Loading...
R-10-01-28-10G2 - 1/28/2010RESOLUTION NO. R -10-01-28-10G2 WHEREAS, the City of Round Rock desires to retain professional public affairs consulting services in relation to identifying and securing federal funding for growth and development projects, and WHEREAS, Capitol Partners, Inc. has submitted an Agreement for Professional Public Affairs Consulting Services to provide said services, and WHEREAS, the City Council desires to enter into said agreement with Capitol Partners, Inc., Now Therefore BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS, That the Mayor is hereby authorized and directed to execute on behalf of the City an Agreement for Professional Public Affairs Consulting Services with Capitol Partners, Inc., a copy of same being attached hereto as Exhibit "A" and incorporated herein for all purposes. The City Council hereby finds and declares that written notice of the date, hour, place and subject of the meeting at which this Resolution was adopted was posted and that such meeting was open to the public as required by law at all times during which this Resolution and the subject matter hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act, Chapter 551, Texas Government Code, as amended RESOLVED this 28th day of January, 2010. ATTEST: SARA L. WHITE, City Secretary CI \wdox\SCCln'_s\0112\1005\MUNICIPAL\09180672. DOC/cmc ALAN MCGRAW, Mayor City of Round Rock, Texas CITY OF ROUND ROCK AGREEMENT FOR PROFESSIONAL PUBLIC AFFAIRS CONSULTING SERVICES WITH CAPITOL PARTNERS, INC. EXHIBIT „«A„„A This Agreement (hereinafter referred to as the "Agreement") is made by and between the City of Round Rock, a Texas home -rule municipal corporation whose offices are located at 221 East Main Street, Round Rock, Texas 78664-5299 (hereinafter referred to as the "City"), and Capitol Partners, Inc. whose offices are located at 1101 17th Street NW, Suite 202, Washington, DC 20036 (hereinafter referred to as the "Consultant"). This Agreement shall recite the contractual terms whereby the City of Round Rock engages Capitol Partners, Inc. to perform, by way of illustration and not limitation, the following services: Public affairs consulting services in relation to identifying and securing federal funding for growth and development projects, and in relation to developing partnerships between the City of Round Rock, Congress, and the federal government that result in substantial government funding and support for desired infrastructure and other projects. RECITALS: WHEREAS, City has determined that there is a need for the delineated services; and WHEREAS, City desires to contract for such professional services; and WHEREAS, the parties desire to enter into this Agreement to set forth in writing their respective rights, duties and obligations hereunder; NOW, THEREFORE, WITNESSETH: That for and in consideration of the mutual promises contained herein and other good and valuable consideration, the sufficiency and receipt of which are hereby acknowledged, it is mutually agreed between the parties as follows: 1.01 EFFECTIVE DATE, DURATION, AND TERM This Agreement shall be effective from January 28, 2010, and shall remain in full force and effect unless and until it expires by operation of the term indicated herein, or is terminated or extended as provided herein. The term of this Agreement shall be until full and satisfactory completion of the services specified herein is achieved, but in no event later than twelve (12) months from the effective date of this Agreement. At City's sole and unfettered option, this Agreement may be renewed for additional twelve (12) month periods from the expiration date of the initial term, only upon the express written agreement of both parties and only provided Consultant has performed each and every contractual obligation specified in this Agreement. City reserves the right to review the Agreement and contractual relationship at any time, and may elect to terminate same with or without cause or may elect to continue. 00179857/jkg 1.02 CONTRACT AMOUNT; SCOPE OF SERVICES DELINEATION In consideration for the professional services to be performed by Consultant, City agrees to pay Consultant the amount of Eight Thousand and No/100 Dollars ($8,000.00) per month as a retainer for services and for receipt of the "Public Affairs Proposal" deliverables as delineated herein. This amount does not include administrative fees which otherwise are payable under this Agreement as delineated in Section 1.03. This amount does not include expenses which otherwise are reimbursable under this Agreement as delineated in Section 1.03. For purposes of this Agreement, Consultant has issued its "Public Affairs Proposal" for the services delineated herein. Such "Public Affairs Proposal" is attached hereto as Exhibit "A" and incorporated herein by reference for all purposes. This Agreement, and its accompanying exhibit, shall evidence the entire understanding and agreement between the parties and shall supersede any prior proposals, correspondence or discussions. Consultant shall satisfactorily provide all services described under the attached "Public Affairs Proposal" within the contract terra specified in Section 1.01. Consultant's undertakings shall be limited to performing services for City and/or advising City concerning those matters on which Consultant has been specifically engaged. Consultant shall perforin its services in accordance with this Agreement, in accordance with any appended exhibits, in accordance with due care, and in accordance with prevailing consulting industry standards for comparable services. 1.03 PAYMENT FOR SERVICES; REIMBURSABLE EXPENSES; SUPPLEMENTAL AGREEMENTS Payment for Services: In consideration for the professional consulting services to be performed by Consultant, City agrees to pay Consultant in accordance with the terms set forth below: All retainer payments to Consultant shall be made on the basis of invoices submitted by Consultant and approved by City in accordance with Section 1.04 herein, payable monthly in advance. Payment for Administrative Fees: Administrative fees in the amount of $200.00 per month shall be paid to Consultant, upon Consultant properly invoicing for same and providing documentation for same. Such administrative fees shall cover Consultant's incidental costs including but not limited to postage charges, facsimile charges, telephone charges, and the like. Payment for Reimbursable Expenses: Reimbursable expenses authorized in writing in advance by City shall be paid to Consultant at actual cost, upon Consultant properly invoicing for same and providing documentation for same. Not -to -Exceed Total for Services: Unless subsequently changed by additional Supplemental Agreement hereto, duly authorized by City Council or City Manager action, Consultant's total compensation for services hereunder shall not exceed $96,000.00. This amount represents the absolute limit of City's liability to Consultant hereunder unless same shall be changed by additional Supplemental Agreement, and City shall pay, strictly within the confines of the not -to -exceed sum recited herein, Consultant's professional fees for work done on behalf of City. Not -to -Exceed Total for Administrative Fees: Unless subsequently changed by additional Supplemental Agreement hereto, duly authorized by City Council or City Manager action, Consultant's total compensation for administrative fees hereunder shall not exceed $2,400.00. This amount represents the absolute limit of City's liability to Consultant hereunder unless same shall be changed by additional 2 Supplemental Agreement, and City shall pay, strictly within the confines of the not -to -exceed sum recited herein, Consultant's administrative fees for work done on behalf of City. Deductions: No deductions shall be made for Consultant's compensation on account of penalty, liquidated damages or other sums withheld from payments to Consultant. Additions: No additions shall be made to Consultant's compensation based upon claims, whether paid by City or denied. Supplemental Agreements: The terms of this Agreement may be modified by written Supplemental Agreement hereto, duly authorized by City Council or City Manager action, if City determines that there has been a significant change in (1) the scope, complexity, or character of the services to be performed; or (2) the duration of the work. Any such Supplemental Agreement must be executed by both parties within the period specified as the term of this Agreement. Consultant shall not perform any work or incur any additional costs prior to the execution, by both parties, of such Supplemental Agreement. Consultant shall make no claire for extra work done unless and until there is full execution of any Supplemental Agreement, and City shall not be responsible for actions by Consultant nor for any costs incurred by Consultant relating to additional work not directly authorized by Supplemental Agreement. 1.04 INVOICE REQUIREMENTS; TERMS OF PAYMENT Invoices: To receive payment, Consultant shall prepare and submit a series of monthly invoices to City. Each invoice for professional services shall detail the services performed, along with documentation. All payments to Consultant shall be made on the basis of the invoices submitted by Consultant and approved by City. Should additional backup material be requested by City, Consultant shall comply promptly. In this regard, should City determine it necessary, Consultant shall make all records and books relating to this Agreement available to City for inspection and auditing purposes. If City has any dispute with work performed, then City shall notify Consultant within thirty (30) days after receipt of invoice. In the event of any dispute regarding the work performed, then and in that event Consultant shall either (a) satisfactorily re -perforin the disputed services or (b) provide City with an appropriate credit. Payment of Invoices: City reserves the right to correct any error that may be discovered in any invoice that may have been paid to Consultant and to adjust same to meet the requirements of this Agreement. Following approval of invoices, City shall endeavor to pay Consultant promptly, but no later than the time period required under the Texas Prompt Payment Act described in Section 1.08 herein. Under no circumstances shall Consultant be entitled to receive interest on payments which are late because of a good faith dispute between Consultant and City or because of amounts which City has a right to withhold under this Agreement or state law. City shall be responsible for any sales, gross receipts or similar taxes applicable to the services, but not for taxes based upon Consultant's net income. Offsets: City may, at its option, offset any amounts due and payable under this Agreement against any debt (including taxes) Iawfully due to City from Consultant, regardless of whether the amount due arises pursuant to the terms of this Agreement or otherwise and regardless of whether or not the debt due to City has been reduced to judgment by a court. 1.05 REQUIRED REPORTS Consultant agrees to provide City with any necessary detailed final written reports, together with all information gathered and materials developed during the course of the relationship. Additionally, 3 Consultant agrees to provide City with any necessary oral presentations of such detailed final written reports, at City's designation and at no additional cost to City. 1.06 LIMITATION TO SCOPE OF SERVICES Consultant and City agree that the scope of services to be performed is generally enumerated in the "Public Affairs Proposal" labeled as Exhibit "A" and attached hereto. Notwithstanding anything herein to the contrary, the parties agree that City retains absolute discretion and authority for all funding decisions, such decisions to be based solely on criteria accepted by City which may be influenced by but not be dependent on Consultant's work. 1.07 NON -APPROPRIATION; FISCAL FUNDING This Agreement is a commitment of City's current revenues only. It is understood and agreed that City shall have the right to terminate this Agreement at the end of any City fiscal year if the governing body of City does not appropriate funds sufficient to purchase the services as determined by City's budget for the fiscal year in question. City may effect such termination by giving Consultant a written notice of termination at the end of its then -current fiscal year. 1.08 PROMPT PAYMENT POLICY In accordance with Chapter 2251, V.T.C.A., Texas Government Code, any payment to be made by City to Consultant will be made within thirty (30) days of the date City receives goods under this Agreement, the date the performance of the services under this Agreement are completed, or the date City receives a correct invoice for the goods or services, whichever is later. Consultant may charge interest on an overdue payment at the "rate in effect" on September 1 of the fiscal year in which the payment becomes overdue, in accordance with V.T.C.A., Texas Government Code, Section 2251.025(b). This Prompt Payment Policy does not apply to payments made by City in the event: (a) (b) There is a bona fide dispute between City and Consultant, a contractor, subcontractor, or supplier about the goods delivered or the service performed that cause the payment to be late; or There is a bona fide dispute between Consultant and a subcontractor or between a subcontractor and its supplier about the goods delivered or the service performed that causes the payment to be late; or (c) The terms of a federal contract, grant, regulation, or statute prevent City from making a timely payment with federal funds; or (d) The invoice is not mailed to City in strict accordance with any instruction relating to the payment. 1.09 TERMINATION; DEFAULT Termination: It is agreed and understood by Consultant that City inay terminate this Agreement for the convenience of City, upon fifteen (15) days' written notice to Consultant, with the understanding that immediately upon receipt of said notice all work being performed under this Agreement shall cease. Consultant shall invoice City for work satisfactorily completed and shall be compensated in accordance with the terms hereof for work accomplished prior to the receipt of said notice of termination. Consultant shall not be entitled to any lost or anticipated profits for work terminated under this Agreement. Unless otherwise specified in this Agreement, all data, information, and work product related to this project shall become the property of City upon termination of this Agreement, and shall be promptly delivered to City 4 in a reasonably organized form without restriction on future use, subject to the conditions set forth herein. Should City subsequently contract with a new consultant for continuation of service, Consultant shall cooperate in providing information. Termination of this Agreement shall extinguish all rights, duties, and obligations of City and the terminated party to fulfill contractual obligations. Termination under this section shall not relieve the terminated party of any obligations or liabilities which occurred prior to termination. Nothing contained in this section shall require City to pay for any work which is unsatisfactoiy or which is not submitted in compliance with the terms of this Agreement. Default: Either party may terminate this Agreement, in whole or in part, for default if the alleging party provides the other party with written notice of such default and the other fails to satisfactorily cure such default within ten (10) business days of receipt of such notice (or a greater time if agreed upon between the parties). If default results in termination of this Agreement, then City shall give consideration to the actual costs incurred by Consultant in performing the work to the date of default. The cost of the work that is useable to City, the cost to City of employing another firm to complete the useable work, and other factors will affect the value to City of the work performed at the time of default. Neither party shall be entitled to any lost or anticipated profits for work terminated for default Hereunder. The termination of this Agreement for default shall extinguish all rights, duties, and obligations of the terminating party and the terminated party to fulfill contractual obligations. Termination under this section shall not relieve the terminated party of any obligations or liabilities which occurred prior to termination. Nothing contained in this section shall require City to pay for any work which is unsatisfactoiy, or which is not submitted in compliance with the terms of this Agreement. 1.10 INDEPENDENT CONTRACTOR STATUS Consultant is an independent contractor, and is not City's employee. Consultant's employees or subcontractors are not City's employees. This Agreement does not create a partnership, employer- employee, or joint venture relationship. No party has authority to enter into contracts as agent for the other party. Consultant and City agree to the following rights consistent with an independent contractor relationship: (1) Consultant has the right to perform services for others during the term hereof. (2) Consultant has the sole right to control and direct the means, manner and method by which it performs its services required by this Agreement. (3) Consultant has the right to hire assistants as subcontractors, or to use employees to provide the services required by this Agreement. (4) Consultant or its employees or subcontractors shall perform services required hereunder, and City shall not hire, supervise, or pay assistants to help Consultant. (5) Neither Consultant nor its employees or subcontractors shall receive training from City in skills necessary to perform services required by this Agreement. 5 (6) City shall not require Consultant or its employees or subcontractors to devote full time to performing the services required by this Agreement. (7) Neither Consultant nor its employees or subcontractors are eligible to participate in any employee pension, health, vacation pay, sick pay, or other fringe benefit plan of City. 1.11 NON -SOLICITATION Except as may be otherwise agreed in writing, during the terra of this Agreement and for twelve (12) months thereafter, neither City nor Consultant shall offer employment to or shall employ any person employed then or within the preceding twelve (12) months by the other or any affiliate of the other if such person was involved, directly or indirectly, in the performance of this Agreement. This provision shall not prohibit the hiring of any person who was solicited solely through a newspaper advertisement or other general solicitation. 