HomeMy WebLinkAbout2005 CON MBIA Muniservices - Report on CDC ConsolidationAGREEMENT
BY AND BETWEEN
THE CITY OF NATIONAL CITY AND
MBIA MUNISERVICES COMPANY
THIS AGREEMENT is entered into this 4th day of October, 2005, by and
between the CITY OF NATIONAL CITY, a municipal corporation (the "CITY"), and
MBIA MuniServices Company, a Delaware Corporation (the "CONTRACTOR").
RECITALS
WHEREAS, the CITY desires to employ a CONTRACTOR to provide a
report outlining the actions which would be required to consolidate the administration of
the Community Development Commission of the City of National City with the
administration of the City of National City, to be under the supervision of the City
Manager.
WHEREAS, the CITY has determined that the CONTRACTOR is a
Consultant and is qualified by experience and ability to perform the services desired by
the CITY, and the CONTRACTOR is willing to perform such services.
NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE
AS FOLLOWS:
1. ENGAGEMENT OF CONTRACTOR. The CITY hereby agrees to
engage the CONTRACTOR and the CONTRACTOR hereby agrees to perform the
services hereinafter set forth in accordance with all terms and conditions contained
herein.
The CONTRACTOR represents that all services required hereunder will
be performed directly by the CONTRACTOR, by CONTRACTOR'S consultants, or
under direct supervision of the CONTRACTOR.
2. SCOPE OF SERVICES. The CONTRACTOR will perform services
as set forth in the attached Exhibit "A".
The CONTRACTOR shall be responsible for all research and reviews
related to the work and (shall not rely on personnel of the CITY for such services, except
as authorized in advance by the CITY. The CONTRACTOR shall appear at meetings
cited in Exhibit "A" to keep staff and City Council advised of the progress on the project.
Upon mutual agreement, the parties may, from time to time, reduce or increase
the Scope of Services to be performed by the CONTRACTOR under this Agreement.
Upon doing so, the CITY and the CONTRACTOR agree to meet in good faith and
confer for the purpose of negotiating a corresponding reduction or increase in the
compensation associated with said change in services, not to exceed a factor of
TBD% from the base amount.
3. PROJECT COORDINATION AND SUPERVISION.
Revised April 2005
3. PROJECT COORDINATION AND SUPERVISION.
Chris Zapata hereby is designated as the Project Coordinator for the CITY
and will monitor the progress and execution of this Agreement. The CONTRACTOR
shall assign a single Project Director to provide supervision and have overall
responsibility for the progress and execution of this Agreement for the CONTRACTOR.
Patricia Nunn thereby is designated as the Project Director for the CONTRACTOR.
4. COMPENSATION AND PAYMENT. The compensation for the
CONTRACTOR shall be based on monthly billings covering actual work performed.
Billings shall include labor classifications, respective rates, hours worked and also
materials, if any. The total cost for all work described in Exhibit "A" shall not exceed the
schedule given in Exhibit "A" (the Base amount) without prior written authorization from
the Project Coordinator. Monthly invoices will be processed for payment and remitted
within thirty (30) days from receipt of invoice, provided that work is accomplished
consistent with Exhibit "A" as determined by the CITY.
The CONTRACTOR shall maintain all books, documents, papers,
employee time sheets, accounting records, and other evidence pertaining to costs
incurred and shall make such materials available at its office at all reasonable times
during the term of this Agreement and for three (3) years from the date of final payment
under this Agreement, for inspection by the CITY and for furnishing of copies to the
CITY, if requested.
5. LENGTH OF AGREEMENT. Completion dates or time durations
for specific portions of the Project are set forth in Exhibit"A".
6. DISPOSITION AND OWNERSHIP OF DOCUMENTS. The
Memoranda, Reports, Maps, Drawings, Plans, Specifications and other documents
prepared by the CONTRACTOR for this Project, whether paper or electronic, shall
become the property of the CITY for use with respect to this Project, and shall be
turned over to the CITY upon completion of the Project, or any phase thereof, as
contemplated by this Agreement.
Contemporaneously with the transfer of documents, the CONTRACTOR
hereby assigns to the CITY and CONTRACTOR thereby expressly waives and
disclaims, any copyright in, and the right to reproduce, all written material, drawings,
plans, specifications or other work prepared under this agreement, except upon the
CITY's prior authorization regarding reproduction, which authorization shall not be
unreasonably withheld. The CONTRACTOR shall, upon request of the CITY, execute
any further document(s) necessary to further effectuate this waiver and disclaimer.
