HomeMy WebLinkAboutCDC/2009-64
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RESOLUTION NO. CDC/2009-64
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING
THE INTERIM EXECUTIVE DIRECTOR OF THE REDEVELOPMENT
AGENCY OF THE CITY OF SAN BERNARDINO ("AGENCY") TO
EXECUTE A PROFESSIONAL SERVICES AGREEMENT BY AND
BETWEEN THE AGENCY AND DEL RICHARDSON AND ASSOCIATES,
INC., FOR ACQUISITION SERVICES (19'h AND SUNRISE PROJECT)
7 WHEREAS, the Redevelopment Agency of the City of San Bernardino (the "Agency") has
8 identified up to 35 privately owned four-plex residential properties, one single-family home and up
9 to 10 vacant residentially zoned parcels ("Residential Properties") that contain approximately 141
10 housing units within the area consisting of the Project; and
11 WHEREAS, it is the intent of the Agency to initiate the acquisition of the Residential
12 Properties in order to redevelop the site to include affordable housing consisting of for-sale single-
13 family residential units and the possibility of a separate senior housing facility; and
14 WHEREAS, it is the intention of the Agency to contract acquisition services under the
15 Project to a professional services organization specializing in residential real estate transactions that
16 has experience working with local redevelopment agencies and their funding sources including Low
17 and Moderate Income Housing Set Aside Funds and Neighborhood Stabilization Funds; and
18 WHEREAS, Del Richardson and Associates, Inc. (the "Consultant"), has numerous years
19 of experience and expertise in all areas of property acquisition, relocation and replacement housing
20 plan preparation, relocation services, property management and demolition procurement services in
21 accordance with the Uniform Relocation and Real Property Acquisition Policies and the State of
22 California Housing and Community Development Guidelines (California Code of Regulations,
23 Title 25); and
24 WHEREAS, the Agency wishes to engage the services of the Consultant to carryout the
25 Agency's acquisition strategy under the Project.
26 NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION OF THE
27 CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS
28 FOLLOWS:
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CDC/2009-64
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Section 1.
The Commission hereby approves the Agreement by and between the
2 Agency and the Consultant in the form as attached hereto and as presented to the Commission upon
3 adoption of this Resolution, and the Commission hereby authorizes the Interim Executive Director
4 of the Agency to execute the Agreement on behalf of the Agency together with such technical and
5 conforming changes as may be recommended by the Interim Executive Director of the Agency and
6 approved by the Agency Counsel.
The Resolution shall become effective immediately upon its adoption.
7 Section 2.
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CDC/2009-64
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RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF SAN BERNARDINO APPROVING AND AUTHORIZING
THE INTERIM EXECUTIVE DIRECTOR OF THE REDEVELOPMENT
AGENCY OF THE CITY OF SAN BERNARDINO ("AGENCY") TO
EXECUTE A PROFESSIONAL SERVICES AGREEMENT BY AND
BETWEEN THE AGENCY AND DEL RICHARDSON AND ASSOCIATES,
INC., FOR ACQUISITION SERVICES (19th AND SUNRISE PROJECT)
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Community
Development Commission of the City of San Bernardino at a j oint regular
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meeting
~
Secretary --- --
18 't~
The foregoing Resolution is hereby approved this ~ day of November
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,2009.
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CDC/2009-64
DEL RICHARDSON AND ASSOCIATES, INC.
PROFESSIONAL SERVICES AGREEMENT
FOR
ACQUISITIONS SERVICES
This Professional Services Agreement (this "Agreement") is made and entered into as of
November 16, 2009 by and between the Redevelopment Agency of the City of San Bernardino (the
"Agency"), a public body, corporate and politic and Del Richardson and Associates, Inc., a California
corporation (the "Consultant").