1.12 CITY'S RESPONSIBILITIES Full information: City shall provide full information regarding project requirements. City shall have the responsibility of providing Consultant with such documentation and information as is reasonably required to enable Consultant to provide the services called for. City shall require its employees and any third parties who are otherwise assisting, advising or representing City to cooperate on a timely basis with Consultant in the provision of its services. Consultant may rely upon written information provided by City and its employees and agents as accurate and complete. Consultant may rely upon any written directives provided by City or its designated representative concerning provision of services as accurate and complete. Required materials: Consultant's performance requires receipt of all requested information reasonably necessary to provision of services. City shall furnish information which includes but is not limited to pertinent correspondence with other local municipal and planning officials, previous analyses or feasibility studies, and other pertinent information. Consultant agrees, within ten (10) days of the effective date of this Agreement, to provide City with a comprehensive and detailed information request list, 1.13 CONFIDENTIALITY; MATERIALS OWNERSHIP Any and all programs, data, or other materials furnished by City for use by Consultant in connection with services to be performed under this Agreement, and any and all data and information gathered by Consultant, shall be held in confidence by Consultant as set forth hereunder. Each party agrees to take reasonable measures to preserve the confidentiality of any proprietary or confidential information relative to this Agreement, and to not make any use thereof other than for the performance of this Agreement, provided that no claim may be made for any failure to protect information that occurs more than three (3) years after the end of this Agreement. The parties recognize and understand that City is subject to the Freedom of Information Act and its duties run in accordance therewith. All data relating specifically to City's business and any other information which reasonably should be understood to be confidential to City is confidential information of City. Consultant's proprietary software, tools, methodologies, techniques, ideas, discoveries, inventions, know-how, and any other infortnation which reasonably should be understood to be confidential to Consultant is confidential 6 information of Consultant. City's confidential information and Consultant's confidential information is collectively referred to as "Confidential Information." Each party shall use Confidential Information of the other party only in furtherance of the purposes of this Agreement and shall not disclose such Confidential Information to any third party without the other party's prior written consent, which consent shall not be unreasonably withheld. Each party agrees to take reasonable measures to protect the confidentiality of the other party's Confidential Information and to advise their employees of the confidential nature of the Confidential Information and of the prohibitions herein. Notwithstanding anything to the contrary contained herein, neither party shall be obligated to treat as confidential any information disclosed by the other party (the "Disclosing Party") which: (1) is rightfully known to the recipient prior to its disclosure by the Disclosing Party; (2) is released by the Disclosing Party to any other person or entity (including governmental agencies) without restriction; (3) is independently developed by the recipient without any reliance on Confidential Information; or (4) is or later becomes publicly available without violation of this Agreement or may be lawfully obtained by a party from any non-party. Notwithstanding the foregoing, either party will be entitled to disclose Confidential Information of the other to a third party as may be required by law, statute, rule or regulation, including subpoena or other similar form of process, provided that (without breaching any legal or regulatory requirement) the party to whom the request is made provides the other with prompt written notice and allows the other party to seek a restraining order or other appropriate relief. Subject to Consultant's confidentiality obligations under this Agreement, nothing herein shall preclude or limit Consultant from providing similar services for other clients. Neither City nor Consultant will be liable to the other for inadvertent or accidental disclosure of Confidential Information if the disclosure occurs notwithstanding the party's exercise of the same level of protection and care that such party customarily uses in safeguarding its own proprietary and confidential information. Notwithstanding anything to the contrary in this Agreement, City will own as its sole property all written materials created, developed, gathered, or originally prepared expressly for City and delivered to City under the terms of this Agreement (the "Deliverables"); and Consultant shall own any general skills, know-how, expertise, ideas, concepts, methods, techniques, processes, software, or other similar information which may have been discovered, created, developed or derived by Consultant either prior to or as a result of its provision of services under this Agreement (other than the Deliverables). Consultant's working papers and Consultant's Confidential Information (as described herein) shall belong exclusively to Consultant. City shall have a non-exclusive, non -transferable license to use Consultant's Confidential Information for City's own internal use and only for the purposes for which they are delivered to the extent that they form part of the Deliverables. 1.14 WARRANTIES Consultant represents that all services performed hereunder shall be performed consistent with generally prevailing professional or industry standards, and shall be performed in a professional and workmanlike manner. Consultant shall re -perform any work not in compliance with this representation. Consultant disclaims all other warranties express or implied including but not limited to the implied warranties of merchantability and fitness for a particular purpose. 1.15 LIMITATION OF LIABILITY Should any of Consultant's services not conform to the requirements of this Agreement, then and in that event City shall give written notification to Consultant; thereafter, (a) Consultant shall either promptly re -perform such services to the City's reasonable satisfaction at no additional charge, or (b) if 7 such deficient services cannot be cured within the cure period set forth herein in Section 1.09, then this Agreement may be terminated for default. In no event will Consultant be liable for any loss, damage, cost or expense attributable to negligence, willful misconduct or misrepresentations by City, its directors, employees or agents. In no event shall Consultant be liable to City, by reason of any act or omission relating to the services provided under this Agreement (including the negligence of Consultant), whether a claim be in tort, contract or otherwise, (a) for any consequential, indirect, lost profit, punitive, special or similar damages relating to or arising from the services, or (b) in any event, in the aggregate, for any amount in excess of the total professional fees paid by City to Consultant under this Agreement, except to the extent determined to have resulted from Consultant's gross negligence, willful misconduct or fraudulent acts relating to the service provided hereunder. 1.16 INDEMNIFICATION Consultant and City each agree to indemnify, defend and hold harmless the other from and against amounts payable under any judgment, verdict, court order or settlement for death or bodily injury or the damage to or loss or destruction of any real or tangible property to the extent arising out of the indemnitor' s negligence in the performance of this Agreement. Consultant agrees to indemnify, defend and hold harmless City from and against any and all amounts payable under any judgment, verdict, court order or settlement for Third Party claims of infringement of any trade secrets, copyrights, trademarks or trade names alleged to have occurred and arising from the deliverables provided by Consultant to City in connection with the performance of this Agreement. Should City's use of such deliverables be determined to have infringed, Consultant may, at its option: (i) procure for City the right to continue using such deliverables provided or (ii) replace or modify them to make their use non -infringing while yielding substantially equivalent results. If neither of the above options are or would be available on a basis that is commercially reasonable, then Consultant may terminate this Agreement, City shall return such deliverables provided, and Consultant will refund to City the fees paid for the deliverables provided. This infringement indemnity does not cover claims arising from the combination of such deliverables with products or services not provided by Consultant; the modification of such deliverables by any person other than Consultant; deliverables complying with or based upon (1) designs provided by or at the direction of City or (2) specifications or other information provided by or at the direction of City; or use of systems, materials or work performed in a manner not permitted hereunder or by another obligation of City to Consultant. The indemnities in this section are contingent upon: (1) the indemnified party promptly notifying the indemnifying party in writing of any claim which gives rise to a claim for indemnification hereunder; (2) the indemnifying party being allowed to participate in the defense and settlement of such claim; and (3) the indemnified party cooperating with all reasonable requests of the indemnifying party (at the indemnifying party's expense) in defending or settling a claim. The indemnified party shall have the right, at its option and expense, to participate in the defense of any suit or proceeding through counsel. 1.17 ASSIGNMENT AND DELEGATION The parties each hereby bind themselves, their successors, assigns and legal representatives to each other with respect to the terms of this Agreement. Neither party may assign any rights or delegate any duties under this Agreement without the other party's prior written approval, which approval shall not be unreasonably withheld. 8 1.18 LOCAL, STATE AND FEDERAL TAXES Consultant shall pay all income taxes, and FICA (Social Security and Medicare taxes) incurred while performing services under this Agreement. City will not do the following: (1) (2) (3) Withhold FICA from Consultant's payments or make FICA payments on its behalf; Make state and/or federal unemployment compensation contributions on Consultant's behalf; or Withhold state or federal income tax from any of Consultant's payments. If requested, City shall provide Consultant with a certificate from the Texas State Comptroller indicating that City is a non-profit corporation and not subject to State of Texas Sales and Use Tax. 1.19 INSURANCE Insurance: Consultant, at Consultant's sole cost, shall have and maintain during the term of this Agreement professional liability insurance coverage in the minimum amount of One Million Dollars from a company authorized to do insurance business in Texas and otherwise acceptable to City. Subconsultant Insurance: Without limiting any of the other obligations or liabilities of Consultant, Consultant shall require each subconsultant performing work under this Agreement to maintain during the term of the Agreement, at the subconsultant's own expense, the same stipulated minimum insurance required in the immediately preceding paragraph, including the required provisions and additional policy conditions as shown below. As an alternative, Consultant may include its subconsultants as additional insureds on its own coverages as prescribed under these requirements. Consultant's certificate of insurance shall note in such event that the subconsultants are included as additional insureds. Consultant shall obtain and monitor the certificates of insurance from each subconsultant in order to assure compliance with the insurance requirements. Consultant must retain the certificates of insurance for the duration of this Agreement, and shall have the responsibility of enforcing these insurance requirements among its subconsultants. City shall be entitled, upon request and without expense, to receive copies of these certificates of insurance. Insurance Policy Endorsements: Each insurance policy hereunder shall include the following conditions by endorsement to the policy: (1) Each policy shall require that thirty (30) days prior to the expiration, cancellation, non- renewal or any material change in coverage, a notice thereof shall be given to City by mail to: City Manager, City of Round Rock 221 East Main Street Round Rock, Texas 78664 Consultant shall also notify City, within ten (10) days of receipt, of any notices of expiration, cancellation, non -renewal, or material change in coverage it receives from its insurer. (2) Companies issuing the insurance policies shall have no recourse against City for payment of any premiums or assessments for any deductibles which all are at the sole responsibility and risk of Consultant. 9 (3) Terms "the City" or "the City of Round Rock" shall include all authorities, boards, commissions, departments, and officers of City and individual members, employees and designated agents in their official capacities, or while acting on behalf of the City of Round Rock. (4) The policy clause "Other Insurance" shall not apply to any insurance coverage currently held by City, to any future coverage, or to City's Self -Insured Retentions of whatever nature. (5) Consultant and City mutually waive subrogation rights each may have against the other for loss or damage, to the extent same is covered by the proceeds of insurance. Cost of Insurance: The cost of all insurance required herein to be secured and maintained by Consultant shall be borne solely by Consultant, with certificates of insurance evidencing such minimum coverage in force to be filed with City. 1.20 COMPLIANCE WITH LAWS, CHARTER AND ORDINANCES As this Agreement is a contract for public affairs consulting services, Consultant will strictly adhere to both the letter and spirit of all federal, state, and local lobbying laws. Consultant, its consultants, agents, employees and subcontractors shall comply with all applicable federal and state laws, the Charter and Ordinances of the City of Round Rock, as amended, and with all applicable rules and regulations promulgated by local, state and national boards, bureaus and agencies. Consultant shall further obtain all permits, licenses, trademarks, or copyrights required in the performance of the services contracted for herein, and same shall belong solely to City at the expiration of the term of this Agreement. 1.21 FINANCIAL INTEREST PROHIBITED Consultant covenants and represents that Consultant, its officers, employees, agents, consultants and subcontractors will have no financial interest, direct or indirect, in the purchase or sale of any product, materials or equipment that will be recommended or required hereunder. 1.22 DESIGNATION OF REPRESENTATIVES City hereby designates the following representative authorized to act in its behalf with regard to this Agreement: James R. Nuse, PE City Manager City of Round Rock 221 East Main Street Round Rock, Texas 78664 Consultant hereby designates the following representative authorized to act in its behalf with regard to this Agreement: Carl Holshouser, Principal Capitol Partners, Inc. 1101 17th Street NW, Suite 202 Washington, DC 20036 10 1.23 NOTICES All notices and other communications in connection with this Agreement shall be in writing and shall be considered given as follows: (1) When delivered personally to recipient's address as stated herein; or (2) Three (3) days after being deposited in the United States mail, with postage prepaid to the recipient's address as stated in this Agreement. Notice to Consultant: Capitol Partners, lnc. 1101 17th Street NW, Suite 202 Washington, DC 20036 Notice to City: City Manager, City of Round Rock 221 East Main Street Round Rock, TX 78664 AND TO: Stephan L. Sheets, City Attorney 309 East Main Street Round Rock, TX 78664 Nothing contained in this section shall be construed to restrict the transmission of routine communications between representatives of City and Consultant. 1.24 APPLICABLE LAW; ENFORCEMENT AND VENUE This Agreement shall be enforceable in Round Rock, Texas, and if legal action is necessary by either party with respect to the enforcement of any or all of the terms or conditions herein, exclusive venue for same shall lie in Williamson County, Texas. This Agreement shall be governed by and construed in accordance with the laws and court decisions of Texas. 1.25 EXCLUSIVE AGREEMENT The terms and conditions of this Agreement, including exhibits, constitute the entire agreement between the parties and supersede all previous communications, representations, and agreements, either written or oral, with respect to the subject matter hereof. The parties expressly agree that, in the event of any conflict between the terms of this Agreement and any other writing, this Agreement shall prevail. No modifications of this Agreement will be binding on any of the parties unless acknowledged in writing by the duly authorized governing body or representative for each party. 1.26 DISPUTE RESOLUTION If a dispute arises under this Agreement, the parties agree to first try to resolve the dispute with the help of a mutually selected mediator. If the parties cannot agree on a mediator, City shall select one mediator and Consultant shall select one mediator and those two mediators shall agree upon a third mediator. Any costs and fees, other than attorney fees, associated with the mediation shall be shared equally by the parties. 11 City and Consultant hereby expressly agree that no claims or disputes between the parties arising out of or relating to this Agreement or a breach thereof shall be decided by any arbitration proceeding, including without Iunitation, any proceeding under the Federal Arbitration Act (9 USC Section 1-14) or any applicable state arbitration statute. 1.27 FORCE MAJEURE Notwithstanding any other provisions hereof to the contrary, no failure, delay or default in performance of any obligation hereunder shall constitute an event of default or breach of this Agreement, only to the extent that such failure to perform, delay or default arises out of causes beyond control and without the fault or negligence of the party otherwise chargeable with failure, delay or default; including but not limited to acts of God, acts of public enemy, civil war, insurrection, riots, fires, floods, explosion, theft, earthquakes, natural disasters or other casualties, strikes or other labor troubles, which in any way restrict the performance under this Agreement by the parties. Consultant shall not be deemed to be in default of its obligations to City if its failure to perform or its substantial delay in performance is due to City's failure to timely provide requested information, data, documentation, or other material necessary for Consultant to perform its obligations hereunder. 