Loading...
HomeMy WebLinkAboutC-4527(I) - PSA for Newport Beach Civic Center and Park Project (Newport Beach Civic Center)AMENDMENT NO. TWO TO PROFESSIONAL SERVICES AGREEMENT WITH KOURY ENGINEERING & TESTING, INC. FOR NEWPORT BEACH CIVIC CENTER AND PARK PROJECT THIS AMENDMENT NO. TWO TO AGREEMENT FOR PROF QP IONAL SERVICES ("Amendment No. Two") is made and entered into as of this day of A1J February, 2013 ("Effective Date") by and between the CITY OF NEWPORT BEACH, a !! �� California Municipal Corporation ("City"), and KOURY ENGINEERING & TESTING, I INC., a California corporation ("Consultant"), whose address is 14280 Euclid Avenue, Chino, California 91710 and is made with reference to the following: RECITALS A. On September 14, 2010, City and Consultant entered into a Professional Services Agreement ("Agreement') to provide materials testing and inspection services. ("Project'). B. On April 12, 2012, City and Consultant entered into an amendment to the Agreement to reflect additional services not included in the Agreement and to increase the total compensation ("Amendment No. One"). C. City desires to enter into this Amendment No. Two to reflect additional services not included in the Agreement, to extend the term of the Agreement to June 30, 2013 and to increase the total compensation. D. City and Consultant mutually desire to amend the Agreement, as provided below. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. TERM Section 1 of the Agreement is amended in its entirety and replaced with the following: `The term of this Agreement shall commence on September 14, 2010, and shall terminate on June 30, 2013 unless terminated earlier as set forth herein." 2. SERVICES TO BE PERFORMED Exhibit A to the Agreement shall be supplemented to include the Change Order Request 2 dated January 23, 2013, attached hereto and incorporated herein by reference ("Services' or "Work"). The City may elect to delete certain Services within the Change Order Request at its sole discretion. 3. COMPENSATION TO CONSULTANT 3.1 Exhibit B to the Agreement shall be supplemented to include the Schedule of Billing Rates attached hereto as Exhibit B, and incorporated herein by reference. 3.2 The introductory paragraph to Section 4 of the Agreement shall be amended in its entirety and replaced with the following: "City shall pay Consultant for the Services on a time and expense not -to -exceed basis in accordance with the provisions of this Section and the Schedule of Billing Rates attached to the Agreement. Consultant's total amended compensation for all Work performed in accordance with this Agreement including all reimbursable items and subconsultant fees, shall not exceed One Million Three Hundred Nine Thousand Six Hundred and Eight Dollars and no/160 ($1,309,608.00) without prior written authorization from City ("Total Amended Compensation"). No billing rate changes shall be made during the term of this Agreement without the prior written approval of the City. 3.3 The Total Amended Compensation reflects Consultant's additional compensation for additional Services to be performed in accordance with this Amendment No. Two, including all reimbursable items and subconsultant fees, in an amount not to exceed Two Hundred Seventy Three Thousand Two Hundred Sixty - Eight Dollars and no/100 ($273,268.00), without prior written authorization from City. 4. INTEGRATED CONTRACT Except as expressly modified herein, all other provisions, terms, and covenants set forth in the Agreement shall remain unchanged and shall be in full force and effect. [SIGNATURES ON NEXT PAGE] KOURY ENGINEERING & TESTING, INC. Page 2 IN WITNESS WHEREOF, the parties have caused this Amendment No. Two to be executed on the dates written below. APPROVED AS TO FORM: CITY ATTQR EY'S OFFICE Date: By, Aaron C. Harp LC City Attorney ] OTD ATTEST: ? 1 13 Date: c� By: aA�) 00 Leilani I. Brown City Clerk va v c ()RN►PP CITY OF NEWPORT BEACH, A California municipal corp or tion Date: By: Keith D. Cu Mayor CONSULTANT: KOURY ENGINEERING & TESTING, INC., a California corporation Date: 0 13 — 3 By: )iw L) 4 Richard D. Koury President and Chief Exective fficer Date: 3— $-13 By: ave Pe enior Vicesident and Chief Operating Officer [END OF SIGNATURES] Attachments: Exhibit A — Change Order Request 2 Exhibit B — Schedule of Billing Rates KOURY ENGINEERING & TESTING, INC. Page 3 EXHIBIT A CHANGE ORDER REQUEST KOURY ENGINEERING & TESTING, INC. Page A-1 KOURY ENGINEERING & TESTING, INC. January 23, 2013 Mr. Fong Tse Public Works Department City of Newport Beach 3300 Newport Boulevard Newport Beach, CA 92658 RE: SPECIAL INSPECTION & MATERIALS TESTING - CHANGE ORDER REQUEST 2 PROJECT: NEWPORT BEACH CIVIC CENTER KOURY PROJECT NO.: 10-0263 Dear Mr. Tse, This letter is to formally notify you regarding change order request for the Newport Beach Civic Center Project located in Newport Beach, California, Explanation of why we have requested change orders; 1) Fabrication Shop — We performed fab shop inspections in Utah, Arizona, Idaho, Nevada, and California. We utilized out of state inspection firms to perform the inspections on our behalf for the work inspected out of state to be more cost effective for the City of Newport Beach. Due to design changes and the schedule, there were several hours of overtime, multiple shifts, and multiple inspectors. The estimated duration for the inspection in the fabrication shop was 1,824 hours totaling $173,280 and the actual hours were 5,291.50 totaling $564,213.25 through December 3l". Difference of $390,833.25. 2) Edie Fabrication Shop J Sail at the Council Chambers — Koury was at the Edie Fabrication shop in Cerritos to perform welding inspections and non-destructive testing. The work was performed from November through December 6, 2012. The approximate costs for the shop inspection and non-destructive testing were $42,106.25. The welding inspector on-site also observed the installation of the sail at the Council Chambers, along with have a technician to perform non- destructive testing. The hours and cost for the on-site inspector and the non-destructive testing technician was approximately 110.50 hours totaling $9,200 through January 4 2013. 3) The San Miguel Pedestrian Bridge was an added scope, Koury was utilized for inspections and testing that included concrete and structural steel in the shop and field, and non-destructive testing. The on-site inspections and testing cost approximately $40,372.00 and the fabrication shop inspections were approximately $51,300.00, totaling $91,672 through January 15, 2013, 4) At the City Hall, Stair A included design changes for the layout of the beams. There were several hours of welding inspection and non-destructive testing, which included many hours of overtime. The total cost of welding inspection and non-destructive testing is $14,434 through January 17, 2013. This amount included the 32 hours of overtime for welding inspections. 5) Re -work and Design Changes — There were several design changes throughout the project and limited re -work, but here are a few examples of changes besides the sail at the Council Chambers listed above in item no. 3 or Stair A that was listed above in item no. 4. There was approximately one week of re -work on the weld size from 1.4� to IS fillet for the wetlands, birdline, and platform bridges. The skylight frame and triangular columns took approximately three days of re -work. SME added extra welds and changes to the stairs. 6) Schedule — The project duration has been extended from what we originally estimated based on the construction schedule dated April 14, 2010. 7) Our lead inspector, Gary Nelson, has been on Newport Beach Civic Center since Koury started the project in 2010. Gary has been able to keep the budget relatively low due to the multiple certifications he holds. He was able to rotate from different locations on the project. Example: performed concrete and welding inspections in one day to reduce an additional inspector. 8) On July 1', there was a prevailing wage increase of 52.50. Attached is a breakdown for the change order request number two Below is the contracted, requested change order, and revised contract amount: Contracted Amount with Approved Change Order No. 1: $ 1,036,340 Pending Change Order No. 2 Request: $ 273,268 Pending Revised Contract Request: $ 1,309,605 Please review our change order request. If you have any questions, please contact me at (909) 606-6111 ext. 209 or via e-mail JasminKt`a KouryEngineering.com. Best regards, Koury Engineering & Testing, hie. J, ,� Mrs, Jasmin Kelley Project Manager EXHIBIT B SCHEDULE OF BILLING RATES Koury Engineering & Testing, Inc. Construction Inspection & Material Testing Newport Beach Civic Center Koury Proposal No. 10.0263 Inspection Fees $ 246,178.00 Laboratory Testing Fees $ 17,340.00 Project Coordination $ 9,750.00 .; et Scope of Work from July through January 2012 MATERIALS INSPECTION Lead Inspector - Concrete&Welding 810 Hourly $ 76.00 $ 61,560.00 Lead Inspector - Concrete & Welding - OT 58.5 Hourly $ 114.00 $ 6,669.00 Masonry -S€te Wails 60 Hourly $ 76.00 $ 4,566.00 Masonry - Site Walls - OT 4 Hourly $ 114.00 $ 456,00 Structural Steel -Welding 654 Hourly $ 76.00 $ 49,704.00 Structural Steel - Welding - OT 20 Hourly $ 11 L00 $ 2,280.00 Structural Steel - Welding - DT 11 Hourly $ 152.00 $ 1,672.00 Steel Fabrication Shop 660 Hourly $ 95.00 $ 62,700.00 Steel Fabrication Shop - OT 175 Hourly $ 142.50 $ 24,937.50 Steel Fabrication Shop - DT 10 Hourly $ 190.00 $ 1,900.00 NDT testing 182 Hourly S 101.50 $ 18,473.00 NDT testing - OT 34 Hourly $ 152.25 $ 5,176.50 Pull Testing 60 Hourly $ 101.50 $ 6,090.00 LABORATORY MATERIALS TESTING Rebar Bend & Tensile - #8 & smaller 54 Sample $ 35.00 $ 1,890.00 Rebar Bend & Tensile - #9 & larger 2 Sample $ 45.00 $ 90.00 Concrete Cylinder Compression Tests 355 Sample $ 20A0 $ 7,100.00 Mortar Compression Tests 32 Sample $ 20.00 $ 640.00 Grout Compression Tests 12 Sample $ 20.00 $ 240.00 Masonry Prism Compression Tests 16 Sample $ 95.00 $ 1,520.00 Non -Shrink Grout Compression Tests 45 Sample $ 20.00 $ 900.00 Non -Shrink Grout Molds 15 Equipment $ 25.00 $ 375.00 Air Entrainment Test Each $ 35.00 $ - Couplant 24.75 Each $ 60.00 $ 1,485.00 Mag Particle Powder 2.25 Each $ 20.00 $ 45.00 Torque Wrench 47 Each $ 65.00 $ 3,055.00 PROJECT COORDINATION Final Material Compliance Report 1 Each $ 500.00 $ 500.00 Certified Payroll 22 Bi -Monthly $ 150.00 $ 3,300.00 Staff Engineer 6 Hourly $ 130.00 $ 780.00 Project Manager - Field Supervisor 39.5 Hourly $ 95.00 $ 3,752.50 Admin 31.5 Hourly $ 45.00 $ 1,417.50 Inspection Fees $ 246,178.00 Laboratory Testing Fees $ 17,340.00 Project Coordination $ 9,750.00 .; et p , CITY OF NEWPORT BEACH �,coR�,ri r Council Staff Report Agenda Item No. 7 February 26, 2013 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: City Manager's Office Stephen G. Badum, Assistant City Manager 949-644-3002, sbaOLjj nnnewoortbeach a,g2v PREPARED BY: Fong Tse, Principal Civil Engineer 949-644-3321, ftse newportbeachca.gov APPROVED: _e TITLE. Approval of Amendment No. 2 to Professional Services Agreement with Koury Engineering & Testing, Inc., for Material Testing and Inspection Services for Newport Beach Civic Center and Park Project Additional funding for material testing and inspection services is needed for the San Miguel Drive Pedestrian Bridge and other remaining steel work per the Project Plans and Specifications. Approve Professional Services Agreement Amendment No. 2 with Koury Engineering & Testing, Inc. (Koury), of Chino, California for Newport Beach Civic Center and Park Project Material and Inspection Services at a not -to -exceed price of $273,268.00 and authorize the Mayor and the City Clerk to execute the Amendment. FUNDING REQUIREMENTS: Sufficient funds are available in the current GIP project budget (7410-01002009) for the additional services. 1 of 14 Approval of Amendment No. 2 to Professional Services Agreement with Koury Engineering & Testing, Inc., for Material Testing and inspection Services for Newport Beach Civic Center and Park Project February 26, 2013 Page 2 The proposed use of the funding balance is as follows: Vendor Koury Engineering & Testing, Inc. DISCUSSION: Purpose Amount Material Testing and Inspection Services $ 273,268.00 The City entered into a professional services agreement (PSA) with Koury on September 14, 2010, for a fee of $865,498.00 to provide testing and inspection services on the steel and other specialty materials to be fabricated, furnished, and installed for the Civic Center & Park Project. Said fee was based on the project plans and work schedule prepared by the project construction team with the information known at that time. It was discovered during the early stages of construction that many of the architectural and structural elements shown on the plans required redesign which consequently delayed the steel fabrication to the extent that Koury had to work overtime along with additional staffing to regain, some of the lost time. On April 24, 2012, City Council approved Amendment No. 1 with Koury in the amount of $170,842.00 to cover these extra costs. Since then, the City added the San Miguel Drive Pedestrian Bridge (Bridge) which was not a part of Koury's original scope of work. Additionally, as a result of the on-going design changes and field modifications, a sizeable portion of the remaining steel work had to be reworked, retested and re -inspected. While Koury performed its tasks through efficient staffing and coverage and kept the costs to a minimum level, additional costs were not avoidable. Attached is Koury's Change Order Request No. 2 outlining the additional testing and inspection costs for the added Bridge and the remaining steel work. When approved, a summary of Koury's PSA is as follows: Agreement _ScopemTotal$1,309,608,00 Original__ Initial Estimated Scope of Work8.00 Amendment 1 Additional Work Hours Due to Plans 2.00 Amendment2 Added San Miguel Bridge and Other De8.00 Field Chan es 2 of 14 Approval of Amendment No. 2 to Professional Services Agreement with Koury Engineering& Testing, Inc., for Material Testing and Inspection Services for Newport Beach Civic Center and Park Project February 26, 2013 Page 3 ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (Architectural and Engineering services is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). Submitted by: Attachments: A: Amendment No. 2 to Professional Services Agreement B: Koury Engineering Change Order Request No. 2 3 of 14 ATTACHMENT A AMENDMENT NO. TWO TO PROFESSIONAL SERVICES AGREEMENT WITH KOURY ENGINEERING & TESTING, INC. FOR NEWPORT BEACH CIVIC CENTER AND PARK PROJECT THIS AMENDMENT NO. TWO TO AGREEMENT FOR PROFESSIONAL SERVICES ("Amendment No. Two") is made and entered into as of this ,_ day of February, 2013 ("Effective Date") by and between the CITY OF NEWPORT BEACH, a California Municipal Corporation ("City"), and KOURY ENGINEERING & TESTING, INC„ a California corporation ("Consultant"), whose address is 14280 Euclid Avenue, Chino, California 91710 and is made with reference to the following: RECITALS A. On September 14, 2010, City and Consultant entered into a Professional Services Agreement ("Agreement") to provide materials testing and inspection services, ("Project"). B. On April 12, 2012, City and Consultant entered into an amendment to the Agreement to reflect additional services not included in the Agreement and to Increase the total compensation ("Amendment No. One"). C. City desires to enter into this Amendment No. Two to reflect additional services not included in the Agreement, to extend the term of the Agreement to June 30, 2013 and to increase the total compensation. D. City and Consultant mutually desire to amend the Agreement, as provided below. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. TERM Section 1 of the Agreement is amended in its entirety and replaced with the following: "The term of this Agreement shall commence on September 14, 2010, and shall terminate on June 30, 2013 unless terminated earlier as set forth herein." 2. SERVICES TO BE PERFORMED Exhibit A to the Agreement shall be supplemented to include the Change Order Request 2 dated January 23, 2013, attached hereto and Incorporated herein by reference ("Services" or "Work"). The City may elect to delete certain Services within the Change Order Request at its sole discretion. 3. COMPENSATION TO CONSULTANT 3.1 Exhibit B to the Agreement shall be supplemented to include the Schedule of Billing Rates attached hereto as Exhibit B, and incorporated herein by reference. 4 of 14 3.2 The introductory paragraph to Section 4 of the Agreement shall be amended in its entirety and replaced with the following: "City shall pay Consultant for the Services on a time and expense not -to -exceed basis In accordance with the provisions of this Section and the Schedule of Billing Rates attached to the Agreement. Consultant's total amended compensation for all Work performed in accordance with this Agreement including all reimbursable items and subconsuitant fees, shall not exceed One Million Three Hundred Nine Thousand Six Hundred and Eight Dollars and no/100 ($1,309,608.00) without prior written authorization from City ("Total Amended Compensation"). No billing rate changes shall be made during the term of this Agreement without the prior written approval of the City: 3.3 The Total Amended Compensation reflects Consultant's additional compensation for additional Services to be performed in accordance with this Amendment No. Two, including all reimbursable items and subconsultant fees, In an amount not to exceed Two Hundred Seventy Three Thousand Two Hundred Sixty - Eight Dollars and no/loo ($273,268.00), without prior written authorization from City. 4. INTEGRATED CONTRACT Except as expressly modified herein, all other provisions, terms, and covenants set forth in the Agreement shall remain unchanged and shall be in full force and effect. [SIGNATURES ON NEXT PAGE) KOURY ENGINEERING & TESTING, INC. Pag 14 IN WITNESS WHEREOF, the parties have caused this Amendment No. Two to be executed on the dates written below. APPROVED AS TO FORM: CITY Date: Aq/jJ �j�%S OFFICE CITY OF NEWPORT BEACH, A California municipal corporation By:// I V"VT By: Aaron C. Harp Keith D. Curry City Attorney K Mayor ATTEST: CONSULTANT: KOURY ENGINEERING Date: & TESTING, INC., a California corporation Date: By: By: Leilani i. Brown Richard D. Koury City Clerk President and Chief Executive Officer Date: Attachments By: Dave Menefee Senior Vice President and Chief Operating Officer [END OF SIGNATURES] Exhibit A Change Order Request 2 Exhibit B — Schedule of Billing Rates KOURY ENGINEERING & TESTING, INC. Page° a EXHIBIT A CHANGE ORDER REQUEST 14 KOURY ENGINEERING & TESTING, INC. Page A-1 ENGINEERIN 8. TESTI NG, INC.1NG January 23, 2013 Mr. Fong Tse Public Works Department City of Newport Beach 3300 Newport Boulevard Newport Beach, CA 92658 RE: SPECIAL INSPECTION & MATERIALS TESTING - CHANGE ORDER REQUEST 2 PROJECT: NEWPORT BEACH CIVIC CENTER KOURY PROJECT NO,i 10.0263 Dear Mr. Tse, This letter is to formally notify you regarding change order request for the Newport Beach Civic Center Project located in Newport Beach, California. Explanation of why we have requested change orders: I) Fabrication Shop — We performed fab shop inspections in Utah, Arizona, Idaho, Nevada, and California. We utilized out of state inspection firms to perform the inspections on our behalf for the work inspected out of state to be more cost effective for the City of Newport Beach. Due to design changes and the schedule, there were several hours of overtime, multiple shifts, and multiple inspectors. The estimated duration for the inspection in the fabrication shop was 1,824 hours totaling $173,280 and the actual hours were 5,291.50 totaling $564,113.25 through December 31". Difference of $390,833.25. 2) Edhe Fabrication Shop 1 Suit at the Council Chambers — Koury was at the Fdie Fabrication shop in Cerritos to perform welding inspections and non-destructive testing. The work was performed from November through December 6, 2412. 'rhe approximate costs for the shop inspection and non-destructive testing were $42,106,25, The welding inspector on-site also observed the installation of the sail at the Council Chambers, along with have a technician to perform non- destructive testing. The hours and cost for the on-site inspector and the non-destructive testing technician was approximately 110.50 hours totaling $9,200 through January 42013. 3) The San Miguel Pedestrian Bridge was an added scope, Koury was utilized for inspections and testing that included concrete and structural steel in the shop and field, and non-destnrctive testing. The on-site inspections and testing cost approximately $40,372.00 and the fabrication shop inspections were approximately $51,300,00, totaling $41,672 through January 15, 2013. 4) At the City Hall, Stair A included design changes for the layout of the beams. There were several hours of welding inspection and non-destructive testing, which included many hours of overtime. The total cost of welding inspection and non-destructive testing is $14,434 through January 17, 2013. This amount included the 32 hours of overtime for welding inspections. 5) Re -work and Design Changes — There were several design changes throughout the project and limited re -work, but here, are a few examples of changes besides the sail at the Council Chambers listed above in item no. 3 or Stair A that was listed above in item no. 4. There was approximately one week of re -work on the weld size from I to 315 fillet 1br the Wettands, bhxiline, and platfoaim bridges. The skylight frame and triangular columns took approximately three days or re -work. SME added extra welds and changes to the stairs. 6) Schedule — The project duration has been extended from what we originally estimated based ou the construction schedule dated April 14, 2010. 7) Our lead inspector, Gary Nelson, has been on Newport Beach Civic Center since Koury started the project in 2010. Gary Inas been able to keep the budget relatively low clue to the multiple certifications he holds. He was able to rotate from different locations on the project. Example: perfonned concrete and welding inspections in one day to reduce an additional inspector. S) On July I", there was a prevailing wage hicrease of $2.50. Attached is a breakdown for the change order request number two Below is the contracted, requested change order, and revised contract amount: Contracted Amount with Approved Change Order No. 1: S 1,036,340 Pending Change Order No. 2 Request: S 273,265 Pending Revised Contract Request: $ 1,309,605 Please review our change order request, If you have any questions, please contact me at (909) 606-6111 ext, 209 or via e-mail Jasn-diiK@KouryEngiiiecrhig.com. Best regards, Koury Engineering & Testing, Inc. 93�t Mrs, Jasmin Kelley Project Manager 9 of 14 EXHIBIT B SCHEDULE OF BILLING RATES 14 KOURY ENGINEERING & TESTING, INC. Page B-1 Koury Engineering & Testing, Inc, Construolion Inspection & Material Tosting Newport Beach Civic Center Koury Proposal No. 10.0263 MOOMMMM"TORT + I $ 35,00 Slope of Wolk rem Juty Krol January 2012 1.890.00 Rabic Bond &Tenalle-N9&larger MATERIALS INSPECTION Sample $ 45.00 $ Load Inspector - Generale &Welding 810 Newly $ 76.00 S 6i.660.00 Lead Inspector - Concrete&Welding - OT 58.6 Hourly $ 114.00 $ 6,669.00 Masonry Site Walls 60 Hourly S 76.00 $ 4,550.00 Masonry Site Walls - OT 4 Hourly $ 114A0 $ 456.00 Structural Steel - Welding 664 Hourly $ 76.00 $ 49,704.00 Structural Steel -Welding -OT 20 Hourly $ 114.00 $ 2.280.00 Structural Steel - Welding - OT 11 Hourly $ 152.00 $ 1.672.00 Steel fabrication Shop 660 Howdy $ 95.00 $ 62;700.00 Steel Fabrication Shop -OT 175 Hourly $ 142.60 $ 24,937.60 Steel Fabrication Shop - OT 10 Hourly $ 190.00 $ 1,900.00 NOT testing 182 Hourly $ 10150 $ 18,473.00 NOT testing - OT 34 Hourly $ 152.25 $ S,17650 Pull Testing 60 Hourly $ 101,50 $ 6,090.00 47 Each $ 65.00 S LABORATORY MATERIALS TESTING Rebar Bond & Tensile -98&smaller 54 Sample $ 35,00 $ 1.890.00 Rabic Bond &Tenalle-N9&larger 2 Sample $ 45.00 $ 90.00 Concrete Cylinder Compression Tests 355 Sample $ 20.00 S 7,100.11 Mortar Compression Tests 32 Sample $ 20.00 $ 640.00 Grout Compression Tests 12 Sample $ 20.00 $ 240.00 Masonry Prism Compression Tests 16 Sample $ 95.00 $ 1,520.00 Non -Shrink Groul Compression Tests 45 Sample $ 2000 $ 900.00 Non -Shrink Grout Molds 15 Equipment $ 25,00 $ 375.00 Air Entralnment Test Each $ 3590 $ - Couplant 24.75 Each $ 60.00 $ IA05.00 Mag particle Powder 2.25 Each S 20.00 $ 46.00 Torque Wrench 47 Each $ 65.00 S 3,055.00 a e :+- +• m PROJECT COORDINATION Final Material Compliance Report 1 Each $ 600.00 S 500.00 Certified Payroll 22 Bi -Monthly $ 150,00 $ 3,300.00 StsffEmillmor 6 Hourly 3 130.00 $ 780.00 Project Manager -Field Supervisor 39.5 Hourly $ 95,00 $ 3,75250 Admin 31.5 Hourly $ 45.00 $ 1,417.50 + •o oa•o to 11 of 14 _(I ATIACI-IMENT B ent�ttteE�itnt� � TF6TtNG> tNc. January 23, 2013 Mr. Fong Tse Public Works Department City of Newport Beach 3300 Newport Boulevard Newport Beach, CA 92658 RE: SPECIAL INSPECTION & MATERIALS TESTING - CHANGE ORDER REQUEST 2 PROJECT: NEWPORT BEACH CIVIC CENTER KOURY PROJECT NO.: 10-0263 Dear Mr. Tse, This letter is to formally notify you regarding change order request for the Newport Beach Civic Center Project located in Newport Beach, California. Explanation of why we have requested change orders: 1) Fabrication Shop — We performed fab shop inspections in Utah, Arizona, Idaho, Nevada, and California. We utilized out of state inspection firms to perform the inspections on our behalf for the work inspected out of state to be more cost effective for the City of Newport Beach. Due to design changes and the schedule, there were several hours of overtime, multiple shifts, and multiple inspectors. The estimated duration for the inspection in the fabrication shop was 1,824 hours totaling $173,280 and the actual hours were 5,291.50 totaling $564,113.25 through December 31". Difference of $390,833.25. 