The CONTRACTOR agrees that the CITY may use, reuse, alter,
reproduce, modify, assign, transfer, or in any other way, medium or method utilize the
CONTRACTOR's written work product for the CITY's purposes, and the
CONTRACTOR expressly waives and disclaims any residual rights granted to it by Civil
Code Sections 980 through 989 relating to intellectual property and artistic works.
October 2005
2
Agreement between the City of National City
and MBIA MuniServices Company
Any modification or reuse by the CITY of documents, drawings or
specifications prepared by the CONTRACTOR shall relieve the CONTRACTOR from
liability under Section 14 but only with respect to the effect of the modification or reuse
by the CITY, or for any liability to the CITY should the documents be used by the CITY
for some project other than what was expressly agreed upon within the Scope of this
project, unless otherwise mutually agreed.
7. INDEPENDENT CONTRACTOR. Both parties hereto in the
performance of this Agreement will be acting in an independent capacity and not as
agents, employees, partners or joint venturers with one another. Neither the
CONTRACTOR nor the CONTRACTOR'S employees are employee of the CITY and
are not entitled to any of the rights, benefits, or privileges of the CITY's employees,
including but not limited to retirement, medical, unemployment, or workers'
compensation insurance.
This Agreement contemplates the personal services of the
CONTRACTOR and the CONTRACTOR's employees, and it is recognized by the
parties that a substantial inducement to the CITY for entering into this Agreement was,
and is, the professional reputation and competence of the CONTRACTOR and its
employees. Neither this Agreement nor any interest herein may be assigned by the
CONTRACTOR without the prior written consent of the CITY. Nothing herein contained
is intended to prevent the CONTRACTOR from employing or hiring as many
employees, or subcontractors, as the CONTRACTOR may deem necessary for the
proper and efficient performance of this Agreement. All agreements by CONTRACTOR
with its subcontractor(s) shall require the subcontractor to adhere to the applicable
terms of this Agreement.
8. CONTROL. Neither the CITY nor its officers, agents or employees
shall have any control over the conduct of the CONTRACTOR or any of the
CONTRACTOR's employees except as herein set forth, and the CONTRACTOR
expressly agrees not to represent that the CONTRACTOR or the CONTRACTOR's
agents, servants, or employees are in any manner agents, servants or employees of
the CITY, it being understood that the CONTRACTOR, its agents, servants, and
employees are as to the CITY wholly independent contractors and that the
CONTRACTOR's obligations to the CITY are solely such as are prescribed by this
Agreement.
9. COMPLIANCE WITH APPLICABLE LAW. The CONTRACTOR, in
the performance of the services to be provided herein, shall comply with all applicable
State and Federal statutes and regulations, and all applicable ordinances, rules and
regulations of the City of National City, whether now in force or subsequently enacted.
The CONTRACTOR, and each of its subcontractors, shall obtain and maintain a current
City of National City business license prior to and during performance of any work
pursuant to this Agreement.
October 2005 3 Agreement between the City of National City
and MBIA MuniServices Company
10. LICENSES, PERMITS, ETC. The CONTRACTOR represents and
covenants that it has all licenses, permits, qualifications, and approvals of whatever
nature that are legally required to practice its profession. The CONTRACTOR
represents and covenants that the CONTRACTOR shall, at its sole cost and expense,
keep in effect at all times during the term of this Agreement, any license, permit, or
approval which is legally required for the CONTRACTOR to practice its profession.
11. STANDARD OF CARE.
A. The CONTRACTOR, in performing any services under this
Agreement, shall perform in a manner consistent with that level of care and skill
ordinarily exercised by members of the CONTRACTOR'S trade or profession currently
practicing under similar conditions and in similar locations. The CONTRACTOR shall
take all special precautions necessary to protect the CONTRACTOR's employees and
members of the public from risk of harm arising out of the nature of the work and/or the
conditions of the work site.
B. Unless disclosed in writing prior to the date of this
agreement, the CONTRACTOR warrants to the CITY that it is not now, nor has it for the
five (5) years preceding, been debarred by a governmental agency or involved in
debarment, arbitration or litigation proceedings concerning the CONTRACTOR's
professional performance or the furnishing of materials or services relating thereto.
