HomeMy WebLinkAboutAGENDA REPORT 2014 0507 CCSA REG ITEM 10EITEM 10.E.
DATE: April 9, 2014 (City Council Meeting of May 7, 2014)
SUBJECT: Consider Agreement for Property Tax Audit and Information Services
to HdL, Coren and Cone
Since 1995 the City has utilized the services of HdL, Coren and Cone to perform
property tax audits and property tax information services. The City currently receives
annual property tax analysis from HdL, Coren and Cone along with audit services. The
current contract price is $9,600 annually. The proposed contract increases the annual
fee 10% to $10,560.
Staff is requesting the City Council consider updating the agreement with HdL, Coren
and Cone and authorize the City Manager to sign the agreement.
DISCUSSION
The current agreement is nineteen years old. The last fee increase occurred in July
2005 increasing the fee to $9,600. The proposed agreement has an increase in the
price. The basic fixed fee service increases to $10,560 annually, a 10% increase. This
fee remains the same for the second and third year. The fourth year the fee increases
by the CPI and remains the same for year five. After year five the fee increases by the
annual CPI. The price for audit services remains the same 25% calculation.
HdL services have assisted the City with economic development and financial forecast
of the property tax revenues. The audit services have ensured that the City receives
the taxes that are generated by the properties which reside within the City.
The proposed agreement has no expiration date; however, it has a 45 -day termination
clause by either party.
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Honorable City Council
May 7, 2014
Page 2
FISCAL IMPACT
The annual increase in cost is $960. The increased cost for fiscal year 2014-15 will be
included in the budget.
STAFF RECOMMENDATION
Award the agreement to HdL, Coren and Cone; and authorize the City Manager to
execute the agreement, subject to the final language approval by the City Manager and
City Attorney. Additionally, authorize the City Manager to sign property tax audits to
enable HdL, Coren and Cone to perform audit services.
Attachments:
Agreement for Property Tax Audit and Information Services between the City of
Moorpark and HdL, Coren and Cone.
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CITY OF MOORPARK
AGREEMENT FOR PROPERTY
TAX CONSULTING/AUDIT
SERVICES
This AGREEMENT (the "Agreement") is made and entered into as of the day
of 2014 by and between the CITY OF MOORPARK, a municipal
corporation hereinafter called CITY, and HdL Coren & Cone, a California
Corporation hereinafter called CONTRACTOR.
RECITALS
WHEREAS, property tax revenues can be verified and potentially increased
through a system of continuous monitoring, identification and reconciliation to county
records; and
WHEREAS, an effective program of property tax management will assist
the CITY in fiscal, economic and community development planning; and
WHEREAS, CITY desires the property tax data based reports and data
analysis required to effectively manage the CITY property tax base and identify and
recover revenues misallocated within the CITY, or to other jurisdictions; and
WHEREAS, CONTRACTOR is a state-wide expert in such data analysis with
over 190 public agency clients for whom such services are performed and has the
programs, equipment, data and personnel required to deliver the property tax
services referenced herein;
WHEREAS, CITY prefers to pay for certain of such services through a
contingency arrangement where payment is made from monies recovered and
CONTRACTOR is willing to base its compensation on such a risk-based formula.
NOW, THEREFORE, CITY and CONTRACTOR, for the consideration
hereinafter described, mutually agree as follows:
1.0 DEFINITIONS
For purposes of this Agreement, the following terms shall have the meaning
stated below:
Audit Review: "Audit" or "Audit Review" shall mean the comparison of
databases to ensure that parcels are correctly coded with the appropriate tax
rate area to return revenue to the client city or redevelopment agency. Audits
include the secured and unsecured tax rolls and where secured records are
corrected; the corresponding unsecured records related to those properties
are also corrected. A review of the calculation methodologies developed by
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auditor/controller offices in the administration of property tax revenues or tax
increment revenues is made to ensure compliance. New annexations and
newly created redevelopment project areas are audited the 1st or 2nd year
after the area's adoption due to the timing of LAFCO and the State Board of
Equalization in assigning new tax rate areas and county processing of those
changes.
County: "County" shall mean the County in which the CITY is
located.
Database: "Database" shall mean a computerized listing of property tax parcels
and information compiled for CITY from information provided by the County.
Days: "Days" shall mean calendar
days.
Project Area: "Project Area(s)" shall mean the project areas of former
redevelopment agency
Property Tax Roll: "Property Tax Roll" shall mean the assessed values of
parcels on the secured and unsecured lien date rolls as reported by the County.
Proprietary Information: "Proprietary Information" shall be the reports, technical
information, compilations of data, methodologies, formula, software, programs,
technologies and other processes previously designed and developed by
CONTRACTOR and used in the performance of the services hereunder.