2) Edie Fabrication Shop 1 Sail at the Council Chambers — Koury was at the Edie Fabrication shop in Cerritos to perform welding inspections and non-destructive testing: The work was performed from November through December 6, 2012. The approximate costs for the shop inspection and tion -destructive testing were $42,106,25. The welding inspector on-site also observed the installation of the sail at the Council Chambers, along with have a techunioian to perform non- destructive testing. The hours and cost for the on-site inspector and the non-destructive testing technician was approximately 110.50 hours totaling $9,200 through January 42013. 3) The San Miguel Pedestrian Bridge was an added scope. Koury was utilized for inspections and testing that included concrete and structural steel in the shop and field, and non-destructive testing. Theon -site inspections and testing cost approximately $40,372.00 and the fabrication shop inspections were approximately $51,300.00, totaling $91,672 through January 15, 2013. 4) At the City Hall, Stair A included design changes for the layout of the beams. There were several hours of welding inspection and non-destructive testing, which included many hours of overtime. The total cost of welding inspection and non-destructive testing is $14,434 through January 17, 2013. This amount included the 32 hours of overtime for welding inspections. ATTACHMENT 5) Re -work and Design Changes — There were several design changes throughout the project and limited re -work, but here are a few examples of changes besides the sail at the Council Chambers listed above in item no. 3 or Stair A that was listed above in item no. 4. There was approximately one week of re -work on the weld size from V, to 3f3 fillet for (lie wetlands, birdline, and platfoun bridges, The skylight frame and triangular columns took approximately three days of re -work. SME added extra welds and changes to the stairs. 6) Schedule — The project duration bas been extended from what we originally estimated based on (lie construction schedule dated April 14, 2010, 7) Our lead inspector, Gary Nelson, bas been on Newport Beach Civic Center since Koury started the project in 2040. Gary has been able to keep the budget relatively low due to the multiple certifications Ile holds. He was able to rotate from different locations on the project. Example: performed conorete anti welding inspections in one day to reduce an additional inspector. S) On July l ", ttnore was o prevailing wage increase of $2.50. Attached is a breakdown for the change order request number two Below is the contracted, requested change order, and revised contract amount: Contracted Amount with Approved Change Order No. 1: $ 1,036,340 Pending Change Order No. 2 Request: $ 273,263 Pending Revised Contract Request: $ 1,309,603 Please review our change order request. If you have any questions, please contact fire at (949) 606-6111 ext. 209 or via e-nmil JasnnunlC@ICouryEugiueering,cotn. Best regards, Koury Engineering A,, Testing, Inc. Mrs. Jamin Kelley Project Manager 13 of 14 A-ITACNMEN'T- B Koury Engineering & Testing, Ins, Construction inspection & Material Testing Newport Beach Civic Center Koury Proposal No. 10-0283 e . 64 c $ 36.00 $ 1,890.00 Scopti of Work fmm July through January 2012 2 Sample MATERIALS INSPECTION $ 90.00 Concrete Cylinder Compression Tests 355 Sample Lead Inspector -Concrete & Welding 810 Hourly It 76.00 $ 61,560.00 Lead Inspector- Concrete & Welding - OT 58.5 Hourly $ 114.00 $ 6,669.00 Masonry - Site Walls 60 Hourly $ 7800 $ 4,560,06 Masonry -Site Walls • OT 4 Hourly $ 114,00 $ 456.00 Structural Steel - Welding 654 Hourly $ 76.00 It 49,704.00 Structural Sleet - Welding - OT 20 Hourly $ 194.00 $ 2,280.00 Structural Steel - Welding - DT 11 Hourly $ 152,00 $ 1,672,00 Steal Fabrication Shop 660 Hourly $ 9500 $ 62,700.00 Steel Fabrication Shop -OT 175 Hourly $ 142.50 $ 24,937.50 Steel Fabrication Shop -DT 10 Hourly $ 190.00 $ 1,900,00 NDT testing 162 Hourly $ 101.50 $ 18,473,0D NDT testing - OT 34 Hourly $ 152.25 $ 5,176.60 Pull Testing 60 Hourly $ 101.50 $ 6,090.00 $ 150.00 $ 31300.00 Staff Engineer 6 Hourly LABORATORY MATERIALS TESTING Rebar Send & Tensile -#8 & smaller 64 Sample $ 36.00 $ 1,890.00 Rebar Bend & Tensile - #9 & larger 2 Sample $ 45.00 $ 90.00 Concrete Cylinder Compression Tests 355 Sample $ 20.00 $ 7,100.00 Mortar Compression Tests 32 Sample $ 20.00 $ 640.00 Grout Compression Tests 12 Sample $ 20,00 $ 240.00 Masonry Prism Compression Tests 16 Sample $ 95.00 $ 1,520.00 Non -Shrink Grout Compression Tests 45 Sample $ 20.00 It 900.00 Non -Shrink Grout Motds 15 Equipment $ 25,00 $ 375.00 Air Entrainment Test Each $ 35.00 $ - Coupiant 24.75 Each $ 60.00 $ 1,485.00 Mag Particle Powder 2.25 Each $ 20.00 $ 45.00 Torque Wrench 47 Each $ 65.00 $ 3,055.00 a a r PROJECT COORDINATION Final Material Compliance Report 1 Each $ 50000 $ 500.00 Cerfitted Payroll 22 Bi -Monthly $ 150.00 $ 31300.00 Staff Engineer 6 Hourly $ 130.00 $ 760.00 Project Manager -field Supervisor 39.5 Hourly $ 9500 $ 3,752,50 Admin 31.5 Hourly it 45.00 $ 1,417.50 14 of 14 �1 AMENDMENT NO. ONE TO PROFESSIONAL SERVICES AGREEMENT WITH KOURY ENGINEERING & TESTING, INC. FOR NEWPORT BEACH CIVIC CENTER AND PARK PROJECT ry� THIS AMENDMENT NO. ONE TO PROFESSIONAL SERVICES AGREEMENT V ("Amendment No. One"), is entered into as of this &q�hiday of April, 2012, by and between the CITY OF NEWPORT BEACH, a California Municipal Corporation ("City"), and KOURY ENGINEERING & TESTING, INC. a California Corporation, whose address is 14280 Euclid Avenue, Chino, California 91710 ("Consultant"), and is made with reference to the following: RECITALS: A. On September 14, 2010, City and Consultant entered into a Professional Services Agreement ("Agreement") for material testing and inspection services associated with the Newport Beach Civic Center and Park Project ("Project"). B. City desires to enter into this Amendment No. One to reflect additional services not included in the Agreement and to increase the total compensation. C. City and Consultant mutually desire to amend the Agreement, as provided below. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. SERVICES TO BE PERFORMED Section 2 of the Agreement, shall be supplemented to include the Change Order Proposal dated March 20, 2012, which is attached hereto as Exhibit A and incorporated herein by reference. The City may elect to delete certain tasks of the Change Order Proposal at its sole discretion. 2. COMPENSATION The introductory paragraph to Section 4 of the Agreement shall be amended in its entirety and replaced with the following: City shall pay Consultant for the services on a time and expense not -to -exceed basis in accordance with the provisions of this Section and the Schedule of Billing Rates attached to the Agreement. Consultant's total amended compensation for all Work performed in accordance with this Agreement including all reimbursable items and subconsultant fees, shall not exceed One Million, Thirty -Six Thousand, Three Hundred Forty Dollars and no/100 ($1,036,340.00) without prior written authorization from City ("Total Amended Compensation"). No billing rate changes shall be made during the term of this Agreement without the prior written approval of the City. 2.1 The Total Amended Compensation reflects Consultant's additional compensation for additional Services to be performed in accordance with this Amendment No. One, including all reimbursable items and subconsultant fees, in an amount not to exceed One Hundred Seventy Thousand, Eight Hundred Forty -Two Dollars and no/100 ($170,842.00), without prior written authorization from City. 3. INTEGRATED CONTRACT Except as expressly modified herein, all other provisions, terms, and covenants set forth in the Agreement shall remain unchanged and shall be in full force and effect. [SIGNATURES ON NEXT PAGE) KOURY ENGINEERING & TESTING, INC, Page 2 IN WITNESS WHEREOF, the parties hereto have executed this Amendment No. ONE on the dates written below. APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE City Attorney CITY OF NEWPORT BEACH, A Californi�yrunipipal corporation Date: �f v By:_ Nancy Mayor ATTEST: _ CONSULTANT: KOURY ENGINEERING Date: 5 d`I l� & TESTING, INC., a California Corporation Date: II� By: 0 �1�. By: �+ Leilani I. Brown Richard b. Koury City Clerk Attachment: A10-00367 President and Chief Executive Date: t D ve Menefee Senior Vice President and Chief Operating Officer [END OF SIGNATURES] Exhibit A — Change Order Proposal dated March 20, 2012 KOURY ENGINEERING & TESTING, INC. Page 3 ENGt€tSEER€NG � PEST€ht G, INC. March 20; 2012 Mr. Fong Tse Public Works; Department City of Newport Beach 3360 Newport Boulevard Newport. Beach, CA 92658' RE:: SPECIAL INSPECTION & MATERIALS TESTING - CHANGE ORDER REQUEST I PROJECT: NEWPORT REACII C`frfC CENTER KOURY FIROJECT NO.e 10,0263 Dear Mr, Tse, This letter is; to formally notify you regarding change order request for the Newport Beach Civic Center Project located in Newport Beach,. California_ Attached is a breakdown of the estimated inspection and €esting, that is remaining on the project. The February 2012 invoice will put: our budget: right. under the contracted amount. The work went over due to the overtime, second shifts, multiple inspectors, and design issues. Below is the contracted, requested change order, and. revised contract amount: Contracted Amount. $865,499 Change Order No. 1: $170,$42 Revised Cotnract: $1,036,340 Please review ourchange order request. If you have any questions, please contact me at (909) 606-611 @ est. 209 o.0 via e-mail Jasmink@KouUEngineering.com. Best: regards,. Koury Engineering &;Testing, hu;.. I UP, .. !!. Mrs. Jagmin Kelley Project Manager Koury Engineering & Testing, Inc. Construction Inspection & Material Testing Newport Beach Civic Center Koury Proposal No. 10-0263 LABORATORY MATERIALS TESTING Concrete Cylinder Compression Tests Remaining Scope of Work through July Sample $ 20.00 $ 6,480.00 Non -Shrink Grout Compression Tests MATERIALS INSPECTION Sample $ 21.00 $ 315.00 Non -Shrink Grout Molds 5 Concrete (Includes Rebar Inspection) 760 Hourly $ 73.50 $ 55,860.00 Structural Steel Erection - Welding & Bolting 1032 Hourly $ 73.50 $ 75,852.00 Fireproofing 48 Hourly $ 73.50 $ 3,528.00 Steel Fabrication Shop 160 Hourly $ 95.00 $ 15,200.00 NDT testing 72 Hourly $ 99.00 $. 7128.00 LABORATORY MATERIALS TESTING Concrete Cylinder Compression Tests 324 Sample $ 20.00 $ 6,480.00 Non -Shrink Grout Compression Tests 15 Sample $ 21.00 $ 315.00 Non -Shrink Grout Molds 5 Equipment $ 25.00 $ 125.00 Fireproof Density Tests 2 Sample $ 45.00 $ .90.00 Fireproof Adhesion/Cohesion Tests 2 Sample $ 45.00 $ 90.00 Non -Shrink Grout Molds 7 Equipment $ 27.00 $ 189.00 Air Entrainment Test 11 Each $ 35.00 $ 385.00 Drying Shinkage 6 Set $ 250.00 $ 1,500.00 AD BA PROJECT COORDINATION Final Material Compliance Report 1 Each $ 500.00 $ 500.00 Certified Payroll 24 Weekly $ 75.00 $ 1,800.00 Staff Engineer 4 Hourly $ 100.00 $ 400.00 Project Manager- Field Supervisor 10 Hourly $ 95.00 $ 950.00 Admin 10 Hourly $ 45.00 $ 450.0D IIoil y a D 'Inspection Fees $ 157,568.00 Laboratory Testing Fees $ 9,174.00 Project Coordination $ 4,100.00 1 I1 CITY OF NEWPORT BEACH City Council Staff Report .L Agenda Item No. 5 April 24, 2012 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Public Works Department Stephen G. Badum, Public Works Director 949-644-3311, sbad um(a)newportbeachca.gov PREPARED BY: APPROVED: TITLE: ABSTRACT: Fong Tse, Principal Civil Engineer Newport Beach Civic Center and Park Project — Approval of Amendment No. 1 to Professional Services Agreement with Koury Engineering & Testing, Inc., for Material Testing and Inspection Services Material testing and inspection services are necessary to ascertain the various specialty materials required to be furnished and installed for the Civic Center and Park Project to comply with the Project Plans and Specifications. Additional funding is needed to complete the remaining work contemplated by the original scope of work. RECOMMENDATION: Approve Professional Services Agreement Amendment No. 1 with Koury Engineering & Testing, Inc., of Chino, California for Civic Center and Park Project Material and Inspection Services at a not -to -exceed price of $170,842.00 and authorize the Mayor and the City Clerk to execute the Amendment. FUNDING REQUIREMENTS: Sufficient funds are available in the current CIP project budget (7410-C1002009) for the additional services. Newport Beach Civic Center and Park Project —Approval of Amendment No. 1 to Professional Services Agreement with Koury Engineering & Testing, Inc., for Material Testing and Inspection Services April 24, 2012 Page 2 The`proposed use of`the funding balance is as follows: Vendor Purpose Amount Koury Engineering & Material Testing and Testing, Inc. Inspection Services $ 170,842.00 DISCUSSION: The City entered into a professional services agreement (PSA) with Koury Engineering & Testing, Inc., (Koury) on September 14, 2010, for a $865,498.00 fee to provide testing and inspection services on the steel and other specialty materials to be fabricated, furnished, and installed for the Civic Center & Park Project. Said fee was based on a work schedule prepared by the project construction team with the information known at that time. Shortly after the Construction Manager C.W. Driver started construction, many architectural and structural design issues for the buildings were encountered. While these technical issues were being worked on by the project Architect, the steel fabricator placed our order on hold to avoid the cost prohibitive and disruptive intermittent production that might have delivered the steel in batches, but still would not have shortened the overall steel framing time. When the design issues were resolved and the necessary steel shop drawings were finally approved for production several months later, C.W. Driver was advised by the steel fabricator that our order must proceed with an expedited overtime schedule if we desired to regain some of the lost time. As such, C.W. Driver directed the fabricator to work overtime in producing the steel for our project. Since Koury's testing and inspection services are conducted concurrent with the steel fabrication, Koury worked extra hours and in many instances 24 hours a day with multiple inspectors over weekends and holidays to maintain the flow of steel delivery for installation. The cost of Koury's additional staffing and overtime costs are reflected in their attached change order request. When approved, a summary of Koury's PSA is as follows: Agreement Scope Amount Original Initial Estimated Scope of Work $865,498.00 Amendment 1 Additional Work Hours Due to Plans Changes $170,842.00 Total $1,036,340.00 Newport Beach Civic Center and Park Project—Approval of Amendment No, Ito. Professional Services Agreement with Koury Engineering' & Testing, Inc., for Material Testing. and Inspection Services April 24, 2012 Page 3 ENVIRONMENTAL REVIEW: Staff recommends the City C'odncil find this action is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the. environment) and 1,5060(c)(3) (Architectural and Engineering services is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14; Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: , The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). Submitted. by: Attachment: A: Amendment No. 1.to Professional Services Agreement AMENDMENT NO. ONE TO PROFESSIONAL SERVICES AGREEMENT WITH KOURY ENGINEERING & TESTING, INC. FOR NEWPORT BEACH CIVIC CENTER AND PARK PROJECT THIS AMENDMENT NO. ONE TO PROFESSIONAL SERVICES AGREEMENT ("Amendment No. One'), is entered into as of this _ day of April, 2012, by and between the CITY OF NEWPORT BEACH, a California Municipal Corporation ("City"), and KOURY ENGINEERING & TESTING, INC. a California Corporation, whose address is 14280 Euclid Avenue, Chino, California 91710 ("Consultant"), and is made with reference to the following: RECITALS: A. On September 14, 2010, -City and Consultant entered into a Professional Services ,Agreement ("Agreement") for material testing and inspection services associated with the Newport Beach Civic Center and Park Project ("Project"). B. City desires to enter into this Amendment No. One to reflect additional services not included in the Agreement and to increase the total compensation. C. City and Consultant mutually desire to amend the Agreement, as provided below. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. SERVICES TO BE PERFORMED Section 2 of the Agreement, shall be supplemented to include the Change Order Proposal dated March 20, 2012, which is attached hereto as Exhibit A and incorporated herein by reference. The City may elect to delete certain tasks of the Change Order Proposal at its sole discretion. 2. COMPENSATION The introductory paragraph to Section 4 of the Agreement shall be amended in its .entirety and replaced with the following: City shall pay Consultant for the services on a time and expense not -to -exceed basis in accordance with the provisions of this Section and the Schedule of Billing Rates attached to the Agreement. Consultant's total amended compensation for all Work performed in accordance with this Agreement including all reimbursable items and subconsultant fees, shall not exceed One Million, Thirty -Six Thousand, Three Hundred Forty Dollars and no/100 ($1,036,340.00) without prior written authorization from City ("Total Amended Compensation"). No billing rate changes shall be made during the term of this Agreement without the prior written approval of the City. 2.1 The Total Amended Compensation reflects Consultant's additional compensation for additional Services to be performed in accordance with this Amendment No. One, including all reimbursable items and subconsultant fees, in an amount not to exceed One Hundred Seventy Thousand, Eight Hundred Forty -Two Dollars and no/100 ($170,842.00), without prior written authorization from City. 3. INTEGRATED CONTRACT Except as expressly modified herein, all other provisions, terms, and covenants set forth in the Agreement shall remain unchanged and shall be in full force and effect. [SIGNATURES ON NEXT PAGE] KOURY ENGINEERING & TESTING, INC. Page 2 IN WITNESS WHEREOF, the parties hereto have executed this Amendment No. ONE on the dates written below. APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: B Aaron C. Harp City Attorney ATTEST: Date: Leilani I. Brown City Clerk Attachment: A 10-00367 CITY OF NEWPORT BEACH, A California municipal corporation Date: By: Nancy Gardner Mayor CONSULTANT: KOURY ENGINEERING & TESTING, INC., a California Corporation Date: By: Richard D. Koury President and Chief Executive Officer By: Dave Menefee Senior Vice President and Chief Operating Officer [END OF SIGNATURES] Exhibit A — Change Order Proposal dated March 20, 2012 KOURY ENGINEERING & TESTING, INC. Page 3 r Koury Engineering & Testing, Inc. Construction Inspection & Material Testing Newport Beach Civic Center Koury Proposal No. 10-0263 LABORATORY MATERIALS TESTING Concrete Cylinder Compression Tests 324 Sample $ 20.00 $ Remaining Scope of Work through July Non -Shrink Grout Compression Tests 15 Sample MATERIALS INSPECTION 21.00 $ 315.00 Non -Shrink Grout Molds 5 Concrete (Includes Rebar Inspection) 760 Houdy $ 73.50 $ 55,660.00 Structural Steel Erection - Welding & Bolting 1032 Hourly $ 73.50 $ 75,852.00 Fireproofing 48 Hourly $ 73.50 $ 3,528.00 Steel Fabrication Shop 160 Houdy $ 95.00 $ 15,200.00 NDT testing 72 Hourly $ 99.00 $ 7,128.00 o a o $ 385.00 Drying Shinkage 6 i LABORATORY MATERIALS TESTING Concrete Cylinder Compression Tests 324 Sample $ 20.00 $ 6,480.00 Non -Shrink Grout Compression Tests 15 Sample $ 21.00 $ 315.00 Non -Shrink Grout Molds 5 Equipment $ 25.00 $ 125.00 Fireproof Density Tests 2 Sample $ 45.00 $ 90.00 Fireproof Adhesion/Cohesion Tests 2 Sample $ 45.00 $ 90.00 Non -Shrink Grout Molds 7 Equipment $ 27.00 $ 189.00 Air Entrainment Test 11 Each $ 35.00 $ 385.00 Drying Shinkage 6 Set $ 250.00 $ 1,500.00 MugELP)LEL-101:775 PILO PROJECT COORDINATION Final Material Compliance Report 1 Each $ 500.00 $ 500.00 Certified Payroll 24 Weekly $ 75.00 $ 1,800.00 Staff Engineer 4 Hourly $ 100.00 $ 400.00 Project Manager - Field Supervisor 10 Houdy $ 95.00 $ 950.00 Admin 10 Houdy $ 45.00 $ 450.00 a e Inspection Fees $ 157,568.00 Laboratory Testing Fees $ 9,174.00 Project Coordination $ 4,100.00 PROFESSIONAL SERVICES AGREEMENT WITH KOURY ENGINEERING & TESTING, INC. FOR NEWPORT BEACH CIVIC CENTER AND PARK PROJECT THIS AGREEMENT FOR PROFESS ONAL SERVICES ("Agreement') is made and entered into as of this day of , 2010, by and between the CITY OF NEWPORT BEACH, a California Municipal Corporation ("City"), and KOURY ENGINEERING & TESTING, INC., a California Corporation whose address is 14280 Euclid Avenue, Chino, California, 91710 ("Consultant'), and is made with reference to the following: RECITALS A. City is a municipal corporation duly organized and validly existing under the laws of the State of California with the power to carry on its business as it is now being conducted under the statutes of the State of California and the Charter of City. B. City is planning to design and construct a new City Civic Center and Park. C. City desires to engage Consultant to provide material testing and inspection services associated with the Newport Beach Civic Center and Park Project ("Project'). D. Consultant possesses the skill, experience, ability, background, certification and knowledge to provide the services described in this Agreement. E. The principal member of Consultant for purposes of Project, shall be Dave Menefee. F. City has solicited and received a proposal from Consultant, has reviewed the previous experience and evaluated the expertise of Consultant, and desires to retain Consultant to render professional services under the terms and conditions set forth in this Agreement. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. TERM The term of this Agreement shall commence on the above written date, and shall terminate on the 315` day of December, 2012, unless terminated earlier as set forth herein. 2. SERVICES TO BE PERFORMED Consultant shall diligently perform all the services described in the Scope of Services attached hereto as Exhibit A and incorporated herein by reference ("Work" or "Services"). The City may elect to delete certain tasks of the Scope of Services at its sole discretion. 3. TIME OF PERFORMANCE Time is of the essence in the performance of Services under this Agreement and the Services shall be performed to completion in a diligent and timely manner. The failure by Consultant to perform the Services in a diligent and timely manner may result in termination of this Agreement by City. Notwithstanding the foregoing, Consultant shall not be responsible for delays due to causes beyond Consultant's reasonable control. However, in the case of any such delay in the Services to be provided for the Project, each party hereby agrees to provide notice to the other party so that all delays can be addressed. 3.1 Consultant shall submit all requests for extensions of time for performance in writing to the Project Administrator not later than ten (10) calendar days after the start of the condition that purportedly causes a delay. The Project Administrator shall review all such requests and may grant reasonable time extensions for unforeseeable delays that are beyond Consultant's control. 3.2 For all time periods not specifically set forth herein, Consultant shall respond in the most expedient and appropriate manner under the circumstances, by either telephone, fax, hand -delivery or mail. 4. COMPENSATION TO CONSULTANT City shall pay Consultant for the Services on a time and expense not -to -exceed basis in accordance with the provisions of this Section and the Schedule of Billing Rates attached hereto as Exhibit B and incorporated herein by reference. Consultant's compensation for all Work performed in accordance with this Agreement, including all reimbursable items and subconsultant fees, shall not exceed Eight Hundred Sixty -Five Thousand, Four Hundred Ninety -Eight Dollars and no/100 ($865,498.00) without prior written authorization from City. No billing rate changes shall be made during the term of this Agreement without the prior written approval of City. 4.1 Consultant shall submit monthly invoices to City describing the Work performed the preceding month. Consultant's bills shall include the name of the person who performed the Work, a brief description of the Services performed and/or the specific task in the Scope of Services to which it relates, the date the Services were performed, the number of hours spent on all Work billed on an hourly basis, and a description of any reimbursable expenditures. City shall pay Consultant no later than thirty (30) days after approval of the monthly invoice by City staff. 4.2 City shall reimburse Consultant only for those costs or expenses specifically approved in this Agreement, or specifically approved in writing in advance by City. Unless otherwise approved, such costs shall be limited and include nothing more than the following costs incurred by Consultant: Professional Services Agreement Page 2 A. The actual costs of subconsultants for performance of any of the Services that Consultant agrees to render pursuant to this Agreement, which have been approved in advance by City and awarded in accordance with this Agreement. B. Approved reproduction charges. C. Actual costs and/or other costs and/or payments specifically authorized in advance in writing and incurred by Consultant in the performance of this Agreement. 4.3 Consultant shall not receive any compensation for Extra Work performed without the prior written authorization of City. As used herein, "Extra Work" means any Work that is determined by City to be necessary for the proper completion of the Project, but which is not included within the Scope of Services and which the parties did not reasonably anticipate would be necessary at the execution of this Agreement. Compensation for any authorized Extra Work shall be paid in accordance with the Schedule of Billing Rates as set forth in Exhibit B. l.��:Zialx��ul_1J_[t1�:7 Consultant shall designate a Project Manager, who shall coordinate all phases of the Project. This Project Manager shall be available to City at all reasonable times during the Agreement term. Consultant has designated DAVE MENEFEE to be its Project Manager. Consultant shall not remove or reassign the Project Manager or any personnel listed in Exhibit A or assign any new or replacement personnel to the Project without the prior written consent of City. City's approval shall not be unreasonably withheld with respect to the removal or assignment of non -key personnel. Consultant, at the sole discretion of City, shall remove from the Project any of its personnel assigned to the performance of Services upon written request of City. Consultant warrants that it will continuously furnish the necessary personnel to complete the Project on a timely basis as contemplated by this Agreement. 