C. The CONTRACTOR is responsible for identifying any unique
products, treatments, processes or materials whose availability is critical to the success
of the project the CONTRACTOR has been retained to perform, within the time
requirements of the CITY, or, when no time is specified, then within a commercially
reasonable time. Accordingly, unless the CONTRACTOR has notified the CITY
otherwise, the CONTRACTOR warrants that all products, materials, processes or
treatments identified in the project documents prepared for the CITY are reasonably
commercially available. Any failure by the CONTRACTOR to use due diligence under
this sub -paragraph will render the CONTRACTOR liable to the CITY for any increased
costs that result from the CITY's later inability to obtain the specified items or any
reasonable substitute within a price range that allows for project completion in the time
frame specified or, when not specified, then within a commercially reasonable time.
12. NON-DISCRIMINATION PROVISIONS. The CONTRACTOR shall
not discriminate against any employee or applicant for employment because of age,
race, color, ancestry, religion, sex, sexual orientation, marital status, national origin,
physical handicap, or medical condition. The CONTRACTOR will take positive action to
insure that applicants are employed without regard to their age, race, color, ancestry,
religion, sex, sexual orientation, marital status, national origin, physical handicap, or
medical condition. Such action shall include but not be limited to the following:
employment, upgrading, demotion, transfer, recruitment or recruitment advertising,
layoff or termination, rates of pay or other forms of compensation, and selection for
training, including apprenticeship. The CONTRACTOR agrees to post in conspicuous
places available to employees and applicants for employment any notices provided by
the CITY setting forth the provisions of this non-discrimination clause.
October 2005
4
Agreement between the City of National City
and MBIA MuniServices Company
13. CONFIDENTIAL INFORMATION. The CITY may from time to time
communicate to the CONTRACTOR certain confidential information to enable the
CONTRACTOR to effectively perform the services to be provided herein. The
CONTRACTOR shall treat all such information as confidential and shall not disclose
any part thereof without the prior written consent of the CITY. The CONTRACTOR
shall limit the use and circulation of such information, even within its own organization,
to the extent necessary to perform the services to be provided herein. The foregoing
obligation of this Section 13, however, shall not apply to any part of the information that
(i) has been disclosed in publicly available sources of information; (ii) is, through no
fault of the CONTRACTOR, hereafter disclosed in publicly available sources of
information; (iii) is already in the possession of the CONTRACTOR without any
obligation of confidentiality; or (iv) has been or is hereafter rightfully disclosed to the
CONTRACTOR by a third party, but only to the extent that the use or disclosure thereof
has been or is rightfully authorized by that third party.
The CONTRACTOR shall not disclose any reports, recommendations,
conclusions or other results of the services or the existence of the subject matter of this
Agreement without the prior written consent of the CITY. In its performance hereunder,
the CONTRACTOR shall comply with all legal obligations it may now or hereafter have
respecting the information or other property of any other person, firm or corporation.
CONTRACTOR shall be liable to CITY for any damages caused by
breach of this condition, pursuant to the provisions of Section 14.
14. INDEMNIFICATION AND HOLD HARMLESS. The CONTRACTOR
agrees to defend, indemnify, and hold harmless the City of National City, its officers and
employees, against and from any and all liability, Toss, damages to property, injuries to,
or death of any person or persons, and all claims, demands, suits, actions,
proceedings, reasonable attorneys' fees, and defense costs, of any kind or nature,
including workers' compensation claims, of or by anyone whomsoever, resulting from or
arising out of the CONTRACTOR's negligent performance of this Agreement.
15. WORKERS' COMPENSATION. The CONTRACTOR shall comply
with all of the provisions of the Workers' Compensation Insurance and Safety Acts of
the State of California, the applicable provisions of Division 4 and 5 of the California
Government Code and all amendments thereto; and all similar state or Federal acts or
laws applicable; and shall indemnify, and hold harmless the CITY and its officers, and
employees from and against all claims, demands, payments, suits, actions,
proceedings and judgments of every nature and description, including reasonable
attorney's fees and defense costs presented, brought or recovered against the CITY or
its officers, employees, or volunteers, for or on account of any liability under any of said
acts which may be incurred by reason of any work to be performed by the
CONTRACTOR under this Agreement.