Successor Agency: "Successor Agency" means the City's administration
pursuant to Section 34176 of the Health and Safety Code of the former
community redevelopment agency of CITY).
Recovered/Reallocated Revenue: "Recovered or Reallocated Revenue" shall
mean additional revenue received as a result of an audit or review of properties
submitted for correction or for corrections due erroneous calculations or incorrect
methods of distributing revenue discovered by the CONTRACTOR and then
made by county agencies which result in a return of additional revenue to the
city/agency. Reviews of city administered pass throughs are performed to
ensure the correctness of distributions being made to participating agencies.
Scope of Services: "Scope of Services" shall mean all of the Base Services
specified in Section 2.0, the Optional Services in Section 3.0, the Additional
Services in Section 4.0, or any other services rendered hereunder.
TRA: "Tax Rate Area" shall mean the area subject to the
tax rate.
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2.0 BASE SERVICES
The CONTRACTOR shall perform all of the following duties as part of the
Base Services provided hereunder, unless otherwise specified in writing by the Contract
Officer:
2.1 Analysis And Identification Of Misallocation Errors
(Contingent Fee)
(a) In the first year of this Agreement, and as necessary
thereafter but not less than once every five (5) years, CONTRACTOR shall conduct an
analysis to identify and verify in the CITY parcels on the secured Property Tax Roll
which are not properly attributed to a CITY, and will provide the correct TRA designation
to the proper County agency.
Typical errors include parcels assigned to incorrect TRAs within the CITY or an
adjacent city, and TRAs allocated to wrong taxing agencies.
(b) CONTRACTOR shall annually reconcile the annual
auditor- controller assessed valuations report to the assessor's lien date rolls and
identify discrepancies.
(c) CONTRACTOR shall annually review parcels on the
unsecured Property Tax Roll to identify inconsistencies such as value variations,
values being reported to a mailing address rather than the situs address, and
errors involving TRAs (to the extent records are available).
(d) CONTRACTOR may audit general fund or tax
increment property tax revenue or other revenues attributable to the SUCCESSOR
AGENCY and CITY, districts, (including but not limited base year value audits;
administration of tax sharing agreements; tax increment allocation reviews; county
allocation and payments reviews).
2.2 Annual Services (Fixed Fee)
Annually, after the Property Tax Roll is available:
(a) CONTRACTOR shall establish a Database for CITY for
available through CONTRACTOR's online property tax application.
(b) Utilizing the Database, CONTRACTOR will provide:
(1) A listing of the major property owners in the
CITY, including the assessed value of their property.
(2) A listing of the major property tax payers, including
an estimate of the property taxes.
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(3) A listing of property tax transfers which occurred
since the prior lien date.
(4) A comparison of property within the CITY by
county -use code designation.
(5) A listing by parcel of new construction activity
between tax years to provide reports for use in the CITY's
preparation of Gann (Propositions 4 and 111) State Appropriation Limit
calculations.
(6) Calculate an estimate of property tax revenue
anticipated to be received for the fiscal year by the CITY. This
estimate is based upon the initial information provided by the County
and is subject to modification. This estimate shall not be used to
secure the indebtedness of the CITY.
(7) Development of forecast of estimated general fund
property tax revenue for future fiscal years.
(8) Development of historical trending reports involving
taxable assessed values for the CITY, median and average sales prices,
foreclosure activity and related economics trends.
(9) Upon written request, analyses based on geographic
areas designated by the CITY to include assessed valuations and
square footage computations for use in community development planning.
2.3 Successor Agency Services
Successor Agency Services including but not limited to:
(a)
Tax increment projections
(b)
Cash flows for the Successor Agency by Project Area
(c)
Assistance with Redevelopment Obligation
Payment
Schedules
(d)
Assistance in providing property tax information
for the
taxing agencies receiving property tax revenues from former
Project Areas
(e)
Estimates of property tax revenues to be received
by the
taxing entities from former Project Areas
(f)
Provide property tax information to the Oversight Board
at
the direction of the Successor Agency
(g)
Provide access to the Oversight Board to City and
former
redevelopment agency documents at the direction
of the
Successor Agency
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(h) Monitor the County distribution of tax -sharing revenues to
the taxing entities of the former redevelopment agency
(i) Coordinate with the Auditor -Controller the relationship
between the tax -sharing, debt service and other obligations
of former redevelopment agency
(j) Prepare as needed an assessment resources available to
the Successor Agency to meet the long term obligations of
the former redevelopment agency
2.4 Quarterly Services/Monthly Services (Fixed Fee)
The CONTRACTOR shall perform the following services quarterly:
(a) A listing of property tax appeals filed on properties in the CITY
(selected counties).
