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HomeMy WebLinkAbout8.5 Revenue Enhancmt OpportG~~~ OF DU~~~ 19`~;~~Z STAFF REPORT CITY C L E R K ``~~~~ /~ DUBLIN CITY COUNCIL File # ^®®©-©® DATE: October 20, 2009 TO: Honorable Mayor and City Councilmembers FROM: Joni Pattillo, City Manager SUBJEC Authorize an Agreement with Lew Edwards Group as Lead Consultant to Evaluate Opportunities for Revenue Enhancement Prepared By: Paul S. Rankin, Administrative Services Director EXECUTIVE SUMMARY: A high priority City Council goal for this Fiscal Year is to "undertake voter opinion research to determine community support for a revenue measure targeting resident valued enhancements." Given the threat from the State of California raiding traditional local revenues, and the inadequacy of revenue growth to keep pace with expenditures, scoping for possible additional revenue is timely and prudent. The City requested proposals from firms with expertise in the following two areas: Voter Opinion Polling and Funding Strategy /Communication Services. The City Council will consider approving an agreement with Lew Edwards Group. FINANCIAL IMPACT: The total amount budgeted for this project in Fiscal Year 2009-2010 is $65,000. Phase 1 of the project will be completed for a cost not to exceed $32,500. During Phase 2, the costs associated with Strategic Communication Services over a seven month period are proposed to be $31,000. The costs associated with Phase 2 of the project may vary depending inclusion or exclusion of optional elements and a more refined scope, which would be presented to the City Council upon completion of Phase 1. RECOMMENDATION: Adopt the Resolution Approving an Agreement With Lew Edwards Group (Lead Consultant) For Evaluation of Opportunities to Enhance Local Revenues Submitted By: Administrative Services Director Reviewed By: Assistant City Manager _. Page 1 of 5 ITEM NO. .5 G DESCRIPTION: The City Council adopted a Fiscal Year 2009-2010 high priority goal to "undertake voter opinion research to determine community support for a revenue measure targeting resident valued enhancements" (Goal I-A-3). As previously discussed in the 2009/2010 Budget Message, the City faces several fiscal challenges this year and into the foreseeable future, including: • Declining property tax and sales tax revenue, the City's two major sources of funding for operations; • The escalation of the City's public safety (including Police and Fire) operating costs. In just the past seven years, the cost of public safety has increased 100 percent; • Increased operating costs associated with new/added parks and infrastructure. Fallon Sports Park is projected to add approximately $350,000 in annual operating costs; • Replacement and repair costs for aging infrastructure and city facilities and the maintenance costs for new infrastructure and streets; • Unfunded mandates and regulatory requirements, including managing and treating storm water; • Balancing the desire for completion of major new facilities funded from Development Fees, which are forecasted to be collected at a much slower rate than in the past; and • The need for resources to provide staffing that will maintain service levels as the City grows (in Fiscal Year 2009-2010 Budget City Staff positions were reduced by over 10%). In addition to the City's current financial issues, the State of California continues to balance its books on the backs of local government. This year, Sacramento plans on "borrowing" $2.4 million from the City of Dublin and the future raids remain unclear. Dublin's fiscal situation is not unique, nor is the City Council's desire to assessment the feasibility of revenue enhancements. In fact, to protect local funds, many cities throughout the State are proactively exploring local revenue measures that cannot be borrowed by the State government and which may add additional diversity to the local revenue base. Process To Solicit Consultants Staff reviewed information presented at local government conferences on key elements required from professional consultants. A Request for Proposal (RFP) was developed based upon this information, as well as samples obtained from other agencies. It was envisioned that Consultants responding may have a Team Approach focused on two areas (Polling Expertise and Communications Strategy). Staff requested that the proposal identify a "Lead Consultant" if this were the case. The RFP envisioned that the approach to services would identify work to be performed in at least two major phases: 1) Voter Opinion Research specific to the City of Dublin and 2) Funding Options Strategy and Communications Services. In accordance with State laws the communications services must adhere to public information standards and not advocate a ballot measure. On September 14, 2009, the RFP was distributed to 10 firms with expertise in one or both of the areas of focus. Firms were given an opportunity to submit questions or requests for clarification. A response to questions submitted was distributed to interested firms on September 23, 2009 and the deadline for submitting a proposal was September 29, 2009. The City received a total of seven proposals (see Attachment 1). Five consisted of Project Teams representing the focus areas. One proposal was from a firm which had an affiliated company Page 2 of 5 with expertise in polling and one proposal only recommended a polling firm but did not include specific responses to information on polling. Staff established an internal review Team which included: Administrative Services Director; Assistant to the City Manager -Economic Development /Public Information Officer; Assistant Director of Parks and Community Services; and Senior Administrative Analyst -Budget. All of the responses were reviewed to determine those which best met the City's needs, using the following criteria: Quality and completeness of the proposal Proposer's experience with the specific element (Voter Opinion Polling and / or Revenue Strategy Development & Communications), including the experience of staff to be assigned to the project, as well as the Proposer's engagements of similar scope and complexity; iii. Proposer's ability to schedule and efficiently perform the work; iv. Proposer's prior record of performance with the City or others; and v. Cost Proposal and Hours. Based upon this review, two Project Teams were determined to have best addressed the City's needs and presented extensive experience in similar engagements. The two teams were invited to an interview which was conducted on October 9, 2009. The internal Staff team, which had done the initial screening of proposals, was joined by the Assistant City Manager to conduct the personal interviews of the two Project Teams. The Teams selected to participate in this phase of the selection process were: A. The Lew Edwards Group (LEG) - (Oakland CA -Lead Consultant) Fairbank, Maslin, Maullin, & Associates (FMMA) - (Oakland CA -Sub-Consultant Opinion Research) Primary Staffing: Lew Edwards Group -Catherine