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R-03-06-12-10F2 - 6/12/2003AGREEMENT made as of the 40.161.9 (1 a ) day of the month of .JUN G (In words, indicate day, month and year.) BETWEEN the City of Round Rock, Texas, identified herein as "City": (Name, address and other information.) City of Round Rock 221 East Main Street Round Rock, Williamson County, Texas 78664 and John H. Konzen, identified herein as "Konzen ": (Name. address and other information.) John H. Konzen Post Office Box 1208 Round Rock, Williamson County, Texas 78680 For the following Project: (Include detailed description of Project.) Personal services including providing (1) welding inspection and testing, and (2) coating inspection and testing on the Barton Hill 2.7 MMG Composite Storage Tank, such services to include quality assurance surveillance of the welding, erection, sandblasting, and painting during construction of the water tank. City and Konzen agree as follows. ARTICLE 1.1 INITIAL INFORMATION 1.1.2 PROJECT PARAMETERS Agreement for Personal Services for Welding and Coating Inspection and Testing of the Barton Hill Elevated Storage Tank with John H. Konzen 1.1.2.1 The objective or use is: (Ident or describe, if appropriate, proposed use or goals.) C \W1NDOWSnEMP'0005m00.DOCf 2_03-C(0-10?-/C1,2_, in the year Two Thousand Three. 1.1.1 This Agreement is based on the following information and assumptions. (Note the disposition for the following items by inserting the requested information or a statement such as 'not applicable, " "unknown at time of execution" or "to be determined laser by mutual agreement.') Objectives include, but are not limited to, obtaining personal services from John H. Konzen including quality assurance surveillance of the welding, erection, sandblasting, and painting during construction of the water tank project. 1.1.2.2 The physical parameters are: (IdeeO or describe, if appropriate, size, location, dimensions, or other pertinent information, such as geotechnical reports about the site.) The site of the Barton Hill 2.7 MMG Composite Elevated Storage Tank. 1.1.2.3 City's Program is: (Identify domonentalton or state the manner in which the program will be developed) 1.1.2.4 The legal parameters are: (Idenli(ypertinent legal information, including, if appropriate, land surveys and legal descriptions and restrictions of the site) 1.1.23 The financial parameters are as follows: The fee for Konzen's personal services shall be an hourly rate of $65. Welding and Erection Inspection (3 hours minimum charged each site visit; total based Radiographic Test Grading and Approval (Total based on 12 hours) Surface Preparation and Painting Inspection (Field) (3 hours minimum charged each site visit; total based Surface Preparation and Painting Inspection (Shop) TOTAL Re: Weldine. Fabrication and Erection Inspection - Only in the event that City requires a shop inspection, travel and labor expenses shall be charged as additional expenses. Re: Sandblasting and Coating Inspection - Only in the event that City specifies shop surface preparation and prime coating, all shop inspections shall be considered separate from the field inspection visits. Reasonable expenses incurred for transportation, lodging, and meals for inspections on work done at locations outside a 100 -mile radius from Round Rock, Texas (i.e. shop fabrication, surface preparation and coating work) shall be charged as additional expenses. Re: Re- inspections Due to Contractor's Non - Conformance - Any re- inspections necessitated by Contractor's non - conformance shall be charged as additional expenses. 1.1.2.6 The time parameters are: (Identify, if appropriate, milestone dates, durations or fast track scheduling) Fifteen (15) months from Konzen's receipt of City's written Notice to Proceed. Time of Performance: All inspection visits shall be scheduled with City and Konzen for performing the necessary inspections and testing. 1.1.2.7 The proposed procurement or delivery method for the Project is: (!dent fy method such as competitive bid negotiated contract, or construction management) Personal services herein are engaged by this negotiated Agreement 1.1.2.8 Other parameters are: (Identify special characteristics or needs of the Project such as energy, environmental or historic preservation requirements) Unknown at this time. 1.1.3 PROJECT TEAM 1.1.3.1 City's Designated Representative is: (List name, address and other information) Don Rundell, Project Manager City of Round Rock Public Works 2008 Enterprise Drive Round Rock, Texas 78664 C. WINDOWSITEMEIe0050800.DOC/jkg 00 per hour, as follows: $ 9,750.00 on 150 hours) $ 780.00 $13,650.00 on 210 hours) $ 3.900.00 $28,080.00 1.1.3.2 The persons or entity, in addition to City's Designated Representative, who is required to review Konzen's submittals to City are: (List name, address and other information.) James R. Nuse, P.E. City Manager 221 East Main Street Round Rock, Texas 78664 1.13.3 City's other consultants and contractors are: (List discipline and, if known, identifir them by name and address) Unknown at this time. 1.13.4 Konzen's Designated Representative is: (List name, address and other information) John H. Konzen Post Office Box 1208 Round Rock, Texas 78680 1.13.5 The consultants retained at Konzen's expense are: (List discipline and, if known, ident& them by name and address) None. This is a personal services Agreement with John H. Konzen. 1.1.4 Other important initial information is: It is expressly understood and agreed by and between the parties hereto that any alteration in schedule, compensation and Change in Services shall be effected only by Supplemental Agreement hereto. Any such Supplemental Agreement to this Agreement must be duly authorized by City Council resolution. ARTICLE 1.2 RESPONSIBILITIES OF THE PARTIES 1.2.1 City and Konzen shall cooperate with one another to fulfill their respective obligations under this Agreement. Both parties shall endeavor to maintain good working relationships. 1.2.2 OWNER'S RESPONSIBILITIES 1.2.2.1 Unless otherwise provided under this Agreement, City shall provide full information in a timely manner regarding requirements for and limitations on the Project. City shall furnish to Konzen, within fifteen (15) days after receipt of a written request, information necessary and relevant for Konzen to evaluate, give notice of or enforce rights. 1.2.2.2 City shall establish and periodically update the budget for the Project, including that portion allocated for the Cost of the Work, City's other costs, and reasonable contingencies related to all costs, 1.2.2.3 City's Designated Representative identified in Section 1.1.3 shall be authorized to act on City's behalf with respect to the Project. City or City's Designated Representative shall render decisions in a timely manner pertaining to documents submitted by Konzen in order to avoid unreasonable delay in the orderly and sequential progress of Konzen's services. 1.2.2.4 Unless otherwise provided in this Agreement, and if requested in writing, City shall furn ish or pay for tests, inspections and reports required by law such as tests for air and water pollution and/or tests for hazardous materials. 1.2.2.5 City shall furnish all legal, insurance and accounting services, including auditing services, that may be reasonably necessary at any time for the Project to meet City's needs and interests. 1.2.2.6 Each party shall provide prompt written notice to the other if either becomes aware of any fault or defect in the Project, including any errors, omissions or inconsistencies. 1.2.3 KONZEN'S RESPONSIBILITIES 1.2.3.1 The services performed by Konzen shall be as enumerated in Article 1.4 and as enumerated elsewhere herein, in attached and accompanying documents, in exhibits, in supplemental documents, and in related documents. 1.2.3.2 Konzen's services shall be performed as expeditiously as is consistent with professional skill and care and the orderly progress of the Project Konzen shall submit for City's approval a schedule for the performance of services which initially shall be consistent with the time periods established in this Agreement and which may be adjusted, if necessary and approved City, as the Project proceeds. This schedule shall include allowances for periods of time required for City's review, and for approval of submissions by authorities having jurisdiction over the Project. Time limits established by this schedule approved by City shall not, except for reasonable cause, be exceeded by Konzen or City. 1.2 .3.3 Konzen, as his own Designated Representative identified in Section 1.1.3.4, shall be the person authorized to act with respect to the Project 1.2 .3.4 Konzen shall maintain the confidentiality of information specifically designated as confidential by City, unless withholding such information would violate the law, create the risk of significant harm to the public or prevent Konzen from establishing a claim or defense in an adjudicatory proceeding. 