(b) A listing of property transfers that have occurred since the
last report.
(c) Monthly update of CONTRACTOR'S web -based software
program to include parcel transfer data and, in select counties,
appeal updates.
2.5 On -Going Consultation (Fixed Feel
During the term of this Agreement, CONTRACTOR will serve as the CITY's
resource staff on questions relating to property tax and assist in estimating current year
property tax revenues. On-going consultation would include, but not be limited to,
inquiries resolved through use of the CITY's database.
3.0 OPTIONAL SERVICES
The following services are available on a time and materials
basis:
3.1 Specified Data
Generation of specialized data -based reports or the development of special geo-
based designations from CITY maps or geographic areas which would require additional
programming, the purchase of additional data, costs for county staff research, additional
historical parcel tracking by CONTRACTOR or similar matters not necessary to carry
out services outlined in Section 2.0.
3.2 County Research
Any research with County agencies for which CONTRACTOR does not have a
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current database.
3.3 Specialized Services
Other services for which the CONTRACTOR bas expertise as requested by
the CITY.
3.3 Additional Meetings Requested
Meetings in excess of the armual meeting to review the analysis of property
tax data, trending information, and other findings with CITY shall be considered
an Optional Service.
4.0 ADDITIONAL SERVICES
CITY shall have the right at any time during the performance of the services,
without invalidating this Agreement, to order extra work beyond that specified in the
Scope of Services or make changes by altering, adding to or deducting from said work.
No such extra work may be undertaken unless a written order is first given by the
Contract Officer to the Contractor, incorporating therein any material adjustment in the
contract and/or the time to perform this Agreement, which said adjustments are
subject to the written approval of the Contractor. Any increase in compensation of up to
$25,000, or in the time to perform of up to one hundred eighty (180) days may be
approved by the Contract Officer. Any greater increases, taken either separately or
cumulatively must be approved by the City Council. It is expressly understood by
Contractor that the provisions of this Section shall not apply to services specifically set
forth in the Scope of Services or reasonably contemplated therein.
5.0 OBLIGATIONS OF THE PARTIES WITH RESPECT TO SERVICES
5.1 City Materials and Support
CITY agrees to provide the following information:
(a) Current CITY maps;
(b) A copy of reports received by the CITY annually from the
Auditor- Controller's office detailing assessed values (secured,
unsecured and utilities), as well as unitary values for reconciliation
analysis,-
(c)
nalysis;(c) Parcel listing and maps of CITY parcel annexations since
the lien date roll,-
(d)
oll;(d) A listing of the CITY levies assessment districts and direct
assessments.
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(e) SUCCESSOR AGENCY formation documents, debt service
schedules, plan caps, DDA/OPA agreements.
(f) Remittance Advices
5.2 Comoliance with Law
All services rendered hereunder shall be provided in accordance with all
ordinances, resolutions, statutes, rules, and regulations of the CITY and any Federal,
State or local governmental agency having jurisdiction in effect at the time service is
rendered.
5.3 License, Permits. Fees and Assessments
CONTRACTOR shall obtain such licenses, permits and approvals (collectively
the "Permits") as may be required by law for the performance of the services required
by this Agreement. CITY shall assist CONTRACTOR in obtaining such Permits, and
CITY shall absorb all fees, assessments and taxes which are necessary for any Permits
required to be issued by CITY.
5.4 Further Responsibilities of Parties
Both parties agree to use reasonable care and diligence to perform their
respective obligations under this Agreement. Both parties agree to act in good faith to
execute all instruments, prepare all documents and take all actions as may be
reasonably necessary to carry out the purposes of this Agreement. Unless hereafter
specified, neither party shall be responsible for the service of the other.
6.0 CONSIDERATION
6.1 Base Fixed Fee Services
CONTRACTOR shall provide the Base Services described in Section 2.0
above, for a fixed annual fee of $10,560.00 (invoiced quarterly).
The fee for the first 3 years of this Contract shall be the annual fixed fee as
noted. In the fourth (4th) year of the contract the Base Fixed Services Fee shall be
adjusted by the California Consumer Price Index (CCPI) for all urban consumers
as determined by the California Department of Industrial Relations as measured
February of the first year to February of third year of this Contract. The revised
Base Fixed Services Fee including the CCPI adjustment shall apply to the 4th and
5th years of the Contract. If this Contract is extended month to month as.provided
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for in Section 7.4, the Base Fixed Fee shall be adjusted annually by the
California Consumer Price Index (CCPI) for all items as determined by the
California Department of Industrial Relations as measured February to February by
the California All Urban Consumers index.
