HomeMy WebLinkAbout5.721 Original Contract
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LETTER AGREEMENT
SUBJECT: Letter Agreement for Consulting Services on Medic I Cost of Service.
Dear Dan McKeen:
The City of Port Angeles (Client) desires to retain HDR Engineering, Inc. (HDR) for
financial planning services in connection with Medic I Cost of Service. ("Project")
HDR will perform services related to the review ofthe Project for performance with
analytical standards.
Client will pay for HDR's services, after completion, as follows: A one time lump sum
invoice not to exceed One Thousand Five Hundred Dollars ($1500). Said invoice shall
be paid within 30 days of receipt.
All services will be performed in accordance with generally accepted standards of
professional care and in compliance with all applicable laws and regulations governed by
the state of Washington.
Client will indemnify, defend and hold HDR harmless from claims and losses arising out
of the negligent performance of client's services.
The terms ofthis letter, along with the standard terms and conditions attached, represent
the entire understanding between The City and HDR concerning our services on the
Project. This agreement may only be modified in writing, subject to authorization by
approval by both parties.
If the terms of this agreement are acceptable, please sign this letter in the space provided
below and return it to me.
Very truly yours,
HDR Engineering, Inc.
By: Nu,r-4,4r -
Title: V"l ~ - P.re.5:dP-...v+
This Agreement is accepted this
13 day of April
,2005 .
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HDR Engineering, Inc.
Terms and Conditions for Professional Services
1. STANDARD OF PERFORMANCE
The standard of care for all professional engineering, consulting
and related services performed or fumlshed by ENGINEER and
Its employees under this Agreement will be the care and skill
ordlnanly used by members of ENGINEER's profession
practicing under the same or similar circumstances at the same
time and in the same locality. ENGINEER makes no warranties,
express or implied, under this Agreement or othelWlse, In
connection WIth ENGINEER's services.
2. INSURANCE
ENGINEER agrees to procure and maintain, at Its expense,
Workers' Compensation Insurance as required by statute,
Employer's liability of $250,000, Automobile Liability Insurance of
$1,000,000 combined single limit for bodily injury and property
damage covenng all vehicles, including hired vehicles, owned and
non-owned vehicles; Commercial General Liability Insurance of
$1,000,000 combined single limit for personal injUry and property
damage; and ProfeSSional Liability Insurance of $1,000,000 per
claim for protection against claims arising out of the performance
of services under thiS Agreement caused by negligent acts,
errors, or omissions for which ENGINEER is legally liable. Upon
request, OWNER shall be made an additional Insured on
Commercial General and Automobile Liability Insurance policies
and certificates of Insurance will be fumished to the OWNER.
ENGINEER agrees to indemnify OWNER for the claims covered
by ENGINEER's insurance.
3. OPINIONS OF PROBABLE COST (COST ESTIMATES)
Any opinions of probable project cost or probable construction cost
provided by ENGINEER are made on the baSIS of information
available to ENGINEER and on the basis of ENGINEER's
experience and qualifications, and represents ItS judgment as an
experienced and qualified professional engineer. However, since
ENGINEER has no control over the cost of labor, materials,
equipment or services fumished by others, or over the
contractor(s') methods of determining prices, or over compellllve
bidding or market conditions, ENGINEER does not guarantee that
proposals, bids or actual project or construction cost WIll not vary
from opinions of probable cost ENGINEER prepares
4. CONSTRUCTION PROCEDURES
ENGINEER's observation or monitoring portions of the work
performed under construction contracts shall not relieve the
contractor from ItS responsibility for performing work In accordance
with applicable contract documents. ENGINEER shall not control
or have charge of, and shall not be responSible for, construction
means, methods, techniques, sequences, procedures of
construction, health or safety programs or precaullons connected
with the work and shall not manage, supervise, control or have
charge of construcllon. ENGINEER shall not be responSible for
the acts or omissions of the contractor or other parties on the
project. ENGINEER shall be entitled to review all construcllon
contract documents and to require that no provisions extend the
dulles or liabilities of ENGINEER beyond those set forth in this
Agreement. OWNER agrees to include ENGINEER as an
indemnified party In OWNER's construction contracts for the work,
which shall protect ENGINEER to the same degree as OWNER.
Further, OWNER agrees that ENGINEER shall be listed as an
additional insured under the construction contractor's liability
insurance poliCies.
5. CONTROLLING LAW
ThiS Agreement IS to be govemed by the law of the state where
ENGINEER's services are performed
6. SERVICES AND INFORMATION
OWNER will provide all criteria and Informallon pertaining to
OWNER's requirements for the project, including deSign objecllves
and constraints, space, capaCity and performance requirements,
fleXibility and expandablllty, and any budgetary limitations.
OWNER WIll also proVide copies of any OWNER-fumlshed
Standard Details, Standard Speclficallons, or Standard Bidding
Documents which are to be Incorporated into the project.