6. ADMINISTRATION This Agreement will be administered by the Public Works Department. FONG TSE, or his designee, shall be the Project Administrator and shall have the authority to act for City under this Agreement. The Project Administrator or his/her authorized representative shall represent City in all matters pertaining to the Services to be rendered pursuant to this Agreement. �ajVARINXnr.Rit 3t111rrt*3 In order to assist Consultant in the execution of its responsibilities under this Agreement, City agrees to, where applicable: Professional Services Agreement Page 3 A. Provide access to, and upon request of Consultant, one copy of all existing relevant information on file at City. City will provide all such materials in a timely manner so as not to cause delays in Consultant's Work schedule. B. Provide blueprinting and other Services through City's reproduction company for bid documents. Consultant will be required to coordinate the required bid documents with City's reproduction company. All other reproduction will be the responsibility of Consultant and as defined above. C. Provide usable life of facilities criteria and information with regards to new facilities or facilities to be rehabilitated. 8. STANDARD OF CARE 8.1 All of the Services shall be performed by Consultant or under Consultant's supervision. Consultant represents that it possesses the professional and technical personnel required to perform the Services required by this Agreement, and that it will perform all Services in a manner commensurate with community professional standards. All Services shall be performed by qualified and experienced personnel who are not employed by City, nor have any contractual relationship with City. By delivery of completed Work, Consultant certifies that the Work conforms to the requirements of this Agreement and all applicable federal, state and local laws and the professional standard of care. 8.2 Consultant represents and warrants to City that it has, shall obtain, and shall keep in full force in effect during the term hereof, at its sole cost and expense, all licenses, permits, qualifications, insurance and approvals of whatsoever nature that is legally required of Consultant to practice its profession. Consultant shall maintain a City of Newport Beach business license during the term of this Agreement. 8.3Consultant shall not be responsible for delay, nor shall Consultant be responsible for damages or be in default or deemed to be in default by reason of strikes, lockouts, accidents, or acts of God, or the failure of City to furnish timely information or to approve or disapprove Consultant's Work promptly, or delay or faulty performance by City, contractors, or governmental agencies. 9. HOLD HARMLESS To the fullest extent permitted by law, Consultant shall indemnify, defend and hold harmless City, its City Council, boards and commissions, officers, agents, volunteers and employees (collectively, the "Indemnified Parties) from and against any and all claims (including, without limitation, claims for bodily injury, death or damage to property), demands, obligations, damages, actions, causes of action, suits, losses, judgments, fines, penalties, liabilities, costs and expenses (including, without limitation, attorney's fees, disbursements and court costs) of every kind and nature whatsoever (individually, a Claim; collectively, "Claims"), which may arise from or in any manner Professional Services Agreement Page 4 relate (directly or indirectly) to the negligence, recklessness, or willful misconduct of the Consultant or its principals; officers, agents, employees, vendors, suppliers, subconsultants, subcontractors, anyone employed directly or indirectly by any of them or for whose acts they may be liable or any or all of them. Notwithstanding the foregoing, nothing herein shall be construed to require Consultant to indemnify the Indemnified Parties from any Claim arising from the sole negligence, active negligence or willful misconduct of the Indemnified Parties. Nothing in this indemnity shall be construed as authorizing any award of attorney's fees in any action on or to enforce the terms of this Agreement. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by the Consultant. 10. INDEPENDENT CONTRACTOR It is understood that City retains Consultant on an independent contractor basis and Consultant is not an agent or employee of City. The manner and means of conducting the Work are under the control of Consultant, except to the extent they are limited by statute, rule or regulation and the expressed terms of this Agreement. Nothing in this Agreement shall be deemed to constitute approval for Consultant or any of Consultant's employees or agents, to be the agents or employees of City. Consultant shall have the responsibility for and control over the means of performing the Work, provided that Consultant is in compliance with the terms of this Agreement. Anything in this Agreement that may appear to give City the right to direct Consultant as to the details of the performance or to exercise a measure of control over Consultant shall mean only that Consultant shall follow the desires of City with respect to the results of the Services. 11. COOPERATION Consultant agrees to work closely and cooperate fully with City's designated Project Administrator and any other agencies that may have jurisdiction or interest in the Work to be performed. City agrees to cooperate with the Consultant on the Project. 12. CITY POLICY Consultant shall discuss and review all matters relating to policy and Project direction with City's Project Administrator in advance of all critical decision points in order to ensure the Project proceeds in a manner consistent with City goals and policies. 13. PROGRESS Consultant is responsible for keeping the Project Administrator and/or his/her duly authorized designee informed on a regular basis regarding the status and progress of the Project, activities performed and planned, and any meetings that have been scheduled or are desired. Professional Services Agreement Page 5 14. INSURANCE Without limiting Consultant's indemnification of City, and prior to commencement of Work, Consultant shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to City. A. Proof of Insurance. Consultant shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation. Insurance certificates and endorsement must be approved by City's Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time. Consultant shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Work hereunder by Consultant, his agents, representatives, employees or subconsultants. The cost of such insurance shall be included in Consultant's bid. B. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance in the State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager. C. Coverage Requirements i. Workers' Compensation Coverage. Consultant shall maintain Workers' Compensation Insurance (Statutory Limits) and Employer's Liability Insurance (with limits of at least one million dollars ($1,000,000)) for Consultant's employees in accordance with the laws of the State of California, Section 3700 of the Labor Code In addition, Consultant shall require each subconsultant to similarly maintain Workers' Compensation Insurance and Employer's Liability Insurance in accordance with the laws of the State of California, Section 3700 for all of the subconsultant's employees. Any notice of cancellation or non -renewal of all Workers' Compensation policies must be received by City at least thirty (30) calendar days (ten (10) calendar days written notice of non- payment of premium) prior to such change. Professional Services Agreement Page 6 Consultant shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of City, its officers, agents, employees and volunteers. ii. General Liability Coverage. Consultant shall maintain commercial general liability insurance in an amount not less than one million dollars ($1,000,000) per occurrence for bodily injury, personal injury, and property damage, including without limitation, blanket contractual liability. iii. Automobile Liability Coverage. Consultant shall maintain automobile insurance covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non -owned or rented vehicles, in an amount not less than one million dollars ($1,000,000) combined single limit for each accident. iv. Professional Liability (Errors & Omissions) Coverage. Consultant shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of one million dollars ($1,000,000) limit per claim and in the aggregate. D. Other Insurance Provisions or Requirements. The policies are to contain; or be endorsed to contain, the following provisions: i. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against City, its elected or appointed officers, agents, officials, employees and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these requirements to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its subconsultants. ii. Enforcement of Contract Provisions. Consultant acknowledges and agrees that any actual or alleged failure on the part of the City to inform Consultant of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder. iii. Requirements not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party Professional Services Agreement Page 7 or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. iv. Notice of Cancellation. Consultant agrees to oblige its insurance agent or broker and insurers to provide to City with thirty (30) days notice of cancellation (except for nonpayment for which ten (10) days notice is required) or nonrenewal of coverage for each required coverage. E. Timely Notice of Claims. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant's performance under this Agreement. F. Additional Insurance. Consultant shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work. 15. PROHIBITION AGAINST ASSIGNMENTS AND TRANSFERS Except as specifically authorized under this Agreement, the Services to be provided under this Agreement shall not be assigned, transferred contracted or subcontracted out without the prior written approval of City. Any of the following shall be construed as an assignment: The sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of Consultant, or of the interest of any general partner or joint venturer or syndicate member or cotenant if Consultant is a partnership or joint - venture or syndicate or cotenancy, which shall result in changing the control of Consultant. Control means fifty percent (50%) or more of the voting power, or twenty- five percent (25%) or more of the assets of the corporation, partnership or joint -venture. 16. SUBCONTRACTING City and Consultant agree that subconsultants may be used to complete the Work outlined in the Scope of Services. The subconsultants authorized by City to perform Work on this Project are identified in Exhibit A. Consultant shall be fully responsible to City for all acts and omissions of the subcontractor. Nothing in this Agreement shall create any contractual relationship between City and subcontractor nor shall it create any obligation on the part of City to pay or to see to the payment of any monies due to any such subcontractor other than as otherwise required by law. The City is an intended beneficiary of any Work performed by the subcontractor for purposes of establishing a duty of care between the subcontractor and the City. Except as specifically authorized herein, the Services to be provided under this Agreement shall not be otherwise assigned, transferred, contracted or subcontracted out without the prior written approval of City. 17. OWNERSHIP OF DOCUMENTS Each and every report, draft, map, record, plan, document and other writing produced (hereinafter "Documents"), prepared or caused to be prepared by Consultant, its Professional Services Agreement Page 8 officers, employees, agents and subcontractors, in the course of implementing this Agreement, shall become the exclusive property of City, and City shall have the sole right to use such materials in its discretion without further compensation to Consultant or any other party. Consultant shall, at Consultant's expense, provide such Documents to City upon prior written request. Documents, including drawings and specifications, prepared by Consultant pursuant to this Agreement are not intended or represented to be suitable for reuse by City or others on any other project. Any use of completed Documents for other projects and any use of incomplete Documents without specific written authorization from Consultant will be at City's sole risk and without liability to Consultant. Further, any and all liability arising out of changes made to Consultant's deliverables under this Agreement by City or persons other than Consultant is waived against Consultant and City assumes full responsibility for such changes unless City has given Consultant prior notice and has received from Consultant written consent for such changes. 18. CONFIDENTIALITY All Documents, including drafts, preliminary drawings or plans, notes and communications that result from the Services in this Agreement, shall be kept confidential unless City authorizes in writing the release of information. 19. INTELLECTUAL PROPERTY INDEMNITY The Consultant shall defend and indemnify City, its agents, officers, representatives and employees against any and all liability, including costs, for infringement of any United States' letters patent, trademark, or copyright infringement, including costs, contained in Consultant's drawings and specifications provided under this Agreement. 20. RECORDS Consultant shall keep records and invoices in connection with the Work to be performed under this Agreement. Consultant shall maintain complete and accurate records with respect to the costs incurred under this Agreement and any Services, expenditures and disbursements charged to City, for a minimum period of three (3) years, or for any longer period required by law, from the date of final payment to Consultant under this Agreement. All such records and invoices shall be clearly identifiable. Consultant shall allow a representative of City to examine, audit and make transcripts or copies of such records and invoices during regular business hours. Consultant shall allow inspection of all Work, data, Documents, proceedings and activities related to the Agreement for a period of three (3) years from the date of final payment to Consultant under this Agreement. 21. WITHHOLDINGS City may withhold payment to Consultant of any disputed sums until satisfaction of the dispute with respect to such payment. Such withholding shall not be deemed to constitute a failure to pay according to the terms of this Agreement. Consultant shall not discontinue Work as a result of such withholding. Consultant shall have an Professional Services Agreement Page 9 immediate right to appeal to the City Manager or his/her designee with respect to such disputed sums. Consultant shall be entitled to receive interest on any withheld sums at the rate of return that City earned on its investments during the time period, from the date of withholding of any amounts found to have been improperly withheld. 22. ERRORS AND OMISSIONS In the event of errors or omissions that are due to the negligence or professional inexperience of Consultant which result in expense to City greater than what would have resulted if there were not errors or omissions in the Work accomplished by Consultant, the additional design, construction and/or restoration expense shall be borne by Consultant. Nothing in this paragraph is intended to limit City's rights under the law or any other sections of this Agreement. 23. CITY'S RIGHT TO EMPLOY OTHER CONSULTANTS City reserves the right to employ other Consultants in connection with the Project. 24. CONFLICTS OF INTEREST The Consultant or its employees may be subject to the provisions of the California Political Reform Act of 1974 (the "Act"), which (1) requires such persons to disclose any financial interest that may foreseeably be materially affected by the Work performed under this Agreement, and (2) prohibits such persons from making, or participating in making, decisions that will foreseeably financially affect such interest. If subject to the Act, Consultant shall conform to all requirements of the Act. Failure to do so constitutes a material breach and is grounds for immediate termination of this Agreement by City. Consultant shall indemnify and hold harmless City for any and all claims for damages resulting from Consultant's violation of this Section. 25. NOTICES All notices, demands, requests or approvals to be given under the terms of this Agreement shall be given in writing, and conclusively shall be deemed served when delivered personally, or on the third business day after the deposit thereof in the United States mail, postage prepaid, first-class mail, addressed as hereinafter provided. All notices, demands, requests or approvals from Consultant to City shall be addressed to City at: Attn: Fong Tse Public Works Department City of Newport Beach 3300 Newport Boulevard PO Box 1768 Newport Beach, CA 92658 Phone: 949-644-3321 Fax: 949-644-3308 Professional Services Agreement Page 10 All notices, demands, requests or approvals from CITY to Consultant shall be addressed to Consultant at: Attention: Dave Menefee Koury Engineering & Testing, Inc. 14280 Euclid Avenue Chino, CA 91710 Phone: 909-606-6111 Fax: 909-606-6555 26. CLAIMS The Consultant and the City expressly agree that in addition to any claims filing requirements set forth in the Contract and Contract documents, the Consultant shall be required to file any claim the Consultant may have against the City in strict conformance with the Tort Claims Act (Government Code sections 900 et seq.). 27. TERMINATION In the event that either party fails or refuses to perform any of the provisions of this Agreement at the time and in the manner required, that party shall be deemed in default in the performance of this Agreement. If such default is not cured within a period of two (2) calendar days, or if more than two (2) calendar days are reasonably required to cure the default and the defaulting party fails to give adequate assurance of due performance within two (2) calendar days after receipt of written notice of default, specifying the nature of such default and the steps necessary to cure such default, and thereafter diligently take steps to cure the default, the non -defaulting party may terminate the Agreement forthwith by giving to the defaulting party written notice thereof. Notwithstanding the above provisions, City shall have the right, at its sole discretion and without cause, of terminating this Agreement at any time by giving seven (7) calendar days prior written notice to Consultant. In the event of termination under this Section, City shall pay Consultant for Services satisfactorily performed and costs incurred up to the effective date of termination for which Consultant has not been previously paid. On the effective date of termination, Consultant shall deliver to City all reports, Documents and other information developed or accumulated in the performance of this Agreement, whether in draft or final form. 28. COMPLIANCE WITH ALL LAWS Consultant shall at its own cost and expense comply with all statutes, ordinances, regulations and requirements of all governmental entities, including federal, state, county or municipal, whether now in force or hereinafter enacted. In addition, all Work prepared by Consultant shall conform to applicable City, county, state and federal laws, rules, regulations and permit requirements and be subject to approval of the Project Administrator and City. Professional Services Agreement Page 11 29. WAIVER A waiver by either party of any breach, of any term, covenant or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant or condition contained herein, whether of the same or a different character. 30. INTEGRATED CONTRACT This Agreement represents the full and complete understanding of every kind or nature whatsoever between the parties hereto, and all preliminary negotiations and agreements of whatsoever kind or nature are merged herein. No verbal agreement or implied covenant shall be held to vary the provisions herein. 31. CONFLICTS OR INCONSISTENCIES In the event there are any conflicts or inconsistencies between this Agreement and the Scope of Services or any other attachments attached hereto, the terms of this Agreement shall govern. 32. 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 the Agreement or any other rule of construction which might otherwise apply. 33. AMENDMENTS This Agreement may be modified or amended only by a written document executed by both Consultant and City and approved as to form by the City Attorney. 34. SEVERABILITY If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement shall continue in full force and effect. 98011:Zi7111111111?[ell AITi%VI911�IA0010 The laws of the State of California shall govern this Agreement and all matters relating to it and any action brought relating to this Agreement shall be adjudicated in a court of competent jurisdiction in the County of Orange. 36. EQUAL OPPORTUNITY EMPLOYMENT Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Professional Services Agreement Page 12 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on the day and year first written above. APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY: Byl�lvl�� Leonie Mulvihill Assistant City Attorney gl�� ATTEST: By: vo M, /D►°uv Leilani Brown, City Clerk CITY OF NEWPORT BEACH A Municipal Corpo tion By: Keith D. Curry, Mayor CONSULTANT: KOURY ENGINEERING & TESTING, INC. _ I A ' ) I HP C Richard D. Koury, President and Chief Execu' e Officer B Da enema , Senior ViE" resident and Chief Operating Officer Attachments: Exhibit A — Scope of Services Exhibit B — Schedule of Billing Rates Professional Services Agreement Page 13 EXHIBIT A It URY ENGINEERING &ING, INC. May 4, 2010 C - W. Driver 15615 Alton Parkway Ste 130 Irvine, CA 92618 Attn: Rick Schafer Koury Proposal No. 10-0263 Subject: Request for Qualifications for Material Testing and Inspection Services for the Newport Beach Civic Center and Park Project Dear Mr. Schafer: Koury Engineering & Testing, Inc. appreciates the opportunity to provide our qualifications in response to the RFP for material testing and inspections services associated with the Newport Beach Civic Center and Park Project. We are capable of providing a full range of geotechnical monitoring, material testing and special inspection services for all phases of the project. Our objective is to provide C.W. Driver with qualified staff to ensure that the project's required quality control goals are met. Our qualified staff includes multi -certified inspectors, field technicians and laboratory technicians. Since 1992, Koury has been providing materials testing and deputy inspection services on the Division of the State Architect, governmental agencies, and private development projects. Through the quality services we provide, we currently hold contracts with many public agencies on similar types of projects, such as the City of Orange, the City of Riverside, the City of Pomona and the County of Los Angeles. We've also built long term partnerships with many Southern California school and college districts like North Orange County Community College District, Los Angeles Unified School District and Los Angeles Community College District. We are confident that you will be pleased with our professional approach, project experience, quality control procedures and desire to provide cost effective service. We look forward to supporting the Newport Beach Civic Center and Park Project. Regards, Koury Engineering & Testing, Inc. Dave Menefee Sr. Vice PresidenYCOO 10-0263 Koury Engineering, Inc. • Chino, CA (909) 606-6111 • w .kouryengineering.com page 1 Basis for Budget Breakdown Cost Our project engineer reviewed the following documents for the Newport Beach Civic Center and Park Project located in Newport Beach, California: 1. A set of civil and structural drawings dated February 18. 2010 prepared by Bohlin Cywinski Jackson. The structural drawings pertained only to the Council Chambers, City Hall and the Library Expansion. 2. A construction Schedule dated April 14, 2010 provided by C.W. Driver. Per the Request for Proposal the estimated budget breakdown is to be a not to exceed amount. However, the estimate budgetary numbers were prepared based on assumptions and the construction schedule Elements of the project have not been designed prior to this proposal. Therefore, the budget breakdown is only considered a not to exceed amount on the adherence of the construction schedule and our assumptions. Should Koury be granted the project, we would request the opportunity to prepare a revised estimate budget based on final design plans. Based on our review of the drawings, we understand that the project will consist of the construction of a new city hall building, 450 stall concrete parking structure, new council chamber building, existing library expansion and various site improvement projects which include retaining walls and pedestrian bridges. During construction, Koury will provide construction observation and material testing to assure that the performed work complies with the project's requirements and specifications. Upon completion of the project, we will prepare a final observations report, including the results of all the tests performed. Our proposed services include, but are not limited to, the following list: • Review Plans, Reports and Project Specifications. • Review mix designs for concrete. • Observe, inspect, sample and test all structural concrete placed at the project site including the placement of the all reinforcing steel used on the project site. Tests will include: air content, shrinkage, compressive strength of concrete, slump test, temperature of fresh mix concrete and tension testing of cast in place anchor bolts. • Observe, sample and test all post -tensioning strands used on the project site. • Observe and inspect all structural steel erection including welding and high strength bolting. This will include performing non-destructive examinations of all qualifying welds in addition to torque/pull testing all high strength slip critical bolts. • Perform structural steel shop fabrication inspections. • Upon receiving the Client's written request, Koury will prepare a final report(s) documenting our observations and tests performed during construction. The final report(s) will be prepared in accordance with the attached Master Fee Schedule and typically take 10 to 14 working days to be prepared and submitted. Koury realizes each client's project needs are different and upon request, we can also provide the following services: • Attend pre -construction meetings. • Attend weekly meetings. • Respond to Reviewing Agencies. 