RECITALS
WHEREAS, it is anticipated that as a result of residential acquisition activities associated with its
Neighborhood Stabilization Program ("NSP"), the Agency will be acquiring several properties
constituting the 19th and Sumise Project (the "Project") initially approved by the Mayor and Common
Council of the City of San Bernardino on July 20, 2009; and
WHEREAS, it is the intention of the Agency to contract acquisition services under the Project to
a professional services organization specializing in residential real estate transactions that has experience
working with local redevelopment agencies and their funding sources, including Low and Moderate
Income Housing Set Aside Funds and Neighborhood Stabilization Funds; and
WHEREAS, Del Richardson and Associates, Inc. CORA" or "Consultant"), has numerous years
of experience and expertise in all areas of property acquisition, relocation and replacement housing plan
preparation, relocation services, property management and demolition procurement services in
accordance with the Uniform Relocation and Real Property Acquisition Policies and the State of
California Housing and Community Development Guidelines (California Code of Regulations, Title 25);
and
WHEREAS, the Agency wishes to engage the services of the Consultant to carry-out the
Agency's acquisition strategy under the Project and pursuant to the terms of this Agreement.
NOW, THEREFORE, in consideration of mutual covenants set forth herein and the mutual
benefits to be derived therefrom, the parties agree to enter into this Agreement as follows:
1. TERM.
This Agreement shall commence as of the day and year first written above and shall remain in full
force and effect for a period of two (2) years (See Exhibit "A" for further time frames to perform
the Scope of Services).
2. CONSULTANT RESPONSIBILITIES.
The Consultant shall perform each element of the work described in the Scope of Services
attached hereto as Exhibit "A", and within the times specified herein and in the Scope of Services.
The Consultant commits the principal personnel listed below to the Scope of Services:
Acquisition Consultant:
Del Richardson
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3. AGENCY RESPONSIBILITIES.
The Agency shall provide the Consultant with any documentation, records, reports, statistics or
other data or information pertinent to the Scope of Services, which is reasonably available to the
Agency, and necessary to complete assignments.
4. CONFIDENTIALITY OF REPORTS.
The Consultant shall keep confidential all reports, information and data received, prepared or
assembled pursuant to performance hereunder. Such information shall not be made available to
any person, news release, firm, corporation, or entity without prior written consent of the Interim
Executive Director of the Agency or his/her designee.
5. COMPENSATION.
The maximum compensation for all Consultant's services, including Consultant's costs, expenses
and travel time or travel expenses, shall not exceed One Hundred Eight Thousand Five Hundred
Dollars ($108,500) for Acquisition Services that include eighteen (18) or up to thirty-five (35)
four-plexes for a Consultant fee not to exceed ($84,000), ten (10) unimproved parcels (for a
Consultant fee not to exceed $22,200) and one (1) single-family residence (for a Consultant fee
not to exceed $2,300). However, the total compensation of this Agreement shall be adjusted
downward should (i) the Agency not acquire title to the properties referenced in this Agreement,
or (ii) the Agency directly acquires any property without the intervention ofDRA.
6. USE OF FUNDS.
The funds paid to the Consultant shall be used solely for the purpose as set forth in this Agreement
and in accordance with the Scope of Services. The Consultant shall remain in compliance with all
state, federal and local laws prior to the receipt of any reimbursement hereunder.
7. NONDISCRIMINATION: MONITORING AND REPORTING WORK PERFORMANCE.
The Consultant shall not discriminate because of race, color, national origin, creed, religion, sex,
marital status, or physical handicap. At the request of the Interim Executive Director of the
Agency or his/her designee, the Consultant shall provide reports, graphics, or other work products.
Failure to provide such work products may prevent payment of the Consultant's requests for
compensation, and may justifY the temporary withholding as provided herein. The Agency
reserves the right to waive such breach, without prejudice to any other of its rights hereunder,
upon a finding by the Interim Executive Director of the Agency or his/her designee that such
failure was due to extraordinary circumstances and that such breach has been timely cured without
prejudice to the Agency.
8. CONFLICT OF INTEREST.
The Consultant shall maintain a code or standard of conduct. The Consultant shall neither solicit
nor accept gratuities, favors, or anything of monetary value for work completed under the Scope
of Services. To the extent permissible by state laws, rules and regulations, the standards adopted
by the Consultant shall provide for penalties, sanctions, or other disciplinary actions to be applied
for violations of such standards by the Consultant.
