates Piper Jaffray as the
underwriter of the municipal debt offerings utilized to fund the Project.
Section 2 Expenses
Piper Jaffray will pay its own costs incurred in the performance of this
Agreement, including cost of travel within California, cost of its legal counsel, if any,
communication, assistance with preparation (excluding printing and mailing) of Official
Statements, and overhead expenses, except as provided in the following paragraph.
Issuer, from bond proceeds or other lawfully available funds, will pay with each
issuance of Bonds: bond counsel, disclosure counsel, rating agency, and credit
enhancement fees (if any), the cost of appraisal, fiscal consultant, financial advisor,
statistical, computer and graphics services (if any), cost of printing and distribution of
000046
the Preliminary and final Official Statement, and the costs of fiscal agent or bond trustee
and registrar. Travel expenses outside California by Piper Jaffray shall only be paid by
the Issuer if approved in writing prior to the incurrence of said expense.
Section 3 Compensation
Piper Jaffray will be compensated for its work as well as any expenses through
the underwriting discount paid for the purchase of the Bonds, with payment contingent
upon the successful sale and delivery of the Bonds. The actual underwriting discount
will be as established via negotiation with the Issuer based on the credit strength of the
Bonds, the market conditions at the time of Bond pricing, and work undertaken by Piper
Jaffray. If the Issuer, acting in good faith, determines that it cannot agree on an
underwriting discount or bond pricing with Piper Jaffray, the Issuer may sell the bonds to
persons or firms other than Piper Jaffray at public or private sale, with no remuneration
to Piper Jaffray. A not to exceed underwriting discount of 1.815% of the par amount of
bonds issued for the Project is hereby established.
Payment of said compensation shall be entirely contingent upon the successful
issuance of the Bonds, and shall be payable solely from the proceeds of the Bonds and
from no other funds of the City.
Section 4 Term of Agreement
The term of this Agreement is until such time as the Project is fully financed or
the City formally abandons the Project. The term of the agreement may be amended by
mutual agreement of the Issuer and Piper Jaffray. Piper Jaffray personnel shall be
available to the City for advice and consultation for the full term of the financing.
Section 5 Agreement Termination and Amendments
This agreement may be amended or terminated by mutual written agreement of
the Issuer and Piper Jaffray. Issuer may terminate the agreement per the following:
Termination without cause: Piper Jaffray will be reimbursed for all services
provided and expenses incurred.
2. Termination due to City cancellation of the Project: Piper Jaffray will receive no
reimbursement for services and expenses incurred.
3. Issuer determination that Piper Jaffray is not providing adequate services or, if
the Issuer per Section 3 is unable to agree with Piper Jaffray on a Bond pricing,
Issuer shall notify Piper Jaffray, in writing, of the deficiency in service. If Piper
Jaffray is unable to cure the deficiency, to the satisfaction of the Issuer in Issuer's
sole discretion, within a period of ten working days, Issuer may terminate the
Agreement with no compensation due to Piper Jaffray.
000047
Section 6 Project Staffing
Piper Jaffray commits to provide qualified and expert personnel to work with the
Issuer on all projects authorized under this Agreement. The Piper Jaffray team will be
directed by Mark Curran, Managing Director of the Piper Jaffray Public Finance Group.
Mark Curran will personally supervise and direct all efforts of Piper Jaffray in fulfilling the
terms of this Agreement. Issuer has the exclusive right to approve Piper Jaffray staff
assigned by Piper Jaffray to work with the Issuer.
Section 7 Governing Law
This Agreement and the rights and obligations of the parties hereto shall be
construed, interpreted and enforced pursuant to the laws of the State of California. To
avoid costly litigation, the parties of this Agreement agree to first submit any
disagreements to arbitration.
Section 8 Miscellaneous
Nothing contained herein shall preclude Piper Jaffray from carrying on its
customary and usual business activities. Piper Jaffray specifically reserves the right to
bid for and maintain secondary markets on any of Issuer's outstanding bonds. Services
provided by the Underwriter in connection with this Agreement shall not limit the
underwriter from providing services for Issuer in conjunction with other services
requested by Issuer.
In performing negotiated underwriting services, Piper Jaffray is acting on its own
behalf as an underwriter and not as a consultant acting in an advisory capacity to the
Issuer within the meaning of Section 53591 of the Government Code of the State of
California.
In connection with services agreed to herein, it is understood that Piper Jaffray
will render professional services within the extent of its training and experience. In
rendering such professional services, Piper Jaffray is acting as an independent
contractor. Neither Piper Jaffray nor any of its agents or employees shall be deemed an
employee of Issuer for any purpose.
Piper Jaffray will at all times during the course of this Agreement, comply with the
laws, regulations and rules concerning investment banking services promulgated by the
Municipal Securities Rulemaking Board, and all applicable federal, state and local laws,
statutes, ordinances and regulations.
This agreement is made, entered into, executed in Ventura County, California,
and any action filed in any court or for arbitration for the interpretation, enforcement or
other action of the terms, conditions or covenants referred to herein shall be filed in the
applicable court in Ventura County, California.
0��48
Piper Jaffray shall not assign or otherwise transfer any interest in this Agreement
without the prior written consent of Issuer.
Section 9 Establishment of Joint Financing Authority
If appropriate to facilitate the issuance of Bonds, Issuer may offer the Bonds
through a Joint Financing Authority (JFA), pursuant to the provisions of Chapter 5 of
Division 7 of Title 1 of the Government Code. At such time as the issuer sells bonds to
the JFA, the JFA shall sell the Bonds to Piper Jaffray. It is understood by both the Issuer
and Piper Jaffray that the sole security for the Bonds issued by the JFA will be the
revenues pledged by the Issuer.
Section 10 Severability of Provisions
If any provision of this Agreement is held invalid, the remainder of the Agreement
shall not be affected thereby if such remainder would then continue to conform to the
terms and requirements of applicable law.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed the day and year first written above.
CITY OF MOORPARK
am
Name: Steven Kueny
Title: City Manager
UNDERWRITER
an
Mark Curran
Managing Director
Piper Jaffray & Co.
000049
AGREEMENT FOR PROFESSIONAL SERVICES THE CITY
OF MOORPARK AND GENERAL GOVERNMENT MANAGEMENT
SERVICES FOR SPECIAL TAX CONSULTING SERVICES
RELATED TO FORMATION, FINANCING AND
ADMINISTRATION OF THE MOORPARK HIGHLANDS AND
MOORPARK VISTA COMMUNITY FACILITIES
ASSESSMENT DISTRICTS.