1.2.3.5 Except with City's knowledge and consent, Konzen shall not engage in any activity, or accept any employment, interest or contribution that would reasonably appear to compromise Konzen's professional judgment with respect to this Project. 1.2.3.6 Konzen shall review laws, codes, and regulations applicable to his services. Konzen shall respond in the Project to requirements imposed by governmental authorities having jurisdiction over the Project. 1.2.3.7 Konzen shall be entitled to reasonably rely on the accuracy and completeness of services and information furnished by City. Each party shall provide prompt written notice to the other if either becomes aware of any errors, omissions or inconsistencies in such services or information. ARTICLE 1.3 TERMS AND CONDITIONS 1.3.1 COST OF THE WORK 1 .3.1.1 The Cost of the Work shall be the total cost or, to the extent the Project is not completed, the estimated cost to City of all elements of the Project designed or specified by Konzen. 1 .3.1.2 The Cost of the Work shall be as delineated herein in Section 1.1.2.5. 1.3.2 INSTRUMENTS OF SERVICE 1.3.2.1 Drawings, reports, specifications and other documents, including those in electronic form, prepared by Konzen are for use solely with respect to this Project. All Konzen's designs and work product under this Agreement, completed or partially completed, shall be the property of City to be used as City desires, without restriction on future use; by execution of this Agreement and in confirmation of the fee for services to be paid under this Agreement, Konzen hereby conveys, transfers and assigns to City all rights under the Federal Copyright Act of 1976 (or any successor copyright statute), as amended, all common law copyrights and all other intellectual property rights acknowledged by law in the Project designs and work product developed under this Agreement. Copies may be retained by Konzen 1.3.2.2 Upon execution of this Agreement, Konzen grants to City permission to reproduce Konzen's instruments of Service for purposes of constructing, using and maintaining the Project, provided that City shall comply with all obligations, including prompt payment of all sums when due, under this Agreement. If and upon the date Konzen is adjudged in default of this Agreement, City is permitted to authorize other similarly credentialed persons to reproduce and, where permitted by law, to make changes, corrections or additions to the Instruments of Service for the purposes of completing, using and maintaining the Project. 1.3.2.3 City shall not assign, delegate, sublicense, pledge or otherwise transfer any permission granted herein to another party without the prior written agreement of Konzen. Submission or distribution of Instruments of Service to meet official regulatory requirements or for similar purposes in connection with the Project is permitted. Any unauthorized use of the Instruments of Service shall be at City's sole risk and without liability to Konzen 1.3.3 CHANGE IN SERVICES 1.3.3.1 Change in Services of Konzen may be accomplished after execution of this Agreement, without invalidating the Agreement, if mutually agreed in writing. It is expressly understood and agreed by and between the parties hereto that any alteration in schedule, compensation and Change in Services shall be effected only by Supplemental Agreement hereto. Any such Supplemental Agreement to this contract must be duly authorized by City Council resolution. 1.3.4 MEDIATION 1.3.4.1 Any claim, dispute or other matter in question arising out of or related to this Agreement shall be subject to mediation. If such matter 4 relates to or is the subject of a lien arising out of Konzen's services, Konzen may proceed in accordance with applicable law to comply with the lien notice or filing deadlines prior to resolution of the matter by mediation. 1.3.4.2 City and Konzen shall endeavor to resolve claims, disputes and other matters in question between them by mediation. Request for mediation shall be filed in writing with the other party to this Agreement, and mediation shall proceed in advance of legal or equitable proceedings, which shall be stayed pending mediation for a period of sixty (60) days from the date of filing, unless stayed for a longer period by agreement of the parties or court order. 1.3.4.3 The parties shall share the mediator's fee and any filing fees equally. The mediation shall be held in the place where the Project is located, unless another location is mutually agreed upon. Agreements reached in mediation shall be enforceable as settlement agreements in any court having jurisdiction thereof. 1.3.5 ARBITRATION 1.3.5.1 City and Konzen hereby expressly agree that no claims or disputes between City and Konzen arising out of or relating to this Agreement or a breach hereof shall be decided by any arbitration proceeding, including, without limitation, any proceeding under the Federal Arbitration Act (9 U.S.C. Section 1 -14) or any applicable state arbitration statute, except that in the event that City is subject to an arbitration proceeding related to the Project, Konzen consents to be joined in the arbitration proceeding if Konzen's presence is required or requested by City for complete relief to be accorded in the arbitration proceeding. 1.3.6 CLAIMS FOR CONSEQUENTIAL DAMAGES 1.3.6.1 Konzen and City waive consequential damages for claims, disputes or other matters in question arising out of or relating to this Agreement. This mutual waiver is applicable, without limitation, to all consequential damages due to either party's termination in accordance with Section 1.3.8. 1.3.7 MISCELLANEOUS PROVISIONS 1.3.7.1 This Agreement shall be governed by the laws of the state of Texas, and venue shall lie in Williamson County, Texas. 1.3.7.2 Causes of action between the parties to this Agreement pertaining to acts or failures to act shall be deemed to have accrued and the applicable statutes of limitations shall commence to run not later than either the date of Substantial Completion for acts or failures to act occurring prior to Substantial Completion or the date of issuance of the final Certificate for Payment for acts or failures to act occurring after Substantial Completion. In no event shall such statutes of limitations commence to run any later than the date when Konzen's services are substantially completed. 1.3.73 To the extent damages are covered by property insurance during construction, City and Konzen waive all rights against each other and against the contractors, consultants, agents and employees of the other for damages, except such rights as they may have to the proceeds of insurance as delineated between City and Contractor. 1.3.7.4 Nothing contained in this Agreement shall create a contractual relationship with or a cause of action in favor of a third party against either City or Konzen 1 .3.7.5 If City requests Konzen to execute certificates, the proposed language of such certificates shall be submitted to Konzen for review at least fourteen (14) days prior to the requested dates of execution. Konzen shall not be required to execute certificates that would require knowledge, services or responsibilities beyond the scope of this Agreement. 1.3.7.6 City and Konzen, respectively, bind themselves, their successors, assigns and legal representatives to the other party to this Agreement and to the successors, assigns and legal representatives of such other party with respect to all covenants of this Agreement. Neither City nor Konzen shall assign this Agreement without the written consent of the other, except that City may assign this Agreement to an institutional lender providing financing for the Project. In such event, the lender shall assume City's rights and obligations under this Agreement. Konzen shall execute all consents reasonably required to facilitate such assignment. 1.3.7.7 Konzen shall comply with all applicable federal and state laws, the Charter and ordinances of the City of Round Rock, and with all applicable rules and regulations promulgated by all local, state and national boards, bureaus and agencies. Konzen shall further obtain all permits and licenses required in the performance of the personal services contracted for herein. 1.3.7.8 Konzen will pay all taxes, if any, required by law arising by virtue of the personal services performed hereunder. City is qualified for exemption pursuant to the provisions of Section 151.309 of the Texas Limited Sales, Excise, and Use Tax Act. 1 .3.7.9 Konzen covenants and represents that he 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 for the Project. 