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9. INDEPENDENT CONTRACTOR.
The Consultant shall perform each element of the work set forth in the Scope of Services as an
independent contractor and shall not be considered an employee of the Agency. This Agreement
is by and between the Consultant and the Agency, and is not intended, and shall not be construed
to create the relationship of agent, servant, employee, partnership, joint ventnre, or association,
between the Agency and the Consultant.
10. SUCCESSOR AND ASSIGNMENT.
The services as contained herein are to be rendered by the Consultant whose name is as appears
first above written and said Consultant shall not assign nor transfer any interest in this Agreement
without the prior written consent of the Agency.
II. INDEMNIFICATION.
The Consultant agrees to indemnifY, defend and hold harmless the Agency and the City, their
agents, officers and employees from and against all liability, expense, including defense costs and
legal fees, and claims for damages of any natnre whatsoever, including, but not limited to, bodily
injnry, death, personal injury or property damage arising from or connected with the Consultant's
operations, or its services hereunder, including workers' compensation suit, liability or expense,
arising from or connected with the services performed by or on behalf of the Consultant pnrsuant
to this Agreement. The costs, salary, and expenses of the Agency's legal counsel in enforcing this
Agreement on behalf of the Agency shall be considered as "legal fees" for the purpose of this
Section.
12. INSURANCE.
The Consultant shall maintain msnrance policies issued by an insnrance company or
companies authorized to do business in the State of California and must maintain, dnring the
term of the policy, a "General Policyholder's Rating" of at least A(v), as set forth in the then
most current edition of 11 Best' s Insurance Guide," as follows:
Automobile Insurance. The Consultant and each of its subcontractors shall maintain
comprehensive automobile liability insurance of not less than One Million Dollars ($1,000,000)
combined single limit per occurrence for all vehicles leased or owned by the Consultant or its
subcontractors and used in completing the work required under this Agreement.
Comprehensive General Liabilitv and Automobile Insurance. The Consultant shall maintain
comprehensive general liability and automobile liability insnrance with a combined single limit of
not less than One Million Dollars ($1,000,000) per occurrence.
Worker's Compensation Insnrance. The Consultant and each of its subcontractors shall maintain
worker's compensation coverage in accordance with California workers' compensation laws for all
workers under the Consultant's and/or subcontractor's employment performing work under this
Agreement.
Concnrrent with the execution of this Agreement and prior to the commencement of any work by
the Consultant, the Consultant shall deliver to the Agency certificates evidencing the existence of
the insnrance coverage required herein, which coverage shall remain in full force and effect
continuously throughout the term of this Agreement. Each policy of insnrance that the Consultant
pnrchases in satisfaction of the insnrance requirements of this Agreement shall name the Agency,
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its officials, officers, employees, attorneys, representatives and agents as additional insured and
shall provide that the policy may not be cancelled, terminated or modified, except upon thirty (30)
days prior written notice to the Agency.
13. COMPLIANCE WITH LAWS.
The parties agree to be bound by applicable federal, state, and local laws, regulations and
directives as they pertain to the performance of this Agreement.
14. SEVERABILITY.
In the event that any provision herein contained is held to be invalid, void or illegal by any court
of competent jurisdiction, the same shall be deemed severable from the remainder of this
Agreement and shall in no way affect, impair, or invalidate any other provision contained herein.
If any such provision shall be deemed invalid due to its scope of breadth, such provision shall be
deemed valid to the extent of the scope or breadth permitted by law.
15. INTERPRETATION.
No provision of this Agreement is to be interpreted for or against either party because that party or
that party's legal representative drafted such provision, but this Agreement is to be construed as if
it were drafted by both parties hereto.
16. ENTIRE AGREEMENT.
This Agreement supersedes any and all other agreements, either oral or in writing, between the
parties hereto with respect to the retention of the Consultant by the Agency and contains all the
covenants and agreements between the parties with respect to such retention.
17. WAIVER.
No breach of any provision hereof can be waived unless in writing. Waiver of anyone (I) breach
of any provision shall not be deemed to be a waiver of any other breach of the same of any other
provision hereof.