This Agreement is made and entered into in the City of
Moorpark on this day of June, 2004, by and between the City
of Moorpark ( "CITY "), a public body, corporate and politic,
General Government Services, a Proprietorship providing
consulting services (CONSULTANT).
WITNESSETH
WHEREAS, CITY has determined that it requires professional
consulting services related to the formation, financing and
Administration of the Moorpark Highlands and Moorpark Vista
Community Facilities Assessment Districts (the "PROJECT "); and
WHEREAS, CONSULTANT is experienced in providing such
services and has the proper experience, knowledge and skills to
carry out the duties involved; and
WHEREAS, CITY wishes to retain CONSULTANT for the
performance of said services;
NOW, THEREFORE, in consideration of the mutual covenants,
benefits and promises herein stated, the parties hereto agree as
follows:
I. Scope of Services
AGENCY does hereby retain CONSULTANT in a contractual
capacity to provide financial advisory consulting services as
described in the CONSULTANT'S Proposal dated March 24, 2004 which
is attached to this agreement as Exhibit "A ", and made a part
hereof.
In the event that additional service is required c
CONSULTANT, beyond the Scope of Services for this Agreement,
CONSULTANT may be authorized to undertake and complete such
additional work only if such authorization is provided in
writing, identifying the exact nature of the additional service
Professional Services Agreement between
City of Moorpark and GGMS
Page 1 of 9
ATTACHMENT 4 ",0r:) 5 ®
or services required and a "not -to- exceed" fee to be paid by CITY
for said additional work, or at a negotiated lump sum amount
approved by CITY.
II. Compensation
A. Formation Services- Compensation to CONSULTANT for
Formation Services shall be based on the Cost Estimates for
Formation Services provided in Exhibit A.
B. Annual Administration -
on an annual basis for the
Administrative Services for the
based on the description of Fees
Exhibit A.
The Consultant shall be retained
purpose of providing Annual
PROJECT and shall be compensated
for Annual Services included in
Payment to CONSULTANT shall be made by the CITY or the designated
Bond Trustee as authorized by the CITY within thirty (30) days of
receipt of invoice, if the invoice is not contested or questioned
by CITY. If CITY identifies a discrepancy between the invoice
amount and the services or products completed, CITY shall within
fifteen (15) workdays of receipt of the invoice specify in
writing the discrepancy. CONSULTANT shall then either 1) provide
support materials to satisfy CITY'S stated concern, or 2) revise
the invoice to reflect an adjustment to the stated discrepancy.
CITY shall then pay the revised or documented invoice within
thirty (30) days of such revision or documentation.
III. Incorporation by Reference
Exhibit "A ", as previously identified and the Attachments
thereto, is hereby incorporated into and made a part of this
Agreement. In the event of a conflict between the provisions of
the Scope of Services found in Exhibit "A" and this Agreement,
the language contained in this Agreement shall take precedence.
IV. Termination or Suspension
This Agreement may be terminated or suspended with or
without cause by CITY at any time with no less than five (5)
working days written notice of such termination or suspension.
CONSULTANT may terminate this Agreement only by providing CITY
with written notice no less than thirty (30) days in advance of
such termination. In the event of such termination or
suspension, CONSULTANT shall be compensated for such services up
Professional Services Agreement between Page 2 of 9
City of Moorpark and GGMS
to the date of termination or suspension. Such compensation for
work in progress shall be prorated as to the percentage of
progress completed at the date of termination or suspension.
V. Complete Agreement
This written Agreement, including all writings specifically
incorporated herein by reference, shall constitute the complete
Agreement between the parties hereto. No oral Agreement,
understanding, or representation not reduced to writing and
specifically incorporated herein shall be of any force or effect,
nor shall any such oral Agreement, understanding, or
representation be binding on the parties hereto. Should
interpretation of this Agreement, or any portion thereof, be
necessary, it is deemed that this Agreement was prepared by the
parties jointly and equally, and shall not be interpreted against
either party on the ground that the party prepared the Agreement
or caused it to be prepared. No waiver of any provision of this
Agreement shall be deemed or shall constitute, a waiver of any
other provision, whether or not similar, nor shall any such
waiver constitute a continuing or subsequent waiver of the same
provisions. No waiver shall be binding, unless executed in
writing by the party making the waiver.
VI. Assignment /Successors
CONSULTANT shall not assign this Agreement or any of the
rights, duties or obligations hereunder. It is understood and
acknowledged by the parties that CONSULTANT is uniquely qualified
to perform the services provided for in this Agreement.
VII. Term
The Term of this Agreement shall be for a period beginning
with the date first herein written and shall continue until
terminated as herein provided under Section IV. CONSULTANT shall
perform the professional services identified in this Agreement in
a timely manner, consistent with sound professional practices.
VIII. Anti- Discrimination
In the performance of the terms of this Agreement,
CONSULTANT agrees that it will not engage in, nor permit such
subcontractors as it may employ, to engage in discrimination in
employment of persons because of the age, race, color, creed,
Professional Services Agreement between Page 3 of 9
City of Moorpark and GGMS
000052
sex, sexual orientation, national origin, ancestry, religion,
physical disability, medical disability, medical condition, or
marital status of such persons. Violation of this provision may
result in the imposition of penalties referred to in the Labor
Code of the State of California Section 1735.
IX. Insurance and Indemnification
CONSULTANT shall hold harmless, indemnify and defend City
and its officers, employees, servants and agents and independent
contractors who serve in the role of City Manager, Assistant City
Manager, City Clerk, Director of Community Development, City
Engineer, or City Attorney from any claim, demand, damage,
liability, loss, cost or expense, for any damage whatsoever,
including but not limited to death or injury to any person and
injury to any property, resulting from, or in any way connected
with the performance of this Agreement by CONSULTANT or CITY,
except such damage as is caused by the sole negligence of CITY
CONSULTANT shall secure from a
or companies doing insurance business
pay for, and maintain in full force
of this Agreement the policies of
section and shall furnish to the
certificates of said insurance on or
the term of this Agreement.
ood and responsible company
in the State of California,
and effect for the duration
insurance required by this
City Clerk of the City
before the commencement of
Notwithstanding any inconsistent statement in any of said
policies or any subsequent endorsement attached thereto, the
protection offered by the policies shall:
1. Provide general public liability insurance including
automobile liability and property damage insurance in
an amount not less than one million dollars
($1,000,000) per occurrence and annual aggregate.