Lew, President & CEO FMMA -David Metz, Partner B Godbe Research - (San Mateo CA -Lead Consultant) Tramutola (Oakland CA -Sub-Consultant Communications) Primary Staffing: Godbe - Co-Project Managers Bryan Godbe, President and Dr. Alice Chan Tramutola -Bonnie Moss, Sr. Vice President and Chief Operating Officer and Charles Heath, Senior Vice President and Senior Consultant Based on the information presented in the proposals, as well as the interview presentation, Staff is recommending the selection of Lew Edwards Group for this professional services engagement. Page 3 of 5 Background and Experience Offered By Lew Edwards Group Proposal The team presented as part of the Lew Edwards Group (LEG) proposal has extensive experience with city clients in the Bay Area, as well as throughout the State of California. The revenue options available to a City are different than those typically faced by other government entities such as special districts and schools. The LEG/FMMA Team represents that they have assisted agencies in obtaining voter approval of over $27 billion in revenue measures. Among the agencies this Team has worked for is City of San Ramon (Landscaping & Lighting District Increase); City of Palo Alto (Library Funding Measure); City of Gilroy (Library Funding Measure). In addition both firms have worked individually for many agencies statewide. The types of revenue measures have varied including, sales tax, utility user tax, Transient Occupancy Tax, as well as general purpose taxes. Ninety-three percent of the measures they have assisted with have been approved by the voters. The Lew Edwards Group proposal is broken down as follows: Phase 1 -Assessment Planning and Research As proposed the effort will begin with an assessment of unique issues faced by the City and the review of background materials and information. Catherine Lew as part of the initial assessment will conduct individual interviews with City Council as well as working with the City Manager and across-section of input from Department Directors. This element of the information gathering is essential to formulate an understanding of what the potential needs are for the Dublin community. With this information and input the Consultants will work with City Staff to develop the questions to be included in the baseline survey. Given their extensive background working with communities throughout California the Consultants will develop and conduct a statistically valid survey. In order to protect the validity of the survey results the Consultants have advised against public disclosure of survey questions in advance. However, it will be based on the themes and background gathered in the initial research. The survey will gather information on general perceptions of City services and voter concerns. In addition there will be specific testing of options related to potential revenue enhancement. The survey will be designed to be approximately 20 minutes in length and they propose to conduct a sample size of 400 likely November 2010 voters. Upon conclusion of the survey LEG will prepare a report that will be presented to the City Council. After the completion of the survey a formal action by the City Council will be required to decide what future steps will be taken. The Phase 1 Report is expected to offer recommendations and possibly alternatives that can be considered based on interpretation of the survey results. Some agencies conduct this type of research on a regular basis in order to have quantitative base line data regarding the local perception of City Services and how they are valued. The LEG proposal identified specifically that the City may elect to forego any further services upon the completion of Phase 1. This element has also been incorporated into the proposed Agreement. Upon presentation to the City Council of the Phase 1 results, there will be the opportunity to terminate any further work associated with this agreement. The total cost negotiated for Phase 1 services is $32,500. These costs provide for the following services: Page 4 of 5 Lead Consultant $10,000 (Project Management and Facilitation; Oversight of Survey Implementation; Independent analysis of survey findings, Development of Strategic Assessment and Recommendations.) Base Line Public Opinion Research Survey $22,500 (400 respondent sample, 20 minute interviews, top-line survey results, full cross- tabulated results, graphic presentation of key findings and final report.) TOTAL PHASE 1 $32,500 Phase 2 - Develop a Comprehensive Communications Plan Upon completion of Phase 1 the Consultants will present a recommended communications plan. In part the design of this plan will rely heavily on what is learned from the polling regarding voter perceptions of issues and City services. The opportunity to have communication messages developed to specifically address our community will further efforts to assure that the local public is well informed and has an opportunity to obtain important information. This work would be carried out primarily by LEG and is envisioned to span over the period from January 1, 2010 through approximately July 31, 2010. The services will include assistance in defining key messages and developing a variety of communications pieces, which may include: brochures, website information, development of speakers bureau material and training, development of PowerPoint presentations, collaboration with Staff and City Attorney on reviewing all materials, etc. The cost for this phase of services is $31,000 (Professional fees of $30,000 plus reimbursable costs of $1,000). Phase 2 -Optional Services If the City decides to continue with Phase 2 there are potentially optional services that could be undertaken as part of a coordinated effort to refine the City communication efforts. One of these efforts is the development and distribution of direct mail information that shares what has been learned from the polling and helps provide additional education for residents about the key issues that are faced by the City. Lew Edwards Group has found direct mail as one element of a public information effort. An estimate of the cost to produce and distribute three mailings is $35,000. If later in the fiscal year the City were at the point of considering. a specific revenue measure, it may also be desirable to conduct a more focused poll prior to the City Council taking action to place the revenue measure on the ballot. It is envisioned that this would be a shorter interview with an estimated cost of $17,500. None of the optional services are required as part of the current proposed agreement and this would be further evaluated after the Phase 1 results are presented to the City Council. NOTICING REQUIREMENTS/PUBLIC OUTREACH: None required. ATTACHMENTS: 1. Listing of Firms Submitting Proposals 2. Resolution approving agreement with Lew Edwards Group (Lead Consultant) for evaluation of opportunities to enhance local revenue. Page 5 of 5 i~ ~~ CITY OF DUBLIN LISTING OF FIRMS SUBMITTING PROPOSALS VOTER POLLING