1.28 SEVERABILITY The invalidity, illegality, or unenforceability of any provision of this Agreement or the occurrence of any event rendering any portion of provision of this Agreement void shall in no way affect the validity or enforceability of any other portion or provision of this Agreement. Any void provision shall be deemed severed from this Agreement, and the balance of this Agreement shall be construed and enforced as if this Agreement did not contain the particular portion of provision held to be void. The parties further agree to amend this Agreement to replace any stricken provision with a valid provision that comes as close as possible to the intent of the stricken provision. The provisions of this Article shall not prevent this entire Agreement from being void should a provision which is of the essence of this Agreement be determined void. 1.29 STANDARD OF CARE Consultant represents that it is specially trained, experienced and competent to perforin all of the services, responsibilities and duties specified herein and that such services, responsibilities and duties shall be performed, whether by Consultant or designated subconsultants, in a manner according to generally accepted industry practices. 1.30 GENERAL AND MISCELLANEOUS The section numbers and headings contained herein are provided for convenience only and shall have no substantive effect on construction of this Agreement. No delay or omission by either party in exercising any right or power shall impair such right or power or be construed to be a waiver. A waiver by either party of any of the covenants to be performed by the other or any breach thereof shall not be construed to be a waiver of any succeeding breach or of any other covenant. No waiver of discharge shall be valid unless in writing and signed by an authorized representative of the party against whom such waiver or discharge is sought to be enforced. This Agreement may be executed in multiple counterparts, which taken together shall be considered one original. City agrees to provide Consultant with one fully executed original. 12 IN WITNESS WHEREOF, the parties have executed this Agreetnent in duplicate originals on the dates hereafter indicated. CITY OF ROUND ROCK, TEXAS CAPITOL PARTNERS, INC. By: By: Printed Name: Printed Name: Title: Title: Date Signed: Date Signed: ATTEST: By: Sara L. White, City Secretary FOR CITY, APPROVED AS TO FORM: By: Stephan L. Sheets, City Attorney 13 CAPITOL PARINERS, INC. P::i..c AFFA.RS PROPOSAL PREP j ) FOR ROUND CK, TE P.URPOS,.. ON, PROSPERITY PROPRIETARY AND CONFIDENTIAL (C) 2009 CAPITOL PARTNERS, INC. TABLE OF CONTENTS GENERAL INFORMATION ABOUT CAPITOL PARTNERS 3 WASHINGTON OFFICE 4 RECENT SUCCESSES 5 PROPOSAL ANALYSIS 6 STRATEGY FOR SUCCESS 7-10 OUR TEAM CAPITOL PARTNERS TEAM I I-14. CAPITOL PARTNERS ADVISORY BOARD 15-16 TERMS TERMS 1 PROPInvT•aav AND CONIInFNTI (r-1 2009 CAPrrnr. PaRTNFIis_ INC_ 7 2 ABOUT CAPITOL PARTNERS CAPITOL PARTNERS, INC., founded in 1999, is a full service, Washington, D.C. based government affairs consulting firm that provides effective counsel and strategic guidance to a host of clients, including: municipalities, public authorities, not-for-profit organizations, medical device companies, technology companies, hospitals, institutions of higher education, museums, biotechnology companies, manufacturers, and major businesses. We specialize in developing partnerships between our clients, Congress, and the federal government that result in substantial government funding and support. THE CAPITOL PARTNERS PHILOSOPHY Over the past ten years, Capitol Partners has successfully represented clients by adhering to a philosophy that helps distinguish us from our competitors and ensures a high level of service and success. Our Principals directly service our clients. This means that our Principals are in direct contact with each client and take full responsibility for achieving the client's goals. Capitol Partners is a task -oriented firm. We are most comfortable working on specific, well-defined objectives from start to finish, and projects that enhance the bottom line of our clients. Capitol Partners works as a team. Our clients have access to all of our available resources and all personnel have some role in our efforts. Capitol Partners understands that significant long-term and sustainable results can only be achieved with the help of our clients' staff and leadership, and their participation in key events. Capitol Partners maintains low overhead, thus enabling us to offer client services at reasonable rates. Capitol Partners is satisfied to have its compensation grow based on the record of success that is achieved for its clients. Capitol Partners is able to avoid the numerous conflicts which plague larger firms by limiting the number of clients we service. This ensures that we do not represent numerous entities with the same interests or conflicting interests. 3 Pune>unFTauv AND (nNrnmNT1AI (r) /ff19 CAVvTn, PAI -I'NFus_ INC WASHINGTON OFFICE By working with Capitol Partners, Inc., you will receive access to a wealth of institutional knowledge and important relationships from both sides of the aisle. Jonathan Orloff has decades of experience working with local government and community organizations, and strong relationships in Washington stemming from his time as Senior Professional Staff to Senator Edward Kennedy, who was well known for his attention and support of his constituents in Massachusetts. In addition, Jonathan's rapport with many key legislative offices affords Capitol Partners, Inc. the ability to effectively promote our clients' projects. Carl Holshouser's Capitol Hill experience working in the Senate and a proficiency in leading full-scale public affairs campaigns help our clients develop beneficial partnerships and achieve their funding goals. His special relationship with Texas' Senior Republican Senator Kay Bailey Hutchison, knowledge of numerous congressional offices, and intimate relationships with key staff members of the Texas delegation is a great asset to our efforts. Mimi Braniff brings years of experience at the highest levels of both the Commerce, Science, and Transportation Committee and the Senate Appropriations Committee, where she helped develop and draft scores of congressionally directed municipal projects for committee members. Her knowledge of the complex and intricate appropriations process is a key resource in assuring that Capitol Partners is able to achieve its clients' funding goals. Our other colleagues and advisory board members represent additional reach and capabilities and we draw on those resources as needed. 4 PannaIVJ'4RV %Nn CON{:II NTI (r,l2.0(14 C'u ITni P.121PNTxoc Tnr� RECENT SUCCESSES CAPITOL PARTNERS, INC. is proud to have a strong record of ever-growing success in the government affairs industry, and we have experienced tremendous success in assisting our clients achieve their goals. Here are some of our most recent successes: BUFFALO, NEW YORK - $15 million for a downtown revitalization project and waterfront development. PEACE BRIDGE AUTHORITY - $25 million for an international bridge expansion project. CAMBRIDGE REDEVELOPMENT CORPORATION - $6.75 million in federal funding for CRA's Kendall Square and Gateway projects. BUFFALO NIAGARA MEDICAL CAMPUS - $9 million for roadway and streetscape improvements. HILL COUNTRY CONSERVANCY - $405,000 was secured for the construction of a 34 -mile bicycle and pedestrian trail in Austin, Texas. GENERAL ATOMICS - $4.5 million for General Atomics' research and development efforts for an algae based biofuel. IKOR LIFE SCIENCES - bovine derived products. 1.5 million for the development of a wound healing application based on ALS THERAPY DEVELOPMENT INSTITUTE - $3.5 million in federal funds for ALS research. BLACKROCK MICROSYSTEMS - $4 million for research and development of next generation prosthetics and neurotechnologies. EMMANUEL COLLEGE - $2 million for equipment and program development for Emmanuel College's new Center for Science Partnerships. ST.AGNES HOSPITAL. - $1.2 million for state-of-the-art medical equipment. EARTHTEC SOLUTIONS - $500,000 in federal funding to demonstrate Earthtec's cutting-edge agricultural monitoring technology. HUSTON-TILLOTSON UNIVERSITY $750,000 for the school's Math and Science Success Center and $100,000 for a new state-of-the-art health and wellness center. 5 PROPRI TAav AND (TnNrinFNTi u (r /OO9 C:,anrrnr PARTNFRC. IN�_ ANALYSIS OVERVIEW At Capitol Partners, Inc., we take great pride in the work that we do. We are not the big firm in town with a large flashy office and hundreds of clients. Instead, we are a dynamic team of colleagues and friends focused on delivering results for our clients. We focus on personal attention; we sweat the details; we lead you through every aspect of your yearly government affairs process; we expect to work hard for you year round; we search for new opportunities to benefit you; and we find a way to achieve your goals. The City of Round Rock, Texas Capitol Partners, Inc. Effective Strategies, Partnerships, and Team Work Meaningful Financial Resources and Political Influence Afforded to the City Washington is an ever-changing and complicated place, and we strive daily to stay ahead of the curve to the benefit of our clients. Our success begins with a clear understanding of the needs and goals of the city. You have many goals in the years ahead: our job is to get as many of them done as possible — but also to give you sound advice as to what projects are the best prospects for receiving federal funding or attention. We would start by suggesting the continuation of your recently adopted internal structure for government affairs to be implemented annually. The development of a list of realistic, well thought-out, and publicly acceptable projects is something Capitol Partners considers a critical step to achieving maximum success each year. Furthermore, building a reputation with Congress for asking for high-quality projects is also in the best long-term interest of the city. When we reach out to the Congressional Delegation on your behalf (or have you call them directly), they will take the call and take your request far more seriously if you look as prepared and positioned as we hope to make you. 6 PRnvair: raav AND COM:1111:NT! (C1 2009 Canrrnr Paa'rNHIas_ INC STRATEGY FOR SUCCESS THE SPECIFICS OF OUR APPROACH Capitol Partners, Inc., has developed a strategic, proven approach for effective government affairs advocacy that delivers high quality legislative successes to our clients. 'The initial key component of our service is a yearly comprehensive review and profile development, which involves a one to two day visit by Capitol Partners personnel with all key officials and staff in Round Rock. This enables us to develop a complete top -to -bottom working knowledge of your entire operation - allowing us to be articulate advocates for projects and be able to be directly responsive to inquiries from our contacts in Congress. We would then continue to meet periodically with you and your colleagues on site to keep informed of the City's present needs, federal agenda, and long-term goals. Throughout the year, Capitol Partners regularly communicates with our clients with progress and status updates for each project. We recommend a weekly or bi-weekly phone call to ensure all parties are clear on next -steps and moving forward; however in practice, we have found that we communicate much more frequently than just this scheduled phone call. Capitol Partners regularly emails status updates as movement occurs in Washington, and seeks complete transparency between our firm and your leadership as work continues. Capitol Partners will also begin a comprehensive monitoring program where our research team will proactively monitor and report on federal legislation, aid programs, and regulatory developments of interest to the City of Round Rock. We will assist the city leadership in developing specific positions and policy proposals for legislation that further Round Rock's interests. Our staff has tremendous legislative experience working in congressional committees responsible for a number of issues and major pieces of legislation, including Corporate Average Fuel Economy (CAFE) standards, climate change, and FAA Reauthorization. As most of our staff has worked on Capitol Hill, we have a strong understanding of how legislation is shaped, drafted, and negotiated and have years of experience advocating for our clients' policy proposals before Congress. Capitol Partners has been highly successful in drafting and including policy language in congressional authorizations and reports that directly aid our clients. Our time working on Capitol Hill has provided us with experience working with various public interest groups, including the Conference of Mayors and National League of Cities. We are aware of their organizational structures and how they operate to influence policy. Capitol Partners will use our resources to support the City's representatives and liaisons when conducting activities in conjunction with these groups. 7 Prznnurr raav AND C NI:rnINTTar (rl /(1(19 C:anrrnr PA12TNFRS_ F r. STRATEGY FOR SUCCESS (continued) THE APPROPRIATIONS CYCLE The upcoming fiscal year 2011 appropriations cycle is approaching rapidly and a top priority for the remainder of the winter months will be spent developing projects for Round Rock that will have a high likelihood of success. This critical ground work ensures that we will be prepared to enter the appropriations cycle with fully developed, congressionally approved projects crafted with the highest possible chance for achieving meaningful success. This is a key decision point and strong projects are those that provide a sustainable benefit to the citizens of Round Rock and help ease the City's budget restrictions. Building successful partnerships with other municipalities, hospitals, military installations, institutions of higher education, non -profits, and other public entities can often help to strengthen Congressional requests. In many cases, strategic partnerships can ultimately result in a higher over-all level of funding being afforded to the city government. While these partnerships are often not revenue-sharing arrangements, they can offer multiple avenues for Congressional funding which expands the political capital of the city. Capitol Partners specializes in the formation of strategic partnerships to the benefit of our clients. Capitol Partners will analyze where partnerships would benefit your requests and seek to foster those alliances. Each congressional office has their own deadline for submitting appropriations requests to the appropriate House and Senate Appropriations subcommittees. These deadlines usually fall either in February or March depending on the office and nature of the request. Furthermore, each member and subcommittee has a different request form; reflecting personal, cultural, political, and other differences. Navigating these forms is essential to establishing eligibility for funds, and we pride ourselves on the value of our experience in this regard. Our familiarity with the individual process in each congressional office is one of our greatest assets for success in the effort to secure federal funds. A strong marketing document is critical for the success of any appropriations project. We will bring our years of experience to bear in helping to tailor your overall written goals in such a way as to fit the specific appropriations provisions that we are targeting. Our entire team will work to ensure that your project requests reflect their strong merits to best garner the support and approval of Congress. Of course, the City's staff will be intimately involved in the development and approval process for all marketing materials used to support our efforts. 8 PanIPulvraev ANI CONFIDENTIAL (el 2000 C APITnr PARTNERS. INC_ STRATEGY FOR SUCCESS (continued) The participation of the City Council and Chamber of Commerce is an important step in demonstrating local support for the policy and appropriation requests submitted on your behalf. Congressman Carter and Senators Hutchison and Cornyn evaluate many requests each year, and historically have shown a preference for requests with wide local support. A Round Rock City Council and Chamber of Commerce resolution in support of the final project request list is a good tactic for showing broad local support for your initiatives. This action also demonstrates the autonomy of the city requests — clearly differentiating them from those of the wider Austin region. Capitol Partners would encourage these resolutions be presented for adoption no later than Feb. 15th of each calendar year. As we submit forms, Capitol Partners will meet personally with each of the pertinent staff members to ensure that we answer all questions and establish a personal relationship during the effort. We will also have continuing contact with staff of the pertinent appropriations and authorizing subcommittees to keep abreast of changing budget restrictions and ensure that our chosen strategy is sound. Sometime in the spring, depending on the congressional schedule, City officials and other representatives of note along with Capitol Partners will meet with members of your congressional delegation to personally request their support. We recognize that you already know your delegation members well. Our role is in the nature of maximizing your interaction with them based on our experience. These are critical sessions and our practice is to put together interested stakeholders who, with our involvement, best articulate our proposals. Capitol Partners will develop a thorough strategy for these meetings, and may recommend a full mock -session to prepare to use the short period granted by the elected official to its maximum effect. Capitol Partners will coordinate the City's trip to Washington, including scheduling the entire itinerary, putting together a strong group of stakeholders, and developing necessary strategies. Capitol Partners will continue to work through the late spring and summer months on behalf of the City's appropriation proposals. As you may know, Congress will markup and effectively put together a draft hill that lays out the specific goals of the legislation and attaches dollar figures to each provision. Inevitably, as the session proceeds there will be modifications and adjustments made to the legislation that may affect our project. This is crunch time and we will work daily to make sure Round Rock's requests are the top priorities of your legislators during this critical process. 