10-0263 Koury Engineenng, Inc. • Chino. CA (909) 606-6111 • w .kouryengineenng.corn page 8 The following is an itemized budget breakdown for anticipated construction testing and inspection services: 99t o Mass Grading/Shoring/Export ICC Inspectors 320 hrs Water Content (WC) Inspector 40 hrs Laboratory/Eng Fees o Parking Garage ICC Inspectors 1920 hrs Water Content (WC) Inspector 40 hrs Laboratory/Eng Fees o Council Chambers ICC Inspectors WC / NDT Inspector Laboratory/Eng Fees o City Hall ICC Inspectors WC / NDT Inspector Laboratory/Eng Fees o Library Expansion ICC Inspectors WC / NDT Inspector Laboratory/Eng Fees o North Park ICC Inspectors WC Inspector Laboratory/Eng Fees o Central Park ICC Inspectors WC / NDT Inspector Laboratory/Eng Fees 528 hrs 120 hrs 5048 hrs 848 hrs 576 hrs 136 hrs 136 hrs 24 hrs 432 hrs 104 hrs Rate $69.50 $95.00 LS $69.50 $95.00 LS $69.50 $95.00 LS $69.50 $95.00 LS $69.50 $95.00 LS $69.50 $95.00 LS $69.50 $95.00 LS Cost $ 22,240 $ 3,800 $ 15,330 41,370 $ 133,440 $ 3,800 $ 16,410 $153,660 $ 36,696 $ 11,400 $ 5,595 53,691 $ 350,836 $ 80,560 $ 34,185 $465,581 $ 40,032 $ 12,920 $ 5,890 58,842 $ 9,452 $ 2,280 $ 2,550 14,282 $ 30,024 $ 9,880 $ 3,465 43,369 o Pedestrian Foot Bridge over San Miguel Drive ICC Inspectors 528 hrs $69.50 $ 23,908 WC / NDT Inspector 120 hrs $95.00 $ 6,840 Laboratory/Eng Fees LS $ 3,965 34,713 Total Estimated Budget for construction testing and inspection services: 865,498 10-0263 Koury Engineering, Inc. • Chino, CA (909) 606-6111 • w Aouryengineering.com page 9 EXHIBIT B CONSTRUCTION MATERIAL MONITORING AND TESTING Inspector-Concrete................................................................................................................................................$ 69.50 Per Hour Inspector -Concrete Batch Plant.................................................................................................................................$ 69.50 Per Hour Inspector- Concrete Post Tension...............................................................................................................................$ 69.50 Per Hour Inspector- Concrete Pre -stressed at Fabrication Shop............................................................................................... $ 69.50 Per Hour Inspector- Shotcrete................................................................................................................................................ $ 69.50 Per Hour Inspector- Masonry ................................................................................................................................................ $ 69.50 Per Hour Inspector- Structural Steel and Welding...................................................................................................................... $ 69.50 Per Hour Inspector- Structural Steel at Fabrication Shop........................................................................................................... $ 69.50 Per Hour Inspector- Fireproofing................................................................................................................................................. $ 69.50 Per Hour Inspector - Glu -Lam Beamsrrrusses at Fabrication Shop............................................................................................ $ 95.00 Per Hour Non -Destructive Testing: Ultrasonic, Dye Penetrant or Magnetic Particle Inspection .................................................. $ 95.00 Per Hour Non -Destructive Testing: Dye Penetrant, Developer, Cleaner.... ..................... ............................................................ $ 15.00 Per Can Non -Destructive Testing: Magnetic Particle Powder..................................................................................................... $ 20.00 Per 6 oz Non -Destructive Testing: Couplant................................................................................................................................ $ 60.00 Per gallon WaterContent Technician..............................................................................................................................................$ 95.00 Per Hour RadiographyTechnician............................................................................................................................................... $ 95.00 Per Hour RadiographyTruck................................................................................................................................................ $ 125.00 Per Shift RadiographyFilm................................................................................................................................................ $ 0.15 Per Sq/In Lab Technician - Pachometer (Includes equipment)..................................................................................................... $ 95.00 Per Hour Lab Technician - Pull -Out Test on Splay Wires, Embedded Bolts/Anchors/Dowels (1 man & includes equipment).................................................................................................................................... $ 95.00 Per Hour Lab Technician - Pull -Out Test on Splay Wires, Embedded Bolls/Anchors and Dowels (2 man & includes equipment).................................................................................................................................... $ 135.00 Per Hour Lab Technician - Concrete or Masonry Coring - Floors (1 man & includes equipment) ................................................ $ 95.00 Per Hour Lab Technician - Concrete or Masonry Coring - Vertical and Overhead (2 man &includes equipment) ....................... $ 135.00 Per Hour Floor Flatness Testing (Under 10,000 sq/fi).................................................................................................................. $ 600.00 Each Floor Flatness (Over 10,000 sq/ft. Less than 20,000 sq/ft)........................................................................................... $ 0.06 Sq/Fl Floor Flatness (Over 20,000 sq/ft)................................................................................................................................ $ 0.05 Sq/Ft LABROTORY TESTING SERVICES ASTM Physical Charteristics CONCRETE C39 Concrete Cylinders Compression Test (6"x 12").................................................................... $ 20.00 Each 0469 Concrete Cylinder Compression Test with MOE (Modulus of Elasticity) ................................ $ 500.00 Each 0495 Lightweight Fill Concrete (3" x 6")........................................................................................... $ 20.00 Each G42 Concrete Cores, 6" Max. Diameter, Includes Care Trim ......................................................... $ 35.00 Each G42 Shotcrete Cores, 6" Max. Diameter, Including Core Trim ........................................................ $ 35.00 Each G42 Gunite Cores, 6' Max. Diameter, Including Core Trim............................................................ $ 35.00 Each C157 Grout Shrinkage. (3 Bars - Four Readings, Up to 90 Days) .................................................... $ 225.00 Set C567 Unit Weight of Hardened Light Weight Concrete.................................................................... $ 35.00 Each C664 Rapid Cure Concrete Cylinders (Boil Method)........................................................................ $ 40.00 Each C157 Drying Shrinkage (3 Bars - Four Readings, Up To 90 Days) ................................................. $ 250.00 Set C495 Lightweight Fill Concrete Density... ......................................... 7 ............................................... $ 35.00 Each C138 Density (Unit Weight) of Concrete........................................................................................... $ 30.00 Each C173 Air Entrainment Test (Volumetric Method)............................................................................... $ 35.00 Each C231 Air Entrainment Test (Pressure Method - Non Lightweight Aggregate) .................................. $ 35.00 Each C78 Flexure Test 6" x 6" Beams..................................................................................................... $ 85.00 Each C486 Splitting Tensile 6"x 12" Cylinders.......................................................................................... $ 65.00 Each F1869 Measuring Moisture Vapor Emission Rale........................................................................... $ 35.00 Each MASONRY BLOCK C780 Mortar Cylinders (2"x 41........................................................................................................ $ 20.00 Each C109 Mortar Cubes (2' x 21............................................................................................................. $ 20.00 Each C1019Grout Prisms (3"x 6")............................................................................................................. $ 20.00 Each 10-0263 Koury Engineering. Inc. • Chino, CA (909) 6066111 • wwwAouryengineering.com page 10 C1314 Grouted Prisms Compression (Masonry Assemblage) Test -<8"x 6"x 16' ............................. $ 95.00 Each C1314 Grouted Prisms Compression (Masonry Assemblage) Test >8" z 8' x 16 .............................. $ 125.00 Each C140 Moisture Content as Received each....................................................................................... $ 50.00 Each C140 Absorption, 3 Required........................................................................................................... $ 40.00 Each C140Measurements ........................................................................................................................$ 30.00 Each C140 Compression S8" x 8"x 16", Qty 3 Required.......................................................................... $ 45.00 Each C140 Compression >8'x 8' x 16" Oty 3 Required........................................................................... $ 55.00 Each C426 Linear Shdnkage, O y 3 Required........................................................................................... $ 80.00 Each C42 Masonry Core - Compression................................................................................................$ 55.00 Each C42 Masonry Core - Shear ..................... ................................ ................... --.... :........................... $ 75.00 Each C42 In Laboratory Core Cutting .......................................................................................................$ 50.00 Each BRICK C67Compression ........................................................................................................................... 5 40.00 Each C67 Modulus of Rupture ................................................................................................................. $ 50.00 Each C67Absorption. Soak..................................................................................................................... $ 30.00 Each C67Absorption. Boil....................................................................................................................... $ 30.00 Each C67 Absorption. Saturation Coefficient .......................................................................................... $ 40.00 Each C67 Initial Rate ofAbsorption......................................................................................................... $ 40.00 Each C67Efflorescence ..........................................................................................................................$ 55.00 Each C67 Efflorescence with Mortar.......................................................................................................$ 65.00 Each STEEL REINFORCING A615IA706 Tensile No. 8 Bar and Smaller................................................................................................ $ 35.00 Each A615/A706 Tensile No. 9 To 11 Bar........................................................................................................... S 45.00 Each A615/A706 Tensile No. 14 Bar................................................................................................................... $ 70.00 Each A615/A706 Bend Test No. 8 Bar and Smaller............................................................................................ $ 35.00 Each A615/A706 Bend Test No. 9 To 11 Bar...................................................................................................... $ 45.00 Each A615/A706 Bend No.14 Bar............................................................................................................ .......... S 70.00 Each A615/A706 Bend / Tensile Test No. 18...................................................................................................... $ 250.00 Each A615IA706 Chemical Analysis................................................................................................................... 5 300.00 Each A615/A706 Deformation Compliance........................................................................................................ S 55.00 Each A615/A706 Cut To Size (for testing)........................................................................................................... $ 10.00 Each STEEL COUPLED WELDED REINFORCING A615/A706 Tensile No. 8 Bar and Smaller................................................................................................ $ 70.00 Each A615/A706 Tensile No. 9 To 11 Bar........................................................................................................... S 80.00 Each A615/A706 Tensile No. 14 Bar....... ............................... ................................................... .......................... $ 100.00 Each A615IA706 Tensile No. 18 Bar.............. ................... ............. ....................................... ............................ .. $ 275.00 Each STRUCTURAL STEEL A370IF606 Bolt Tensile Test ......................................................................................................................$ 55.00 Each A370IF606 Solt Proof Test......................................................................................................................... $ 45.00 Each A370/F606 Nut Proof Test.........................................................................................................................$ 45.00 Each A370IF606 Nelson Stud Tensile Test ..... --................................................................................................ $ 115.00 Each A370/F606 Metal Deck Tensile Test (formed sheet metal)........................................................................ $ 135.00 Each E10Brinell Hardness Test.............................................................................................................. $ 45.00 Each E18 Rockwell Hardness Test.......................................................................................................... S 45.00 Each A370/F606 Coupon Tensile Test................................................................................................................ S 40.00 Each A370IF606 Coupon Bend Test. .................................................................................................................. $ 40.00 Each A370/F606 Nut f Bolt / Washer Hardness Test ............. _................ .................... ........................ ............. .. $ 45.00 Ea. Pc A90 Metal Deck Coating................................................................................................................. $ 115.00 Each A370/F6O6 Machining & Preparation of Samples... ................................................................................... $ 40.00 Each PRESTRESS A416 Prestressed Strand (Yield./ Tensile)........................................................................................ $ 125.00 Each Sample Preparation (Grease Removal)................................................................................... $ 15.00 Each FIREPROOFING UBC 43-8 Oven Dry Density .................................................................................................................... S 45.00 Each UBC 43-8 Adhesive/Cohesion Testing..................................................................................................... $ 45.00 Each ROOFING UBC 32-12 Tiles (Breaking Strength /Absorption).................................................................................... $ 60.00 Each Mineral Shake - Flexural........................................................................................................ $ 40.00 Each Mineral Shake-Absorption....................................................................................................$ 30.00 Each Tagging, Material Id and Sampling Tiles................................................................................. $ 70.00 Per Hour Final Laboratory Rooffn1e Material Affidavit Report........... .................. .............. ..................... $ 300.00 Each 10-0263 Koury Engineering, Inc. • Chino, CA (909) 606-6111 • wwwAouryengineenng.com page ii MIX DESIGN C192 Review of Existing Mix Design, Determination of Proportions (3 Bus. Day Result). ............... $ 150.00 Each C192 Review of Existing Mix Design, Determination of Proportions (Same Day Result) ................. $ 300.00 Each WELD PROCEDURE AND WELDER QUALIFICATIONS Review Existing Welding Procedure Specification WS) ........................................................................................... $ Review Welding Procedure Qualification (POR) ............................................................................111.1...................:..... $ Observe Welder Qualification (AWSICWI).................................................................................................................... $ Weld Tensile Test Plate (1 -inch thick or less)................................................................................................................ $ Weld Bend Test Plate (1 -inch thick or less)................................................................................................................... $ Weld Macro Etch Plate (1 -inch thick or less)................................................................................................................. $ Weld Tensile Test Rebar#3 through#9........................................................................................................................ $ WeldMacro Etch Rebar 93 through99......................................................................................................................... $ Weld Tensile Test Rebar #10 through #14.................................................................................................................... $ Weld Macro Etch Rebar #10 through#14..................................................................................................................... S WeldTensile Test Rebar *18 ......................................................................................................................................... $ WeldMacro Etch Rebar#18......................................................................................................................................... $ X -Ray Plate or Rebar in Laboratory (1 -inch thick or less)............................................................................................. $ FIELD EQUIPMENT CHARGE LABORATORY HOURS 150.00 Each 150.00 Each 69.50 Per Hour 80.00 Each 55.00 Each 70.00 Each 90.00 Each 70.00 Each 125.00 Each 110.00 Each 275.00 Each 180.00 Each 150.00 Each 65.00 Per Day 150.00 Per Day 15.00 Per Day 40.00 Per Day 40.00 Per Day 25.00 Per Day 35.00 Per Day 25.00 Per Day 25.00 Per Day 55.00 Per Day Laboratory hours are 7:00 a.m. through 4:00 p.m., Monday through Friday................................................................. Additional charges will be made foroft-hours, weekends or holidays as follows: ......................................................... Off -hour Laboratory Operations per hour...................................................................................................................... S 500.00 Per Hour Saturday Laboratory Operations per hour....... ............................................................................... ............................... $ 500.00 Per Hour Sunday or Holiday Laboratory Operations per hour...................................................................................................... S 750.00 Per Hour ADMINISTRATIVE SERVICES Administrative Office Support Faxed............................................................................................................................. $ 50.00 Per Hour Project Task Analysis & Tracking ................................................. ....................................... -........................... .............. $ 65.00 Per Hour Report Faxed, Copied or Sent by US Mail.................................................................................................................... $ 1.50 Per Sheet File Retrieval from Archive............................................................................................................................................ $ 40.00 Per File ExpressI Delivered.....................................................................................................................1......1 ................. S Cost Plus 20% MISCELLANEOUS SUPPORT FEES Test Rush Tracking .......................................... Subsistence Pay .......................................... Travel Cost (Out of town work) ...........................1111 Sample Disposal .....I ................1...11.1............ Parking.......................................... ENGINEERING AND PROFESSIONAL SERVICES Senior Engineer/ Senior Geologist................................................................................................................................ $ StaffEngineer/Geologist............................................................................................................................................... $ ProjectManager / Field Supervisor............................................................................................................................... $ Administration................................................................................................................................................ $ Drafter.................................................................................................................1111........................... $ TestTechnicians Lab - Materials.................................................................................................................................. $ Test Technicians away from Lab (regular time per hour)............................................................................................... $ Technician Report for Special Services / Off Site Testing............................................................................................. S Certified Payroll Process per Project Invoice ................................................................................................................ S Court Appearance (4 -Hour Minimum)........................................................................................................................... $ Preparation for Court. Consultation (in our Office)........................................................................................................ $ Preparation for Court, Consultation (Out of our Office, 4 -Hour Minimum).................................-,................................ $ Expert Witness Testimony (Corporate Officers and Engineers)................................................................................... Deposition (portal to Portal, 4 -Hour Minimum).............................................................................................................. $ Cost Plus 15% Quote Cost Plus 20% Quote Cost Plus 20% 130.00 Per Hour 100.00 Per Hour 95.00 Per Hour 45.00 Per Hour 60.00 Per Hour 65.00 Per Hour 75.00 Per Hour 200.00 Each 150.00 bi-monthly 350.00 Per Hour 250.00 Per Hour 250.00 Per Hour Quotation 275.00 Per Hour 10-0263 Koury Engineering, Inc. • Chino, CA (909) 6065111 • wwwAouryengineering.com page 12 'REPORTS Final Materials Compliance Report ............................................................................................................................... $ 500.00 Each Final Laboratory Verified Report (LVR) DSA -292 (Required for DSA Projects)............................................................ $ 500.00 Each Final Special Inspection Verified Repori (SIVR) DSA -291 (Required for DSA Projects), .............................................. $ 100.00 Each Final Laboratory RoofTle Material Affidavit Report.... ................................ ................................................................. $ 300.00 Each FinalRadiography Summary Report ............................................................................................................................. $ 200.00 Each FinalGPR Summary Report ......................................................................................................................................... $ 200.00 Each Final Pachometer Summary Report .............................................................................................................................. $ 200.00 Each Final Materials Testing Summary Report ...................................................................................................................... $ 200.00 Each Final Insitu Bolt Tensile Report ...................................................................................................................................... $ 200.00 Each Final Insitu Ceiling Wire Report ..................................................................................................................................... $ 200.00 Each InterimReport from Engineer........................................................................................................................................ $ 500.00 Each — Each report includes a set of 3 stamped volumes. Any extra duplication will cost $150.00. The above indicated report fees are applicable unless quoted otherwise in project's specific proposal and contract. 10-0263 Koury Engineering, Inc. • Chino, CA (909) 606-66111 • wwwAouryengineering.com page 13 AC40 ®® CERTIFICATE OF LIABILITY INSURANCE POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. 9/16/20 of PRODUCER (714) 731-7700 FAX: (714) 731-7750 Cornerstone Specialty Insurance Services, 14252 Culver Drive, A299 Irvine CA 92604 Inc. THIS CERTIFICATE IS ISSUED AS A ONLY AND CONFERS NO RIGHTS HOLDER. THIS CERTIFICATE DOES ALTER THE COVERAGE AFFORDED MATTER OF INFORMATION UPON THE CERTIFICATE NOT AMEND, EXTEND OR BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE I NAIC # INSURED KOURY ENGINEERING 6 TESTING 14280 Euclid Ave Chino CA 91710 GENEP.AL LIABILITY INSURER A: Continental Casualty Company 20643 INSURERB: Transportation Insurance Cc 120494 INSURER C: Travelers Casualty Co of Amer 19066 I INSURER D: I INSURER E: COVERAGES THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. (NSR TR DO' N 0 PE FNS NC POLICY NUMBER EFFECTIVE PATE MIODIYYYY PA POLICY E%PIIIATION DATE MMIDDIYYYY LIMITS GENEP.AL LIABILITY EACH OCCURRENCE S 2, 000000 D G_E TO ft E N I €U X COMMERCIAL GENERAL LIABILITY PREMISES Ea Pcuarerzel S 300,000 A X CLAIMSMADE lil OCCUR 1012879040 12/18/2009 12/18/2010 MED EXP (my one Person) $ 10,000 PERSONAL E ADV INJURY 5 2,000,000 X ADDTL INSRD/PRIMARY_( PER FORM N as 300176-B GENERAL AGGREGATE 5 4,000,000 X BLURT WVR OF SUBRO_ I AS REQUIRED PER WRITTEN I PRODUCTS - COMP,OP AGO. 5 4 000 000 I GENL AGGREGATE LIMIT APPLIES PER: CONTRACT ROT ^-1 i EX 1 POLICY JPF LOC CONTRACTUAL LIAB INCLUDED( AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT ANY AUTO 012879040 I (Ea accidere) $ 1,000,000 BODILY INJURY S. ALL OWNED AUTOS _ SCHEDULED AUTOS I (Per person) BODILY INJURY $ X HIRED AUTOS X NON -OWNED AUTOS I (Per accident) PROPERTY DAMAGE S (Per accident) GARAGE LIABILITY AUTO ONLY - EA ACCIDENT S (OTHER THAN EA ACC 5 0I I ANY AUTO I 5 I AUTO ONLY: AGO I EXCESS I UMBRELLA LIABILITY EACH OCCURRENCE 5 5,000,000 X OCCUR I CLAIMS MADE I AGGREGATE 5 5 000,000 5 I _ B DEDUCTIBLE,—/012879085 112/18/2009 12/18/2010 X RETENTION $ 10,000' I I I 15 L+ WORKERS COMPENSATION! I X WC STATU- OTH- T96YLIMITS FIR AND EMPLOYERS' UASIUW Y / N ' E.L. EACH ACCIDENT $ 1,000,00-0- ANY PROPRIETORIPARTNERIEXECUTIVE❑ I OFFICERIMEMBER EXCLUDED? E.L. DISEASE - EA EMPLOYE $ 1,000,000 (Mandatory In NH) IXSUB-3341T59-3-09 12/18/2009 12/18/2010 If yyes, desuibe under E.L DISEASE -POLICY LIMIT Is 1.000,000 SPECIAL PROVISIONS below A OTHER PROFESSIONAL 76166466 12/18/2009 12/18/2010 EACH CIAINL $1,000,000 LIABILITY i ANNUAL AGGREGATE $1,000,000 CLAIMS MADE DESCRIPTION OF OPERATIONS / LOCATIONS /VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT I SPECIAL PROVISIONS RE: Newport Beach Civic Center and Park Project. Certificate Holder, its elected or appointed officers, agents, officials, employees and volunteers are Additional Insured for General Liability but only if required by written contract with the Named Insured prior to an occurrence and as per attached endorsement. Coverage is subject to all policy terms and conditions. Workers' Compensation waiver of subrogation endorsement included. (949)644-3308 ftse(Jnewportbeachca.gov City of Newport Beach Attn: Fong Tse 3300 Newport Blvd PO Box 1768 Newport Beach, CA 92658 25 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL Mk]11M( (MAIL *30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, TkD�`�CoX�INC#aitdfJ61QX!�OIiD(�Cd�id4A�i�6 AUTHORIZED REPRESENTATIVE 4imee La Rue/BETH © 1988-2009 ACORD CORPORATION. All rights reserved. INSUZ5 (200901) The ACORD name and logo are registered marks of ACORD COMMENTS/REMARKS *Except 10 days Notice of Cancellation for non-payment of premium. For Professional Liability coverage, the aggregate limit is the total insurance available for all covered claims reported within the policy period. I OFREMARK COPYRIGHT 2000, AMS SERVICES INC. I Ir .A I :i. INSURED: Koury Engineering 8r Testing, Inc POLICY PERIOD: 12/18/09-12/18/10 POLICY NUMBER: 3012879040 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BLANKET ADDITIONAL INSURED ENDORSEMENT WITH PRODUCTS - COMPLETED OPERATIONS COVERAGE & BLANKET WAIVER OF SUBROGATION/AGGREGATE LIMIT (PER PROJECT) This endorsement modifies insurance provided under the following: BUSINESSOWNERS LIABILITY COVERAGE FORM BUSINESSOWNERS COMMON POLICY CONDITIONS The following is added to Section C., - Who is an Insured A. The Businessowners Liability Coverage form is amended to include as an insured, any person or organization whom you are required to add as an additional insured on this policy under a written contract or written agreement, but the written contract or written agreement must be: 1. Currently in effect or becoming effective during the term of this policy; and 2. Executed prior to the "bodily injury," "property damage," or "personal and advertising injury." B. The insurance provided to the additional insured is limited as follows: 1. That person or organization is an additional insured solely for liability due to your negligence specifically resulting from "your work" for the additional insured which is the subject of the written contract or written agreement. No coverage applies to liability resulting from the sole negligence of the additional insured. 2. The Limits of Insurance applicable to the additional insured are those specified in the written contract or written agreement or in the Declarations of this policy, whichever is less. These limits of Insurance are inclusive of, and not in addition to, the Limits of Insurance shown in the Declarations. 3. The coverage provided to the additional insured within this endorsement and section titled Liability and Medical Expenses Definitions — "Insured Contract" (Section F., item 9.), within the Businessowners Liability Coverage Form, does not apply to "bodily injury" or "property damage" arising out of the "products -completed operations hazard" unless required by the written contract or written agreement. 4. The insurance provided to the additional insured does not apply to "bodily injury," "property damage," "personal and advertising injury" arising out of an architect's, engineer's, or surveyor's rendering of or failure to render any professional services, including: a. The preparing, approving, or failing to prepare or approve maps, shop drawings, opinions, reports, surveys, field orders, change orders or drawings and specifications by any architect, engineer or surveyor performing services on a project of which you serve as a construction manager; or b. Inspection, supervision, quality control, engineering or architectural services done by you on a project of which you serve as construction manager. 5. This insurance does not apply to "bodily injury," "property damage," or "personal and advertising injury' arising out of: a. The construction or demolition work while you are acting as a construction or demolition contractor. This exclusion does not apply to work done for or by you at your premises. D. Other Insurance (Section H.2. and H.3.) of the Businessowners Common Policy Conditions are deleted and replaced with the following: 2. This insurance is excess over any other insurance naming the additional insured as an insured whether primary, excess, contingent or on any other basis unless a written contract or written agreement specifically requires that this insurance be either primary or primary and noncontributing to the additional insured's own coverage. This insurance is excess over any other insurance to which the additional insured has been added as an additional insured by endorsement. SB -300176-B Includes copyrighted material of the Insurance services Office, Inc., with its permission. Page 1 of 2 (Ed. 01/08) Copyright, Insurance services Office. Inc. CNAdamage" included in the "products -completed operations hazard," and for medical expenses 3. When this insurance is excess, we will have no payable under Coverage A.2. regardless of the duty under Coverages A or B to defend the number of: additional insured against any "suit" if any other insurer has a duty to defend the additional a. Insureds; insured against that "suit" if no other insurer b. Claims made or "suits" brought; or defends, we will undertake to do so, but we will be entitled to the additional insured's rights c. Persons or organizations making claims or against all those other insurers. bringing "suits." When this insurance is excess over other 3. Any payments made under Coverage A.1. for insurance, we will pay only our share of the damages or under Coverage A.2. for medical amount of the loss, if any, that exceeds the sum expenses shall reduce the Construction Project of: General Aggregate limit for the applicable (a) The total amount that all such other construction project. Such payments shall not insurance would pay for the loss in the reduce the General Aggregate limit shown in the absence of this insurance; and Declarations nor shall they reduce any Construction Project General Aggregate limit (b) The total of all deductible and self-insured applicable to other construction projects. amounts under all that other insurance. 4. The limits shown in the Declarations for Liability We will share the remaining loss, if any, with any and Medical Expenses, Damage to Premises other insurance that is not described in this Rented to You, and Medical Expenses continue Excess Insurance provision and was not bought to apply. However, instead of being subject to specifically to apply in excess of the Limits of the General Aggregate limit shown in the Insurance shown in the Declarations of this Declarations, such limits will be subject to the Coverage Part. applicable Construction Project General E. Transfer of Rights of Recovery Against Others Aggregate limit. To Us (Section K.2.) of the Businessowners B. For all sums which the insured becomes legally Common Policy Conditions is deleted and obligated to pay as damages caused by replaced with the following: "occurrences," and for all medical expenses caused 2. We waive any right of recovery we may have by accidents, which cannot be attributed only to against any person or organization against ongoing operations at a single construction project: whom you have agreed to waive such right of 1. Any payments made under Coverage A.1. for recovery in a written contract or agreement damages or under Coverage A.2. for medical because of payments we make for injury or expenses shall reduce the amount available damage arising out of your ongoing operations under the General Aggregate limit or the or "your work" done under a contract with that Products/Completed Operations Aggregate limit, person or organization and included within the whichever is applicable; and "products -completed operations hazard." 2. Such payments shall not reduce any 9. Amendment- Aggregate Limits of Insurance (Per Construction Project General Aggregate limit. Project) C. When coverage for liability arising out of the A. For all sums which the insured becomes legally "products -completed operations hazard" is provided, obligated to pay as damages caused by any payments for damages because of "bodily "occurrences" under Coverage A.1., and for all injury" or "property damage" included in the medical expenses caused by accidents under "products -completed operations hazard" will reduce Coverage A.2., which can be attributed only to the Products/Completed Operations Aggregate limit, ongoing operations at a single construction project: and not reduce the General Aggregate limit nor any 1. A separate Construction Project General Construction Project General Aggregate limit. Aggregate limit applies to each construction D. If a construction project has been abandoned, project. The Construction Project General delayed, or abandoned and then restarted, or if the Aggregate limit is equal to the amount of the authorized contracting parties deviate from plans, General Aggregate limit shown in the blueprints, designs, specifications or timetables, the Declarations. project will still be deemed to be the same 2. The Construction Project General Aggregate construction project. limit is the most we will pay for the sum of all E. The provisions of the Limits Of Insurance section damages payable under Coverage A.1., except not otherwise modified by this endorsement shall damages because of "bodily injury" or "property continue to apply as stipulated. SB -300176-B Includes copyrighted material of the Insurance Services Office, Inc., with its permission. Page 2 of 2 (Ed. 01/08) Copyright, Insurance Services Office, Inc. INSURED: Koury Engineering & Testing, Inc 02 ®rmixW 3. POLICY DATES: 12/18/09-12/18/10 WORKERS COMPENSATION AND EMPLOYERS LIABILITY POLICY ENDORSEMENT WC 99 03 76 (00) - 001 POLICY NUMBER: XSUB-3341T59-3-09 WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT — CALIFORNIA (BLANKET WAIVER) We have the right to recover our payments from anyone liable for an injury covered by this policy. We will not enforce our right against the person or organization named in the Schedule. You must maintain payroll records accurately segregating the remuneration of your employees while engaged in the work described in the Schedule. The additional premium for this endorsement shall be 3 % of the California workers' compensation premium otherwise due on such remuneration. Schedule Person or Organization Job Description ALL PERSONS OR ORGANIZATIONS THAT ARE PARTIES TO A CONTRACT THAT REQUIRES YOU TO OBTAIN THIS AGREEMENT, PROVIDED YOU EXECUTED THE CONTRACT BEFORE THE LOSS. CERTIFICATE OF INSURANCE CHECKLIST City of Newport Reach This checklist is comprised of requirements as outlined by the City of Newport Beach. Date Received: 10/12/10 Dept./Contact Received From: Shauna Oyler Date Completed: 10/13/10 Sent to: Shauna Oyler Kristin Walters Company/Person required to have certificate: Koury Engineering & Testing 1. GENERAL LIABILITY A. INSURANCE COMPANY: Continental Casualty Company B. AM BEST RATING (A-: VII or greater): "A"(XV) C. ADMITTED Company (Must be California Admitted): Is Company admitted in California? ' ® Yes ❑ No D. LIMITS (Must be $1 M or greater): What is limit provided? $2,000,000 E. PRODUCTS AND COMPLETED OPERATIONS (Must include): Is it included? (completed Operations status does not apply to Waste Haulers) ® Yes ❑ No F. ADDITIONAL INSURED WORDING TO INCLUDE (The City its officers, officials, employees and volunteers): Is it included? ® Yes ❑ No G. PRIMARY & NON-CONTRIBUTORY WORDING (Must be included): Is it included? ® Yes ❑ No H. CAUTION! (Confirm that loss or liability of the named insured is not limited solely by their negligence) Does endorsement include "solely by negligence" wording? ❑ Yes ®No I. NOTIFICATION OF CANCELLATION: Although there is a provision that requires notification of cancellation by certified mail; per Lauren Farley, the City will accept the endeavor wording. IL AUTOMOBILE LIABILITY A. INSURANCE COMPANY: Continental Casualty Company B. AM BEST RATING (A-: VII or greater) "A"(XV) C. ADMITTED COMPANY (Must be California Admitted): Is Company admitted in California? 0 Yes ❑ No D. LIMITS (Must be $1M min. BI & PD and $500,000 UM, $2M min for Waste Haulers): What is limits provided? $1,000,000 E. PRIMARY & NON-CONTRIBUTORY WORDING (For Waste Haulers only): Is it included? N/A ❑ Yes ❑ No F. NOTIFICATION OF CANCELLATION: Although there is a provision that requires notification of cancellation by certified mail; per Lauren Farley, the City will accept the endeavor wording. III. WORKERS' COMPENSATION A. INSURANCE COMPANY: Travelers Casually Company of America B. AM BEST RATING (A-: VII or greater): "A+"(XV) C. LIMITS: Statutory D. WAIVER OF SUBROGATION (To include): Is it included? ® Yes ❑ No HAVE ALL ABOVE REQUIREMENTS BEEN MET? ® Yes ❑ No IF NO, WHICH ITEMS NEED TO BE COMPLETED? Approved: 9Cruti7,z,J. -Wafters io/t3110 Agent of Brown & Brown Date Broker of record for the City of Newport Beach ❑ Requires approval/exception/waiver by Risk Management B&B initials Comments: Approved: Risk Management Date By THE cm COUNCIL Crry OF NEWPORr BEACH CITY OF NEWPORT BEACH SEP 1 4 711111CITY COUNCIL STAFF REPORT Li AnTm Agenda Item No. 9 September 14, 2010 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Public Works Department Fong Tse, Principal Civil Engineer 949-644-3321 or FTse@NewportBeachCa.gov SUBJECT: CIVIC CENTER AND PARK — MATERIAL TESTING AND INSPECTION SERVICES - APPROVAL OF PROFESSIONAL SERVICES AGREEMENT WITH KOURY ENGINEERING & TESTING, INC. ISSUE: Staff requests approval of a professional services agreement to hire a consultant to provide material testing and inspection services for the Civic Center and Park Project. RECOMMENDATIONS: 1. Approve a Professional Services Agreement with Koury Engineering & Testing, Inc. (Koury) of Chino, California, to provide material testing and inspection services for the Civic Center and Park Project at a not -to -exceed contract price of $865,498.00 and authorize the Mayor and City Clerk to execute the Agreement. 2. Approve Budget Amendment 11 BA-_ appropriating $865,498.00 from the Major Facilities Master Plan Fund to Newport Beach Civic Center Project Account No. 7410- C1002009. DISCUSSION: The City Council on April 27, 2010, approved a Construction Manager at Risk contract with C.W. Driver to provide full and complete construction administration, coordination and observation services for the Civic Center and Park Project. Accordingly, C.W. Driver solicited interest from nine firms to propose for material testing and inspection services and all nine firms submitted their qualifications and proposals. The firms were AESCO, All City Inspection, Construction Testing and Engineering, Dick Nigra Inspections, Koury Engineering, Leighton Consulting, Ninyo & Moore, Quality Assurance Inspections/Twining Inc., and Smith -Emery. C.W. Driver staff reviewed the firms' qualifications, related experience, and performance records. Five firms were interviewed by C.W.Driver and City staff. Koury was selected as the firm that would provide the City with the best overall services. Upon selection, Koury's fee schedule and hourly rates were found consistent with the current market for Civic Center and Park — Material Testing and Inspection Services Koury Engineering Professional Services Agreement September 14, 2010 Page 2 the skills and experience required for the work. Koury's scope of work is included within the attached PSA. ENVIRONMENTAL REVIEW: Material testing and inspection services are not subject to review by the California Environmental Quality Act (CEQA). FUNDING AVAILABILITY: With the approval of the recommended Budget Amendment in the amount of $865,498.00, sufficient funds will be available in the following account for the project. Account Description Newport Beach Civic Center Prepared by: se, P.E. 31 Civil Engineer Account Number Amount 7410-C1002009 $ 865,498.00 Total: $ 865,498.00 Submitted by: nen ko. Isaaum is Works Director Attachment: Location Map Professional Service Agreement with Koury Engineering & Testing, Inc. LOCATION MAP NOT TO SCALE CIVIC CENTER AND PARK MATERIAL TESTING AND INSPECTION SERVICES PROFESSIONAL SERVICES AGREEMENT WITH KOURY ENGINEERING & TESTING, INC. FOR NEWPORT BEACH CIVIC CENTER AND PARK PROJECT THIS AGREEMENT FOR PROFESSIONAL SERVICES ("Agreement") is made and entered into as of this day of , 2010, by and between the CITY OF NEWPORT BEACH, a California Municipal Corporation ("City"), and KOURY ENGINEERING & TESTING, INC., a California Corporation whose address is 14280 Euclid Avenue, Chino, California, 91710 ("Consultant"), and is made with reference to the following: RECITALS A. City is a municipal corporation duly organized and validly existing under the laws of the State of California with the power to carry on its business as it is now being conducted under the statutes of the State of California and the Charter of City. B. City is planning to design and construct a new City Civic Center and Park. C. City desires to engage Consultant to provide material testing and inspection services associated with the Newport Beach Civic Center and Park Project ("Project'). D. Consultant possesses the skill, experience, ability, background, certification and knowledge to provide the services described in this Agreement. E. The principal member of Consultant for purposes of Project, shall be Dave Menefee. F. City has solicited and received a proposal from Consultant, has reviewed the previous experience and evaluated the expertise of Consultant, and desires to retain Consultant to render professional services under the terms and conditions set forth in this Agreement. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. TERM The term of this Agreement shall commence on the above written date, and shall terminate on the 3151 day of December, 2012, unless terminated earlier as set forth herein. 2. SERVICES TO BE PERFORMED Consultant shall diligently perform all the services described in the Scope of Services attached hereto as Exhibit A and incorporated herein by reference ("Work' or "Services"). The City may elect to delete certain tasks of the Scope of Services at its sole discretion. 3. TIME OF PERFORMANCE Time is of the essence in the performance of Services under this Agreement and the Services shall be performed to completion in a diligent and timely manner. The failure by Consultant to perform the Services in a diligent and timely manner may result in termination of this Agreement by City. Notwithstanding the foregoing, Consultant shall not be responsible for delays due to causes beyond Consultant's reasonable control. However, in the case of any such delay in the Services to be provided for the Project, each party hereby agrees to provide notice to the other party so that all delays can be addressed. 3.1 Consultant shall submit all requests for extensions of time for performance in writing to the Project Administrator not later than ten (10) calendar days after the start of the condition that purportedly causes a delay. The Project Administrator shall review all such requests and may grant reasonable time extensions for unforeseeable delays that are beyond Consultant's control_ 3.2 For all time periods not specifically set forth herein, Consultant shall respond in the most expedient and appropriate manner under the circumstances, by either telephone, fax, hand -delivery or mail. 4. COMPENSATION TO CONSULTANT City shall pay Consultant for the Services on a time and expense not -to -exceed basis in accordance with the provisions of this Section and the Schedule of Billing Rates attached hereto as Exhibit B and incorporated herein by reference. Consultant's compensation for all Work performed in accordance with this Agreement, including all reimbursable items and subconsultant fees, shall not exceed Eight Hundred Sixty -Five Thousand, Four Hundred Ninety -Eight Dollars and no/100 ($865,498.00) without prior written authorization from City. No billing rate changes shall be made during the term of this Agreement without the prior written approval of City. 4.1 Consultant shall submit monthly invoices to City describing the Work performed the preceding month. Consultant's bills shall include the name of the person who performed the Work, a brief description of the Services performed and/or the specific task in the Scope of Services to which it relates, the date the Services were performed, the number of hours spent on all Work billed on an hourly basis, and a description of any reimbursable expenditures. City shall pay Consultant no later than thirty (30) days after approval of the monthly invoice by City staff. 4.2 City shall reimburse Consultant only for -those costs or expenses specifically approved in this Agreement, or specifically approved in writing in advance by City. Unless otherwise approved, such costs shall be limited and include nothing more than the following costs incurred by Consultant: Professional Services Agreement Page 2 A. The actual costs of subconsultants for performance of any of the Services that Consultant agrees to render pursuant to this Agreement, which have been approved in advance by City and awarded in accordance with this Agreement. B. Approved reproduction charges. C. Actual costs and/or other costs and/or payments specifically authorized in advance in writing and incurred by Consultant in the performance of this Agreement. 4.3 Consultant shall not receive any compensation for Extra Work performed without the prior written authorization of City. As used herein, "Extra Work" means any Work that is determined by City to be necessary for the proper completion of the Project, but which is not included within the Scope of Services and which the parties did not reasonably anticipate would be necessary at the execution of this Agreement. Compensation for any authorized Extra Work shall be paid in accordance with the Schedule of Billing Rates as set forth in Exhibit B. 5. PROJECT MANAGER Consultant shall designate a Project Manager, who shall coordinate all phases of the Project. This Project Manager shall be available to City at all reasonable times during the Agreement term. Consultant has designated DAVE MENEFEE to be its Project Manager. Consultant shall not remove or reassign the Project Manager or any personnel listed in Exhibit A or assign any new or replacement personnel to the Project without the prior written consent of City. City's approval shall not be unreasonably withheld with respect to the removal or assignment of non -key personnel. Consultant, at the sole discretion of City, shall remove from the Project any of its personnel assigned to the performance of Services upon written request of City. Consultant warrants that it will continuously furnish the necessary personnel to complete the Project on a timely basis as contemplated by this Agreement. 