AND COMMUNICATIONS (September 29, 2009) PROJECT TEAMS EMC Research Fairbank, Marlin, Fallon Research & Polling Maulin & Associates Communications Communications Whitehurst/Mosher The Lew Edwards California Gold (Lead) Group (Lead) Advocacy Group (Lead) Strate is Research Location(s) / EMC Research Fairbank, Marlin, Fallon Research & Focus Oakland -Market and Maulin & Associates Communications - Opinion research Oakland -Polling; (Columbus Ohio) Public Opinion Research; and opinion research and Policy Analysis polling. Whitehurst / Mosher Lew Edwards Group California Gold (San Francisco) - Oakland - Advocac,~(Dublin) - Campaign strategy & Communications and Local and State Media electoral campaigns legislative experience. Strategic Research- (Stockton Ca) Consulting /campaign management PROJECT TEAMS Godbe Research (Lead) SAS Opinion / WRS (Wilson No Polling Firm Polling Research Research Recommend - Strategies) FMMA Tramutola Communications Solem & Associates JJ TBWB Strategies Communications Lead Location(s) / Godbe Research (San SA ~ Opion Research WRS - (Oklahoma Focus Mateo -Public Opinion (San Francisco) - Cit~K1-Public Research Polling division of Opinion Research Solem Tramutola (OaklandZCity Solem & Associates JJ Communications TBWB Strate ies and County Tax Election (San Francisco) (San Juan Bautista (San Francisco) - Services Communications ~ Marketing Strategic and public outreach consultants for ballot measure feasibility planning and communication. ATTACHMENT 1 a~ -~ RESOLUTION NO. xx - 09 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN *~*~*~*~ APPROVING AGREEMENT WITH LEW EDWARDS GROUP (LEAD CONSULTANT) FOR EVALUATION OF OPPORTUNITIES TO ENHANCE LOCAL REVENUES WHEREAS, the City Council has adopted as a high priority goal completion of voter opinion research to determine community support for a revenue measure targeting resident valued enhancements. and WHEREAS, the design and conducting of opinion surveys requires specialized expertise; WHEREAS, proposals were requested from firms with experience working with cities on similar projects to determine the best combination of experience, approach for the current City needs; and WHEREAS, the qualifications of Lew Edwards Group as Lead Consultant working in partnership with the firm of Fairbanks Maslin, Maullin & Associates are recommended to work on this project. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin hereby approves the agreement (attached hereto as Exhibit A) with Lew Edwards Group for Professional Services To Evaluate Opportunities to Enhance Local Revenue, in an amount not to exceed $63,500, unless amended as provided -for in the Agreement. BE IT FURTHER RESOLVED that the City Manager is authorized to execute the agreement. PASSED, APPROVED AND ADOPTED this 20th day of October, 2009, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ATTEST: City Clerk Mayor ATTACHMENT 2 3~ -~ CONSULTING SERVICES AGREEMENT BETWEEN THE CITY OF DUBLIN AND LEW EDWARDS GROUP THIS AGREEMENT for consulting services is made by and between the City of Dublin ("City") and Lew Edwards Group ("Consultant") as of October 20, 2009. Section 1. SERVICES. Subject to the terms and conditions set forth in this Agreement, Consultant shall provide to City the services described in the Scope of Work attached as Exhibit A at the time and place and in the manner specified therein. In the event of a conflict in or inconsistency between the terms of this Agreement and Exhibit A, the Agreement shall prevail. 1.1 Term of Services. The term of this Agreement shall begin on the date first noted above and shall end on July 31, 2010, the date of completion specified in Exhibit A, and Consultant shall complete the work described in Exhibit A prior to that date, unless the term of the Agreement is otherwise terminated or extended, as provided for in Section 8. The time provided to Consultant to complete the services required by this Agreement shall not affect the City's right to terminate the Agreement, as provided for in Section 8. 1.2 Standard of Performance. Consultant shall perform all services required pursuant to this Agreement in the manner and according to the standards observed by a competent practitioner of the profession in which Consultant is engaged in the geographical area in which Consultant practices its profession. Consultant shall prepare all work products required by this Agreement in a substantial, first-class manner and shall conform to the standards of quality normally observed by a person practicing in Consultant's profession. 1.3 Assignment of Personnel. Consultant shall assign only competent personnel to perform services pursuant to this Agreement. In the event that City, in its sole discretion, at any time during the term of this Agreement, desires the reassignment of any such persons, Consultant shall, immediately upon receiving notice from City of such desire of City, reassign such person or persons. 1.4 Time. Consultant shall devote such time to the performance of services pursuant to this Agreement as may be reasonably necessary to meet the standard of performance provided in Section 1.1 above and to satisfy Consultant's obligations hereunder. Section 2. COMPENSATION. City hereby agrees to pay Consultant a sum not to exceed $63,500 notwithstanding any contrary indications that may be contained in Consultant's proposal, for services to be performed and reimbursable costs incurred under this Agreement. Consultant has offered Optional Services, which may be added in accordance with Section 8.3 of this Agreement. In the event of a conflict between this Agreement and Consultant's proposal, attached as Exhibit A, regarding the amount of compensation, the Agreement shall prevail. City shall pay Consultant for services rendered pursuant to this Agreement at the time and in the manner set forth herein. The payments specified below shall be the only payments from City to Consultant for services rendered pursuant to this Agreement. Consultant shall submit all invoices to City in the manner specified herein. Except as specifically authorized by City, Consultant shall not bill City for duplicate services performed by more than one person. Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 1 of 13 EX~-IIBIT a ~v ATTAGt-IMEn(T 2„ ~- a~ ~ Consultant and City acknowledge and agree that compensation paid by City to Consultant under this Agreement is based upon Consultant's estimated costs of providing the services required hereunder, including salaries and benefits of employees and subcontractors of Consultant. Consequently, the parties further agree that compensation hereunder is intended to include the costs of contributions to any pensions and/or annuities to which Consultant and its employees, agents, and subcontractors may be eligible. City therefore has no responsibility for such contributions beyond compensation required under this Agreement. 