October 2005
5
Agreement between the City of National City
and MBIA MuniServices Company
16. INSURANCE. The CONTRACTOR, at its sole cost and expense,
shall purchase and maintain, and shall require its subcontractors, when applicable, to
purchase and maintain throughout the term of this agreement, the following insurance
policies:
® A. If checked, Professional Liability Insurance (errors and omissions)
with minimum limits of $1,000,000 per occurrence.
B. Automobile insurance covering all bodily injury and property
damage incurred during the performance of this Agreement, with a minimum coverage
of $1,000,000 combined single limit per accident. Such automobile insurance shall
include non -owned vehicles.
C. Comprehensive general liability insurance, with minimum limits of
$1,000,000 combined single limit per occurrence, covering all bodily injury and property
damage arising out of its operation under this Agreement.
D. Workers' compensation insurance covering all of CONTRACTOR's
employees.
E. The aforesaid policies shall constitute primary insurance as to the
CITY, its officers, employees, and volunteers, so that any other policies held by the
CITY shall not contribute to any loss under said insurance. Said policies shall provide
for thirty (30) days prior written notice to the CITY of cancellation or material change.
F. Said policies, except for the professional liability and worker's
compensation policies, shall name the CITY and its officers, agents and employees as
additional insureds.
G. If required insurance coverage is provided on a "claims made"
rather than "occurrence" form, the CONTRACTOR shall maintain such insurance
coverage for three years after expiration of the term (and any extensions) of this Agree-
ment.
ment.
H. Any aggregate insurance limits must apply solely to this Agree-
'. Insurance shall be written with only California admitted companies
which hold a current policy holder's alphabetic and financial size category rating of not
less than A VIII according to the current Best's Key Rating Guide, or a company equal
financial stability that is approved by the City's Risk Manager.
J. This Agreement shall not take effect until certificate(s) or other
sufficient proof that these insurance provisions have been complied with, are filed with
and approved by the CITY's Risk Manager. If the CONTRACTOR does not keep all of
such insurance policies in full force and effect at all times during the terms of this
Agreement, the CITY may elect to treat the failure to maintain the requisite insurance
as a breach of this Agreement and terminate the Agreement as provided herein.
17. LEGAL FEES. If any party brings a suit or action against the other
party arising from any breach of any of the covenants or agreements or any
inaccuracies in any of the representations and warranties on the part of the other party
arising out of this Agreement, then in that event, the prevailing party in such action or
dispute, whether by final judgment or out -of -court settlement, shall be entitled to have
and recover of and from the other party all costs and expenses of suit, including
attorneys' fees.
October 2005
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Agreement between the City of National City
and MBIA MuniServices Company
For purposes of determining who is to be considered the prevailing party,
it is stipulated that attorney's fees incurred in the prosecution or defense of the action or
suit shall not be considered in determining the amount of the judgment or award.
Attorney's fees to the prevailing party if other than the CITY shall, in addition, be limited
to the amount of attorney's fees incurred by the CITY in its prosecution or defense of
the action, irrespective of the actual amount of attorney's fees incurred by the prevailing
party.
18. MEDIATION/ARBITRATION. If a dispute arises out of or relates
to this Agreement, or the breach thereof, the parties agree first to try, in good faith, to
settle the dispute by mediation in San Diego, California, in accordance with the
Commercial Mediation Rules of the American Arbitration Association (the "AAA") before
resorting to arbitration. The costs of mediation shall be borne equally by the parties.
Any controversy or claim arising out of, or relating to, this Agreement, or breach thereof,
which is not resolved by mediation shall be settled by arbitration in San Diego,
California, in accordance with the Commercial Arbitration Rules of the AAA then
existing. Any award rendered shall be final and conclusive upon the parties, and a
judgment thereon may be entered in any court having jurisdiction over the subject
matter of the controversy. The expenses of the arbitration shall be borne equally by the
parties to the arbitration, provided that each party shall pay for and bear the costs of its
own experts, evidence and attorneys' fees, except that the arbitrator may assess such
expenses or any part thereof against a specified party as part of the arbitration award.
19. TERMINATION. A. This Agreement may be terminated with or
without cause by the CITY. Termination without cause shall be effective only upon 60-
day's written notice to the CONTRACTOR. During said 60-day period the
CONTRACTOR shall perform all services in accordance with this Agreement.