2. Name CITY and its officers, employees, servants and
agents and independent contractors serving in the role
of City Manager, Assistant City Manager, City Clerk,
Director of Community Development, City Engineer, or
City Attorney, as additional insured with CONSULTANT.
Confirmation of this coverage shall be provided on an
Insurance Services Office (ISO) Form CG 20 10 11 85
Endorsement, or other form stipulated in writing by
City Clerk.
Professional Services Agreement between Page 4 of 9
City of Moorpark and GGMS
±,60053
3. Bear an endorsement or have attached a rider whereby it
is provided that, in the event of cancellation or
amendment of such policy for any reason whatsoever,
CITY shall be notified by mail, postage prepaid, not
less than thirty (30) days before the cancellation or
amendment is effective. CONSULTANT shall give CITY
thirty (30) days written notice prior to the expiration
of such policy.
4. Be written on an occurrence basis.
CONSULTANT also shall maintain professional liability
(errors and omissions) coverage in an amount not less than one
million dollars ($1,000,000) per claim.
Consistent with this section, CONSULTANT. shall provide
workers' compensation insurance as required by the California
Labor Code. If any class of employees engaged by CONSULTANT in
work under this Agreement is not protected by the workers'
compensation law, CONSULTANT shall provide adequate insurance for
the protection of such employees to the satisfaction of CITY.
At such point in time that CONSULTANT obtains and provides
any of the above insurance with coverage limits in excess of the
amounts specified above to another of CONSULTANT'S clients,
CONSULTANT shall immediately provide these same coverage limits
to CITY.
CITY does not, and shall not, waive any rights that it may
have against CONSULTANT by reason of this section, because of the
acceptance by CITY, or the deposit with CITY, of any insurance
policy or certificate required pursuant to this Agreement. This
hold harmless and indemnification provision shall apply
regardless of whether or not said insurance policies are
determined to be applicable to the claim, demand, damage,
liability, loss, cost or expense described in this section.
X. Notices
Any notice to be given pursuant to this Agreement shall be
in writing, and all such notices and any other document to be
delivered shall be delivered by personal service or by deposit in
the United States mail, certified or registered, return receipt
Professional Services Agreement between Page 5 of 9
City of Moorpark and GGMS
00005'4
requested, with postage prepaid, and addressed to the party for
whom intended as follows:
To: City Manager
City of Moorpark
799 Moorpark Avenue
Moorpark, California 93021
To: General Government Management Services
54 San Fernando
Rancho Mirage, California 92270 -1960
(760) 202 -1060
Attn: Alan C. Kapanicas, Principal
Either party may, from time to time,
the other, designate a different address o
shall be substituted for the one above
payments and other documents shall be
receipt by personal service or as of the
deposit in the United States mail.
XI. General Conditions
by written notice to
r contact person, which
specified. Notices,
deemed delivered upon
second (2nd) day after
A. CONSULTANT agrees not to work for any private firm
located within the CITY limits or its Area of Interest, or for
any public agency where its jurisdiction includes all or part of
the CITY without the prior written consent of the CITY, during
the term of this Agreement. Furthermore, CONSULTANT agrees to
limit its actions related to economic interest and potential or
real conflicts of interest as such as defined by applicable State
law to the same standards and requirements for designated CITY
employees.
B. CITY shall not be called upon to assume any liability
for the direct payment of any salary, wage or other compensation
to any person employed by CONSULTANT performing services
hereunder for CITY.
C. CONSULTANT is, and shall at all times, remain as to
CITY a wholly independent contractor. Neither the CITY, nor any
of its officers, employees, servants or agents, shall have
control over the conduct of CONSULTANT or of CONSULTANT'S
officers, employees or agents, except as herein set forth.
Professional Services Agreement between Page 6 of 9
City of Moorpark and GGMS
+r() () "135.5
CONSULTANT shall not at any time or in any manner represent that
it or any of its officers, employees, or agents are in any manner
employees of CITY.
D. At the time of 1) termination of this Agreement or 2)
conclusion of all work, all original reports, documents,
calculations, diskettes, computer files, notes, and other related
materials whether prepared by CONSULTANT or its subcontractor (s)
or obtained in the course of providing the services to be
performed pursuant to this Agreement shall become the sole
property of CITY. Any word processing computer files provided to
CITY shall use Microsoft Word for Windows software.
E. Nothing contained in this Agreement shall be deemed,
construed or represented by CITY or CONSULTANT or by any third
person to create the relationship of principal or agent, or of a
partnership, or of a joint venture, or of any other association
of any kind or nature between CITY and CONSULTANT.
F. In the event any action, suit or proceeding is brought
for the enforcement of, or the declaration of any right or
obligation pursuant to this Agreement or as a result of any
alleged breach of any provision of this Agreement, the prevailing
party shall be entitled to recover its costs and expenses,
including reasonable attorney's fees, from the losing party, and
any judgment or decree rendered in such a proceeding shall
include an award thereof.
G. Cases involving a dispute between CITY and CONSULTANT
may be decided by an arbitrator if both sides agree in writing on
the arbitration and on the arbitrator selected, with costs
proportional to the judgment of the arbitrator.
H. This Agreement is made, entered into, and executed in
Ventura County, California, and any action filed in any court or
for arbitration for the interpretation, enforcement or other
action of the terms, conditions or covenants referred to herein
shall be filed in the applicable court in Ventura County,
California.
I. The captions and headings of the various Sections and
Exhibits of this Agreement are for convenience and identification
only and shall not be deemed to limit or define the content of
the respective Sections and Exhibits hereof.
Professional Services Agreement between Page 7 of 9
City of Moorpark and GGMS
0600SC)
J. This Agreement constitutes the entire Agreement of the
parties concerning the subject matter hereof and all prior
Agreements or understandings, oral or written, is hereby merged
herein. This Agreement shall not be amended in any way except by
a written amendment expressly purported to be such an amendment,
signed and acknowledged by both parties hereto.
K. Should interpretation of this Agreement, or any portion
thereof, be necessary, it is deemed that this Agreement was
prepared by the parties jointly and equally, and shall not be
interpreted against either party on the ground that a party
prepared the Agreement or caused it to be prepared.
L. No waiver of any provision of this Agreement shall be
deemed, or shall constitute a continuing or subsequent waiver of
the same provision. No waiver shall be binding, unless executed
in writing by the party making the waiver.
M. If any portion of this Agreement is held by a court of
competent jurisdiction to be invalid, void, or unenforceable, the
remaining provisions will never - the -less continue in full force
without being impaired or invalidated in any way.