OWNER will fumlsh the services of soils/geotechnical engineers or
other consultants that include reports and appropnate professional
recommendations when such services are deemed necessary by
ENGINEER The OWNER agrees to bear full responsibility for the
technical accuracy and content of OWNER-fumlshed documents
and services.
In performing profeSSional engineering and related services
hereunder, It IS understood by OWNER that ENGINEER is not
engaged in rendering any type of legal, insurance or accounllng
services, opinions or adVice Further, It IS the OWNER's sole
responSibility to obtain the adVice of an attomey, insurance
counselor or accountant to protect the OWNER's legal and
finanCial interests. To that end, the OWNER agrees that OWNER
or the OWNER's representative WIll examine all studies, reports,
sketches, drawings, specifications, proposals and other
documents, opinions or advice prepared or prOVided by
ENGINEER, and WIll obtain the adVice of an attomey, Insurance
counselor or other consultant as the OWNER deems necessary to
protect the OWNER's Interests before OWNER takes action or
forebears to take action based upon or relying upon the services
prOVided by ENGINEER.
7. SUCCESSORS AND ASSIGNS
OWNER and ENGINEER, respectively, bind themselves, their
partners, successors, assigns, and legal representatives to the
covenants of thiS Agreement Neither OWNER nor ENGINEER
WIll assign, sublet, or transfer any Interest In thiS Agreement or
claims arising therefrom Without the WrItten consent of the other.
8. RE-USE OF DOCUMENTS
All documents, Including all reports, draWings, speCifications,
computer software or other items prepared or fumlshed by
ENGINEER pursuant to thiS Agreement, are Instruments of selVlce
WIth respect to the project. ENGINEER retains ownership of all
such documents OWNER may retain copies of the documents for
ItS Information and reference In connection With the project;
however, none of the documents are Intended or represented to be
SUitable for reuse by OWNER or others on extensions of the
project or on any other project. Any reuse Without written
verification or adaptation by ENGINEER for the speCific purpose
Intended will be at OWNER's sole risk and WIthout liability or legal
exposure to ENGINEER, and OWNER Will defend, Indemnify and
hold harmless ENGINEER from all claims, damages, losses and
expenses, including attomey's fees, arising or resulting therefrom.
Any such verification or adaptation WIll entitle ENGINEER to further
compensation at rates to be agreed upon by OWNER and
ENGINEER.
9. TERMINATION OF AGREEMENT
OWNER or ENGINEER may terminate the Agreement, In whole or
in part, by giving seven (7) days WrItten notice, If the other party
substantially fails to fulfill ItS obllgallons under the Agreement
through no fault of the termlnallng party. Where the method of
payment is "lump sum," or cost reimbursement, the final invoice
WIll Include all services and expenses associated With the project
up to the effective date of termlnallon. An eqUitable adjustment
shall also be made to proVIde for termination settlement costs
ENGINEER Incurs as a result of commitments that had become
firm before termination, and for a reasonable profit for services
performed.
10. SEVERABILITY
If any provision of this agreement is held invalid or unenforceable,
the remaining provisions shall be valid and binding upon the
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parties One or more waivers by either party of any provIsion, term
or condition shall not be construed by the other party as a waiver
of any subsequent breach of the same provision, term or
condition
11. INVOICES
ENGINEER Will submit monthly invoices for services rendered
and OWNER Will make prompt payments In response to
ENGINEER's inVOices.
ENGINEER will retain receipts for reimbursable expenses in
general accordance with Internal Revenue Service rules pertaining
to the support of expenditures for income tax purposes Receipts
will be available for Inspection by OWNER's auditors upon
request
If OWNER disputes any items in ENGINEER's InVOice for any
reason, Including the lack of supporting documentation, OWNER
may temporarily delete the disputed item and pay the remaining
amount of the Invoice. OWNER Will promptly notify ENGINEER of
the dispute and request c1anfication and/or correction. After any
dispute has been settled, ENGINEER will Include the disputed
item on a subsequent, regularly scheduled invoice, or on a speCial
invoice for the disputed item only.
OWNER recognizes that late payment of invoices results In extra
expenses for ENGINEER. ENGINEER retains the nght to assess
OWNER Interest at the rate of one percent (1 %) per month, but
not to exceed the maximum rate allowed by law, on inVOices
which are not paid Within forty-five (45) days from the date of the
invoice. In the event undisputed portions of ENGINEER's invoices
are not paid when due, ENGINEER also reserves the right, after
seven (7) days pnor wntten notice, to suspend the performance of
ItS services under this Agreement until all past due amounts have
been paid In full.
12. CHANGES
The parties agree that no change or modification to this
Agreement, or any attachments hereto, shall have any force or
effect unless the change IS reduced to wntlng, dated, and made
part of this Agreement. The execution of the change shall be
authonzed and Signed in the same manner as thiS Agreement.