2.1 Invoices. Consultant shall submit invoices, not more often than once a month during the term of this Agreement, based on the cost for services performed and reimbursable costs incurred prior to the invoice date. Invoices shall contain the following information: ^ Serial identifications of progress bills; i.e., Progress Bill No. 1 for the first invoice, etc.; ^ The beginning and ending dates of the billing period; ^ A Task Summary containing the original contract amount, the amount of prior billings, the total due this period, the balance available under the Agreement, and the percentage of completion; ^ At City's option, for each work item in each task, a description of the work performed and each reimbursable expense; ^ The Consultant's signature. 2.2 Monthly Payment. City shall make monthly payments, based on invoices received, for services satisfactorily performed, and for authorized reimbursable costs incurred. City shall have 30 days from the receipt of an invoice that complies with all of the requirements above to pay Consultant. 2.3 Final Payment. City shall pay the last 10% of the total sum due pursuant to this Agreement within sixty (60) days after completion of the services and submittal to City of a final invoice, if all services required have been satisfactorily performed. 2.4 Total Payment. City shall pay for the services to be rendered by Consultant pursuant to this Agreement. City shall not pay any additional sum for any expense or cost whatsoever incurred by Consultant in rendering services pursuant to this Agreement. City shall make no payment for any extra, further, or additional service pursuant to this Agreement. In no event shall Consultant submit any invoice for an amount in excess of the maximum amount of compensation provided above either for a task or for the entire Agreement, unless the Agreement is modified prior to the submission of such an invoice by a properly executed change order or amendment. 2.5 Fees. Fees for work performed by Consultant shall not exceed the amounts shown in Exhibit B. Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 2 of 13 5~ r=. 2.6 Reimbursable Expenses. Reimbursable expenses for any mileage, messenger service, printing, etc, and shall not exceed the amount shown in Exhibit B. Expenses not listed below are not chargeable to City. Reimbursable expenses are included in the total amount of compensation provided under this Agreement that shall not be exceeded. 2.7 Payment of Taxes. Consultant is solely responsible for the payment of employment taxes incurred under this Agreement and any similar federal or state taxes. 2.8 Payment upon Termination. In the event that the City or Consultant terminates this Agreement pursuant to Section 8, the City shall compensate the Consultant for all outstanding costs and reimbursable expenses incurred for work satisfactorily completed as of the date of written notice of termination. Consultant shall maintain adequate documentation in order to verify costs incurred to that date. 2.9 Authorization to Perform Services. The Consultant is not authorized to perform any services or incur any costs whatsoever under the terms of this Agreement until receipt of authorization from the Contract Administrator. Section 3. FACILITIES AND EQUIPMENT. Except asset forth herein, Consultant shall, at its sole cost and expense, provide all facilities and equipment that may be necessary to perform the services required by this Agreement. City shall make available to Consultant only the facilities and equipment listed in this section, and only under the terms and conditions set forth herein. City shall furnish physical facilities such as conference space, as may be reasonably necessary for Consultant's use while consulting with City employees and reviewing records and the information in possession of the City. The location, quantity, and time of furnishing those facilities shall be in the sole discretion of City. In no event shall City be obligated to furnish any facility that may involve incurring any direct expense, including but not limited to computer, long-distance telephone or other communication charges, vehicles, and reproduction facilities. Section 4. INSURANCE REQUIREMENTS. Before beginning any work under this Agreement, Consultant, at its own cost and expense, shall procure "occurrence coverage" insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work hereunder by the Consultant and its agents, representatives, employees, and subcontractors. Consultant shall provide proof satisfactory to City of such insurance that meets the requirements of this section and under forms of insurance satisfactory in all respects to the City. Consultant shall maintain the insurance policies required by this section throughout the term of this Agreement. The cost of such insurance shall be included in the Consultant's bid. Consultant shall not allow any subcontractor to commence work on any subcontract until Consultant has obtained all insurance required herein for the subcontractor(s) and provided evidence thereof to City. Verification of the required insurance shall be submitted and made part of this Agreement prior to execution. Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 3 of 13 ~~-~ 4.1 Workers' Compensation. Consultant shall, at its sole cost and expense, maintain Statutory Workers' Compensation Insurance and Employer's Liability Insurance for any and all persons employed directly or indirectly by Consultant. The Statutory Workers' Compensation Insurance and Employer's Liability Insurance shall be provided with limits of not less than ONE MILLION DOLLARS ($1,000,000.00) per accident. In the alternative, Consultant may rely on aself-insurance program to meet those requirements, but only if the program of self-insurance complies fully with the provisions of the California Labor Code. Determination of whether aself-insurance program meets the standards of the Labor Code shall be solely in the discretion of the Contract Administrator. The insurer, if insurance is provided, or the Consultant, if a program of self-insurance is provided, shall waive all rights of subrogation against the City and its officers, officials, employees, and volunteers for loss arising from work performed under this Agreement. An endorsement shall state that coverage shall not be canceled except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City. Consultant shall notify City within 14 days of notification from Consultant's insurer if such coverage is suspended, voided or reduced in coverage or in limits. 4.2 Commercial General and Automobile Liability Insurance. 4.2.1 General requirements. Consultant, at its own cost and expense, shall maintain commercial general and automobile liability insurance for the term of this Agreement in an amount not less than ONE MILLION DOLLARS ($1,000,000.00) per occurrence, combined single limit coverage for risks associated with the work contemplated by this Agreement. If a Commercial General Liability Insurance or an Automobile Liability form or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to the work to be performed under this Agreement or the general aggregate limit shall be at least twice the required occurrence limit. Such coverage shall include but shall not be limited to, protection against claims arising from bodily and personal injury, including death resulting therefrom, and damage to property resulting from activities contemplated under this Agreement, including the use of owned and non- owned automobiles. 