9 PFznnaFF TARV AND CONE IIIENTFAT (rl 2009 [ avrrni PARTNERS_ INC. STRATEGY FOR SUCCESS (continued) At some point during the late summer or fall, or perhaps earlier, we may ask you to return to Washington to demonstrate your continuing focus and interest in our efforts to Congress. We will meet the members and staff once again to further reinforce the importance of the projects and update them of any pertinent developments. Indeed, throughout the session, we must collectively look for opportunities to highlight the importance of our request. Finally, once the pertinent legislation is signed into law, we will work with the appropriate federal agency to ensure that the provision in which we are interested is properly implemented and funds are released in a timely manner. Our team is not satisfied until the entire project is completed to the satisfaction of our client, and Capitol Partners has an outstanding record of success in securing federal appropriations for transportation, water, development and other infrastructure projects. OTHER FEDERAL OPPORTUNITIES In addition to appropriations, Capitol Partners will also assist Round Rock in responding to other federal opportunities, such as grants and other programs stemming from the administration. These opportunities have a much less rigid schedule of events than the appropriations cycle, as such, Capitol Partners will constantly monitor developments and report to the City based on the priorities where appropriate as outlined by City leadership. Capitol Partners is not in a position to write grant applications, but can provide strategic guidance and develop supporting materials from your congressional delegation for any applications. The process of authorizing the next Transportation Equity Act (TEA), also known as the Highway Reauthorization Bill, is expected to begin sometime in the near future. Capitol Partners has a proven formula for securing high value federal dollars through this legislative vehicle. By carefully coordinating requests in the TEA Bill with projects funded through the annual appropriations cycle, we are able to leverage initial support into higher funding amounts. In other words, we will utilize the support gained for Round Rock's projects in the normal appropriations process to legitimize the request for more dollars in the TEA Bill. In the bill's last incarnation, Capitol Partners secured in excess of $45 million for our clients and we expect to improve on that record of success. Capitol Partners is confident that the continued partnership of our organizations will result in a number of meaningful legislative successes —building on the highly successful FY 2010 Appropriations Cycle. 10 Pannarr raav ANn C'nNI:rnFNTTAI (CI /11119 C aNrrnr. PAirrr.JFI s_ INC CAPITOL PARTNERS INC. TEAM JONATHAN M. ORLOFF, PRESIDENT JONATHAN M. ORLOFF is the President of Capitol Partners, Inc., a company which he founded in 1999..Mr. Orloff has over twenty-five years of professional experience in federal public policy and legislative affairs. Mr. Orloff's Capitol Hill experience was under the chairmanship or personal offices of Senator Edward Kennedy. In that regard, he served as professional staff of the U.S. Senate Judiciary Subcommittee on Antitrust and Monopolies and the full Senate Judiciary Committee, where he helped develop antitrust policy, deregulation initiatives and new procedures for the confirmation of federal judges. Starting in late 1980 and for the next six years, Mr. Orloff also served as a Legislative Assistant and senior staff member to Senator Kennedy. In this position he was responsible for all appropriations legislation and the development of legislation and initiatives in the areas of economic development, agriculture, transportation, environment, banking and trade. During this period and since, he has had the occasion to be associated with a number of members who are now in positions of leadership, including senior members of the Senate Appropriations Committee. In the House, Mr. Orloff has been privileged to work closely with a number of now very senior members of the body, and currently has strong connections with the administration. In 1986, Mr. Orloff joined Cassidy and Associates as the fourth principal and was critical in the expansion and development of the firm for the next ten years. In addition to appropriations work, Mr. Orloff has provided strategic counsel to state agencies, developers, colleges and universities, hospitals, and a wide range of companies from various industries, including defense, healthcare, high technology, transportation, energy and real estate development. Throughout his career in public affairs, Mr. Orloff has been active in national Democratic politics. He served on the National Finance Council of the Democratic Senate Campaign Committee and the board of the Fund for a Democratic Majority. He has served on the finance councils of numerous members of the Senate and House and continues to provide advice and counsel on a regular basis. Mr. Orloff graduated from Georgetown University in 1977, and received his Juris Doctor from The Columbus School of Law at Catholic University in 1983. 11 Panvarr TARP AND C:nN►:rnr:NTIAr (r l 2(1(19 ('wrrni. PARTNERS. INC_ CAPITOL PARTNERS INC. TEAM (continued) MIMI BRANIFF, PRINCIPAL MIMI PHUKAN BRANIFF brings years of legal and Congressional experience to Capitol Partners, Inc. Before joining Capitol Partners, Ms. Braniff served as Full Committee Professional Staff Counsel for Senator Ted Stevens (R -AK) and Senator Tad Cochran (R -MS) on the Senate Appropriations Committee from January 2004 through September 2007. In this capacity, she developed appropriations legislation, and was responsible for drafting bill text, report language, and amendments. In addition, Ms. Braniff worked on bipartisan efforts, provided counsel to committee members on policy initiatives, and met with government officials and interest groups to determine funding priorities for the Appropriations Committee. She also worked on many funding initiatives including: municipal projects, energy research, defense technology, biological and environmental research, Homeland Security preparedness, hospitals, transportation projects, economic development projects, health clinics, and agricultural research. Ms. Braniff also served as Deputy Chief Counsel and Acting Staff Director on the Senate Commerce, Science, and Transportation Committee also under the direction of Senator Stevens. The jurisdiction of the Commerce Committee is among the broadest in the Congress, and includes: the Coast Guard, marine and ocean issues, telecommunications issues/Federal Communications Commission, NASA, interstate commerce, regulation of consumer products and services, science and technology research, highway safety, and development and the regulation of interstate common carriers (railroads, buses, trucks, pipelines, and the aviation industry). Ms. Braniff advised the committee on a variety of policy, legislative, and legal matters, including: Corporate Average Fuel Economy standards; the Consumer Product Safety Bill; the Rail Safety Bill; Federal Trade Commission issues; the Federal Aviation Administration Reauthorization Bill; Transportation Security Administration issues; the Digital Television Transition; NASA Reauthorization; ocean and fisheries issues; the America Competes Act; and bills impacting the telecommunications industry. Ms. Braniff began her career on Capitol Hill as a Legislative Assistant for Senator Ted Stevens in 2003 where she provided legal counsel and drafted legislation on multiple issues including: the budget, taxes, trade, the economy, issues before the Government Affairs Committee, and the environment. Prior to government service, Ms. Braniff practiced law in California and Indiana where she specialized in federal and state litigation. Ms. Braniff graduated with a B.S. in Political Science from Lewis & Clark College in 1996, and received her Juris Doctor and Certificate in Dispute Resolution from Pepperdine School of Law in 1999. 12 PRCIPRIFTAI2v AND ( nNI InpNTIAi (rl70[19 C'anrrni P4RTNFRc. INC_ CAPITOL PARTNERS INC. TEAM (continued) CARL HOLSHOUSER, PRINCIPAL, CARL HOLSHousER incorporates a long family history in Texas and a comprehensive understanding of the legislative process to earn a reputation of achieving unparalleled results for Capitol Partners' clients. Mr. Holshouser's Texas roots are evident through his client base, previous public service, and close personal and professional relationships with key members of Texas' top decision makers including Speaker Joe Straus, Rep. Michael McCaul, and Texas Railroad Commissioner Elizabeth Ames Jones, to name a few. Mr. Holshouser began his work in public service in the Executive Office of the Attorney General of Texas and the Washington Office of Congressman Lamar Smith. Most recently, Mr. Holshouser served as Special Assistant and Personal Aide to Senator Kay Bailey Hutchison (R -TX). In this role he staffed the Senator at all official appointments, hearings, interviews, and accompanied her to the Senate floor for votes. He similarly served as the Senator's Travel Aide during the 2006 reelection cycle. As a Congressional staffer, Mr. Holshouser witnessed countless attempts in which various organizations presented their requests to members of Congress . While participating in meetings with mayors, superintendents, chancellors, business executives, and community leaders, he gained an awareness of which requests were most effectively presented. With this understanding at hand, he developed a strategic formula to achieve the desired results for his clients. Capitol Partners has enjoyed years of success by applying this unique, modern formula to the needs of all the firm's clients resulting in tens of millions of dollars in federal funding. Adding to Mr. Holshouser's ability to effectively manage complex legislative processes, he believes strongly in providing an exceptional client experience. From day one, he manages the needs of his clients directly and provides a diligent hands-on approach. lhis method includes frequent communication, a complete understanding of day-to-day needs, direct participation and planning of local events pertinent to client's goals, and an "on call" mentality. 13 PR(IPRITT IIV AND C(1NF1111-7NT1Ai ((') 7009 CAPITfI. PARTNFRR_ IN('_ CAPITOL PARTNERS INC. TEAM (continued) MAYA MAHONEY, SENIOR ASSOCIATE MAYA MAHONEY has worked at Capitol Partners for 2 years. She joined Capitol Partners in July 2006 as an Executive Associate and became a Senior Associate in August 2008. With her 2 years of lobbying and consulting experience she has developed relationships on the Hill and has gained a comprehensive knowledge and understanding of the legislative and appropriations process. Prior to her work at Capitol Partners, Maya lived in Cairo, Egypt and worked at the U.S. Embassy in the Ambassador and Deputy Chief of Missions Front Office, the Office of Military Cooperation Office and the Community Liaison Office. She is a 2005 graduate of Southern Methodist University in Dallas, Texas where she studied Broadcast Journalism and Political Science. During her college career, she interned at the CBS affiliate in Dallas and was involved in numerous organizations, including the Orientation Leadership Institute, National Collegiate Scholars, and her sorority, Gamma Phi Beta. LAURA JONES, EXECUTIVE ASSOCIATE LAURA JONES is Capitol Partners' Executive Associate/IT Specialist. She officially joined the Capitol Partners' team in August 2008 after interning with the firm for a year. She holds a Bachelor's degree from the University of Maryland, Baltimore County and a Masters degree in International Relations and European Studies from Central European University in Budapest. Laura has several years experience researching European Union policy issues and working with NGOs and non -profits. She enjoys languages and travel, and speaks Russian, Spanish, Czech and Hungarian. JOSH NEIMAN, ASSOCIATE JOSH NEIMAN joined Capitol Partners as an Associate in June 2009. Prior to his work with Capitol Partners, Josh worked in the office of Representative Dana Rohrabacher (R -CA). In this capacity, he developed a strong understanding of the legislative and appropriations processes. He attended The George Washington University where he studied Political Science, graduating summa cum laude and with the highest departmental honors. While in college, he was also active in the Student Association and worked for the university's Division of Development and Alumni Relations. 14 P►znpRIVFAIav AND CnNI:►npNT►AI (CI ?Ong C:anrrn► PARTNFRc. INr_ CAPITOL PARTNERS, INC. ADVISORY BOARD STUART SPENCER STUART SPENCER brings over a decade of political and policy experience at the most senior levels on behalf of his clients. Prior to entering the private sector in 2003, Spencer served as Staff Direc- tor to the powerful Committee on Rules, Subcommittee on Legislative Process, as well as Chief of Staff to current Rules chair Louise Slaughter (D -NY). As part of the Democratic Leadership team, Mr. Spencer worked with staff from all House committees to craft the Democratic agenda during floor debate, advocating priorities and devising procedural strategies to ensure full consideration of their positions. As Chief of Staff, Mr. Spencer acted as senior advisor and strategist on policy, communications and political issues while overseeing Washington, D.C. and New York staff and operations. Prior to his becoming Chief of Staff, Spencer served as Rep. Slaughter's legislative counsel for the House Government Reform and Oversight Committee during the investigations of Executive branch actions regarding federal law enforcement operations at Waco, White House -FBI interaction, and White House database inquiries. Mr. Spencer received his B.A. from Princeton University, and graduated cum laude from Tulane Law School in May 1995 serving as Editor -in -Chief of the Tulane Environmental Law Journal. JOHN STILES JOHN STILES brings a varied experience to the team. He began his career after college with Bechtel Power building nuclear power plants and left as a senior field engineer to enter law school. Mr. Stiles spent 13 years in private law practice concentrating in transactional real estate and construction disputes. He left the private practice of law to form a specialized company for the installation and repair of detention and control equipment in city, county, state, and federal detention facilities. His company completed two 2250 bed prison facilities in Texas, along with other smaller facilities in and out of Texas. For the last 15 years, Mr. Stiles has been a consultant to small and medium sized companies and high net worth individuals on a wide range of issues in Texas. He has created a business of identifying problems and issues, identifying and hiring the proper people for the solution, and managing the issue resolution. Mr. Stiles is a graduate of the University of Texas at Austin with an electrical engineering degree, and is a graduate of St. Mary's University with a Doctor of Jurisprudence degree. Mr. Stiles has been involved in various charitable organizations, and has served on the State Bar Grievance Committee for the San Antonio Area. He served on the City Council of Olmos Park, Texas for ten years, and has been selected for the next class of Masters Leadership San Antonio. 15 P1201)12 It -TARN' AND CnNr1TlPNTIAT (CI 70(19 C;,aurrnr PAi NI:12R INC_ CAPITOL PARTNERS, INC. ADVISORY BOARD (continued) DAVID WHITMORE, ESQ. DAVID WHITMORE brings over two decades of diverse Chief Operations Officer/Chief Financial Officer experience to boards, executives and senior management requiring expert assistance in mergers and acquisitions, financial strategy, and in managing the resources that drive organizational performance. David was Executive Vice President, Chief Financial Officer, Chief Operating Officer and General Counsel of Qorvis Communications, a rapid -growth public relations firm that counts among its clients the Kingdom of Saudi Arabia. David was Executive Vice President, Chief Financial Officer and member of the Board of Directors of Shandwick Washington/The Cassidy Companies, the Washington, D.C. branch of Weber/Shandwick Worldwide, one of the world's leading public relations firms and a subsidiary of the Interpublic Group of Companies, a global advertising and communications holding company. David has served as a senior executive in a number of other entrepreneurial firms, where his proven skills, practiced counsel and adroit trouble -shooting have been instrumental to corporate growth and success. He currently serves as Chief Operating Officer and General Counsel to Levick Strategic Communications, LLC. JAMES A. RowAN, JR. JAMES ROWAN is a Managing Director of Stifel, Nicolaus & Company, Incorporated, a full service investment banking firm (formerly Legg Mason Capital Markets.) Stifel Nicolaus provides investment advisory, securities brokerage, mortgage banking, and corporate and public finance services to individuals, corporations, institutions and municipalities. He directs the corporate finance practice on education and training, and has done so since 1995, when he conceived, initiated and executed a plan to develop a significant role for Legg Mason investment banking in the proprietary education and training industries. Since then, the Education Banking Group has represented numerous clients, including: Laureate Educate, Inc., Strayer Education, The Princeton Review, Capella Education, Educate, Career Education Corp., Whitman Education and Nobel Learning Communities. These include initial public offerings, pricate placements, merger/acquisition advisory, valuations and fairness opinions. Within the field of education, Stifel Nicolaus is recognized today as one of the leading investment banking firms in the United States. Immediately prior to Legg Mason and Stifel Nicolaus, Rowan was a venture capitalist for six years. Prior to that, he was a senior financial executive at ITT Corporation and City Investing Company. A graduate of The Lawrenceville School, he received a B.A. in Economics from Cornell University and an M.B.A. in Finances from the Johnson School of Management at Cornell. 16 P12111)12 kV ANn CnNI InFNTIAI (c) 7.(109 rAvrrnr. PiRTNFIac. INC. TERMS Capitol Partners, Inc. bills on a retainer basis, invoiced monthly in advance. For the services described above, we propose a monthly retainer beginning January 15, 2010 for a period of one year at a rate of $8,000 a month, and continuing for a second year if the parties are in agreement. If after achieving meaningful success during the period of this contract, Capitol Partners, Inc will look forward to the opportunity to discuss an increased fee in the future. Capitol Partners charges a 2.5% monthly administrative fee for incidental costs such as faxes, mail, phone calls, etc. We also charge for modest, but necessary expenses and fees (to be pre -approved by the client on request) including travel. This contract is an agreement for public affairs consulting services between Capitol Partners Inc. and the City of Round Rock. Capitol Partners, Inc. will strictly adhere to both the letter and spirit of all federal, state, and local lobbying laws. If this proposal meets with your approval, please sign two copies, keep one for your records, and return one to us. Jonathan M. Orloff President Capitol Partners, Inc. Alan McGraw Mayor City of Round Rock 17 PROPRnvTARV AND C(1NPIT)RNTIAT trl 2009 ('APITnI. PARTNFRC_ 1N!