1.3.7.10 Konzen understands and agrees that time is of the essence and that any failure of Konzen to complete the services for each portion of this Agreement within the agreed schedule will constitute a material breach of this Agreement. 1.3.7.11 Neither City nor Konzen shall be deemed in violation of this Agreement if prevented from performing any obligations hereunder by reasons for which it or he are not responsible or circumstances beyond its or his control. However, notice of such impediment or delay in performance must be timely given, and all reasonable efforts undertaken to mitigate its effects. 1.3.8 TERMINATION OR SUSPENSION 1.3.8.1 If City fails to make payments to Konzen in substantial compliance with this Agreement, such failure may be considered substantial nonperformance and cause for suspension of performance of services under this Agreement. If Konzen elects to suspend services, prior to suspension of services, Konzen shall give fifteen (15) days' written notice to City. In the event of a suspension of services, Konzen shall have no liability to City for delay or damage caused City because of such suspension of services. Before resuming services, Konzen shall be paid all non - disputed sums due prior to suspension. Konzen's fees for the remaining services and the time schedules shall be equitably adjusted, 1.3.8.2 In connection with the work outlined in this Agreement, it is agreed and fully understood by Konzen that City may cancel or indefinitely suspend further work hereunder or terminate this Agreement either for cause or for the convenience of City, upon fifteen (15) days' written notice to Konzen, with the understanding that immediately upon receipt of said notice all work and labor being performed under this Agreement shall cease. Konzen shall invoice City for all work satisfactorily completed and shall be compensated in accordance with the terms of this Agreement for all work accomplished prior to the receipt of said notice. No amount shall be due for lost or anticipated profits. All plans, field surveys, maps, cross sections and other data, designs and work related to the Project shall become the property of City upon termination of this Agreement, and shall be promptly delivered to City in a reasonably organized form without restriction on future use. Should City subsequently contract with another person for continuation of services on the Project, Konzen shall cooperate in providing information. 1.3.8.3 Nothing contained in Section 1.3.8.2 shall require City to pay for any work which is unsatisfactory as determined by City's representative or which is not submitted in compliance with the terms of this Agreement. City shall not be required to make any payments to Konzen when Konzen is in default under this Agreement, nor shall this section constitute a waiver of any right, at law or at equity, which City may have if Konzen is in default, including the right to bring legal action for damages or to force specific performance of this Agreement. 1.3.9 PAYMENTS TO KONZEN 1.3.9.1 Payments on account of services rendered shall be made monthly upon presentation of Konzen's invoices. No deductions shall be made from Konzen's compensation on account of penalty, liquidated damages or other sums withheld from payments, or on account of the cost of Changes in the Work, other than those for which Konzen has been adjudged to be liable. ARTICLE 1.4 SCOPE OF SERVICES AND OTHER SPECIAL TERMS AND CONDITIONS 1.4.1 Enumeration of Parts of the Agreement. This Agreement represents the entire and integrated agreement between City and Konzen and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be amended only by written instrument signed by both City and Konzen 1.4.1.1 Other documents as follows: (List other documents, if any, forming part of the Agreement.) Exhibit "A" entitled "Konzen's Scope of Services. 1.4.2 Special Terms and Conditions. Special terms and conditions that modify this Agreement are as follows: ARTICLE 1.5 COMPENSATION 1.5.1 For Konzen's services as described herein, compensation shall be computed as follows: In accordance with Section 1.1.2.5 herein. 1.5.2 If the services of Konzen are changed as described in Section 1.3.3.1, the compensation may be adjusted. Such adjustment shall be calculated in an equitable manner. (Insert basis of compensation, including rates and multiples of Direct Persomnel Expense for Principals and employees, and identify Principals and classgs employees, if required Idenl py speck services to which particular methods of compensation apply) 1.5.3 Payments are due and payable thirty (30) days from the date of Konzen's invoice, or not later than the time period required under the Texas Prompt Payment Act, whichever is later. Non - disputed amounts unpaid sixty (60) days after the invoice date shall bear interest at the rate 6 entered below, or in the absence thereof at the legal rate prevailing from time to time at the principal place of business of Konzen. (Insert rate of interest agreed upon.) One and one - half percent (1 'A%) per month (Usury laws and requirements under the Federal Truth in Lending Act, similar stale and local consumer credit laws and other regulations at the Owner's and Architect's principal places of business, the location of the Project and elsewhere may affect the validity of this provision. Specific legal advice should be obtained with respect to deletions or modifications, and also regarding requirements such as written disclosures or waivers.) ARTICLE 1.6 INDEMNIFICATION 1.6.1 Indemnification (Damage Claims). Konzen agrees to defend, indemnify and hold City, its officers, agents and employees, harmless against any and all claims, lawsuits, judgments, costs and expenses for personal injury (including death), property damage or other harm for which recovery of damages is sought, suffered by any person or persons, that may arise out of or be occasioned by Konzen's breach of any of the terms or provisions of this Agreement, or by any negligent act or omission of Konzen in the performance of this Agreement; except that the indemnity provided for in this section shall not apply to any liability resulting from the sole negligence of City, its officers, agents, employees or separate contractors, and in the event of joint and concurrent negligence of both Konzen and City, responsibility and indemnity, if any, shall be apportioned comparatively in accordance with the laws of the State of Texas, without, however, waiving any govemmental immunity available to City under Texas law and without waiving any defenses of the parties under Texas law. The provisions of this section are solely for the benefit of the parties hereto and not intended to create or grant any rights, contractual or otherwise, to any other person or entity. ARTICLE 1.7 INSURANCE 1.7.1 Insurance. Konzen, at his sole cost, shall purchase and maintain during the term and entire duration of this Agreement minimum insurance coverages in the types and amounts as follow: A.. Comprehensive General Liability Insurance with minimum Bodily Injury limits of $300,000 for each occurrence including like coverage for acts and omissions of subcontractors and contractual liability coverage; B. Property Damage Insurance with minimum limits of $50,000 for each occurrence including like coverage for acts and omissions of subcontractors and contractual liability coverage. C. Automobile Liability Insurance for all owned, non - owned, and hired vehicles with minimum limits for Bodily Injury of $100,000 for each person and $300,000 for each occurrence, and Property Damage minimum limits of $50,000 for each occurrence. Konzen shall require subcontractors to provide Automobile Liability Insurance with the same minimum limits. 1.7.2 Insurance Requirements. (1) All insurance shall be obtained by Konzen from a company authorized to do insurance business in Texas and otherwise acceptable to City. (2) Konzen shall not commence work at any site under this Agreement until he has obtained all required insurance and until such insurance has been approved by City. Konzen shall not allow any subcontractors to commence work until all insurance required has been obtained and approved. Approval of the insurance by City shall not relieve or decrease the liability of Konzen hereunder. 1.7.3 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 certified mail to: James R. Nuse, P.E. City Manager, City of Round Rock 221 East Main Street Round Rock, Texas 78664 Konzen shall also notify City, within 24 hours 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 Konzen (3) The terms "City" or "City of Round Rock" shall include all authorities, Boards, Commissions, Departments, and officers of City and the individual members, employees and agents thereof in their official capacities, and/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 such future coverage, or to City's Self - Insured Retentions of whatever nature. 