4.2.2 Minimum scope of coverage. Commercial general coverage shall be at least as broad as Insurance Services Office Commercial General Liability occurrence form CG 0001 (ed. 11/88) or Insurance Services Office form number GL 0002 (ed. 1R3) covering comprehensive General Liability and Insurance Services Office form number GL 0404 covering Broad Form Comprehensive General Liability. Automobile coverage shall be at least as broad as Insurance Services Office Automobile Liability form CA 0001 (ed. 12/90) Code 8 and 9 ("any auto"). No endorsement shall be attached limiting the coverage. Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 4 of 13 7.~ ~~ 4.2.3 Additional requirements. Each of the following shall be included in the insurance coverage or added as an endorsement to the policy: City and its officers, employees, agents, and volunteers shall be covered as additional insureds with respect to each of the following: liability arising out of activities performed by or on behalf of Consultant, including the insured's general supervision of Consultant; products and completed operations of Consultant; premises owned, occupied, or used by Consultant; and automobiles owned, leased, or used by the Consultant. The coverage shall contain no special limitations on the scope of protection afforded to City or its officers, employees, agents, or volunteers. The insurance shall cover on an occurrence or an accident basis, and not on a claims-made basis. c. An endorsement must state that coverage is primary insurance with respect to the City and its officers; officials, employees and volunteers, and that noinsurance orself-insurance maintained by the City shall be called upon to contribute to a loss under the coverage. d. Any failure of CONSULTANT to comply with reporting provisions of the policy shall not affect coverage provided to CITY and its officers, employees, agents, and volunteers. e. An endorsement shall state that coverage shall not be canceled except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City. Consultant shall notify City within 14 days of notification from Consultant's insurer if such coverage is suspended, voided or reduced in coverage or in limits. 4.3 Professional Liability Insurance. Consultant, at its own cost and expense, shall maintain for the period covered by this Agreement professional liability insurance for licensed professionals performing work pursuant to this Agreement in an amount not less than ONE MILLION DOLLARS ($1,000,000) covering the licensed professionals' errors and omissions. 4.3.1 Any deductible orself-insured retention shall not exceed $150,000 per claim. 4.3.2 An endorsement shall state that coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in limits, except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City. 4.3.3 The policy must contain a cross liability or severability of interest clause. Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 5 of 13 a ~ ~~ 4.3.4 The following provisions shall apply if the professional liability coverages are written on a claims-made form: a. The retroactive date of the policy must be shown and must be before the date of the Agreement. b. Insurance must be maintained and evidence of insurance must be provided for at least five years after completion of the Agreement or the work, so long as commercially available at reasonable rates. If coverage is canceled or not renewed and it is not replaced with another claims-made policy form with a retroactive date that precedes the date of this Agreement, Consultant must provide extended reporting coverage for a minimum of five years after completion of the Agreement or the work. The City shall have the right to exercise, at the Consultant's sole cost and expense, any extended reporting provisions of the policy, if the Consultant cancels or does not renew the coverage. d. A copy of the claim reporting requirements must be submitted to the City prior to the commencement of any work under this Agreement. 4.4 All Policies Requirements. 4.4.1 Acceptability of insurers. All insurance required by this section is to be placed with insurers with a Bests' rating of no less than A:VII. 4.4.2 Verification of coverage. Prior to beginning any work under this Agreement, Consultant shall furnish City with certificates of insurance and with original endorsements effecting coverage required herein. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. The City reserves the right to require complete, certified copies of all required insurance policies, at any time. 4.4.3 Subcontractors. Consultant shall include all subcontractors as insureds under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the requirements stated herein. 4.4.4 Variation. The City may approve a variation in the foregoing insurance requirements, upon a determination that the coverages, scope, limits, and forms of such insurance are either not commercially available, or that the City's interests are otherwise fully protected. Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 6 of 13 ~~ ~~ 4.4.5 Deductibles and Self-Insured Retentions. Consultant shall disclose to and obtain the approval of City for the self-insured retentions and deductibles before beginning any of the services or work called for by any term of this Agreement. During the period covered by this Agreement, only upon the prior express written authorization of Contract Administrator, Consultant may increase such deductibles orself-insured retentions with respect to City, its officers, employees, agents, and volunteers. The Contract Administrator may condition approval of an increase in deductible orself-insured retention levels with a requirement that Consultant procure a bond, guaranteeing payment of losses and related investigations, claim administration, and defense expenses that is satisfactory in all respects to each of them. 4.4.6 Notice of Reduction in Coverage. In the event that any coverage required by this section is reduced, limited, or materially affected in any other manner, Consultant shall provide written notice to City at Consultant's earliest possible opportunity and in no case later than five days after Consultant is notified of the change in coverage. 