18. CONTRACT EV ALVA TION AND REVIEW.
The on-going assessment and monitoring of this Agreement is the responsibility of the Interim
Executive Director of the Agency or his/her designee.
19. TERMINATION.
This Agreement may be terminated for the convenience of either party by giving written notice of
at least thirty (30) days.
20. NOTICE.
Notices herein shall be presented in person or by certified or registered United States mail, as
follows:
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CDC/2009-64
To the Consultant: Del Richardson and Associates, Inc.
Attention: Del Richardson
510 South La Brea Avenue
Inglewood, California 90301
Phone: (310) 645-3729
Fax: (310) 645-3355
To the Agency: Redevelopment Agency of the City of San Bernardino
Attention: Emil A. Marzullo, Interim Executive Director
201 North "E" Street, Suite 301
San Bernardino, California 92401
Phone: (909) 663-1044
Fax: (909) 663-2294
Nothing in this paragraph shall be construed to prevent the giving of notice by personal service.
21. BUSINESS REGISTRATION CERTIFICATE.
The Consultant warrants that it possesses, or shall obtain immediately after the execution and
delivery of this Agreement, and maintain during the period of time that this Agreement is in effect,
a business registration certificate pursuant to Title 5 of the City of San Bernardino Municipal
Code, together with any and all other licenses, permits, qualifications, insurance and approvals of
whatever nature that are legally required to be maintained by the Consultant to conduct its
business activities within the City.
22. ENTIRE AGREEMENT.
This Agreement, with Exhibit "A" constitutes the entire understanding and agreement of the
parties.
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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed the day
and year first written above.
AGENCY
Redevelopment Agency of the City of San Bernardino,
a public body, corporate and politic
Date: j);) d- / n(j 9
Emil A. Marzullo, Interim Executive Director
Approved as to Form and Legal Content:
BY:\~
Agency COUllS
CONSULTANT
Del Richardson and Associates, Inc.,
a California co
Date:
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EXHIBIT "A"
Project and Scope of Services
Project Understanding
The Agency requires the services of an acquisition consultant to assist in the acquisition of up to thirty-
five (35) four-plexes, one (1) single-family residence and up to ten (10) vacant lots. The project has been
identified as the 19th and Suurise Project (the "Project").
Project Management
Consultant's Project Manager will meet with Agency Staff ("Staff') for a project "kick-off meeting" to
review and confirm the Agency's requirements for the requested services.
Consultant will focus on the critical path schedule milestones and will also discuss the Agency's
requirements as to the day-to-day coordination with Staff and governing authorities. Discussions will
include progress reporting, deliverables, document preparation and file format.
Upon Agency authorization, Consultant shall complete a proposed property acquisition timeline within
thirty (30) days of such authorization.
ACOUISITION TASK
As part of the preparation for the acquisition processes, staff of the Consultant shall prepare separate
individual files for the acquisition functions. Typically, data such as the preliminary title report,
assessor's information, parcel maps and the offer letter are copied and placed in both the acquisition and
the relocation files for reference. The acquisition file will contain all communications directly related to
negotiations for purchasing that property; diaries of the contacts and telephone conversations, other
related documentation, releases, deeds and the final escrow package, with a check-off list of items
contained therein. Furthermore, the Consultant shall be required to provide information to the Agency
approved Relocation Consultant as needed for the furtherance of the Project.
ACQUISITION TASKS
1. Request fee proposals from sub-consultants for each Work Order. Prepare Work Orders in
cooperation with Agency representative and submit to Agency for approval. Work Order should be
sufficient to cover all necessary and required tasks per contract and Scope of Work. All sub-
consultant's proposals should state a "Not to Exceed" cost, timeframes, work scope, and exemption
items.
2. With Agency approval/coordination, send necessary Project notices. Assure that necessary
information is included in these notices (Title VI, Right to Accompany Appraiser). Introduction of
the Consultant can be included in these notices as well.
3. Review title and appraisal reports, environmental assessments and other documents provided by the
Agency. Caution will be taken to observe errors in any of the supplied documentation, and to
immediately report any situation which might cause further problems to the title companies,
appraisers and the Agency, if necessary, then take and/or recommend appropriate action as
required. Furthermore, all reports must meet requirements of funding source or the applicable
regulatory agency.