1.7.3 Cost of Insurance. The cost of all insurance required herein to be secured and maintained by Konzen shall be borne solely by Konzen, with certificates of insurance evidencing such minimum coverage in force to be filed with City. IN WITNESS WHEREOF, the City of Round Rock has caused this Agreement to be signed in its corporate name by its Mayor, duly authorized to execute the same in its behalf by Resolution No. a OR-04,-L2-104/approved by the City Council on JIUtS 14 100,E and by John H. Konzen, with both parties binding themselves, their successors and assigns and legal representatives for the faithful and full performance of the terms and provisions of this Agreement. By: OWNER: PROVIDER OF PERSON ' VICES: CITY OF ROUND ROCK, TEXA JOHN H. KONZEN A EST: Christine R. Martinez, City Secretary 1 HOT Inspection Services, Inc. (HOT) hereby offers to perform the following work on the Composite Elevated Storage Tank at the price, terms, and conditions listed herein: SCOPE: 2.7MMG COMPOSITE STORAGE TANK INSPECTION PROPOSAL HOT proposes to provide welding inspection and testing and coating inspection and testing on the referenced project for The City of Round Rock. The objective of this project is to provide quality assurance surveillance of the welding, erection, sandblasting, and painting during the construction of the water tank. Inspection and testing visits will be strategic and at the discretion of the Inspector /Consultant. The services to be rendered will include the following: Welding, Fabrication and Erection Inspection - Review tank project drawings to provide comments and recommendations. - Review welder qualification records, welding procedures, and mill test reports before any welding commences. -Verify proper welding electrodes and electrode storage to be used on project. - Conduct inspections on shop fabricated components. - Conduct inspection of tank erection practices and fit -up. - Conduct Certified Welding Inspection per AWWA D100 during construction. - Approve Radiographic Testing as per AWWA D100 Section 14. - Witness leak testing of floor welds and penetrations. The inspection methods to be implemented for the above inspection will consist of Visual Testing (VT), Solution film Testing (SFT). All inspections will verify compliance with the AWWA D100 -96 Standard and Contract Specifications. An AWS Certified Welding Inspector and NDE Level III will monitor and or conduct all welding inspections. Shop fabricated items will be inspected on site as they arrive unless the owner requests a shop visit. The fabrication and weld quality will be inspected for compliance to AWWA D100 -96. If the owner requires a shop inspection, it shall consist of a visual inspection of the fabricating practices and operations to determine compliance with the AWWA Standard. All travel and labor expenses will be charged as additional expenses. EXHIBIT 1 "A" Field erections and welding will be inspected for compliance to the AWWA Standard. The inspection procedures will parallel the procedures listed in Section 11.2. The quality of field welding shall be determined by visual inspections on all joint fit -up and welding. Radiographic testing will be conducted as specified in Section 11.5. and Section 14. All radiograph locations will be selected and approved by HOT. Sandblasting and Coating Inspection - Review coating specifications and make comments/recommendations. -Pre- surface preparation inspection. - Measurement of ambient conditions. - Evaluation of compressor and surface preparation equipment. - Determination of surface preparation cleanliness and profile. - Inspection of application equipment. - Witnessing coating mixing. - Inspecting coating application. - Determination of wet film thickness. - Determination of dry film thickness. - Evaluating cleanliness between coats. - Witness contractor conduct holiday testing of the inside coating system below the top capacity level. - Evaluate cure. - Finalize inspection and testing of project by submitting a final report to engineer and owner. The inspection methods to be implemented for the sandblasting and coating inspections will consist of visual inspections, mil gauging, holiday testing, profile gauging and atmospheric measuring. All inspections will verify compliance with the AWWA D102 97 and contract specifications. A NACE Certified Coating Inspector will monitor and or conduct all coatings inspections. If shop surface preparation and prime coating is specified, all shop inspections will be considered separate from the field inspection visits. It shall consist of the above scope of items in accordance with AWWA, NACE and the contract specifications. All expenses incurred for transportation, lodging, and meals for inspections on work done at a location (outside 100 mile radius from Round Rock, Tx), such as for shop fabrication, surface preparation and coating work shall be additional cost. Coordination and scheduling efforts shall be considered to maximize the inspection productivity. The Inspector shall be notified at least 10 days in advance of the time the inspection will be needed. The maximum number of inspection visits shall be limited to three (3) days for shops located more than 200 miles round trip. The measurement of air temperature, surface temperature, humidity, dew point, coating thickness and holiday detection will be recorded in an inspectors logbook. The equipment to obtain such measurements will be supplied by HOT. WORK EXCLUDED: Work required for safely accessing the tank is not included in the cost of this project. It will be the contractor's responsibility for providing safe access to all areas of the tank for inspection and testing during the construction. OSHA approved scaffolding and shell buggies will be necessary for the complete access of the tank. PRICE: The cost for the above mentioned service is based on an hourly rate of $65.00/hr for Welding Inspection and Coating Inspection. The cost for re- inspections due to non- conformance by the contractor will be billed as an additional charge. The cost of Services mentioned above is as follows: WELDING AND ERECTION INSPECTION $ 9,750.00 NOTE: BASED ON 150 HOURS (3 HR MIN CHARGED EACH SITE VISIT? RADIOGRAPHIC TEST GRADING AND APPROVAL ..............$ 780.00 NOTE. BASED ON 12 Hours SURFACE PREPARATION AND PAINTING INSPECTION (FIELD) .$13,650.00 NOTE: BASED ON 210 HOURS (3 HR MIN. CHARGED EACH SITE VISIT) SURFACE PREPARATION AND PAINTING INSPECTION (SHOP) $ 3,900.00 NOTE: Does not include travel expenses for projects over 200 miles R.T. TOTAL COST OF SERVICE $28,080.00 All work will be conducted and billed at an hourly rate as shown above. The budget cost for conducting the inspection will not exceed the cost above without written approval from the owner /representative. Once the cost approaches the budget cost, the owner will be notified and informed of the remaining work required to complete project. TERMS: This proposal is offered to acceptance within 45 days. No portion of this proposal may be altered without consent and re submittal. Payments to be made within 30 days of invoice date. CONDITIONS: This proposal assumes that the tank will be accessible for inspection and that any restrictions requiring special work will affect the cost of this proposal. INSURANCE: HOT to provide insurance certificate upon request. TIME OF PERFORMANCE: All inspection visits will be scheduled with the engineer and contractor if required for performing the necessary inspection and testing. Mayor Nyle Maxwell Mayor Pro-tem Tom Nielson Council Members Alan McGraw Carrie Pitt Scot Knight Isabel Callahan Gary Coe City Manager Jim Nose City Attorney Stephan L. Sheets ROUND ROCK, TEXAS PURPOSE. PASSION. PROSPERITY. June 30, 2003 Mr. John Konzen P.O. Box 1208 Round Rock, TX 78680 Dear Mr. Konzen: The Round Rock City Council approved Resolution No. R- 03- 06 -12- 10F2 at their regularly scheduled meeting on June 12, 2003. This resolution approves the agreement for Personal Services for Welding and Coating Inspection and Testing for the Barton Hill Elevated Storage Tank Project. Enclosed is a copy of the resolution and original agreement for your files. If you have any questions, please do not hesitate to contact Tom Clark at 218 -5555. cerely, Christine R. Martinez City Secretary Enclosure CITY OF ROUND ROCK Administrative Dept., 221 East Main Street • Round Rock, Texas 78664 Phone. 