`. DATE: January 21, 2010 SUBJECT: City Council Meeting —January 28, 2010 ITEM: 10G2. Consider a resolution authorizing the Mayor to execute a Professional Consulting Services Agreement with Capitol Partners, Inc. Department: Staff Person: Justification: Administration Cindy Demers, Assistant City Manager This agreement is from February 1, 2010 to January 31, 2011 for professional consulting work related to identifying and securing federal funding for prioritized City projects. Capitol Partners has assisted the City in developing and executing our FY 2010 Federal Legislative Program. Continuance of their professional services would benefit the City as we develop the 2011 Federal Legislative Program. Capitol Partners, based out of Washington D.C., has the background, knowledge and contacts to effectively work through the federal process. Strategic Plan Relevance: The City is pursuing federal funding opportunities in order to achieve several strategic goals including improving mobility and connectivity, ensuring a safe, adequate and affordable water supply, ensuring a high and timely level of public safety and developing the financial capital needed to support business growth and development, and improve the financial advantages of operating in the City. Funding: Cost: $98, 400 Source of Funds: General and Utility Funds Outside Resources: Capitol Partners, Inc. Public Comment: N/A EXECUTED DOCUMENT FOLLOWS CITY OF ROUND ROCK AGREEMENT FOR PROFESSIONAL PUBLIC AFFAIRS CONSULTING SERVICES WITH CAPITOL PARTNERS, INC. This Agreement (hereinafter referred to as the "Agreement") is made by and between the City of Round Rock, a Texas home -rule municipal corporation whose offices are located at 221 East Main Street, Round Rock, Texas 78664-5299 (hereinafter referred to as the "City"), and Capitol Partners, Inc. whose offices are located at 1101 17th Street NW, Suite 202, Washington, DC 20036 (hereinafter referred to as the "Consultant"). This Agreement shall recite the contractual terms whereby the City of Round Rock engages Capitol Partners, Inc. to perform, by way of illustration and not limitation, the following services: Public affairs consulting services in relation to identifying and securing federal funding for growth and development projects, and in relation to developing partnerships between the City of Round Rock, Congress, and the federal government that result in substantial government funding and support for desired infrastructure and other projects. RECITALS: WHEREAS, City has determined that there is a need for the delineated services; and WHEREAS, City desires to contract for such professional services; and WHEREAS, the parties desire to enter into this Agreement to set forth in writing their respective rights, duties and obligations hereunder; NOW, THEREFORE, WITNESSETH: That for and in consideration of the mutual promises contained herein and other good and valuable consideration, the sufficiency and receipt of which are hereby acknowledged, it is mutually agreed between the parties as follows: 1.01 EFFECTIVE DATE, DURATION, AND TERM This Agreement shall be effective from February 1, 2010, and shall remain in full force and effect unless and until it expires by operation of the term indicated herein, or is terminated or extended as provided herein. The term of this Agreement shall be until full and satisfactory completion of the services specified herein is achieved, but in no event later than twelve (12) months from the effective date of this Agreement. At City's sole and unfettered option, this Agreement may be renewed for additional twelve (12) month periods from the expiration date of the initial term, only upon the express written agreement of both parties and only provided Consultant has performed each and every contractual obligation specified in this Agreement. City reserves the right to review the Agreement and contractual relationship at any time, and may elect to terminate same with or without cause or may elect to continue. 00179857/jkg 'R-tD-t)(- 20- (06r2- 1.02 CONTRACT AMOUNT; SCOPE OF SERVICES DELINEATION In consideration for the professional services to be performed by Consultant, City agrees to pay Consultant the amount of Eight Thousand and No/100 Dollars ($8,000.00) per month as a retainer for services and for receipt of the "Public Affairs Proposal" deliverables as delineated herein. This amount does not include administrative fees which otherwise are payable under this Agreement as delineated in Section 1.03. This amount does not include expenses which otherwise are reimbursable under this Agreement as delineated in Section 1.03. For purposes of this Agreement, Consultant has issued its "Public Affairs Proposal" for the services delineated herein. Such "Public Affairs Proposal" is attached hereto as Exhibit "A" and incorporated herein by reference for all purposes. This Agreement, and its accompanying exhibit, shall evidence the entire understanding and agreement between the parties and shall supersede any prior proposals, correspondence or discussions. Consultant shall satisfactorily provide all services described under the attached "Public Affairs Proposal" within the contract term specified in Section 1.01. Consultant's undertakings shall be limited to performing services for City and/or advising City concerning those matters on which Consultant has been specifically engaged. Consultant shall perform its services in accordance with this Agreement, in accordance with any appended exhibits, in accordance with due care, and in accordance with prevailing consulting industry standards for comparable services. 1.03 PAYMENT FOR SERVICES; REIMBURSABLE EXPENSES; SUPPLEMENTAL AGREEMENTS Payment for Services: In consideration for the professional consulting services to be performed by Consultant, City agrees to pay Consultant in accordance with the terms set forth below: All retainer payments to Consultant shall be made on the basis of invoices submitted by Consultant and approved by City in accordance with Section 1.04 herein, payable monthly in advance. Payment for Administrative Fees: Administrative fees in the amount of $200.00 per month shall be paid to Consultant, upon Consultant properly invoicing for same and providing documentation for same. Such administrative fees shall cover Consultant's incidental costs including but not limited to postage charges, facsimile charges, telephone charges, and the like. Payment for Reimbursable Expenses: Reimbursable expenses authorized in writing in advance by City shall be paid to Consultant at actual cost, upon Consultant properly invoicing for same and providing documentation for same. Not -to -Exceed Total for Services: Unless subsequently changed by additional Supplemental Agreement hereto, duly authorized by City Council or City Manager action, Consultant's total compensation for services hereunder shall not exceed $96,000.00. This amount represents the absolute limit of City's liability to Consultant hereunder unless same shall be changed by additional Supplemental Agreement, and City shall pay, strictly within the confines of the not -to -exceed sum recited herein, Consultant's professional fees for work done on behalf of City. Not -to -Exceed Total for Administrative Fees: Unless subsequently changed by additional Supplemental Agreement hereto, duly authorized by City Council or City Manager action, Consultant's total compensation for administrative fees hereunder shall not exceed $2,400.00. This amount represents the absolute limit of City's liability to Consultant hereunder unless same shall be changed by additional 2 Supplemental Agreement, and City shall pay, strictly within the confines of the not -to -exceed sum recited herein, Consultant's administrative fees for work done on behalf of City. Deductions: No deductions shall be made for Consultant's compensation on account of penalty, liquidated damages or other sums withheld from payments to Consultant. Additions: No additions shall be made to Consultant's compensation based upon claims, whether paid by City or denied. Supplemental Agreements: The terms of this Agreement may be modified by written Supplemental Agreement hereto, duly authorized by City Council or City Manager action, if City determines that there has been a significant change in (1) the scope, complexity, or character of the services to be performed; or (2) the duration of the work. Any such Supplemental Agreement must be executed by both parties within the period specified as the term of this Agreement. Consultant shall not perform any work or incur any additional costs prior to the execution, by both parties, of such Supplemental Agreement. Consultant shall make no claim for extra work done unless and until there is full execution of any Supplemental Agreement, and City shall not be responsible for actions by Consultant nor for any costs incurred by Consultant relating to additional work not directly authorized by Supplemental Agreement. 1.04 INVOICE REQUIREMENTS; TERMS OF PAYMENT Invoices: To receive payment, Consultant shall prepare and submit a series of monthly invoices to City. Each invoice for professional services shall detail the services performed, along with documentation. All payments to Consultant shall be made on the basis of the invoices submitted by Consultant and approved by City. Should additional backup material be requested by City, Consultant shall comply promptly. In this regard, should City determine it necessary, Consultant shall make all records and books relating to this Agreement available to City for inspection and auditing purposes. If City has any dispute with work performed, then City shall notify Consultant within thirty (30) days after receipt of invoice. In the event of any dispute regarding the work performed, then and in that event Consultant shall either (a) satisfactorily re -perform the disputed services or (b) provide City with an appropriate credit. Payment of Invoices: City reserves the right to correct any error that may be discovered in any invoice that may have been paid to Consultant and to adjust same to meet the requirements of this Agreement. Following approval of invoices, City shall endeavor to pay Consultant promptly, but no later than the time period required under the Texas Prompt Payment Act described in Section 1.08 herein. Under no circumstances shall Consultant be entitled to receive interest on payments which are late because of a good faith dispute between Consultant and City or because of amounts which City has a right to withhold under this Agreement or state law. City shall be responsible for any sales, gross receipts or similar taxes applicable to the services, but not for taxes based upon Consultant's net income. Offsets: City may, at its option, offset any amounts due and payable under this Agreement against any debt (including taxes) lawfully due to City from Consultant, regardless of whether the amount due arises pursuant to the terms of this Agreement or otherwise and regardless of whether or not the debt due to City has been reduced to judgment by a court. 1.05 REQUIRED REPORTS Consultant agrees to provide City with any necessary detailed final written reports, together with all information gathered and materials developed during the course of the relationship. Additionally, 3 Consultant agrees to provide City with any necessary oral presentations of such detailed final written reports, at City's designation and at no additional cost to City. 1.06 LIMITATION TO SCOPE OF SERVICES Consultant and City agree that the scope of services to be performed is generally enumerated in the "Public Affairs Proposal" labeled as Exhibit "A" and attached hereto. Notwithstanding anything herein to the contrary, the parties agree that City retains absolute discretion and authority for all funding decisions, such decisions to be based solely on criteria accepted by City which may be influenced by but not be dependent on Consultant's work. 1.07 NON -APPROPRIATION; FISCAL FUNDING This Agreement is a commitment of City's current revenues only. It is understood and agreed that City shall have the right to terminate this Agreement at the end of any City fiscal year if the governing body of City does not appropriate funds sufficient to purchase the services as determined by City's budget for the fiscal year in question. City may effect such termination by giving Consultant a written notice of termination at the end of its then -current fiscal year. 1.08 PROMPT PAYMENT POLICY In accordance with Chapter 2251, V.T.C.A., Texas Government Code, any payment to be made by City to Consultant will be made within thirty (30) days of the date City receives goods under this Agreement, the date the performance of the services under this Agreement are completed, or the date City receives a correct invoice for the goods or services, whichever is later. Consultant may charge interest on an overdue payment at the "rate in effect" on September 1 of the fiscal year in which the payment becomes overdue, in accordance with V.T.C.A., Texas Government Code, Section 2251.025(b). This Prompt Payment Policy does not apply to payments made by City in the event: (a) There is a bona fide dispute between City and Consultant, a contractor, subcontractor, or supplier about the goods delivered or the service performed that cause the payment to be late; or (b) There is a bona fide dispute between Consultant and a subcontractor or between a subcontractor and its supplier about the goods delivered or the service performed that causes the payment to be late; or (c) The terms of a federal contract, grant, regulation, or statute prevent City from making a timely payment with federal funds; or (d) The invoice is not mailed to City in strict accordance with any instruction relating to the payment. 1.09 TERMINATION; DEFAULT Termination: It is agreed and understood by Consultant that City may terminate this Agreement for the convenience of City, upon fifteen (15) days' written notice to Consultant, with the understanding that immediately upon receipt of said notice all work being performed under this Agreement shall cease. Consultant shall invoice City for work satisfactorily completed and shall be compensated in accordance with the terms hereof for work accomplished prior to the receipt of said notice of termination. Consultant shall not be entitled to any lost or anticipated profits for work terminated under this Agreement. Unless otherwise specified in this Agreement, all data, information, and work product related to this project shall become the property of City upon termination of this Agreement, and shall be promptly delivered to City 4 in a reasonably organized form without restriction on future use, subject to the conditions set forth herein. Should City subsequently contract with a new consultant for continuation of service, Consultant shall cooperate in providing information. Termination of this Agreement shall extinguish all rights, duties, and obligations of City and the terminated party to fulfill contractual obligations. Termination under this section shall not relieve the terminated party of any obligations or liabilities which occurred prior to termination. Nothing contained in this section shall require City to pay for any work which is unsatisfactory or which is not submitted in compliance with the terms of this Agreement. Default: Either party may terminate this Agreement, in whole or in part, for default if the alleging party provides the other party with written notice of such default and the other fails to satisfactorily cure such default within ten (10) business days of receipt of such notice (or a greater time if agreed upon between the parties). If default results in termination of this Agreement, then City shall give consideration to the actual costs incurred by Consultant in performing the work to the date of default. The cost of the work that is useable to City, the cost to City of employing another firm to complete the useable work, and other factors will affect the value to City of the work performed at the time of default. Neither party shall be entitled to any lost or anticipated profits for work terminated for default hereunder. The termination of this Agreement for default shall extinguish all rights, duties, and obligations of the terminating party and the terminated party to fulfill contractual obligations. Termination under this section shall not relieve the terminated party of any obligations or liabilities which occurred prior to termination. Nothing contained in this section shall require City to pay for any work which is unsatisfactory, or which is not submitted in compliance with the terms of this Agreement. 1.10 INDEPENDENT CONTRACTOR STATUS Consultant is an independent contractor, and is not City's employee. Consultant's employees or subcontractors are not City's employees. This Agreement does not create a partnership, employer- employee, or joint venture relationship. No party has authority to enter into contracts as agent for the other party. Consultant and City agree to the following rights consistent with an independent contractor relationship: (1) Consultant has the right to perform services for others during the term hereof. (2) Consultant has the sole right to control and direct the means, manner and method by which it performs its services required by this Agreement. (3) Consultant has the right to hire assistants as subcontractors, or to use employees to provide the services required by this Agreement. (4) Consultant or its employees or subcontractors shall perform services required hereunder, and City shall not hire, supervise, or pay assistants to help Consultant. (5) Neither Consultant nor its employees or subcontractors shall receive training from City in skills necessary to perform services required by this Agreement. 5 (6) City shall not require Consultant or its employees or subcontractors to devote full time to performing the services required by this Agreement. (7) Neither Consultant nor its employees or subcontractors are eligible to participate in any employee pension, health, vacation pay, sick pay, or other fringe benefit plan of City. 1.11 NON -SOLICITATION Except as may be otherwise agreed in writing, during the term of this Agreement and for twelve (12) months thereafter, neither City nor Consultant shall offer employment to or shall employ any person employed then or within the preceding twelve (12) months by the other or any affiliate of the other if such person was involved, directly or indirectly, in the performance of this Agreement. This provision shall not prohibit the hiring of any person who was solicited solely through a newspaper advertisement or other general solicitation. 