6. ADMINISTRATION This Agreement will be administered by the Public Works Department. FONG TSE, or his designee, shall be the Project Administrator and shall have the authority to act for City under this Agreement. The Project Administrator or his/her authorized representative shall represent City in all matters pertaining to the Services to be rendered pursuant to this Agreement. 7. CITY'S RESPONSIBILITIES In order to assist Consultant in the execution of its responsibilities under this Agreement, City agrees to, where applicable: Professional Services Agreement Page 3 A. Provide access to, and upon request of Consultant, one copy of all existing relevant information on file at City. City will provide all such materials in a timely manner so as not to cause delays in Consultant's Work schedule. B. Provide blueprinting and other Services through City's reproduction company for bid documents. Consultant will be required to coordinate the required bid documents with City's reproduction company. All other reproduction will be the responsibility of Consultant and as defined above. C. Provide usable life of facilities criteria and information with regards to new facilities or facilities to be rehabilitated. 8. STANDARD OF CARE 8.1 All of the Services shall be performed by Consultant or under Consultant's supervision. Consultant represents that it possesses the professional and technical personnel required to perform the Services required by this Agreement, and that it will perform all Services in a manner commensurate with community professional standards. All Services shall be performed by qualified and experienced personnel who are not employed by City; nor have any contractual relationship with City. By delivery of completed Work, Consultant certifies that the Work conforms to the requirements of this Agreement and all applicable federal, state and local laws and the professional standard of care. 8.2 Consultant represents and warrants to City that it has, shall obtain, and shall keep in full force in effect during the term hereof, at its sole cost and expense, all licenses, permits, qualifications, insurance and approvals of whatsoever nature that is legally required of Consultant to practice its profession. Consultant shall maintain a City of Newport Beach business license during the term of this Agreement. 8.3Consultant shall not be responsible for delay, nor shall Consultant be responsible for damages or be in default or deemed to be in default by reason of strikes, lockouts, accidents, or acts of God, or the failure of City to furnish timely information or to approve or disapprove Consultant's Work promptly, or delay or faulty performance by City, contractors, or governmental agencies. 9. HOLD HARMLESS To the fullest extent permitted by law, Consultant shall indemnify, defend and hold harmless City, its City Council, boards and commissions, officers, agents, volunteers and employees (collectively, the "Indemnified Parties) from and against any and all claims (including, without limitation, claims for bodily injury, death or damage to property), demands, obligations, damages, actions, causes of action, suits, losses, judgments, fines, penalties, liabilities, costs and expenses (including, without limitation, attorney's fees, disbursements and court costs) of every kind and nature whatsoever (individually, a Claim; collectively, "Claims"), which may arise from or in any manner Professional Services Agreement Page 4 relate (directly or indirectly) to the negligence, recklessness, or willful misconduct of the Consultant or its principals, officers, agents, employees, vendors, suppliers, subconsultants, subcontractors, anyone employed directly or indirectly by any of them or for whose acts they may be liable or any or all of them. Notwithstanding the foregoing, nothing herein shall be construed to require Consultant to indemnify the Indemnified Parties from any Claim arising from the sole negligence, active negligence or willful misconduct of the Indemnified Parties. Nothing in this indemnity shall be construed as authorizing any award of attorney's fees in any action on or to enforce the terms of this Agreement. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable. The policy limits do not act as a limitation upon the amount of indemnification to be provided by the Consultant. 10. INDEPENDENT CONTRACTOR It is understood that City retains Consultant on an independent contractor basis and Consultant is not an agent or employee of City. The manner and means of conducting the Work are under the control of Consultant, except to the extent they are limited by statute, rule or regulation and the expressed terms of this Agreement. Nothing in this Agreement shall be deemed to constitute approval for Consultant or any of Consultant's employees or agents, to be the agents or employees of City. Consultant shall have the responsibility for and control over the means of performing the Work, provided that Consultant is in compliance with the terms of this Agreement. Anything in this Agreement that may appear to give City the right to direct Consultant as to the details of the performance or to exercise a measure of control over Consultant shall mean only that Consultant shall follow the desires of City with respect to the results of the Services. 11. COOPERATION Consultant agrees to work closely and cooperate fully with City's designated Project Administrator and any other agencies that may have jurisdiction or interest in the Work to be performed. City agrees to cooperate with the Consultant on the Project. 12. CITY POLICY Consultant shall discuss and review all matters relating to policy and Project direction with City's Project Administrator in advance of all critical decision points in order to ensure the Project proceeds in a manner consistent with City goals and policies. 13. PROGRESS Consultant is responsible for keeping the Project Administrator and/or his/her duly authorized designee informed on a regular basis regarding the status and progress of the Project, activities performed and planned, and any meetings that have been scheduled or are desired. Professional Services Agreement Page 5 14. . INSURANCE Without limiting Consultant's indemnification of City, and prior to commencement of Work, Consultant shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to City. A. Proof of Insurance. Consultant shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation. Insurance certificates and endorsement must be approved by City's Risk Manager prior to commencernent of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time. Consultant shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Work hereunder by Consultant, his agents, representatives, employees or subconsultants. The cost of such insurance shall be included in Consultant's bid. B. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance in the State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager. C. Coverage Requirements i. Workers' Compensation Coverage. Consultant shall maintain Workers' Compensation Insurance (Statutory Limits) and Employer's Liability Insurance (with limits of at least one million dollars ($1,000,000)) for Consultant's employees in accordance with the laws of the State of California, Section 3700 of the Labor Code In addition, Consultant shall require each subconsultant to similarly maintain Workers' Compensation Insurance and Employer's Liability Insurance in accordance with the laws of the State of California, Section 3700 for all of the subconsultant's employees. Any notice of cancellation or non -renewal of all Workers' Compensation policies must be received by City at least thirty (30) calendar days (ten (10) calendar days written notice of non- payment of premium) prior to such change. Professional Services Agreement Page 6 Consultant shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of City, its officers, agents, employees and volunteers. ii. General Liability Coverage. Consultant shall maintain commercial general liability insurance in an amount not less than one million dollars ($1,000,000) per occurrence for bodily injury, personal injury, and property damage, including without limitation, blanket contractual liability. iii. Automobile Liability Coverage. Consultant shall maintain automobile insurance covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non -owned or rented vehicles, in an amount not less than one million dollars ($1,000,000) combined single limit for each accident. iv. Professional Liability (Errors & Omissions) Coverage. Consultant shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of one million dollars ($1,000,000) limit per claim and in the aggregate. D. Other Insurance Provisions or Requirements. The policies are to contain, or be endorsed to contain, the following provisions: Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against City, its elected or appointed officers, agents, officials, employees and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these requirements to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its subconsultants. ii. Enforcement of Contract Provisions. Consultant acknowledges and agrees that any actual or alleged failure on the part of the City to inform Consultant of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder. iii. Requirements not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party Professional Services Agreement Page 7 or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. iv. Notice of Cancellation. Consultant agrees to oblige its insurance agent or broker and insurers to provide to City with thirty (30) days notice of cancellation (except for nonpayment for which ten (10) days notice is required) or nonrenewal of coverage for each required coverage. E. Timely Notice of Claims. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant's performance under this Agreement. F. Additional Insurance. Consultant shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work. 15. PROHIBITION AGAINST ASSIGNMENTS AND TRANSFERS Except as specifically authorized under this Agreement, the Services to be provided under this Agreement shall not be assigned, transferred contracted or subcontracted out without the prior written approval of City. Any of the following shall be construed as an assignment: The sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of Consultant, or of the interest of any general partner or joint venturer or syndicate member or cotenant if Consultant is a partnership or joint - venture or syndicate or cotenancy, which shall result in changing the control of Consultant. Control means fifty percent (50%) or more of the voting power, or twenty- five percent (25%) or more of the assets of the corporation, partnership or joint -venture - 16. SUBCONTRACTING City and Consultant agree that subconsultants may be used to complete the Work outlined in the Scope of Services. The subconsultants authorized by City to perform Work on this Project are identified in Exhibit A. Consultant shall be fully responsible to City for all acts and omissions of the subcontractor. Nothing in this Agreement shall create any contractual relationship between City and subcontractor nor shall it create any obligation on the part of City to pay or to see to the payment of any monies due to any such subcontractor other than as otherwise required by law. The City is an intended beneficiary of any Work performed by the subcontractor for purposes of establishing a duty of care between the subcontractor and the City. Except as specifically authorized herein, the Services to be provided under this Agreement shall not be otherwise assigned, transferred, contracted or subcontracted out without the prior written approval of City. 17. OWNERSHIP OF DOCUMENTS Each and every report, draft, map, record, plan, document and other writing produced (hereinafter "Documents"), prepared or caused to be prepared by Consultant, its Professional Services Agreement Page 8 officers, employees, agents and subcontractors, in the course of implementing this Agreement, shall become the exclusive property of City, and City shall have the sole right to use such materials in its discretion without further compensation to Consultant or any other party. Consultant shall, at Consultant's expense, provide such Documents to City upon prior written request. Documents, including drawings and specifications, prepared by Consultant pursuant to this Agreement are not intended or represented to be suitable for reuse by City or others on any other project. Any use of completed Documents for other projects and any use of incomplete Documents without specific written authorization from Consultant will be at City's sole risk and without liability to Consultant. Further, any and all liability arising out of changes made to Consultant's deliverables under this Agreement by City or persons other than Consultant is waived against Consultant and City assumes full responsibility for such changes unless City has given Consultant prior notice and has received from Consultant written consent for such changes. 18. CONFIDENTIALITY All Documents, including drafts, preliminary drawings or plans, notes and communications that result from the Services in this Agreement, shall be kept confidential unless City authorizes in writing the release of information. 19. INTELLECTUAL PROPERTY INDEMNITY The Consultant shall defend and indemnify City, its agents, officers, representatives and employees against any and all liability, including costs, for infringement of any United States' letters patent, trademark, or copyright infringement, including costs, contained in Consultant's drawings and specifications provided under this Agreement. 20. RECORDS Consultant shall keep records and invoices in connection with the Work to be performed under this Agreement. Consultant shall maintain complete and accurate records with respect to the costs incurred under this Agreement and any Services, expenditures and disbursements charged to City, for a minimum period of three (3) years, or for any longer period required by law, from the date of final payment to Consultant under this Agreement. All such records and invoices shall be clearly identifiable. Consultant shall allow a representative of City to examine, audit and make transcripts or copies of such records and invoices during regular business hours. Consultant shall allow inspection of all Work, data, Documents, proceedings and activities related to the Agreement for a period of three (3) years from the date of final payment to Consultant under this Agreement. 21. WITHHOLDINGS City may withhold payment to Consultant of any disputed sums until satisfaction of the dispute with respect to such payment. Such withholding shall not be deemed to constitute a failure to pay according to the terms of this Agreement. Consultant shall not discontinue Work as a result of such withholding. Consultant shall have an Professional Services Agreement Page 9 immediate right to appeal to the City Manager or his/her designee with respect to such disputed sums. Consultant shall be entitled to receive interest on any withheld sums at the rate of return that City earned on its investments during the time period, from the date of withholding of any amounts found to have been improperly withheld. 22. ERRORS AND OMISSIONS In the event of errors or omissions that are due to the negligence or professional inexperience of Consultant which result in expense to City greater than what would have resulted if there were not errors or omissions in the Work accomplished by Consultant, the additional design, construction and/or restoration expense shall be borne by Consultant. Nothing in this paragraph is intended to limit City's rights under the law or any other sections of this Agreement. 23. CITY'S RIGHT TO EMPLOY OTHER CONSULTANTS City reserves the right to employ other Consultants in connection with the Project. 24. CONFLICTS OF INTEREST The Consultant or its employees may be subject to the provisions of the California Political Reform Act of 1974 (the "Act"), which (1) requires such persons to disclose any financial interest that may foreseeably be materially affected by the Work performed under this Agreement, and (2) prohibits such persons from making, or participating in making, decisions that will foreseeably financially affect such interest. If subject to the Act, Consultant shall conform to all requirements of the Act. Failure to do so constitutes a material breach and is grounds for immediate termination of this Agreement by City. Consultant shall indemnify and hold harmless City for any and all claims for damages resulting from Consultant's violation of this Section. 25. NOTICES All notices, demands, requests or approvals to be given under the terms of this Agreement shall be given in writing, and conclusively shall be deemed served when delivered personally, or on the third business day after the deposit thereof in the United States mail, postage prepaid, first-class mail, addressed as hereinafter provided. All notices, demands, requests or approvals from Consultant to City shall be addressed to City at: Attn: Fong Tse Public Works Department City of Newport Beach 3300 Newport Boulevard PO Box 1768 Newport Beach, CA 92658 Phone: 949-644-3321 Fax: 949-644-3308 Professional Services Agreement Page 10 All notices, demands, requests or approvals from CITY to Consultant shall be addressed to Consultant at: Attention: Dave Menefee Koury Engineering & Testing, Inc. 14280 Euclid Avenue Chino, CA 91710 Phone: 909-606-6111 Fax: 909-606-6555 26. CLAIMS The Consultant and the City expressly agree that in addition to any claims filing requirements set forth in the Contract and Contract documents, the Consultant shall be required to file any claim the Consultant may have against the City in strict conformance with the Tort Claims Act (Government Code sections 900 et seq.). 27. TERMINATION In the event that either party fails or refuses to perform any of the provisions of this Agreement at the time and in the manner required, that party shall be deemed in default in the performance of this Agreement. If such default is not cured within a period of two (2) calendar days, or if more than two (2) calendar days are reasonably required to cure the default and the defaulting party fails to give adequate assurance of due performance within two (2) calendar days after receipt of written notice of default, specifying the nature of such default and the steps necessary to cure such default, and thereafter diligently take steps to cure the default, the non -defaulting party may terminate the Agreement forthwith by giving to the defaulting party written notice thereof. Notwithstanding the above provisions, City shall have the right, at its sole discretion and without cause, of terminating this Agreement at any time by giving seven (7) calendar days prior written notice to Consultant. In the event of termination under this Section, City shall pay Consultant for Services satisfactorily performed and costs incurred up to the effective date of termination for which Consultant has not been previously paid. On the effective date of termination, Consultant shall deliver to City all reports, Documents and other information developed or accumulated in the performance of this Agreement, whether in draft or final form. 28. COMPLIANCE WITH ALL LAWS Consultant shall at its own cost and expense comply with all statutes, ordinances, regulations and requirements of all governmental entities, including federal, state, county or municipal, whether now in force or hereinafter enacted. In addition, all Work prepared by Consultant shall conform to applicable City, county, state and federal laws, rules, regulations and permit requirements and be subject to approval of the Project Administrator and City. Professional Services Agreement Page 11 29. WAIVER A waiver by either party of any breach, of any term, covenant or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant or condition contained herein, whether of the same or a different character. 30. INTEGRATED CONTRACT This Agreement represents the full and complete understanding of every kind or nature whatsoever between the parties hereto, and all preliminary negotiations and agreements of whatsoever kind or nature are merged herein. No verbal agreement or implied covenant shall be held to vary the provisions herein. 31. CONFLICTS OR INCONSISTENCIES In the event there are any conflicts or inconsistencies between this Agreement and the Scope of Services or any other attachments attached hereto, the terms of. this Agreement shall govern. 32. 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 the Agreement or any other rule of construction which might otherwise apply. 33. AMENDMENTS This Agreement may be modified or amended only by a written document executed by both Consultant and City and approved as to form by the City Attorney. 34. SEVERABILITY If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement shall continue in full force and effect. 35. CONTROLLING LAW AND VENUE The laws of the State of California shall govern this Agreement and all matters relating to it and any action brought relating to this Agreement shall be adjudicated in a court of competent jurisdiction in the County of Orange. 36. EQUAL OPPORTUNITY EMPLOYMENT Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Professional Services Agreement Page 12 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on the day and year first written above. APPROVED AS TO FORM: OFF CE OF THE CITY ATTORNEY: f / , Leonie Mulvihill p Assistant City Attorney COU ATTEST: B y: Leilani Brown, City Clerk CITY OF NEWPORT BEACH, A Municipal Corporation M Keith D. Curry, Mayor CONSULTANT: KOURY ENGINEERING & TESTING, INC. By: Richard D. Koury, President and Chief Executive Officer Dave Menefee, Senior Vice President and Chief Operating Officer Attachments: Exhibit A — Scope of Services Exhibit B — Schedule of Billing Rates Professional Services Agreement Page 13 r ENGINEERING TESTING, INC. May 4, 2010 C.W. Driver 15615 Alton Parkway Ste 130 Irvine, CA 92618 Attn: Rick Schafer Koury Proposal No. 10-0263 Subject: Request for Qualifications for Material Testing and Inspection Services for the Newport Beach Civic Center and Park Project Dear Mr. Schafer: Koury Engineering & Testing, Inc. appreciates the opportunity to provide our qualifications in response to the RFP for material testing and inspections services associated with the Newport Beach Civic Center and Park Project. We are capable of providing a full range of geotechnical monitoring, material testing and special inspection services for all phases of the project. Our objective is to provide C.W. Driver with qualified stallto ensure that the project's required quality control goals are met. Our qualified staff includes multi -certified inspectors, field technicians and laboratory technicians. Since 1992, Koury has been providing materials testing and deputy'inspection services on the Division of the State Architect, governmental agencies, and private development projects. Through the quality services we provide, we currently hold contracts with many public agencies on similar types of projects, such as the City of Orange, the City of Riverside, the City of Pomona and the County of Los Angeles. We've also built long term partnerships with many Southern California school and college districts like North Orange County Community College District, Los Angeles Unified School District and Los Angeles Community College District. We are confident that you will be pleased with our professional approach, project experience, quality control procedures and desire to provide cost effective service. We look foiward to supporting the Newport Beach Civic Center and Park Project. Regards, Koury Engineering &Testing, Inc. Dave Menefee Sr. Vice President/COO 10-0263 Koury Engineering, Inc. • Chino, CA (909) 606E 111 • mm-kouryengineering.com page 1 Basis for Budget Breakdown Cost Our project engineer reviewed the following documents for the Newport Beach Civic Center and Park Project located in Newport Beach, California: 1. Aset of civil and structural drawings dated February 18, 2010 prepared by Bohlin Cywinski Jackson. The structural drawings pertained only to the Council Chambers, City Hall and the Library Expansion. 2. Aconstruction Schedule dated April 14, 2010 provided by C W. Driver. Per the Request for Proposal the estimated budget breakdown is to be a not to exceed amount. However, the estimate budgetary numbers were prepared based on assumptions and the construction schedule. Elements of the project have not been designed prior to this proposal. Therefore, the budget breakdown is only considered a not to exceed amount on the adherence of the construction schedule and our assumptions. Should Koury be granted the project,.we would request the opportunity to prepare a revised estimate budget based on final design plans. Based on our review of the drawings, we understand that the project will consist of the construction of a new city hall building, 450 stall concrete parking structure, new council chamber building, existing library expansion and various site improvement projects which include retaining walls and pedestrian bridges. During construction, Koury will provide construction observation and material testing to assure that the performed work complies with the project's requirements and specifications. Upon completion of the project, we will prepare a final observations report, including the results of all the tests performed. Our proposed services include, but are not limited to, the following list: • Review Plans, Reports and Project Specifications. • Review mix designs for concrete. • Observe, inspect, sample and test all structural concrete placed at the project site including the placement of the all reinforcing steel used on the project site. Tests will include: air content, shrinkage, compressive strength of concrete, slump test, temperature of fresh mix concrete and tension testing of cast in place anchor bolts. • Observe, sample and test all post -tensioning strands used on the project site. • Observe and inspect all structural steel erection including welding and high strength bolting. This will include performing non-destructive examinations of all qualifying welds in addition to torque/pull testing all high strength slip critical bolts. • Perform structural steel shop fabrication inspections. • Upon receiving the Client's written request, Koury will prepare a final reports) documenting our observations and tests performed during construction. The final report(s) will be prepared in accordance with the attached Master Fee Schedule and typically take 10 to 14 working days to be prepared and submitted. Koury realizes each client's project needs are different and upon request, we can also provide the following services: • Attend pre -construction meetings. • Attend weekly meetings. • Respond to Reviewing Agencies - 10 -(3263 Koury Engineering. Inc. • Chino, CA .