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4. A specific review of the title report will be performed as soon as possible after receipt. Items such
as liens against the property, unpaid taxes, easements (outside of standard utilities), mortgages
(usually reflected in a Deed of Trust) and any mineral rights that have been transferred (especially
if such rights have surface entry rights). A title review form shall be prepared to discuss these
items with Agency Staff and the information discovered during the research.
5. Prepare individual acquisition files for the property owners. Files should contain: the title report,
the title review form, notices to owners, project information, legal and plats of the take area,
appraisal information, contact information, any other pertinent information.
6. Prepare offer packages based on Just Compensation values, following the Agency's format. Work
closely with the Agency representative in regard to time schedules. Packages must include all
necessary components per policies and procedures of Agency of funding source (i.e., Local, State
or Federal).
7. Set appointments to personally present offers whenever possible, unless an owner is out of state or
chooses otherwise. In those cases, the offers to purchase will be discussed on the telephone and
then sent via certified mail.
8. At least four (4) documented contacts, or ten (10) or more attempted contacts, with the owner will
be made, if necessary, to complete negotiations and to obtain the owner's signature of acceptance.
The Consultant shall explain the appraisal, answer questions which can be answered readily, write
down concerns and questions which require further information. The Consultant shall quantifY
possible settlements with owners, but not commit to any arrangements without prior approval. The
Agency representative will be kept informed and will authorize responses and/or settlements. All
negotiations shall be conducted in compliance with Agency guidelines.
9. Diaries will be maintained in each file, recording all contacts, attempted contacts and discussions
with owners and other parties related to that particular transaction. Diary entries will be of
sufficient detail to inform the reader of all activities, concerns, questions and possible solutions.
10. All efforts shall be made to reach settlements, or at least encourage a response or counter offer
from the property owner. Settlements will be based on Agency authority and must have proper
justification. The settlement or counter offer shall be reviewed and researched by the Consultant.
A written recommendation will be sent to the Agency for review and approval/comment/rejection.
Sometimes, updated appraisal reports will be necessary to justify a settlement.
II. After an acceptance is received, copies shall be made for the file and signor, while the originals
shall be sent with a transmittal to the Agency for approval and signature. When the originals are
fully executed, the agent shall pick them up and make two copies (one for the file, one for the
seller). The escrow officer shall be contacted and the originals shall be delivered with a transmittal
and proper escrow instructions.
12. Escrows shall be opened as offers are accepted. The Consultant shall coordinate with escrow
officer to assure the required releases (mortgagors, lien holders, leasehold interests, spouse
interests, etc.) are obtained. Staff of the Consultant shall prepare payment requests (based on
estimated closing costs) for the parcel to close escrow, coordinating with the Agency
representative. After close of escrow, a final closing statement shall be issued by the escrow
company. The Consultant shall review the final statement to confirm that all monies were
dispersed appropriately and that any refunds were returned to the appropriate parties.
13. Should the governing board of the Agency vote to file an action for the use of the power of eminent
domain, the Consultant will work closely with legal counsel towards settlement. In the event of
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condemnation or settlements, proper justification shall be prepared, a condemnation report will be
requested, and the Consultant shall assist with supplying any additional data required by the
Agency's legal counsel. If necessary, the Consultant shall be prepared to act as witness for a
separate mutually agreed upon fee at the appropriate time.
14. Files shall be closed per the Consultant's standards, including all Agency required documentation.
IS. Closed acquisition files shall be copied, maintained and/or delivered to the Agency for sponsor and
other audit purposes based on the scope of the contract.
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Acquisition Budl!:et
19th and Sunrise Proiect
Acquisition Services Provided Maximum Number of Cases Unit Fee Total
Residential Four-plexes Thirtv-fiye (35) four-plex units $2,400 $84,000
Single-Family Residence One (1) single-family residence $2,300 $2,300
Vacant lots Ten II 0) unimproyed parcels $2,200 $22,200
Total Acquisition Services $108,500
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