N. No officer, employee, director or agent of the CITY
shall participate in any decision relating to this Agreement
which affects his personal interest or the interest of any
corporation, partnership, or association in which he is directly
or indirectly interested, or shall any such person have any
interest, direct r indirect, in this Agreement or the provisions
thereof.
XII. Responsible Individual
The individual directly responsible for CONSULTANT's overall
performance of the Agreement provisions herein above set forth
and to serve as principal liaison between CITY and CONSULTANT
shall be Alan C. Kapanicas, and no other individual may be
substituted.
The CITY'S contact person in charge of administration of
this Agreement and to serve as principal liaison between
CONSULTANT and CITY shall be the City Manager or his designee.
Professional Services Agreement between
City of Moorpark and GGMS
Page 8 of 9
000057
XIII. Effective Date
This Agreement shall be effective on June , 2004.
CITY OF MOORPARK:
Steven Kueny
City Manager
ATTEST:
Deborah Traffenstedt, City Clerk
GGMS:
Alan C. Kapanicas
Principal /CEO
Exhibit "A ": Proposal for Professional Services
Professional Services Agreement between
City of Moorpark and GGMS
Page 9 of 9
000058
General Government
Management Services
54 San Fernando
Rancho Mirage, CA 92270-1960
Telephone: 7/60-202.1060
Telecopier: 760.202.1070
Email: GGMSt7a EarthLink.net
March 24, 2004
Mr. Hugh Riley
Assistant City Manager
City of Moorpark
C/O Marshall F. Urban Futures, Inc.
3111 N. Tustin, Ste. 230
Orange, CA 92865
Subject: Proposal for Community Facilities District Special Tax Consultant
Dear Mr. Riley:
Please accept this proposal for Special Tax Consulting and Advisory Services for your
upcoming Community Faculties District. With our extensive experience in special financing and
our past work with your financial team and City, we feel that we can well supply your City 'xith
the necessary assistance in the formation and administration of this CFD. As such, "ve have
enclosed a proposal for the formation and administration of your upcoming CFD.
General Government Management Services (GGMS) proposes to deliver to the City a CFD
Report, the special tax formula, the rate and method of apportionment, filing of a boundary map and
notice of special tax lien, support during the bond funding, and attendance at meetings for the
district. Following formation, we will deliver administration services to assist the City in the annual
levy and reporting of special taxes. Additional services are available upon request, including the
veizfrcation of acquisition costs.
Immediately following this letter proposal is a detailed Scope of Services (Exhibit A), a
listing of extended services that can be offered at the City's request (Exhibit B), the recommended
responsibilities of the City (Exhibit C), a listing of GGMS capabilities, and my resume.
Recommended Scope of Services and Compensation:
We have prepared a list of the various tasks required, with corresponding cost estimates
for each task. Each task includes preparation, meetings, transportation, and reports. To allow
EXHIBIT A ij00059
City of Moorpark: Proposal for Community Facilities District Special Tax Consultant
Page 2
your City the flexibility, individual tasks can be accepted as the need arises. As you identify
additional work tasks, we would be pleased to amend and resubmit this proposal.
Annual Administration:
1) Annual Levy, County Submittal for Annual Tax Roll $2,500
Plus $2.00 per parcel
2) City Levy Report, Semi - Annual Paid, Unpaid And Delinquency Reports $1,500
3) Continuing Disclosure Report, CEDIAC Report to State $1,500
4) Annual Arbitrage Calculation and Report
Year 5 Report (if done annually): 51,500 (if done in each fifth year): $6,500
The above includes attendance as needed at City Council meetings, financial team meetings
and City approved meetings with the developers, and up to five (5) versions of the rate and method
of apportioninent. In preparing for the services above and for additional services that you may
require, including acquisition review, prepayment calculation, additional rates and methods of
apportionments, and any other service where we could be of assistance, we would propose the
"time and materials" hourly rates as follows:
Summary Description of Items for each CFD
Cost Estimates
Formation
Services:
$110
1)
Preliminaly Analysis and Data Collection
$5,000
2)
Preparation of a taxing formula
$2,500
3)
Preparation of the Rate and Method of Apportionment
$3,500
4)
Preparation and filing of a Boundary Map (per map)
$2,500
5)
Attendance at the City Council for Resolution of Intention
No charge
6)
Preparation of the CFD Report
$4,500
7)
Attendance at the City Council for the Public Hearing
No charge
8)
Assistance with Bond Issuance (per bond issue)
$4,500
9)
Issuance of a Special Tax Certification (per bond issue)
$5,500
Annual Administration:
1) Annual Levy, County Submittal for Annual Tax Roll $2,500
Plus $2.00 per parcel
2) City Levy Report, Semi - Annual Paid, Unpaid And Delinquency Reports $1,500
3) Continuing Disclosure Report, CEDIAC Report to State $1,500
4) Annual Arbitrage Calculation and Report
Year 5 Report (if done annually): 51,500 (if done in each fifth year): $6,500
The above includes attendance as needed at City Council meetings, financial team meetings
and City approved meetings with the developers, and up to five (5) versions of the rate and method
of apportioninent. In preparing for the services above and for additional services that you may
require, including acquisition review, prepayment calculation, additional rates and methods of
apportionments, and any other service where we could be of assistance, we would propose the
"time and materials" hourly rates as follows:
As additional services become required or requested in the fixture, we would be pleased to
prepare a proposal for you and your City. This method for determining compensation is being
suggested due to the many variables involved. It gives better control as needs change, It allows
flexibility and predictability necessary for maintaining and planning for costs. This also allows for a
responsible, multiple year proposal. As such, the rates above would be indexed in future years by up
to the Consumer Price Index for our area.
000060
Classification
Hourly Rate
1)
Principal Consultants
$110
2)
Financial Analysts
S100
3)
Support Staff
$ 55
4)
Clerical
$ 25
As additional services become required or requested in the fixture, we would be pleased to
prepare a proposal for you and your City. This method for determining compensation is being
suggested due to the many variables involved. It gives better control as needs change, It allows
flexibility and predictability necessary for maintaining and planning for costs. This also allows for a
responsible, multiple year proposal. As such, the rates above would be indexed in future years by up
to the Consumer Price Index for our area.
000060
City of vtoorpark: Proposal for Community Facilities District Special Tai Consultant
Page 3
Recommended Staffina:
GEMS is a firm specializing in the formation and administration of special districts. Our
concept is to include only those partners in this proposal that will directly be working with your
City. As such, GGMS proposes that Alan Kapanicas be assigned as the Special Tax Consultant for
all aspects of the project, including the development of the special tax formula, preparing the C.FD
Report and assisting with the financing.