Base Contingent Fee Services
For Base Services pursuant to Section 2.1 which are payable on a
contingent basis, CONTRACTOR shall receive 25 percent of general fund or tax
increment property tax revenue or other revenues attributable to SUCCESSOR
AGENCY, CITY, districts, or funds recovered or reallocated which are directly or
indirectly the result of an audit, analysis or consultation performed by
CONTRACTOR (including but not limited to base year value audits; administration
of tax sharing agreements; tax increment allocation reviews; county allocation
reviews). CONTRACTOR shall separate and support said reallocation and provide
CITY with an itemized invoice showing all amounts due as a result of revenue
recovery or reallocation. CITY shall pay audit fees after Contractor's submittal of
evidence that corrections have been made by the appropriate agency. Payment to
CONTRACTOR shall be made within thirty (30) days after CITY receives its first
remittance advice during the fiscal year for which the correction applies.
6.2 Optional Services
Fees for Optional Services as outlined in Services in Section 3.0 above
(except Section 3.4) shall be billed at the following hourly rates:
Partner
$225
per hour
Principal
$195
per hour
Programmer
$150
per hour
Associate
$150
per hour
Senior Analyst
$100
per hour
Analyst
$ 65
per hour
Administrative
$ 45
per hour
Hourly rates are exclusive of expenses and are subject to adjustment by
CONTRACTOR annually. On July 1st of each year CONTRACTOR shall provide
CITY with an updated schedule of hourly rates. The rates will not be increased by
more than five percent (5%) per year. In addition, expenses for Optional Services
shall be billed at 1.15 times actual incurred costs.
6.3 Indirect Expenses
Except as specified above, no other charges shall be made for direct or
indirect expenses incurred by CONTRACTOR in performing the services in the
Scope of Services including for administrative overhead, salaries of
CONTRACTOR'S employees, travel expenses or similar matters.
6.4 Due Date
All fees are due 30 days immediately following billing. All amounts that are
not paid when due shall accrue interest from the due date at the rate of one
percent per month (12% per annum).
7.0 TERM PERFORMANCE SCHEDULE
7.1 Time of Essence
Time is of the essence in the performance of this Agreement.
7.2 Schedule of Performance
CONTRACTOR shall commence the services pursuant to this Agreement
upon receipt of a written notice to proceed and shall perform all services within the
time period(s) established in the "Schedule of Performance" attached hereto as
Exhibit "A", and incorporated herein by this reference. When requested by the
CONTRACTOR, extensions to the time period(s) specified in the Schedule of
Performance may be approved in writing by the Contract Officer but not exceeding
one hundred eighty (180) days cumulatively.
7.3 Force Majeure
The time period(s) specified in the Schedule of Performance for
performance of the services rendered pursuant to this Agreement shall be
extended because of any delays due to unforeseeable causes beyond the control
and without the fault or negligence of the CONTRACTOR, including, but not
restricted to, acts of God or of the public enemy, unusually severe weather, fires,
earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight
embargoes, wars, litigation, and/or acts of any governmental agency, including the
CITY, if the CONTRACTOR shall within ten (10) days of the commencement of
such delay notify the Contract Officer in writing of the causes of the delay. The
Contract Officer shall ascertain the facts and the extent of delay, and extend the
time for performing the services for the period of the enforced delay when and if in
the judgment of the Contract Officer such delay is justified.
7.4 Term
Unless earlier terminated in accordance with Section 9.11 of this Agreement,
this Agreement shall continue in full force and effect for five (5) years, and,
unless a notice of termination is given on the fourth anniversary date, shall be
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automatically extended from year to year until and such notice shall be given.
8.0 COORDINATION OF WORK
8.1 Representative of Contractor
The following principals of CONTRACTOR are hereby designated as being the
principals and representatives of CONTRACTOR authorized to act in its behalf with
respect to the work specified herein and make all decisions in connection therewith:
Paula Cone
HdL COREN & CONE
1340 Valley Vista Drive, Suite
200 Diamond Bar, CA 91765
It is expressly understood that the experience, knowledge, capability and
reputation of the foregoing principals were a substantial inducement for CITY to enter
into this Agreement. Therefore, the foregoing principals shall be responsible during the
term of this Agreement for directing all activities of CONTRACTOR and devoting
sufficient time to personally supervise the services hereunder. For purposes of this
Agreement, the foregoing principals may not be replaced nor may their responsibilities
be substantially reduced by CONTRACTOR without the express written approval of
CITY.