(909) 606-6111 • w .kouryengineering.com page 8 The following is an itemized budget breakdown for anticipated construction testing and inspection services: QtV o Mass Grading/Shoring/Export ICC Inspectors 320 hrs Water Content (WC) Inspector 40 hrs Laboratory/Eng Fees e Parking Garage ICC Inspectors 1920 hrs Water Content (WC) Inspector 40 hrs Laboratory/Eng Fees e Council Chambers ICC Inspectors WC / NDT Inspector Laboratory/Eng Fees o City Hall ICC Inspectors WC / NDT Inspector Laboratory/Eng Fees a Library Expansion ICC Inspectors WC / NDT Inspector Laboratory/Eng Fees o North Park ICC Inspectors WC Inspector Laboratory/Eng Fees o Central Park ICC Inspectors WC / NDT Inspector Laboratory/Eng Fees 528 hrs 120 hrs 5048 hrs 848 hrs 576 hrs 136 hrs 136 hrs 24 hrs 432 hrs 104 hrs Rate $69.50 $95.00 LS $69.50 $95.00 LS $69:50 $95.00 LS $69.50 $95.00 LS $69.50 $95.00 LS $69.50 $95.00 LS $69.50 $95.00 LS Cost $ 22,240 $ 3,800 $ 15,330 41,370 $ 133,440 $ 3,800 $ 16,410 $ 153.650 $ 36,696 $ 11,400 $ 5,595 53691 $ 350,836 $ 80,560 $ 34,185 $465,581 $ 40,032 $ 12,920 $ 5,890 58,842 $ 9,452 $ 2,280 $ 2,550 14,282 $ 30,024 $ 9,880 $ 3,465 43,369 e Pedestrian Foot Bridge over San Miguel Drive ICC Inspectors 528 hrs $69.50 $ 23,908 WC I NDT Inspector 1201irs $95.00 $ 6,840 Laboratory/Eng Fees LS $ 3;965 34,713 Total Estimated Budget for construction testing and inspection services: 865,498 10-0263 Koury Engineering. Inc. • Chino, CA (909) 606-6111 • w .kouryengineering.com page 9 CONSTRUCTION MATERIAL MONITORING AND TESTING Inspector- Concrete ......... ...... _.............................................. ......... .------ ........................................................... .----- S 69.50 Per Hour Inspedor - Concrete Batch Plant.................................................................................................................................$ 69.50 Per Hour Inspedor - Concrete Post Tension...............................................................................................................................$ 69.50 Per Hour Inspedor - Concrete Pre -stressed at Fabrication Shop............................................................................................... $ 69.50 Per Hour Inspedor- Shotcrete................................................................................................................................................$ 69.50 Per Hour Inspector- Masonry .................... _.............................................................................. ............................................ $ 69.50 Per Hour Inspector- Structural Steel and Welding......................................................................................................................$ 69.50 Per Hour Inspector - Structural Steel at Fabrication Shop........................................................................................................... $ 69.50 Per Hour Inspector- Fireproofing................................................................................................................................................$ 69.50 Per Hour Inspector -Glu-Lam Beams/Trusses at Fabrication Shop............................................................................................ $ 95.00 Per Hour Non -Destructive Testing: Ultrasonic, Dye Penetrant, or Magnetic Particle Inspection .................................................. $ 95.00 Per Hour Non-Des(ntctive Testing: Dye Penetrant: Developer, Cleaner...................................................................................... $ 15.00 Per Can Nan -Destructive Testing: Magnetic Particle Powder.................................................................................................... $ 20.00 Per 6 oz Non -Destructive Testing: Couplant................................................................................................................................ $ 60.00 Per gallon WaterContent Technician ............................ .......... ............. ... ............................................ ........................................... $ 95.00 Per Hour RadiographyTechnidan................ .......................... ................................... ................ :............................................ ..... $ 95.00 Per Hour RadiographyTruck ....... ......................................................................................... :............................................... $ 125.00 Per Shift RadiographyFilm................................................................................................................................................ $ 0.15 Per SgBn Lab Technician - Pachometer (IncIddes equipment) ....................... :.................................................... .._--------------------- $ 95.00 Per Hour Lab Technician - Pult-Out Test on Splay Wires, Embedded Bolts/Anchors/Dowels (1 man & includes equipment).................................................................................................................................... $ 95.00 Per Hour Lab Technician - Pull -Out Tes(on Splay Wires, Embedded Bolts/Anchors and Dowels (2 man & includes equipment) ............................... _......................... .......................................................................... $ 135.00 Per Hour Lab Technician - Concrete or Masonry Coring -Floors (1 man & includes equipment) ................................................ $ 95.00 Per Hour Lab Technician - Concrete or Masonry Coring - Vertical and Overhead (2 man &includes equipment) ....................... $ 135.00 Per Hour Floor Flatness Testing (Under 10.000 sq/ft).- ........... ............................................................ ...................................... $ 600.00 Each Floor Flatness (Over 10,000 sq/ft, Less than 20,000 sq/ft)............................................... ........ ......................... ........... $ 0.06 Sq/Ft Floor Flatness (Over 20.000 sq/ft)...........................:.................................................................................................... $ 0.05 Sq/Fl LABROTORY TESTING SERVICES ASTM Physical Charteristics CONCRETE C39 - Concrete Cylinders Compression Test (6"x 12') ............. ............. ............................ I............ $ 20.00 Each C469 Concrete Cylinder Compression Test with MOE (Modulus of Elasticity) ................................ $ 500.00 Each C495 Lightweight Fill Concrete (3'x 6) ------ ......... .......................................... ..... ............................. $ 20.00 Each C42 Concrete Cores, 6' Max. Diameter, Includes Core Trim ......................................................... $ 35.00 Each C42 Shotcrete Cores, 6' Max: Diameter, Including Core Trim ....................................................... $ 35.00 Each C42 Gunite Cores, 6' Max. Diameter, Including Core Trim............................................................ $ 35.00 Each C157 Grout Shrinkage (3 Bars-- Four Readings, Up to 90 Days) .....................................................$ 225.00 Set C567 Unit Weightof Hardened Light Weight Concrete ................................... ... -..... ........................ $ 35.00 Each C6&4 Rapid Cure Concrete Cylinders (Bol Method)...._.................................................................. $ 40.00 Each C157 Drying Shrinkage (3 Bars - Four Readings, Up To 90 Days) .................. ...... ........ .................. $ 250.00 Set 0495 Lightweight Fill Concrete Density ............................................:...................I........................... $ 35.00 Each C138 Density (Unit Weight) of Concrete ......... ......................... ...:....:................................................ $ 30.00 Each C173 Air Entrainment Test(Valdmelric Method) ...................... ... :............ ................................ .....--.:$ 35.00 Each C231 Air Entrainment Test (Pressure Method - Nod Lightweight Aggregate) .................................. 5 35.00 Each C78 Flexure Teri 6'x 6'Beams.....................................................................................................$ 85.00 Each 6486 Splitting Tensile 6'x 12' Cylinders ....... :....... .:.......................................................... ...... _-------- $ 65.00 Each F1869 Measuring Moisture Vapor Emission Rate ..................... ,.. $ . 35.00 Each MASONRY BLOCK .C780 Mortar Cylinders (2'x 41 ................................................ .....................$ 20.00 Each C169 Mortar Cubes (2"x 21..........................:.................................................................................. $ 20.00 Each C1019 Grout Prisms (3" z 61 ..: ..... ............................................... :...... :................ ............................... $ 20.00 Each 10-0263 . Koury Engineering, Inc. • Chino, CA (909) 606-0111 www.kouryengineering.com page 10 C1314 Grouted Prisms Compression (Masonry Assemblage) Test 58" x 8" x 16. ............................. $ 95.00 Each C1314 Grouted Prisms Compression (Masonry Assemblage) Test>8" x 8' x 16...... ........................ $ 125.00 Each C140 Moisture Content as Received each ..... ............................................................... _........... ...... $ 50.00 Each C140Absorption.3 Required...........................................................................................................$ 40.00 Each C140Measurements ........................................................................................................................ S 30.00 Each C140 Compression <-8' x 8" x 16". Qty 3 Required.......................................................................... $ 45.00 Each C140 Compression >8'x 8'x 16" Qty 3 Required........................................................................... $ 55.00 Each C426 Linear Shrinkage. Oty 3 Required........................................................................................... $ 80.00 Each C42 Masonry Core - Compression................................................................................................$ 55.00 Each C42Masonry Core - Shear............................................................................................................ $ 75.00 Each C42In Laboratory Core Cutting...................................................................................................... $ 50.00 Each BRICK C67Compression ......................................................................................... $ 40.00 Each C67Modulus of Rupture .......... ......................... ............................................................................ $ 50.00 Each C67Absorption. Soak..................................................................................................................... $ 30.00 Each C67Absorption. Boil.. ... ............... .............................. ........... ............... - .................................... S 30.00 Each C67 Absorption. Saturation Coefficient.......................................................................................... S 40.00 Each C67 Initial Rate of Absorption......................................................................................................... $ 40.00 Each C67EtBorescenoe .......................................................................................................................... S 55.00 Each C67 Efflorescence with Mortar.....................................................................................-................ $ 65.00 Each STEEL REINFORCING A615IA706 Tensile No. 8 Barand Smaller................................................................................................ $ 35.00 Each A615/A706 Tensile No. 9 To 11 Bar........................................................................................................... $ 45.00 Each A615/A706 Tensile No. 14 Bar................................. ................................................................................ :. $ 70.00 Each A615/A706 Bend Test No. 8 Bar and Smaller....................................................................-. $ 35.00 Each A615/A706 Bend Test No. 9 To 11 Bar...................................................................................................... S 45.00 Each A615/A706 Bend No.14 Bar...................................................................................................................... $ 70.00 Each A615/A706 Bend/Tensile Test No. 18 ... ............... ................... --- .......................... ..... ------- ................. $ 250.00 Each A615IA706 Chemical Analysis... ...................................... .................................... .................................... $ 300.00 Each A615IA706 Deformation Compliance ........................................................................................................ $ 55.00 Each A615IA706 Cut To Size (for testing)...........................................................................................................$ 10.00 Each STEEL COUPLED WELDED REINFORCING A615/A706 Tensile No. 8 Bar and Smaller................................................................................................ S 70.00 Each A6151A706 Tensile No. 9 To 11 Bar ...... _................................................................................................... $ 80.00 Each A615/A706 Tensile No. 14 Bar................................................................................................................... $ 100.00 Each A615IA706 Tensile No. 18 Bar ........... ................................................ _................................ ...................... $ 275.00 Each STRUCTURALSTEEL A370IF606 Bolt Tensile Test...................................................................................................................... $ 55.00 Each A3701F606Balt Proof Test......................................................................................................................... $ 45.00 Each A370IF606 Nut Proof Test.........................................................................................................................$ 45.00 Each A370fF606 Nelson Stud Tensile Test., ....................................................................................................... $ 115.00 Each A370IF606 Metal Deck Tensile Test (formed sheet metal)........................................................................ $ 135.00 Each E10' Brinell Hardness Test .................................... :......................................................................... $ 45.00 Each E78 Rockwell Hardness Test.......................................................................................................... $ 45.00 Each A370IF606 Coupon Tensile Test................................................................................................................ $ 40.00 Each A3701F606 Coupon Bend Test................;.................................................................................................. $ 40.00 Each A370IF606 Nut I Bolt I Washer Hardness Test ............. -........................................................................... $ 45.00 Ea. Pc A90Metal Deck Coating ....... :.............. .................................................................. ................. ........ $ 115.00 Each A370IF606 Machining &Preparation of Samples .................................................. .................................... $ 40.00 Each PRESTRESS A416 Prestressed Strand (Yield / Tensile)........................................................................................ $ 125.00 Each Sample Preparation (Grease Removal)...................................................................................$ 15.00 Each FIREPROOFING UBC43-8 Oven Dry Density .................................................................................................................... S 45.00 Each UBC 43-8 Adhesive/Cohesion Testing ....... _............................................................................................ $ 45.00 Each ROOFING UBC 32-12 Tiles (Breaking Strength /'Absorption).................................................................................... $ 60.00 Each - MineralShake- Flextiml........................................................................................................ $ 40.00 Each Mineral Shake -Absorption ......................... :................................. ....... .. ........................ _...... $ 30.00 Each Tagging; Material Id and Sampling Tiles ....... :................... ...................................................... $ 70.00 Per Hour Final Laboratory RoofTle Material Affidavit Report ................ ................. .................... --....... $ 300.00 Each 10-0263 Koury Engineering, Inc. • Chino, CA (909) 606-6111 • www.kouryengineering.com page 11 MIX DESIGN S 50.00 Per Hour Project Task Analysis & Tracking................................................................................................................................... C192 Review of Exisdng Ma Design, Determination of Proportions (3 Bus. Day Result) ................ $ 150.00 Each C192 Review of Existing Mix Design, Determination of Proportions (Same Day Result) ................. S 300.00 Each WELD PROCEDURE AND WELDER QUALIFICATIONS S Cost Plus 20% Review Existing Welding Procedure Specification (WPS) ....................................................................... S 150.00 Each Review Welding Procedure Qualification (POR).......................................................................................................... 5 150.00 Each Observe Welder Qualification (AWS/CW1).................................................................................................................... $ 69.50 Per Hour Weld Tensile Test Plate (1 -inch thick or less)............................................................................................ $ 80.00 Each Weld Bend Test Plate (1 -inch thick or less)................................................................................................................... S 55.00 Each Weld Macro Etch Plate (1 -inch thick or less) ..... ................................................... .................... .......... ....... ................... $ 70.00 Each Weld Tensile Test Rebar 113 through 99..............................................................................................._...................__ $ 90.00 Each Weld Macro Etch Rebar 93 through#9......................................................................................................................... $ 70.00 Each Weld Tensile Test Rebar #10 through #14.................................................................................................................... $ 125.00 Each Weld Macro Etch Rebar 010 throughL14..................................................................................................................... $ 110.00 Each WeldTensile Test Rebar#18......................................................................................................................................... $ 275.00 Each WeldMacro Etch Rebar#18.......................................... ..................................... .................... ....... ............................. S 180.00 Each X -Ray Plate or Rebar in Laboratory (1 -inch thick or less)............................................................................................. S 150.00 Each FIELD EQUIPMENT CHARGE Equipment- Torque Wrench ......................................................................................................................................... $ 65.00 Per Day Equipment - Skidmore Bolt Tension Calibrator...................................... ...................................... .................................. $ 150.00 Per -Day Equipment- Multiplier ............ ....................................................................................... ........................................... _ $ 15.00 Per Day Equipment -Schmidt Hammer... ........................................................... ................... .................................................. S 40.00 Per Day Equipment- Dry Film Thickness Gauge....................................................................................................................... $ 40.00 Per Day Equipment- Non -Shrink Grout Mold 2" Cube .... :...................................................................... ........................ ........... $ 25.00 Per Day Equipment - Slab Moisture Test Kit.............................................................................................................................. S 35.00 Per Day Equipment- Air£ntrainment........................................................................................................................................$ 25.00 Per Day Equipment- Windsor Probe......................................................................................................................................... S 25.00 Per Day Equipment-Truck Charge ........................................ _................. ...................................................................... .......... $ 55.00 Per Day LABORATORY HOURS Laboratory hours are 7:00 a.m. through 4:00 p.m.; Monday through Friday................................................................. . Additional charges will be made for off -hours, weekends or holidays as follows: .............................. .......................... ... Off -hour Laboratory Operations per hour...................................................................................................................... $ 500.00 Per Hour Saturday Laboratory Operations per hour..................................................................................................................... $ 500.00 Per Hour Sunday or Holiday laboratory Operations per hour...................................................................................................... S 750.00 Per Hour ADMINISTRATIVE SERVICES Administrative Office Support Faxed.............................................................................._............................................. S 50.00 Per Hour Project Task Analysis & Tracking................................................................................................................................... S 65.00 Per Hour Report Faxed. Copied or Sent by US Mail.................................................................................................................... $ 1.50 Per Sheet File Retrieval from Archive ....................... ........................... ............................................ ....... __................................... $ 40.00 Per File Express/ Delivered................................................................................................................................................ S Cost Plus 20% MISCELLANEOUS SUPPORT FEES Test Rush Tracking .......... .............................. Subsistence Pay ....... .......................... _...... Travel Cost (Out of town work) ............................... Sample Disposal ......................................... Parking......................................... ENGINEERING AND PROFESSIONAL SERVICES Senior Engineer/ Senior Geologist...; ................................. _......................................................................................... $ StaffEngineer/Geologist........:...................................................................................................................................... S ProjectManager / Field Supervisor.- ................... ............................................. : ...................................... - ..... __ --- ..... S Administration.............................................................................................:.............5 ..................................... Drafter..................._--- ........................ ................................................ : TestTechnicians Lab - Materials ..... .......... __............................................................................................................... S Test Technicians away from Lab (regular time per hour) .................. :..................................... ................. ....................... $ Technician Report for Special Services f OR Site Testing .......... :.................................. ................. .......... ..................... $ Certified Payroll Process per Project Invoice.............. ................................................................................................ $ Court Appearance (4 -Hour Minimum) ............. __..... ............... ................... ............ .......... ......... ............................. I ..... . $ Preparation for Court Consultation (n our Office) ... ---- .