B. This Agreement may also be terminated immediately by the CITY
for cause in the event of a material breach of this Agreement, misrepresentation by the
CONTRACTOR in connection with the formation of this Agreement or the performance
of services, or the failure to perform services as directed by the CITY.
C. Termination with or without cause shall be effected by delivery of
written Notice of Termination to the CONTRACTOR as provided for herein.
D. In the event of termination, all finished or unfinished Memoranda
Reports, Maps, Drawings, Plans, Specifications and other documents prepared by the
CONTRACTOR, whether paper or electronic, shall immediately become the property of
and be delivered to the CITY, and the CONTRACTOR shall be entitled to receive just
and equitable compensation for any work satisfactorily completed on such documents
and other materials up to the effective date of the Notice of Termination, not to exceed
the amounts payable hereunder, and Tess any damages caused the CITY by the
CONTRACTOR's breach, if any. Thereafter, ownership of said written material shall
vest in the CITY all rights set forth in Section 6.
E. The CITY further reserves the right to immediately terminate this
Agreement upon: (1) the filing of a petition in bankruptcy affecting the CONTRACTOR;
(2) a reorganization of the CONTRACTOR for the benefit of creditors; or (3) a business
reorganization, change in business name or change in business status of the
CONTRACTOR.
October 2005 7 Agreement between the City of National City
and MBIA MuniServices Company
20. NOTICES. All notices or other communications required or
permitted hereunder shall be in writing, and shall be personally delivered; or sent by
overnight mail (Federal Express or the like); or sent by registered or certified mail,
postage prepaid, return receipt requested; or sent by ordinary mail, postage prepaid; or
telegraphed or cabled; or delivered or sent by telex, telecopy, facsimile or fax; and shall
be deemed received upon the earlier of (i) if personally delivered, the date of delivery to
the address of the person to receive such notice, (ii) if sent by overnight mail, the
business day following its deposit in such overnight mail facility, (iii) if mailed by
registered, certified or ordinary mail, five (5) days (ten (10) days if the address is
outside the State of California) after the date of deposit in a post office, mailbox, mail
chute, or other like facility regularly maintained by the United States Postal Service, (iv)
if given by telegraph or cable, when delivered to the telegraph company with charges
prepaid, or (v) if given by telex, telecopy, facsimile or fax, when sent. Any notice,
request, demand, direction or other communication delivered or sent as specified above
shall be directed to the following persons:
To the CITY:
Chris Zapata
City Manager
City of National City
1243 National City Boulevard
National City, CA 91950-4301
To the CONTRACTOR: MBIA MuniServices Company
7335 N Palm Bluffs Avenue
Fresno, CA 93711
Attn: Legal Department
legal@muniservices.com
Notice of change of address shall be given by written notice in the manner
specified in this Section. Rejection or other refusal to accept or the inability to deliver
because of changed address of which no notice was given shall be deemed to
constitute receipt of the notice, demand, request or communication sent. Any notice,
request, demand, direction or other communication sent by cable, telex, telecopy,
facsimile or fax must be confirmed within forty-eight (48) hours by letter mailed or
delivered as specified in this Section.
21. CONFLICT OF INTEREST AND POLITICAL REFORM ACT
OBLIGATIONS. During the term of this Agreement, the CONTRACTOR shall not
perform services of any kind for any person or entity whose interests conflict in any way
with those of the City of National City. The CONTRACTOR also agrees not to specify
any product, treatment, process or material for the project in which the CONTRACTOR
has a material financial interest, either direct or indirect, without first notifying the CITY
of that fact. The CONTRACTOR shall at all times comply with the terms of the Political
Reform Act and the National City Conflict of Interest Code. The CONTRACTOR shall
immediately disqualify itself and shall not use its official position to influence in any way
any matter coming before the CITY in which the CONTRACTOR has a financial interest
as defined in Government Code Section 87103. The CONTRACTOR represents that it
October 2005 8 Agreement between the City of National City
and MBIA MuniServices Company
has no knowledge of any financial interests that would require it to disqualify itself from
any matter on which it might perform services for the CITY.
❑ If checked, the CONTRACTOR shall comply with all of the
reporting requirements of the Political Reform Act and the National City Conflict of
Interest Code. Specifically, the CONTRACTOR shall file a Statement of Economic
Interests with the City Clerk of the City of National City in a timely manner on forms
which the CONTRACTOR shall obtain from the City Clerk.