8.2 Contract Officer
The Contract Officer shall be such person as may be designated by the City
Manager of CITY. It shall be the CONTRACTOR'S responsibility to assure that the
Contract Officer is kept informed of the progress of the performance of the services
and the CONTRACTOR shall refer any decisions which must be made by CITY to the
Contract Officer. Unless otherwise specified herein, any approval of CITY required
hereunder shall mean the approval of the Contract Officer. The Contract Officer
shall have authority to sign all documents on behalf of the CITY required hereunder to
carry out the terms of this Agreement.
8.3 Prohibition Against Subcontracting or Assignment
The experience, knowledge, capability and reputation of CONTRACTOR, its
principals and employees were a substantial inducement for the CITY to enter into this
Agreement. Therefore, CONTRACTOR shall not contract with any other entity to
perform in whole or in part the services required hereunder without the express written
approval of the CITY. In addition, neither this Agreement nor any interest herein may
be transferred, assigned, conveyed, hypothecated or encumbered voluntarily or by
operation of law, whether for the benefit of creditors or otherwise, without the prior
written approval of CITY. Transfers restricted hereunder shall include the transfer to
any person or group of persons acting in concert of more than fifty percent (50%) of
the present ownership and/or control of CONTRACTOR, taking all transfers into
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account on a cumulative basis. In the event of any such unapproved transfer,
including any bankruptcy proceeding, this Agreement shall be void. No approved
transfer shall release the CONTRACTOR or any surety of CONTRACTOR of any
liability hereunder without the express consent of CITY.
8.4 Independent Contractor
Neither the CITY nor any of its employees shall have any control over the
manner, mode or means by which CONTRACTOR, its agents or employees,
perform the services required herein, except as otherwise set forth herein. CITY
shall have no voice in the selection, discharge, supervision or control of
CONTRACTOR'S employees, servants, representatives or agents, or in fixing their
number, compensation or hours of service. CONTRACTOR shall perform all
services required herein as an independent CONTRACTOR of CITY and shall
remain at all times as to CITY a wholly independent CONTRACTOR with only such
obligations as are consistent with that role. CONTRACTOR shall not at any time or in
any manner represent that it or any of its agents or employees are agents or
employees of CITY. CITY shall not in any way or for any purpose become or be
deemed to be a partner of CONTRACTOR in its business or otherwise or a joint
venturer or a member of any joint enterprise with CONTRACTOR
INSURANCE AND INDEMNIFICATION
8.5 Insurance
The CONTRACTOR shall procure and maintain, at its sole cost and
expense, in a form and content satisfactory to CITY, during the entire term of this
Agreement including any extension thereof, the following policies of insurance:
(a) Comprehensive General Liability Insurance. The policy
of insurance shall be in an amount not less than either (i) a combined single limit
of $1,000,000 for bodily injury, death and property damage or (ii) bodily injury limits
of $500,000 per person, $1,000,000 per occurrence and $1,000,000 products and
completed operations and property damage limits of
$500,000 per occurrence and $500,000 in the aggregate.
(b) Worker's Compensation Insurance. A policy of worker's
compensation insurance in such amount as will fully comply with the laws of the
State of California and which shall indenmify, insure and provide legal defense for
both the CONTRACTOR and the CITY against any loss, claim or damage arising
from any injuries or occupational diseases occurring to any worker employed by or
any persons retained by the CONTRACTOR in the course of carrying out the work
or services contemplated in this Agreement.
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(c) Automotive Insurance. A policy of comprehensive automobile
liability insurance written on a per occurrence basis in an amount not less than
either (i) bodily injury liability limits of $250,000 per person and $500,000 per
occurrence and property damage liability limits of $100,000 per occurrence and
$250,000 in the aggregate or (ii) combined single limit liability of $500,000. Said
policy shall include coverage for owned, non -owned, leased and hired cars.
(d) Errors and Omissions (Professional Liability). A policy of
professional liability issuance written on a claims made basis in an amount not less
than One Million Dollars ($1,000,000).
8.6 General Requirements. All of the above policies of insurance
shall be primary insurance and shall name the CITY, its officers, employees and
agents as additional insureds. The insurer shall waive all rights of subrogation and
contribution it may have against the CITY, its officers, employees and agents and their
respective insurers. All of said policies of insurance shall provide that said insurance
may not be amended or cancelled without providing thirty (30) days prior written notice
by registered mail to the CITY. In the event any of said policies of insurance are
cancelled, the CONTRACTOR shall, prior to the cancellation date, submit new
evidence of insurance in conformance with this Section 9.0 to the Contract Officer. No
work or services under this Agreement shall commence until the CONTRACTOR has
provided the CITY with Certificates oflnsurance or appropriate insurance binders
evidencing the above insurance coverages and said Certificates of Insurance or
binders are approved by the CITY.