We appreciate the opportunity to provide these services. We are available to discuss and
present this proposal at your convenience. We are looking forward to our continued good working
arrangements with your City and the other members of your financing team. If there are any
questions or if you need additional information, please call.
Sincerely,
General Govenunent
Management Services
-S-
Alan C. Kapanicas
Principal and CEO
0100061-
City of Moorpark: Proposal for Community Facilities District Special Tax Consultant
Page 4
EXHIBIT A
SCOPE OF SERVICES
Initial Services through Resolution of Intention, CFD Proceedings
A. Gather support data, cost estimates for entire project, current appraisal report, absorption
schedule for building development based on building permit issuance, and an annualized
schedule for public works of construction.
B. Review legal description for each parcel within the boundaries of the proposed Community
Facilities District.
C. Provide a description of improvements to be constructed through public financing under the
proposed District.
D. Review estimates of direct and indirect costs. Determine the maximum amount of bonds to
be authorized.
E. Determine the special tax allocation methodology and formulae to be applied in accordance
with the applicable act.
F. Apportion the costs of facilities in the form of special tax to be levied upon the parcels of
land within the District using the special tax methodology determined above.
G. Attend City Council meeting (Resolution of Intention to form a Community Facilities
District).
Boundary Map Preparation
A. Prepare Boundary Map, with proper certification for a Community Facilities District, and
confirm delivery of specified quantities of mylars and bluelines of the boundary map.
B. Record the Boundary Map with the responsible local official.
C. Confirm and document the recording of the Boundary Map by the City with the County
Recorder as provided under the Act.
Preparation of the CFD Report
A. Prepare CFD Report to reflect final public works of constriction costs, incidental expenses
and projected formation and financing costs. Furnish specified quantities of the final CFD
Report as ordered by the City.
B. Attend public hearing for Resolution of Formation and election.
C. Assist in filing and recording of the public officer's report as required under the applicable
act.
D. Attend City Council meeting for public hearing to fonn a Community Facilities District.
E. Prepare the Notice of Special Tax Lien and file with the County Recorder as provided under
the Act.
Financing Support Services:
A. Review financial documents to confirm the proper application of special taxes.
B. Issue Special Tax Consultant Certificate for each bond issuance.
000062
City of Moorpark: Proposal for Community Facilities District Special Tax Consultant
Page 5
Annual Administration Services:
A, Amivally prepare the levy and submit to the County for inclusion of the
County Annual Tax Roll.
B. Prepare a report to the City, outlining the results of the annual levy and
collection of special tax fonds, following each semi- annual tax collection
payment.
C. Annually prepare and submit the Continuing Disclosure Report to the City
for distribution to the Trustee.
D. Prepare the CF,DIAC Report and submit to State each October
E. Prepare an arbitrage calculation at the approved interval and submit the
report to the City.
Acquisition Cost Review (Optional):
A. Collect copies of contracts, agreements, change orders, invoices, and canceled checks from
developer bound per vendor.
B. Review developer provided data for reimbursement eligibility and confirmed cost amounts.
C. Submit a summary report in ledger format identifying reimbursement eligibility and
confirmed cost amounts to the City.
D. Prepare policies and procedures as documentation for acquisition audit methodology.
000063
City of Moorpark: Proposal for Community Facilities District Special Tax Consultant
Page 6
EXHIBIT B
EXTENDED SERVICES
(N 'ith prior City approval)
A. Attendance at extended number of additional City approved, Developer or City initiated
meetings as requested.
B. Preparation of displays and /or audio - visual materials, as requested by the City or
Developers.
C. Preparing additional mailings of notices to property owners and to property owners not
listed on last equalized roll of the County Assessor.
D. Analysis of an inordinate number of tax formula iterations of the basic form Lila due to
developer "fine tuning ".
E. Providing additional copies of reports, formulas, maps or diagrams.
F. Any other services desired and authorized by the City.
EXHIBIT C
RESPONSIBILITIES OF THE CITY
A. Designate a responsible official to manage and coordinate the project.
B. Make available all data, information, reports, maps, plans, specifications, and other
reasonable information for the proper performance of services.
C. Prepare and post all notices pertaining to the public hearings.
D. Cause to be published all notices of public hearings or other meetings (i.e., newspapers and
posting).
E. Prepare all resolutions required by City Council.
F. All environmental documentation is to be provided by others.
G Retain a qualified legal counsel to provide legal advice during the District process.
H. Retain a qualified financial consultant to provide financing and bonding costs during the
District process.
L Retain a qualified real estate appraiser to provide appraised values of property during the
District process.
J. Distribute the CFD Report to property owners, project team, City Council and other
interested parties.
K. Provide records of assessments obligating and encumbering the proposed District.
L. Schedule and agendize meetings and hearings as required under the Act.
000064
City of Moorpark. Proposal for Community Facilities District Special Tax Consultant
Page 7
General Government
Management Services
CAPABILITIES
Special District Formation
Assessments Districts
Community Facilities Districts
Special Districts Consulting
Community Facilities District Administration
Assessment District Administration
Public Facilities Acquisition Auditing
Arbitrage Calculation
Public Administration
City Management
Finance
Administrative Services
Accounting Services
Risk Management
Grant Management
Management Audits
Management Consulting
LIST OF LOCAL PRESENT AND PAST AGENCY CLIENTS
City of Adelanto
City of Beaumont
City of Blythe
City of Brea
City of Calimesa
City of Imperial
City of Lancaster
City of Lincoln
City of Maricopa
City of Moorpark
City of Mum eta
City of Norco
City of Palmdale
City of Temecula
City of Thousand Oaks
City of Upland
Chino Valley Fire District
Joshua Basin Water District
000065
City of Moorpark: Proposal for Community Facilities District Special Tax Consultant
Page R
General. Government
Management Services
ALAN C. K 2XPANICAS
PRINCIPAL / CEO
EXPERIENCE
Mr. Kapanicas has extensive expertise in public administration, special taxes, special
assessments, and acquisition auditing.