512.218.540o - Fax: 512.218.7097 • www.a. round- rock.tx.us RESOLUTION NO. R- 03 -06- 12 -10F2 WHEREAS, the City of Round Rock desires to retain personal services for Project Inspection and Testing for the Barton Hill Elevated Storage Tank Project, and WHEREAS, John H. Konzen has submitted an Agreement for Personal Services for Welding and Coating Inspection and Testing for the Barton Hill Elevated Storage Tank Project to provide said services, and WHEREAS, the City Council desires to enter into said agreement with John H. Konzen, 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 Personal Services for Welding and Coating Inspection and Testing for the Barton Hill Elevated Storage Tank Project, a copy of said agreement 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 12th day of June, 200 CHRISTINE R. MARTINEZ, City Secret Jry HPFDeskt op \::DOHA /wORLDO% /O: /WDOX /RESOLOTI /R30612F2 .WPO /ec NYL� ��'EL , ayor Ci y 1 Round Rock, Texas AGREEMENT made as of the (Jo words, Indicate day, month and year.) Agreement for Personal Services for Welding and Coating Inspection and Testing of the Barton Hill Elevated Storage Tank with John H. Konzen BETWEEN the City of Round Rock, Texas, identified herein as "City": (Name, address and other Information) City of Round Rock 221 East Main Street Round Rock, Williamson County, Texas 78664 and John H. Konzen, identified herein as "Konzen": (Name, address and other information.) John H. Konzen Post Office Box 1208 Round Rock, Williamson County, Texas 78680 ( ) day of the month of in the year Two Thousand Three. For the following Project: (Include detailed description of Project) Personal services including providing (1) welding inspection and testing, and (2) coating inspection and testing on the Barton Hill 2.7 MMG Composite Storage Tank, such services to include quality assurance surveillance of the welding, erection, sandblasting, and painting during construction of the water tank. City and Konzen agree as follows. ARTICLE 1.1 INITIAL INFORMATION 1.1.1 This Agreement is based on the following information and assumptions. (Note the disposition for the following items by inserting the requested information or a statement such as "not applicable, " "wtlmown m time of execution" or '4o be determined later by mutual agreement.") 1.1.2 PROJECT PARAMETERS 1.1.2.1 The objective or use is: ()den* or describe, ((appropriate, proposed use or goals.) Objectives include, but are not limited to, obtaining personal services from John H. Konzen including quality assurance surveillance of the welding, erection, sandblasting, and painting during construction of the water tank project. 1.1.2.2 The physical parameters are: (Identify or describe, if appropriate, size, locat ion, dimensions, or other pertinent information, such as geofechnical reports about the site.) c:Awmoows\EMP'. nrosoonocrre EXHIBIT nAn The site of the Barton Hill 2.7 MMG Composite Elevated Storage Tank. 1.1.23 City's Program is: (Identify documentation or state the manner in which the program will be developed) 1.1.2.4 The legal parameters are: (Idenr(fy pertinent legal information, including, f appropriate, land surveys and kgal descriptions and restrictions gfthe site) 1.1.23 The financial parameters are as follows: The fee for Konzen's personal services shall be an hourly rate of 865.00 per hour, as follows: c rW INDOWS\TEMPa005080n.00egg Welding and Erection Inspection 5 9,750.00 (3 hours minimum charged each site visit; total based on 150 hours) Radiographic Test Grading and Approval $ 780.00 (Total based on 12 hours) Surface Preparation and Painting Inspection (Field) 513,650.00 (3 hours minimum charged each site visit; total based on 210 hours) Surface Preparation and Painting Inspection (Shop) $ 3,900.00 TOTAL 528,080.00 Re: Welding, Fabrication and Erection Inspection - Only in the event that City requires a shop inspection, travel and labor expenses shall be charged as additional expenses. Re: Sandblasting and Coating Inspection - Only in the event that City specifies shop surface preparation and prime coating, all shop inspections shall be considered separate from the field inspection visits. Reasonable expenses incurred for transportation, lodging, and meals for inspections on work done at locations outside a 100 -mile radius from Round Rock, Texas (Le. shop fabrication, surface preparation and coating work) shall be charged as additional expenses. Re: Re- inspections Due to Contractor's Non - Conformance - Any re- inspections necessitated by Contractor's non - conformance shall be charged as additional expenses. 1,1.2.6 The time parameters are: (Identify, If appropriate, milestone dates, durations or fast track scheduling.) Fifteen (15) months from Konzen's receipt of City's written Notice to Proceed. Time of Performance: All inspection visits shall be scheduled with City and Konzen for performing the necessary inspections and testing. 1.1.2.7 The proposed procurement or delivery method for the Project is: (Idenr, method such as competitive bid negotiated contract, or construction management.) Personal services herein are engaged by this negotiated Agreement 1.1.2.8 Other parameters are: (Identify special characteristics or needs of the Project such as energy, environmental or historic preservation requirements.) Unknown at this time. 1.13 PROJECT TEAM 1.13.1 City's Designated Representative is: (List name, address and other information.) Don Rundell, Project Manager City of Round Rock Public Works 2008 Enterprise Drive Round Rock, Texas 78664 1.1.3.2 The persons or entity, in addition to City's Designated Representative, who is required to review Konzen's submittals to City are: (List name, address and other information) James R. Nuse, P.E. City Manager 221 East Main Street Round Rock, Texas 78664 1.1.33 City's other consultants and contractors are: (List discipline and if known, 'dent them by name and address.) Unknown at this time. 1.1.3.4 Konzen's Designated Representative is: (List name, address and other information) John H. Konzen Post Office Box 1208 Round Rock, Texas 78680 1.135 The consultants retained at Konzen's expense are: (List discipline and ifknown, identify them by name and address) None. This is a personal services Agreement with John H. Konzen. 1.1.4 Other important initial information is: It is expressly understood and agreed by and between the parties hereto that any alteration in schedule, compensation and Change in Services shall be effected only by Supplemental Agreement hereto. Any such Supplemental Agreement to this Agreement must be duly authorized by City Council resolution. ARTICLE 1.2 RESPONSIBILITIES OF THE PARTIES 1.2.1 City and Konzen shall cooperate with one another to fulfill their respective obligations under this Agreement. Both parties shall endeavor to maintain good working relationships. 1.2.2 OWNER'S RESPONSIBILITIES 1.2.2.1 Unless otherwise provided under this Agreement, City shall provide full information in a timely manner regarding requirements for and limitations on the Project. City shall furnish to Konzen, within fifteen (15) days after receipt of a written request, information necessary and relevant for Konzen to evaluate, give notice of or enforce rights. 1.2.2.2 City shall establish and periodically update the budget for the Project, including that portion allocated for the Cost of the Work, City's other costs, and reasonable contingencies related to all costs. 1.2 .23 City's Designated Representative identified in Section 1.1.3 shall be authorized to act on City's behalf with respect to the Project City or City's Designated Representative shall render decisions in a timely manner pertaining to documents submitted by Konzen in order to avoid unreasonable delay in the orderly and sequential progress of Konzen's services. 1.2.2.4 Unless otherwise provided in this Agreement, and if requested in writing, City shall furnish or pay for tests, inspections and reports required by law such as tests for air and water pollution and/or tests for hazardous materials. 1 .2.2.5 City shall furnish all legal, insurance and accounting services, including auditing services, that may be reasonably necessary at any time for the Project to meet City's needs and interests. 1.2.2.6 Each party shall provide prompt written notice to the other if either becomes aware of any fault or defect in the Project, including any errors, omissions or inconsistencies. 1.2.3 KONZEN'S RESPONSIBILITIES 1.2.3.1 The services performed by Konzen shall be as enumerated m Article 1.4 and as enumerated elsewhere herein, in attached and accompanying documents, in exhibits, in supplemental documents, and in related documents. 1.23.2 Konzen's services shall be performed as expeditiously as is consistent with professional skill and care and the orderly progress of the Project Konzen shall submit for City's approval a schedule for the performance of services which initially shall be consistent with the time periods established in this Agreement and which may be adjusted, if necessary and approved City, as the Project proceeds. This schedule shall include allowances for periods of time required for City's review, and for approval of submissions by authorities having jurisdiction over the Project. Time limits established by this schedule approved by City shall not, except for reasonable cause, be exceeded by Konzen or City. 1.233 Konzen, as his own Designated Representative identified in Section 1.1.3.4, shall be the person authorized to act with respect to the Project 1.23.4 Konzen shall maintain the confidentiality of information specifically designated as confidential by City, unless withholding such information would violate the law, create the risk of significant harm to the public or prevent Konzen from establishing a claim or defense in an adjudicatory proceeding. 