4.5 Remedies. In addition to any other remedies City may have if Consultant fails to provide or maintain any insurance policies or policy endorsements to the extent and within the time herein required, City may, at its sole option exercise any of the following remedies, which are alternatives to other remedies City may have and are not the exclusive remedy for Consultant's breach: ^ Obtain such insurance and deduct and retain the amount of the premiums for such insurance from any sums due under the Agreement; ^ Order Consultant to stop work under this Agreement or withhold any payment that becomes due to Consultant hereunder, or both stop work and withhold any payment, until Consultant demonstrates compliance with the requirements hereof; and/or ^ Terminate this Agreement. Section 5. INDEMNIFICATION AND CONSULTANT'S RESPONSIBILITIES. Consultant shall indemnify, defend with counsel selected by the City, and hold harmless the City. and its officials, officers, employees, agents, and volunteers from and against any and all losses, liability, claims, suits, actions, damages, and causes of action arising out of any personal injury, bodily injury, loss of life, or damage to property, or any violation of any federal, state, or municipal law or ordinance, to the extent caused, in whole or in part, by the willful misconduct or negligent acts or omissions of Consultant or its employees, subcontractors, or agents, by acts for which they could be held strictly liable, or by the quality or character of their work. The foregoing obligation of Consultant shall not apply when (1) the injury, loss of life, damage to property, or violation of law arises wholly from the negligence or willful misconduct of the City or its officers, employees, agents, or volunteers and (2) the actions of Consultant or its employees, subcontractor, or agents have contributed in no part to the injury, loss of life, damage to property, or Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 7 of 13 iQ ~~ ~ violation of law. It is understood that the duty of Consultant to indemnify and hold harmless includes the duty to defend as set forth in Section 2778 of the California Civil Code. Acceptance by City of insurance certificates and endorsements required under this Agreement does not relieve Consultant from liability under this indemnification and hold harmless clause. This indemnification and hold harmless clause shall apply to any damages or claims for damages whether or not such insurance policies shall have been determined to apply. By execution of this Agreement, Consultant acknowledges and agrees to the provisions of this Section and that it is a material element of consideration. In the event that Consultant or any employee, agent, or subcontractor of Consultant providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees Retirement System (PERS) to be eligible for enrollment in PERS as an employee of City, Consultant shall indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Consultant or its employees, agents, or subcontractors, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of City. Section 6. STATUS OF CONSULTANT. 6.1 Independent Contractor. At all times during the term of this Agreement, Consultant shall be an independent contractor and shall not be an employee of City. City shall have the right to control Consultant only insofar as the results of Consultant's services rendered pursuant to this Agreement and assignment of personnel pursuant to Subparagraph 1.3; however, otherwise City shall not have the right to control the means by which Consultant accomplishes services rendered pursuant to this Agreement. Notwithstanding any other City, state, or federal policy, rule, regulation, law, or ordinance to the contrary, Consultant and any of its employees, agents, and subcontractors providing services under this. Agreement shall not qualify for or become entitled to, and hereby agree to waive any and all claims to, any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in the California Public Employees Retirement System (PERS) as an employee of City and entitlement to any contribution to be paid by City for employer contributions and/or employee contributions for PERS benefits. 6.2 Consultant No Agent. Except as City may specify in writing, Consultant shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Consultant shall have no authority, express or implied, pursuant to this Agreement to bind City to any obligation whatsoever. Section 7. LEGAL REQUIREMENTS. 7.1 Governing Law. The laws of the State of California shall govern this Agreement. 7.2 Compliance with Applicable Laws. Consultant and any subcontractors shall comply with all laws applicable to the performance of the work hereunder. Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 8 of 13 ~~ ~i9 7.3 Other Governmental Regulations. To the extent that this Agreement may be funded by fiscal assistance from another govemmental entity, Consultant and any subcontractors shall comply with all applicable rules and regulations to which City is bound by the terms of such fiscal assistance program. 7.4 Licenses and Permits. Consultant represents and warrants to City that Consultant and its employees, agents, and any subcontractors have all licenses, permits, qualifications, and approvals of whatsoever nature that are legally required to practice their respective professions. Consultant represents and warrants to City that Consultant and its employees, agents, any subcontractors shall, at their sole cost and expense, keep in effect at all times during the term of this Agreement any licenses, permits, and approvals that are legally required to practice their respective professions. In addition to the foregoing, Consultant and any subcontractors shall obtain and maintain during the term of this Agreement valid Business Licenses from City. 7.5 Nondiscrimination and Equal Opportunity. Consultant shall not discriminate, on the basis of a person's race, religion, color, national origin, age, physical or mental handicap or disability, medical condition, marital status, sex, or sexual orientation, against any employee, applicant for employment, subcontractor, bidder for a subcontract, or participant in, recipient of, or applicant for any services or programs provided by Consultant under this Agreement. Consultant shall comply with all applicable federal, state, and local laws, policies, rules, and requirements related to equal opportunity and nondiscrimination in employment, contracting, and the provision of any services that are the subject of this Agreement, including but not limited to the satisfaction of any positive obligations required of Consultant thereby. Consultant shall include the provisions of this Subsection in any subcontract approved by the Contract Administrator or this Agreement. Section 8. TERMINATION AND MODIFICATION. 8.1 Termination. City may cancel this Agreement at any time and without cause upon written notification to Consultant. Consultant may cancel this Agreement upon thirty (30) days' written notice to City and shall include in such notice the reasons for cancellation. In the event of termination, Consultant shall be entitled to compensation for services performed to the effective date of termination; City, however, may condition payment of such compensation upon Consultant delivering to City any or all documents, photographs, computer software, video and audio tapes, and other materials provided to Consultant or prepared by or for Consultant or the City in connection with this Agreement. Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 9 of 13 ~'x~ 8.2 Extension. City may, in its sole and exclusive discretion, extend the end date of this Agreement beyond that provided for in Subsection 1.1. Any such extension shall require a written amendment to this Agreement, as provided for herein. Consultant understands and agrees that, if City grants such an extension, City shall have no obligation to provide Consultant with compensation beyond the maximum amount provided for in this Agreement. Similarly, unless authorized by the Contract Administrator, City shall have no obligation to reimburse Consultant for any otherwise reimbursable expenses incurred during the extension period. 8.3 Amendments. The parties may amend this Agreement only by a writing signed by all the parties. 8.4 Assignment and Subcontracting City and Consultant recognize and agree that this Agreement contemplates personal performance by Consultant and is based upon a determination of Consultant's unique personal competence, experience, and specialized personal knowledge. Moreover, a substantial inducement to City for entering into this Agreement was and is the professional reputation and competence of Consultant. Consultant may not assign this Agreement or any interest therein without the prior written approval of the Contract Administrator. Consultant shall not subcontract any portion of the performance contemplated and provided for herein, other than to the subcontractors noted in the proposal, without prior written approval of the Contract Administrator. . 8.5 Survival. All obligations arising prior to the termination of this Agreement and all provisions of this Agreement allocating liability between City and Consultant shall survive the termination of this Agreement. 8.6 Options upon Breach by Consultant. If Consultant materially breaches any of the terms of this Agreement, City's remedies shall included, but not be limited to, the following: 8.6.1 Immediately terminate the Agreement; 8.6.2 Retain the plans, specifications, drawings, reports, design documents, and any other work product prepared by Consultant pursuant to this Agreement; 8.6.3 Retain a different consultant to complete the work described in Exhibit A not finished by Consultant; or 8.6.4 Charge Consultant the difference between the cost to complete the work described in Exhibit A that is unfinished at the time of breach and the amount that City would have paid Consultant pursuant to Section 2 if Consultant had completed the work. Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 10 of 13 .3~,~- Section 9. KEEPING AND STATUS OF RECORDS. 9.1 Records Created as Part of Consultant's Performance. All reports, data, maps, models, charts, studies, surveys, photographs, memoranda, plans, studies, specifications, records, files, or any other documents or materials, in electronic or any other form, that Consultant prepares or obtains pursuant to this Agreement and that relate to the matters covered hereunder shall be the property of the City. Consultant hereby agrees to deliver those documents to the City upon termination of the Agreement. It is understood and agreed that the documents and other materials, including but not limited to those described above, prepared pursuant to this Agreement are prepared specifically for the City and are not necessarily suitable for any future or other use. City and Consultant agree that, until final approval by City, all data, plans, specifications, reports and other documents are confidential and will not be released to third parties without prior written consent of both parties. 9.2 Consultant's Books and Records. Consultant shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, and other records or documents evidencing or relating to charges for services or expenditures and disbursements charged to the City under this Agreement for a minimum of three (3) years, or for any longer period required bylaw, from the date of final payment to the Consultant to this Agreement. 9.3 Inspection and Audit of Records. Any records or documents that Section 9.2 of this Agreement requires Consultant to maintain shall be made available for inspection, audit, and/or copying at any time during regular business hours, upon oral or written request of the City. Under California Government Code Section 8546.7, if the amount of public funds expended under this Agreement exceeds TEN THOUSAND DOLLARS ($10,000.00), the Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of the City, for a period of three (3) years after final payment under the Agreement. Section 10 MISCELLANEOUS PROVISIONS. 10.1 Attorneys' Fees. If a party to this Agreement brings any action, including an action for declaratory relief, to enforce or interpret the provision of this Agreement, the prevailing party shall be entitled to reasonable attorneys' fees in addition to any other relief to which that party may be entitled. The court may set such fees in the same action or in a separate action brought for that purpose. 10.2 Venue. In the event that either party brings any action against the other under this Agreement, the parties agree that trial of such action shall be vested exclusively in the state courts of California in the County of Alameda or in the United States District Court for the Northern District of California. Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 11 of 13 1Lf- ~ 1~1 10.3 Severability. If a court of competent jurisdiction finds or rules that any provision of this Agreement is invalid, void, or unenforceable, the provisions of this Agreement not so adjudged shall remain in full force and effect. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement. 10.4 No Implied Waiver of Breach. The waiver of any breach of a specific provision of this Agreement does not constitute a waiver of any other breach of that term or any other term of this Agreement. 10.5 Successors and Assigns. The provisions of this Agreement shall inure to the benefit of and shall apply to and bind the successors and assigns of the parties. 10.6 Use of Recycled Products. Consultant shall prepare and submit all reports, written studies and other printed material on recycled paper to the extent it is available at equal or less cost than virgin paper. 