The formation and administration of special financing and taxing districts include
Community Facilities Districts and Assessment Districts. He has assisted in the formation of
Special Districts for the California Cities of Adelanto, Beaumont, Brea, Desert Hot Springs,
Hemet, Hesperia, Indian Wells, Lancaster, Lincoln, Lake Elsinore, Moorpark, Murrieta, Norco,
Temecula, Thousand Oaks, Vista, Upland; County of Orange California; Half Moon Bay Fire
Protection District; and Morgan Hill Unified, and Lakeside School Districts. To date, he has been
involved with the authorization of over $900 million dollars of funding for necessary public
infrastructure. He has administered most of the Districts formed, plus additional Districts in the
cities of Beaumont, and Yorba Linda; Tustin Unified and Perris High School Districts; and the
County of San Diego. For each agency, he has prepared and submitted the annual tax rolls to
their respective counties, prepared annual revenue and expenditure reports and handled citizen
inquiries.
Public administration has included assignments as City Manager, City Administrator,
Administrative Services Director, Finance Officer, and Project Manager. Mr. Kapanicas is
currently contract City Manager and Administrative Services Director for the City of Beaumont,
and past contract City Manager for the City of Calimesa, and City Administrator for the City of
Maricopa. He has previously served as contract Finance Officer for the Chino Valley Fire
District, and Senior Financial Analyst and Senior Organization Development Specialist for the
City of Scottsdale.
In the area of construction and acquisition auditing, Mr. Kapanicas has been retained to
verify and approve expenditures of local agency and bond funds. He has assisted in the approval
of construction draws and acquisition reimbursements for major public works projects. Through
a multi -step process, he ensures that public facilities meet all legal, district, and agency
requirements, allowing an expedited payment of all approved disbursements.
EDUCATION
MBA, Management & Finance, Western International University.
BS, Business, Arizona State University
Accounting Certificate, University of California, San Diego.
CPA (CA Candidate).
ICMA Certified City Manager Certificate.
000066
AGREEMENT FOR
PROFESSIONAL SERVICES
THIS AGREEMENT, made and entered into this — day of July, 2004, between CITY OF
MOORPARK, a California public body, hereinafter referred to as "CITY" and ABERGAL &
ASSOCIATES, a corporation, hereinafter referred to as "CONTRACTOR."
WITNESSTH
Recitals:
A. This Agreement is entered into under the authority of Section 53060 of the California
Government Code that permits a public CITY to contract with and employ any person or
firm for the furnishing of special services if such person or firm is specially trained and
experienced and competent to perform the special services required.
B. CONTRACTOR represents that it is experienced in providing services requested by the
CITY to provide these services.
I. CONTRACTOR'S OBLIGATIONS
A. CONTRACTOR agrees to provide a final appraisal report for each of two
residential subdivisions: Moorpark Highlands and Moorpark Vistas, hereinafter
referred to as "REPORTS" as more particularly described in the Contractor's
proposal dated June 29, 2004 which is attached hereto and made a part of this
AGREEMENT as Exhibit A.
The PROJECTS will be appraised on the basis of a Fee Simple Estate and the
reports will be prepared in conformity with, and subject to, FIRREA, the Code of
Professional Ethics and Standards as set forth by the Appraisal Institute. The
reports shall be complete, self - contained appraisals in a narrative format including
an executive summary of analysis and conclusions and, in general prepared in
accordance with the appraisal requirements of the CITY.
B. CONTRACTOR agrees to complete the APPRAISAL at a total cost of $23,000. If
needed and at the discretion of CITY, CONTRACTOR, upon written
authorization by CITY, shall be available for post - appraisal meetings, pre -
deposition and pre -trial preparation (including travel time) at an hourly rate of
$300..
C. CONTRACTOR shall provide CITY with three (3) original bound copies and one
(1) original unbound copy of the reports. Additional copies of the reports will be
provided for an administrative charge of $250.00 per copy.
D. CONTRACTOR agrees that it shall remain a wholly independent contractor.
CONTRACTOR shall not, at any time or in any manner, represent that it is an
officer, employee or agent of CITY. CONTRACTOR shall comply with all
applicable provisions of the Worker" Compensation Insurance and Safety Acts
and Labor Code of the State of California.
ATTACHMENT 5 f)00067
II. CITY'S OBLIGATIONS
A. CITY shall make available all materials needed to complete the assignment
including but not limited to files, site plans, reports, cost proforma, access to the
sites and other data pertinent to the valuation assignment.
B. CITY shall promptly pay CONTRACTOR as provided for under Section IV.
C. CITY shall periodically monitor the progress of work performed under this
Agreement documenting the level of CONTRACTOR'S performance. Said
monitoring shall be the responsibility of the Executive Director or his designee.
III. TIME OF PERFORMANCE
A. CONTRACTOR shall complete services and provide the executive summary of
the final values and conclusions no later than August 23, 2004. The final narrative
reports will be delivered within twenty -eight (28) calendar days after the delivery
of the executive summary.
IV. METHOD OF PAYMENT
A. CITY shall compensate CONTRACTOR for performance of this Agreement upon
receipt of an invoice. CITY shall pay said invoice within thirty (30) days after
receipt thereof, provided that the CONTRACTOR is in compliance with the terms
and conditions of this Agreement.
V. TERMINATION
A. If, through any cause, CONTRACTOR shall fail to fulfill, in a timely and proper
manner, his obligations under this Agreement, or if CONTRACTOR shall violate
any of the covenants, agreements or stipulations of this Agreement, the CITY
shall provide written notice to CONTRACTOR of such default and by specifying
the effective date thereof, at least ten (10) days before the effective ate of
proposed termination. In the event CONTRACTOR fails to cure its default by
rendering a satisfactory performance within such period of time, CITY shall have
the right, notwithstanding any other provision of this Agreement, to terminate this
Agreement without further notice and without prejudice to any other remedy to
which it may be entitled at law, in equity or under this Agreement. In such event,
all finished or unfinished documents, data, studies, surveys, drawings, maps,
models, photographs and reports prepared by CONTRACTOR under this
Agreement shall, at the option of the CITY, become its property and
CONTRACTOR shall be entitled to receive actual cost for any work satisfactorily
completed hereunder.
Notwithstanding the above, CONTRACTOR shall not be relieved of liability to
CITY for damages sustained by CITY by virtue of any breach of the Agreement
by CONTRACTOR, and CITY may withhold any payments to CONTRACTOR
{y() 0 1368
for the purpose of off -set until such time as the exact amount of damages due
CITY from CONTRACTOR is determined.
B. CITY may terminate this Agreement at any time by giving at least ten (10) days
notice in writing to CONTRACTOR. If the Agreement is terminated by CITY as
provided herein, CONTRACTOR will be paid for the actual expenses incurred up
to the termination date. If this Agreement is terminated due to the fault of
CONTRACTOR, then Section V, Subpart A, hereto relative to termination shall
apply.