1.23.5 Except with City's knowledge and consent, Konzen shall not engage in any activity, or accept any employment, interest or contribution that would reasonably appear to compromise Konzen's professional judgment with respect to this Project. 1.23.6 Konzen shall review laws, codes, and regulations applicable to his services. Konzen shall respond in the Project to requirements imposed by governmental authorities having jurisdiction over the Project. 1.23.7 Konzen shall be entitled to reasonably rely on the accuracy and completeness of services and information furnished by City. Each party shall provide prompt written notice to the other if either becomes aware of any errors, omissions or inconsistencies in such services or information. ARTICLE 13 TERMS AND CONDITIONS 13.1 COST OF THE WORK 1.3.1.1 The Cost of the Work shall be the total cost or, to the extent the Project is not completed, the estimated cost to City of all elements of the Project designed or specified by Konzen. 13.1.2 The Cost of the Work shall be as delineated herein in Section 1.1.2.5. 1.3.2 INSTRUMENTS OF SERVICE 132.1 Drawings, reports, specifications and other documents, including those in electronic form, prepared by Konzen are for use solely with respect to this Project. All Konzen's designs and work product under this Agreement , completed or partially completed, shall be the property of City to be used as City desires, without restriction on future use; by execution of this Agreement and in confirmation of the fee for services to be paid under this Agreement, Konzen hereby conveys, transfers and assigns to City all rights under the Federal Copyright Act of 1976 (or any successor copyright statute), as amended, all common law copyrights and all other intellectual property rights acknowledged by law in the Project designs and work product developed under this Agreement. Copies may be retained by Konzen 13.2.2 Upon execution of this Agreement, Konzen grants to City permission to reproduce Konzen's Instruments of Service for purposes of constructing, using and maintaining the Project, provided that City shall comply with all obligations, including prompt payment of all sums when due, under this Agreement. If and upon the date Konzen is adjudged in default of this Agreement, City is permitted to authorize other similarly credentialed persons to reproduce and, where permitted by law, to make changes, corrections or additions to the Instruments of Service for the purposes of completing, using and maintaining the Project. 1.323 City shall not assign, delegate, sublicense, pledge or otherwise transfer any permission granted herein to another party without the prior written agreement of Konzen. Submission or distribution of Instruments of Service to meet official regulatory requirements or for similar purposes in connection with the Project is permitted. Any unauthorized use of the Instruments of Service shall be at City's sole risk and without liability to Konzen 133 CHANGE IN SERVICES 13.3.1 Change in Services of Konzen may be accomplished after execution of this Agreement, without invalidating the Agreement, if mutually agreed in writing. It is expressly understood and agreed by and between the parties hereto that any alteration in schedule, compensation and Change in Services shall be effected only by Supplemental Agreement hereto. Any such Supplemental Agreement to this contract must be duly authorized by City Council resolution. 1.3.4 MEDIATION 13.4.1 Any claim, dispute or other matter in question arising out of or related to this Agreement shall be subject to mediation. If such matter 4 relates to or is the subject of a lien arising out of Konzen's services, Konzen may proceed in accordance with applicable law to comply with the lien notice or filing deadlines prior to resolution of the matter by mediation. 1.3.4.2 City and Konzen shall endeavor to resolve claims, disputes and other matters in question between them by mediation. Request for mediation shall be filed in writing with the other party to this Agreement, and mediation shall proceed in advance of legal or equitable proceedings, which shall be stayed pending mediation for a period of sixty (60) days from the date of filing, unless stayed for a longer period by agreement of the parties or court order. 1.3.43 The parties shall share the mediator's fee and any filing fees equally. The mediation shall be held in the place where the Project is located, unless another location is mutually agreed upon. Agreements reached in mediation shall be enforceable as settlement agreements in any court having jurisdiction thereof. 13.5 ARBITRATION 13.5.1 City and Konzen hereby expressly agree that no claims or disputes between City and Konzen arising out of or relating to this Agreement or a breach hereof shall be decided by any arbitration proceeding, including, without limitation, any proceeding under the Federal Arbitration Act (9 U.S.C. Section 1 -14) or any applicable state arbitration statute, except that in the event that City is subject to an arbitration proceeding related to the Project, Konzen consents to be joined in the arbitration proceeding if Konzen's presence is required or requested by City for complete relief to be accorded in the arbitration proceeding. 1.3.6 CLAIMS FOR CONSEQUENTIAL DAMAGES 13.6.1 Konzen and City waive consequential damages for claims, disputes or other matters in question arising out of or relating to this Agreement This mutual waiver is applicable, without limitation, to all consequential damages due to either party's termination in accordance with Section 1.3.8. 1.3.7 MISCELLANEOUS PROVISIONS 1.3.7.1 This Agreement shall be governed by the laws of the state of Texas, and venue shall lie in Williamson County, Texas. 1.3.7.2 Causes of action between the parties to this Agreement pertaining to acts or failures to act shall be deemed to have accrued and the applicable statutes of limitations shall commence to run not later than either the date of Substantial Completion for acts or failures to act occurring prior to Substantial Completion or the date of issuance of the final Certificate for Payment for acts or failures to act occurring after Substantial Completion. In no event shall such statutes of limitations commence to run any later than the date when Konzen's services are substantially completed. 13.73 To the extent damages are covered by property insurance during construction, City and Konzen waive all rights against each other and against the contractors, consultants, agents and employees of the other for damages, except such rights as they may have to the proceeds of insurance as delineated between City and Contractor. 1.3.7.4 Nothing contained in this Agreement shall create a contractual relationship with or a cause of action in favor of a third party against either City or Konzen 1.3.7.5 If City requests Konzen to execute certificates, the proposed language of such certificates shall be submitted to Konzen for review at least fourteen (14) days prior to the requested dates of execution. Konzen shall not be required to execute certificates that would require knowledge, services or responsibilities beyond the scope of this Agreement. 1.3.7.6 City and Konzen, respectively, bind themselves, their successors, assigns and legal representatives to the other party to this Agreement and to the successors, assigns and legal representatives of such other party with respect to all covenants of this Agreement. Neither City nor Konzen shall assign this Agreement without the written consent of the other, except that City may assign this Agreement to an institutional lender providing financing for the Project. In such event, the lender shall assume City's rights and obligations under this Agreement. Konzen shall execute all consents reasonably required to facilitate such assignment. 1.3.7.7 Konzen shall comply with all applicable federal and state laws, the Charter and ordinances of the City of Round Rock and with all applicable rules and regulations promulgated by all local, state and national boards, bureaus and agencies. Konzen shall further obtain all permits and licenses required in the performance of the personal services contracted for herein. 1.3.7.8 Konzen will pay all taxes, if any, required by law arising by virtue of the personal services performed hereunder. City is qualified for exemption pursuant to the provisions of Section 151.309 of the Texas Limited Sales, Excise, and Use Tax Act. 1.3.7.9 Konzen covenants and represents that he 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 for the Project. 