The CONTRACTOR shall be strictly liable to the CITY for all damages,
costs or expenses the CITY may suffer by virtue of any violation of this Paragraph 21 by
the CONTRACTOR.
22. MISCELLANEOUS PROVISIONS.
A. Computation of Time Periods. If any date or time period provided
for in this Agreement is or ends on a Saturday, Sunday or federal, state or legal holiday,
then such date shall automatically be extended until 5:00 p.m. Pacific Time of the next
day which is not a Saturday, Sunday or federal, state or legal holiday.
B. Counterparts. This Agreement may be executed in multiple
counterparts, each of which shall be deemed an original, but all of which, together, shall
constitute but one and the same instrument.
C. Captions. Any captions to, or headings of, the sections or
subsections of this Agreement are solely for the convenience of the parties hereto, are
not a part of this Agreement, and shall not be used for the interpretation or
determination of the validity of this Agreement or any provision hereof.
D. No Obligations to Third Parties. Except as otherwise expressly
provided herein, the execution and delivery of this Agreement shall not be deemed to
confer any rights upon, or obligate any of the parties hereto, to any person or entity
other than the parties hereto.
E. Exhibits and Schedules. The Exhibits and Schedules attached
hereto are hereby incorporated herein by this reference for all purposes.
F. Amendment to this Agreement. The terms of this Agreement may
not be modified or amended except by an instrument in writing executed by each of the
parties hereto.
G. Waiver. The waiver or failure to enforce any provision of this
Agreement shall not operate as a waiver of any future breach of any such provision or
any other provision hereof.
H. Applicable Law. This Agreement shall be governed by and
construed in accordance with the laws of the State of California.
I. Entire Agreement. This Agreement supersedes any prior agree-
ments, negotiations and communications, oral or written, and contains the entire
agreement between the parties as to the subject matter hereof. No subsequent
agreement, representation, or promise made by either party hereto, or by or to an
employee, officer, agent or representative of any party hereto shall be of any effect
unless it is in writing and executed by the party to be bound thereby.
J. Successors and Assigns. This Agreement shall be binding upon
and shall inure to the benefit of the successors and assigns of the parties hereto.
October 2005 9 Agreement between the City of National City
and MBIA MuniServices Company
K. Construction. The parties acknowledge and agree that (i) each
party is of equal bargaining strength, (ii) each party has actively participated in the
drafting, preparation and negotiation of this Agreement, (iii) each such party has
consulted with or has had the opportunity to consult with its own, independent counsel
and such other professional advisors as such party has deemed appropriate, relative to
any and all matters contemplated under this Agreement, (iv) each party and such
party's counsel and advisors have reviewed this Agreement, (v) each party has agreed
to enter into this Agreement following such review and the rendering of such advice,
and (vi) any rule or construction to the effect that ambiguities are to be resolved against
the drafting party shall not apply in the interpretation of this Agreement, or any portions
hereof, or any amendments hereto.
IN WITNESS WHEREOF, the parties hereto have executed this
Agreement on the date and year first above written.
CITY OF NATIONAL CITY
By:
Nick Inzun a
Mayor
APPROVED AS TO FORM:
George H. Eiser, III
City Attorney
October 2005
10
MBIA MUNISERVICES COMPANY
By: 0,101.00'
By:
Marc Herman
President
Kevin Cerutti
Chief Financial Officer
Agreement between the City of National City
and MBIA MuniServices Company
Exhibit A
SCOPE OF WORK
PRELIMINARY FEASIBILTY ANALYSIS ON
CONSOLIDATION OF THE ADMINISTRATION
OF THE COMMUNITY DEVELOPMENT COMMISSION
OF THE CITY OF NATIONAL CITY WITH THE
ADMINISTRATION OF THE CITY OF NATIONAL CITY
In order to promote economy and efficiency in city government, the Mayor and City
Council have directed the preparation of a preliminary feasibility analysis of the
consolidation of administration of the Community Development Commission of the City
of National City ("CDC") with the administration of the City of National City ("City"),
under the supervision of the City Manager.
The CDC is not a department of the City, but is a separate legal entity. The governing
body of the CDC is comprised of the Mayor and City Council. The CDC is a combined
redevelopment agency and housing authority. The CDC has a budget separate from
the City, a separate staff, and is currently headed by the Executive Director, who reports
to the Chair and Members of the CDC's governing board.