Adjustments In the period of services and in compensation shall
be In accordance With applicable paragraphs and sections of thiS
Agreement. Any proposed fees by ENGINEER are estimates to
perform the services required to complete the project as
ENGINEER understands It to be defined For those projects
involving conceptual or process development services, activities
often are not fully definable In the initial planning. In any event, as
the project progresses, the facts developed may dictate a change
in the services to be performed, which may alter the scope.
ENGINEER will Inform OWNER of such situations so that
changes In scope and adjustments to the time of performance and
compensation can be made as reqUired If such change,
additional services, or suspension of services results In an
increase or decrease in the cost of or time required for
performance of the services, an eqUitable adjustment shall be
made, and the Agreement modified accordingly
13. CONTROLLING AGREEMENT
These Terms and Conditions shall take precedence over any
Inconsistent or contradictory provisions contained in any proposal,
contract, purchase order, reqUISition, notice-to-proceed, or like
document.
14. EQUAL EMPLOYMENT AND NONDISCRIMINATION
In connection with the services under thiS Agreement, ENGINEER
agrees to comply with the applicable prOVISions of federal and
state Equal Employment OpportUnity, and other employment,
statutes and regulations.
15. HAZARDOUS MATERIALS
OWNER represents to ENGINEER that, to the best of ItS
knowledge, no hazardous materials are present at the project
site However, In the event hazardous matenals are known to be
T errns & Conditions for Professional Services
present, OWNER represents that to the best of ItS knowledge It
has disclosed to ENGINEER the eXistence of all such
hazardous matenals, Including but not limited to asbestos,
PCB's, petroleum, hazardous waste, or radioactive matenal
located at or near the project Site, Including type, quantity and
location of such hazardous materials. It is acknowledged by
both parties that ENGINEER's scope of services do not include
services related In any way to hazardous materials. In the
event ENGINEER or any other party encounters undisclosed
hazardous materials, ENGINEER shall have the obligation to
notify OWNER and, to the extent required by law or regulation,
the appropriate governmental offiCials, and ENGINEER may, at
ItS option and without liability for delay, consequential or any
other damages to OWNER, suspend performance of services
on that portion of the project affected by hazardous matenals
until OWNER: (I) retains appropnate speCialist consultant(s) or
contractor(s) to identify and, as appropriate, abate, remedlate,
or remove the hazardous matenals; and (II) warrants that the
project site is in full compliance with all applicable laws and
regulations. OWNER acknowledges that ENGINEER is
performing profeSSional services for OWNER and that
ENGINEER is not and shall not be required to become an
"arranger," "operator," "generator," or "transporter" of hazardous
materials, as defined In the ComprehenSive EnVIronmental
Response, Compensation, and Liability Act of 1990 (CERCLA),
which are or may be encountered at or near the project site In
connection With ENGINEER's services under this Agreement. If
ENGINEER's services hereunder cannot be performed because
of the eXistence of hazardous materials, ENGINEER shall be
entitled to terminate thiS Agreement for cause on 30 days
written notice To the fullest extent permitted by law, OWNER
shall indemnify and hold harmless ENGINEER, ItS officers,
directors, partners, employees, and subconsultants from and
against all costs, losses, and damages (including but not limited
to all fees and charges of engineers, architects, attorneys, and
other professionals, and all court or arbitration or other dispute
resolution costs) caused by, an sing out of or resulting from
hazardous materials, provided that (i) any such cost, loss, or
damage IS attnbutable to bodily InJUry, sickness, disease, or
death, or injury to or destruction of tangible property (other than
completed Work), including the loss of use resulting therefrom,
and (ii) nothing In thiS paragraph shall obligate OWNER to
indemnify any IndiVidual or entity from and against the
consequences of that individual's or entity's sole negligence or
Willful misconduct.
16. EXECUTION
This Agreement, Including the exhibits and schedules made part
hereof, constitute the entire Agreement between ENGINEER and
OWNER, supersedes and controls over all pnor wntten or oral
understandings ThiS Agreement may be amended,
supplemented or modified only by a wntten Instrument duly
executed by the parties.
17. LIMITATION OF LIABILITY
ENGINEER's and its employees' total liability to OWNER for any
loss or damage, Including but not limited to special and
consequential damages arising out of or in connection with the
performance of services or any other cause, Including
ENGINEER's and its employees' professional negligent acts,
errors, or omiSSions, shall not exceed the greater of $50,000 or
the total compensation received by ENGINEER hereunder, except
as otherwise prOVided under this Agreement, and OWNER hereby
releases and holds harmless ENGINEER and ItS employees from
any liability above such amount
18. LITIGATION SUPPORT
In the event ENGINEER is reqUired to respond to a subpoena,
government InqUiry or other legal process related to the selVlces
in connection with a legal or dispute resolution proceeding to
which ENGINEER is not a party, OWNER shall reimburse
ENGINEER for reasonable costs in responding and compensate
ENGINEER at ItS then standard rates for reasonable time Incurred
in gathering Information and documents and attending
depOSitions, heanngs, and tnal
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