8.7 Indemnification
CONTRACTOR agrees to indemnify the CITY, its officers, agents and
employees against, and will hold and save them and each of them harmless from, any
and all actions, suits, claims, damages to persons or property, losses, costs, penalties,
obligations, errors, omissions or liabilities, (herein "claims or liabilities") that may be
asserted or claimed by any person, firm or entity arising out of or in connection with
the negligent performance of the work, operations or activities of CONTRACTOR, its
agents, employees, subcontractors, or invitees, provided for herein, or arising from the
negligent acts or omissions of CONTRACTOR hereunder, or arising from
CONTRACTOR'S negligent performance of or failure to perform any term, provision,
covenant or condition of this Agreement, whether or not there is concurrent passive
or active negligence on the part of the CITY, its officers, agents or employees but
excluding such claims or liabilities arising from the sole negligence or willful
misconduct of the CITY, its officers, agents or employees, who are directly responsible
to the CITY.
8.8 Sufficiency of Insurer or Surety
Insurance or bonds required by this Agreement shall be satisfactory only if
issued by companies qualified to do business in California, rated "A" or better in the
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most recent edition of Best Rating Guide, The Key Rating Guide or in the Federal
Register, and only if they are of a financial category Class VII or better, unless such
requirements are waived by the Risk Manager of the CITY due to unique
circumstances. In the event the Risk Manager of CITY ("Risk Manager") determines
that the work or services to be performed under this Agreement creates an increased or
decreased risk of loss to the CITY, the CONTRACTOR agrees that the minimum limits
of the insurance policies and the performance bond required by this Section 9.0 may
be changed accordingly upon receipt of written notice from the Risk Manager;
provided that the CONTRACTOR shall have the right to appeal a determination of
increased coverage by the Risk Manager to the CITY Council of CITY within 10 days of
receipt of notice from the Risk Manager.
9.0 RECORDS AND REPORTS
9.1 Reports
CONTRACTOR shall periodically prepare and submit to the Contract Officer
such reports concerning the performance of the services required by this
Agreement as the Contract Officer shall require.
9.2 Records
CONTRACTOR shall keep, and require subcontractors to keep, such books
and records as shall be necessary to perform the services required by this
Agreement and enable the Contract Officer to evaluate the performance of such
services. The Contract Officer shall have full and free access to such books and
records at all times during normal business hours of CITY, including the right to
inspect, copy, audit and make records and transcripts from such records. Such
records shall be maintained for a period of three (3) years following completion
of the services hereunder, and the CITY shall have access to such records in
the event any audit is required.
9.3 Non -Disclosure of Proprietary Information
In performing its duties under this Agreement, CONTRACTOR will produce
reports, technical information and other compilations of data to CITY. These
reports, technical information and compilations of data are derived by
CONTRACTOR using methodologies, formulae, programs, techniques and other
processes designed and developed by CONTRACTOR at a substantial expense.
CONTRACTOR'S reports, technical information, compilations of data,
methodologies, formulae, software, programs, techniques and other processes
designed and developed by CONTRACTOR shall be referred to as Proprietary
Information. CONTRACTOR'S Proprietary Information is not generally known by
the entities with which CONTRACTOR competes.
CONTRACTOR desires to protect its Proprietary Information. Accordingly,
-
CITY agrees that neither it nor any of its employees, agents, independent
contractors or other persons or organizations over which it has control, will at any
time during or after the term of this Agreement, directly or indirectly use any of
CONTRACTOR'S Proprietary Information for any purpose not associated with
CONTRACTOR'S activities. Further, CITY agrees that it nor any of its employees,
agents, independent contractors or other persons or organizations over which it
has control, will disseminate or disclose any of CONTRACTOR'S Proprietary
Information to any person or organization not connected with CONTRACTOR,
without the express written consent of CONTRACTOR. The CITY also agrees that
consistent with its obligations under the California Public Records Act and related
disclosure Jaws, it will undertake all necessary and appropriate steps to maintain
the proprietary nature of CONTRACTOR'S Proprietary Information.
Any use of the Proprietary Information or any other reports, records,
documents or other materials prepared by CONTRACTOR hereunder for other
projects and/or use of uncompleted documents without specific written
authorization by the CONTRACTOR will be at the CITY's sole risk and without
liability to CONTRACTOR, and the CITY shall indemnify the CONTRACTOR for
all damages resulting therefrom.