1.12 CITY'S RESPONSIBILITIES Full information: City shall provide full information regarding project requirements. City shall have the responsibility of providing Consultant with such documentation and information as is reasonably required to enable Consultant to provide the services called for. City shall require its employees and any third parties who are otherwise assisting, advising or representing City to cooperate on a timely basis with Consultant in the provision of its services. Consultant may rely upon written information provided by City and its employees and agents as accurate and complete. Consultant may rely upon any written directives provided by City or its designated representative concerning provision of services as accurate and complete. Required materials: Consultant's performance requires receipt of all requested information reasonably necessary to provision of services. City shall furnish information which includes but is not limited to pertinent correspondence with other local municipal and planning officials, previous analyses or feasibility studies, and other pertinent information. Consultant agrees, within ten (10) days of the effective date of this Agreement, to provide City with a comprehensive and detailed information request list. 1.13 CONFIDENTIALITY; MATERIALS OWNERSHIP Any and all programs, data, or other materials furnished by City for use by Consultant in connection with services to be performed under this Agreement, and any and all data and information gathered by Consultant, shall be held in confidence by Consultant as set forth hereunder. Each party agrees to take reasonable measures to preserve the confidentiality of any proprietary or confidential information relative to this Agreement, and to not make any use thereof other than for the performance of this Agreement, provided that no claim may be made for any failure to protect information that occurs more than three (3) years after the end of this Agreement. The parties recognize and understand that City is subject to the Freedom of Information Act and its duties run in accordance therewith. All data relating specifically to City's business and any other information which reasonably should be understood to be confidential to City is confidential information of City. Consultant's proprietary software, tools, methodologies, techniques, ideas, discoveries, inventions, know-how, and any other information which reasonably should be understood to be confidential to Consultant is confidential 6 information of Consultant. City's confidential information and Consultant's confidential information is collectively referred to as "Confidential Information." Each party shall use Confidential Information of the other party only in furtherance of the purposes of this Agreement and shall not disclose such Confidential Information to any third party without the other party's prior written consent, which consent shall not be unreasonably withheld. Each party agrees to take reasonable measures to protect the confidentiality of the other party's Confidential Information and to advise their employees of the confidential nature of the Confidential Information and of the prohibitions herein. Notwithstanding anything to the contrary contained herein, neither party shall be obligated to treat as confidential any information disclosed by the other party (the "Disclosing Party") which: (1) is rightfully known to the recipient prior to its disclosure by the Disclosing Party; (2) is released by the Disclosing Party to any other person or entity (including governmental agencies) without restriction; (3) is independently developed by the recipient without any reliance on Confidential Information; or (4) is or later becomes publicly available without violation of this Agreement or may be lawfully obtained by a party from any non-party. Notwithstanding the foregoing, either party will be entitled to disclose Confidential Information of the other to a third party as may be required by law, statute, rule or regulation, including subpoena or other similar form of process, provided that (without breaching any legal or regulatory requirement) the party to whom the request is made provides the other with prompt written notice and allows the other party to seek a restraining order or other appropriate relief. Subject to Consultant's confidentiality obligations under this Agreement, nothing herein shall preclude or limit Consultant from providing similar services for other clients. Neither City nor Consultant will be liable to the other for inadvertent or accidental disclosure of Confidential Information if the disclosure occurs notwithstanding the party's exercise of the same level of protection and care that such party customarily uses in safeguarding its own proprietary and confidential information. Notwithstanding anything to the contrary in this Agreement, City will own as its sole property all written materials created, developed, gathered, or originally prepared expressly for City and delivered to City under the terms of this Agreement (the "Deliverables"); and Consultant shall own any general skills, know-how, expertise, ideas, concepts, methods, techniques, processes, software, or other similar information which may have been discovered, created, developed or derived by Consultant either prior to or as a result of its provision of services under this Agreement (other than the Deliverables). Consultant's working papers and Consultant's Confidential Information (as described herein) shall belong exclusively to Consultant. City shall have a non-exclusive, non -transferable license to use Consultant's Confidential Information for City's own internal use and only for the purposes for which they are delivered to the extent that they form part of the Deliverables. 1.14 WARRANTIES Consultant represents that all services performed hereunder shall be performed consistent with generally prevailing professional or industry standards, and shall be performed in a professional and workmanlike manner. Consultant shall re -perform any work not in compliance with this representation. Consultant disclaims all other warranties express or implied including but not limited to the implied warranties of merchantability and fitness for a particular purpose. 1.15 LIMITATION OF LIABILITY Should any of Consultant's services not conform to the requirements of this Agreement, then and in that event City shall give written notification to Consultant; thereafter, (a) Consultant shall either promptly re -perform such services to the City's reasonable satisfaction at no additional charge, or (b) if 7 such deficient services cannot be cured within the cure period set forth herein in Section 1.09, then this Agreement may be terminated for default. In no event will Consultant be liable for any loss, damage, cost or expense attributable to negligence, willful misconduct or misrepresentations by City, its directors, employees or agents. In no event shall Consultant be liable to City, by reason of any act or omission relating to the services provided under this Agreement (including the negligence of Consultant), whether a claim be in tort, contract or otherwise, (a) for any consequential, indirect, lost profit, punitive, special or similar damages relating to or arising from the services, or (b) in any event, in the aggregate, for any amount in excess of the total professional fees paid by City to Consultant under this Agreement, except to the extent determined to have resulted from Consultant's gross negligence, willful misconduct or fraudulent acts relating to the service provided hereunder. 1.16 INDEMNIFICATION Consultant and City each agree to indemnify, defend and hold harmless the other from and against amounts payable under any judgment, verdict, court order or settlement for death or bodily injury or the damage to or loss or destruction of any real or tangible property to the extent arising out of the indemnitor's negligence in the performance of this Agreement. Consultant agrees to indemnify, defend and hold harmless City from and against any and all amounts payable under any judgment, verdict, court order or settlement for Third Party claims of infringement of any trade secrets, copyrights, trademarks or trade names alleged to have occurred and arising from the deliverables provided by Consultant to City in connection with the performance of this Agreement. Should City's use of such deliverables be determined to have infringed, Consultant may, at its option: (i) procure for City the right to continue using such deliverables provided or (ii) replace or modify them to make their use non -infringing while yielding substantially equivalent results. If neither of the above options are or would be available on a basis that is commercially reasonable, then Consultant may terminate this Agreement, City shall return such deliverables provided, and Consultant will refund to City the fees paid for the deliverables provided. This infringement indemnity does not cover claims arising from the combination of such deliverables with products or services not provided by Consultant; the modification of such deliverables by any person other than Consultant; deliverables complying with or based upon (1) designs provided by or at the direction of City or (2) specifications or other information provided by or at the direction of City; or use of systems, materials or work performed in a manner not permitted hereunder or by another obligation of City to Consultant. The indemnities in this section are contingent upon: (1) the indemnified party promptly notifying the indemnifying party in writing of any claim which gives rise to a claim for indemnification hereunder; (2) the indemnifying party being allowed to participate in the defense and settlement of such claim; and (3) the indemnified party cooperating with all reasonable requests of the indemnifying party (at the indemnifying party's expense) in defending or settling a claim. The indemnified party shall have the right, at its option and expense, to participate in the defense of any suit or proceeding through counsel. 1.17 ASSIGNMENT AND DELEGATION The parties each hereby bind themselves, their successors, assigns and legal representatives to each other with respect to the terms of this Agreement. Neither party may assign any rights or delegate any duties under this Agreement without the other party's prior written approval, which approval shall not be unreasonably withheld. 8 1.18 LOCAL, STATE AND FEDERAL TAXES Consultant shall pay all income taxes, and FICA (Social Security and Medicare taxes) incurred while performing services under this Agreement. City will not do the following: (1) Withhold FICA from Consultant's payments or make FICA payments on its behalf; (2) Make state and/or federal unemployment compensation contributions on Consultant's behalf; or (3) Withhold state or federal income tax from any of Consultant's payments. If requested, City shall provide Consultant with a certificate from the Texas State Comptroller indicating that City is a non-profit corporation and not subject to State of Texas Sales and Use Tax. 1.19 INSURANCE Insurance: Consultant, at Consultant's sole cost, shall have and maintain during the term of this Agreement professional liability insurance coverage in the minimum amount of One Million Dollars from a company authorized to do insurance business in Texas and otherwise acceptable to City. Subconsultant Insurance: Without limiting any of the other obligations or liabilities of Consultant, Consultant shall require each subconsultant performing work under this Agreement to maintain during the term of the Agreement, at the subconsultant's own expense, the same stipulated minimum insurance required in the immediately preceding paragraph, including the required provisions and additional policy conditions as shown below. As an alternative, Consultant may include its subconsultants as additional insureds on its own coverages as prescribed under these requirements. Consultant's certificate of insurance shall note in such event that the subconsultants are included as additional insureds. Consultant shall obtain and monitor the certificates of insurance from each subconsultant in order to assure compliance with the insurance requirements. Consultant must retain the certificates of insurance for the duration of this Agreement, and shall have the responsibility of enforcing these insurance requirements among its subconsultants. City shall be entitled, upon request and without expense, to receive copies of these certificates of insurance. Insurance Policy Endorsements: Each insurance policy hereunder shall include the following conditions by endorsement to the policy: (1) Each policy shall require that thirty (30) days prior to the expiration, cancellation, non- renewal or any material change in coverage, a notice thereof shall be given to City by mail to: City Manager, City of Round Rock 221 East Main Street Round Rock, Texas 78664 Consultant shall also notify City, within ten (10) days of receipt, of any notices of expiration, cancellation, non -renewal, or material change in coverage it receives from its insurer. (2) Companies issuing the insurance policies shall have no recourse against City for payment of any premiums or assessments for any deductibles which all are at the sole responsibility and risk of Consultant. 9 (3) Terms "the City" or "the City of Round Rock" shall include all authorities, boards, commissions, departments, and officers of City and individual members, employees and designated agents in their official capacities, or while acting on behalf of the City of Round Rock. (4) The policy clause "Other Insurance" shall not apply to any insurance coverage currently held by City, to any future coverage, or to City's Self -Insured Retentions of whatever nature. (5) Consultant and City mutually waive subrogation rights each may have against the other for loss or damage, to the extent same is covered by the proceeds of insurance. Cost of Insurance: The cost of all insurance required herein to be secured and maintained by Consultant shall be borne solely by Consultant, with certificates of insurance evidencing such minimum coverage in force to be filed with City. 1.20 COMPLIANCE WITH LAWS, CHARTER AND ORDINANCES As this Agreement is a contract for public affairs consulting services, Consultant will strictly adhere to both the letter and spirit of all federal, state, and local lobbying laws. Consultant, its consultants, agents, employees and subcontractors shall comply with all applicable federal and state laws, the Charter and Ordinances of the City of Round Rock, as amended, and with all applicable rules and regulations promulgated by local, state and national boards, bureaus and agencies. Consultant shall further obtain all permits, licenses, trademarks, or copyrights required in the performance of the services contracted for herein, and same shall belong solely to City at the expiration of the term of this Agreement. 1.21 FINANCIAL INTEREST PROHIBITED Consultant covenants and represents that Consultant, its officers, employees, agents, consultants and subcontractors will have no financial interest, direct or indirect, in the purchase or sale of any product, materials or equipment that will be recommended or required hereunder. 1.22 DESIGNATION OF REPRESENTATIVES City hereby designates the following representative authorized to act in its behalf with regard to this Agreement: James R. Nuse, PE City Manager City of Round Rock 221 East Main Street Round Rock, Texas 78664 Consultant hereby designates the following representative authorized to act in its behalf with regard to this Agreement: Carl Holshouser, Principal Capitol Partners, Inc. 1101 17th Street NW, Suite 202 Washington, DC 20036 10 1.23 NOTICES All notices and other communications in connection with this Agreement shall be in writing and shall be considered given as follows: (1) When delivered personally to recipient's address as stated herein; or (2) Three (3) days after being deposited in the United States mail, with postage prepaid to the recipient's address as stated in this Agreement. Notice to Consultant: Capitol Partners, Inc. 1101 17th Street NW, Suite 202 Washington, DC 20036 Notice to City: City Manager, City of Round Rock 221 East Main Street Round Rock, TX 78664 AND TO: Stephan L. Sheets, City Attorney 309 East Main Street Round Rock, TX 78664 Nothing contained in this section shall be construed to restrict the transmission of routine communications between representatives of City and Consultant. 1.24 APPLICABLE LAW; ENFORCEMENT AND VENUE This Agreement shall be enforceable in Round Rock, Texas, and if legal action is necessary by either party with respect to the enforcement of any or all of the terms or conditions herein, exclusive venue for same shall lie in Williamson County, Texas. This Agreement shall be governed by and construed in accordance with the laws and court decisions of Texas. 1.25 EXCLUSIVE AGREEMENT The terms and conditions of this Agreement, including exhibits, constitute the entire agreement between the parties and supersede all previous communications, representations, and agreements, either written or oral, with respect to the subject matter hereof. The parties expressly agree that, in the event of any conflict between the terms of this Agreement and any other writing, this Agreement shall prevail. No modifications of this Agreement will be binding on any of the parties unless acknowledged in writing by the duly authorized governing body or representative for each party. 1.26 DISPUTE RESOLUTION If a dispute arises under this Agreement, the parties agree to first try to resolve the dispute with the help of a mutually selected mediator. If the parties cannot agree on a mediator, City shall select one mediator and Consultant shall select one mediator and those two mediators shall agree upon a third mediator. Any costs and fees, other than attorney fees, associated with the mediation shall be shared equally by the parties. 11 City and Consultant hereby expressly agree that no claims or disputes between the parties arising out of or relating to this Agreement or a breach thereof shall be decided by any arbitration proceeding, including without limitation, any proceeding under the Federal Arbitration Act (9 USC Section 1-14) or any applicable state arbitration statute. 1.27 FORCE MAJEURE Notwithstanding any other provisions hereof to the contrary, no failure, delay or default in performance of any obligation hereunder shall constitute an event of default or breach of this Agreement, only to the extent that such failure to perform, delay or default arises out of causes beyond control and without the fault or negligence of the party otherwise chargeable with failure, delay or default; including but not limited to acts of God, acts of public enemy, civil war, insurrection, riots, fires, floods, explosion, theft, earthquakes, natural disasters or other casualties, strikes or other labor troubles, which in any way restrict the performance under this Agreement by the parties. Consultant shall not be deemed to be in default of its obligations to City if its failure to perform or its substantial delay in performance is due to City's failure to timely provide requested information, data, documentation, or other material necessary for Consultant to perform its obligations hereunder. 