TASK 1 IDENTIFICATION AND ANALYSIS OF ISSUES
The first task will be to identify and analyze the various issues arising from the
consolidation. Those issues include the following:
Legal
Financial
Review any obstacles to integration of CDC into the City
administrative structure.
Determine whether there are currently any redundancies arising
from the Finance Departments of the City and the CDC operating
independently of each other. Determine if any functions of those
departments can be combined, keeping in mind that two separate
legal entities are involved, and that subject to very limited
exceptions, CDC revenues cannot be expended for City
purposes.
Human Determine how the consolidation could be utilized to promote the
Resources most efficient use of City and CDC staff. Analyze whether non -
executive CDC staff should be afforded civil service status and
be subject to the City's Civil Service Rules. Consider the role of
the City's Municipal Employees' Association (MEA) if CDC
employees are granted Civil Services status. Analyze the role of
the City's Human Resources Department in the recruitment,
hiring, training and retention of the CDC employees.
Other City Identify and analyze the impacts, if any, the consolidation may
Departments have on other City departments in addition to Finance and
Human Resources.
Consolidation of CDC with City
Page Two
TASK 2 ESTABLISH PROCESS FOR CONSOLIDATION
• Determine preliminary feasibility of proposed reorganization
• If reorganization appears preliminarily feasible, outline a process for the transition
to a consolidated administration, and
• Prepare a timeline for implementation of the transition process.
DELIVERABLE
Report to be delivered to City Council within 60 days of signing the Agreement. It is
understood that the recommendations contained in this report would be preliminary in
nature serving as a blueprint for a more extensive strategy designed to guide the actual
implementation of the reorganization if such action were determine to be financially and
administratively feasible.
COMPENSATION
MMC's compensation for the above service is provided on an hourly basis as follows:
• Legal Advisor: Up to 4 hours at $275 per hour
• Technical Advisor: Up to 20 hours at $175 per hour
• Project Manager: Up to 120 hours at $150 per hour
• Administrative Support: Up to 30 hours $50 per hour
In addition, MMC will be reimbursed for reasonable out of pocket expenses in an
amount not to exceed $900 for the total project.
The total compensation for the project shall not exceed $25,000 for both tasks.
MMC will invoice the City monthly based on actual work performed and expenses
incurred.
City of National City, California
COUNCIL AGENDA STATEMENT
MEETING DATE October 4. 2005
AGENDA ITEM NO. 28
ITEM TITLE RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO
EXECUTE AN AGREEMENT WITH MBIA MUNISERVICES TO PROVIDE A REPORT OUTLINING THE ACTIONS REQUIRED
TO CONSOLIDATE THE ADMINISTRATION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF
NATIONAL CITY WITH THE ADMINISTRATION OF THE CITY OF NATIONAL CITY, TO BE UNDER THE SUPERVISION OF
THE CITY MANAGER Q,
PREPARED BY George H. Eiser, III�v DEPARTMENT City Attorney
4221
EXPLANATION
Pursuant to the discussion at the September 20 City Council meeting, the proposed
resolution would authorize the Mayor to execute an agreement with MBIA Muniservices to provide
a report outlining the actions required to consolidate the administration of the CDC with that of the
City, under the supervision of the City Manager.
Environmental Review X N/A
Financial Statement
Services to be provided at a cost not to exceed $25,000.
Account No.
STAFF RECOMMENDATION
Adopt resolution.
BOARD / COMMISSION RECOMMENDATION
N/A
ATTACHMENTS ( Listed Below )
Memorandum
Proposed resolution
C 2A' -62
Resolution No. ,21()95- zeo
A-200 (9/80)
RESOLUTION NO. 2005 — 220
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF NATIONAL CITY AUTHORIZING
THE MAYOR TO EXECUTE AN AGREEMENT WITH
MBIA MUNISERVICES TO PROVIDE A REPORT OUTLINING
THE ACTIONS REQUIRED TO CONSOLIDATE THE ADMINISTRATION
OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF NATIONAL CITY WITH THE ADMINISTRATION
OF THE CITY OF NATIONAL CITY, TO BE UNDER
THE SUPERVISION OF THE CITY MANAGER
WHEREAS, the City desires to employ a contractor to provide a report outlining
the actions required to consolidate the administration of the Community Development
Commission of the City of National City with the administration of the City of National City, to be
under the supervision of the City Manager.