9.4 Release of Documents Pursuant to Public Records Act
Notwithstanding any other prov1s1on in this Agreement, all obligations
relating to disclosure of Proprietary Information remain subject to the Freedom of
Information Act or California Public Records Act, Cal. Gov't Code §§ 6250 et seq.
(collectively, the "PRA"). The Parties intend that if CITY is served with a request for
disclosure under the PRA, or any similar statute, the CITY in good faith will make
the determination as to whether the material is discloseable or exempt under the
statute, and shall resist the disclosure of Proprietary Information which is exempt
from disclosure to the extent allowable under the law. CITY shall advise
CONTRACTOR in writing five (5) days prior to the intended disclosure of any
decision to disclose Proprietary Information, and the reasons therefore, and if
CONTRACTOR then timely advises CITY in writing that it objects to the
disclosure, CITY shall not disclose the information. In such case, CONTRACTOR
shall then be solely liable for defending the non- disclosure and shall indemnify
and hold CITY harmless for such nondisclosure.
ENFORCEMENT OF AGREEMENT
9.5 California Law
This Agreement shall be construed and interpreted both as to validity and to
performance of the parties in accordance with the laws of the State of California.
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Legal actions concerning any dispute, claim or matter arising out of or in relation to
this Agreement shall be instituted in the Superior Court of the County of Los
Angeles, State of California, or any other appropriate court in such county, and
CONTRACTOR covenants and agrees to submit to the personal jurisdiction of
such court in the event of such action.
9.6 Disputes
In the event of any dispute arising under this Agreement, the injured party
shall notify the injuring party in writing of its contentions by submitting a claim
therefor. The injured party shall continue performing its obligations hereunder so
long as the injuring party commences to cure such default within ten (10) days of
service of such notice and completes the cure of such default within forty-five (45)
days after service of the notice, or such longer period as may be permitted by the
injured party; provided that if the default is an immediate danger to the health,
safety and general welfare, such immediate action may be necessary. Compliance
with the provisions of this Section shall be a condition precedent to termination of
this Agreement for cause and to any legal action, and such compliance shall not be
a waiver of any party's right to take legal action in the event that the dispute is not
cured, provided that nothing herein shall limit CITY' s or the CONTRACTOR'S
right to terminate this Agreement without cause pursuant to Section 11.6.
9.7 Waiver
No delay or omission in the exercise of any right or remedy by a
nondefaulting party on any default shall impair such right or remedy or be
construed as a waiver. A party's consent to or approval of any act by the other
party requiring the party's consent or approval shall not be deemed to waive or
render unnecessary the other party's consent to or approval of any subsequent
act. Any waiver by either party of any default must be in writing and shall not be a
waiver of any other default concerning the same or any other provision of this
Agreement.
9.8 Rights and Remedies are Cumulative
Except with respect to rights and remedies expressly declared to be exclusive
in this Agreement, the rights and remedies of the parties are cumulative and the
exercise by either party of one or more of such rights or remedies shall not preclude
the exercise by it, at the same or different times, of any other rights or remedies for
the same default or any other default by the other party.
9.9 Legal Action
9.10 In addition to any other rights or remedies, either party may take
legal action, in law or in equity, to cure, correct or remedy any default, to recover
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damages for any default, to compel specific performance of this Agreement, to obtain
declaratory or injunctive relief, or to obtain any other remedy consistent with the
purposes of this Agreement.
9.11 Termination Prior to Expiration of Term
This Section shall govern any termination of this Agreement. The Parties
reserve the right to terminate this Agreement at any time, with or without cause, upon
forty-five (45) days' written notice to the non -terminating party, except that where
termination is for cause, the Parties will comply with the dispute resolution process in
Section 11.2. Upon issuance of any notice of termination, CONTRACTOR shall
immediately cease all services hereunder except such as may be specifically approved
by the Contract Officer. The CONTRACTOR shall be entitled to compensation for all
services rendered prior to the effective date of the notice of termination and for any
services authorized by the Contract Officer thereafter. In the event of termination
without cause pursuant to this Section, the terminating party need not provide the non -
terminating party with the opportunity to cure pursuant to Section 11.2.
9.12 Attorneys' Fees
If either party to this Agreement is required to initiate or defend or made a party
to any action or proceeding in any way connected with this Agreement, the prevailing
party in such action or proceeding, in addition to any other relief which may be
granted, whether legal or equitable, shall be entitled to reasonable attorney's fees.
Attorney's fees shall include attorney's fees on any appeal, and in addition a party
entitled to attorney's fees shall be entitled to all other reasonable costs for investigating
such action, taking depositions and discovery and all other necessary costs the court
allows which are incurred in such litigation. All such fees shall be deemed to have
accrued on commencement of such action and shall be enforceable whether or not
such action is prosecuted to judgment.