1.28 SEVERABILITY The invalidity, illegality, or unenforceability of any provision of this Agreement or the occurrence of any event rendering any portion of provision of this Agreement void shall in no way affect the validity or enforceability of any other portion or provision of this Agreement. Any void provision shall be deemed severed from this Agreement, and the balance of this Agreement shall be construed and enforced as if this Agreement did not contain the particular portion of provision held to be void. The parties further agree to amend this Agreement to replace any stricken provision with a valid provision that comes as close as possible to the intent of the stricken provision. The provisions of this Article shall not prevent this entire Agreement from being void should a provision which is of the essence of this Agreement be determined void. 1.29 STANDARD OF CARE Consultant represents that it is specially trained, experienced and competent to perform all of the services, responsibilities and duties specified herein and that such services, responsibilities and duties shall be performed, whether by Consultant or designated subconsultants, in a manner according to generally accepted industry practices. 1.30 GENERAL AND MISCELLANEOUS The section numbers and headings contained herein are provided for convenience only and shall have no substantive effect on construction of this Agreement. No delay or omission by either party in exercising any right or power shall impair such right or power or be construed to be a waiver. A waiver by either party of any of the covenants to be performed by the other or any breach thereof shall not be construed to be a waiver of any succeeding breach or of any other covenant. No waiver of discharge shall be valid unless in writing and signed by an authorized representative of the party against whom such waiver or discharge is sought to be enforced. This Agreement may be executed in multiple counterparts, which taken together shall be considered one original. City agrees to provide Consultant with one fully executed original. 12 IN WITNESS WHEREOF, the parties have executed this Agreement in duplicate originals on the dates hereafter indicated. CITY OF ROUND ROCK, TEXAS CAPITOL PARTNERS, INC. By (ft )1/11/1---. Printed Name: Ackiki tvt *MA) Title: Date Signed: 1. r'r'(�•LO ATTEST: By: Sara L. White, City Secretary FOR CITY ' PROVED A TO FORM: By: Steph. L. Sheets, City ttorney 13 By: Printed Nate: Title: Date Si ne: g CAPITOL PARTNERS) INC. PUBLIC AFFAIRS PROPOSAL PREPARED FOR ROUND ROCK, TEXAS PURPOSE PASSION PROSPERITY PROPRIETARY AND CONFIDENTIAL (C) 2009 CAPITOL PARTNERS, INC. TABLE OF CONTENTS GENERAL INFORMATION ABOUT CAPITOL PARTNERS 3 WASHINGTON OFFICE 4 RECENT SUCCESSES 5 PROPOSAL ANALYSIS 6 STRATEGY FOR SUCCESS 7-10 OUR TEAM CAPITOL PARTNERS TEAM I I -14 CAPITOL PARTNERS ADVISORY BOARD 15-16 TERMS TERMS PRCIPRTFTARV ANTI CCINFTTIFNTTAT. 2009 CAPTTC)T. PARTNERS. INC. 7 ABOUT CAPITOL PARTNERS CAPITOL PARTNERS, INC., founded in 1999, is a full service, Washington, D.C. based government affairs consulting firm that provides effective counsel and strategic guidance to a host of clients, including: municipalities, public authorities, not-for-profit organizations, medical device companies, technology companies, hospitals, institutions of higher education, museums, biotechnology companies, manufacturers, and major businesses. We specialize in developing partnerships between our clients, Congress, and the federal government that result in substantial government funding and support. THE CAPITOL PARTNERS PHILOSOPHY Over the past ten years, Capitol Partners has successfully represented clients by adhering to a philosophy that helps distinguish us from our competitors and ensures a high level of service and success. Our Principals directly service our clients. This means that our Principals are in direct contact with each client and take full responsibility for achieving the client's goals. Capitol Partners is a task -oriented firm. We are most comfortable working on specific, well-defined objectives from start to finish, and projects that enhance the bottom line of our clients. Capitol Partners works as a team. Our clients have access to all of our available resources and all personnel have some role in our efforts. Capitol Partners understands that significant long-term and sustainable results can only be achieved with the help of our clients' staff and leadership, and their participation in key events. Capitol Partners maintains low overhead, thus enabling us to offer client services at reasonable rates. Capitol Partners is satisfied to have its compensation grow based on the record of success that is achieved for its clients. Capitol Partners is able to avoid the numerous conflicts which plague larger firms by limiting the number of clients we service. This ensures that we do not represent numerous entities with the same interests or conflicting interests. 3 PROPRIFTARV ANTI CENFTTIFNTIAI. (Cl 2n09 CAPITTIT. PARTNFRC. INC. WASHINGTON OFFICE By working with Capitol Partners, Inc., you will receive access to a wealth of institutional knowledge and important relationships from both sides of the aisle. Jonathan Orloff has decades of experience working with local government and community organizations, and strong relationships in Washington stemming from his time as Senior Professional Staff to Senator Edward Kennedy, who was well known for his attention and support of his constituents in Massachusetts. In addition, Jonathan's rapport with many key legislative offices affords Capitol Partners, Inc. the ability to effectively promote our clients' projects. Carl Holshouser's Capitol Hill experience working in the Senate and a proficiency in leading full-scale public affairs campaigns help our clients develop beneficial partnerships and achieve their funding goals. His special relationship with Texas' Senior Republican Senator Kay Bailey Hutchison, knowledge of numerous congressional offices, and intimate relationships with key staff members of the Texas delegation is a great asset to our efforts. Mimi Braniff brings years of experience at the highest levels of both the Commerce, Science, and Transportation Committee and the Senate Appropriations Committee, where she helped develop and draft scores of congressionally directed municipal projects for committee members. Her knowledge of the complex and intricate appropriations process is a key resource in assuring that Capitol Partners is able to achieve its clients' funding goals. Our other colleagues and advisory board members represent additional reach and capabilities and we draw on those resources as needed. 4 PRCIPRTFTARV AND C(INFTTIFNTTAT. (Cl 2009 CAPTT(IT. PARTNERS. INC. RECENT SUCCESSES CAPITOL PARTNERS, INC. is proud to have a strong record of ever-growing success in the government affairs industry, and we have experienced tremendous success in assisting our clients achieve their goals. Here are some of our most recent successes: BUFFALO, NEW YORK - $15 million for a downtown revitalization project and waterfront development. PEACE BRIDGE AUTHORITY - $25 million for an international bridge expansion project. CAMBRIDGE REDEVELOPMENT CORPORATION - $6.75 million in federal funding for CRAs Kendall Square and Gateway projects. BUFFALO NIAGARA MEDICAL CAMPUS - $9 million for roadway and streetscape improvements. HILL COUNTRY CONSERVANCY - $405,000 was secured for the construction of a 34 -mile bicycle and pedestrian trail in Austin, Texas. GENERAL ATOMICS - $4.5 million for General Atomics' research and development efforts for an algae based biofuel. IKOR LIFE SCIENCES - $1.5 million for the development of a wound healing application based on bovine derived products. ALS THERAPY DEVELOPMENT INSTITUTE - $3.5 million in federal funds for ALS research. BLACKROCK MICROSYSTEMS - $4 million for research and development of next generation prosthetics and neurotechnologies. EMMANUEL COLLEGE - $2 million for equipment and program development for Emmanuel College's new Center for Science Partnerships. ST. AGNES HOSPITAL - $1.2 million for state-of-the-art medical equipment. EARTHTEC SOLUTIONS - $500,000 in federal funding to demonstrate Earthtec's cutting-edge agricultural monitoring technology. HUSTON-TILLOTSON UNIVERSITY $750,000 for the school's Math and Science Success Center and $100,000 for a new state-of-the-art health and wellness center. 5 PR(1PRIFTARV ANTI CENFITIFNTIAT. (Cl 2009 CAPITOL PARTNFRC_ INC_ ANALYSIS OVERVIEW At Capitol Partners, Inc., we take great pride in the work that we do. We are not the big firm in town with a large flashy office and hundreds of clients. Instead, we are a dynamic team of colleagues and friends focused on delivering results for our clients. We focus on personal attention; we sweat the details; we lead you through every aspect of your yearly government affairs process; we expect to work hard for you year round; we search for new opportunities to benefit you; and we find a way to achieve your goals. The City of Round Rock, Texas Capitol Partners, Inc. Effective Strategies, Partnerships, and Team Work Meaningful Financial Resources and Political Influence Afforded to the City Washington is an ever-changing and complicated place, and we strive daily to stay ahead of the curve to the benefit of our clients. Our success begins with a clear understanding of the needs and goals of the city. You have many goals in the years ahead: our job is to get as many of them done as possible — but also to give you sound advice as to what projects are the best prospects for receiving federal funding or attention. We would start by suggesting the continuation of your recently adopted internal structure for government affairs to be implemented annually. The development of a list of realistic, well thought-out, and publicly acceptable projects is something Capitol Partners considers a critical step to achieving maximum success each year. Furthermore, building a reputation with Congress for asking for high-quality projects is also in the best long-term interest of the city. When we reach out to the Congressional Delegation on your behalf (or have you call them directly), they will take the call and take your request far more seriously if you look as prepared and positioned as we hope to make you. 6 PRCIPRIFTARY AND CC)NFTTIFNTIAL. (C) 2(109 CAPITCIT. PARTNFRC_ INC_ STRATEGY FOR SUCCESS THE SPECIFICS OF OUR APPROACH Capitol Partners, Inc., has developed a strategic, proven approach for effective government affairs advocacy that delivers high quality legislative successes to our clients. The initial key component of our service is a yearly comprehensive review and profile development, which involves a one to two day visit by Capitol Partners personnel with all key officials and staff in Round Rock. This enables us to develop a complete top -to -bottom working knowledge of your entire operation - allowing us to be articulate advocates for projects and be able to be directly responsive to inquiries from our contacts in Congress. We would then continue to meet periodically with you and your colleagues on site to keep informed of the City's present needs, federal agenda, and long-term goals. Throughout the year, Capitol Partners regularly communicates with our clients with progress and status updates for each project. We recommend a weekly or bi-weekly phone call to ensure all parties are clear on next -steps and moving forward; however in practice, we have found that we communicate much more frequently than just this scheduled phone call. Capitol Partners regularly emails status updates as movement occurs in Washington, and seeks complete transparency between our firm and your leadership as work continues. Finally, Capitol Partners will also provide formal quarterly reports to the City summarizing our efforts, progress, and any necessary future steps. Capitol Partners will also begin a comprehensive monitoring program where our research team will proactively monitor and report on federal legislation, aid programs, regulatory developments of interest, and any state or federal initiatives related to the streamlined sales tax. We will assist the city leadership in developing specific positions and policy proposals for legislation that further Round Rock's interests. Our staff has tremendous legislative experience working in congressional committees responsible for a number of issues and major pieces of legislation, including Corporate Average Fuel Economy (CAFE) standards, climate change, and FAA Reauthorization. As most of our staff has worked on Capitol Hill, we have a strong understanding of how legislation is shaped, drafted, and negotiated and have years of experience advocating for our clients' policy proposals before Congress. Capitol Partners has been highly successful in drafting and including policy language in congressional authorizations and reports that directly aid our clients. Our time working on Capitol Hill has provided us with experience working with various public interest groups, including the Conference of Mayors and National League of Cities. We are aware of their organizational structures and how they operate to influence policy. Capitol Partners will use our resources to support the City's representatives and liaisons when conducting activities in conjunction with these groups. 7 PRCIPRIFTARY ANTI CC)NFTTIPNTTAI. (C) 21109 CAPTTCIT, PARTNPRR_ INC. STRATEGY FOR SUCCESS (continued) THE APPROPRIATIONS CYCLE The upcoming fiscal year 2011 appropriations cycle is approaching rapidly and a top priority for the remainder of the winter months will be spent developing projects for Round Rock that will have a high likelihood of success. This critical ground work ensures that we will be prepared to enter the appropriations cycle with fully developed, congressionally approved projects crafted with the highest possible chance for achieving meaningful success. This is a key decision point and strong projects are those that provide a sustainable benefit to the citizens of Round Rock and help ease the City's budget restrictions. Building successful partnerships with other municipalities, hospitals, military installations, institutions of higher education, non -profits, and other public entities can often help to strengthen Congressional requests. In many cases, strategic partnerships can ultimately result in a higher over-all level of funding being afforded to the city government. While these partnerships are often not revenue-sharing arrangements, they can offer multiple avenues for Congressional funding which expands the political capital of the city. Capitol Partners specializes in the formation of strategic partnerships to the benefit of our clients. Capitol Partners will analyze where partnerships would benefit your requests and seek to foster those alliances. Each congressional office has their own deadline for submitting appropriations requests to the appropriate House and Senate Appropriations subcommittees. These deadlines usually fall either in February or March depending on the office and nature of the request. Furthermore, each member and subcommittee has a different request form; reflecting personal, cultural, political, and other differences. Navigating these forms is essential to establishing eligibility for funds, and we pride ourselves on the value of our experience in this regard. Our familiarity with the individual process in each congressional office is one of our greatest assets for success in the effort to secure federal funds. A strong marketing document is critical for the success of any appropriations project. We will bring our years of experience to bear in helping to tailor your overall written goals in such a way as to fit the specific appropriations provisions that we are targeting. Our entire team will work to ensure that your project requests reflect their strong merits to best garner the support and approval of Congress. Of course, the City's staff will be intimately involved in the development and approval process for all marketing materials used to support our efforts. 8 PR(IPRTFTARV AND CCINFTTIFNTTAT. (C) 2009 CAPTTnL. PARTNFRC_ INr•.. STRATEGY FOR SUCCESS (continued) The participation of the City Council and Chamber of Commerce is an important step in demonstrating local support for the policy and appropriation requests submitted on your behalf. Congressman Carter and Senators Hutchison and Cornyn evaluate many requests each year, and historically have shown a preference for requests with wide local support. A Round Rock City Council and Chamber of Commerce resolution in support of the final project request list is a good tactic for showing broad local support for your initiatives. This action also demonstrates the autonomy of the city requests — clearly differentiating them from those of the wider Austin region. Capitol Partners would encourage these resolutions be presented for adoption no later than Feb. 15th of each calendar year. As we submit forms, Capitol Partners will meet personally with each of the pertinent staff members to ensure that we answer all questions and establish a personal relationship during the effort. We will also have continuing contact with staff of the pertinent appropriations and authorizing subcommittees to keep abreast of changing budget restrictions and ensure that our chosen strategy is sound. Sometime in the spring, depending on the congressional schedule, City officials and other representatives of note along with Capitol Partners will meet with members of your congressional delegation to personally request their support. We recognize that you already know your delegation members well. Our role is in the nature of maximizing your interaction with them based on our experience. These are critical sessions and our practice is to put together interested stakeholders who, with our involvement, best articulate our proposals. Capitol Partners will develop a thorough strategy for these meetings, and may recommend a full mock -session to prepare to use the short period granted by the elected official to its maximum effect. Capitol Partners will coordinate the City's trip to Washington, including scheduling the entire itinerary, putting together a strong group of stakeholders, and developing necessary strategies. Capitol Partners will continue to work through the late spring and summer months on behalf of the City's appropriation proposals. As you may know, Congress will markup and effectively put together a draft bill that lays out the specific goals of the legislation and attaches dollar figures to each provision. Inevitably, as the session proceeds there will be modifications and adjustments made to the legislation that may affect our project. This is crunch time and we will work daily to make sure Round Rock's requests are the top priorities of your legislators during this critical process. 