1.3.7.10 Konzen understands and agrees that time is of the essence and that any failure of Konzen to complete the services for each portion of this Agreement within the agreed schedule will constitute a material breach of this Agreement. 1.3.7.11 Neither City nor Konzen shall be deemed in violation of this Agreement if prevented from performing any obligations hereunder by reasons for which it or he are not responsible or c beyond its or his control. However, notice of such impediment or delay in performance must be timely given, and all reasonable efforts undertaken to mitigate its effects. 1.3.8 TERMINATION OR SUSPENSION 1.3.8.1 If City fails to make payments to Konzen in substantial compliance with this Agreement, such failure may be considered substantial nonperformance and cause for suspension of performance of services under this Agreement. If Konzen elects to suspend services, prior to suspension of services, Konzen shall give fifteen (15) days' written notice to City. In the event of a suspension of services, Konzen shall have no liability to City for delay or damage caused City because of such suspension of services. Before resuming services, Konzen shall be paid all non - disputed sums due prior to suspension. Konzen's fees for the remaining services and the time schedules shall be equitably adjusted. 1.3.8.2 In connection with the work outlined in this Agreement, it is agreed and fully understood by Konzen that City may cancel or indefinitely suspend further work hereunder or terminate this Agreement either for cause or for the convenience of City, upon fifteen (15) days' written notice to Konzen, with the understanding that immediately upon receipt of said notice all work and labor being performed under this Agreement shall cease. Konzen shall invoice City for all work satisfactorily completed and shall be compensated in accordance with the terms of this Agreement for all work accomplished prior to the receipt of said notice. No amount shall be due for lost or anticipated profits. All plans, field surveys, maps, cross sections and other data, designs and work related to the Project shall become the property of City upon termination of this Agreement, and shall be promptly delivered to City in a reasonably organized form without restriction on future use. Should City subsequently contract with another person for continuation of services on the Project, Konzen shall cooperate in providing information. 1.3.8.3 Nothing contained in Section 1.3.8.2 shall require City to pay for any work which is unsatisfactory as determined by City's representative or which is not submitted in compliance with the terms of this Agreement. City shall not be required to make any payments to Konzen when Konzen is in default under this Agreement, nor shall this section constitute a waiver of any right, at law or at equity, which City may have if Konzen is in default, including the right to bring legal action for damages or to force specific performance of this Agreement. 1.3.9 PAYMENTS TO KONZEN 1.3.9.1 Payments on account of services rendered shall be made monthly upon presentation of Konzen's invoices. No deductions shall be made from Konzen's compensation on account of penalty, liquidated damages or other sums withheld from payments, or on account of the cost of Changes in the Work, other than those for which Konzen has been adjudged to be liable. ARTICLE 1.4 SCOPE OF SERVICES AND OTHER SPECIAL TERMS AND CONDITIONS 1.4.1 Enumeration of Parts of the Agreement. This Agreement represents the entire and integrated agreement between City and Konzen and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be amended only by written instrument signed by both City and Konzen 1.4.1.1 Other documents as follows: (List other documents, if any, forming part of the Agreement) Exhibit "A" entitled "Konzen's Scope of Services. 1.4.2 Special Terms and Conditions. Special terms and conditions that modify this Agreement are as follows: ARTICLE 1.5 COMPENSATION 1.5.1 For Konzen's services as described herein, compensation shall be computed as follows: In accordance with Section 1.1.2.5 herein. 1.5.2 If the services of Konzen are changed as described in Section 1.3.3.1, the compensation may be adjusted. Such adjustment shall be calculated in an equitable manner. (Insert basis of compensation, including rates and multiples of Direct Personnel papense for Principals and employees, and idenrjfy Principals and clas45 employees, if required Identh specific services to which particular methods of compensation apply) 1.5.3 Payments are due and payable thirty (30) days from the date of Konzen's invoice, or not later than the time period required under the Texas Prompt Payment Act, whichever is later. Non - disputed amounts unpaid sixty (60) days after the invoice date shall bear interest at the rate 6 entered below, or in the absence thereof at the legal rate prevailing from time to time at the principal place of business of Konzen. (Insert rate q( interest agreed upon) One and one - half percent (1 ''A %) per month (Usury laws and requirements under the Federal Truth m Lending Act, similar state and local consumer credit laws and other regulations at the Owner's and Architect's principal places of business, the location of the Project and elsewhere may affect the validity of this provision Specific legal advice should be obtained with respect to deletions or modifications, and also regarding requirements such as written disclosures or waivers) ARTICLE 1.6 INDEMNIFICATION 1.6.1 Indemnification (Damage Claims). Konzen agrees to defend, indemnify and hold City. its officers, agents and employees, harmless against any and all claims, lawsuits, judgments, costs and expenses for personal injury (including death), property damage or other harm for which recovery of damages is sought, suffered by any person or persons, that may arise out of or be occasioned by Konzen's breach of any of the terms or provisions of this Agreement, or by any negligent act or omission of Konzen in the performance of this Agreement except that the indemnity provided for in this section shall not apply to any liability resulting from the sole negligence of City, its officers, agents, employees or separate contractors, and in the event of joint and concurrent negligence of both Konzen and City, responsibility and indemnity, if any, shall be apportioned comparatively in accordance with the laws of the State of Texas, without, however, waiving any governmental immunity available to City under Texas law and without waiving any defenses of the parties under Texas law. The provisions of this section are solely for the benefit of the parties hereto and not intended to create or grant any rights, contractual or otherwise, to any other person or entity. ARTICLE 1.7 INSURANCE 1.7.1 Insurance. Konzen, at his sole cost, shall purchase and maintain during the term and entire duration of this Agreement minimum insurance coverages in the types and amounts as follow: A.. Comprehensive General Liability Insurance with minimum Bodily Injury limits of 5300,000 for each occurrence including like coverage for acts and omissions of subcontractors and contractual liability coverage; B. Property Damage Insurance with minimum limits of 550,000 for each occurrence including like coverage for acts and omissions of subcontractors and contractual liability coverage. C. Automobile Liability Insurance for all owned, non - owned, and hired vehicles with minimum limits for Bodily Injury of 5100,000 for each person and 5300,000 for each occurrence, and Property Damage minimum limits of 550,000 for each occurrence. Konzen shall require subcontractors to provide Automobile Liability Insurance with the same minimum limits. 1.7.2 Insurance Requirements. (1) All insurance shall be obtained by Konzen from a company authorized to do insurance business in Texas and otherwise acceptable to City. (2) Konzen shall not commence work at any site under this Agreement until he has obtained all required insurance and until such insurance has been approved by City. Konzen shall not allow any subcontractors to commence work until all insurance required has been obtained and approved. Approval of the insurance by City shall not relieve or decrease the liability of Konzen hereunder. 1.7.3 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 certified mail to: James R. Nuse, P.E. City Manager, City of Round Rock 221 East Main Street Round Rock, Texas 78664 Konzen shall also notify City, within 24 hours 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 Konzen (3) The terms "City" or "City of Round Rock" shall include all authorities, Boards, Commissions, Departments, and officers of City and the individual members, employees and agents thereof in their official capacities, and/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 such future coverage, or to City's Self - Insured Retentions of whatever nature. 