WHEREAS, the City has determined that MBIA MuniServices is a municipality
consultant and is qualified by experience and ability to perform the services desired by the City,
and the MBIA MuniServices is willing to perform such services.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
National City hereby authorizes the Mayor to execute an Agreement with MBIA MuniServices to
provide a report outlining the actions required to consolidate the administration of the
Community Development Commission of the City of National City with the administration of the
City of National City, to be under the supervision of the City Manager. Said Agreement is on file
in the Office of the City Clerk.
PASSED and ADOPTED this 4th day of October, 2005.
Ni Inzun .,'a or
Y
ATTEST:
h
Mic ael R. Dalla, ity Clerk
APPROVED AS TO FORM:
George H. iser, III
City Attorney
MENA
MuniServices Company
September 27, 2005
George Eiser
City Attorney
City of National City
1243 National City Boulevard
National City, CA 91950-4301
Dear Mr. Eiser:
7335 N. Palm Bluffs Ate.
Fresno, CA 93711
559 271 6800 (p)
559 275 0171 (f)
Enclosed please find three (3) partially executed agreements between the City of National
City and MBIA MuniServices Company for the provision of Preliminary Feasibility
Analysis on Consolidation of the Administration of the Community Development
Commission of the City of National City with the Administration of the City of National
City.
Please have these signed and return one fully executed original to me.
Sincerely,
Patricia Kemsley
Contract Administration
RESOLUTION NO. 2005 - 220
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF NATIONAL CITY AUTHORIZING
THE MAYOR TO EXECUTE AN AGREEMENT WITH
MBIA MUNISERVICES TO PROVIDE A REPORT OUTLINING
THE ACTIONS REQUIRED TO CONSOLIDATE THE ADMINISTRATION
OF THE COMMUNITY DEVELOPMENT COMMISSION OF
THE CITY OF NATIONAL CITY WITH THE ADMINISTRATION
OF THE CITY OF NATIONAL CITY, TO BE UNDER
THE SUPERVISION OF THE CITY MANAGER
WHEREAS, the City desires to employ a contractor to provide a report outlining
the actions required to consolidate the administration of the Community Development
Commission of the City of National City with the administration of the City of National City, to be
under the supervision of the City Manager.
WHEREAS, the City has determined that MBIA MuniServices is a municipality
consultant and is qualified by experience and ability to perform the services desired by the City,
and the MBIA MuniServices is willing to perform such services.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
National City hereby authorizes the Mayor to execute an Agreement with MBIA MuniServices to
provide a report outlining the actions required to consolidate the administration of the
Community Development Commission of the City of National City with the administration of the
City of National City, to be under the supervision of the City Manager. Said Agreement is on file
in the Office of the City Clerk.
PASSED and ADOPTED this 4th day of October, 2005.
Ni Inzun .,ayor
ATTEST:
APPROVED AS TO FORM:
George H. Eiser, III
City Attorney
Passed and adopted by the Council of the City of National City, California, on
October 4, 2005, by the following vote, to -wit:
Ayes: Councilmembers, Inzunza, Morrison, Parra, Zarate.
Nays: Natividad
Absent: None.
Abstain: None.
AUTHENTICATED BY:
NICK INZUNZA
Mayor of the City of National City, California
h /v 4
City C rk of the City f National City, California
By:
Deputy
I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of
RESOLUTION NO. 2005-220 the City of National City, California, passed and adopted
by the Council of said City on October 4, 2005.
City Clerk of the City of National City, California
By:
Deputy
City of National City
Office of the City Clerk
1243 National City Boulevard, National City, CA 91950-4397
Michael R. Della, CMC - City Clerk
(619) 336-4228 Fax: (619) 336-4229
December 5, 2005
Patricia Kemsley
MBIA Muniservices Company
7335 N. Palm Bluffs Ave.
Fresno, CA 93711
Dear Patricia,
On October 4, 2005, Resolution No. 2005-220 was passed and adopted by
the City Council of the City of National City, authorizing the Mayor to
execute an agreement with MBIA Muniservices to provide a report
regarding the consolidation the Administration of the Community
Development Commission of the City of National City.
Enclosed you will find a certified copy of the above Resolution and one fully
executed original contract.
Sincerely,
bk
Michael R. Dalla
City Clerk
MRD/Iw
Enclosure
File No. 2005-62
® Recycled Paper