9 PR(1PRTFTARV ANTI CENFTTIFNTTAT. (Cl 2009 CAPTT(1T. PARTNFRC_ INC. STRATEGY FOR SUCCESS (continued) At some point during the late summer or fall, or perhaps earlier, we may ask you to return to Washington to demonstrate your continuing focus and interest in our efforts to Congress. We will meet the members and staff once again to further reinforce the importance of the projects and update them of any pertinent developments. Indeed, throughout the session, we must collectively look for opportunities to highlight the importance of our request. Finally, once the pertinent legislation is signed into law, we will work with the appropriate federal agency to ensure that the provision in which we are interested is properly implemented and funds are released in a timely manner. Our team is not satisfied until the entire project is completed to the satisfaction of our client, and Capitol Partners has an outstanding record of success in securing federal appropriations for transportation, water, development and other infrastructure projects. OTHER FEDERAL OPPORTUNITIES In addition to appropriations, Capitol Partners will also assist Round Rock in responding to other federal opportunities, such as grants and other programs stemming from the administration. These opportunities have a much less rigid schedule of events than the appropriations cycle, as such, Capitol Partners will constantly monitor developments and report to the City based on the priorities where appropriate as outlined by City leadership. Capitol Partners is not in a position to write grant applications, but can provide strategic guidance and develop supporting materials from your congressional delegation for any applications. The process of authorizing the next Transportation Equity Act (TEA), also known as the Highway Reauthorization Bill, is expected to begin sometime in the near future. Capitol Partners has a proven formula for securing high value federal dollars through this legislative vehicle. By carefully coordinating requests in the TEA Bill with projects funded through the annual appropriations cycle, we are able to leverage initial support into higher funding amounts. In other words, we will utilize the support gained for Round Rock's projects in the normal appropriations process to legitimize the request for more dollars in the TEA Bill. In the bill's last incarnation, Capitol Partners secured in excess of $45 million for our clients and we expect to improve on that record of success. Capitol Partners is confident that the continued partnership of our organizations will result in a number of meaningful legislative successes —building on the highly successful FY 2010 Appropriations Cycle. 10 PRCIPRIETARV ANTI CC)NFTTIF.NTIAT. (CI 2009 CAPTTCIT. PARTNERS_ INC_ CAPITOL PARTNERS INC. TEAM JONATHAN M. ORLOFF, PRESIDENT JONATHAN M. ORLOFF is the President of Capitol Partners, Inc., a company which he founded in 1999. Mr. Orloff has over twenty-five years of professional experience in federal public policy and legislative affairs. Mr. Orloff's Capitol Hill experience was under the chairmanship or personal offices of Senator Edward Kennedy. In that regard, he served as professional staff of the U.S. Senate Judiciary Subcommittee on Antitrust and Monopolies and the full Senate Judiciary Committee, where he helped develop antitrust policy, deregulation initiatives and new procedures for the confirmation of federal judges. Starting in late 1980 and for the next six years, Mr. Orloff also served as a Legislative Assistant and senior staff member to Senator Kennedy. In this position he was responsible for all appropriations legislation and the development of legislation and initiatives in the areas of economic development, agriculture, transportation, environment, banking and trade. During this period and since, he has had the occasion to be associated with a number of members who are now in positions of leadership, including senior members of the Senate Appropriations Committee. In the House, Mr. Orloff has been privileged to work closely with a number of now very senior members of the body, and currently has strong connections with the administration. In 1986, Mr. Orloff joined Cassidy and Associates as the fourth principal and was critical in the expansion and development of the firm for the next ten years. In addition to appropriations work, Mr. Orloff has provided strategic counsel to state agencies, developers, colleges and universities, hospitals, and a wide range of companies from various industries, including defense, healthcare, high technology, transportation, energy and real estate development. Throughout his career in public affairs, Mr. Orloff has been active in national Democratic politics. He served on the National Finance Council of the Democratic Senate Campaign Committee and the board of the Fund for a Democratic Majority. He has served on the finance councils of numerous members of the Senate and House and continues to provide advice and counsel on a regular basis. Mr. Orloff graduated from Georgetown University in 1977, and received his Juris Doctor from The Columbus School of Law at Catholic University in 1983. 11 PRCIPRTFTARV AND CCINFTTIFNTTAT. (C1 2009 C.APTTCIT. PARTNPRC_ INC. CAPITOL PARTNERS INC. TEAM (continued) MIMI BRANIFF, PRINCIPAL MIMI PHUKAN BRANIFF brings years of legal and Congressional experience to Capitol Partners, Inc. Before joining Capitol Partners, Ms. Braniff served as Full Committee Professional Staff Counsel for Senator Ted Stevens (R -AK) and Senator Thad Cochran (R -MS) on the Senate Appropriations Committee from January 2004 through September 2007. In this capacity, she developed appropriations legislation, and was responsible for drafting bill text, report language, and amendments. In addition, Ms. Braniff worked on bipartisan efforts, provided counsel to committee members on policy initiatives, and met with government officials and interest groups to determine funding priorities for the Appropriations Committee. She also worked on many funding initiatives including: municipal projects, energy research, defense technology, biological and environmental research, Homeland Security preparedness, hospitals, transportation projects, economic development projects, health clinics, and agricultural research. Ms. Braniff also served as Deputy Chief Counsel and Acting Staff Director on the Senate Commerce, Science, and Transportation Committee also under the direction of Senator Stevens. The jurisdiction of the Commerce Committee is among the broadest in the Congress, and includes: the Coast Guard, marine and ocean issues, telecommunications issues/Federal Communications Commission, NASA, interstate commerce, regulation of consumer products and services, science and technology research, highway safety, and development and the regulation of interstate common carriers (railroads, buses, trucks, pipelines, and the aviation industry). Ms. Braniff advised the committee on a variety of policy, legislative, and legal matters, including: Corporate Average Fuel Economy standards; the Consumer Product Safety Bill; the Rail Safety Bill; Federal Trade Commission issues; the Federal Aviation Administration Reauthorization Bill; Transportation Security Administration issues; the Digital Television Transition; NASA Reauthorization; ocean and fisheries issues; the America Competes Act; and bills impacting the telecommunications industry. Ms. Braniff began her career on Capitol Hill as a Legislative Assistant for Senator Ted Stevens in 2003 where she provided legal counsel and drafted legislation on multiple issues including: the budget, taxes, trade, the economy, issues before the Government Affairs Committee, and the environment. Prior to government service, Ms. Braniff practiced law in California and Indiana where she specialized in federal and state litigation. Ms. Braniff graduated with a B.S. in Political Science from Lewis & Clark College in 1996, and received her Juris Doctor and Certificate in Dispute Resolution from Pepperdine School of Law in 1999. 12 PRCIPR1FTARV AND CnNFInF.NTTAL. (CI 2(109 CAPITCIT. PARTNFRC_ INC_ CAPITOL PARTNERS INC. TEAM (continued) CARL HOLSHOUSER, PRINCIPAL CARL HOLSHOUSER incorporates a long family history in Texas and a comprehensive understanding of the legislative process to earn a reputation of achieving unparalleled results for Capitol Partners' clients. Mr. Holshouser's Texas roots are evident through his client base, previous public service, and close personal and professional relationships with key members of Texas' top decision makers including Speaker Joe Straus, Rep. Michael McCaul, and Texas Railroad Commissioner Elizabeth Ames Jones, to name a few. Mr. Holshouser began his work in public service in the Executive Office of the Attorney General of Texas and the Washington Office of Congressman Lamar Smith. Most recently, Mr. Holshouser served as Special Assistant and Personal Aide to Senator Kay Bailey Hutchison (R -TX). In this role he staffed the Senator at all official appointments, hearings, interviews, and accompanied her to the Senate floor for votes. He similarly served as the Senator's Travel Aide during the 2006 reelection cycle. As a Congressional staffer, Mr. Holshouser witnessed countless attempts in which various organizations presented their requests to members of Congress . While participating in meetings with mayors, superintendents, chancellors, business executives, and community leaders, he gained an awareness of which requests were most effectively presented. With this understanding at hand, he developed a strategic formula to achieve the desired results for his clients. Capitol Partners has enjoyed years of success by applying this unique, modern formula to the needs of all the firm's clients resulting in tens of millions of dollars in federal funding. Adding to Mr. Holshouser's ability to effectively manage complex legislative processes, he believes strongly in providing an exceptional client experience. From day one, he manages the needs of his clients directly and provides a diligent hands-on approach. This method includes frequent communication, a complete understanding of day-to-day needs, direct participation and planning of local events pertinent to client's goals, and an "on call" mentality. 13 PR/WR 'EFTA RV ANTI CONFTI7FNTTAT. (C' 2(09 CAPTTOT. PARTNFRS_ INC_ CAPITOL PARTNERS INC. TEAM (continued) MAYA MAHONEY, SENIOR ASSOCIATE MAYA MAHONEY has worked at Capitol Partners for 2 years. She joined Capitol Partners in July 2006 as an Executive Associate and became a Senior Associate in August 2008. With her 2 years of lobbying and consulting experience she has developed relationships on the Hill and has gained a comprehensive knowledge and understanding of the legislative and appropriations process. Prior to her work at Capitol Partners, Maya lived in Cairo, Egypt and worked at the U.S. Embassy in the Ambassador and Deputy Chief of Missions Front Office, the Office of Military Cooperation Office and the Community Liaison Office. She is a 2005 graduate of Southern Methodist University in Dallas, Texas where she studied Broadcast Journalism and Political Science. During her college career, she interned at the CBS affiliate in Dallas and was involved in numerous organizations, including the Orientation Leadership Institute, National Collegiate Scholars, and her sorority, Gamma Phi Beta. LAURA JONES, EXECUTIVE ASSOCIATE LAURA JONES is Capitol Partners' Executive Associate/IT Specialist. She officially joined the Capitol Partners' team in August 2008 after interning with the firm for a year. She holds a Bachelor's degree from the University of Maryland, Baltimore County and a Masters degree in International Relations and European Studies from Central European University in Budapest. Laura has several years experience researching European Union policy issues and working with NGOs and non -profits. She enjoys languages and travel, and speaks Russian, Spanish, Czech and Hungarian. JOSH NEIMAN, ASSOCIATE JOSH NEIMAN joined Capitol Partners as an Associate in June 2009. Prior to his work with Capitol Partners, Josh worked in the office of Representative Dana Rohrabacher (R -CA). In this capacity, he developed a strong understanding of the legislative and appropriations processes. He attended The George Washington University where he studied Political Science, graduating summa cum laude and with the highest departmental honors. While in college, he was also active in the Student Association and worked for the university's Division of Development and Alumni Relations. 14 PRfPRTFTARV ANT) CnNFTT)FNTTAT. (r' 211119 CAPTTC)T. PARTNFRS_ INC. CAPITOL PARTNERS, INC. ADVISORY BOARD STUART SPENCER STUART SPENCER brings over a decade of political and policy experience at the most senior levels on behalf of his clients. Prior to entering the private sector in 2003, Spencer served as StaffDirec- tor to the powerful Committee on Rules, Subcommittee on Legislative Process, as well as Chief of Staff to current Rules chair Louise Slaughter (D -NY). As part of the Democratic Leadership team, Mr. Spencer worked with staff from all House committees to craft the Democratic agenda during floor debate, advocating priorities and devising procedural strategies to ensure full consideration of their positions. As Chief of Staff, Mr. Spencer acted as senior advisor and strategist on policy, communications and political issues while overseeing Washington, D.C. and New York staff and operations. Prior to his becoming Chief of Staff, Spencer served as Rep. Slaughter's legislative counsel for the House Government Reform and Oversight Committee during the investigations of Executive branch actions regarding federal law enforcement operations at Waco, White House -FBI interaction, and White House database inquiries. Mr. Spencer received his B.A. from Princeton University, and graduated cum laude from Tulane Law School in May 1995 serving as Editor -in -Chief of the Tulane Environmental Law Journal. JOHN STILES JOHN STILES brings a varied experience to the team. He began his career after college with Bechtel Power building nuclear power plants and left as a senior field engineer to enter law school. Mr. Stiles spent 13 years in private law practice concentrating in transactional real estate and construction disputes. He left the private practice of law to form a specialized company for the installation and repair of detention and control equipment in city, county, state, and federal detention facilities. His company completed two 2250 bed prison facilities in Texas, along with other smaller facilities in and out of Texas. For the last 15 years, Mr. Stiles has been a consultant to small and medium sized companies and high net worth individuals on a wide range of issues in Texas. He has created a business of identifying problems and issues, identifying and hiring the proper people for the solution, and managing the issue resolution. Mr. Stiles is a graduate of the University of Texas at Austin with an electrical engineering degree, and is a graduate of St. Mary's University with a Doctor of Jurisprudence degree. Mr. Stiles has been involved in various charitable organizations, and has served on the State Bar Grievance Committee for the San Antonio Area. He served on the City Council of Olmos Park, Texas for ten years, and has been selected for the next class of Masters Leadership San Antonio. 15 PRCIPRTFTARV ANTI C(lNPI IPNTTAI. (Cl 2009 CAPTT(ln. PARTNERS_ INC. CAPITOL PARTNERS, INC. ADVISORY BOARD (continued) DAVID WHITMORE, ESQ, DAVID WHITMORE brings over two decades of diverse Chief Operations Officer/Chief Financial Officer experience to boards, executives and senior management requiring expert assistance in mergers and acquisitions, financial strategy, and in managing the resources that drive organizational performance. David was Executive Vice President, Chief Financial Officer, Chief Operating Officer and General Counsel of Qorvis Communications, a rapid -growth public relations firm that counts among its clients the Kingdom of Saudi Arabia. David was Executive Vice President, Chief Financial Officer and member of the Board of Directors of Shandwick Washington/The Cassidy Companies, the Washington, D.C. branch of Weber/Shandwick Worldwide, one of the world's leading public relations firms and a subsidiary of the Interpublic Group of Companies, a global advertising and communications holding company. David has served as a senior executive in a number of other entrepreneurial firms, where his proven skills, practiced counsel and adroit trouble -shooting have been instrumental to corporate growth and success. He currently serves as Chief Operating Officer and General Counsel to Levick Strategic Communications, LLC. JAMES A. ROWAN, JR. JAMES ROWAN is a Managing Director of Stifel, Nicolaus & Company, Incorporated, a full service investment banking firm (formerly Legg Mason Capital Markets.) Stifel Nicolaus provides investment advisory, securities brokerage, mortgage banking, and corporate and public finance services to individuals, corporations, institutions and municipalities. He directs the corporate finance practice on education and training, and has done so since 1995, when he conceived, initiated and executed a plan to develop a significant role for Legg Mason investment banking in the proprietary education and training industries. Since then, the Education Banking Group has represented numerous clients, including: Laureate Educate, Inc., Strayer Education, the Princeton Review, Capella Education, Educate, Career Education Corp., Whitman Education and Nobel Learning Communities. These include initial public offerings, pricate placements, merger/acquisition advisory, valuations and fairness opinions. Within the field of education, Stifel Nicolaus is recognized today as one of the leading investment banking firms in the United States. Immediately prior to Legg Mason and Stifel Nicolaus, Rowan was a venture capitalist for six years. Prior to that, he was a senior financial executive at ITT Corporation and City Investing Company. A graduate of The Lawrenceville School, he received a B.A. in Economics from Cornell University and an M.B.A. in Finances from the Johnson School of Management at Cornell. 16 PRCIPRTFTARY ANTI CCINFTTIFNTTAT. (el 2009 CAPITOL PARTNFRR. INC. TERMS Capitol Partners, Inc. bills on a retainer basis, invoiced monthly in advance. For the services described above, we propose a monthly retainer beginning February 1, 2010 for a period of one year at a rate of $8,000 a month, and continuing for a second year if the parties are in agreement. If after achieving meaningful success during the period of this contract, Capitol Partners, Inc will look forward to the opportunity to discuss an increased fee in the future. Capitol Partners charges a 2.5% monthly administrative fee for incidental costs such as faxes, mail, phone calls, etc. We also charge for modest, but necessary expenses and fees (to be pre -approved by the client on request) including travel. Capitol Partners guarantees that it will not represent a similar entity within the same congressional district, nor will it represent another municipality within a one hundred mile radius without the permission of the City of Round Rock. This contract is an agreement for public affairs consulting services between Capitol Partners Inc. and the City of Round Rock. Capitol Partners, Inc. will strictly adhere to both the letter and spirit of all �9aq federal, state, and local lobbying laws. If this proposal meets with your approval, please sign two copies, keep one for your records, and return one to us. Jonathan M. Orloff President Capitol Partners, Inc. Alan McGraw Mayor City of Round Rock 17 PROPRIETARY AND CONFIDENTIAL (C) 2009 CAPITOL PARTNERS, INC.