1.7.3 Cost of Insurance. The cost of all insurance required herein to be secured and maintained by Konzen shall be bome solely by Konzen, with certificates of insurance evidencing such minimum coverage in force to be filed with City. IN WITNESS WHEREOF, the City of Round Rock has caused this Agreement to be signed in its corporate name by its Mayor, duly authorized to execute the same in its behalf by Resolution No. approved by the City Council on , and by John H. Konen, with both parties binding themselves, their successors and assigns and legal representatives for the faithful and full performance of the terms and provisions of this Agreement. OWNER: PROVIDER OF PERSONAL S y ACES: CITY OF ROUND ROCK, TEXAS JOHN H. KON / By: By: Nyle Maxwell, Mayor ATTEST: Christine R. Martinez, City Secretary 8 dirlda‘ Jo �!' ' HOT Inspection Services, Inc. (HOT) hereby offers to perform the following work on the Composite Elevated Storage Tank at the price, terms, and conditions listed herein: SCOPE: 2.7MMG COMPOSITE STORAGE TANK INSPECTION PROPOSAL HOT proposes to provide welding inspection and testing and coating inspection and testing on the referenced project for The City of Round Rock. The objective of this project is to provide quality assurance surveillance of the welding, erection, sandblasting, and painting during the construction of the water tank. Inspection and testing visits will be strategic and at the discretion of the Inspector /Consultant. The services to be rendered will include the following: Welding, Fabrication and Erection Inspection - Review tank project drawings to provide comments and recommendations. - Review welder qualification records, welding procedures, and mill test reports before any welding commences. -Verify proper welding electrodes and electrode storage to be used on project. - Conduct inspections on shop fabricated components. - Conduct inspection of tank erection practices and fit -up. - Conduct Certified Welding Inspection per AWWA D100 during construction. - Approve Radiographic Testing as per AWWA D100 Section 14. - Witness leak testing of floor welds and penetrations. The inspection methods to be implemented for the above inspection will consist of Visual Testing (VT), Solution film Testing (SFT). All inspections will verify compliance with the AWWA D100 -96 Standard and Contract Specifications. An AWS Certified Welding Inspector and NDE Level III will monitor and or conduct all welding inspections. Shop fabricated items will be inspected on site as they arrive unless the owner requests a shop visit. The fabrication and weld quality will be inspected for compliance to AWWA D100-96. If the owner requires a shop inspection, it shall consist of a visual inspection of the fabricating practices and operations to determine compliance with the AWWA Standard. All travel and labor expenses will be charged as additional expenses. EXHIBIT nA Field erections and welding will be inspected for compliance to the AWWA Standard. The inspection procedures will parallel the procedures listed in Section 11.2. The quality of field welding shall be determined by visual inspections on all joint fit -up and welding. Radiographic testing will be conducted as specified in Section 11.5. and Section 14. All radiograph locations will be selected and approved by HOT. Sandblasting and Coating Inspection - Review coating specifications and make comments /recommendations. - Pre - surface preparation inspection. - Measurement of ambient conditions. - Evaluation of compressor and surface preparation equipment. - Determination of surface preparation cleanliness and profile. - Inspection of application equipment. - Witnessing coating mixing. - Inspecting coating application. - Determination of wet film thickness. - Determination of dry film thickness. - Evaluating cleanliness between coats. - Witness contractor conduct holiday testing of the inside coating system below the top capacity level. - Evaluate cure. - Finalize inspection and testing of project by submitting a final report to engineer and owner. The inspection methods to be implemented for the sandblasting and coating inspections will consist of visual inspections, mil gauging, holiday testing, profile gauging and atmospheric measuring. All inspections will verify compliance with the AWWA D102 97 and contract specifications. A NACE Certified Coating Inspector will monitor and or conduct all coatings inspections. If shop surface preparation and prime coating is specified, all shop inspections will be considered separate from the field inspection visits. It shall consist of the above scope of items in accordance with AWWA, NACE and the contract specifications. All expenses incurred for transportation, lodging, and meals for inspections on work done at a location (outside 100 mile radius from Round Rock, Tx), such as for shop fabrication, surface preparation and coating work shall be additional cost. Coordination and scheduling efforts shall be considered to maximize the inspection productivity. The Inspector shall be notified at least 10 days in advance of the time the inspection will be needed. The maximum number of inspection visits shall be limited to three (3) days for shops located more than 200 miles round trip. The measurement of air temperature, surface temperature, humidity, dew point, coating thickness and holiday detection will be recorded in an inspectors logbook. The equipment to obtain such measurements will be supplied by HOT. WORK EXCLUDED: Work required for safely accessing the tank is not included in the cost of this project. It will be the contractor's responsibility for providing safe access to all areas of the tank for inspection and testing during the construction. OSHA approved scaffolding and shell buggies will be necessary for the complete access of the tank. PRICE: The cost for the above mentioned service is based on an hourly rate of $65.00/hr for Welding Inspection and Coating Inspection. The cost for re- inspections due to non- conformance by the contractor will be billed as an additional charge. The cost of Services mentioned above is as follows: WELDING AND ERECTION INSPECTION $ 9,750.00 NOTE: BASED ON 150 HOURS (3 HR MIN. CHARGED EACHSITE VISIT) RADIOGRAPHIC TEST GRADING AND APPROVAL $ 780.00 NOTE: BASED ON 12 Hours SURFACE PREPARATION AND PAINTING INSPECTION (FIELD) $13,650.00 NOTE: BASED ON 210 HOURS (3 HR MIN. CHARGED EACH SITE VISIT) SURFACE PREPARATION AND PAINTING INSPECTION (SHOP) $ 3,900.00 NOTE: Does not include travel expenses for projects over 200 miles R.T. TOTAL COST OF SERVICE 828,080.00 All work will be conducted and billed at an hourly rate as shown above. The budget cost for conducting the inspection will not exceed the cost above without written approval from the owner /representative. Once the cost approaches the budget cost, the owner will be notified and informed of the remaining work required to complete project. TERMS: This proposal is offered to acceptance within 45 days. No portion of this proposal may be altered without consent and re submittal. Payments to be made within 30 days of invoice date. CONDITIONS: This proposal assumes that the tank will be accessible for inspection and that any restrictions requiring special work will affect the cost of this proposal. INSURANCE: HOT to provide insurance certificate upon request. TIME OF PERFORMANCE: All inspection visits will be scheduled with the engineer and contractor if required for performing the necessary inspection and testing. SIGRAPHICS/GODNGIL AGENDA ITEMS /PROPOSED BARTON HILL TANK RUT DATE: June 6, 2003 SUBJECT: City Council Meeting —June 12, 2003 ITEM: *10.F.2. Consider a resolution authorizing the Mayor to execute an Agreement for Personal Services for Welding and Coating Inspection and Testing of the Barton Hill Elevated Storage Tank with John H. Konzen. Resource: Tom Word, Chief of Public Works Operations Tom Clark, Director of Utilities History: John Konzen will provide personal services including welding inspection and testing, coating inspection and testing on the Barton Hill 2.7 Million Gallons Elevated Water Storage Tank, such services also to include quality assurance surveillance of the welding, erection, sandblasting, and painting during the construction of the tank. The fee for these services is $28,080.00 Funding: Cost: $28,080.00 Source of funds: Capital Project Funds (Self- Financed Utility) Outside Resources: John H. Konzen Impact/Benefit: To ensure tank contractor meets all quality requirements during the construction of the tank. This will maximize the useful life of the tank. Public Comment: N/A Sponsor: N/A