C. CONTRACTOR may terminate this Agreement only in the event of an alleged
breach by CITY, after providing CITY an opportunity to cure alleged breach, with
written notice no less than ten (10) days in advance of such termination.
VI. NOTICES
A. Notices to the parties shall, unless otherwise requested in writing, be sent by U.S.
Mail, postage prepaid, and addressed as follows:
CITY: Steven Kueny, City Manager
City of Moorpark
799 Moorpark Avenue
Moorpark CA 93021
CONTRACTOR: Michael Abergel, MAI
Abergel & Assoociates
24009 W. Ventura Blvd., Suite 200
Calabasas, CA 91302
VII. AUTHORIZED CONTACTS
A. The contact for CITY authorized to execute actions and to respond to inquiries on
behalf of CITY, or to obligate CITY to any action, or to interpret any portion of
this Agreement shall be the City Manager or his designee.
VIII. ASSIGNABILITY
A. CONTRACTOR shall not in any way assign or transfer any interest in this
Agreement without the prior written consent of CITY; provided, however, that
claims for money due or to become due to CONTRACTOR for CITY under this
Agreement may be assigned to a bank, trust company or other financial institution
or to a trustee in bankruptcy, without such approval. Notice of any such
assignment or transfer shall be promptly furnished to CITY.
IX. HOLD HARMLESS
A. CONTRACTOR shall indemnify and hold harmless CITY, its officers and
employees from and against any and all damages to property or injuries to or
3 ' A069
death of any person or persons, including property and employees or agents of
CITY, and shall defend, indemnify and hold harmless CITY, its officers,
employees, servants and agents from and against any and all claims, demands,
suites, actions or proceedings therefore, resulting from or arising out of the
intentional misconduct, malicious acts, negligent acts, errors or omissions of
CONTRACTOR or any of its officers, employees or against in the performance of
this agreement, except such damage caused by the sole negligence of CITY or any
of its officers, employees, servants or agents.
X. INSURANCE
A. CONTRACTOR shall secure from a good and reasonable company or companies
doing insurance business in the State of California, pay for and maintain in full
force and effect for the duration of this Agreement a policy of general liability
insurance, and shall furnish to CITY a Certificate of Liability Insurance before
execution of this Agreement. The protection offered by this policy shall:
1. Include CITY as an additional insured covering services to be rendered
under this Agreement, whether liability is attributable to CONTRACTOR
or CITY.
2. Insure CITY and its officers, employees, servants and agents while acting
within the scope of duties under this Agreement against all claims arising
out of, or in connection with, this Agreement.
3. Provide the following minimum limits:
General Liability $1,000,000
Professional Liability $1,000,000
4. CONTRACTOR shall possess automobile insurance of $100,000 per
vehicle.
XI. WORKER'S COMPENSATION INSUANCE
A. Before execution of this Agreement by CITY, CONTRACTOR shall file with
CITY the following certification:
"I am aware of, and will comply with Section 3700 of the Labor Code,
requiring every employer to be insured against liability of Workers'
Compensation or to undertake self - insurance before commencing any of
the work."
CONTRACTOR shall also comply with Section 3800 of the Labor Code by
securing, paying for, and maintaining in full force and effect for the duration of
this Agreement, complete Worker's Compensation Insurance, and shall furnish a
Certificate of Insurance to CITY before execution of this Agreement by CITY.
The CITY and its officers, employees, servants, or agents, shall not be responsible
4 4,)00070
for any claims in law or equity occasioned by failure of the CONTRACTOR to
comply with this section.
Every workers' compensation insurance policy shall bear an endorsement that
shall have attached a rider whereby it is provided that, in the event of expiration
or proposed cancellation of such policy for any reason whatsoever, CITY shall be
notified by registered mail, postage prepaid, return receipt requested, not less than
(30) days before expiration or cancellation is effective.
XII. EQUAL OPPORTUNITY COMPLIANCE
A. Before execution of this Agreement by CITY, CONTRACTOR shall file with
CITY the "Equal Opportunity Compliance Program/Equal Service Certification"
herein enclosed as Exhibit B. As Community Development Block Grant funds
will pay for the services herein requested by CITY, CONTRACTOR is required
to certify that it follows fair employment practices.
XIII. INTEREST OF OTHER LOCAL PUBLIC OFFICIALS
A. No member of the governing body of the locality and no other public official of
such locality who exercises any functions or responsibilities in connection with
the planning and carrying out of this Agreement shall have any personal financial
interest, direct or indirect, in this Agreement; and CONTRACTOR shall take
appropriate steps to assure compliance.
XIV. FINDINGS CONFIDENTIAL
A. All of the reports, information, data, etc., prepared or assembled by
CONTRACTOR under this Agreement are confidential and CONTRACTOR
agrees that they shall not be made available to any individual or organization
without the prior written approval of CITY.
XV. OWNERSHIP AND COPYRIGHT
A. Upon completion of any work performed by CONTRACTOR pursuant to this
Agreement, or upon sooner termination of Agreement, all original materials
prepared by CONTRACTOR shall become the sole property of CITY and may be
used, reused or otherwise disposed of by CITY without permission or
CONTRACTOR. CONTRACTOR agrees that any material prepared by
CONTRACTOR in performance of this Agreement shall not be subject to use by
anyone other than CITY without written permission of CITY.
No reports, maps or other documents produced in whole or in part under this
Agreement shall be the subject of an application for copyright by or on behalf of
CONTRACTOR.
5 000071-
XVI. COMPLIANCE WITH LOCAL LAWS
A. CONTRACTOR shall comply with all applicable laws, ordinances and codes of
the state and local governments.
XVII. INTEREST OF CONTRACTOR AND EMPLOYEES
A. CONTRACTOR covenants that he presently has no interest and shall not acquire
interest, direct or indirect, in any study area r any parcels therein or any other
interest that would conflict in any manner or degree with the performance of his
services hereunder. CONTRACTOR further covenants that, in the performance
of this Agreement, no person having any such interest shall be employed.
XVIII. LAWS GOVERNING THIS AGREEMENT
A. This Agreement shall be governed by and construed in accordance with the laws
of the State of California, and all applicable Federal statutes and regulations as
amended.
XIX. ATTORNEY'S FEES
A. If any action at law or equity, including an action for declaratory relief, is brought
to enforce of interpret any provision of this Agreement, the prevailing part shall
be entitled to reasonable attorney's fees, court costs, and necessary disbursements,
in addition to any other relief to which it may be entitled.