10.7 Conflict of Interest. Consultant may serve other clients, but none whose activities within the corporate limits of City or whose business, regardless of location, would place Consultant in a "conflict of interest," as that term is defined in the Political Reform Act, codified at California Govemment Code Section 81000 et seq. Consultant shall not employ any City official in the work performed pursuant to this Agreement. No officer or employee of City shall have any financial interest in this Agreement that would violate California Government Code Sections 1090 et seq. Consultant hereby warrants that it is not now, nor has it been in the previous twelve (12) months, an employee, agent, appointee, or official of the City. If Consultant was an employee, agent, appointee, or official of the City in the previous twelve months, Consultant warrants that it did not participate in any manner in the forming of this Agreement. Consultant understands that, if this Agreement is made in violation of Government Code §1090 et.seq., the entire Agreement is void and Consultant will not be entitled to any compensation for services performed pursuant to this Agreement, including reimbursement of expenses, and Consultant will be required to reimburse the City for any sums paid to the Consultant. Consultant understands that, in addition to the foregoing, it may be subject to criminal prosecution for a violation of Government Code § 1090 and, if applicable, will be disqualified from holding public office in the State of California. 10.8 Solicitation. Consultant agrees not to solicit business at any meeting, focus group, or interview related to this Agreement, either orally or through any written materials. 10.9 Contract Administration. This Agreement shall be administered by Paul S. Rankin, Administrative Services Director ("Contract Administrator"). All correspondence shall be directed to or through the Contract Administrator or his or her designee. Consulting Services Agreement between. October 20, 2009 City of Dublin and Lew Edwards Group Page 12 of 13 ~5 ~ , ~ 10:10 Notices. Any written notice to Consultant shall be sent to: Attention: Catherine Lew, President & CEO The Lew Edwards Group Post Office Box 21215 Oakland, California 94620 Any written notice to City shall be sent to: Attention: Joni Pattillo, City Manager City of Dublin 100 Civic Plaza Dublin, California 94568 10.11 Integration. This Agreement, including the scope of work attached hereto and incorporated herein as Exhibit A, represents the entire and integrated agreement between City and Consultant and supersedes all prior negotiations, representations, or agreements, either written or oral. CITY OF DUBLIN Joni Pattillo, City Manager Attest: CONSULTANT - LEW EDWARDS GROUP Catherine Lew, President 8~ CEO Caroline Soto, City Clerk J:1wpolMnrsw111410011Formslstandard consultant services agreement.doc Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group Page 13 of 13 ~b ~ ~~ EXHIBIT A SCOPE OF SERVICES The team of The Lew Edwards Group (Lead Consultant/Communications Strategist) and Fairbank, Maslin, Maullin & Associates (Voter Opinion Survey/Polling Subcontractor) shall provide the following services. Phase One: ASSESSMENT OF FEASIBILITY (October 20 -December 31, 2009) 1) Develop a tailorized Voter Opinion Survey questionnaire. 2) Use the Voter Opinion Survey to assess revenue-enhancement mechanisms desired by the City of Dublin. Assessing no more than two mechanisms is strongly advised, to allow adequate focus and testing. 3) Analyze the Dublin public's service/funding priorities and their attitudes in full. 4) Identify the key messages and information that are important to the Dublin community. 5) Identify risks and opportunities to the City of Dublin. 6) Develop Strategic Findings that assess viability; if feasibility exists, recommend a Strategic Communications Plan that includes recommendations on legally permissible Public Communications activities to effectively educate City of Dublin constituents; ideal timing for the revenue enhancement measure and tax threshold; refined project budget and project timetable. 7) Brief the City of Dublin on these findings and recommendations. 8) Achieve team consensus on next steps. 9) Update City Council. 10) As appropriate, authorize investment in Phase Two.' The City may opt to terminate planning following Phase One if survey results reveal lack of viability and/or undue risks Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group --Exhibit A Page 1 of 2 ~"'' ~,.. PHASE 2 -Develop and Assist With Implementation of Communications Strategy (January -August 2010) 1) Prepare to Implement Communications Strategies o Update Opinion Leader Lists (City) o Brainstorm potential Citizens Advisory Group members o Prioritize Speakers' Bureau Target List (City) o Draft initial Opinion Leader Update o Develop Speakers' Bureau Toolkit, FAQs, initial communication collaterals o Conduct Message Training 2) Implement Strategic Communications Plan o Make Speakers' Bureau presentations (City) o Assess Community Responses, respond to feedback o Convene 3-4 Citizens Advisory Group Meetings o Implement Earned Media Plan-OpEds, Press Releases o Deploy on Rapid Response as needed o Produce 3 factual, legally permissible communitywide informational pieces (see option for direct mail) 3) If a decision is made to pursue a ballot item work with the City Attorney to finalize effective, easy to understand voter materials, such as a City resolution, ballot question, etc. 4) Assist with documents if feasible, to place Measure on November 2010 ballot by the first week in August 2010 J:IwpolMnrsw111410011Formslstandard consultant services agreement.doc Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group --Exhibit A Page 2 of 2 ~E~19 EXHIBIT B COMPENSATION SCHEDULE PHASE 1-Assessment of Feasibility Lead Consultant Strategic Oversight $10,000 • Project Management and Facilitation • Oversight of Survey Implementation, obtaining stakeholder input • Independent Analysis of Survey Findings • Development and Presentation of Strategic Assessment and Recommendations Baseline Public Opinion Research Survey $22,500 0 400 respondent sample, 20 minute interviews (a standard sample size and survey length adequate for the City of Dublin) Out-of-Pocket Expenditures TOTAL PHASE ONE: -0- $32,500 The City may opt to terminate planning following Phase One if survey results reveal lack of viability and/or undue risks PHASE 2 -Implementation of Communications Strategy A more specific budget for will be established following the baseline survey, when the ease or difficulty of the task is known. This may also affect the type of optional services the City elects to include. Any refinements will be included in a written amendment to the Agreement. Lead Consultant Strategic Communications Services: $30,000 • For services provided January 1-July 31, 2010 • Lead Consultant oversees all Communications Activities Out-of-Pocket Expenditures Not to Exceed $1,000 TOTAL PHASE TWO: $31,000 Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group--Exhibit B Page 1 of 2 ~~~,~ Optional Services The following are optional services that the City may at their sole discretion may negotiate as a change to the project following the completion of Phase 1 and shall be subject to a written amendment. ALOpinion Research Services: $17,500 • For 400 sample/10 minute July 2010 tracking survey B) Direct Mail (Estimate Only $35,000 • The number of direct mailers is to be determined after polling results are analyzed • This projection estimates 3 mailers J:1wpolMnrsw111410011Formslstandard consultant services agreement.doc Consulting Services Agreement between October 20, 2009 City of Dublin and Lew Edwards Group--Exhibit B Page 2 of 2