10.0 CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION
10.1 Non -liability of CITY Officers and Employees
No officer or employee of the CITY shall be personally liable to the
CONTRACTOR, or any successor in interest, in the event of any default or breach by
the CITY or for any amount which may become due to the CONTRACTOR or to its
successor, or for breach of any obligation of the terms of this Agreement.
10.2 Conflict oflnterest
No officer or employee of the CITY shall have any financial interest, direct or
indirect, in this Agreement nor shall any such officer or employee participate in any
decision relating to the Agreement which effects his financial interest or the financial
interest of any corporation, partnership or association in which he is, directly or
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indirectly, interested, in violation of any State statute or regulation. The CONTRACTOR
warrants that it has not paid or given and will not pay or give any third party any money
or other consideration for obtaining this Agreement.
10.3 Covenant Against Discrimination
CONTRACTOR covenants that, by and for itself, its heirs, executors, assigns,
and all persons claiming under or through them, that there shall be no discrimination
against or segregation of, any person or group of persons on account of race, color,
creed, religion, sex, marital status, national origin, or ancestry in the performance of
this Agreement. CONTRACTOR shall take affirmative action to insure that applicants
are employed and that employees are treated during employment without regard to their
race, color, creed, religion, sex, marital status, national origin, or ancestry.
11.0 MISCELLANEOUS PROVISIONS
11.1 Notice
Any notice, demand, request, document, consent, approval, or communication
either party desires or is required to give to the other party or any other person shall be
in writing and either served personally or sent by prepaid, first-class mail addressed as
follows:
CITY: City of Moorpark
Attention: Steven Kueny
799 Moorpark Avenue
Moorpark, CA 93021
CONTRACTOR. HdL COREN & CONE
1340 Valley Vista Drive, Suite 200
Diamond Bar, California 91765
Either party may change its address by notifying the other party of the change of
address in writing. Notice shall be deemed communicated at the time personally
delivered or in seventy- two (72) hours from the time of mailing if mailed as provided in
this Section.
11.2 Interpretation
The terms of this Agreement shall be construed in accordance with the
meaning of the language used and shall not be construed for or against either party by
reason of the authorship of this Agreement or any other rule of construction which might
otherwise apply.
11.3 Integration; Amendment
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It is understood that there are no oral agreements between the parties hereto
affecting this Agreement and this Agreement supersedes and cancels any and all
previous -negotiations, arrangements, agreements and understandings, if any, between
the parties, and none shall be used to interpret this Agreement. This Agreement
may be amended at any time by the mutual consent of the parties by an instrument
in writing.
11.4 Severability
In the event that any one or more of the phrases, sentences, clauses,
paragraphs, or sections contained in this Agreement shall be declared invalid or
unenforceable by a valid judgment or decree of a court of competent jurisdiction,
such invalidity or unenforceability shall not affect any of the remaining phrases,
sentences, clauses, paragraphs, or sections of this Agreement which are hereby
declared as severable and shall be interpreted to carry out the intent of the parties
hereunder unless the invalid provision is so material that its invalidity deprives
either party of the basic benefit of their bargain or renders this Agreement
meaningless.
11.5 Corporate Authority
The persons executing this Agreement on behalf of the parties hereto warrant
that (i) such party is duly organized and existing, (ii) they are duly authorized to
execute and deliver this Agreement on behalf of said party, (iii) by so executing
this Agreement, such party is formally bound to the provisions of this Agreement,
and (iv) the entering into this Agreement does not violate any provision of any other
Agreement to which said party is bound.
IN WITNESS WHEREOF, the parties have executed and entered into this
Agreement as of the date first written above.
CITY OF MOORPARK HdL COREN & CONE
By:
Steven Kueny, City Manager
By:
Paula Cone
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EXHIBIT "A"
SCHEDULE OF PERFORMANCE
TIMELINE FOR DELIVERABLES
July/August Data available for purchase from counties
September 30 Dataset and software available for installation on city computers
September -October Unsecured audits performed and forwarded to county assessor
October -February Delivery of preliminary property tax reports
December -June Monthly data updates -Database/software
Appeals quarterly updates emailed in counties where the data is
available
March Appeals quarterly updates emailed in counties where the data is
available
March/April General Fund Budget Projections
April/May Final Books-Addendums emailed to clients
June Appeals quarterly updates emailed in counties where the data is
available
Ongoing Secured Audits - City
Revenue audits of City, and District receipts for correctness Property
sales reports
City and Successor Agency mid -year budget reviews and
budget projections
Analytical work at the request of clients
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