XX. VALIDITY
A. The invalidity, in whole or in part, of any provision of this Agreement shall be
governed by and construed in accordance with the laws of the State of California,
and all applicable federal statues and regulations as amended.
XXII. INTERPRETATION OF AGREEMENT
A. Should interpretation of this Agreement, or any portion thereof, be necessary, it is
deemed that this Agreement was prepared by the parties jointly and equally, and
shall not be interpreted against either party on the grounds that the party prepared
the Agreement or caused it to be prepared.
XXIII. VENUE
A. This Agreement is made, entered into, and executed in Moorpark, Ventura
County, California and any action filed in any court or for arbitration for the
interpretation, enforcement and/or otherwise of the terms, covenants and
conditions referred to herein shall be filed in the applicable court in Ventura
County, California.
6 1)()0072
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date
and year first above written.
CITY OF MOORPARK
a California public body, corporate
and politic
STEVEN KUENY
CITY MANAGER
ATTEST:
Deborah S. Traffenstedt, City Clerk
MCNAMARA & ASSOCIATES
a Corporation
MIKE ABERGEL, MAI
PRINCIPAL
OABERGEL & ASSOCIATES
O
June 29, 2004
Mr. High Riley
City of Moorpark
799 Moorpark Avenue
Moorpark, CA
c/o Mr. Marshall Linn
Urban Futures
Re: Appraisal report of two proposed residential subdivisions within the City of Moorpark, CA
The two properties are know The Highlands and the Vistas, and are described further as
follows;
Highlands: A proposed 460 unit single family residential development along with a site
slated for the development of 100 multi - family apartment units. The site is
slated for development by Pardee Homes.
The Vista's: A proposed 110 unit single family residential development. The site is slated
for development by Suncal Development.
Dear Mr. Linn,
In accordance with your request, we wish to submit to you our proposal to prepare an appraisal of
the above referenced properties. The purpose of the reports will be to estimate the As Is Market
Value of each site, as of a current date. The appraisal will be utilized by Urban Futures and the City
of Moorpark in their efforts to analyze a proposed Mello Roos Community Facilities District to
encumber the properties.
The property will be appraised on the basis of a Fee Simple Estate. As always, our appraisal report
will be prepared in conformity with, and subject to, FIRREA, the Code of Professional Ethics and
Standards as set forth by the Appraisal Institute.
It is our understanding that a complete self - contained appraisal in a narrative format will be required.
In addition, prior to the completion of the narrative appraisal, an executive summary presenting a
summary of analysis and conclusions will be made available to the client. The reports will be
prepared in accordance with the appraisal requirements of the client.
24009 W. Ventura Blvd., Suite 200, Calabasas, CA 91302 (818) 225 -6131 Fax (818) 225 -6134
Based on the above, the all inclusive fee to prepare the appraisal report will be $23,000 ($15,000 for
the Highlands and $8,000 for the Vistas), payable upon completion of the appraisal. Upon
completion, three final copies of the report will be forwarded with additional copies available for
an administrative charge of $250 per copy. This fee is all inclusive for the preparation of the
completed appraisals. The fee does not include any court testimony, depositions, or any other court
proceedings that may be required as a result of the appraisal. All additional time required in regards
to the report will be billed at an hourly rate of $300 per hour, to be paid in advance of services
rendered.
The executive summary of final values and conclusions will be completed no later than August 23,
2004. The final narrative reports will be delivered approximately 15 to 20 days thereafter, or as
mutually agreed upon. Our delivery date is highly contingent upon receiving all necessary items to
complete the assignment. This would include access to the site, necessary cost and proforina
information, a detailed site plan and any other data pertinent to the valuation assignment.
Payment of the appraisal fee is not contingent upon the following: (a) the final value conclusion, (b)
obtaining financing, (c ) if financing is involved, waiting until the property has closed and has been
funded and (d) if the property is sold, waiting until after the property has closed to new ownership
and funds have either been received or placed in escrow, and (e) completion of bankruptcy court
proceedings.
This proposal is void if not accepted within 5 days. If the terms and conditions of this proposal are
acceptable to you, please sign and return it to this office.
We wish to thank you for utilizing the services of our firm, and for the confidence you have
demonstrated in our ability to perform this assignment.
Respectfully submitted,
ABERGEL & ASSOCIATES
Michael Abergel, MAI
Principal
Accepted by:
Mr. Marshall Linn
URBAN FUTURES
Date
24009 W. Ventura Blvd., Suite 200, Calabasas, CA 91302 (818) 225 -6131 Fax (818) 225 -6134
0100075
EXHIBIT B
EQUAL OPPORTUNITY COMPLIANCE PROGRAM
EQUAL SERVICE CERTIFICATION
ABERGEL & ASSOCIATES (Contractor), by its Principal or his /her duly authorized
representative's signature affixed hereto, certified and agrees to comply with the following
provisions:
a. Executive Order 11246 requires that during the performance of this Agreement, the
Contractor agrees not to discriminate against any employee or applicant for employment
because of race, religion, sex, color or national origin. The Contractor will take
affirmative action to ensure that applicants are employed, and that employees are treated
during employment, without regard to their race, religion, sex, color or national origin.
Such action shall include, but not limited to the following: employment, upgrading,
demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates
of pay or other forms of compensation, and selection for training, including
apprenticeship. The Contractor agrees to post in conspicuous places, available to
employees and applicants for employment, notices to be provided by the Contractor
setting forth the provisions of this non - discrimination clause.
b. Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C.
1701 et seq., requires that to the greatest extent feasible, opportunities for training and
employment be given to lower income residents of the project area and contracts for work
in connection with the project be awarded to business concerns that are located in, or
owned in substantial part by persons residing in the area of the project.
Title VI of the Civil Rights Act of 1964 provides that no person shall, on the grounds of
race, color, national origin, or sex be excluded from participation in, be denied the
benefits of, or subjected to discrimination under any program or activity receiving
Federal financial assistance.
d. Section 109, Title I of the Housing and Community Development Act of 1974 provides
that no person shall, on the grounds of race, color, national origin, or sex be excluded
from participation in, be denied the benefits of, or subjected to discrimination under any
program or activity funded in whole or in part with funds made available under this Title.
e. Prohibition against discrimination on the basis of age under the Age Discrimination Act
of 1975, or with respect to an otherwise qualified handicapped individual, as provided in
Section 504 of the Rehabilitation Act of 1973, shall also apply to any such program or
activity.
Date
Principal
Title
0000'76