----- ......................... ......... :........ :............................................... $ Preparation for Court, Consultation (Out of our Office, 4 -Hour Minimum)................................................................... S Emmert Witness Testimony (Corporate Officers and Engineers) ------ :............. .................................. ..:.......................... Deposifion (portal to Portal. 4 -Hour Minimum).............................................................................................................. $ Cost Plus 15% Quote Cost Plus 20% Quote Cost Plus 20% 130.00 Per Hour 100.00 Per Hour 95.00 Per Hour 45.00 Per Hour 60.00 Per Hour 65.00 Per Hour 75.00 Per Hour 200.00 Each 150.00 bi-monthly 350.00 Per Hour 250.00 Per Hour 250.00 Per Hour Quotation 275.00 Per Hour 10-0263 Koury Engineering. Inc. • Chino, CA (909) 606-6111 • wwwAouryengineering.com page 12 'REPORTS Final Materials Compliance Report ............................................................................................................................... S 500.00 Each Final Laboratory Verified Report (LVR) DSA -292 (Required for DSA Projects)............................................................ $ 500.00 Each Final Special Inspection Verified Report (SIVR) DSA -291 (Required for DSA Projects) ............................................... S 100.00 Each Final Laboratory Roof✓Tle Material Affidavit Report ............... ........ ............. ......................................... ......................... $ 300.00 Each Final Radiography Summary Report ............................................................................................................................. b 200.00 Each FinalGPR Summary Report.......................................................................................................................................... $ 200.00 Each Final Pachometer Summary Report .............................................................................................................................. b 200.00 Each FinalMaterials Testing Summary Report ...................................................................................................................... S 200.00 Each Final Insitu Solt Tensile Report ...................................................................................................................................... $ 200.00 Each Final Insitu Ceiling Wire Report ..................................................................................................................................... S 200.00 Each InterimReport from Engineer........................................................................................................................................ S 500.00 Each Each report includes a set of 3 stamped volumes. Any extra duplication will cost S 150.00. The above indicated report fees are applicable unless quoted otherwise in project's specific proposal and contract. 1"263 Koury Engineering, Inc. • Chino, CA (909) 606-6111 • wwwAouryengineering.com page 13 Business Search - Businesslilies - Business Programs Page I of I Business Entities (BE) Online Services - Business Search - Disclosure Search - E -File Statements - Mail Processing Times Main Page Service Options Name Availability Forms, Samples & Fees Annual/Biennial Statements Filing Tips Information RegueSLS (certificates, copies &. status reports) Service of Process FAQs Contact Information Resources - Business Resources - Tax Information - Starting A Business - International Business Relations Program Customer Alert (misleading business solicitations) Business Entity Detail Data is updated weekly and is current as of Friday, July 23, 2010. It is not a complete or certified record of th Entity Name: KOURY ENGINEERING & TESTING, INC. Entity Number: C2227510 Date Filed: 04/03/2000 Status: ACTIVE Jurisdiction: CALIFORNIA Entity Address: 14280 EUCLID AVE Entity City, State, Zip: CHINO CA 91710 Agent for Service of Process: REGINA LY LE Agent Address: 14280 EUCLID AVE Agent City, State, Zip: CHINO CA 91710 Indicates the information is not contained in the California Secretary of State's database. • If the status of the corporation is "Surrender," the agent for service of process is automatically revoked. Corporations Code section 2114 for information relating to service upon corporations that have surrend • For information on Cheeking or reserving d name, refer l0 Name Availability.. • For information on ordering certificates, copies of documents and/or status reports or to request a more Information Requests. • For help with searching an entity name, refer to Scarth Tips. • For descriptions of the various fields and status types, refer to Field Descriptions antl Status Def)n itif Modify Search Nev Search Printer Friendly Back to Search Results Pdvaoy Statement I Free Document Reader, Copyright ® 2016 California Secretary of State hffn-//hfanle..r ane ca orndncQ gcny n'7/7O/nn1 n �<,?7 5`b/(66,7�Ib CITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT September 14, 2010 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Public Works Department Stephen Badum - sbadum@newportbeachca.gov 949-644-3311 SUBJECT: NEWPORT BEACH CIVIC CENTER PROJECT: PARKING STRUCTURE, GUARANTEED MAXIMUM PRICE (GMP), PHASE TWO ISSUE: Staff is requesting the approval and funding of the next phase of the Newport Beach Civic Center Project which includes the design and construction of a Parking Structure. RECOMMENDATIONS: 1) Approve an amendment to the Construction Manager At Risk Contract with C.W. Driver, Irvine, California, amending the Guaranteed Maximum Price (GMP) to add the design and construction of the parking structure and miscellaneous items of work (GMP #2) for the Newport Beach Civic Center project at a not -to -exceed price of $7,426,853 and authorize the Mayor and City Clerk to execute the contract. 2) Establish a budget of 5% of GMP #2 ($350,000) as the City's contingency for unforeseen costs and authorize the Public Works Director and City Manager execute change orders upon concurrence by the City Council Building Committee. 3) Approve Budget Amendment No. 11 BA-_ appropriating $7,776,853 from the Major Facilities Master Plan Fund to Newport Beach Civic Center Project Account No.7410-C1002009. DISCUSSION: The following bids were received from prequalified contractors for the Newport Beach Civic Center parking structure: V Bomel Construction $6,367,000 McCarthyBuilders $6,713,000 ARB Structures $6,894,361 Preliminary Estimate — Design Development Phase 4/27/10 $8,018,500 Preliminary Estimate -Schematic Design Phase 11/10/09 -normalized' ' $11,021,000 Newport Beach Civic Center Project Parking Structure, GMP Phase 2 September 14, 2010 Page 2 As shown by the above table, the City has benefitted from the current downward trend in construction costs: o Parking Structure. The lowest bid received was almost $2 million (about 20%) less than our April 2010 estimates. The initial, preliminary estimates for the structure were set at $11 million back in November 2009 ('normalized to delete the Shoring Wall, which was later considered part of the "Mass Ex" package). • Mass Excavation and Shoring Wall. This contract, let in April 2010, secured savings of almost $1 million (about 12%) from initial estimates. On April 27, 2010, the City Council approved a Construction Manager at Risk Contract with C.W. Driver in the amount of $14,617,374 with included general conditions for the entire project ($7,169,255); mass excavation and shoring construction (GMP #1, $6,726,574); direct expenses for the GMP#1($265,412); and the project fee for GMP #1 ($456,133). Additionally, a City contingency was approved in the amount of $673,000 bringing the total cost to $15,290,374. In an effort to expedite the project, the City elected to start the early phases of the project such as grading and the construction of the parking structure in advance of the final design completion of the parks, City Hall building, and Central Library Expansion. To accomplish this goal, the City Council entered into a phased Construction Manager at Risk (CM@R) contract with C.W. Driver. To review; the current contract is broken down into four components. Basic Services / General Conditions. The first component is the basic services or general conditions. These include the fixed costs for the construction field office (including construction trailers, office equipment, portable restrooms, copiers, computers, telephone and equipment) and the necessary personnel to staff the project (including superintendent, inspection and support staff). The work scope included in basic services includes: • Managing the public bidding and award process in full compliance with the California Public Contract Code. • Providing full and complete construction administration, coordination and construction observation services during and following construction, including but not limited to the following: Onsite administration and management Project and construction cost management Quality assurance, inspection, and quality control Coordinate with the City's Building Inspectors Dispute resolution •:• Submittal coordination Management of Requests for Information (RFI) Change order review and negotiations Manage construction materials testing, and specialty inspection services Newport Beach Civic Center Project Parking. Structure, GMP Phase 2 September 14, 2010 Page 3 ❖ Provide schedule analysis and continuous updates v Manage project close-out; including assuring the A&E team provides complete record (As -Built) drawings Construction punch -list management and completion Manage substantial and final completion processes, and project acceptance. ❖ Compile program warranties Deliver operations and maintenance manuals Coordinate the installation of FF&E and move -in activities Manage final payment and project closeout for all consultants and contractors under direct contract with the City Coordinate warranty work for a period of up to one year. The Basic Services, based upon the current project schedule for the entire project, are estimated at a not -to -exceed cost of $7,169,255. Basic Services are billed monthly on a time and material basis at the agreed rates as shown on Exhibit A of the CM@R contract. City Council approved these costs as a part of the original contract with C.W. Driver on April 27, 2010 and no adjustments are proposed for GMP #2. Construction Costs / GMP. The second component of this contract is the actual cost of the construction work. The cost of the work is set as a Guaranteed Maximum Price (GMP). The GMP will include the actual bid plus a contingency.. Under the CM@R project delivery method, C.W. Driver will bid out the various construction trade contracts in accordance with the Public Contract Code and oversight from the City Clerk, The City Council will then approve the expenditure and accept C.W. Driver's GMP proposal for the work. C.W. Driver will then be responsible for delivering all work and construction included in the approved work scope for the maximum cost stated in the GMP. Any costs exceeding the GMP will be borne by C.W. Driver. Any savings under the GMP will be shared by the City and C.W. Driver. The City will receive 75% of any savings and C.W. Driver will receive 25% of any savings as an incentive to reduce overall costs. The first phase of the project, the Mass Excavation and. Shoring Construction Phase (GMP #1), is already underway. The second phase of the GMP is the Design Assist/Build for the parking structure and miscellaneous items of work. This phase (GMP #2) will design and construct a 450 -space, mechanically vented parking structure. On June 21, 2010, the City Clerk oversaw the public opening of the sealed proposals for this phase of the work. Upon scoring of these proposals, the top three firms, Bomel Construction, McCarthy Builders, and ARB Structures were invited to meet with the design team, City staff, BCJ and C.W. Driver, to discuss cost-saving proposals and alternative construction. The design team revised the bridging documents to incorporate the desired proposals and alternative designs and asked each firm to submit a bid based upon the revised bridging documents. A summary of those bids is attached for Council review. C.W. Driver has compiled GMP #2 which includes the lowest bid from Borne[ Construction ($6,637,858), the relocation fiber optic cable that was discovered during Newport Beach Civic Center Project Parking Structure, GMP Phase 2 September 14, 2010 Page 4 the grading operation ($42,630) and incidental work items for a total of $6,721,558. A breakdown of the project components is listed in exhibit A. Subsequent GMP phases will include a third phase for the City Hall, library expansion, and park improvements. Upon City Council approval, Bomel will complete parking structure plans and specifications; submit and obtain a building permit; and construct the parking structure. Direct Expenses. The third component is the Direct Expenses which include the direct costs for bond premiums; field office expenses such as equipment and supplies; general liability insurance; and additional services as requested by the City. Direct expenses will include known costs and allowances for variable items. The Direct Expenses for the Parking Structure Design Assist and Construction Phase (GMP #2) total $137,757 including general liability insurance cost of $64,224 and an allowance for bonds and expenses at $73,533. Construction Management Fee / Profit. The fourth component is the project fees for managing the construction. These construction management fees represent the markup, overhead, and profit. The Basic Services, Direct Expenses, and GMP represent actual costs without any markups, overhead or profit. The rate for the construction management fee is set at 3.25% for the entire project. The maximum construction management fee for this phase of work (GMP #2) is calculated at $231,460. The actual amount paid to C.W. Driver is based upon actual work completed (i.e., the amount could be less if the construction contingency is not spent). More about Contingencies. There are typically two contingencies in a project like this — a "Construction Contingency," for unforeseen changes that arise during actual construction. For the parking structure, this is set at 5% of the bid. There also is an "Owner's Contingency" that the City can use if needed to add elements to the project if it so chose. For the parking structure, this is also set at 5% of the bid. The following chart shows more: Parking Structure Contingencies h y[r�-��i r OW UCtIcISiCltyc Bid Price Bomel $6,721,558 Construction Contingency $350,000 $262,500 75% Owner's Contingency $350,000 $350,000 100% The total cost of the proposed amendment GMP #2, Parking Structure Design Assist/Build is $7,426,854. To provide for potential unforeseen costs, staff recommends that a contingency of $350,000 (5%) be established. Unforeseen costs may include delay and recovery costs should we discover changed foundation conditions and delays due to environmental or weather conditions. Staff also proposes that any adjustments to the CM@R contract compensation be authorized by the Public Works Director and City Manager with concurrence by the City Council Building Committee. With the approval of GMP #2, the total cost allocated to the project to date Newport Beach Civic Center Project Parking Structure, GMP Phase 2 September 14, 2010 Page 5 is $23,067,227. The following chart lists the various components of the project costs including construction and owner's contingencies. r Co s ctt�o� ana e7 -tet isk'Costsrto date ATronts_ General Conditions/Basic Services (for all phases of the Project) $ 7,169,255 GMP #1 -Mass Excavation & Shoring Construction includes 8% construction contingency) 6,726,574 Direct Expenses (GMP #1) 265,412 Construction Management Fee (GMP #1) 456,133 Subtotal $7,448,119 Owner's Contingency GMP #1 (10%) 673,000 GMP#1, Subtotal $8,121,119 GMP #2 Parking Structure Design Assist/Build (includes 5% construction contin enc $7,057,636 Direct Expenses (GMP #2) 137,757 Construction Management Fee (GMP #2) 231,460 Subtotal $7,426,853 Owner's Contingency GMP #2 (5%) 350,000 GMP #2, Subtotal $7,776,853 Project Total to date $23,067,227 ENVIRONMENTAL REVIEW: CM@R services are not projects as defined in the California Environmental Quality Act (CEQA) Implementing Guidelines. An EIR for the Newport Beach Civic Center Project was certified by City Council in November 2009. Newport Beach Civic Center Project Parking Structure, GMP Phase 2 September 14, 2010 Page 6 FUNDING AVAILABILITY: With the approval of the recommended budget amendment in the amount of $7,776,853 sufficient funds are available in the following account: Account Description Newport Beach Civic Center Submitted by: kz." � I -Q - 6t-6 � ' Stephen d. Badum Public Works Director Account Number Amount 7410-C1002009 $ 7,776,853 Attachments: Amendment to PSA with C.W. Driver, including work scope, schedule and fee exhibits CM@R contract with C.W. Driver— GMP Breakdown Budget Amendment The GMP, City, and CW Driver September 14, 2010 Newport Beach City Council When the Public Sector Builds Our Approach/Principles: I. Cities don't build projects like this often —many private sector companies do. 2. Hire a private company, through a competitive bidding process. 3. Make them part of the design and do constructability analysis/value engineering from the start. 4. Assign the risk (and some reward) to them. -#725-09/14/2010 1 Three Models e Design then Build —Two or More Contracts o Independent architect designs project o Project put to bid to construction company (handles all sub -trade bids) • Advantage — common -place, relatively simple. • Disadvantage — subcontract detail remains unknown to the public agency. Folks in NB have been concerned about this in the past, with Edison and UUDs. Three Models, continued ® Design -Build — One Contract • Design and construction put out to bid. e One company handles design contract and construction sub -trade bids. Advantage — also commonplace, even simpler than Design then Build. Disadvantage — subcontract detail remains unknown to the public agency. Folks in NB have been concerned about this in the past, with Edison and UUDs. 09/14/2010 2 Three Models, continued • Construction Manager at Risk (CM@R) I. Construction Manager (CM) hired early to work with owner and architect 2. CM promises project delivery at a set price within a contract called a Guaranteed Maximum Price (GMP) contract: • Typically executed when 100% CD plan set complete and; After opening and "normalizing" (making sure the bidders didn't make any errors) sealed sub -trade bids More about CM at Risk • Construction Manager @ Risk (CM@R) — cont'd 3. Within GMP, CM usually gets a set profit / %-age (typically 3 to 7% of total project cost) plus an incentive to bring the project on time & under budget - Incentive = share of unspent construction contingency usually 25 to 50% - Penalty = CM responsible for all costs over agreed-upon guaranteed maximum price 09/14/2010 3 About this CM at Risk Contractor • In 2008: • City issued an RFQ for construction services. 24 firms responded • Seven (7) firms were interviewed by staff and a Council Committee using a Qualification -Based Selection (QBS) process . The seven were: Barnhart, Inc, (Heery Intl.), C.W. Driver Gafcon, Inc. Griffin structures, Inc. Pinnacle One (Arcadis Co.) Traker Development • Voit Development • CW Driver was ranked as the top firm and then hired at a City Council Meeting Oanuary 13, 2009). Driver's contract was a part of the staff report. QBS v Lowy Bid • Qualification Based Selection (QBS) • Required for specialized services, like engineering, design, construction management. • Firm selected based on qualifications. • Prices can be negotiated. Price may not be the determinate factor. • Lowest Responsible Bidder • Required for public works projects — construction, street repair, etc. • Company selected based on lowest responsible bid. • Price is as submitted / no negotiation. 09/14/2010 4 About this Contract e Term = 2 '/2Years e GMP Contract includes 4 major components: 1. Direct Costs — actual costs for insurance and bonding ($403,169 to date for amendments I & 2) About this Contract Contd. 2. General Conditions/Basic Services • $7,169,255 (not-to-exceed)over 30 months. • Includes all staffing (superintendent, inspection, support), trailers, fencing, traffic control, stormwater control, restrooms, computers, telephone, more. • NO PROFIT built into these numbers. 3. Construction Management Fee (Profit) CW Driver receives 3.25% profit on all actual costs for completed construction and basic services performed. 09/14/2010 5 09/14/2010 About this Contract Contd. 4. Actual Cost of Construction Work (sub -trade bids) • I "Amendment= mass excavation & shoring wall ($6.73M): • 8% construction contingency (included in $6.73M) • Any savings of construction contingency split 75% City, 25% Driver. • 2ndAmendment = parking structure ($7,057,636) • 5% construction contingency (included in $7.06M) • Any savings of construction contingency split 75% City, 25% Driver. • 3rd (and Subsequent) Amendments • AmountTBD —based upon actual sub -trade bids, opened in public, for remainder of Civic Center Project (Jan. 2011). • Will also assume construction contingency with same split. About this Contract Contd. Not included in GMP Contract: 1. Owners Contingency - if unused, 100% goes to City. - For Mass Ex — 10% (about $630,000) - For Parking Structure — 5% (about $350,000) Contractor EXAMPLE: A Long -Awaited Home Remodel —Construction Costs Yourxom<-T,W, W0 9[hn rw.n2[om=w.va�isaa x•,c. ;,Jw,iv rnm�✓n,vtsr = v.wa- 1.laa u<ttrak...Jao. rn Oedlna UA]J-IV v,irtn(pur.;o=s.Jaa+ssa Cmn.CerL:RCY-55.Ji] Otmei �Centln(entV `1JIi[r e5.9a] YOW [OnI[Mm', dlt[t CW, u Umbe:Ex 4rte. S • SG�0.em 46pa=1fpI1 JJ WCT ICYeCtav]` S6.OS ida Th<[M4u1 C 'X[:[Cc:f j=SSiej o yr [:nno-^znn�e�nn[[ e Vi IM {a51.1501 09/14/2010 09/14/2010 YouraEidgnate Eallmated Nandfoau(bsed on adualblds) 5 64000 EadmatedCamuunlan Co ndngen,(pert.ntage varies by trade) 5 5,000 Esdmatad grcct Uvu $ 7.000 btlma[edProflt I., Cnntractor(3.n%of..u.1 Adone) 5 21470 Fslimated_Nelalned COnatmcd.o Conlingeocy $ rsOmrted Own.esContingency(IVA o1 Work Bone&1omfe) 6.900 tt++5 Y. o, Stating Woonesl$ VD hen. ,P.` egt:rs Lao Anml Work Done _ -Subuatlei 5 64,000 -Comtrec..cor;l[rgenq(.on. [pentgreatmnmetorl) 5 - Subla[alAc[uOlWork Done 5 - &.000 BI1e0Co111 - Genera10enfl dons(fe.d,. etc) 5 5.00 Bend] ng. Insurance $ 1,000 Submsalokal Cosb' 5 6,015 COMM.,', Preflt .On A eo.f vV9,gon0(3.25%) $ _;000 On Dlien Cnsts iapo3.25%1 5 195 ConVMoiz SFare of Unspent UnstmNpn Cantingenry ilslL) 5 _1.150 Total-[OnOaaar's Pmfii andlncenLF+r_$ 3,515 Amount In Cana_. (Subo.des a Pmflt• 1.oM[_) 5 13,540 R, W.. d Cono.Oon Cannnger 5 3,150 Retained Owneh C.Un,.m(none spent great cwtrolp 5 61900 P[OI.R Coot M Prolea COTpletlO.[_$®�^13,$i0 • Conan.,. more is IZO) br wring condngmq Wn Ode... n,,. I( more .tdd.re used (OrdY wouldom 3161.50) EXAMPLE: The Civic Center Project —Construction Costs �.._... fiL M M9 kl d(,�udl�[g�g Park '� Cert[i1�m�5o0inPar�>ilf y 6�Cond suaainn<�p3� �y7�v (CC°"!u L°S ek �-� P i o r % �1 J a- l • � R>•3�1F1 ca I I 4 S• rt t i� 'yxt� 8��1i 3131 a, i � I 1 � � i �� rt ( �—ti• I ,} e < I orvDgaeemed2e ��_: wt61 NL CM<e-iMefiJRI(e[ L\V IbNeM1 l4e[[(eW 1M1e QA[I WA LmtM aurhlSaV[ire�SiBr: S33JP G4�Cm+ve:Om!me OPfY Lms[:�-[[[%rO1L•tl%: Ury iJ �?] Ida: en•4pm'er[n�3]_'.r p'v[n:[Caw a y.-•- Ofrnxnm[[. M+rir ar yir :'J p\[mplYawM Sk'[rn LumlG+. nO'i[[1.4wo(:c13:>s Lesisi<- eWy:y(L CO":In$rnof N.n ^11MGInI V/[g�3d.3M�e[Opa r'meC le[:fetl Yrery [vwu[ven[u1MLet:Y SO% Suboal pret,Laea •.Y•F rc[. bee [rv•r l[SOUx. a;3S[ J SUGsal iraoe:v513.]`A�rta bk![tltleE 5].SedM1lnan. l'urmr[b G[ relit Mr([SLIa<, Can:v.fon]n[enry•i6rOrt\rter[b!e [d: e! •tl°=d Mrn[i [(Y..v.L Y�Lwendrs1.013 m.IH3N / GMP Contract Grows OverTime as Construction Elements Added 100 - ---- --- 1 90 80 19 City Office Building 70 0 North Park Central 60 ' Park 50 i ® Library Expansion 40 30 -� o Parking Structure 20 20 ® Mass Ex & Shoring Wall 10-r— .ss� 0 m General Conditions In April In May By By Early 2010 2010 September 2011 2010 Similarities — Home, Civic Center Yes, the contract amount grows over time as subtrade bids are added to it. • It's supposed to do that. • Profit remains 3.25% of actual work done. Profit v. Saving Construction Contingency. Just like the home example, there is more reward to the construction manager to save construction contingency than to spend it all and make profit. 09/14/2010 9 Questions Raised • "What is C.W. Driver making?" • They will make a 3.25% profit over actual opened public bids, actual work completed, and General Conditions. • Their "General Conditions" payments are made monthly (not to exceed $7.169M) and reflect the actual cost of managing the Project (actual costs, no profit — about 30 months) — includes: Staffing (superintendent, inspection, support), trailers. fencing, traffic control, stormwater control, restrooms, computers, telephone, more. • They get 25% of unused Construction Contingency. • City gets 75% of unused Construction Contingency and 100% of unused Owner's Contingency. • CW Driver has risks, too: They must deliver on time and on budget. CW Driver is responsible for cost overruns (costs exceeding GMP) Issues Raised (cont'd) ® "Has this been an open & public process?" o Yes. • Contractors prequalified using State -approved process. • All contracts competitively bid with City oversight — opened by City Clerk. • Monthly billings show actual costs and charges on a time and materials basis. • All C.W. Driver and City project records are public (on the City's website) and available for review. 09/14/2010 10 Questions Raised (cont'd) Are there more affordable project managers? • Going profit rate is 3% to 7%.This is 3.25% o Incentive = 25% of construction contingency. Often 30-35% goes to construction manager. o Will always be firms offering to undercut competition. Qualifications and expertise prevail. • Laguna Niguel's contract with CW Driver is a different style — called Multiple Prime — as such: • City of LN retains risks of cost overruns • Much less complex site - GCs are 4% of project costs • Profit is 1.75% of project costs 09/14/2010 11